HF 1812

CCR--HF1812C - 85th Legislature (2007 - 2008)

Posted on 01/15/2013 08:27 p.m.

KEY: ~~stricken~~ = removed, old language.

underscored = added, new language.

Version List HF1812 Authors and Status

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Engrossments
Introduction PDF	Posted on 03/07/2007
1st Engrossment PDF	Posted on 03/31/2008
2nd Engrossment PDF	Posted on 04/01/2008
3rd Engrossment PDF	Posted on 04/02/2008
4th Engrossment PDF	Posted on 04/04/2008
5th Engrossment PDF	Posted on 05/20/2008

Conference Committee Reports
CCR--HF1812C PDF	Posted on 05/18/2008

1.1CONFERENCE COMMITTEE REPORT ON H. F. No. 1812 1.2A bill for an act 1.3relating to the financing, organization, and operation of state government; 1.4providing for programs in education, early childhood education, higher 1.5education, environment and natural resources, energy, agriculture, veterans 1.6affairs, military affairs, jobs and economic development activities or programs, 1.7transportation, public safety, courts, human rights, judiciary, housing, public 1.8health, health department, and human services; modifying certain statutory 1.9provisions and laws; providing for certain programs for economic and state 1.10affairs; regulating certain activities and practices; regulating abortion funding; 1.11fixing and limiting fees; providing for the taxation of certain corporations; 1.12authorizing rulemaking, requiring studies and reports; providing civil penalties; 1.13making technical corrections; providing for fund transfers; appropriating money 1.14or reducing appropriations;amending Minnesota Statutes 2006, sections 3.30, 1.15subdivision 1; 3.855, subdivision 3; 3.971, subdivision 2; 10A.071, subdivision 1.163; 13.32, subdivision 3, by adding a subdivision; 13.461, by adding a subdivision; 1.1713.465, subdivision 8; 13.851, by adding a subdivision; 15A.081, subdivision 8; 1.1815A.0815; 16A.133, subdivision 1; 16B.281, subdivision 3; 16B.282; 16B.283; 1.1916B.284; 16B.287, subdivision 2; 16C.16, subdivision 5; 16E.01, subdivision 3; 1.2016E.03, subdivision 1; 16E.04, subdivision 2; 17.4988, subdivisions 2, 3; 43A.01, 1.21subdivision 3; 43A.17, subdivision 9; 84.788, subdivision 3; 84.82, subdivision 1.222, by adding a subdivision; 84.922, subdivision 2; 84.9256, subdivision 1; 1.2385.011; 85.012, subdivisions 28, 49a; 85.013, subdivision 1; 85.054, subdivision 1.243, by adding a subdivision; 86B.401, subdivision 2; 88.15, subdivision 2; 89.715; 1.2593.481, by adding a subdivision; 97A.055, subdivision 4b; 97A.141, subdivision 1.261; 103A.204; 103A.43; 103B.151, subdivision 1; 103G.291, by adding a 1.27subdivision; 103G.615, subdivision 2; 116J.423, by adding a subdivision; 1.28116J.8731, subdivision 4; 116L.17, by adding a subdivision; 116U.26; 119A.03, 1.29subdivision 1; 120B.131, subdivision 2; 120B.31, as amended; 120B.35, as 1.30amended; 120B.36, as amended; 120B.362; 122A.21; 123B.02, subdivision 21; 1.31123B.59, subdivision 1; 123B.62; 124D.04, subdivisions 3, 6, 8, 9; 124D.05, 1.32by adding a subdivision; 124D.10, subdivision 20; 124D.385, subdivision 4; 1.33124D.55; 125A.65, by adding a subdivision; 125A.76, by adding a subdivision; 1.34126C.10, subdivision 31, by adding a subdivision; 126C.17, subdivision 1.359; 126C.21, subdivision 1; 126C.51; 126C.52, subdivision 2, by adding a 1.36subdivision; 126C.53; 126C.55; 127A.45, subdivision 16; 136A.101, subdivision 1.378; 136A.121, subdivision 5; 136F.90, subdivision 1; 141.25, by adding a 1.38subdivision; 144.1222, subdivision 1a, by adding subdivisions; 144.1501, 1.39subdivision 2; 144.218, subdivision 1; 144.225, subdivision 2; 144.2252; 1.40144.226, subdivision 1; 157.16, as amended; 168.1255, by adding a subdivision; 1.41171.29, subdivision 1; 190.19, subdivision 1, by adding a subdivision; 192.501, 1.42by adding subdivisions; 197.585, subdivision 5; 216C.41, subdivision 4; 2.1253B.045, subdivisions 1, 2, by adding a subdivision; 253B.185, subdivision 2.25; 256.01, by adding a subdivision; 256.741, subdivisions 2, 2a, 3; 256.969, 2.3subdivisions 2b, 20; 256B.0571, subdivisions 8, 9; 256B.0621, subdivisions 2.42, 6, 10; 256B.0917, subdivision 8; 256B.0924, subdivisions 4, 6; 256B.19, 2.5subdivision 1d; 256B.431, subdivision 23; 256B.69, subdivisions 5a, 6, by 2.6adding subdivisions; 256B.692, by adding a subdivision; 256D.44, subdivisions 2.72, 5; 256L.12, subdivision 9; 259.89, subdivision 1; 260C.317, subdivision 4; 2.8268.125, subdivisions 1, 2, by adding a subdivision; 290.01, subdivisions 5, 19c, 2.9as amended, 19d, as amended, by adding a subdivision; 290.17, subdivision 2.104; 298.2214, subdivisions 1, 2, as amended; 298.223, subdivision 2; 298.28, 2.11subdivisions 9b, 9d, as added; 298.292, subdivision 2, as amended; 298.2961, 2.12subdivision 2; 341.21, as amended; 341.23; 341.26; 341.28, as amended; 341.29; 2.13341.30; 341.32, as amended; 341.33; 341.34, subdivision 1; 341.35; 341.37; 2.14349A.02, subdivision 1; 446A.12, subdivision 1; 462A.22, subdivision 1; 2.15473.1565, subdivision 3; 518A.50; 518A.53, subdivision 5; 609.531, subdivision 2.161; Minnesota Statutes 2007 Supplement, sections 3.922, by adding a subdivision; 2.1710A.01, subdivision 35; 16B.328, by adding a subdivision; 80A.28, subdivision 2.181; 84.8205, subdivision 1; 103G.291, subdivision 3; 116J.575, subdivision 2.191a; 116L.17, subdivision 1; 120B.021, subdivision 1; 120B.024; 120B.30; 2.20123B.143, subdivision 1; 124D.531, subdivision 1; 126C.21, subdivision 3; 2.21126C.44; 136A.121, subdivision 7a; 136A.126; 136A.127; 136A.128, by adding 2.22a subdivision; 136A.65, subdivisions 1, 3, 5, 6, 7; 136A.66; 136A.67; 136A.69; 2.23136F.02, subdivision 1; 136F.03, subdivision 4; 141.25, subdivision 5; 141.28, 2.24subdivision 1; 141.35; 144.4167, by adding a subdivision; 190.19, subdivision 2.252; 214.04, subdivision 3; 216C.052, subdivision 2; 216C.41, subdivision 3; 2.26253B.185, subdivision 1b; 256.741, subdivision 1; 256B.0625, subdivision 2.2720; 256B.0631, subdivisions 1, 3; 256B.199; 256B.434, subdivision 19; 2.28256B.441, subdivisions 1, 55, 56; 256J.621; 268.047, subdivisions 1, 2; 268.085, 2.29subdivisions 3, 9, 16; 268.125, subdivision 3; 298.227; 341.22; 341.25; 341.27; 2.30341.321; 446A.072, subdivisions 3, 5a; 446A.086; Laws 1999, chapter 223, 2.31article 2, section 72; Laws 2006, chapter 282, article 2, section 27, subdivision 2.324; Laws 2007, chapter 45, article 2, section 1; Laws 2007, chapter 54, article 2.331, section 11; Laws 2007, chapter 57, article 1, section 4, subdivisions 3, 4, 2.346; Laws 2007, chapter 135, article 1, section 3, subdivisions 2, 3; Laws 2007, 2.35chapter 144, article 1, sections 3, subdivisions 2, 18; 5, subdivisions 2, 5; Laws 2.362007, chapter 146, article 1, section 24, subdivisions 2, 3, 4, 5, 6, 7, 8; article 2.372, section 46, subdivisions 2, 3, 4, 6, 9, 13; article 3, sections 23, subdivision 2.382; 24, subdivisions 3, 4, 9; article 4, section 16, subdivisions 2, 3, 6, 8; article 2.395, section 13, subdivisions 2, 3, 4, 5; article 7, section 4; article 9, section 17, 2.40subdivisions 2, 3, 4, 8, 9, 13; Laws 2007, chapter 147, article 2, section 21; article 2.4119, section 3, subdivisions 1, 4; Laws 2007, chapter 148, article 1, sections 7; 12, 2.42subdivision 4; Laws 2007, First Special Session chapter 2, article 1, section 11, 2.43subdivisions 1, 2, 6; Laws 2008, chapter 152, article 1, section 6, subdivision 2; 2.44proposing coding for new law in Minnesota Statutes, chapters 5; 13B; 16A; 43A; 2.45115A; 116J; 120B; 121A; 124D; 127A; 136F; 144; 192; 256B; 268; 325F; 341; 2.46446A; repealing Minnesota Statutes 2006, sections 16B.281, subdivisions 2, 4, 5; 2.4716B.285; 84.961, subdivision 4; 85.013, subdivision 21b; 97A.141, subdivision 2.482; 121A.67; 125A.16; 125A.19; 125A.20; 125A.57; 168.123, subdivision 2a; 2.49256.741, subdivision 15; 256J.24, subdivision 6; 259.83, subdivision 3; 259.89, 2.50subdivisions 2, 3, 4, 5; 290.01, subdivision 6b; 298.28, subdivision 9a; 341.31; 2.51645.44, subdivision 19; Minnesota Statutes 2007 Supplement, section 256.969, 2.52subdivision 27; Laws 1989, chapter 335, article 1, section 21, subdivision 8, as 2.53amended; Laws 2004, chapter 188, section 2; Laws 2006, chapter 263, article 2.543, section 16; Laws 2007, First Special Session chapter 2, article 1, section 11, 2.55subdivisions 3, 4. 2.56May 18, 2008 2.57The Honorable Margaret Anderson Kelliher 3.1Speaker of the House of Representatives 3.2The Honorable James P. Metzen 3.3President of the Senate 3.4We, the undersigned conferees for H. F. No. 1812 report that we have agreed upon 3.5the items in dispute and recommend as follows: 3.6That the Senate recede from its amendment and that H. F. No. 1812 be further 3.7amended as follows: 3.8Delete everything after the enacting clause and insert: 3.9"ARTICLE 1 3.10SUMMARY 3.11(General Fund Only, After Forecast Adjustments) 3.12 Section 1. GENERAL FUND SUMMARY.

3.13 The amounts shown in this section summarize general fund direct appropriations, 3.14and transfers into the general fund from other funds, made in this act. 3.15 20082009Total 3.16 E-12 Education$(1,216,000)$26,958,000$25,742,000 3.17 Higher Education(7,150,000)(14,411,000)(21,561,000) 3.18 3.19 Environment and Natural Resources(328,000)(2,728,000)(3,056,000) 3.20 Energy(2,670,000)(1,436,000)(4,106,000) 3.21 Agriculture(200,000)388,000188,000 3.22 Veterans Affairs-0-4,145,0004,145,000 3.23 Military Affairs390,000390,000 3.24 Economic Development(2,425,000)1,512,000(913,000) 3.25 Transportation(255,000)(255,000) 3.26 Public Safety268,000(10,490,000)(10,222,000) 3.27 State Government(1,104,000)(1,104,000) 3.28 Health and Human Services(46,789,000)(124,196,000)(170,985,000) 3.29 Subtotal of Appropriations(60,510,000)(121,227,000)(181,737,000) 3.30 Transfers In22,330,00094,897,000117,227,000 3.31 Total$(82,840,000)$(216,124,000)$(298,964,000)

4.1ARTICLE 2 4.2EARLY CHILDHOOD THROUGH GRADE 12 EDUCATION 4.3 Section 1. Minnesota Statutes 2006, section 121A.19, is amended to read: 4.4121A.19 DEVELOPMENTAL SCREENING AID. 4.5 Each school year, the state must pay a district for each child or student screened by 4.6the district according to the requirements of section 121A.17. The amount of state aid 4.7for each child or student screened shall be: (1) $50 $75 for a child screened at age three; 4.8(2) $40 $50 for a child screened at age four; (3) $30 $40 for a child screened at age five 4.9or six prior to kindergarten; and (4) $30 for a student screened within 30 days after first 4.10enrolling in a public school kindergarten if the student has not previously been screened 4.11according to the requirements of section 121A.17. If this amount of aid is insufficient, 4.12the district may permanently transfer from the general fund an amount that, when added 4.13to the aid, is sufficient. Developmental screening aid shall not be paid for any student 4.14who is screened more than 30 days after the first day of attendance at a public school 4.15kindergarten, except if a student transfers to another public school kindergarten within 4.1630 days after first enrolling in a Minnesota public school kindergarten program. In this 4.17case, if the student has not been screened, the district to which the student transfers may 4.18receive developmental screening aid for screening that student when the screening is 4.19performed within 30 days of the transfer date. 4.20 Sec. 2. Minnesota Statutes 2006, section 122A.21, is amended to read: 4.21122A.21 TEACHERS' AND ADMINISTRATORS' LICENSES; FEES. 4.22 Subdivision 1. Licensure applications. Each application for the issuance, renewal, 4.23or extension of a license to teach, including applications for licensure via portfolio under 4.24subdivision 2, must be accompanied by a processing fee of $57. Each application for 4.25issuing, renewing, or extending the license of a school administrator or supervisor must 4.26be accompanied by a processing fee in the amount set by the Board of Teaching. The 4.27processing fee for a teacher's license and for the licenses of supervisory personnel must 4.28be paid to the executive secretary of the appropriate board. The executive secretary of 4.29the board shall deposit the fees with the commissioner of finance. The fees as set by the 4.30board are nonrefundable for applicants not qualifying for a license. However, a fee must 4.31be refunded by the commissioner of finance in any case in which the applicant already 4.32holds a valid unexpired license. The board may waive or reduce fees for applicants who 4.33apply at the same time for more than one license. 5.1 Subd. 2. Licensure via portfolio. (a) An eligible candidate may use licensure 5.2via portfolio to obtain an initial licensure or to add a licensure field, consistent with the 5.3applicable Board of Teaching licensure rules. 5.4 (b) A candidate for initial licensure must submit to the Educator Licensing Division 5.5at the department one portfolio demonstrating pedagogical competence and one portfolio 5.6demonstrating content competence. 5.7 (c) A candidate seeking to add a licensure field must submit to the Educator 5.8Licensing Division at the department one portfolio demonstrating content competence. 5.9 (d) A candidate must pay to the executive secretary of the Board of Teaching a 5.10$300 fee for the first portfolio submitted for review and a $200 fee for any portfolio 5.11submitted subsequently. The fees must be paid to the executive secretary of the Board of 5.12Teaching. The revenue generated from the fee must be deposited in an education licensure 5.13portfolio account in the special revenue fund. The fees set by the Board of Teaching are 5.14nonrefundable for applicants not qualifying for a license. The Board of Teaching may 5.15waive or reduce fees for candidates based on financial need. 5.16 Sec. 3. Minnesota Statutes 2007 Supplement, section 123B.54, is amended to read: 5.17123B.54 DEBT SERVICE APPROPRIATION. 5.18 (a) $14,813,000 $14,814,000 in fiscal year 2008, $11,124,000 $9,109,000 in fiscal 5.19year 2009, $8,866,000 $7,286,000 in fiscal year 2010, and $6,631,000 $6,878,000 in 5.20fiscal year 2011 and later are appropriated from the general fund to the commissioner of 5.21education for payment of debt service equalization aid under section 123B.53. 5.22 (b) The appropriations in paragraph (a) must be reduced by the amount of any 5.23money specifically appropriated for the same purpose in any year from any state fund. 5.24 Sec. 4. Minnesota Statutes 2006, section 123B.59, subdivision 1, is amended to read: 5.25 Subdivision 1. To qualify. (a) An independent or special school district qualifies to 5.26participate in the alternative facilities bonding and levy program if the district has: 5.27 (1) more than 66 students per grade; 5.28 (2) over 1,850,000 square feet of space and the average age of building space is 15 5.29years or older or over 1,500,000 square feet and the average age of building space is 5.3035 years or older; 5.31 (3) insufficient funds from projected health and safety revenue and capital facilities 5.32revenue to meet the requirements for deferred maintenance, to make accessibility 5.33improvements, or to make fire, safety, or health repairs; and 5.34 (4) a ten-year facility plan approved by the commissioner according to subdivision 2. 6.1 (b) An independent or special school district not eligible to participate in the 6.2alternative facilities bonding and levy program under paragraph (a) qualifies for limited 6.3participation in the program if the district has: 6.4 (1) one or more health and safety projects with an estimated cost of $500,000 or 6.5more per site that would qualify for health and safety revenue except for the project size 6.6limitation in section 123B.57, subdivision 1, paragraph (b); and 6.7 (2) insufficient funds from capital facilities revenue to fund those projects. 6.8 (c) Notwithstanding the square footage limitation in paragraph (a), clause (2), 6.9a school district that qualified for eligibility under paragraph (a) as of July 1, 2007, 6.10remains eligible for funding under this section as long as the district continues to meet 6.11the requirements of paragraph (a), clauses (1), (3), and (4). 6.12EFFECTIVE DATE.This section is effective the day following final enactment. 6.13 Sec. 5. Minnesota Statutes 2006, section 123B.62, is amended to read: 6.14123B.62 BONDS FOR CERTAIN CAPITAL FACILITIES. 6.15 (a) In addition to other bonding authority, with approval of the commissioner, a 6.16district may issue general obligation bonds for certain capital projects under this section. 6.17The bonds must be used only to make capital improvements including: 6.18 (1) under section 126C.10, subdivision 14, total operating capital revenue uses 6.19specified in clauses (4), (6), (7), (8), (9), and (10); 6.20 (2) the cost of energy modifications; 6.21 (3) improving disability accessibility to school buildings; and 6.22 (4) bringing school buildings into compliance with life and safety codes and fire 6.23codes; and 6.24 (5) modifying buildings and equipment for security. 6.25 (b) Before a district issues bonds under this subdivision, it must publish notice 6.26of the intended projects, the amount of the bond issue, and the total amount of district 6.27indebtedness. 6.28 (c) A bond issue tentatively authorized by the board under this subdivision becomes 6.29finally authorized unless a petition signed by more than 15 percent of the registered voters 6.30of the district is filed with the school board within 30 days of the board's adoption of a 6.31resolution stating the board's intention to issue bonds. The percentage is to be determined 6.32with reference to the number of registered voters in the district on the last day before the 6.33petition is filed with the board. The petition must call for a referendum on the question of 6.34whether to issue the bonds for the projects under this section. The approval of 50 percent 7.1plus one of those voting on the question is required to pass a referendum authorized 7.2by this section. 7.3 (d) The bonds must be paid off within ten 15 years of issuance. The bonds must be 7.4issued in compliance with chapter 475, except as otherwise provided in this section. A tax 7.5levy must be made for the payment of principal and interest on the bonds in accordance 7.6with section 475.61. The sum of the tax levies under this section and section 123B.61 for 7.7each year must not exceed the limit specified in section 123B.61. The levy for each year 7.8must be reduced as provided in section 123B.61. A district using an excess amount in the 7.9debt redemption fund to retire the bonds shall report the amount used for this purpose to 7.10the commissioner by July 15 of the following fiscal year. A district having an outstanding 7.11capital loan under section 126C.69 or an outstanding debt service loan under section 7.12126C.68 must not use an excess amount in the debt redemption fund to retire the bonds. 7.13 (e) Notwithstanding paragraph (d), bonds issued by a district within the first 7.14five years following voter approval of a combination according to section 123A.37, 7.15subdivision 2 , must be paid off within 20 years of issuance. All the other provisions and 7.16limitation of paragraph (d) apply. 7.17 Sec. 6. Minnesota Statutes 2006, section 124D.04, subdivision 3, is amended to read: 7.18 Subd. 3. Pupils in adjoining states. Except as provided under an agreement with 7.19an adjoining state under section 124D.041, a non-Minnesota pupil who resides in an 7.20adjoining state in a district that borders Minnesota may enroll in a Minnesota district if 7.21either the board of the district in which the pupil resides or state in which the pupil resides 7.22pays tuition to the district in which the pupil is enrolled. 7.23 Sec. 7. Minnesota Statutes 2006, section 124D.04, subdivision 6, is amended to read: 7.24 Subd. 6. Tuition payments. (a) In each odd-numbered year, before March 1, the 7.25commissioner must agree to rates of tuition for Minnesota elementary and secondary 7.26pupils attending in other states for the next two fiscal years when the other state agrees to 7.27negotiate tuition rates. The commissioner must negotiate equal, reciprocal rates with the 7.28designated authority in each state for pupils who reside in an adjoining state and enroll in 7.29a Minnesota district. The rates must be at least equal to the tuition specified in section 7.30124D.05, subdivision 1 . If the other state does not agree to negotiate a general tuition rate, 7.31a Minnesota school district may negotiate a tuition rate with the school district in the other 7.32state that sends a pupil to or receives a pupil from the Minnesota school district. The 7.33tuition rate for a pupil with a disability must be equal to the actual cost of instruction and 7.34services provided. The resident district of a Minnesota pupil attending in another state 8.1under this section must pay the amount of tuition agreed upon in this section to the district 8.2of attendance, prorated on the basis of the proportion of the school year attended. 8.3 (b) Notwithstanding paragraph (a) and subdivision 9, if an agreement is reached 8.4between the state of Minnesota and an adjoining state pursuant to section 124D.041, 8.5the provisions of section 124D.041 and the agreement shall apply to all enrollment 8.6transfers between Minnesota and the adjoining state, and provisions of paragraph (a) 8.7and subdivision 9 shall not apply. 8.8 Sec. 8. Minnesota Statutes 2006, section 124D.04, subdivision 8, is amended to read: 8.9 Subd. 8. Effective if reciprocal. This section is effective with respect to South 8.10Dakota upon enactment of provisions by South Dakota that the commissioner determines 8.11are essentially similar to the provisions for Minnesota pupils in this section. This section 8.12is effective with respect to any other bordering state upon enactment of provisions by the 8.13bordering state that the commissioner determines are essentially similar to the provisions 8.14for Minnesota pupils in this section. 8.15 Sec. 9. Minnesota Statutes 2006, section 124D.04, subdivision 9, is amended to read: 8.16 Subd. 9. Appeal to the commissioner. If a Minnesota school district cannot agree 8.17with an adjoining state on a tuition rate for a Minnesota student attending school in that 8.18state and that state has met the requirements in subdivision 8, then the student's parent or 8.19guardian may request that the commissioner agree on set a tuition rate for the student. The 8.20Minnesota district must pay the amount of tuition the commissioner agrees upon sets. 8.21 Sec. 10. [124D.041] RECIPROCITY WITH ADJOINING STATES. 8.22 Subdivision 1. Agreements. (a) The commissioner may enter into an agreement 8.23with the designated authority from an adjoining state to establish an enrollment options 8.24program between Minnesota and the adjoining state. Any agreement entered into pursuant 8.25to this section must specify the following: 8.26 (1) for students who are not residents of Minnesota, the enrollment options program 8.27applies only to a student whose resident school district borders Minnesota; 8.28 (2) the commissioner must negotiate equal, reciprocal rates with the designated 8.29authority from the adjoining state; 8.30 (3) if the adjoining state sends more students to Minnesota than Minnesota sends to 8.31the adjoining state, the adjoining state must pay the state of Minnesota the rate agreed 8.32upon under clause (2) for the excess number of students sent to Minnesota; 9.1 (4) if Minnesota sends more students to the adjoining state than the adjoining state 9.2sends to Minnesota, the state of Minnesota will pay the adjoining state the rate agreed 9.3upon under clause (2) for the excess number of students sent to the adjoining state; 9.4 (5) the application procedures for the enrollment options program between 9.5Minnesota and the adjoining state; 9.6 (6) the reasons for which an application for the enrollment options program between 9.7Minnesota and the adjoining may be denied; and 9.8 (7) that a Minnesota school district is not responsible for transportation for any 9.9resident student attending school in an adjoining state under the provisions of this section. 9.10A Minnesota school district may, at its discretion, provide transportation services for 9.11such a student. 9.12 (b) Any agreement entered into pursuant to this section may specify additional terms 9.13relating to any student in need of special education and related services pursuant to chapter 9.14125A. Any additional terms must apply equally to both states. 9.15 Subd. 2. Pupil accounting. (a) Any student from an adjoining state enrolled in 9.16Minnesota pursuant to this section is included in the receiving school district's average 9.17daily membership and pupil units according to section 126C.05 as if the student were 9.18a resident of another Minnesota school district attending the receiving school district 9.19under section 124D.03. 9.20 (b) Any Minnesota resident student enrolled in an adjoining state pursuant to this 9.21section is included in the resident school district's average daily membership and pupil 9.22units according to section 126C.05 as if the student were a resident of the district attending 9.23another Minnesota school district under section 124D.03. 9.24 Subd. 3. Procedures. (a) The Department of Education must establish procedures 9.25relating to the application process, the collection or payment of funds under the provisions 9.26of any agreement established pursuant to this section, and the collection of data necessary 9.27to implement any agreement established pursuant to this section. 9.28 (b) Notwithstanding sections 124A.04 and 124A.05, if an agreement is established 9.29between Minnesota and an adjoining state pursuant to this section, the provisions of this 9.30section and the agreement shall apply to all enrollment transfers between Minnesota and 9.31the adjoining state, and provisions of sections 124D.04 and 124D.05 to the contrary, 9.32including provisions relating to tuition payments, shall not apply. 9.33 (c) Notwithstanding paragraph (a), any payments to adjoining states under this 9.34section shall be made according to section 127A.45, subdivision 16. 9.35 (d) Notwithstanding paragraph (b), sections 124D.04, subdivision 6, paragraph (b), 9.36and 124D.05, subdivision 2a, the provisions of this section and the agreement shall not 10.1apply to: (i) enrollment transfers between Minnesota and a school district in an adjoining 10.2state enrolling fewer than 150 pupils that is exempted from participation in the program 10.3under the laws of the adjoining state; or (ii) enrollment transfers between Minnesota and a 10.4school district in an adjoining state under a board agreement initiated in fiscal year 2009 to 10.5serve students in grade levels discontinued by the resident district. 10.6 Sec. 11. Minnesota Statutes 2006, section 124D.05, is amended by adding a 10.7subdivision to read: 10.8 Subd. 2a. Exception. Notwithstanding subdivisions 1 and 2, if an agreement 10.9is reached between the state of Minnesota and an adjoining state pursuant to section 10.10124D.041, the provisions of section 124D.041 and the agreement shall apply to all 10.11enrollment transfers between Minnesota and the adjoining state, and provisions of 10.12subdivisions 1 and 2 to the contrary, including provisions relating to tuition payments, 10.13shall not apply. 10.14 Sec. 12. Minnesota Statutes 2006, section 124D.118, subdivision 4, is amended to read: 10.15 Subd. 4. Reimbursement. In accordance with program guidelines, the 10.16commissioner shall reimburse each participating public or nonpublic school 14 20 cents 10.17for each half-pint of milk that is served to kindergarten students and is not part of a school 10.18lunch or breakfast reimbursed under section 124D.111 or 124D.1158. 10.19 Sec. 13. [124D.141] STATE ADVISORY COUNCIL ON EARLY CHILDHOOD 10.20EDUCATION AND CARE. 10.21 Subdivision 1. Membership; Duties. Two members of the house of representatives, 10.22one appointed by the speaker and one appointed by the minority leader; and two members 10.23of the senate appointed by the Subcommittee on Committees of the Committee on Rules 10.24and Administration, including one member of the minority; and two parents with a 10.25child under age six, shall be added to the membership of the State Advisory Council on 10.26Early Education and Care. The council must fulfill the duties required under the federal 10.27Improving Head Start for School Readiness Act of 2007 as provided in Public Law 10.28110-134. 10.29 Subd. 2. Additional duties. The following duties are added to those assigned 10.30to the council under federal law: 10.31 (1) make recommendations on the most efficient and effective way to leverage state 10.32and federal funding streams for early childhood and child care programs; 11.1 (2) make recommendations on how to coordinate or colocate early childhood and 11.2child care programs in one state Office of Early Learning; 11.3 (3) review program evaluations regarding high-quality early childhood programs; 11.4and 11.5 (4) make recommendations to the governor and legislature, including proposed 11.6legislation on how to most effectively create a high quality early childhood system in 11.7Minnesota in order to improve the educational outcomes of children so that all children 11.8are school-ready by 2020. 11.9 Subd. 3. Administration. An amount up to $12,500 from federal child care 11.10and development fund administrative funds and up to $12,500 from prekindergarten 11.11exploratory project funds appropriated under Laws 2007, chapter 147, article 19, section 11.123, may be used to reimburse the parents on the council and for technical assistance and 11.13administrative support of the State Advisory Council on Early Childhood Education and 11.14Care. This funding stream is for fiscal year 2009. The council may pursue additional 11.15funds from state, federal, and private sources. If additional operational funds are received, 11.16the council must reduce the amount of prekindergarten exploratory project funds used 11.17in an equal amount. 11.18 Sec. 14. Minnesota Statutes 2007 Supplement, section 124D.531, subdivision 1, 11.19is amended to read: 11.20 Subdivision 1. State total adult basic education aid. (a) The state total adult basic 11.21education aid for fiscal year 2005 is $36,509,000. The state total adult basic education 11.22aid for fiscal year 2006 equals $36,587,000 plus any amount that is not paid for during 11.23the previous fiscal year, as a result of adjustments under subdivision 4, paragraph (a), or 11.24section 124D.52, subdivision 3. The state total adult basic education aid for fiscal year 11.252007 equals $37,673,000 plus any amount that is not paid for during the previous fiscal 11.26year, as a result of adjustments under subdivision 4, paragraph (a), or section 124D.52, 11.27subdivision 3 . The state total adult basic education aid for fiscal year 2008 equals 11.28$40,650,000, plus any amount that is not paid during the previous fiscal year as a result of 11.29adjustments under subdivision 4, paragraph (a), or section 124D.52, subdivision 3. The 11.30state total adult basic education aid for later fiscal years equals: 11.31 (1) the state total adult basic education aid for the preceding fiscal year plus any 11.32amount that is not paid for during the previous fiscal year, as a result of adjustments under 11.33subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times 11.34 (2) the lesser of: 11.35 (i) 1.03; or 12.1 (ii) the greater of or the ratio of the state total contact hours in the first prior 12.2program year to the state total contact hours in the second prior program year the average 12.3growth in state total contact hours over the prior 10 program years. 12.4 Beginning in fiscal year 2002, two percent of the state total adult basic education 12.5aid must be set aside for adult basic education supplemental service grants under section 12.6124D.522 . 12.7 (b) The state total adult basic education aid, excluding basic population aid, equals 12.8the difference between the amount computed in paragraph (a), and the state total basic 12.9population aid under subdivision 2. 12.10 Sec. 15. Minnesota Statutes 2006, section 124D.55, is amended to read: 12.11124D.55 GENERAL EDUCATION DEVELOPMENT (GED) TEST FEES. 12.12 The commissioner shall pay 60 percent of the fee that is charged to an eligible 12.13individual for the full battery of a general education development (GED) test, but not 12.14more than $20 $40 for an eligible individual. 12.15 Sec. 16. Minnesota Statutes 2006, section 125A.65, subdivision 4, is amended to read: 12.16 Subd. 4. Unreimbursed costs. (a) For fiscal year 2006, in addition to the tuition 12.17charge allowed in subdivision 3, the academies may charge the child's district of residence 12.18for the academy's unreimbursed cost of providing an instructional aide assigned to that 12.19child, after deducting the special education aid under section 125A.76, attributable to the 12.20child, if that aide is required by the child's individual education plan. Tuition received 12.21under this paragraph must be used by the academies to provide the required service. 12.22 (b) For fiscal year 2007 2008 and later, the special education aid paid to the 12.23academies shall be increased by the academy's unreimbursed cost of providing an one 12.24to one instructional aide and behavioral management aides assigned to a child, after 12.25deducting the special education aid under section 125A.76 attributable to the child, if that 12.26aide is the aides are required by the child's individual education plan. Aid received under 12.27this paragraph must be used by the academies to provide the required service. 12.28 (c) For fiscal year 2007 2008 and later, the special education aid paid to the district 12.29of the child's residence shall be reduced by the amount paid to the academies for district 12.30residents under paragraph (b). 12.31 (d) Notwithstanding section 127A.45, subdivision 3, beginning in fiscal year 2008, 12.32the commissioner shall make an estimated final adjustment payment to the Minnesota 12.33State Academies for general education aid and special education aid for the prior fiscal 12.34year by August 15. 13.1 (e) For fiscal year 2007, the academies may retain receipts received through mutual 13.2agreements with school districts for one to one behavior management aides. 13.3EFFECTIVE DATE.This section is effective the day following final enactment. 13.4 Sec. 17. Minnesota Statutes 2006, section 125A.65, is amended by adding a 13.5subdivision to read: 13.6 Subd. 11. Third-party reimbursement. The Minnesota State Academies must seek 13.7reimbursement under section 125A.21 from third parties for the cost of services provided 13.8by the Minnesota State Academies whenever the services provided are otherwise covered 13.9by a child's public or private health plan. 13.10EFFECTIVE DATE.This section is effective the day following final enactment 13.11for revenue in fiscal years 2008 and later. 13.12 Sec. 18. Minnesota Statutes 2007 Supplement, section 125A.76, subdivision 2, is 13.13amended to read: 13.14 Subd. 2. Special education initial aid. The special education initial aid equals the 13.15sum of the following amounts computed using current year data: 13.16 (1) 68 percent of the salary of each essential person employed in the district's 13.17program for children with a disability during the fiscal year, whether the person is 13.18employed by one or more districts or a Minnesota correctional facility operating on a 13.19fee-for-service basis; 13.20 (2) for the Minnesota State Academy for the Deaf or the Minnesota State Academy 13.21for the Blind, 68 percent of the salary of each one to one instructional and behavior 13.22management aide assigned to a child attending the academy, if that aide is the aides are 13.23required by the child's individual education plan; 13.24 (3) for special instruction and services provided to any pupil by contracting with 13.25public, private, or voluntary agencies other than school districts, in place of special 13.26instruction and services provided by the district, 52 percent of the difference between 13.27the amount of the contract and the general education revenue, excluding basic skills 13.28revenue and alternative teacher compensation revenue, and referendum equalization aid 13.29attributable to a pupil, calculated using the resident district's average general education 13.30revenue and referendum equalization aid per adjusted pupil unit for the fraction of the 13.31school day the pupil receives services under the contract. This includes children who 13.32are residents of the state, receive services under this subdivision and subdivision 1, and 13.33are placed in a care and treatment facility by court action in a state that does not have a 14.1reciprocity agreement with the commissioner under section 125A.155 as provided for in 14.2section 125A.79, subdivision 8; 14.3 (4) for special instruction and services provided to any pupil by contracting for 14.4services with public, private, or voluntary agencies other than school districts, that are 14.5supplementary to a full educational program provided by the school district, 52 percent of 14.6the amount of the contract for that pupil; 14.7 (5) for supplies and equipment purchased or rented for use in the instruction of 14.8children with a disability, an amount equal to 47 percent of the sum actually expended by 14.9the district, or a Minnesota correctional facility operating on a fee-for-service basis, but 14.10not to exceed an average of $47 in any one school year for each child with a disability 14.11receiving instruction; 14.12 (6) for fiscal years 1997 and later, special education base revenue shall include 14.13amounts under clauses (1) to (5) for special education summer programs provided during 14.14the base year for that fiscal year; 14.15 (7) the cost of providing transportation services for children with disabilities under 14.16section 123B.92, subdivision 1, paragraph (b), clause (4); and 14.17 (8) the district's transition-disabled program initial aid according to section 14.18124D.454, subdivision 3 . 14.19 The department shall establish procedures through the uniform financial accounting 14.20and reporting system to identify and track all revenues generated from third-party billings 14.21as special education revenue at the school district level; include revenue generated from 14.22third-party billings as special education revenue in the annual cross-subsidy report; and 14.23exclude third-party revenue from calculation of excess cost aid to the districts. 14.24EFFECTIVE DATE.This section is effective for revenue for fiscal year 2008. 14.25 Sec. 19. Minnesota Statutes 2006, section 125A.76, is amended by adding a 14.26subdivision to read: 14.27 Subd. 4a. Adjustments for tuition reciprocity with adjoining states. (a) If an 14.28agreement is reached between the state of Minnesota and an adjoining state pursuant to 14.29section 124D.041 that requires a special education tuition payment from the state of 14.30Minnesota to the adjoining state, the tuition payment shall be made from the special 14.31education aid appropriation for that year, and the state total special education aid under 14.32subdivision 4 shall be reduced by the amount of the payment. 14.33 (b) If an agreement is reached between the state of Minnesota and an adjoining state 14.34pursuant to section 124D.041 that requires a special education tuition payment from 14.35an adjoining state to the state of Minnesota, the special education aid appropriation for 15.1that year and the state total special education aid under subdivision 4 shall be increased 15.2by the amount of the payment. 15.3 (c) If an agreement is reached between the state of Minnesota and an adjoining state 15.4pursuant to section 124D.041 that requires special education tuition payments to be made 15.5between the two states and not between districts in the two states, the special education aid 15.6for a Minnesota school district serving a student with a disability from the adjoining state 15.7shall be calculated according to section 127A.47, subdivision 7, except that no reduction 15.8shall be made in the special education aid paid to the resident district. 15.9 Sec. 20. Minnesota Statutes 2006, section 126C.10, subdivision 31, is amended to read: 15.10 Subd. 31. Transition revenue. (a) A district's transition allowance equals the 15.11greater of zero or the product of the ratio of the number of adjusted marginal cost pupil 15.12units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002 15.13to the district's adjusted marginal cost pupil units for fiscal year 2004, times the difference 15.14between: (1) the lesser of the district's general education revenue per adjusted marginal 15.15cost pupil unit for fiscal year 2003 or the amount of general education revenue the district 15.16would have received per adjusted marginal cost pupil unit for fiscal year 2004 according 15.17to Minnesota Statutes 2002, and (2) the district's general education revenue for fiscal year 15.182004 excluding transition revenue divided by the number of adjusted marginal cost pupil 15.19units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002. 15.20 (b) A district's transition revenue for fiscal year years 2006 and later through 2009 15.21equals the sum of the product of the district's transition allowance times the district's 15.22adjusted marginal cost pupil units plus the district's transition for prekindergarten revenue 15.23under subdivision 31a. 15.24 (c) A district's transition revenue for fiscal year 2010 and later equals the sum of 15.25the product of the district's transition allowance times the district's adjusted marginal cost 15.26pupil units plus the district's transition for prekindergarten revenue under subdivision 31a 15.27plus the district's transition for tuition reciprocity revenue under subdivision 31c. 15.28 Sec. 21. Minnesota Statutes 2006, section 126C.10, is amended by adding a 15.29subdivision to read: 15.30 Subd. 31c. Transition for tuition reciprocity revenue. For the first year that a 15.31tuition reciprocity agreement with an adjoining state is in effect under section 124D.041 15.32and later, a school district's transition for tuition reciprocity revenue equals the greater of 15.33zero or the difference between the sum of the general education revenue and net tuition 15.34revenue the district would have received for pupils enrolled under section 124D.041 for 16.1the first year the agreement is in effect if the agreement had not been in effect, and the 16.2sum of the district's general education revenue and net tuition revenue for the first year 16.3the agreement is in effect. 16.4 Sec. 22. Minnesota Statutes 2006, section 126C.17, subdivision 9, is amended to read: 16.5 Subd. 9. Referendum revenue. (a) The revenue authorized by section 126C.10, 16.6subdivision 1 , may be increased in the amount approved by the voters of the district at a 16.7referendum called for the purpose. The referendum may be called by the board or shall be 16.8called by the board upon written petition of qualified voters of the district. The referendum 16.9must be conducted one or two calendar years before the increased levy authority, if 16.10approved, first becomes payable. Only one election to approve an increase may be held 16.11in a calendar year. Unless the referendum is conducted by mail under paragraph (g), the 16.12referendum must be held on the first Tuesday after the first Monday in November. The 16.13ballot must state the maximum amount of the increased revenue per resident marginal cost 16.14pupil unit. The ballot may state a schedule, determined by the board, of increased revenue 16.15per resident marginal cost pupil unit that differs from year to year over the number of 16.16years for which the increased revenue is authorized or may state that the amount shall 16.17increase annually by the rate of inflation. For this purpose, the rate of inflation shall be 16.18the annual inflationary increase calculated under subdivision 2, paragraph (b). The ballot 16.19may state that existing referendum levy authority is expiring. In this case, the ballot may 16.20also compare the proposed levy authority to the existing expiring levy authority, and 16.21express the proposed increase as the amount, if any, over the expiring referendum levy 16.22authority. The ballot must designate the specific number of years, not to exceed ten, for 16.23which the referendum authorization applies. The ballot, including a ballot on the question 16.24to revoke or reduce the increased revenue amount under paragraph (c), must abbreviate 16.25the term "per resident marginal cost pupil unit" as "per pupil." The notice required under 16.26section 275.60 may be modified to read, in cases of renewing existing levies at the same 16.27amount per pupil as in the previous year: 16.28"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU MAY BE VOTING 16.29FOR A PROPERTY TAX INCREASE ARE VOTING TO EXTEND AN EXISTING 16.30PROPERTY TAX REFERENDUM THAT IS SCHEDULED TO EXPIRE." 16.31 The ballot may contain a textual portion with the information required in this 16.32subdivision and a question stating substantially the following: 16.33 "Shall the increase in the revenue proposed by (petition to) the board of ........., 16.34School District No. .., be approved?" 17.1 If approved, an amount equal to the approved revenue per resident marginal cost 17.2pupil unit times the resident marginal cost pupil units for the school year beginning in 17.3the year after the levy is certified shall be authorized for certification for the number of 17.4years approved, if applicable, or until revoked or reduced by the voters of the district at a 17.5subsequent referendum. 17.6 (b) The board must prepare and deliver by first class mail at least 15 days but no more 17.7than 30 days before the day of the referendum to each taxpayer a notice of the referendum 17.8and the proposed revenue increase. The board need not mail more than one notice to any 17.9taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be 17.10those shown to be owners on the records of the county auditor or, in any county where 17.11tax statements are mailed by the county treasurer, on the records of the county treasurer. 17.12Every property owner whose name does not appear on the records of the county auditor 17.13or the county treasurer is deemed to have waived this mailed notice unless the owner 17.14has requested in writing that the county auditor or county treasurer, as the case may be, 17.15include the name on the records for this purpose. The notice must project the anticipated 17.16amount of tax increase in annual dollars for typical residential homesteads, agricultural 17.17homesteads, apartments, and commercial-industrial property within the school district. 17.18 The notice for a referendum may state that an existing referendum levy is expiring 17.19and project the anticipated amount of increase over the existing referendum levy in 17.20the first year, if any, in annual dollars for typical residential homesteads, agricultural 17.21homesteads, apartments, and commercial-industrial property within the district. 17.22 The notice must include the following statement: "Passage of this referendum will 17.23result in an increase in your property taxes." However, in cases of renewing existing 17.24levies, the notice may include the following statement: "Passage of this referendum may 17.25result in an increase in your property taxes extends an existing operating referendum at the 17.26same amount per pupil as in the previous year." 17.27 (c) A referendum on the question of revoking or reducing the increased revenue 17.28amount authorized pursuant to paragraph (a) may be called by the board and shall be called 17.29by the board upon the written petition of qualified voters of the district. A referendum to 17.30revoke or reduce the revenue amount must state the amount per resident marginal cost 17.31pupil unit by which the authority is to be reduced. Revenue authority approved by the 17.32voters of the district pursuant to paragraph (a) must be available to the school district at 17.33least once before it is subject to a referendum on its revocation or reduction for subsequent 17.34years. Only one revocation or reduction referendum may be held to revoke or reduce 17.35referendum revenue for any specific year and for years thereafter. 18.1 (d) A petition authorized by paragraph (a) or (c) is effective if signed by a number of 18.2qualified voters in excess of 15 percent of the registered voters of the district on the day 18.3the petition is filed with the board. A referendum invoked by petition must be held on the 18.4date specified in paragraph (a). 18.5 (e) The approval of 50 percent plus one of those voting on the question is required to 18.6pass a referendum authorized by this subdivision. 18.7 (f) At least 15 days before the day of the referendum, the district must submit a 18.8copy of the notice required under paragraph (b) to the commissioner and to the county 18.9auditor of each county in which the district is located. Within 15 days after the results 18.10of the referendum have been certified by the board, or in the case of a recount, the 18.11certification of the results of the recount by the canvassing board, the district must notify 18.12the commissioner of the results of the referendum. 18.13EFFECTIVE DATE.This section is effective for elections conducted on or after 18.14July 1, 2008. 18.15 Sec. 23. Minnesota Statutes 2006, section 126C.40, subdivision 1, is amended to read: 18.16 Subdivision 1. To lease building or land. (a) When an independent or a special 18.17school district or a group of independent or special school districts finds it economically 18.18advantageous to rent or lease a building or land for any instructional purposes or for 18.19school storage or furniture repair, and it determines that the operating capital revenue 18.20authorized under section 126C.10, subdivision 13, is insufficient for this purpose, it may 18.21apply to the commissioner for permission to make an additional capital expenditure levy 18.22for this purpose. An application for permission to levy under this subdivision must contain 18.23financial justification for the proposed levy, the terms and conditions of the proposed 18.24lease, and a description of the space to be leased and its proposed use. 18.25 (b) The criteria for approval of applications to levy under this subdivision must 18.26include: the reasonableness of the price, the appropriateness of the space to the proposed 18.27activity, the feasibility of transporting pupils to the leased building or land, conformity 18.28of the lease to the laws and rules of the state of Minnesota, and the appropriateness of 18.29the proposed lease to the space needs and the financial condition of the district. The 18.30commissioner must not authorize a levy under this subdivision in an amount greater than 18.31the cost to the district of renting or leasing a building or land for approved purposes. 18.32The proceeds of this levy must not be used for custodial or other maintenance services. 18.33A district may not levy under this subdivision for the purpose of leasing or renting a 18.34district-owned building or site to itself. 19.1 (c) For agreements finalized after July 1, 1997, a district may not levy under this 19.2subdivision for the purpose of leasing: (1) a newly constructed building used primarily 19.3for regular kindergarten, elementary, or secondary instruction; or (2) a newly constructed 19.4building addition or additions used primarily for regular kindergarten, elementary, or 19.5secondary instruction that contains more than 20 percent of the square footage of the 19.6previously existing building. 19.7 (d) Notwithstanding paragraph (b), a district may levy under this subdivision for the 19.8purpose of leasing or renting a district-owned building or site to itself only if the amount 19.9is needed by the district to make payments required by a lease purchase agreement, 19.10installment purchase agreement, or other deferred payments agreement authorized by law, 19.11and the levy meets the requirements of paragraph (c). A levy authorized for a district by 19.12the commissioner under this paragraph may be in the amount needed by the district to 19.13make payments required by a lease purchase agreement, installment purchase agreement, 19.14or other deferred payments agreement authorized by law, provided that any agreement 19.15include a provision giving the school districts the right to terminate the agreement 19.16annually without penalty. 19.17 (e) The total levy under this subdivision for a district for any year must not exceed 19.18$100 $150 times the resident pupil units for the fiscal year to which the levy is attributable. 19.19 (f) For agreements for which a review and comment have been submitted to the 19.20Department of Education after April 1, 1998, the term "instructional purpose" as used in 19.21this subdivision excludes expenditures on stadiums. 19.22 (g) The commissioner of education may authorize a school district to exceed the 19.23limit in paragraph (e) if the school district petitions the commissioner for approval. The 19.24commissioner shall grant approval to a school district to exceed the limit in paragraph (e) 19.25for not more than five years if the district meets the following criteria: 19.26 (1) the school district has been experiencing pupil enrollment growth in the 19.27preceding five years; 19.28 (2) the purpose of the increased levy is in the long-term public interest; 19.29 (3) the purpose of the increased levy promotes colocation of government services; 19.30and 19.31 (4) the purpose of the increased levy is in the long-term interest of the district by 19.32avoiding over construction of school facilities. 19.33 (h) A school district that is a member of an intermediate school district may include 19.34in its authority under this section the costs associated with leases of administrative and 19.35classroom space for intermediate school district programs. This authority must not 20.1exceed $25 $43 times the adjusted marginal cost pupil units of the member districts. This 20.2authority is in addition to any other authority authorized under this section. 20.3 (i) In addition to the allowable capital levies in paragraph (a), a district that is a 20.4member of the "Technology and Information Education Systems" data processing joint 20.5board, that finds it economically advantageous to enter into a lease purchase agreement for 20.6a building for a group of school districts or special school districts for staff development 20.7purposes, may levy for its portion of lease costs attributed to the district within the total 20.8levy limit in paragraph (e). 20.9 Sec. 24. Minnesota Statutes 2007 Supplement, section 126C.44, is amended to read: 20.10126C.44 SAFE SCHOOLS LEVY. 20.11 (a) Each district may make a levy on all taxable property located within the district 20.12for the purposes specified in this section. The maximum amount which may be levied 20.13for all costs under this section shall be equal to $30 multiplied by the district's adjusted 20.14marginal cost pupil units for the school year. The proceeds of the levy must be reserved and 20.15used for directly funding the following purposes or for reimbursing the cities and counties 20.16who contract with the district for the following purposes: (1) to pay the costs incurred for 20.17the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in 20.18services in the district's schools; (2) to pay the costs for a drug abuse prevention program 20.19as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools; 20.20(3) to pay the costs for a gang resistance education training curriculum in the district's 20.21schools; (4) to pay the costs for security in the district's schools and on school property; (5) 20.22to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary 20.23opt-in suicide prevention tools, and violence prevention measures taken by the school 20.24district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed 20.25school social workers, licensed school psychologists, and licensed alcohol and chemical 20.26dependency counselors to help provide early responses to problems. For expenditures 20.27under clause (1), the district must initially attempt to contract for services to be provided 20.28by peace officers or sheriffs with the police department of each city or the sheriff's 20.29department of the county within the district containing the school receiving the services. If 20.30a local police department or a county sheriff's department does not wish to provide the 20.31necessary services, the district may contract for these services with any other police or 20.32sheriff's department located entirely or partially within the school district's boundaries. 20.33 (b) A school district that is a member of an intermediate school district may 20.34include in its authority under this section the costs associated with safe schools activities 20.35authorized under paragraph (a) for intermediate school district programs. This authority 21.1must not exceed $10 times the adjusted marginal cost pupil units of the member districts. 21.2This authority is in addition to any other authority authorized under this section. Revenue 21.3raised under this paragraph must be transferred to the intermediate school district. 21.4 (c) If A school district spends must set aside at least $3 per adjusted marginal cost 21.5pupil unit of the safe schools levy proceeds for the purposes authorized under paragraph 21.6(a), clause (6),. The district must annually certify that its total spending on services 21.7provided by the employees listed in paragraph (a), clause (6), is not less than the sum of 21.8its expenditures for these purposes, excluding amounts spent under this section, in the 21.9previous year plus the amount spent under this section. 21.10EFFECTIVE DATE.This section is effective for revenue for fiscal year 2010. 21.11 Sec. 25. Minnesota Statutes 2006, section 126C.45, is amended to read: 21.12126C.45 ICE ARENA LEVY. 21.13 (a) Each year, an independent school district operating and maintaining an ice arena, 21.14may levy for the net operational costs of the ice arena. The levy may not exceed 90 21.15percent of the net actual costs of operation of the arena for the previous year. Net actual 21.16costs are defined as operating costs less any operating revenues. 21.17 (b) Any district operating and maintaining an ice arena must demonstrate to the 21.18satisfaction of the Office of Monitoring in the department that the district will offer equal 21.19sports opportunities for male and female students to use its ice arena, particularly in areas 21.20of access to prime practice time, team support, and providing junior varsity and younger 21.21level teams for girls' ice sports and ice sports offerings. 21.22 Sec. 26. Minnesota Statutes 2006, section 126C.51, is amended to read: 21.23126C.51 APPLICATION OF LIMITING TAX LEGISLATION. 21.24 Notwithstanding the provisions of section 471.69 or 471.75, or of any other 21.25provision of law which by per capita limitation, local tax rate limitation, or otherwise, 21.26limits the power of a district to incur any debt or to issue any warrant or order, a school 21.27district or intermediate school district has the powers in sections 126C.50 to 126C.56 21.28specifically conferred upon it and all powers incident and necessary to carrying out the 21.29purposes of sections 126C.50 to 126C.56. 21.30EFFECTIVE DATE.This section is effective the day following final enactment. 21.31 Sec. 27. Minnesota Statutes 2006, section 126C.52, subdivision 2, is amended to read: 21.32 Subd. 2. Limitations. The board of any school district may also borrow money 21.33in the manner and subject to the limitations set forth in sections 126C.50 to 126C.56 in 22.1anticipation of receipt of state aids for schools as defined in Minnesota Statutes and of 22.2federal school aids to be distributed by or through the department. The aggregate of such 22.3borrowings under this subdivision shall never exceed 75 percent of such aids which are 22.4receivable by said school district in the school fiscal year (from July 1 to June 30) in which 22.5the money is borrowed, as estimated and certified by the commissioner. 22.6EFFECTIVE DATE.This section is effective the day following final enactment. 22.7 Sec. 28. Minnesota Statutes 2006, section 126C.52, is amended by adding a 22.8subdivision to read: 22.9 Subd. 3. Intermediate school districts. (a) The board of an intermediate school 22.10district may borrow money in the manner and subject to the limitations set forth in 22.11sections 126C.50 to 126C.56 in anticipation of the receipt of: 22.12 (1) state aids for schools as defined in Minnesota Statutes; 22.13 (2) federal school aids to be distributed by or through the department; and 22.14 (3) membership fees and tuition payments from its member school districts. 22.15 The aggregate of such borrowings under this subdivision shall never exceed 75 22.16percent of such aids, fees, and tuition payments which are receivable by the intermediate 22.17school district in the fiscal year in which the money is borrowed, as estimated and certified 22.18by the commissioner. 22.19 (b) The board of an intermediate school district may, upon receipt of a written 22.20resolution by each of its member school districts, pledge the member district's full faith 22.21and credit and unlimited taxing powers to repay each member district's pro rata share of 22.22any certificates issued or the amount paid by the state under section 126C.55, subdivision 22.232, plus interest, if the revenues specified in paragraph (a) and any other revenues of the 22.24intermediate school district are insufficient to do so. 22.25EFFECTIVE DATE.This section is effective the day following final enactment. 22.26 Sec. 29. Minnesota Statutes 2006, section 126C.53, is amended to read: 22.27126C.53 ENABLING RESOLUTION; FORM OF CERTIFICATES OF 22.28INDEBTEDNESS. 22.29 The board of a school district or intermediate school district may authorize and 22.30effect such borrowing, and may issue such certificates of indebtedness upon passage of 22.31a resolution specifying the amount and purposes for which it deems such borrowing is 22.32necessary. The resolution must be adopted by a vote of at least two-thirds of its members. 22.33The board must fix the amount, date, maturity, form, denomination, and other details of 22.34the certificates of indebtedness, not inconsistent with this chapter. The board must fix the 23.1date and place for receipt of bids for the purchase of the certificates when bids are required 23.2and direct the clerk to give notice of the date and place for bidding. 23.3EFFECTIVE DATE.This section is effective the day following final enactment. 23.4 Sec. 30. Minnesota Statutes 2006, section 126C.55, is amended to read: 23.5126C.55 STATE PAYMENT OF DEBT OBLIGATION UPON POTENTIAL 23.6DEFAULT; REPAYMENT; STATE OBLIGATION NOT DEBT. 23.7 Subdivision 1. Definitions. For the purposes of this section, the term "debt 23.8obligation" means: 23.9 (1) a tax or aid anticipation certificate of indebtedness issued under section 126C.52; 23.10 (2) a certificate of participation issued under section 126C.40, subdivision 6; or 23.11 (3) a general obligation bond. 23.12 Subd. 2. Notifications; payment; appropriation. (a) If a school district or 23.13intermediate school district believes that it may be unable to make a principal or interest 23.14payment on any outstanding debt obligation on the date that payment is due, it must 23.15notify the commissioner as soon as possible, but not less than 15 working days before the 23.16date that principal or interest payment is due. The notice must include the name of the 23.17school district or intermediate school district, an identification of the debt obligation issue 23.18in question, the date the payment is due, the amount of principal and interest due on the 23.19payment date, the amount of principal or interest that the school district or intermediate 23.20school district will be unable to repay on that date, the paying agent for the debt obligation, 23.21the wire transfer instructions to transfer funds to that paying agent, and an indication as to 23.22whether a payment is being requested by the school district or intermediate school district 23.23under this section. If a paying agent becomes aware of a potential default, it shall inform 23.24the commissioner of that fact. After receipt of a notice which requests a payment under 23.25this section, after consultation with the school district or intermediate school district and 23.26the paying agent, and after verification of the accuracy of the information provided, the 23.27commissioner shall notify the commissioner of finance of the potential default. The notice 23.28must include a final figure as to the amount due that the school district or intermediate 23.29school district will be unable to repay on the date due. 23.30 (b) Except as provided in subdivision 9, upon receipt of this notice from the 23.31commissioner, the commissioner of finance shall issue a warrant and authorize the 23.32commissioner of education to pay to the paying agent for the debt obligation the specified 23.33amount on or before the date due. The amounts needed for the purposes of this subdivision 23.34are annually appropriated to the department from the state general fund. 24.1 (c) The Departments of Education and Finance must jointly develop detailed 24.2procedures for school districts and intermediate school districts to notify the state that 24.3they have obligated themselves to be bound by the provisions of this section, procedures 24.4for school districts or intermediate school districts and paying agents to notify the state 24.5of potential defaults and to request state payment under this section, and procedures 24.6for the state to expedite payments to prevent defaults. The procedures are not subject 24.7to chapter 14. 24.8 Subd. 3. School district bound; interest rate on state paid amount. If, at the 24.9request of a school district or intermediate school district, the state has paid part or all of 24.10the principal or interest due on a district's debt obligation on a specific date, the school 24.11district or intermediate school district is bound by all provisions of this section and the 24.12amount paid shall bear taxable interest from the date paid until the date of repayment at 24.13the invested cash rate as it is certified by the commissioner of finance. Interest shall only 24.14accrue on the amounts paid and outstanding less the reduction in aid under subdivision 4 24.15and other payments received from the district. 24.16 Subd. 4. Pledge of district's full faith and credit. If, at the request of a school 24.17district or intermediate school district, the state has paid part or all of the principal or 24.18interest due on a district's debt obligation on a specific date, the pledge of the full faith 24.19and credit and unlimited taxing powers of the school district or the member districts of 24.20the intermediate district to repay the principal and interest due on those debt obligations 24.21shall also, without an election or the requirement of a further authorization, become a 24.22pledge of the full faith and credit and unlimited taxing powers of the school district or 24.23the member districts of the intermediate district to repay to the state the amount paid, 24.24with interest. Amounts paid by the state must be repaid in the order in which the state 24.25payments were made. 24.26 Subd. 4a. Aid reduction for repayment. (a) Except as provided in this subdivision, 24.27the state must reduce the state aid payable to the school district or intermediate school 24.28district under this chapter and chapters 122A, 123A, 123B, 124D, 125A, 126C, and 273 24.29by the amount paid by the state under this section on behalf of the district, plus the interest 24.30due on it, and the amount reduced must revert from the appropriate account to the state 24.31general fund. Payments from the school district endowment fund or any federal aid 24.32payments shall not be reduced. 24.33 (b) For an intermediate school district, the state aid payable to the intermediate 24.34school district must first be reduced, before any reduction is made to the state aids payable 24.35to the member districts. If the state aid payable to the intermediate school district is 25.1not sufficient to repay the state, state aid payable to member districts may be reduced 25.2proportionately based on the ratio of each member district's adjusted net tax capacity to 25.3the total adjusted net tax capacity of all member districts. 25.4 (c) If, after review of the financial situation of the school district or intermediate 25.5school district, the commissioner advises the commissioner of finance that a total reduction 25.6of aids would cause an undue hardship on or an undue disruption of the educational 25.7program of the district, the commissioner, with the approval of the commissioner of 25.8finance, may establish a different schedule for reduction of aids to repay the state. The 25.9amount of aids to be reduced is decreased by any amounts repaid to the state by the district 25.10from other revenue sources. 25.11 Subd. 6. Tax levy for repayment. (a) With the approval of the commissioner, a 25.12district may levy in the year the state makes a payment under this section an amount up to 25.13the amount necessary to provide funds for the repayment of the amount paid by the state 25.14plus interest through the date of estimated repayment by the district. The proceeds of this 25.15levy may be used only for this purpose unless they are in excess of the amount actually 25.16due, in which case the excess shall be used to repay other state payments made under this 25.17section or shall be deposited in the debt redemption fund of the school district. This levy 25.18shall be an increase in the levy limits of the district for purposes of section 275.065, 25.19subdivision 6 . The amount of aids to be reduced to repay the state shall be decreased by 25.20the amount levied. This levy by the district is not eligible for debt service equalization 25.21under section 123B.53. 25.22 (b) If the state is not repaid in full for a payment made under this section by 25.23November 30 of the calendar year following the year in which the state makes the 25.24payment, the commissioner shall require the district to certify a property tax levy in an 25.25amount up to the amount necessary to provide funds for repayment of the amount paid by 25.26the state plus interest through the date of estimated repayment by the school district. To 25.27prevent undue hardship, the commissioner may allow the district to certify the levy over a 25.28five-year period. The proceeds of the levy may be used only for this purpose unless they 25.29are in excess of the amount actually due, in which case the excess shall be used to repay 25.30other state payments made under this section or shall be deposited in the debt redemption 25.31fund of the district. This levy shall be an increase in the levy limits of the school district 25.32for purposes of section 275.065, subdivision 6. If the commissioner orders the district 25.33to levy, the amount of aids reduced to repay the state shall be decreased by the amount 25.34levied. This levy by the district is not eligible for debt service equalization under section 25.35123B.53 or any successor provision. A levy under this subdivision must be explained as a 25.36specific increase at the meeting required under section 275.065, subdivision 6. 26.1 (c) For an intermediate district, a levy made by a member district under paragraph (a) 26.2or (b) to pay its pro rata share must be spread by the commissioner as a tax rate based on 26.3the total adjusted net tax capacity of the member school districts. The proceeds of the levy 26.4must be remitted by the member school district to the intermediate school district and must 26.5be used by the intermediate district only to repay the state amounts owed. Any amount in 26.6excess of the amount owed to the state must be repaid to the member school districts and 26.7the commissioner shall adjust each member district's property tax levy in the next year. 26.8 Subd. 7. Election as to mandatory application. A school district or intermediate 26.9school district may covenant and obligate itself, prior to the issuance of an issue of debt 26.10obligations, to notify the commissioner of a potential default and to use the provisions of 26.11this section to guarantee payment of the principal and interest on those debt obligations 26.12when due. If the district obligates itself to be bound by this section, it must covenant in the 26.13resolution that authorizes the issuance of the debt obligations to deposit with the paying 26.14agent three business days prior to the date on which a payment is due an amount sufficient 26.15to make that payment or to notify the commissioner under subdivision 1 that it will be 26.16unable to make all or a portion of that payment. A district that has obligated itself must 26.17include a provision in its agreement with the paying agent for that issue that requires 26.18the paying agent to inform the commissioner if it becomes aware of a potential default 26.19in the payment of principal or interest on that issue or if, on the day two business days 26.20prior to the date a payment is due on that issue, there are insufficient funds to make the 26.21payment on deposit with the paying agent. Funds invested in a refunding escrow account 26.22established under section 475.67 that are to become available to the paying agent on a 26.23principal or interest payment date are deemed to be on deposit with the paying agent three 26.24business days before the payment date. If a district either covenants to be bound by this 26.25section or accepts state payments under this section to prevent a default of a particular 26.26issue of debt obligations, the provisions of this section shall be binding as to that issue 26.27as long as any debt obligation of that issue remain outstanding. If the provisions of this 26.28section are or become binding for more than one issue of debt obligations and a district is 26.29unable to make payments on one or more of those issues, the district must continue to 26.30make payments on the remaining issues. 26.31 Subd. 8. Mandatory plan; technical assistance. If the state makes payments on 26.32behalf of a school district or intermediate school district under this section or the district 26.33defaults in the payment of principal or interest on an outstanding debt obligation, it must 26.34submit a plan to the commissioner for approval specifying the measures it intends to 26.35implement to resolve the issues which led to its inability to make the payment and to 26.36prevent further defaults. The department must provide technical assistance to the district 27.1in preparing its plan. If the commissioner determines that a district's plan is not adequate, 27.2the commissioner shall notify the district that the plan has been disapproved, the reasons 27.3for the disapproval, and that the state shall not make future payments under this section for 27.4debt obligations issued after the date specified in that notice until its plan is approved. The 27.5commissioner may also notify the district that until its plan is approved, other aids due the 27.6district will be withheld after a date specified in the notice. 27.7 Subd. 9. State bond rating. If the commissioner of finance determines that the 27.8credit rating of the state would be adversely affected thereby, the commissioner of finance 27.9shall not issue warrants under subdivision 2 for the payment of principal or interest on any 27.10debt obligations for which a district did not, prior to their issuance, obligate itself to be 27.11bound by the provisions of this section. 27.12 Subd. 10. Continuing disclosure agreements. The commissioner of finance 27.13may enter into written agreements or contracts relating to the continuing disclosure of 27.14information needed to facilitate the ability of school districts or intermediate school 27.15districts to issue debt obligations according to federal securities laws, rules, and 27.16regulations, including securities and exchange commission rules and regulations, section 27.17240.15c2-12. Such agreements or contracts may be in any form the commissioner of 27.18finance deems reasonable and in the state's best interests. 27.19EFFECTIVE DATE.This section is effective the day following final enactment. 27.20 Sec. 31. Minnesota Statutes 2006, section 127A.45, subdivision 16, is amended to read: 27.21 Subd. 16. Payments to third parties. Notwithstanding subdivision 3, the current 27.22year aid payment percentage of the amounts under section 123A.26, subdivision 3 and 27.23section 124D.041, shall be paid in equal installments on August 30, December 30, and 27.24March 30, with a final adjustment payment on October 30 of the next fiscal year of the 27.25remaining amount. 27.26 Sec. 32. Minnesota Statutes 2007 Supplement, section 127A.49, subdivision 2, is 27.27amended to read: 27.28 Subd. 2. Abatements. Whenever by virtue of chapter 278, sections 270C.86, 27.29375.192 , or otherwise, the net tax capacity or referendum market value of any district for 27.30any taxable year is changed after the taxes for that year have been spread by the county 27.31auditor and the local tax rate as determined by the county auditor based upon the original 27.32net tax capacity is applied upon the changed net tax capacities, the county auditor shall, 27.33prior to February 1 of each year, certify to the commissioner of education the amount of 28.1any resulting net revenue loss that accrued to the district during the preceding year. Each 28.2year, the commissioner shall pay an abatement adjustment to the district in an amount 28.3calculated according to the provisions of this subdivision. This amount shall be deducted 28.4from the amount of the levy authorized by section 126C.46. The amount of the abatement 28.5adjustment must be the product of: 28.6 (1) the net revenue loss as certified by the county auditor, times 28.7 (2) the ratio of: 28.8 (i) the sum of the amounts of the district's certified levy in the third preceding year 28.9according to the following: 28.10 (A) section 123B.57, if the district received health and safety aid according to that 28.11section for the second preceding year; 28.12 (B) section 124D.20, if the district received aid for community education programs 28.13according to that section for the second preceding year; 28.14 (C) section 124D.135, subdivision 3, if the district received early childhood family 28.15education aid according to section 124D.135 for the second preceding year; 28.16 (D) section 126C.17, subdivision 6, if the district received referendum equalization 28.17aid according to that section for the second preceding year; 28.18 (E) section , if the district received general education aid according to 28.19section 126C.13, subdivision 4, paragraph (b), clause (1), of that section in the second 28.20preceding year; 28.21 (F) (E) section 126C.10, subdivision 13a, if the district received operating capital aid 28.22according to section 126C.10, subdivision 13b, in the second preceding year; 28.23 (G) (F) section 126C.10, subdivision 29, if the district received equity aid according 28.24to section 126C.10, subdivision 30, in the second preceding year; 28.25 (H) (G) section 126C.10, subdivision 32, if the district received transition aid 28.26according to section 126C.10, subdivision 33, in the second preceding year; 28.27 (I) (H) section 123B.53, subdivision 5, if the district received debt service 28.28equalization aid according to section 123B.53, subdivision 6, in the second preceding year; 28.29 (J) (I) section 124D.22, subdivision 3, if the district received school-age care aid 28.30according to section 124D.22, subdivision 4, in the second preceding year; 28.31 (K) (J) section 123B.591, subdivision 3, if the district received deferred maintenance 28.32aid according to section 123B.591, subdivision 4, in the second preceding year; and 28.33 (L) (K) section 126C.10, subdivision 35, if the district received alternative teacher 28.34compensation equalization aid according to section 126C.10, subdivision 36, paragraph 28.35(a), in the second preceding year; to 29.1 (ii) the total amount of the district's certified levy in the third preceding December, 29.2plus or minus auditor's adjustments. 29.3 Sec. 33. Minnesota Statutes 2007 Supplement, section 127A.49, subdivision 3, is 29.4amended to read: 29.5 Subd. 3. Excess tax increment. (a) If a return of excess tax increment is made to a 29.6district pursuant to sections 469.176, subdivision 2, and 469.177, subdivision 9, or upon 29.7decertification of a tax increment district, the school district's aid and levy limitations 29.8must be adjusted for the fiscal year in which the excess tax increment is paid under the 29.9provisions of this subdivision. 29.10 (b) An amount must be subtracted from the district's aid for the current fiscal year 29.11equal to the product of: 29.12 (1) the amount of the payment of excess tax increment to the district, times 29.13 (2) the ratio of: 29.14 (i) the sum of the amounts of the district's certified levy for the fiscal year in which 29.15the excess tax increment is paid according to the following: 29.16 (A) section 123B.57, if the district received health and safety aid according to that 29.17section for the second preceding year; 29.18 (B) section 124D.20, if the district received aid for community education programs 29.19according to that section for the second preceding year; 29.20 (C) section 124D.135, subdivision 3, if the district received early childhood family 29.21education aid according to section 124D.135 for the second preceding year; 29.22 (D) section 126C.17, subdivision 6, if the district received referendum equalization 29.23aid according to that section for the second preceding year; 29.24 (E) section , if the district received general education aid according to 29.25section 126C.13, subdivision 4, paragraph (b), clause (1), of that section in the second 29.26preceding year; 29.27 (F) (E) section 126C.10, subdivision 13a, if the district received operating capital aid 29.28according to section 126C.10, subdivision 13b, in the second preceding year; 29.29 (G) (F) section 126C.10, subdivision 29, if the district received equity aid according 29.30to section 126C.10, subdivision 30, in the second preceding year; 29.31 (H) (G) section 126C.10, subdivision 32, if the district received transition aid 29.32according to section 126C.10, subdivision 33, in the second preceding year; 29.33 (I) (H) section 123B.53, subdivision 5, if the district received debt service 29.34equalization aid according to section 123B.53, subdivision 6, in the second preceding year; 30.1 (J) (I) section 124D.22, subdivision 3, if the district received school-age care aid 30.2according to section 124D.22, subdivision 4, in the second preceding year; 30.3 (K) (J) section 123B.591, subdivision 3, if the district received deferred maintenance 30.4aid according to section 123B.591, subdivision 4, in the second preceding year; and 30.5 (L) (K) section 126C.10, subdivision 35, if the district received alternative teacher 30.6compensation equalization aid according to section 126C.10, subdivision 36, paragraph 30.7(a), in the second preceding year; to 30.8 (ii) the total amount of the district's certified levy for the fiscal year, plus or minus 30.9auditor's adjustments. 30.10 (c) An amount must be subtracted from the school district's levy limitation for the 30.11next levy certified equal to the difference between: 30.12 (1) the amount of the distribution of excess increment; and 30.13 (2) the amount subtracted from aid pursuant to clause (a). 30.14 If the aid and levy reductions required by this subdivision cannot be made to the aid 30.15for the fiscal year specified or to the levy specified, the reductions must be made from 30.16aid for subsequent fiscal years, and from subsequent levies. The school district must use 30.17the payment of excess tax increment to replace the aid and levy revenue reduced under 30.18this subdivision. 30.19 (d) This subdivision applies only to the total amount of excess increments received 30.20by a district for a calendar year that exceeds $25,000. 30.21 Sec. 34. Laws 2007, chapter 146, article 2, section 46, subdivision 13, is amended to 30.22read: 30.23 Subd. 13. Preadvanced placement, advanced placement, international 30.24baccalaureate, and concurrent enrollment programs. For preadvanced placement, 30.25advanced placement, international baccalaureate, and concurrent enrollment programs 30.26under Minnesota Statutes, sections 120B.132 and 124D.091: 30.27 $ 6,500,000 ..... 2008 30.28 $ 6,500,000 ..... 2009

30.29 Of this amount, $2,500,000 each year is for concurrent enrollment program aid 30.30under Minnesota Statutes, section 124D.091. If the appropriation is insufficient, the 30.31commissioner must proportionately reduce the aid payment to each district. Any balance 30.32in the first year does not cancel but is available in the second year. 30.33 The base appropriation for fiscal year 2010 and later is $2,000,000. 30.34EFFECTIVE DATE.This section is effective the day following final enactment. 31.1 Sec. 35. Laws 2007, chapter 146, article 2, section 46, subdivision 14, is amended to 31.2read: 31.3 Subd. 14. Collaborative urban educator. For the collaborative urban educator 31.4grants under Minnesota Statutes, section program: 31.5 $ 528,000 ..... 2008 31.6 $ 528,000 ..... 2009

31.7 $210,000 each year is for the Southeast Asian teacher program at Concordia 31.8University, St. Paul; $159,000 each year is for the collaborative urban educator program at 31.9the University of St. Thomas; and $159,000 each year is for the Center for Excellence in 31.10Urban Teaching at Hamline University. Grant recipients must collaborate with urban and 31.11nonurban school districts. 31.12 Any balance in the first year does not cancel but is available in the second year. 31.13 Sec. 36. Laws 2007, chapter 146, article 2, section 46, subdivision 20, is amended to 31.14read: 31.15 Subd. 20. College-level examination program (CLEP). For the college-level 31.16examination program (CLEP) under Minnesota Statutes, section 120B.131: 31.17 31.18 $ 1,650,000 850,000 ..... 2008 31.19 31.20 $ 1,650,000 500,000 ..... 2009

31.21 Any balance in the first year does not cancel but is available in the second year. 31.22This is a onetime appropriation. 31.23EFFECTIVE DATE.This section is effective the day following final enactment. 31.24 Sec. 37. Laws 2007, chapter 146, article 3, section 23, subdivision 2, is amended to 31.25read: 31.26 Subd. 2. Report. (a) The task force must submit to the education policy and finance 31.27committees of the legislature by February 15, 2008 2009, a report that identifies and 31.28clearly and concisely explains each provision in state law or rule that exceeds or expands 31.29upon a minimum federal requirement contained in law or regulation for providing special 31.30education programs and services to eligible students. The report also must recommend 31.31which state provisions statutes and rules that exceed or expand upon a minimum federal 31.32requirement may be amended to conform with minimum federal requirements or made 32.1more effective as determined by a majority of the task force members. The task force must 32.2recommend rules governing the use of aversive and deprivation procedures by school 32.3district employees or persons under contract with a school district. The task force expires 32.4when it submits its report to the legislature. 32.5 (b) Consistent with subdivision 1, the Department of Education member of the 32.6task force representing regulators shall be replaced with a parent advocate selected by a 32.7statewide organization that advocates on behalf of families with children with disabilities. 32.8 (c) The Department of Education must provide technical assistance at the request of 32.9the task force. 32.10EFFECTIVE DATE.This section is effective the day following final enactment. 32.11 Sec. 38. Laws 2007, chapter 146, article 3, section 24, subdivision 9, is amended to 32.12read: 32.13 Subd. 9. Special Education Task Force. For the task force to compare federal 32.14and state special education requirements: 32.15 $ 20,000 40,000 ..... 2008

32.16 Any balance in the first year does not cancel but is available in the second year. 32.17 This is a onetime appropriation. 32.18EFFECTIVE DATE.This section is effective the day following final enactment. 32.19 Sec. 39. Laws 2007, chapter 146, article 5, section 11, subdivision 1, is amended to 32.20read: 32.21 Subdivision 1. Fiscal year 2007 replacement aid. Independent School District No. 32.222899, Plainview-Elgin-Millville, is eligible for replacement aid revenue to offset its excess 32.23fund balance penalty for fiscal year 2007. The aid adjustment must be made under Laws 32.242007, chapter 146, article 5, section 13, subdivision 5. The levy adjustment of $6,600 32.25must be included as part of the district's property taxes for taxes payable in 2009. 32.26EFFECTIVE DATE.This section is effective the day following final enactment. 32.27 Sec. 40. Laws 2007, chapter 146, article 5, section 13, subdivision 3, is amended to 32.28read: 32.29 Subd. 3. Traditional school breakfast; kindergarten milk. For traditional school 32.30breakfast aid and kindergarten milk under Minnesota Statutes, sections 124D.1158 and 32.31124D.118 : 33.1 33.2 $ 5,460,000 5,583,000 ..... 2008 33.3 33.4 $ 5,695,000 6,396,000 ..... 2009

33.5EFFECTIVE DATE.This section is effective the day following final enactment. 33.6 Sec. 41. Laws 2007, chapter 146, article 7, section 4, is amended to read: 33.7 Sec. 4. APPROPRIATIONS; DEPARTMENT OF EDUCATION. 33.8 Subdivision 1. Department of Education. Unless otherwise indicated, the sums 33.9indicated in this section are appropriated from the general fund to the Department of 33.10Education for the fiscal years designated. 33.11 Subd. 2. Department. (a) For the Department of Education: 33.12 $ 22,169,000 ..... 2008 33.13 33.14 $ 22,653,000 21,811,000 ..... 2009

33.15 Any balance in the first year does not cancel but is available in the second year. 33.16 (b) $7,000 in fiscal year 2008 is for GRAD test rulemaking. 33.17 (c) $7,000 in fiscal year 2008 is for rulemaking under section 3. 33.18 (d) $40,000 each year is for an early hearing loss intervention coordinator under 33.19Minnesota Statutes, section 125A.63, subdivision 5. If the department expends federal 33.20funds to employ a hearing loss coordinator under Minnesota Statutes, section 125.63, 33.21subdivision 5 , then the appropriation under this paragraph is reallocated for purposes of 33.22employing a world languages coordinator. 33.23 (e) $260,000 each year is for the Minnesota Children's Museum. 33.24 (f) $41,000 each year is for the Minnesota Academy of Science. 33.25 (g) $619,000 in fiscal year 2008 and $632,000 in fiscal year 2009 are for the Board 33.26of Teaching. 33.27 (h) $163,000 in fiscal year 2008 and $171,000 in fiscal year 2009 are for the Board 33.28of School Administrators. 33.29 (i) $50,000 each year is for the Duluth Children's Museum. 33.30 (j) The expenditures of federal grants and aids as shown in the biennial budget 33.31document and its supplements are approved and appropriated and shall be spent as 33.32indicated. 34.1 (k) None of the amounts appropriated under this subdivision may be used for 34.2Minnesota's Washington, D.C., office. 34.3 (1) $50,000 in fiscal year 2009 is for an advisory task force for determining how 34.4the educational achievement of low-income students and students of color is impacted by 34.5education issues related to rigorous preparation and coursework, educators' professional 34.6development, English language learners, special education, GRAD tests, and the use of 34.7valid and reliable data on student preparation for postsecondary academic and career 34.8opportunities. This amount is not added to the base appropriation for fiscal year 2010 and 34.9later. The department shall not expend any funds unless a match of an equal amount of 34.10nonstate funds has been received for this purpose. 34.11 (m) The base for fiscal year 2010 and later is $21,761,000. 34.12 Sec. 42. Laws 2007, chapter 146, article 9, section 17, subdivision 4, is amended to 34.13read: 34.14 Subd. 4. Health and developmental screening aid. For health and developmental 34.15screening aid under Minnesota Statutes, sections 121A.17 and 121A.19: 34.16 34.17 $ 3,159,000 2,624,000 ..... 2008 34.18 34.19 $ 3,330,000 3,592,000 ..... 2009

34.20 The 2008 appropriation includes $288,000 for 2007 and $2,871,000 $2,336,000 34.21for 2008. 34.22 The 2009 appropriation includes $319,000 $259,000 for 2008 and $3,011,000 34.23$3,333,000 for 2009. 34.24EFFECTIVE DATE.This section is effective the day following final enactment. 34.25 Sec. 43. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 34.261, is amended to read: 34.27 Subdivision 1. Total Appropriation$ 584,000 148,000

34.28The appropriations in this section are from 34.29the general fund. The amounts that may be 34.30spent for each purpose are specified in the 34.31following subdivisions. 35.1 Sec. 44. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 35.22, is amended to read: 35.3 35.4 Subd. 2. Independent School District No. 239, Rushford-Peterson

35.5 (a) Flood Enrollment Impact Aid 89,000

35.6The commissioner of education shall pay to 35.7the school district flood enrollment impact 35.8aid equal to $5,394 times the number of 35.9pupils lost as a result of the floods of August 35.102007. The district must provide to the 35.11commissioner of education documentation 35.12of the number of pupils in average daily 35.13membership lost as a result of the flood. 35.14 (b) Disaster Relief Facilities Grant 250,000

35.15For facilities cleanup, repair, and replacement 35.16costs related to the floods of August 2007 not 35.17covered by the district's insurance settlement 35.18or through Federal Emergency Management 35.19Agency payments. The commissioner of 35.20education may request the school district 35.21to provide necessary information before 35.22awarding a grant. 35.23 (c) Pupil Transportation Aid 40,000

35.24For increased costs associated with 35.25transporting students as a result of the floods 35.26of August 2007. 35.27 Sec. 45. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 35.286, is amended to read: 35.29 35.30 Subd. 6. Disaster Relief Facilities Grants to Other Districts 90,00014,000

36.1For facilities cleanup, repair, and replacement 36.2costs related to the floods of August 2007 not 36.3covered by the district's insurance settlement 36.4or through Federal Emergency Management 36.5Agency payments. The commissioner of 36.6education may request the school district 36.7to provide necessary information before 36.8awarding a grant. School districts not 36.9included in subdivisions 2 to 5 must be given 36.10priority in the allocation of this appropriation. 36.11 Sec. 46. FUND TRANSFERS. 36.12 Subdivision 1. Capital account transfers. Notwithstanding any law to the contrary, 36.13on June 30, 2008, a school district may transfer money from its reserved for operating 36.14capital account to its undesignated balance in the general fund. The amount transferred 36.15by any school district must not exceed $51 times the district's adjusted marginal cost 36.16pupil units for fiscal year 2007. This transfer may occur only after the school board has 36.17adopted a written resolution stating the amount of the transfer and declaring that the 36.18school district's operating capital needs are being met. 36.19 Subd. 2. Balaton school district. Notwithstanding Minnesota Statutes, section 36.20123B.79 or 123B.80, or subdivision 1, on June 30, 2008, Independent School District No. 36.21411, Balaton, may transfer up to $70,000 from its reserved for operating capital account 36.22to its undesignated general fund balance. 36.23 Subd. 3. East Central school district. Notwithstanding Minnesota Statutes, section 36.24123B.79 or 123B.80, or subdivision 1, on June 30, 2008, Independent School District No. 36.252580, East Central, may transfer up to $300,000 from its reserved for operating capital 36.26account to its undesignated general fund balance. 36.27 Subd. 4. Hills-Beaver Creek school district. (a) Notwithstanding Minnesota 36.28Statutes, section 123B.79 or 123B.80, on June 30, 2008, Independent School District No. 36.29671, Hills-Beaver Creek, may transfer up to $260,000 from its reserved for disabled 36.30accessibility account to its undesignated general fund balance without making a levy 36.31reduction. 36.32 (b) Notwithstanding Minnesota Statutes, section 123B.79 or 123B.80, on June 36.3330, 2008, Independent School District No. 671, Hills-Beaver Creek, may transfer up to 37.1$100,000 from its reserved for operating capital account to its undesignated general fund 37.2balance without making a levy reduction. 37.3 Subd. 5. Rocori school district. Notwithstanding Minnesota Statutes, section 37.4123B.79 or 123B.80, on June 30, 2008, Independent School District No. 750, Rocori, 37.5may transfer up to $82,000 from its reserved for disabled accessibility account to its 37.6undesignated general fund balance without making a levy reduction. 37.7EFFECTIVE DATE.This section is effective the day following final enactment. 37.8 Sec. 47. ONETIME GENERAL EDUCATION REVENUE INCREASE; FISCAL 37.9YEAR 2009 ONLY. 37.10 A school district's general education revenue under Minnesota Statutes, section 37.11126C.10, is increased for fiscal year 2009 only by an amount equal to $51 times the 37.12district's adjusted marginal cost pupil units for that year. 37.13 Sec. 48. PRIORITY FOR NEW ALTERNATIVE COMPENSATION SCHOOL 37.14DISTRICTS AND CHARTER SCHOOLS, FISCAL YEARS 2009 TO 2010. 37.15 (a) Notwithstanding Minnesota Statutes, sections 122A.413; 122A.414; 122A.415; 37.16122A.416; and 126C.10, subdivisions 34, 35, and 36, for fiscal years 2009 and 2010 only, 37.17for school sites, school districts, or charter schools that had not applied as of March 20, 37.182008, to participate in the alternative teacher pay program, the Department of Education 37.19must authorize alternative compensation funding for applicants according to paragraphs 37.20(b) and (c). 37.21 (b) For fiscal year 2009, the Department of Education shall qualify eligible school 37.22sites, school districts, and charter schools for alternative compensation revenue in the 37.23order of receipt of applications received after March 20, 2008, provided that the total 37.24alternative compensation aid entitlement authorized under this paragraph does not exceed 37.25$11,397,000. 37.26 (c) In addition to the amounts authorized in paragraph (b), for fiscal year 2010, the 37.27Department of Education shall qualify eligible school sites, school districts, and charter 37.28schools for alternative compensation revenue in the order of receipt of applications 37.29received after March 20, 2008, provided that the total alternative compensation aid 37.30entitlement authorized under this paragraph does not exceed $2,899,000. 37.31 Sec. 49. VIRGINIA SCHOOL DISTRICT; EMERGENCY REPAIRS. 37.32 Independent School District No. 701, Virginia, may levy up to $100,000 for 37.33emergency facilities repairs. This authority is in addition to any other levy authority 38.1granted to the district. The levy proceeds received under this section must be recognized 38.2in fiscal year 2009. 38.3EFFECTIVE DATE.This section is effective for taxes payable in 2009 only. 38.4 Sec. 50. EQUALIZING FACTORS. 38.5 The commissioner shall adjust each referendum market value equalizing factor 38.6established under Minnesota Statutes, chapter 126C, by dividing the equalizing factor by 38.7the ratio of the statewide referendum market value as calculated using the definition 38.8of referendum market value that was in effect prior to the 2008 legislative session for 38.9assessment year 2008 to the statewide referendum market value that is in effect after the 38.102008 legislative session for that assessment year. 38.11EFFECTIVE DATE.This section is effective for taxes levied in 2009, payable 38.12in 2010, and thereafter. 38.13 Sec. 51. APPROPRIATIONS. 38.14 Subdivision 1. Department of Education. The sums indicated in this section are 38.15appropriated from the general fund, unless otherwise indicated, to the Department of 38.16Education for the fiscal years designated. 38.17 Subd. 2. Additional general education revenue. For additional general education 38.18aid: 38.19 $26,804,000.....2009

38.20 This appropriation is in addition to any other appropriation for this purpose. 38.21 This 2009 appropriation includes $0 for 2008 and $26,804,000 for 2009. 38.22 Subd. 3. Independent School District No. 239, Rushford-Peterson. For school 38.23district flood enrollment impact aid as a result of the floods of August 2007. 38.24 $158,000.....2009

38.25 The base appropriation for fiscal year 2010 is $158,000. The base appropriation for 38.26later years is zero. 38.27 The district must provide to the commissioner of education documentation of 38.28the additional pupil transportation costs and the number of pupils in average daily 38.29membership lost as a result of the flood. 38.30 Up to $40,000 is for increased costs associated with transporting students as a result 38.31of the floods of August 2007. 39.1 Subd. 4. Lancaster. For a grant to Independent School District No. 356, Lancaster, 39.2to replace the loss of sparsity revenue: 39.3 $100,000.....2009

39.4 The base appropriation for fiscal years 2010 and 2011 is $100,000 per year. The 39.5base appropriation for later fiscal years is zero. 39.6 Subd. 5. Principal's Leadership Institute. For a grant to the Principal's Leadership 39.7Institute under Minnesota Statutes, section 122A.74: 39.8 $275,000.....2009

39.9 This is a onetime appropriation. 39.10 Subd. 6. Board of Teaching; licensure by portfolio. For the Board of Teaching 39.11for licensure by portfolio: 39.12 $17,000.....2009

39.13 This appropriation is from the educator licensure portfolio account of the special 39.14revenue fund. 39.15 Subd. 7. Minnesota Humanities Commission. For a grant to the Minnesota 39.16Humanities Commission. 39.17 $275,000.....2009

39.18 This is a onetime appropriation. 39.19 Sec. 52. REPEALER. 39.20(a) Minnesota Statutes 2006, section 126C.21, subdivision 1, is repealed for revenue 39.21for fiscal year 2010 and later. 39.22(b) Minnesota Statutes 2006, section 127A.45, subdivision 7a, is repealed. 39.23(c) Laws 2007, First Special Session chapter 2, article 1, section 11, subdivisions 3, 39.24and 4, are repealed. 39.25ARTICLE 3 39.26EDUCATION FORECAST ADJUSTMENTS 39.27 Section 1. Laws 2007, chapter 146, article 1, section 24, subdivision 2, is amended to 39.28read: 39.29 Subd. 2. General education aid. For general education aid under Minnesota 39.30Statutes, section 126C.13, subdivision 4: 40.1 40.2 $ 5,618,342,000 5,600,647,000 ..... 2008 40.3 40.4 $ 5,618,342,000 5,649,098,000 ..... 2009

40.5 The 2008 appropriation includes $531,733,000 $536,251,000 for 2007 and 40.6$5,073,250,000 $5,064,396,000 for 2008. 40.7 The 2009 appropriation includes $546,314,000 $543,752,000 for 2008 and 40.8$5,072,028,000 $5,105,346,000 for 2009. 40.9 Sec. 2. Laws 2007, chapter 146, article 1, section 24, subdivision 3, is amended to read: 40.10 Subd. 3. Referendum tax base replacement aid. For referendum tax base 40.11replacement aid under Minnesota Statutes, section 126C.17, subdivision 7a: 40.12 $ 870,000861,000 ..... 2008

40.13 The 2008 appropriation includes $870,000 $861,000 for 2007 and $0 for 2008. 40.14 Sec. 3. Laws 2007, chapter 146, article 1, section 24, subdivision 4, is amended to read: 40.15 Subd. 4. Enrollment options transportation. For transportation of pupils attending 40.16postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation 40.17of pupils attending nonresident districts under Minnesota Statutes, section 124D.03: 40.18 $ 95,00048,000 ..... 2008 40.19 $ 97,00050,000 ..... 2009

40.20 Sec. 4. Laws 2007, chapter 146, article 1, section 24, subdivision 5, is amended to read: 40.21 Subd. 5. Abatement revenue. For abatement aid under Minnesota Statutes, section 40.22127A.49 : 40.23 40.24 $ 1,343,000 1,333,000 ..... 2008 40.25 40.26 $ 1,347,000 1,629,000 ..... 2009

40.27 The 2008 appropriation includes $76,000 for 2007 and $1,267,000 $1,257,000 40.28for 2008. 41.1 The 2009 appropriation includes $140,000 $139,000 for 2008 and $1,207,000 41.2$1,490,000 for 2009. 41.3 Sec. 5. Laws 2007, chapter 146, article 1, section 24, subdivision 6, is amended to read: 41.4 Subd. 6. Consolidation transition. For districts consolidating under Minnesota 41.5Statutes, section 123A.485: 41.6 $ 565,000240,000 ..... 2008 41.7 $ 212,000339,000 ..... 2009

41.8 The 2008 appropriation includes $43,000 for 2007 and $522,000 $197,000 for 2008. 41.9 The 2009 appropriation includes $57,000 $21,000 for 2008 and $155,000 $318,000 41.10for 2009. 41.11 Sec. 6. Laws 2007, chapter 146, article 1, section 24, subdivision 7, is amended to read: 41.12 Subd. 7. Nonpublic pupil education aid. For nonpublic pupil education aid under 41.13Minnesota Statutes, sections 123B.40 to 123B.43, and 123B.87: 41.14 41.15 $ 16,290,000 15,601,000 ..... 2008 41.16 41.17 $ 16,620,000 16,608,000 ..... 2009

41.18 The 2008 appropriation includes $1,606,000 $1,214,000 for 2007 and $14,684,000 41.19$14,387,000 for 2008. 41.20 The 2009 appropriation includes $1,631,000 $1,598,000 for 2008 and $14,989,000 41.21$15,010,000 for 2009. 41.22 Sec. 7. Laws 2007, chapter 146, article 1, section 24, subdivision 8, is amended to read: 41.23 Subd. 8. Nonpublic pupil transportation. For nonpublic pupil transportation aid 41.24under Minnesota Statutes, section 123B.92, subdivision 9: 41.25 41.26 $ 21,551,000 20,755,000 ..... 2008 41.27 41.28 $ 21,392,000 21,007,000 ..... 2009

41.29 The 2008 appropriation includes $2,124,000 for 2007 and $19,427,000 $18,631,000 41.30for 2008. 42.1 The 2009 appropriation includes $2,158,000 $2,070,000 for 2008 and $19,234,000 42.2$18,937,000 for 2009. 42.3B. EDUCATION EXCELLENCE 42.4 Sec. 8. Laws 2007, chapter 146, article 2, section 46, subdivision 2, is amended to read: 42.5 Subd. 2. Charter school building lease aid. For building lease aid under Minnesota 42.6Statutes, section 124D.11, subdivision 4: 42.7 42.8 $ 31,875,000 32,817,000 ..... 2008 42.9 42.10 $ 36,193,000 37,527,000 ..... 2009

42.11 The 2008 appropriation includes $2,814,000 for 2007 and $29,061,000 $30,003,000 42.12for 2008. 42.13 The 2009 appropriation includes $3,229,000 $3,333,000 for 2008 and $32,964,000 42.14$34,194,000 for 2009. 42.15 Sec. 9. Laws 2007, chapter 146, article 2, section 46, subdivision 3, is amended to read: 42.16 Subd. 3. Charter school startup cost aid. For charter school startup cost aid 42.17under Minnesota Statutes, section 124D.11: 42.18 42.19 $ 1,896,000 1,801,000 ..... 2008 42.20 42.21 $ 2,161,000 1,987,000 ..... 2009

42.22 The 2008 appropriation includes $241,000 $239,000 for 2007 and $1,655,000 42.23$1,562,000 for 2008. 42.24 The 2009 appropriation includes $183,000 $173,000 for 2008 and $1,978,000 42.25$1,814,000 for 2009. 42.26 Sec. 10. Laws 2007, chapter 146, article 2, section 46, subdivision 4, is amended to 42.27read: 42.28 Subd. 4. Integration aid. For integration aid under Minnesota Statutes, section 42.29124D.86, subdivision 5 : 43.1 43.2 $ 61,769,000 59,036,000 ..... 2008 43.3 43.4 $ 61,000,000 62,448,000 ..... 2009

43.5 The 2008 appropriation includes $5,824,000 for 2007 and $55,945,000 $53,212,000 43.6for 2008. 43.7 The 2009 appropriation includes $6,216,000 $5,912,000 for 2008 and $54,784,000 43.8$56,536,000 for 2009. 43.9 Sec. 11. Laws 2007, chapter 146, article 2, section 46, subdivision 6, is amended to 43.10read: 43.11 Subd. 6. Interdistrict desegregation or integration transportation grants. For 43.12interdistrict desegregation or integration transportation grants under Minnesota Statutes, 43.13section 124D.87: 43.14 43.15 $ 9,639,000 9,901,000 ..... 2008 43.16 43.17 $ 11,567,000 11,881,000 ..... 2009

43.18 Sec. 12. Laws 2007, chapter 146, article 2, section 46, subdivision 9, is amended to 43.19read: 43.20 Subd. 9. Tribal contract schools. For tribal contract school aid under Minnesota 43.21Statutes, section 124D.83: 43.22 43.23 $ 2,238,000 2,207,000 ..... 2008 43.24 43.25 $ 2,422,000 2,392,000 ..... 2009

43.26 The 2008 appropriation includes $204,000 for 2007 and $2,034,000 $2,003,000 43.27for 2008. 43.28 The 2009 appropriation includes $226,000 $222,000 for 2008 and $2,196,000 43.29$2,170,000 for 2009. 43.30C. SPECIAL PROGRAMS 44.1 Sec. 13. Laws 2007, chapter 146, article 3, section 24, subdivision 3, is amended to 44.2read: 44.3 Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes, 44.4section 125A.75, subdivision 3, for children with disabilities placed in residential facilities 44.5within the district boundaries for whom no district of residence can be determined: 44.6 44.7 $ 1,538,000 2,086,000 ..... 2008 44.8 44.9 $ 1,729,000 2,282,000 ..... 2009

44.10 If the appropriation for either year is insufficient, the appropriation for the other 44.11year is available. 44.12 Sec. 14. Laws 2007, chapter 146, article 3, section 24, subdivision 4, is amended to 44.13read: 44.14 Subd. 4. Travel for home-based services. For aid for teacher travel for home-based 44.15services under Minnesota Statutes, section 125A.75, subdivision 1: 44.16 $ 254,000207,000 ..... 2008 44.17 $ 284,000227,000 ..... 2009

44.18 The 2008 appropriation includes $22,000 for 2007 and $232,000 $185,000 for 2008. 44.19 The 2009 appropriation includes $25,000 $20,000 for 2008 and $259,000 $207,000 44.20for 2009. 44.21D. FACILITIES AND TECHNOLOGY 44.22 Sec. 15. Laws 2007, chapter 146, article 4, section 16, subdivision 2, is amended to 44.23read: 44.24 Subd. 2. Health and safety revenue. For health and safety aid according to 44.25Minnesota Statutes, section 123B.57, subdivision 5: 44.26 $ 190,000254,000 ..... 2008 44.27 $ 179,000103,000 ..... 2009

44.28 The 2008 appropriation includes $20,000 for 2007 and $170,000 $234,000 for 2008. 44.29 The 2009 appropriation includes $18,000 $26,000 for 2008 and $161,000 $77,000 44.30for 2009. 45.1 Sec. 16. Laws 2007, chapter 146, article 4, section 16, subdivision 3, is amended to 45.2read: 45.3 Subd. 3. Debt service equalization. For debt service aid according to Minnesota 45.4Statutes, section 123B.53, subdivision 6: 45.5 45.6 $ 14,813,000 14,814,000 ..... 2008 45.7 45.8 $ 11,124,000 9,109,000 ..... 2009

45.9 The 2008 appropriation includes $1,767,000 $1,766,000 for 2007 and $13,046,000 45.10$13,048,000 for 2008. 45.11 The 2009 appropriation includes $1,450,000 $1,449,000 for 2008 and $9,674,000 45.12$7,660,000 for 2009. 45.13 Sec. 17. Laws 2007, chapter 146, article 4, section 16, subdivision 6, is amended to 45.14read: 45.15 Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to 45.16Minnesota Statutes, section 123B.591, subdivision 4: 45.17 45.18 $ 3,290,000 3,232,000 ..... 2008 45.19 45.20 $ 2,667,000 2,627,000 ..... 2009

45.21 The 2008 appropriation includes $0 for 2007 and $3,290,000 $3,232,000 for 2008. 45.22 The 2009 appropriation includes $365,000 $359,000 for 2008 and $2,302,000 45.23$2,268,000 for 2009. 45.24 Sec. 18. Laws 2007, chapter 146, article 4, section 16, subdivision 8, is amended to 45.25read: 45.26 Subd. 8. School technology and operating capital aid grants. For school 45.27technology and operating capital grants under section 11: 45.28 45.29 $ 38,145,000 38,236,000 ..... 2008 45.30 45.31 $ 52,676,000 52,454,000 ..... 2009

46.1 This is a onetime appropriation. 46.2E. NUTRITION AND ACCOUNTING 46.3 Sec. 19. Laws 2007, chapter 146, article 5, section 13, subdivision 2, is amended to 46.4read: 46.5 Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes, 46.6section 124D.111, and Code of Federal Regulations, title 7, section 210.17: 46.7 46.8 $ 12,022,000 12,094,000 ..... 2008 46.9 46.10 $ 12,166,000 12,394,000 ..... 2009

46.11 Sec. 20. Laws 2007, chapter 146, article 5, section 13, subdivision 4, is amended to 46.12read: 46.13 Subd. 4. Summer food service replacement aid. For summer food service 46.14replacement aid under Minnesota Statutes, section 124D.119: 46.15 $ 150,000127,000 ..... 2008 46.16 $ 150,000 ..... 2009

46.17F. EARLY CHILDHOOD AND ADULT PROGRAMS 46.18 Sec. 21. Laws 2007, chapter 146, article 9, section 17, subdivision 2, is amended to 46.19read: 46.20 Subd. 2. Early childhood family education aid. For early childhood family 46.21education aid under Minnesota Statutes, section 124D.135: 46.22 46.23 $ 21,106,000 21,092,000 ..... 2008 46.24 46.25 $ 29,601,000 29,324,000 ..... 2009

46.26 The 2008 appropriation includes $1,796,000 for 2007 and $19,310,000 $19,296,000 46.27for 2008. 46.28 The 2009 appropriation includes $2,145,000 $2,144,000 for 2008 and $27,456,000 46.29$27,180,000 for 2009. 47.1 Sec. 22. Laws 2007, chapter 146, article 9, section 17, subdivision 3, is amended to 47.2read: 47.3 Subd. 3. School readiness. For revenue for school readiness programs under 47.4Minnesota Statutes, sections 124D.15 and 124D.16: 47.5 47.6 $ 9,995,000 9,987,000 ..... 2008 47.7 $ 10,095,000 ..... 2009

47.8 The 2008 appropriation includes $909,000 $901,000 for 2007 and $9,086,000 for 47.92008. 47.10 The 2009 appropriation includes $1,009,000 for 2008 and $9,086,000 for 2009. 47.11 Sec. 23. Laws 2007, chapter 146, article 9, section 17, subdivision 8, is amended to 47.12read: 47.13 Subd. 8. Community education aid. For community education aid under 47.14Minnesota Statutes, section 124D.20: 47.15 47.16 $ 1,307,000 1,299,000 ..... 2008 47.17 $ 816,000796,000 ..... 2009

47.18 The 2008 appropriation includes $195,000 for 2007 and $1,112,000 $1,104,000 47.19for 2008. 47.20 The 2009 appropriation includes $123,000 $122,000 for 2008 and $693,000 47.21$674,000 for 2009. 47.22 Sec. 24. Laws 2007, chapter 146, article 9, section 17, subdivision 9, is amended to 47.23read: 47.24 Subd. 9. Adults with disabilities program aid. For adults with disabilities 47.25programs under Minnesota Statutes, section 124D.56: 47.26 $ 710,000709,000 ..... 2008 47.27 $ 710,000 ..... 2009

47.28 The 2008 appropriation includes $71,000 $70,000 for 2007 and $639,000 for 2008. 47.29 The 2009 appropriation includes $71,000 for 2008 and $639,000 for 2009. 48.1 School districts operating existing adults with disabilities programs that are not fully 48.2funded shall receive full funding for the program beginning in fiscal year 2008 before the 48.3commissioner awards grants to other districts. 48.4 Sec. 25. Laws 2007, chapter 146, article 9, section 17, subdivision 13, is amended to 48.5read: 48.6 Subd. 13. Adult basic education aid. For adult basic education aid under 48.7Minnesota Statutes, section 124D.531: 48.8 48.9 $ 40,347,000 40,344,000 ..... 2008 48.10 48.11 $ 41,745,000 41,712,000 ..... 2009

48.12 The 2008 appropriation includes $3,759,000 for 2007 and $36,588,000 $36,585,000 48.13for 2008. 48.14 The 2009 appropriation includes $4,065,000 for 2008 and $37,680,000 $37,647,000 48.15for 2009. 48.16ARTICLE 4 48.17HIGHER EDUCATION 48.18 Section 1. SUMMARY OF APPROPRIATIONS.

48.19 The amounts shown in this section summarize direct appropriations from the general 48.20fund made in this article. 48.21 20082009Total 48.22 48.23 Minnesota Office of Higher Education$-0-$(1,381,000)$(1,381,000) 48.24 48.25 48.26 Board of Trustees of the Minnesota State Colleges and Universities(1,000,000)(6,880,000)(7,880,000) 48.27 48.28 Board of Regents of the University of Minnesota(6,150,000)(6,150,000)(12,300,000) 48.29 Total$(7,150,000)$(14,411,000)$(21,561,000)

48.30 Sec. 2. APPROPRIATIONS.

49.1 The sums shown in the columns marked "Appropriations" are added to or, if shown 49.2in parentheses, subtracted from the appropriations in Laws 2007, chapter 144, article 1, to 49.3the agencies and for the purposes specified in this article. The appropriations are from the 49.4general fund, or another named fund, and are available for the fiscal years indicated for 49.5each purpose. The figures "2008" and "2009" used in this article mean that the addition to 49.6or subtraction from the appropriations listed under them are available for the fiscal year 49.7ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 49.8reductions to appropriations for the fiscal year ending June 30, 2008, are effective the day 49.9following final enactment. "The first year" is fiscal year 2008. "The second year" is fiscal 49.10year 2009. "The biennium" is fiscal years 2008 and 2009. 49.11 APPROPRIATIONS 49.12 Available for the Year 49.13 Ending June 30 49.14 20082009

49.15 49.16 Sec. 3. MINNESOTA OFFICE OF HIGHER EDUCATION

49.17 Subdivision 1.Total Appropriation$-0-$(1,381,000)

49.18The amounts that must be reduced for 49.19each purpose are specified in the following 49.20subdivisions. 49.21 Subd. 2.Interstate Tuition Reciprocity-0-(250,000)

49.22 Subd. 3.Minnesota College Savings Plan-0-(1,020,000)

49.23The budget base for the Minnesota college 49.24savings plan for fiscal year 2010 is 49.25$1,020,000. 49.26 Subd. 4.Agency Administration-0-(111,000)

49.27 Subd. 5.Cancellation

49.28By June 30, 2009, the commissioner of 49.29finance shall cancel to the general fund 49.30$90,000 of the appropriation in Laws 2005, 49.31chapter 107, article 1, section 2, subdivision 50.112, to upgrade computer program application 50.2software related to state grant awards. 50.3 Subd. 6.Transfers In

50.4The commissioner of finance must transfer 50.5$18,000 to the general fund from the 50.6technology carryforward account in the 50.7special revenue fund by June 30, 2008. 50.8The commissioner of finance must transfer 50.9$100,000 to the general fund from the private 50.10institutions regulation accounts in the special 50.11revenue fund by June 30, 2009. 50.12 50.13 50.14 Sec. 4. BOARD OF TRUSTEES OF THE MINNESOTA STATE COLLEGES AND UNIVERSITIES

50.15 Subdivision 1.Total Appropriation$(1,000,000)$(6,880,000)

50.16The amounts that must be reduced or 50.17added for each purpose are specified in the 50.18following subdivisions. 50.19 Subd. 2.General Reduction(1,000,000)(7,600,000)

50.20Of this reduction, $5,000,000 is from 50.21the appropriations for technology and 50.22$1,000,000 is from the central reserves. 50.23The remainder is from the Office of the 50.24Chancellor budget. 50.25The reductions in this subdivision must not 50.26result in reductions to any of the campuses 50.27of the Minnesota State Colleges and 50.28Universities, must not reduce the technology 50.29expenditures or grants to the campuses, and 50.30must not increase any assessments to the 50.31campuses from the Office of the Chancellor. 51.1The Board of Trustees of the Minnesota State 51.2Colleges and Universities must reallocate 51.3$9,000,000 of state appropriations to reduce 51.4student tuition increases to two percent 51.5at state colleges and three percent at state 51.6universities and must not increase student 51.7fees beyond the amount that is currently 51.8planned for the next academic year. 51.9The legislature intends that by reducing 51.10tuition increases, the student's share of 51.11educational costs are decreased and the 51.12state's share of educational costs are 51.13increased, consistent with the funding policy 51.14in Minnesota Statutes, section 135A.01. The 51.15legislature's goal is to begin progress over the 51.16next eight years to achieve a two-thirds state 51.17share of educational costs and a one-third 51.18student share as specified in Minnesota 51.19Statutes, section 135A.01. 51.20From the appropriation in Laws 2007, chapter 51.21144, article 1, section 4, subdivision 1, the 51.22Board of Trustees shall allocate funding to 51.23campuses that lost revenue as a result of the 51.24decision in this law to eliminate nonresident 51.25undergraduate tuition at specified campuses. 51.26 Subd. 3.Power of You Program-0- 600,000

51.27This appropriation is for the continuation of 51.28the power of you program at Metropolitan 51.29State University, Minneapolis Community 51.30and Technical College, and St. Paul College 51.31under Minnesota Statutes, section 136F.19. 51.32The board of trustees shall allocate the 51.33power of you funds to Metropolitan State 52.1University, Minneapolis Community and 52.2Technical College, and St. Paul College. 52.3The funds must be used for financial aid 52.4for eligible students. This appropriation is 52.5available to the extent it is matched with an 52.6equal amount of nonstate money. 52.7This is a onetime appropriation. 52.8 52.9 Subd. 4.Teachers of Diverse Backgrounds Financial Aid Pilot Program-0-120,000

52.10For a teachers of diverse backgrounds 52.11financial aid pilot program, to be 52.12implemented by (1) Winona State University 52.13in partnership with the Rochester school 52.14district and (2) St. Cloud State University 52.15in partnership with the Robbinsdale school 52.16district, to increase the diversity of teachers 52.17in school districts with a significant 52.18concentration of minority students and attain 52.19the state's interest in enhancing the academic 52.20achievement of diverse student populations. 52.21A student is eligible to receive a grant 52.22under this subdivision if the student has a 52.23demonstrated interest and knowledge of 52.24diverse cultures. A preference must be given 52.25to a student whose parents did not attend 52.26college. 52.27Grants shall be made to eligible students 52.28for the student's junior and senior years in a 52.29teacher preparation program. Priority shall 52.30be given to students who are eligible for a 52.31Pell grant or a state grant under Minnesota 52.32Statutes, section 136A.121. Applications 52.33must be submitted in the form and manner 52.34and with the information required by 53.1Winona State University and St. Cloud State 53.2University. 53.3Within the limits of the appropriation, 53.4a student may receive a grant of up to 53.5$5,000 each year for a maximum of two 53.6academic years or the equivalent if the 53.7student continues to make satisfactory 53.8progress, as defined by the institution, toward 53.9a baccalaureate degree in education. 53.10This is a onetime appropriation. 53.11 Subd. 5.System Base Reduced

53.12The system base is reduced by $7,700,000 53.13each year in fiscal years 2010 and 2011. 53.14 53.15 Sec. 5. BOARD OF REGENTS OF THE UNIVERSITY OF MINNESOTA

53.16 Subdivision 1.Total Appropriation$(6,150,000)$(6,150,000)

53.17The amounts that must be reduced or 53.18added for each purpose are specified in the 53.19following subdivisions. 53.20 Subd. 2.General Reduction(6,150,000)(6,150,000)

53.21 Subd. 3.Restriction on Tuition Increase

53.22The Board of Regents must not increase 53.23student tuition or fees beyond the amount 53.24currently planned for the 2008-2009 53.25academic year. 53.26 Subd. 4.System Base Reduced

53.27The system base is reduced by $8,700,000 53.28in fiscal year 2010 and $8,700,000 in fiscal 53.29year 2011. 53.30 Sec. 6. Minnesota Statutes 2006, section 136A.101, subdivision 8, is amended to read: 54.1 Subd. 8. Resident student. "Resident student" means a student who meets one of 54.2the following conditions: 54.3 (1) a student who has resided in Minnesota for purposes other than postsecondary 54.4education for at least 12 months without being enrolled at a postsecondary educational 54.5institution for more than five credits in any term; 54.6 (2) a dependent student whose parent or legal guardian resides in Minnesota at the 54.7time the student applies; 54.8 (3) a student who graduated from a Minnesota high school, if the student was a 54.9resident of Minnesota during the student's period of attendance at the Minnesota high 54.10school and the student is physically attending a Minnesota postsecondary educational 54.11institution; 54.12 (4) a student who, after residing in the state for a minimum of one year, earned a 54.13high school equivalency certificate in Minnesota; 54.14 (5) a member, spouse, or dependent of a member of the armed forces of the United 54.15States stationed in Minnesota on active federal military service as defined in section 54.16190.05 , subdivision 5c; 54.17 (6) a spouse or dependent of a veteran, as defined in section 197.447, if the veteran 54.18is a Minnesota resident; 54.19 (7) a person or spouse of a person who relocated to Minnesota from an area that 54.20is declared a presidential disaster area within the preceding 12 months if the disaster 54.21interrupted the person's postsecondary education; or 54.22 (7) (8) a person defined as a refugee under United States Code, title 8, section 54.231101(a)(42), who, upon arrival in the United States, moved to Minnesota and has 54.24continued to reside in Minnesota. 54.25 Sec. 7. Minnesota Statutes 2007 Supplement, section 136A.121, subdivision 7a, 54.26is amended to read: 54.27 Subd. 7a. Surplus appropriation. If the amount appropriated is determined by the 54.28office to be more than sufficient to fund projected grant demand in the second year of the 54.29biennium, the office may increase the living and miscellaneous expense allowance in the 54.30second year of the biennium by up to an amount that retains sufficient appropriations 54.31to fund the projected grant demand. The adjustment may be made one or more times. 54.32In making the determination that there are more than sufficient funds, the office shall 54.33balance the need for sufficient resources to meet the projected demand for grants with the 54.34goal of fully allocating the appropriation for state grants. An increase in the living and 55.1miscellaneous expense allowance under this subdivision does not carry forward into a 55.2subsequent biennium. This subdivision expires June 30, 2009. 55.3 Sec. 8. [136F.19] POWER OF YOU PROGRAM. 55.4 Subdivision 1. Establishment. The board shall establish and operate through 55.5each campus a power of you program at Metropolitan State University, Minneapolis 55.6Community and Technical College, and St. Paul College. The program shall, to the 55.7extent of available funding, make grants to eligible students. Each campus shall develop 55.8partnerships with high schools and school districts as part of the program. The board may 55.9accept and expend private funding for the program. 55.10 Subd. 2. Grants. A campus shall establish procedures to select recipients of grants. 55.11A grant award shall be equal to the amount remaining after deducting the student's Pell 55.12grant award and state grant award from the institution's tuition and mandatory fee charges. 55.13 Subd. 3. Eligible students. A student is eligible to receive a grant under this section 55.14if the student: 55.15 (1) is a graduate from a public Minneapolis or St. Paul high school; 55.16 (2) is enrolled full time immediately after graduation; 55.17 (3) was a participant in a power of you program as a high school student; and 55.18 (4) is eligible for a Pell grant or a state grant under section 136A.121. 55.19 Subd. 4. Information. The institutions implementing the power of you program 55.20shall disseminate information to all MnSCU institutions about their experience in 55.21implementing the program. 55.22EFFECTIVE DATE.This section is effective the day following final enactment. 55.23 Sec. 9. Minnesota Statutes 2006, section 136G.11, subdivision 1, is amended to read: 55.24 Subdivision 1. Matching grant qualification. By June 30 July 1 of each year, a 55.25state matching grant must be added to each account established under the program if 55.26the following conditions are met: 55.27 (1) the contributor applies, in writing in a form prescribed by the director, for a 55.28matching grant; 55.29 (2) a minimum contribution of $200 was made during the preceding calendar year; 55.30 (3) the beneficiary's family meets Minnesota college savings plan residency 55.31requirements; and 55.32 (4) the family income of the beneficiary did not exceed $80,000. 56.1EFFECTIVE DATE.This section is effective July 1, 2008, for payments due July 56.21, 2009, and thereafter. 56.3 Sec. 10. Minnesota Statutes 2006, section 299A.45, subdivision 1, is amended to read: 56.4 Subdivision 1. Eligibility. Following certification A person is eligible to receive 56.5educational benefits under this section if the person: 56.6 (1) is certified under section 299A.44 and in compliance with this section and rules 56.7of the commissioner of public safety and the Minnesota Office of Higher Education,; 56.8 (2) is enrolled in an undergraduate degree or certificate program after June 30, 1990, 56.9at an eligible Minnesota institution as provided in section 136A.101, subdivision 4; 56.10 (3) has not receive a baccalaureate degree or been enrolled full time for ten semesters 56.11or the equivalent, except that a student who withdraws from enrollment for active military 56.12service is entitled to an additional semester or the equivalent of eligibility; and 56.13 (4) is related in one of the following ways to a public safety officer killed in the 56.14line of duty on or after January 1, 1973: 56.15 (i) as a dependent children child less than 23 years of age and the; 56.16 (ii) as a surviving spouse of a public safety officer killed in the line of duty on 56.17or after January 1, 1973, are eligible to receive educational benefits under this section. 56.18To qualify for an award, they must be enrolled in undergraduate degree or certificate 56.19programs after June 30, 1990, at an eligible Minnesota institution as provided in section 56.20136A.101, subdivision 4. A student who withdraws from enrollment for active military 56.21service is entitled to an additional semester or the equivalent of grant eligibility. Persons 56.22who have received a baccalaureate degree or have been enrolled full time or the equivalent 56.23of ten semesters or the equivalent, whichever occurs first, are no longer eligible.; or 56.24 (iii) as a dependent child less than 30 years of age who has served on active military 56.25duty 181 consecutive days or more and has been honorably discharged or released to the 56.26dependent child's reserve or National Guard unit. 56.27 Sec. 11. Laws 2007, chapter 144, article 1, section 3, subdivision 2, is amended to read: 56.28 Subd. 2. State Grants 147,400,000 144,138,000

56.29If the appropriation in this subdivision for 56.30either year is insufficient, the appropriation 56.31for the other year is available for it. 56.32For the biennium, the tuition maximum for 56.33students in four-year programs is $9,838 in 57.1each year for students in four-year programs, 57.2and for students in two-year programs, is 57.3$6,114 in the first year and $5,808 in the 57.4second year. 57.5This appropriation sets the living and 57.6miscellaneous expense allowance at $5,900 57.7each the first year and $6,200 the second 57.8year. 57.9 Sec. 12. Laws 2007, chapter 144, article 1, section 5, subdivision 5, is amended to read: 57.10 57.11 Subd. 5. University of Minnesota and Mayo Foundation Partnership 25,000,000 -0-

57.12For the direct and indirect expenses of the 57.13collaborative research partnership between 57.14the University of Minnesota and the Mayo 57.15Foundation for research in biotechnology 57.16and medical genomics. For fiscal years 2010 57.17and 2011, the base shall be $8,000,000 in 57.18each year. This appropriation is available 57.19until expended. An annual report on the 57.20expenditure of these funds must be submitted 57.21to the governor, the chair of the house 57.22bioscience and emerging technologies 57.23committee, and the chairs of the senate and 57.24house committees responsible for higher 57.25education and economic development by 57.26June 30 of each fiscal year. At a minimum, 57.27the report must include information on 57.28the number of patents, disclosures, and 57.29licensing agreements; the amount generated 57.30in royalties and how the royalty money is 57.31spent; and the number of companies created, 57.32where they are located, how many jobs are 57.33created, and the amount of venture capital 57.34raised. 58.1ARTICLE 5 58.2ENVIRONMENT AND NATURAL RESOURCES 58.3 Section 1. SUMMARY OF APPROPRIATIONS.

58.4 The amounts shown in this section summarize direct appropriations, by fund, made 58.5in this article. 58.6 20082009Total 58.7 General$(328,000)$(2,728,000)$(3,056,000) 58.8 Environmental-0-134,000134,000 58.9 Natural Resources50,0002,523,0002,573,000 58.10 Game and Fish123,000631,000754,000 58.11 Total$(155,000)$560,000$405,000

58.12 Sec. 2. APPROPRIATIONS.

58.13 The sums shown in the columns marked "Appropriations" are added to or, if shown 58.14in parentheses, subtracted from the appropriations in Laws 2007, chapter 57, article 1, to 58.15the agencies and for the purposes specified in this article. The appropriations are from the 58.16general fund, or another named fund, and are available for the fiscal years indicated for 58.17each purpose. The figures "2008" and "2009" used in this article mean that the addition 58.18to or subtraction from the appropriation listed under them is available for the fiscal year 58.19ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 58.20reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 58.21day following final enactment. 58.22 APPROPRIATIONS 58.23 Available for the Year 58.24 Ending June 30 58.25 20082009

58.26 Sec. 3. POLLUTION CONTROL AGENCY$-0-$(469,000)

58.27 Appropriations by Fund 58.28 General-0-(603,000) 58.29 Environmental Fund-0-134,000

58.30$623,000 is a reduction in 2009. The 58.31commissioner shall make the reduction to 59.1administrative activities in a way to minimize 59.2the effect to program operations. 59.3$134,000 in 2009 is appropriated from the 59.4environmental fund for the development 59.5and adoption of rules to regulate emission 59.6standards of motor vehicles sold in this state 59.7as authorized under the federal Clean Air 59.8Act, United States Code, title 42, section 59.97507. The base for fiscal years 2010 and 59.102011 is $114,000. 59.11$20,000 in 2009 is appropriated from the 59.12general fund for the following purposes: 59.13(1) the development of recommendations 59.14for establishing a comprehensive product 59.15stewardship approach to reducing 59.16environmental and health risks posed by 59.17the use or disposal of products. These 59.18recommendations shall be submitted to 59.19the chairs and ranking minority members 59.20of the senate and house committees with 59.21jurisdiction over environmental policy 59.22and environmental finance by January 59.2315, 2009. The recommendations shall 59.24include, at a minimum: a set of criteria to 59.25be used to evaluate products proposed for 59.26product stewardship solutions; a process for 59.27designating products for product stewardship 59.28solutions and the role the legislature would 59.29play in that process; typical components 59.30of product stewardship plans; options to 59.31facilitate the creation of industry-managed 59.32stewardship management organizations; 59.33methods to identify and monitor progress 59.34toward stewardship performance goals for 59.35specific products; and strategies to implement 60.1the use of standards, certifications, and 60.2eco-labels to promote environmentally 60.3preferable products. To the extent possible, 60.4the recommendations must be consistent 60.5with existing product stewardship programs 60.6in North America. In developing the 60.7recommendations, the commissioner must 60.8consult with manufacturers, retailers, 60.9recyclers, environmental advocacy 60.10organizations, local units of government, and 60.11other interested parties; 60.12(2) a report to be submitted by December 60.131, 2008, to the chairs and ranking minority 60.14members of the senate and house committees 60.15with primary jurisdiction over solid waste 60.16policy, analyzing the availability of collection 60.17and processing capacity in the seven-county 60.18metropolitan area for the recycling of 60.19construction and demolition waste. The 60.20report must recommend a percentage of the 60.21total weight of construction and demolition 60.22waste generated in the seven-county 60.23metropolitan area that represents an 60.24achievable but aggressive recycling goal that 60.25can be reached in 2012 and must include an 60.26analysis of the economic and environmental 60.27costs and benefits of reaching that goal; and 60.28(3) a report to be submitted by January 1, 60.292009, to the chairs and ranking minority 60.30members of the senate and house committees 60.31with primary jurisdiction over solid waste 60.32policy, that recommends options for 60.33achieving the following goals by 2020: an 60.34increase in county recycling rates to 60 60.35percent of the weight of total solid waste 60.36generation; and the diversion, prior to 61.1delivery to landfills and waste-to-energy 61.2plants, and recycling and reuse of an amount 61.3of source-separated compostable materials 61.4equal to 15 percent of total solid waste 61.5generation. The commissioner must obtain 61.6input from counties inside and outside the 61.7seven-county metropolitan area, recycling 61.8and composting facilities, waste haulers, 61.9environmental organizations, and other 61.10interested parties in preparing the report. 61.11The report must also contain estimates of 61.12the economic costs of implementing the 61.13strategies. This is a onetime appropriation. 61.14 Sec. 4. NATURAL RESOURCES

61.15 Subdivision 1.Total Appropriation$(155,000)$594,000

61.16 Appropriations by Fund 61.17 General(328,000)(2,260,000) 61.18 Natural Resources50,0002,223,000 61.19 Game and Fish123,000631,000

61.20The appropriation additions or reductions 61.21for each purpose are shown in the following 61.22subdivisions. 61.23 Subd. 2.Lands and Minerals-0-(225,000)

61.24 Appropriations by Fund 61.25 General-0-(425,000) 61.26 Natural Resources-0-200,000

61.27$200,000 in 2009 is a general reduction in 61.28lands and minerals administration. 61.29$124,000 in 2009 is a reduction from the 61.30appropriation for iron ore cooperative 61.31agreements. 62.1$101,000 in 2009 is a reduction from the 62.2appropriation for minerals diversification. 62.3$200,000 in 2009 is appropriated from the 62.4natural resources fund for the administration 62.5and monitoring of permits to mine 62.6ferrous metals under Minnesota Statutes, 62.7section 93.481. By January 15, 2009, 62.8the commissioner shall report to the 62.9legislature and the chairs of the senate and 62.10house committees with jurisdiction over 62.11environment and natural resources finance 62.12on the establishment of a permit to mine 62.13application fee schedule that is based on 62.14the actual costs of issuing and monitoring 62.15individual permits and any necessary 62.16legislation needed to cover the costs of 62.17issuing and monitoring the permits for the 62.18next biennium. 62.19 Subd. 3.Water Resource Management(98,000)10,000

62.20 Appropriations by Fund 62.21 General(98,000)(90,000) 62.22 Natural Resources-0-100,000

62.23$38,000 is a reduction in 2009 attributable to 62.24the modification of reporting requirements 62.25under Minnesota Statutes, section 103A.43. 62.26By January 15, 2009, the Mississippi 62.27Headwaters Board, established under 62.28Minnesota Statutes, section 103F.367, shall 62.29submit a report to the chairs of the senate 62.30and house committees and divisions with 62.31jurisdiction over the environment and natural 62.32resources on how the board will meet its 62.33responsibility to protect and enhance the 62.34Mississippi River and related shoreland as 63.1required by Minnesota Statutes, section 63.2103F.367. In preparing the report, the 63.3Mississippi Headwaters Board shall hold two 63.4public input meetings in the area. 63.5$100,000 in 2009 is from the water recreation 63.6account in the natural resources fund for 63.7rulemaking on structures in public waters. 63.8This is a onetime appropriation. 63.9$22,000 in 2009 is a reduction from the 63.10appropriation for ring dikes under Minnesota 63.11Statutes, section 103F.161. 63.12$30,000 is a reduction in 2009 from the 63.13appropriation for grants associated with the 63.14implementation of the Red River mediation 63.15agreement. 63.16$98,000 is a reduction in 2008 from a 63.17onetime appropriation for impaired waters. 63.18 Subd. 4.Forest Management-0-250,000

63.19$53,000 in 2009 is for the Forest Resources 63.20Council to conduct a study of options and 63.21make recommendations to the legislature 63.22for addressing the fragmentation and 63.23parcelization of large blocks of private 63.24forest land in the state. This is a onetime 63.25appropriation. 63.26$197,000 in 2009 is for a grant to the 63.27University of Minnesota for the Interagency 63.28Information Cooperative to develop a 63.29common forest inventory format describing 63.30key attributes of Minnesota's public forest 63.31land base, growth models for managed forest 63.32stands, a forest wildlife habitat model format, 63.33and an information database on the state's 63.34family forest ownership. 64.1 Subd. 5.Parks and Recreation Management50,000-0-

64.2 Appropriations by Fund 64.3 General-0-(220,000) 64.4 Natural Resources50,000220,000

64.5$220,000 in 2009 is a reduction for parks and 64.6recreation management. 64.7$220,000 in 2009 is from the state parks 64.8account in the natural resources fund to 64.9fund state park operations, maintenance, 64.10resource management, educational services, 64.11and associated support costs. 64.12$50,000 in 2008 from the natural resources 64.13fund is for grants to local units of government 64.14for up to 75 percent of the cost of meeting 64.15the equipment requirements for public 64.16pools under Minnesota Statutes, section 64.17144.1222, subdivision 1d, paragraph (a), if 64.18enacted. The maximum grant is $10,000 64.19per pool upgraded. Priority shall be given 64.20to local government applicants seeking 64.21assistance in installing a secondary suction 64.22or drainage outlet for the public pool where 64.23a fee is not charged for use of the pool. 64.24The commissioner shall consult with the 64.25commissioner of health in awarding the 64.26grants. Of this amount, notwithstanding 64.27the restrictions under Minnesota Statutes, 64.28section 297A.94, $25,000 is from the revenue 64.29deposited in the natural resources fund 64.30under Minnesota Statutes, section 297A.94, 64.31paragraph (e), clause (3), and $25,000 is 64.32from the revenue deposited in the natural 64.33resources fund under Minnesota Statutes, 65.1section 297A.94, paragraph (e), clause 65.2(4). This is a onetime appropriation and is 65.3available until June 30, 2009. 65.4 Subd. 6.Trails and Waterways Management-0-1,085,000

65.5 Appropriations by Fund 65.6 General-0-(50,000) 65.7 Natural Resources-0-1,135,000

65.8Beginning in 2009, $300,000 each year is 65.9from the all-terrain vehicle account in the 65.10natural resources fund for monitoring and 65.11maintenance of newly designated trails. 65.12$700,000 in 2009 is from the natural 65.13resources fund for the development of 65.14the Virginia site and connecting trails 65.15for the Iron Range Off-Highway Vehicle 65.16Recreation Area. Of this amount, $400,000 65.17is from the all-terrain vehicle account, 65.18$75,000 is from the off-highway motorcycle 65.19account, $125,000 is from the off-road 65.20vehicle account, and $100,000 is from 65.21the snowmobile trails and enforcement 65.22account. $300,000 is from federal money 65.23allocated for motorized recreation. This is 65.24a onetime appropriation. The appropriation 65.25is available until expended for the design 65.26and development of an underpass for 65.27off-highway vehicles on Highway 135 in the 65.28city of Gilbert. None of these funds may be 65.29expended until all property as identified in 65.30the master plan has been acquired. This is a 65.31onetime appropriation. 65.32$100,000 in 2009 is from the all-terrain 65.33vehicle account in the natural resources 65.34fund for a grant to the city of Hoyt Lakes to 66.1convert the Moose Trail snowmobile trail 66.2to a dual usage trail, so that it may also 66.3be used as an Off-Highway Vehicle trail 66.4connecting the city of Biwabik to the Iron 66.5Range Off-Highway Vehicle Recreation 66.6Area. This is a onetime appropriation. 66.7$50,000 in 2009 is a reduction from the 66.8appropriation for nonmotorized trails. 66.9$35,000 in 2009 is from the all-terrain 66.10vehicle account in the natural resources fund 66.11for all-terrain vehicle grants-in-aid. 66.12 Subd. 7.Fish and Wildlife Management123,000119,000

66.13 Appropriations by Fund 66.14 General-0-(427,000) 66.15 Game and Fish123,000546,000

66.16$329,000 in 2009 is a reduction for fish and 66.17wildlife management. 66.18$46,000 in 2009 is a reduction in the 66.19appropriation for the Minnesota Shooting 66.20Sports Education Center. 66.21$52,000 in 2009 is a reduction for licensing. 66.22$123,000 in 2008 and $246,000 in 2009 are 66.23from the game and fish fund to implement 66.24fish virus surveillance, prepare infrastructure 66.25to handle possible outbreaks, and implement 66.26control procedures for highest risk waters 66.27and fish production operations. This is a 66.28onetime appropriation. 66.29Notwithstanding Minnesota Statutes, section 66.30297A.94, paragraph (e), $300,000 in 2009 66.31is from the second year appropriation in 66.32Laws 2007, chapter 57, article 1, section 4, 67.1subdivision 7, from the heritage enhancement 67.2account in the game and fish fund to 67.3study, predesign, and design shooting sports 67.4facilities at the Vermillion Highlands Wildlife 67.5Management Area authorized by Laws 2007, 67.6chapter 57, article 1, section 168. This is 67.7available onetime only and is available until 67.8expended. 67.9$300,000 in 2009 is appropriated from the 67.10game and fish fund for only activities that 67.11improve, enhance, or protect fish and wildlife 67.12resources. This is a onetime appropriation. 67.13 Subd. 8.Ecological Services(230,000)-0-

67.14$230,000 in 2008 is a reduction from the 67.15appropriation for impaired waters. 67.16By June 30, 2008, the commissioner of 67.17finance shall transfer $594,000 from the 67.18water recreation account in the natural 67.19resources fund to the invasive species 67.20account in the natural resources fund for 67.21invasive species-related expenses. 67.22 Subd. 9.Enforcement-0-110,000

67.23 Appropriations by Fund 67.24 General-0-(543,000) 67.25 Natural Resources-0-568,000 67.26 Game and Fish-0-85,000

67.27$543,000 in 2009 is a reduction in 67.28enforcement operations. $75,000 of 67.29this reduction is for conservation officer 67.30recruiting and $85,000 of this reduction is 67.31for advanced hunter education. 68.1$383,000 in 2009 is from the water recreation 68.2account in the natural resources fund for 68.3enforcement operations. 68.4$185,000 in 2009 is from the all-terrain 68.5vehicle account in the natural resources 68.6fund for grants to county law enforcement 68.7agencies for all-terrain vehicle enforcement 68.8and public education activities based on 68.9all-terrain vehicle use in the county. 68.10$85,000 in 2009 is from the game and fish 68.11fund for advanced hunter education. 68.12 Subd. 10.Operations Support-0-(755,000)

68.13$755,000 is a reduction to the department's 68.14administration costs in fiscal year 2009. The 68.15commissioner shall make these reductions 68.16throughout the agency through reduction 68.17in travel, administrative costs, and vacancy 68.18management. 68.19The department's administration base is 68.20reduced by $255,000 in fiscal years 2010 and 68.212011. 68.22 68.23 Sec. 5. BOARD OF WATER AND SOIL RESOURCES$-0-$235,000

68.24$200,000 in 2009 is a reduction from the 68.25appropriation for county cooperative weed 68.26management programs. 68.27$47,000 is a reduction in 2009 from the 68.28appropriation for cost-sharing contracts to 68.29establish native buffers. This is a onetime 68.30reduction. 69.1$68,000 in 2009 is a reduction from the 69.2appropriation for the drainage assistance 69.3program. 69.4$450,000 in 2009 is for implementing 69.5rehabilitation, erosion, and sediment control 69.6projects in the area included in DR-1717. 69.7Funds appropriated or transferred and 69.8waivers previously authorized to the board 69.9for DR-1717 flood relief and recovery as 69.10provided in Laws 2007, First Special Session 69.11chapter 2, are available and applicable until 69.12June 30, 2010. The board may use money 69.13from this appropriation to implement federal 69.14funding for projects in the area. The base 69.15for 2010 is $275,000 and the base for 2011 69.16is $0. This appropriation is available until 69.17expended. 69.18$100,000 in 2009 is for a grant to the Star 69.19Lake Board established in new Minnesota 69.20Statutes, section 103B.702. The board may 69.21use up to ten percent of the appropriation for 69.22administration and initial meeting of the Star 69.23Lake Board. This is a onetime appropriation. 69.24To the extent possible prairie restorations 69.25paid for in whole or in part by appropriations 69.26to the board must be made using best 69.27management practices for native prairie 69.28restoration as defined in Minnesota Statutes, 69.29section 84.02, subdivision 2. 69.30 Sec. 6. METROPOLITAN COUNCIL$-0-$200,000

69.31 Appropriations by Fund 69.32 General-0-(100,000) 69.33 Natural Resources-0-300,000

70.1$300,000 in fiscal year 2009 is reduced 70.2from money appropriated from the general 70.3fund for metropolitan area regional parks 70.4maintenance and operations under Laws 70.52007, chapter 57, article 1, section 6. This is 70.6a onetime reduction. 70.7$300,000 in fiscal year 2009 is appropriated 70.8from the natural resources fund for 70.9metropolitan area regional parks 70.10maintenance and operations. This is a 70.11onetime appropriation from the revenue 70.12deposited in the natural resources fund 70.13under Minnesota Statutes, section 297A.94, 70.14paragraph (e), clause (3). 70.15$200,000 in 2009 is for a grant to the 70.16city of St. Paul. This appropriation is in 70.17addition to and for the same purposes as the 70.18appropriation for a grant to the city of St. 70.19Paul for Como Zoo in Laws 2006, chapter 70.20258, section 17, subdivision 8. This is a 70.21onetime appropriation and is available until 70.22expended. 70.23 Sec. 7. TRANSFERS IN

70.24By June 30, 2009, the commissioner 70.25of finance shall transfer any remaining 70.26unappropriated balance, estimated to be 70.27$103,000, from the Minnesota future 70.28resources fund to the general fund. 70.29By June 30, 2008, the commissioner of 70.30finance shall transfer $1,400,000 from 70.31the balance in the stream protection and 70.32improvement fund to the general fund. 70.33 Sec. 8. Minnesota Statutes 2006, section 17.4988, subdivision 2, is amended to read: 71.1 Subd. 2. Aquatic farming license. (a) The annual fee for an aquatic farming license 71.2is $210 for the base license. The commissioner must establish an additional fee based 71.3on the acreage of the operation. 71.4 (b) The aquatic farming license may contain endorsements for the rights and 71.5privileges of the following licenses under the game and fish laws. The endorsement must 71.6be made upon payment of the license fee prescribed in section 97A.475 for the following 71.7licenses: 71.8 (1) minnow dealer license; 71.9 (2) minnow retailer license for sale of minnows as bait; 71.10 (3) minnow exporting license; 71.11 (4) aquatic farm vehicle endorsement, which includes a minnow dealer vehicle 71.12license, a minnow retailer vehicle license, an exporting minnow vehicle license, and a 71.13fish vendor license; 71.14 (5) sucker egg taking license; and 71.15 (6) game fish packers license. 71.16 Sec. 9. Minnesota Statutes 2006, section 17.4988, subdivision 3, is amended to read: 71.17 Subd. 3. Inspection fees. The fees for the following inspections are: The 71.18commissioner may, by written order published in the State Register, establish fees for 71.19the services listed in clauses (1) to (3). The fees must be set in an amount that does not 71.20recover significantly more or less than the cost of providing the service. The fees are not 71.21subject to the rulemaking provisions of chapter 14 and section 14.386 does not apply. The 71.22services covered under this provision include: 71.23 (1) initial inspection of each water to be licensed, $50; 71.24 (2) fish health inspection and certification, $60 plus $150 per lot thereafter including 71.25initial tissue sample collection, basic fish health assessment, viral pathogen testing, and 71.26bacteriological testing; and 71.27 (3) initial inspection for containment and quarantine facility inspections, $100. 71.28 Sec. 10. [85.53] PARKS AND TRAILS FUND. 71.29 The parks and trails fund is established in the Minnesota Constitution, article XI, 71.30section 15. All money earned by the parks and trails fund must be credited to the fund. 71.31EFFECTIVE DATE.This section is effective July 1, 2009, if the constitutional 71.32amendment proposed in Laws 2008, chapter 151, is adopted by the voters. 72.1 Sec. 11. Minnesota Statutes 2006, section 93.481, is amended by adding a subdivision 72.2to read: 72.3 Subd. 7. Mining administration account. The mining administration account is 72.4established as an account in the natural resources fund. Ferrous mining administrative fees 72.5charged to owners, operators, or managers of mines shall be credited to the account and 72.6may be appropriated to the commissioner to cover the costs of providing and monitoring 72.7permits to mine ferrous metals under this section. 72.8 Sec. 12. [94.3495] EXPEDITED EXCHANGES OF LAND INVOLVING THE 72.9STATE AND GOVERNMENTAL SUBDIVISIONS OF THE STATE. 72.10 Subdivision 1. Purpose and scope. (a) The purpose of this section is to expedite the 72.11exchange of public land ownership. Consolidation of public land reduces management 72.12costs and aids in the reduction of forest fragmentation. 72.13 (b) This section applies to exchanges of land between the state and a governmental 72.14subdivision of the state. For land exchanges under this section, sections 94.342 to 94.347 72.15apply only to the extent specified in this section. 72.16 Subd. 2. Classes of land; definitions. The classes of public land that may be 72.17involved in an expedited exchange under this section are: 72.18 (1) Class 1 land, which for the purpose of this section is Class A land as defined in 72.19section 94.342, subdivision 1, except for: 72.20 (i) school trust land as defined in section 92.025; and 72.21 (ii) university land granted to the state by acts of Congress; 72.22 (2) Class 2 land, which for the purpose of this section is Class B land as defined in 72.23section 94.342, subdivision 2; and 72.24 (3) Class 3 land, which for the purpose of this section is all land owned in fee by 72.25a governmental subdivision of the state. 72.26 Subd. 3. Valuation of land. (a) In an exchange of Class 1 land for Class 2 or 3 land, 72.27the value of all the land shall be determined by the commissioner of natural resources. In 72.28an exchange of Class 2 land for Class 3 land, the value of all the land shall be determined 72.29by the county board of the county in which the land lies. To determine the value of the 72.30land, the parties to the exchange may cause the land to be appraised, utilize the valuation 72.31process provided under section 84.0272, subdivision 3, or obtain a market analysis from a 72.32qualified real estate broker. Merchantable timber value must be determined and considered 72.33in finalizing valuation of the lands. 73.1 (b) All lands exchanged under this section shall be exchanged only for lands of 73.2at least substantially equal value. For the purposes of this subdivision, "substantially 73.3equal value" has the meaning given under section 94.343, subdivision 3, paragraph (b). 73.4No payment is due either party if the lands are of substantially equal value but are not 73.5of the same value. 73.6 Subd. 4. Title. Title to the land must be examined to the extent necessary for the 73.7parties to determine that the title is good, with any encumbrances identified. The parties to 73.8the exchange may utilize title insurance to aid in the determination. 73.9 Subd. 5. Approval by Land Exchange Board. All expedited land exchanges 73.10under this section, and the terms and conditions of the exchanges, require the unanimous 73.11approval of the Land Exchange Board. 73.12 Subd. 6. Conveyance. (a) Conveyance of Class 1 land given in exchange shall be 73.13made by deed executed by the commissioner of natural resources in the name of the 73.14state. Conveyance of Class 2 land given in exchange shall be by a deed executed by the 73.15commissioner of revenue in the name of the state. Conveyance of Class 3 land shall be by 73.16a deed executed by the governing body in the name of the governing authority. 73.17 (b) If Class 1 land is given in exchange for Class 2 or 3 land, the deed to the Class 73.182 or 3 land shall first be delivered to the commissioner of natural resources. Following 73.19the recording of the deed, the commissioner of natural resources shall deliver the deed 73.20conveying the Class 1 land. 73.21 (c) If Class 2 land is given in exchange for Class 3 land, the deed to the Class 3 land 73.22shall first be delivered to the county auditor. Following the recording of the deed, the 73.23commissioner of revenue shall deliver the deed conveying the Class 2 land. 73.24 (d) All deeds shall be recorded or registered in the county in which the lands lie. 73.25 Subd. 7. Reversionary interest; mineral and water power rights and other 73.26reservations. (a) All deeds conveying land given in an expedited land exchange under 73.27this section shall include a reverter that provides that title to the land automatically reverts 73.28to the conveying governmental unit if: 73.29 (1) the receiving governmental unit sells, exchanges, or otherwise transfers title of 73.30the land within 40 years of the date of the deed conveying ownership; and 73.31 (2) there is no prior written approval for the transfer from the conveying 73.32governmental unit. The authority for granting approval is the commissioner of natural 73.33resources for former Class 1 land, the county board for former Class 2 land, and the 73.34governing body for former Class 3 land. 74.1 (b) Class 1 land given in exchange is subject to the reservation provisions of section 74.294.343, subdivision 4. Class 2 land given in exchange is subject to the reservation 74.3provisions of section 94.344, subdivision 4. County fee land given in exchange is subject 74.4to the reservation provisions of section 373.01, subdivision 1, paragraph (g). 74.5 Subd. 8. Land status. Land received in exchange for Class 1 land is subject to the 74.6same trust, if any, and otherwise has the same status as the land given in exchange. Land 74.7received in exchange for Class 2 land is subject to a trust in favor of the governmental 74.8subdivision wherein it lies and all laws relating to tax-forfeited land. Land received in 74.9exchange for Class 3 land has the same status as the land given in exchange. 74.10 Sec. 13. Minnesota Statutes 2006, section 97A.475, subdivision 29, is amended to read: 74.11 Subd. 29. Private fish hatcheries. The fees for the following licenses to be issued 74.12to residents and nonresidents are: 74.13 (1) for a private fish hatchery, with annual sales under $200, $70; 74.14 (2) for a private fish hatchery, with annual sales of $200 or more, $210 for the 74.15base license. The commissioner must establish an additional fee based on the acreage of 74.16the operation; and 74.17 (3) to take sucker eggs from public waters for a private fish hatchery, $400, plus 74.18$6 for each quart in excess of 100 quarts. 74.19 Sec. 14. Minnesota Statutes 2006, section 103A.204, is amended to read: 74.20103A.204 GROUNDWATER POLICY. 74.21 (a) The responsibility for the protection of groundwater in Minnesota is vested 74.22in a multiagency approach to management. The following is a list of agencies and the 74.23groundwater protection areas for which the agencies are primarily responsible; the list is 74.24not intended to restrict the areas of responsibility to only those specified: 74.25 (1) Environmental Quality Board: creation of a water resources committee to 74.26coordinate coordination of state groundwater protection programs and a biennial 74.27groundwater policy report beginning in 1994 that includes, for the 1994 report, the 74.28findings in the groundwater protection report coordinated by the Pollution Control Agency 74.29for the Environmental Protection Agency; 74.30 (2) Pollution Control Agency: water quality monitoring and reporting and the 74.31development of best management practices and regulatory mechanisms for protection of 74.32groundwater from nonagricultural chemical contaminants; 74.33 (3) Department of Agriculture: sustainable agriculture, integrated pest management, 74.34water quality monitoring, and the development of best management practices and 75.1regulatory mechanisms for protection of groundwater from agricultural chemical 75.2contaminants; 75.3 (4) Board of Water and Soil Resources: reporting on groundwater education and 75.4outreach with local government officials, local water planning and management, and 75.5local cost share programs; 75.6 (5) Department of Natural Resources: water quantity monitoring and regulation, 75.7sensitivity mapping, and development of a plan for the use of integrated pest management 75.8and sustainable agriculture on state-owned lands; and 75.9 (6) Department of Health: regulation of wells and borings, and the development of 75.10health risk limits under section 103H.201. 75.11 (b) The Environmental Quality Board shall through its Water Resources Committee 75.12coordinate with representatives of all agencies prepare a report on policy issues related to 75.13its responsibilities listed in paragraph (a), citizens, and other interested groups to prepare 75.14a biennial report every even-numbered year as part of its duties described in sections 75.15 and and include these reports with the assessments in section 103A.43 75.16and the "Minnesota Water Plan" in section 103B.151. 75.17 Sec. 15. Minnesota Statutes 2006, section 103A.43, is amended to read: 75.18103A.43 WATER ASSESSMENTS AND REPORTS. 75.19 (a) The Environmental Quality Board shall evaluate and consolidate the assessments 75.20required in paragraphs (b) and (c) with the policy report in section 103A.204 and submit a 75.21single report to the house of representatives and senate committees with jurisdiction 75.22over the environment, natural resources, and agriculture and the Legislative-Citizen 75.23Commission on Minnesota Resources on statewide water research needs and 75.24recommended priorities for addressing these needs. Local water research needs may also 75.25be included by September 15, 2010, and every five years thereafter. 75.26 (b) The Environmental Quality Board shall work with the Pollution Control Agency 75.27and the Department of Agriculture to coordinate shall provide a biennial assessment and 75.28analysis of water quality, groundwater degradation trends, and efforts to reduce, prevent, 75.29minimize, and eliminate degradation of water. The assessment and analysis must include 75.30an analysis of relevant monitoring data. 75.31 (c) The Environmental Quality Board shall work with the Department of Natural 75.32Resources to coordinate shall provide an assessment and analysis of the quantity of surface 75.33and ground water in the state and the availability of water to meet the state's needs. 75.34 (d) The Environmental Quality Board shall coordinate and submit a report on water 75.35policy including the analyses in paragraphs (a) to (c) to the house of representatives 76.1and senate committees with jurisdiction over the environment, natural resources, 76.2and agriculture and the Legislative-Citizen Commission on Minnesota Resources by 76.3September 15 of each even-numbered year. The report may include the groundwater 76.4policy report in section . 76.5 Sec. 16. Minnesota Statutes 2006, section 103B.151, subdivision 1, is amended to read: 76.6 Subdivision 1. Water planning. The Environmental Quality Board shall: 76.7 (1) coordinate public water resource management and regulation activities among 76.8the state agencies having jurisdiction in the area; 76.9 (2) initiate, coordinate, and continue to develop comprehensive long-range water 76.10resources planning in furtherance of the plan prepared by the Environmental Quality 76.11Board's Water Resources Committee entitled "Minnesota Water Plan," published in 76.12January 1991, by September 15, 2000, and each ten-year interval afterwards; 76.13 (3) coordinate water planning activities of local, regional, and federal bodies with 76.14state water planning and integrate these plans with state strategies; 76.15 (4) coordinate development of state water policy recommendations and priorities, 76.16and a recommended program for funding identified needs, including priorities for 76.17implementing the state water resources monitoring plan; 76.18 (5) administer federal water resources planning with multiagency interests; 76.19 (6) ensure that groundwater quality monitoring and related data is provided and 76.20integrated into the Minnesota land management information system according to 76.21published data compatibility guidelines. Costs of integrating the data in accordance with 76.22data compatibility standards must be borne by the agency generating the data; 76.23 (7) coordinate the development and evaluation of water information and education 76.24materials and resources; and 76.25 (8) coordinate the dissemination of water information and education through 76.26existing delivery systems. 76.27 Sec. 17. [103B.701] STAR LAKES. 76.28 Subdivision 1. Definition. For the purposes of this section, the term "lake 76.29association" means an association organized for the purpose of addressing issues on a 76.30specific lake or river, a lake improvement district, or a lake conservation district. 76.31 Subd. 2. Application. (a) A lake association may apply to the Star Lake Board for 76.32designation as a star lake or river. The applicant must include a copy of a star lake or 76.33river management plan for the lake or river. 77.1 (b) After review of the application, the Star Lake Board shall determine whether 77.2designation as a star lake or river will be granted. The designation as a star lake or river 77.3becomes effective the day following designation by the board. The board shall publish the 77.4decision on a star lake or river designation in the State Register, including the effective 77.5date of the designation. 77.6 (c) The star lake or river designation is effective until the earlier of: 77.7 (1) five years after the date of designation; or 77.8 (2) when the Star Lake Board finds that the lake association is not fulfilling the 77.9requirements of this section or of the star lake or river management plan submitted. 77.10 (d) Within six months before the expiration date of the designation as a star lake 77.11or river, a lake association may apply to continue the star lake or river designation under 77.12this section. 77.13 Subd. 3. Eligibility. A lake association applying for designation as a star lake 77.14or river must: 77.15 (1) develop and update a star lake or river management plan as provided in 77.16subdivision 4; 77.17 (2) maintain a membership or participation of at least 50 percent of the private 77.18shoreland owners; 77.19 (3) participate in a water quality monitoring program under section 115.06, 77.20subdivision 4, or other programs meeting Pollution Control Agency standards; and 77.21 (4) meet at least annually to review the plan and notify appropriate state agencies 77.22and local government units in the development and monitoring of the star lake or river 77.23management plan. 77.24 Subd. 4. Star lake or river management plan. (a) A star lake or river management 77.25plan must contain a baseline of the current condition of the lake or river based on scientific 77.26information and plans for addressing the following issues: 77.27 (1) increases in native vegetation in the littoral area of the lake or river, where 77.28appropriate; 77.29 (2) increases in native vegetation on the shoreline areas of the lake or river, where 77.30appropriate; 77.31 (3) prevention, reduction, or elimination of aquatic invasive species in the lake 77.32or river; 77.33 (4) increasing or maintaining a healthy diverse fishery that is appropriate for the 77.34lake or river; 77.35 (5) how the association will work with state agencies and local government units to 77.36identify water pollution sources and impairments; 78.1 (6) how the association will assist state and local programs to generate data needed 78.2by state agencies and local government units in an appropriate format; 78.3 (7) promoting compliance with adopted shoreland zoning standards and shoreland 78.4best management practices; 78.5 (8) how the lake association will assure its involvement in public input opportunities 78.6for various local comprehensive and project-specific planning and zoning processes; 78.7 (9) education and recognition opportunities for shoreland owners and other entities 78.8that conduct activities affecting the quality of the lake or river; and 78.9 (10) other activities that will coordinate with or enhance other state and local water 78.10management efforts. 78.11 (b) The star lake or river management plan shall be updated within five years of 78.12adoption by the lake association. 78.13 Subd. 5. State resources. State agencies may consider star lake or river designation 78.14in determining the allocation of financial and staff resources. 78.15 Sec. 18. [103B.702] STAR LAKE BOARD. 78.16 Subdivision 1. Establishment. (a) The Star Lake Board shall be established as a 78.17nonprofit corporation under section 501(c)(3) of the Internal Revenue Code of 1986, 78.18as amended. The Star Lake Board shall promote and designate star lakes and rivers in 78.19Minnesota under section 103B.701. 78.20 (b) The board must work with private and public entities to leverage the resources 78.21available to achieve and sustain the designation of Minnesota star lakes or rivers. The 78.22board may assist lake associations with finding appropriate technical and financial 78.23assistance and make recommendations to state agencies and local government units 78.24regarding the manner in which technical or financial assistance can be most effectively 78.25delivered. To the extent that money is available, the board may secure, provide, or 78.26recommend financial assistance to meet specific needs of lake associations, for: 78.27 (1) completing a star lake or river management plan when the lake association does 78.28not have an existing management plan and the association is committed to the goals of a 78.29plan, as specified in section 103B.701, subdivision 4; and 78.30 (2) addressing specific issues of the lake or river to achieve or maintain the goals 78.31of the lake or river management plan for lake associations that have achieved a star lake 78.32or river designation. 78.33 (c) The board shall consist of: 79.1 (1) three public members appointed by the speaker of the house, with one member 79.2representing county governments, one member representing city governments, and one 79.3member representing an organization that promotes clean lakes and rivers; 79.4 (2) three public members appointed by the senate Subcommittee on Committees 79.5of the Committee on Rules and Administration, with one member representing county 79.6governments, one member representing city governments, and one member representing 79.7an organization that promotes clean lakes and rivers; 79.8 (3) five members, chosen by the other board members with regard to obtaining 79.9representation from a variety of types of lakes and rivers within the state, who are from 79.10lake associations representing designated star lakes or rivers, or until July 1, 2011, are 79.11eligible to achieve star lake or river designation; 79.12 (4) one member designated by the commissioner of natural resources; 79.13 (5) one member designated by the commissioner of the Pollution Control Agency; 79.14 (6) one member designated by the chair of the Board of Water and Soil Resources; 79.15and 79.16 (7) one member designated by the Indian Affairs Council. 79.17 (d) By January 15 of each odd-numbered year, the board shall submit a report to the 79.18chairs and ranking minority members of the legislative committees and divisions with 79.19jurisdiction over environment policy and finance on the activities for which money has 79.20been or will be spent for the current biennium, the applications for designation, and the 79.21star lakes or rivers designated by the board. 79.22 (e) Public members appointed by the speaker of the house and the senate 79.23Subcommittee on Committees of the Committee on Rules and Administration serve at 79.24the pleasure of the appointing authority. 79.25 Subd. 2. Conflict of interest. A board member may not participate in or vote on a 79.26decision of the board relating to an organization in which the member has either a direct 79.27or indirect personal financial interest. While serving on the Star Lake Board, a member 79.28shall avoid any potential conflict of interest. 79.29 Subd. 3. Staff; contracts. The board may hire staff or enter into contracts to carry 79.30out the activities of the board. 79.31 Subd. 4. Bylaws. The board shall adopt bylaws necessary for the conduct of the 79.32business of the board consistent with this section. The corporation must publish bylaws 79.33and amendments to the bylaws in the State Register. 79.34 Subd. 5. Place of business. The board shall locate and maintain the board's place of 79.35business within the state. 80.1 Subd. 6. Chair. The board shall annually elect from among its members a chair and 80.2other officers necessary for the performance of its duties. 80.3 Subd. 7. Meetings. The board shall meet at least twice each year and may hold 80.4additional meetings upon giving notice in accordance with the bylaws of the board. Board 80.5meetings are subject to chapter 13D. 80.6 Subd. 8. Funds. The board may accept and use gifts, grants, or contributions from 80.7any source. Unless otherwise restricted by the terms of a gift or bequest, the board may 80.8sell, exchange, or otherwise dispose of and invest or reinvest the money, securities, or other 80.9property given or bequested to it. The principal of these funds, the income from them, and 80.10all other revenues received by the board from any nonstate source must be placed in the 80.11depositories the board determines and is subject to expenditure for the board's purposes. 80.12 Subd. 9. Accounts; audits. The board may establish funds and accounts necessary 80.13to carry out its responsibilities. The board shall provide for and pay the cost of an 80.14independent audit of its official books and records by the legislative auditor subject to 80.15sections 3.971 and 3.972. A copy of this audit shall be filed with the secretary of state. 80.16 Sec. 19. Minnesota Statutes 2006, section 103G.271, subdivision 6, is amended to read: 80.17 Subd. 6. Water use permit processing fee. (a) Except as described in paragraphs 80.18(b) to (f), a water use permit processing fee must be prescribed by the commissioner in 80.19accordance with the schedule of fees in this subdivision for each water use permit in force 80.20at any time during the year. The schedule is as follows, with the stated fee in each clause 80.21applied to the total amount appropriated: 80.22 (1) $101 $140 for amounts not exceeding 50,000,000 gallons per year; 80.23 (2) $3 $3.50 per 1,000,000 gallons for amounts greater than 50,000,000 gallons 80.24but less than 100,000,000 gallons per year; 80.25 (3) $3.50 $4 per 1,000,000 gallons for amounts greater than 100,000,000 gallons 80.26but less than 150,000,000 gallons per year; 80.27 (4) $4 $4.50 per 1,000,000 gallons for amounts greater than 150,000,000 gallons 80.28but less than 200,000,000 gallons per year; 80.29 (5) $4.50 $5 per 1,000,000 gallons for amounts greater than 200,000,000 gallons 80.30but less than 250,000,000 gallons per year; 80.31 (6) $5 $5.50 per 1,000,000 gallons for amounts greater than 250,000,000 gallons 80.32but less than 300,000,000 gallons per year; 80.33 (7) $5.50 $6 per 1,000,000 gallons for amounts greater than 300,000,000 gallons 80.34but less than 350,000,000 gallons per year; 81.1 (8) $6 $6.50 per 1,000,000 gallons for amounts greater than 350,000,000 gallons 81.2but less than 400,000,000 gallons per year; 81.3 (9) $6.50 $7 per 1,000,000 gallons for amounts greater than 400,000,000 gallons 81.4but less than 450,000,000 gallons per year; 81.5 (10) $7 $7.50 per 1,000,000 gallons for amounts greater than 450,000,000 gallons 81.6but less than 500,000,000 gallons per year; and 81.7 (11) $7.50 $8 per 1,000,000 gallons for amounts greater than 500,000,000 gallons 81.8per year. 81.9 (b) For once-through cooling systems, a water use processing fee must be prescribed 81.10by the commissioner in accordance with the following schedule of fees for each water use 81.11permit in force at any time during the year: 81.12 (1) for nonprofit corporations and school districts, $150 $200 per 1,000,000 gallons; 81.13and 81.14 (2) for all other users, $300 $420 per 1,000,000 gallons. 81.15 (c) The fee is payable based on the amount of water appropriated during the year 81.16and, except as provided in paragraph (f), the minimum fee is $100. 81.17 (d) For water use processing fees other than once-through cooling systems: 81.18 (1) the fee for a city of the first class may not exceed $250,000 per year; 81.19 (2) the fee for other entities for any permitted use may not exceed: 81.20 (i) $50,000 per year for an entity holding three or fewer permits; 81.21 (ii) $75,000 per year for an entity holding four or five permits; 81.22 (iii) $250,000 per year for an entity holding more than five permits; 81.23 (3) the fee for agricultural irrigation may not exceed $750 per year; 81.24 (4) the fee for a municipality that furnishes electric service and cogenerates steam 81.25for home heating may not exceed $10,000 for its permit for water use related to the 81.26cogeneration of electricity and steam; and 81.27 (5) no fee is required for a project involving the appropriation of surface water to 81.28prevent flood damage or to remove flood waters during a period of flooding, as determined 81.29by the commissioner. 81.30 (e) Failure to pay the fee is sufficient cause for revoking a permit. A penalty of two 81.31percent per month calculated from the original due date must be imposed on the unpaid 81.32balance of fees remaining 30 days after the sending of a second notice of fees due. A fee 81.33may not be imposed on an agency, as defined in section 16B.01, subdivision 2, or federal 81.34governmental agency holding a water appropriation permit. 81.35 (f) The minimum water use processing fee for a permit issued for irrigation of 81.36agricultural land is $20 for years in which: 82.1 (1) there is no appropriation of water under the permit; or 82.2 (2) the permit is suspended for more than seven consecutive days between May 1 82.3and October 1. 82.4 (g) A surcharge of $20 per million gallons in addition to the fee prescribed in 82.5paragraph (a) shall be applied to the volume of water used in each of the months of June, 82.6July, and August that exceeds the volume of water used in January for municipal water 82.7use, irrigation of golf courses, and landscape irrigation. The surcharge for municipalities 82.8with more than one permit shall be determined based on the total appropriations from all 82.9permits that supply a common distribution system. 82.10 Sec. 20. Minnesota Statutes 2007 Supplement, section 103G.291, subdivision 3, 82.11is amended to read: 82.12 Subd. 3. Water supply plans; demand reduction. (a) Every public water supplier 82.13serving more than 1,000 people must submit a water supply plan to the commissioner 82.14for approval by January 1, 1996. In accordance with guidelines developed by the 82.15commissioner, the plan must address projected demands, adequacy of the water supply 82.16system and planned improvements, existing and future water sources, natural resource 82.17impacts or limitations, emergency preparedness, water conservation, supply and demand 82.18reduction measures, and allocation priorities that are consistent with section 103G.261. 82.19Public water suppliers must update their plan and, upon notification, submit it to the 82.20commissioner for approval every ten years. 82.21 (b) The water supply plan in paragraph (a) is required for all communities in the 82.22metropolitan area, as defined in section 473.121, with a municipal water supply system 82.23and is a required element of the local comprehensive plan required under section 473.859. 82.24Water supply plans or updates submitted after December 31, 2008, must be consistent 82.25with the metropolitan area master water supply plan required under section 473.1565, 82.26subdivision 1, paragraph (a), clause (2). 82.27 (c) Public water suppliers serving more than 1,000 people must employ water 82.28use demand reduction measures, including a conservation rate structure, as defined in 82.29subdivision 4, paragraph (a), unless exempted under subdivision 4, paragraph (c), before 82.30requesting approval from the commissioner of health under section 144.383, paragraph 82.31(a) , to construct a public water supply well or requesting an increase in the authorized 82.32volume of appropriation. Demand reduction measures must include evaluation of 82.33conservation rate structures and a public education program that may include a toilet 82.34and showerhead retrofit program. 83.1 (d) Public water suppliers serving more than 1,000 people must submit records 83.2that indicate the number of connections and amount of use by customer category and 83.3volume of water unaccounted for with the annual report of water use required under 83.4section 103G.281, subdivision 3. 83.5 (e) For the purposes of this subdivision section, "public water supplier" means 83.6an entity that owns, manages, or operates a public water supply, as defined in section 83.7144.382, subdivision 4 . 83.8 Sec. 21. Minnesota Statutes 2006, section 103G.291, is amended by adding a 83.9subdivision to read: 83.10 Subd. 4. Conservation rate structure required. (a) For the purposes of this 83.11section, "conservation rate structure" means a rate structure that encourages conservation 83.12and may include increasing block rates, seasonal rates, time of use rates, individualized 83.13goal rates, or excess use rates. The rate structure must consider each residential unit as an 83.14individual user in multiple-family dwellings. 83.15 (b) To encourage conservation, a public water supplier serving more than 1,000 83.16people in the metropolitan area, as defined in section 473.121, subdivision 2, shall use 83.17a conservation rate structure by January 1, 2010. All remaining public water suppliers 83.18serving more than 1,000 people shall use a conservation rate structure by January 1, 2013. 83.19 (c) A public water supplier without the proper measuring equipment to track the 83.20amount of water used by its users, as of the effective date of this act, is exempt from 83.21this subdivision and the conservation rate structure requirement under subdivision 3, 83.22paragraph (c). 83.23 Sec. 22. Minnesota Statutes 2006, section 103G.615, subdivision 2, is amended to read: 83.24 Subd. 2. Fees. (a) The commissioner shall establish a fee schedule for permits to 83.25control or harvest aquatic plants other than wild rice. The fees must be set by rule, and 83.26section 16A.1283 does not apply, but the rule must not take effect until 45 legislative 83.27days after it has been reported to the legislature. The fees may not exceed $750 per 83.28permit shall be based upon the cost of receiving, processing, analyzing, and issuing the 83.29permit, and additional costs incurred after the application to inspect and monitor the 83.30activities authorized by the permit, and enforce aquatic plant management rules and 83.31permit requirements. 83.32 (b) The A fee for a permit for the control of rooted aquatic vegetation is $35 for each 83.33contiguous parcel of shoreline owned by an owner may be charged. This fee may not 84.1be charged for permits issued in connection with purple loosestrife control or lakewide 84.2Eurasian water milfoil control programs. 84.3 (c) A fee may not be charged to the state or a federal governmental agency applying 84.4for a permit. 84.5 (d) The money received for the permits under this subdivision shall be deposited in 84.6the treasury and credited to the water recreation account. 84.7 Sec. 23. [114D.50] CLEAN WATER FUND. 84.8 The clean water fund is established in the Minnesota Constitution, article XI, section 84.915. All money earned by the fund must be credited to the fund. 84.10EFFECTIVE DATE.This section is effective July 1, 2009, if the constitutional 84.11amendment proposed in Laws 2008, chapter 151, is adopted by the voters. 84.12 Sec. 24. Minnesota Statutes 2006, section 116.07, subdivision 4, is amended to read: 84.13 Subd. 4. Rules and standards. Pursuant and subject to the provisions of chapter 14, 84.14and the provisions hereof, the Pollution Control Agency may adopt, amend and rescind 84.15rules and standards having the force of law relating to any purpose within the provisions 84.16of Laws 1967, chapter 882, for the prevention, abatement, or control of air pollution. 84.17Any such rule or standard may be of general application throughout the state, or may be 84.18limited as to times, places, circumstances, or conditions in order to make due allowance 84.19for variations therein. Without limitation, rules or standards may relate to sources or 84.20emissions of air contamination or air pollution, to the quality or composition of such 84.21emissions, or to the quality of or composition of the ambient air or outdoor atmosphere or 84.22to any other matter relevant to the prevention, abatement, or control of air pollution. 84.23 Pursuant and subject to the provisions of chapter 14, and the provisions hereof, the 84.24Pollution Control Agency may adopt, amend, and rescind rules and standards having the 84.25force of law relating to any purpose within the provisions of Laws 1969, chapter 1046, 84.26for the collection, transportation, storage, processing, and disposal of solid waste and the 84.27prevention, abatement, or control of water, air, and land pollution which may be related 84.28thereto, and the deposit in or on land of any other material that may tend to cause pollution. 84.29The agency shall adopt such rules and standards for sewage sludge, addressing the intrinsic 84.30suitability of land, the volume and rate of application of sewage sludge of various degrees 84.31of intrinsic hazard, design of facilities, and operation of facilities and sites. Any such rule 84.32or standard may be of general application throughout the state or may be limited as to 84.33times, places, circumstances, or conditions in order to make due allowance for variations 84.34therein. Without limitation, rules or standards may relate to collection, transportation, 85.1processing, disposal, equipment, location, procedures, methods, systems or techniques 85.2or to any other matter relevant to the prevention, abatement or control of water, air, and 85.3land pollution which may be advised through the control of collection, transportation, 85.4processing, and disposal of solid waste and sewage sludge, and the deposit in or on land of 85.5any other material that may tend to cause pollution. By January 1, 1983, the rules for the 85.6management of sewage sludge shall include an analysis of the sewage sludge determined 85.7by the commissioner of agriculture to be necessary to meet the soil amendment labeling 85.8requirements of section 18C.215. The rules for the disposal of solid waste shall include 85.9site-specific criteria to prohibit solid waste disposal based on the area's sensitivity to 85.10groundwater contamination, including site-specific testing. The rules shall also include 85.11modifications to financial assurance requirements under subdivision 4h that ensure the 85.12state is protected from financial responsibility for future groundwater contamination. Until 85.13the rules are modified to include site-specific criteria to prohibit areas from solid waste 85.14disposal due to groundwater contamination sensitivity, as required under this section, the 85.15agency shall not issue a permit for a new solid waste disposal facility, except for: 85.16 (1) the reissuance of a permit for a land disposal facility operating as of March 85.171, 2008; 85.18 (2) a permit to expand a land disposal facility operating as of March 1, 2008, beyond 85.19its permitted boundaries, including expansion on land that is not contiguous to, but is 85.20located within 600 yards of, the land disposal facility's permitted boundaries; 85.21 (3) a permit to modify the type of waste accepted at a land disposal facility operating 85.22as of March 1, 2008; 85.23 (4) a permit to locate a disposal facility that accepts only construction debris as 85.24defined in section 115A.03, subdivision 7; 85.25 (5) a permit to locate a disposal facility that: 85.26 (i) accepts boiler ash from an electric energy power plant that has wet scrubbed units 85.27or has units that have been converted from wet scrubbed units to dry scrubbed units as 85.28those terms are defined in section 216B.68; 85.29 (ii) is on land that was owned on May 1, 2008, by the utility operating the electric 85.30energy power plant; and 85.31 (iii) is located within three miles of the existing ash disposal facility for the power 85.32plant; or 85.33 (6) a permit to locate a new solid waste disposal facility for ferrous metallic minerals 85.34regulated under Minnesota Rules, chapter 6130, or for nonferrous metallic minerals 85.35regulated under Minnesota Rules, chapter 6132. 86.1 Pursuant and subject to the provisions of chapter 14, and the provisions hereof, the 86.2Pollution Control Agency may adopt, amend and rescind rules and standards having the 86.3force of law relating to any purpose within the provisions of Laws 1971, chapter 727, for 86.4the prevention, abatement, or control of noise pollution. Any such rule or standard may 86.5be of general application throughout the state, or may be limited as to times, places, 86.6circumstances or conditions in order to make due allowances for variations therein. 86.7Without limitation, rules or standards may relate to sources or emissions of noise or noise 86.8pollution, to the quality or composition of noises in the natural environment, or to any 86.9other matter relevant to the prevention, abatement, or control of noise pollution. 86.10 As to any matters subject to this chapter, local units of government may set emission 86.11regulations with respect to stationary sources which are more stringent than those set 86.12by the Pollution Control Agency. 86.13 Pursuant to chapter 14, the Pollution Control Agency may adopt, amend, and rescind 86.14rules and standards having the force of law relating to any purpose within the provisions of 86.15this chapter for generators of hazardous waste, the management, identification, labeling, 86.16classification, storage, collection, treatment, transportation, processing, and disposal 86.17of hazardous waste and the location of hazardous waste facilities. A rule or standard 86.18may be of general application throughout the state or may be limited as to time, places, 86.19circumstances, or conditions. In implementing its hazardous waste rules, the Pollution 86.20Control Agency shall give high priority to providing planning and technical assistance 86.21to hazardous waste generators. The agency shall assist generators in investigating the 86.22availability and feasibility of both interim and long-term hazardous waste management 86.23methods. The methods shall include waste reduction, waste separation, waste processing, 86.24resource recovery, and temporary storage. 86.25 The Pollution Control Agency shall give highest priority in the consideration of 86.26permits to authorize disposal of diseased shade trees by open burning at designated sites to 86.27evidence concerning economic costs of transportation and disposal of diseased shade trees 86.28by alternative methods. 86.29EFFECTIVE DATE.This section is effective the day following final enactment. 86.30 Sec. 25. [129D.17] ARTS AND CULTURAL HERITAGE FUND. 86.31 The arts and cultural heritage fund is established in the Minnesota Constitution, 86.32article XI, section 15. All money earned by the fund must be credited to the fund. 86.33EFFECTIVE DATE.This section is effective July 1, 2009, if the constitutional 86.34amendment proposed in Laws 2008, chapter 151, is adopted by the voters. 87.1 Sec. 26. [173.0855] STAR LAKE OR RIVER SIGNS. 87.2 Subdivision 1. Authority to erect. (a) A county, statutory or home rule charter city, 87.3or town of Minnesota that contains a star lake or river designated under section 103B.701 87.4may request the Department of Transportation to erect star lake or river signs pursuant 87.5to section 161.139. One sign may be erected at each approach to a lake or river within 87.6the right-of-way of an interstate or other highway that passes over a lake or river in the 87.7Department of Transportation's eight-county metropolitan district or near or over a lake or 87.8river in greater Minnesota. 87.9 (b) An official lake or river sign on the right-of-way of an interstate or other highway 87.10may be replaced with a star lake or river sign by the Department of Transportation 87.11pursuant to section 161.139. 87.12 Subd. 2. Sign standards. The Department of Transportation shall design and 87.13manufacture the star lake and river signs to specifications not contrary to other federal 87.14and state highway sign standards. 87.15 Sec. 27. Minnesota Statutes 2006, section 473.1565, subdivision 3, is amended to read: 87.16 Subd. 3. Reports to legislature. The council must submit reports to the legislature 87.17regarding its findings, recommendations, and continuing planning activities under 87.18subdivision 1. The first report must be submitted to the legislature by the date the 87.19legislature convenes in 2007 and subsequent reports must be submitted by such date 87.20every five years thereafter. These reports shall be included in the "Minnesota Water Plan" 87.21required in section 103B.151, and five-year interim reports may be provided as necessary. 87.22 Sec. 28. Laws 2007, chapter 57, article 1, section 4, subdivision 4, is amended to read: 87.23 Subd. 4. Forest Management 44,495,000 43,393,000

87.24 Appropriations by Fund 87.25 General 24,755,000 24,836,000 87.26 Natural Resources 19,483,000 18,293,000 87.27 Game and Fish 257,000 264,000

87.28$7,217,000 the first year and $7,217,000 87.29the second year are for prevention, 87.30presuppression, and suppression costs of 87.31emergency firefighting and other costs 87.32incurred under Minnesota Statutes, section 88.188.12 . If the appropriation for either 88.2year is insufficient to cover all costs of 88.3presuppression and suppression, the amount 88.4necessary to pay for these costs during the 88.5biennium is appropriated from the general 88.6fund. 88.7By November 15 of each year, the 88.8commissioner of natural resources shall 88.9submit a report to the chairs of the house 88.10and senate committees and divisions having 88.11jurisdiction over environment and natural 88.12resources finance, identifying all firefighting 88.13costs incurred and reimbursements received 88.14in the prior fiscal year. These appropriations 88.15may not be transferred. Any reimbursement 88.16of firefighting expenditures made to the 88.17commissioner from any source other than 88.18federal mobilizations shall be deposited into 88.19the general fund. 88.20$17,983,000 the first year and $18,293,000 88.21the second year are from the forest 88.22management investment account in the 88.23natural resources fund for only the purposes 88.24specified in Minnesota Statutes, section 88.2589.039 , subdivision 2. 88.26Of this amount: 88.27(1) $750,000 each year is for additional staff 88.28to enhance timber sales; 88.29(2) $1,000,000 each year is for forest 88.30improvements; 88.31(3) $1,100,000 each year is for forest road 88.32maintenance; 88.33(4) $600,000 each year is for the ecological 88.34classification system on state forest lands; 89.1(5) $350,000 each year is for the prevention 89.2of invasive species on state forest lands; and 89.3(6) $400,000 each year is for the re-inventory 89.4of state forest lands. 89.5Money for forest road maintenance is 89.6onetime. 89.7$780,000 the first year and $780,000 the 89.8second year are for the Forest Resources 89.9Council for implementation of the 89.10Sustainable Forest Resources Act. 89.11$40,000 the first year is for the Forest 89.12Resources Council to provide a grant to 89.13the University of Minnesota to prepare a 89.14statewide plan to address the fragmentation 89.15and parcelization of large blocks of forest 89.16land in the state. 89.17$200,000 in fiscal year 2008 is for a grant 89.18to the Forest Resources Research Advisory 89.19Committee to provide direction on research 89.20topics recommended by the governor's task 89.21force on the competitiveness of Minnesota's 89.22primary forest products industry. 89.23$350,000 the first year and $350,000 the 89.24second year are for the FORIST timber 89.25management information system, other 89.26information systems, and for increased 89.27forestry management. The amount in the 89.28second year is also available in the first year. 89.29$257,000 the first year and $264,000 the 89.30second year are from the game and fish 89.31fund to implement ecological classification 89.32systems (ECS) standards on forested 89.33landscapes. This appropriation is from 89.34revenue deposited in the game and fish fund 90.1under Minnesota Statutes, section 297A.94, 90.2paragraph (e), clause (1). 90.3$110,000 the first year is to develop and 90.4implement a statewide information and 90.5education campaign regarding the statewide 90.6ban on the transport, storage, or use of 90.7nonapproved firewood on state-administered 90.8lands. 90.9$1,500,000 the first year is from the forest 90.10management investment account in the 90.11natural resources fund for the purposes of 90.12section 158. This is a onetime appropriation. 90.13$75,000 the first year is to the Forest 90.14Resources Council for a task force on 90.15forest protection and $75,000 the second 90.16year is appropriated to the commissioner 90.17for grants to cities, counties, townships, 90.18special recreation areas, and park and 90.19recreation boards in cities of the first class 90.20for the identification, removal, disposal, and 90.21replacement of dead or dying shade trees 90.22lost to forest pests or disease. For purposes 90.23of this section, "shade tree" means a woody 90.24perennial grown primarily for aesthetic or 90.25environmental purposes with minimal to 90.26residual timber value. The commissioner 90.27shall consult with municipalities; park and 90.28recreation boards in cities of the first class; 90.29nonprofit organizations; and other interested 90.30parties in developing eligibility criteria. * 90.31(The preceding text beginning "$75,000 90.32the first year" was indicated as vetoed by 90.33the governor.) 90.34$200,000 in fiscal year 2008 is for a grant 90.35to the Natural Resources Research Institute 91.1for silvicultural research to improve the 91.2quality and quantity of timber fiber. The 91.3appropriation must be matched in the amount 91.4of $200,000 in cash or in-kind contributions 91.5from the forest products industry members of 91.6the Minnesota Forest Productivity Research 91.7Cooperative. 91.8$1,000,000 the first year and $1,000,000 91.9the second year are to support additional 91.10technical and cost-share assistance to 91.11nonindustrial private forest (NIPF) 91.12landowners forest management activities. 91.13The base appropriation in fiscal year 2010 91.14and later is $500,000. 91.15$200,000 the first year and $200,000 the 91.16second year are to address escalating 91.17land asset management demands, such as 91.18boundary disputes, access easements, and 91.19sale, exchange, and acquisition of forest 91.20lands support additional forest management 91.21activities. 91.22 Sec. 29. Laws 2007, chapter 57, article 1, section 4, subdivision 6, is amended to read: 91.23 Subd. 6. Trails and Waterways Management 30,257,000 30,492,000

91.24 Appropriations by Fund 91.25 General 2,538,000 2,568,000 91.26 Natural Resources 25,600,000 25,730,000 91.27 Game and Fish 2,119,000 2,194,000

91.28$8,424,000 the first year and $8,424,000 91.29the second year are from the snowmobile 91.30trails and enforcement account in the natural 91.31resources fund for snowmobile grants-in-aid. 91.32The additional money under this item may 91.33be used for new grant-in-aid trails. Any 92.1unencumbered balance does not cancel at the 92.2end of the first year and is available for the 92.3second year. 92.4$1,175,000 the first year and $1,325,000 the 92.5second year are from the natural resources 92.6fund for off-highway vehicle grants-in-aid. 92.7Of this amount, $825,000 the first year and 92.8$1,075,000 the second year are from the 92.9all-terrain vehicle account; $150,000 each 92.10year is from the off-highway motorcycle 92.11account; and $200,000 the first year and 92.12$100,000 the second year are from the 92.13off-road vehicle account. Any unencumbered 92.14balance does not cancel at the end of the first 92.15year and is available for the second year. 92.16$261,000 the first year and $261,000 the 92.17second year are from the water recreation 92.18account in the natural resources fund for a 92.19safe harbor program on Lake Superior. 92.20$742,000 the first year and $760,000 92.21the second year are from the natural 92.22resources fund for state trail operations 92.23and maintenance. The money may be used 92.24for trail maintenance, signage, mapping, 92.25interpretation, native prairie restoration 92.26using best management practices, and 92.27maintenance of nonmotorized forest trails. 92.28This appropriation is from the revenue 92.29deposited in the natural resources fund 92.30under Minnesota Statutes, section 297A.94, 92.31paragraph (e), clause (2). 92.32$655,000 the first year and $655,000 the 92.33second year are from the natural resources 92.34fund for trail grants to local units of 92.35government on land to be maintained for 93.1at least 20 years for the purposes of the 93.2grant. This appropriation is from the revenue 93.3deposited in the natural resources fund 93.4under Minnesota Statutes, section 297A.94, 93.5paragraph (e), clause (4). Any unencumbered 93.6balance does not cancel at the end of the 93.7first year and is available for the second 93.8year. In addition, if a project financed under 93.9this program receives a federal grant award, 93.10the availability of the financing from this 93.11paragraph for that project is extended to 93.12equal the period of the federal grant. 93.13$150,000 the first year and $150,000 the 93.14second year are from the all-terrain vehicle 93.15account for two all-terrain vehicle trail 93.16specialists to assist and consult with on 93.17all-terrain vehicle grant-in-aid education and 93.18training for sustainable trail development and 93.19maintenance, as well as providing training 93.20for public and private sector trail monitoring. 93.21The specialists may assist in the evaluation 93.22of grant-in-aid trail proposals, but not in the 93.23promotion of new trails. 93.24$1,965,000 the first year and $2,040,000 93.25the second year are from the game and fish 93.26fund for expenditures on water access sites 93.27according to the requirements of the federal 93.28sport and fish restoration program. 93.29Money appropriated under Laws 2005, First 93.30Special Session chapter 1, article 2, section 93.3111, subdivision 6, paragraph (h), for the Paul 93.32Bunyan State Trail connection is available 93.33until June 30, 2008. 94.1$400,000 each year is for operation and 94.2maintenance of nonmotorized trails within 94.3state forests. This is a onetime appropriation. 94.4$75,000 each year is for additional wild and 94.5scenic rivers program activities. 94.6$120,000 the first year is from the 94.7water recreation account in the natural 94.8resources fund to cooperate with local 94.9units of government in marking routes and 94.10designating river accesses and campsites 94.11under Minnesota Statutes, section 85.32. 94.12This is a onetime appropriation and available 94.13until spent. 94.14The appropriation in Laws 2005, First 94.15Special Session chapter 1, article 2, section 94.163, subdivision 6, from the lottery in lieu 94.17account in the natural resources fund for 94.18trail grants to local units of government, is 94.19available until June 30, 2009. 94.20 Sec. 30. MINING ADMINISTRATIVE FEE. 94.21 (a) Until a new application fee schedule is adopted for permits to mine or process 94.22taconite according to the report submitted by the commissioner of natural resources under 94.23this article, the commissioner shall charge the administrative fees established in paragraph 94.24(b), payable to the commissioner by June 30 of each year, beginning in 2008. 94.25 (b) A company that manages a taconite mining or taconite processing operation 94.26shall pay: 94.27 (1) $90,000 if the total production of the company's combined operations in the state 94.28had an annual production of 10,000,000 or more tons of taconite pellets or iron nuggets 94.29during the previous calendar year; 94.30 (2) $10,000 if the total production of the company's combined operations in the state 94.31had an annual production of less than 10,000,000 tons of taconite pellets or iron nuggets 94.32during the previous calendar year; and 94.33 (3) $3,333 if the mining operation is permitted to mine, but had no annual production 94.34of taconite pellets or iron nuggets during the previous calendar year. 95.1EFFECTIVE DATE.This section is effective the day following final enactment 95.2and applies to companies that manage a taconite mining or taconite processing operation 95.3holding or applying for a permit to mine under Minnesota Statutes, section 93.481, during 95.4the 2007 calendar year. 95.5 Sec. 31. DEPARTMENT OF NATURAL RESOURCES RULEMAKING 95.6REQUIRED; STRUCTURES IN PUBLIC WATERS. 95.7 By January 15, 2010, the commissioner of natural resources shall update rules 95.8on structures that are allowed in public waters and the permit requirements for those 95.9structures under Minnesota Rules, chapter 6115. The Department of Natural Resources 95.10general permit no. 2008-0401 expires on the effective date of the updated rules. 95.11EFFECTIVE DATE.This section is effective the day following final enactment. 95.12 Sec. 32. FIRST MEETING; DEADLINE FOR APPOINTMENTS. 95.13 The appointing authorities named in Minnesota Statutes, section 103B.702, must 95.14complete their appointments to the Star Lake Board by January 15, 2009, with the 95.15exception of the appointments required under Minnesota Statutes, section 103B.702, 95.16subdivision 1, paragraph (c), clause (3), which must be completed within 30 days of the 95.17first meeting of the board. The board member designated by the Board of Water and Soil 95.18Resources must convene the first meeting of the board no later than February 15, 2009. 95.19 Sec. 33. SOLID WASTE DISPOSAL RULES REPORT; LEGISLATIVE 95.20REVIEW. 95.21 By January 15, 2010, the Pollution Control Agency shall report to the senate and 95.22house of representatives environment policy and finance committees and divisions on 95.23proposed rules, under Minnesota Statutes, section 116.07, subdivision 4, to prohibit the 95.24disposal of solid waste in specific areas due to the sensitivity of the area to groundwater 95.25contamination. 95.26EFFECTIVE DATE.This section is effective the day following final enactment. 95.27 Sec. 34. INDUSTRIAL AND CONSTRUCTION AND DEMOLITION 95.28LANDFILL WORKING GROUP. 95.29 The commissioner of the Pollution Control Agency shall, by July 15, 2008, convene 95.30a working group to develop, evaluate, and recommend policies and legislation regarding 95.31the management of industrial solid waste and construction and demolition debris in land 95.32disposal facilities. The commissioner shall appoint members of the working group, 95.33including representatives from counties, state agencies, private landfill owners, waste 96.1haulers, environmental organizations, and other interested parties to serve on the working 96.2group. The Pollution Control Agency shall serve as staff to the working group. The 96.3working group shall submit a report of its findings and recommendations to the chairs and 96.4ranking minority members of the senate and house of representatives committees with 96.5primary jurisdiction over environmental policy and environmental finance by January 96.615, 2009. 96.7ARTICLE 6 96.8ENERGY, COMMERCE, UTILITIES 96.9 Section 1. SUMMARY OF APPROPRIATIONS.

96.10 The amounts shown in this section summarize direct appropriations or reductions, 96.11by fund, made in this article. 96.12 20082009Total 96.13 General$(2,670,000)$(1,436,000)$(4,106,000)

96.14 Sec. 2. APPROPRIATIONS.

96.15 The dollar amounts in the columns under "APPROPRIATIONS" are added to or, 96.16if shown in parentheses, subtracted from the appropriations in Laws 2007, chapter 57, 96.17or other law to the specified agencies. The appropriations are from the general fund, or 96.18another named fund, and are available for the fiscal years indicated for each purpose. The 96.19figures "2008" and "2009" used in this article mean that the appropriations listed under 96.20them are available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 96.21"The first year" is fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" 96.22is fiscal years 2008 and 2009. Appropriations for the fiscal year ending June 30, 2008, are 96.23effective the day following final enactment. 96.24 APPROPRIATIONS 96.25 Available for the Year 96.26 Ending June 30 96.27 20082009

96.28 Sec. 3. COMMERCE

96.29 Subdivision 1.Total Appropriation$(2,670,000)$(1,436,000)

96.30 Subd. 2.Administration-0-84,000

97.1$46,000 in the second year is a base reduction 97.2to the administration program and the Office 97.3of Energy Security. 97.4$130,000 in the second year is a base increase 97.5for staffing to enhance unclaimed property 97.6compliance. 97.7 Subd. 3.Market Assurance(270,000)(270,000)

97.8This is a base reduction to the do not call 97.9program. 97.10 Subd. 4.Energy and Telecommunications(2,400,000)(1,250,000)

97.11$200,000 in the first year is for the solar 97.12rebate program. Equipment used to heat hot 97.13water at a residential property for domestic 97.14use, not including equipment used for a hot 97.15tub or swimming pool, is eligible for the 97.16solar rebate program. This is a onetime 97.17appropriation and is available until spent. 97.18Of the amounts appropriated from the 97.19special revenue fund in the second year 97.20to the commissioner of commerce for 97.21renewable energy research under Laws 2007, 97.22chapter 57, article 2, section 3, subdivision 97.236, clause (7), $500,000 must be used to 97.24support the algae-to-biofuels research project 97.25at the University of Minnesota and the 97.26Metropolitan Council. 97.27Money appropriated from the special revenue 97.28fund for renewable energy research under 97.29Laws 2007, chapter 57, article 2, section 3, 97.30subdivision 6, clause (7), may be used for a 97.31grant to a cellulosic ethanol facility using 97.32paper mill sludge. 98.1Of the assessment amount authorized under 98.2Minnesota Statutes, section 216B.241, 98.3subdivision 1e, up to $200,000 in the second 98.4year shall be used for the required report 98.5and activities of the Green Jobs Task Force 98.6established in this article. This is a onetime 98.7appropriation. 98.8Of the amounts appropriated in the second 98.9year to the commissioner of commerce from 98.10the special revenue fund for environmentally 98.11friendly automotive technology projects 98.12under Laws 2007, chapter 57, article 2, 98.13section 3, subdivision 6, clause (4), up to 98.14$200,000 is for the green economy report and 98.15the statewide action plan and other activities 98.16of the Green Jobs Task Force established in 98.17this article, of which no more than $50,000 98.18may be spent for the green economy report; 98.19$100,000 is for the city of St. Paul for a 98.20site evaluation of the Ford manufacturing 98.21plant and for workforce development and 98.22skills assessment of the Ford employees; 98.23and $250,000 is for activities and research 98.24for the Green Manufacturing Initiative 98.25by a statewide organization dedicated to 98.26furthering the green economy and its fiscal 98.27agent. 98.28$1,250,000 is a reduction from the fiscal 98.29year 2009 appropriation for E-85 cost share 98.30grants. The base for the grant program in 98.31fiscal year 2010 is $1,000,000. The base for 98.32fiscal year 2011 is $0. 98.33$2,600,000 is a reduction from the fiscal year 98.342008 appropriation for renewable hydrogen 98.35initiative grants. 99.1 Subd. 5.Transfers

99.2(a) Insurance Fraud Prevention Account 99.3Prior to July 31, 2008, the commissioner of 99.4finance shall transfer $1,500,000 from the 99.5unexpended balance of the insurance fraud 99.6prevention account established in Minnesota 99.7Statutes, section 45.0135, to the general fund. 99.8After June 15, 2009, and prior to June 30, 99.92009, the commissioner of finance shall 99.10transfer $1,500,000 from the unexpended 99.11balance of the insurance fraud prevention 99.12account established in Minnesota Statutes, 99.13section 45.0135, to the general fund. 99.14(b) Real Estate Education, Research and 99.15Recovery Fund 99.16Prior to July 31, 2008, the commissioner 99.17of finance shall transfer $850,000 from 99.18the unexpended balance of the real estate 99.19education, research and recovery fund 99.20established in Minnesota Statutes, section 99.2182.43, to the general fund. 99.22(c) Consumer Education Account 99.23Prior to July 31, 2008, the commissioner 99.24of finance shall transfer $100,000 from 99.25the unexpended balance of the consumer 99.26education account established under 99.27Minnesota Statutes, section 58.10, to the 99.28general fund. 99.29(d) Automobile Theft Prevention Account 99.30Prior to July 31, 2008, the commissioner 99.31of finance shall transfer $230,000 from the 99.32unexpended balance of the automobile theft 100.1prevention account established in Minnesota 100.2Statutes, section 168A.40, to the general 100.3fund. 100.4 (e) Assigned Risk Plan

100.5By June 30, 2009, the commissioner of 100.6finance shall transfer $10,000,000 in assets of 100.7the workers' compensation assigned risk plan 100.8created under Minnesota Statutes, section 100.979.252, to the general fund. 100.10 Sec. 4. PUBLIC UTILITIES COMMISSION

100.11Prior to July 31, 2008, the commissioner 100.12of finance shall transfer $4,000,000 from 100.13the telephone assistance fund established in 100.14Minnesota Statutes, section 237.701, to the 100.15general fund. 100.16 Sec. 5. Minnesota Statutes 2007 Supplement, section 80A.65, subdivision 1, is 100.17amended to read: 100.18 Subdivision 1. Registration or notice filing fee. (a) There shall be a filing fee of 100.19$100 for every application for registration or notice filing. There shall be an additional fee 100.20of one-tenth of one percent of the maximum aggregate offering price at which the securities 100.21are to be offered in this state, and the maximum combined fees shall not exceed $300. 100.22 (b) When an application for registration is withdrawn before the effective date 100.23or a preeffective stop order is entered under section 80A.54, all but the $100 filing fee 100.24shall be returned. If an application to register securities is denied, the total of all fees 100.25received shall be retained. 100.26 (c) Where a filing is made in connection with a federal covered security under 100.27section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing. 100.28If the filing is made in connection with redeemable securities issued by an open end 100.29management company or unit investment trust, as defined in the Investment Company Act 100.30of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate 100.31offering price at which the securities are to be offered in this state during the notice filing 100.32period. The fee must be paid at the time of the initial filing and thereafter in connection 100.33with each renewal no later than July 1 of each year and must be sufficient to cover the 101.1shares the issuer expects to sell in this state over the next 12 months. If during a current 101.2notice filing the issuer determines it is likely to sell shares in excess of the shares for which 101.3fees have been paid to the administrator, the issuer shall submit an amended notice filing 101.4to the administrator under section 80A.50, together with a fee of 1/20 of one percent of the 101.5maximum aggregate offering price of the additional shares. Shares for which a fee has 101.6been paid, but which have not been sold at the time of expiration of the notice filing, may 101.7not be sold unless an additional fee to cover the shares has been paid to the administrator 101.8as provided in this section and section 80A.50. If the filing is made in connection with 101.9redeemable securities issued by such a company or trust, there is no maximum fee for 101.10securities filings made according to this paragraph. If the filing is made in connection 101.11with any other federal covered security under Section 18(b)(2) of the Securities Act of 101.121933, there is an additional fee of one-tenth of one percent of the maximum aggregate 101.13offering price at which the securities are to be offered in this state, and the combined fees 101.14shall not exceed $300. Beginning with fiscal year 2001 and continuing each fiscal year 101.15thereafter, as of the last day of each fiscal year, the administrator shall determine the total 101.16amount of all fees that were collected under this paragraph in connection with any filings 101.17made for that fiscal year for securities of an open-end investment company on behalf of a 101.18security that is a federal covered security pursuant to section 18(b)(2) of the Securities 101.19Act of 1933. To the extent the total fees collected by the administrator in connection 101.20with these filings exceed $25,600,000 in a fiscal year, the administrator shall refund, on 101.21a pro rata basis, to all persons who paid any fees for that fiscal year, the amount of fees 101.22collected by the administrator in excess of $25,600,000. No individual refund is required 101.23of amounts of $100 or less for a fiscal year. 101.24EFFECTIVE DATE.This section is effective the day following final enactment. 101.25 Sec. 6. Minnesota Statutes 2007 Supplement, section 216C.41, subdivision 3, is 101.26amended to read: 101.27 Subd. 3. Eligibility window. Payments may be made under this section only for: 101.28 (a) electricity generated from: 101.29 (1) a qualified hydroelectric facility that is operational and generating electricity 101.30before December 31, 2009 2011; 101.31 (2) a qualified wind energy conversion facility that is operational and generating 101.32electricity before January 1, 2008; or 101.33 (3) a qualified on-farm biogas recovery facility from July 1, 2001, through December 101.3431, 2017; and 102.1 (b) gas generated from a qualified on-farm biogas recovery facility from July 1, 102.22007, through December 31, 2017. 102.3 Sec. 7. Minnesota Statutes 2006, section 216C.41, subdivision 4, is amended to read: 102.4 Subd. 4. Payment period. (a) A facility may receive payments under this section for 102.5a ten-year period. No payment under this section may be made for electricity generated: 102.6 (1) by a qualified hydroelectric facility after December 31, 2019 2021; 102.7 (2) by a qualified wind energy conversion facility after December 31, 2018; or 102.8 (3) by a qualified on-farm biogas recovery facility after December 31, 2015. 102.9 (b) The payment period begins and runs consecutively from the date the facility 102.10begins generating electricity or, in the case of refurbishment of a hydropower facility, after 102.11substantial repairs to the hydropower facility dam funded by the incentive payments are 102.12initiated. 102.13 Sec. 8. Minnesota Statutes 2006, section 325E.313, is amended to read: 102.14325E.313 NO-CALL LIST. 102.15 Subdivision 1. Establishment of list. The commissioner shall establish and 102.16maintain a list of telephone numbers of residential subscribers who object to receiving 102.17telephone solicitations. The commissioner may fulfill the requirements of this subdivision 102.18by contracting with an agent for the establishment and maintenance of the list. The list 102.19must be established by January 1, 2003. 102.20 Subd. 2. Operation and maintenance of list. (a) Each local exchange company 102.21must inform its residential subscribers of the opportunity to provide notification to 102.22the commissioner or its contractor that the subscriber objects to receiving telephone 102.23solicitations. The notification must be made in the manner prescribed by the commissioner. 102.24 (b) Any residential subscriber may contact the commissioner or the commissioner's 102.25agent and give notice, in the manner prescribed by the commissioner, that the subscriber 102.26objects to receiving telephone solicitations. The commissioner shall add the telephone 102.27number of any subscriber who gives notice of objection to the list maintained pursuant to 102.28subdivision 1 within 90 days of the date the notice is received. 102.29 (c) Any notice given by a subscriber under this subdivision shall be effective for 102.30four years unless revoked by the subscriber. Any subsequent notices given by the same 102.31subscriber related to a different telephone number are separate from the original notice. 102.32 (d) (c) The commissioner shall allow consumers to give notice under this subdivision 102.33by mail or electronically. 103.1 (e) (d) The commissioner shall establish the procedures by which a person wishing 103.2to make telephone solicitations may obtain access to the list. Those procedures shall, to 103.3the extent practicable, allow for access to paper or electronic copies of the list. 103.4 Subd. 3. Use of federal list. If, pursuant to United States Code, title 15, section 103.56102(a), the Federal Trade Commission establishes a national list of telephone numbers 103.6of subscribers who object to receiving telephone solicitations, the commissioner shall 103.7include subscribers who live in Minnesota and are included in the national list in the list 103.8established under this section. The commissioner shall also transmit to the Federal Trade 103.9Commission the telephone numbers included on the no-call list established under this 103.10section and shall request that they be included in the national list may consider the Federal 103.11Trade Commission as its agent for the establishment and maintenance of a list. 103.12 Sec. 9. Minnesota Statutes 2006, section 325E.314, is amended to read: 103.13325E.314 FEES; ACQUISITION AND USE OF LIST. 103.14 (a) A person or entity desiring to make telephone solicitations shall pay a fee, 103.15payable to the commissioner, for access to, or for paper or electronic copies of, the list 103.16established under section . The fee shall not exceed $125 for each acquisition of 103.17the list. The fee shall not exceed $90 in fiscal year 2004, and the fee shall not exceed $75 103.18in fiscal year 2005 and thereafter. 103.19 (b) (a) A caller who makes a telephone solicitation to the telephone line of any 103.20residential subscriber must, at the time of the call, have obtained access to a current 103.21version of the list at least once in the 90 days prior to the call. A caller who complies with 103.22this requirement is not liable for any violation of section 325E.312 relating to a solicitation 103.23made to a subscriber during the first 30 days after the caller first obtained a copy of the list 103.24including that subscriber's telephone number that has not been superseded by a later list 103.25obtained by the caller that does not include the subscriber's telephone number. 103.26 (c) (b) If the Federal Trade Commission establishes a national do-not-call list as 103.27described in section 325E.313, subdivision 3 2, a person or entity who is required by law 103.28to obtain a copy of the national list is not required to purchase or retain a copy of the list 103.29established by the commissioner, unless the Federal Trade Commission fails to incorporate 103.30the Minnesota names transmitted by the commissioner may meet its requirement through 103.31proof of purchase of the Minnesota numbers from the federal list. 103.32 Sec. 10. Minnesota Statutes 2006, section 609.531, subdivision 1, is amended to read: 103.33 Subdivision 1. Definitions. For the purpose of sections 609.531 to 609.5318, the 103.34following terms have the meanings given them. 104.1 (a) "Conveyance device" means a device used for transportation and includes, but 104.2is not limited to, a motor vehicle, trailer, snowmobile, airplane, and vessel and any 104.3equipment attached to it. The term "conveyance device" does not include property which 104.4is, in fact, itself stolen or taken in violation of the law. 104.5 (b) "Weapon used" means a dangerous weapon as defined under section 609.02, 104.6subdivision 6 , that the actor used or had in possession in furtherance of a crime. 104.7 (c) "Property" means property as defined in section 609.52, subdivision 1, clause (1). 104.8 (d) "Contraband" means property which is illegal to possess under Minnesota law. 104.9 (e) "Appropriate agency" means the Bureau of Criminal Apprehension, the 104.10Department of Commerce Division of Insurance Fraud Prevention, the Minnesota Division 104.11of Driver and Vehicle Services, the Minnesota State Patrol, a county sheriff's department, 104.12the Three Rivers Park District park rangers, the Department of Natural Resources Division 104.13of Enforcement, the University of Minnesota Police Department, the Department of 104.14Corrections' Fugitive Apprehension Unit, or a city or airport police department. 104.15 (f) "Designated offense" includes: 104.16 (1) for weapons used: any violation of this chapter, chapter 152, or chapter 624; 104.17 (2) for driver's license or identification card transactions: any violation of section 104.18171.22 ; and 104.19 (3) for all other purposes: a felony violation of, or a felony-level attempt or 104.20conspiracy to violate, section 325E.17; 325E.18; 609.185; 609.19; 609.195; 609.21; 104.21609.221 ; 609.222; 609.223; 609.2231; 609.24; 609.245; 609.25; 609.255; 609.282; 104.22609.283 ; 609.322; 609.342, subdivision 1, clauses (a) to (f); 609.343, subdivision 1, 104.23clauses (a) to (f); 609.344, subdivision 1, clauses (a) to (e), and (h) to (j); 609.345, 104.24subdivision 1 , clauses (a) to (e), and (h) to (j); 609.352; 609.42; 609.425; 609.466; 104.25609.485 ; 609.487; 609.52; 609.525; 609.527; 609.528; 609.53; 609.54; 609.551; 609.561; 104.26609.562 ; 609.563; 609.582; 609.59; 609.595; 609.611; 609.631; 609.66, subdivision 1e; 104.27609.671, subdivisions 3, 4, 5, 8, and 12 ; 609.687; 609.821; 609.825; 609.86; 609.88; 104.28609.89 ; 609.893; 609.895; 617.246; 617.247; or a gross misdemeanor or felony violation 104.29of section 609.891 or 624.7181; or any violation of section 609.324. 104.30 (g) "Controlled substance" has the meaning given in section 152.01, subdivision 4. 104.31 Sec. 11. GREEN ECONOMY REPORT. 104.32 (a) Each state agency, other than the Iron Range Resources and Rehabilitation 104.33Board or the Office of the Commissioner of Iron Range Resources and Rehabilitation, 104.34that administers a loan or grant program must assess those programs to determine 104.35their potential to advance or promote the growth of the green economy, as defined in 105.1Minnesota Statutes, section 116J.437. An agency must report on its determination to the 105.2commissioner of commerce by September 15, 2008. 105.3 (b) If a program is determined to have significant potential, the agency must develop 105.4a plan to integrate program elements appropriate to that program to advance or promote 105.5the growth of the green economy in this state. An agency must report on its plan to the 105.6commissioner of commerce by November 15, 2008. 105.7 (c) The commissioner of commerce, in consultation with the commissioner of 105.8employment and economic development, must develop guidelines to be followed by state 105.9agencies in complying with this section. 105.10 (d) By January 15, 2009, the commissioner of commerce, in consultation with the 105.11commissioner of employment and economic development, must submit a report containing 105.12the plans developed under paragraph (b), and any recommended implementing legislation, 105.13to the chairs and ranking minority members of the senate and house committees with 105.14primary jurisdiction over energy, environmental and economic development policy, and 105.15finance. 105.16 (e) The commissioner of commerce may contract for services to fulfill the 105.17commissioner's duties under this section. 105.18 Sec. 12. GREEN JOBS TASK FORCE. 105.19 Subdivision 1. Task force. (a) A Green Jobs Task Force is created to advise and 105.20assist the governor and legislature regarding activities to advance the state's economy, and 105.21to develop a statewide action plan as provided under subdivision 2. The task force shall 105.22be appointed no later than June 30, 2008, and consist of: 105.23 (1) three members of the house of representatives, including one member of the 105.24minority party appointed by the speaker; 105.25 (2) three members of the senate appointed by the Subcommittee on Committees of 105.26the Committee on Rules and Administration, including one member of the minority; 105.27 (3) seven representatives from state agencies and institutions appointed by the 105.28governor, including one member from the Office of Energy Security, one member from 105.29the Department of Employment and Economic Development, one member from the Job 105.30Skills Partnership Board, one member from the University of Minnesota, one member 105.31from Minnesota State Colleges and Universities, one member from the Pollution Control 105.32Agency, and one member from the Department of Natural Resources; 105.33 (4) three public members appointed by the governor, including one member 105.34representing the manufacturing industry, one member representing a statewide 106.1organization dedicated to commerce, and one member representing the Agricultural 106.2Utilization Research Institute; 106.3 (5) four public members appointed by the speaker of the house of representatives, 106.4including one member representing labor, one member representing a statewide 106.5environmental organization, one member representing financial institutions or venture 106.6capital, and one member from a local economic development authority from greater 106.7Minnesota; and 106.8 (6) four public members appointed by the senate Subcommittee on Committees 106.9of the Committee on Rules and Administration, including one member from a local 106.10economic development authority from the metropolitan area, one member from a 106.11statewide organization dedicated to furthering the green economy, one member from a 106.12firm currently engaged in green manufacturing, and one local workforce development 106.13representative from an area that has experienced significant manufacturing job loss. 106.14 (b) The commissioner of commerce, in cooperation with the commissioner of 106.15employment and economic development, shall provide staff support to the task force. The 106.16task force may accept outside resources to help support its efforts. 106.17 (c) Each of the legislative appointing authorities must name a cochair of the task 106.18force from the legislative members appointed by that authority. 106.19 (d) Public members of the task force must be compensated as provided in Minnesota 106.20Statutes, section 15.059, subdivision 3. 106.21 Subd. 2. Duties. (a) By January 15, 2009, the task force shall develop and present to 106.22the legislature under Minnesota Statutes, section 3.195, and to the governor a statewide 106.23action plan to optimize the growth of the green economy. For the purpose of this section, 106.24"green economy" has the meaning given it by new Minnesota Statutes, section 116J.437, 106.25if enacted. 106.26 (b) The plan must include necessary draft legislation and budget requests and may 106.27include administrative actions of governmental entities, collaborative actions, and actions 106.28of individuals and individual organizations. The plan must be developed following the 106.29analysis described in this paragraph and must be based on the analysis. The analysis 106.30must include: 106.31 (1) a market analysis of the business opportunities and needs created by the laws 106.32enumerated in paragraph (a), including local, state, national, and international markets; 106.33 (2) an analysis of the labor force needs related to the market analysis opportunities 106.34identified in clause (1), including educational, training, and retraining needs; and 106.35 (3) an inventory of the current labor and business assets available to respond to the 106.36opportunities identified in clause (1) and the labor needs identified in clause (2). 107.1The task force shall contract for the analysis required by this paragraph. 107.2 Subd. 3. Expiration. The task force expires June 30, 2009. 107.3ARTICLE 7 107.4AGRICULTURE 107.5 Section 1. SUMMARY OF APPROPRIATIONS.

107.6 The amounts shown in this section summarize direct appropriations, by fund, made 107.7in this article. 107.8 20082009Total 107.9 General$(200,000)$388,000$188,000

107.10 Sec. 2. APPROPRIATIONS.

107.11 The sums shown in the columns marked "Appropriations" are added to or, if shown 107.12in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 1, to 107.13the agencies and for the purposes specified in this article. The appropriations are from the 107.14general fund or another named fund and are available for the fiscal years indicated for 107.15each purpose. The figures "2008" and "2009" used in this article mean that the addition 107.16to or subtraction from the appropriation listed under them is available for the fiscal year 107.17ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 107.18reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 107.19day following final enactment. 107.20 APPROPRIATIONS 107.21 Available for the Year 107.22 Ending June 30 107.23 20082009

107.24 Sec. 3. AGRICULTURE$(200,000)$388,000

107.25$302,000 is a reduction in 2009. The 107.26commissioner shall make a reduction of 107.27$100,000 from agricultural marketing, 107.28$100,000 shall come from efficiencies gained 107.29by the merger of the Agriculture Resources 107.30Management and Development Division and 107.31the Agriculture Finance Division, and the 108.1remainder shall come from a reduction in 108.2administrative services in Saint Paul. 108.3$1,000,000 in 2009 is for the livestock 108.4investment grant program in new Minnesota 108.5Statutes, section 17.118, if enacted. The 108.6commissioner may use up to 4-1/2 percent 108.7of this appropriation for costs incurred to 108.8administer the program. This is a onetime 108.9appropriation and is available until spent. 108.10The $200,000 appropriation in Laws 2007, 108.11chapter 45, article 1, section 3, subdivision 108.124, for a grant to the Elk River Economic 108.13Development Authority for a bioenergy 108.14project is canceled to the general fund. 108.15$310,000 is a reduction in 2009 of the 108.16appropriation for ethanol producer payments 108.17in Laws 2007, chapter 45, article 1, section 108.183, subdivision 4. This reduction is onetime. 108.19By January 15, 2009, the commissioner shall 108.20report to the house and senate committees 108.21with jurisdiction over agriculture finance 108.22a proposal for paying unpaid claimants of 108.23an entity no longer producing ethanol on a 108.24commercial scale at the location for which it 108.25qualified for producer payments. 108.26 Sec. 4. BOARD OF ANIMAL HEALTH. 108.27Notwithstanding Minnesota Statutes, section 108.2835.085, the Board of Animal Health shall 108.29make a onetime grant of up to $12,000 to 108.30a beef cattle producer from the $100,000 108.31appropriation for reimbursements in Laws 108.322007, chapter 45, article 1, section 4. The 108.33eligible beef cattle producer is located 108.34outside of a bovine tuberculosis containment 109.1area and purchased certified tuberculosis-free 109.2cattle yet sustained financial losses beyond 109.3the producer's control due to restrictions 109.4imposed by the Board of Animal Health that 109.5effectively denied the producer the ability 109.6to sell the tuberculosis-free cattle during 109.7favorable market conditions. 109.8 Sec. 5. Minnesota Statutes 2006, section 41A.09, subdivision 3a, is amended to read: 109.9 Subd. 3a. Ethanol producer payments. (a) The commissioner shall make cash 109.10payments to producers of ethanol located in the state that have begun production at a 109.11specific location by June 30, 2000. For the purpose of this subdivision, an entity that holds 109.12a controlling interest in more than one ethanol plant is considered a single producer. 109.13The amount of the payment for each producer's annual production, except as provided 109.14in paragraph (c), is 20 cents per gallon for each gallon of ethanol produced at a specific 109.15location on or before June 30, 2000, or ten years after the start of production, whichever is 109.16later. Annually, within 90 days of the end of its fiscal year, an ethanol producer receiving 109.17payments under this subdivision must file a disclosure statement on a form provided by 109.18the commissioner. The initial disclosure statement must include a summary description 109.19of the organization of the business structure of the claimant, a listing of the percentages 109.20of ownership by any person or other entity with an ownership interest of five percent or 109.21greater, and a copy of its annual audited financial statements, including the auditor's report 109.22and footnotes. The disclosure statement must include information demonstrating what 109.23percentage of the entity receiving payments under this section is owned by farmers or 109.24other entities eligible to farm or own agricultural land in Minnesota under the provisions 109.25of section 500.24. Subsequent annual reports must reflect noncumulative changes in 109.26ownership of ten percent or more of the entity. The report need not disclose the identity of 109.27the persons or entities eligible to farm or own agricultural land with ownership interests, 109.28individuals residing within 30 miles of the plant, or of any other entity with less than 109.29ten percent ownership interest, but the claimant must retain information within its files 109.30confirming the accuracy of the data provided. This data must be made available to the 109.31commissioner upon request. Not later than the 15th day of February in each year the 109.32commissioner shall deliver to the chairs of the standing committees of the senate and the 109.33house of representatives that deal with agricultural policy and agricultural finance issues 109.34an annual report summarizing aggregated data from plants receiving payments under this 109.35section during the preceding calendar year. Audited financial statements and notes and 110.1disclosure statements submitted to the commissioner are nonpublic data under section 110.213.02, subdivision 9 . Notwithstanding the provisions of chapter 13 relating to nonpublic 110.3data, summaries of the submitted audited financial reports and notes and disclosure 110.4statements will be contained in the report to the committee chairs and will be public data. 110.5 (b) No payments shall be made for ethanol production that occurs after June 30, 110.62010. A producer of ethanol shall not transfer the producer's eligibility for payments 110.7under this section to an ethanol plant at a different location. 110.8 (c) If the level of production at an ethanol plant increases due to an increase in the 110.9production capacity of the plant, the payment under paragraph (a) applies to the additional 110.10increment of production until ten years after the increased production began. Once a 110.11plant's production capacity reaches 15,000,000 gallons per year, no additional increment 110.12will qualify for the payment. 110.13 (d) Total payments under paragraphs (a) and (c) to a producer in a fiscal year may 110.14not exceed $3,000,000. 110.15 (e) By the last day of October, January, April, and July, each producer shall file a 110.16claim for payment for ethanol production during the preceding three calendar months. 110.17A producer that files a claim under this subdivision shall include a statement of the 110.18producer's total ethanol production in Minnesota during the quarter covered by the claim. 110.19For each claim and statement of total ethanol production filed under this subdivision, 110.20the volume of ethanol production must be examined by an independent certified public 110.21accountant in accordance with standards established by the American Institute of Certified 110.22Public Accountants. 110.23 (f) Payments shall be made November 15, February 15, May 15, and August 15. A 110.24separate payment shall be made for each claim filed. Except as provided in paragraph (g), 110.25the total quarterly payment to a producer under this paragraph may not exceed $750,000. 110.26 (g) Notwithstanding the quarterly payment limits of paragraph (f), the commissioner 110.27shall make an additional payment in the fourth quarter of each fiscal year to ethanol 110.28producers for the lesser of: (1) 20 cents per gallon of production in the fourth quarter of the 110.29year that is greater than 3,750,000 gallons; or (2) the total amount of payments lost during 110.30the first three quarters of the fiscal year due to plant outages, repair, or major maintenance. 110.31Total payments to an ethanol producer in a fiscal year, including any payment under this 110.32paragraph, must not exceed the total amount the producer is eligible to receive based on 110.33the producer's approved production capacity. The provisions of this paragraph apply only 110.34to production losses that occur in quarters beginning after December 31, 1999. 110.35 (h) The commissioner shall reimburse ethanol producers for any deficiency in 110.36payments during earlier quarters if the deficiency occurred because of unallotment or 111.1because appropriated money was insufficient to make timely payments in the full amount 111.2provided in paragraph (a). Notwithstanding the quarterly or annual payment limitations in 111.3this subdivision, the commissioner shall begin making payments for earlier deficiencies in 111.4each fiscal year that appropriations for ethanol payments exceed the amount required to 111.5make eligible scheduled payments. Payments for earlier deficiencies must continue until 111.6the deficiencies for each producer are paid in full, except the commissioner shall not make 111.7a deficiency payment to an entity that no longer produces ethanol on a commercial scale 111.8at the location for which the entity qualified for producer payments, or to an assignee of 111.9the entity. 111.10 (i) The commissioner may make direct payments to producers of rural economic 111.11infrastructure with any amount of the annual appropriation for ethanol producer payments 111.12and rural economic infrastructure that is in excess of the amount required to make 111.13scheduled ethanol producer payments and deficiency payments under paragraphs (a) to (h). 111.14 Sec. 6. Laws 2007, chapter 45, article 1, section 3, subdivision 4, is amended to read: 111.15 111.16 Subd. 4. Bioenergy and Value-Added Agricultural Products 19,918,000 15,168,000

111.17$15,168,000 the first year and $15,168,000 111.18the second year are for ethanol producer 111.19payments under Minnesota Statutes, section 111.2041A.09 . If the total amount for which all 111.21producers are eligible in a quarter exceeds 111.22the amount available for payments, the 111.23commissioner shall make payments on a 111.24pro rata basis. If the appropriation exceeds 111.25the total amount for which all producers 111.26are eligible in a fiscal year for scheduled 111.27payments and for deficiencies in payments 111.28during previous fiscal years, the balance 111.29in the appropriation is available to the 111.30commissioner for value-added agricultural 111.31programs including the value-added 111.32agricultural product processing and 111.33marketing grant program under Minnesota 111.34Statutes, section 17.101, subdivision 5. The 111.35appropriation remains available until spent. 112.1$3,000,000 the first year is for grants to 112.2bioenergy projects. The NextGen Energy 112.3Board shall make recommendations to 112.4the commissioner on grants for owners of 112.5Minnesota facilities producing bioenergy, 112.6organizations that provide for on-station, 112.7on-farm field scale research and outreach to 112.8develop and test the agronomic and economic 112.9requirements of diverse stands of prairie 112.10plants and other perennials for bioenergy 112.11systems, or certain nongovernmental 112.12entities. For the purposes of this paragraph, 112.13"bioenergy" includes transportation fuels 112.14derived from cellulosic material as well as 112.15the generation of energy for commercial heat, 112.16industrial process heat, or electrical power 112.17from cellulosic material via gasification 112.18or other processes. The board must give 112.19priority to a bioenergy facility that is at 112.20least 60 percent owned and controlled by 112.21farmers, as defined in Minnesota Statutes, 112.22section 500.24, subdivision 2, paragraph (n), 112.23or natural persons residing in the county or 112.24counties contiguous to where the facility is 112.25located. Grants are limited to 50 percent of 112.26the cost of research, technical assistance, or 112.27equipment related to bioenergy production 112.28or $500,000 $1,000,000, whichever is less. 112.29Grants to nongovernmental entities for the 112.30development of business plans and structures 112.31related to community ownership of eligible 112.32bioenergy facilities together may not exceed 112.33$150,000. The board shall make a good 112.34faith effort to select projects that have 112.35merit and when taken together represent a 112.36variety of bioenergy technologies, biomass 113.1feedstocks, and geographic regions of the 113.2state. Projects must have a qualified engineer 113.3certification on the technology and fuel 113.4source. Grantees shall provide reports at 113.5the request of the commissioner and must 113.6actively participate in the Agricultural 113.7Utilization Research Institute's Renewable 113.8Energy Roundtable. No later than February 113.91, 2009, the commissioner shall report on 113.10the projects funded under this appropriation 113.11to the house and senate committees with 113.12jurisdiction over agriculture finance. The 113.13commissioner's costs in administering the 113.14program may be paid from the appropriation. 113.15$350,000 the first year is for grants to 113.16the Minnesota Institute for Sustainable 113.17Agriculture at the University of Minnesota 113.18to provide funds for on-station and on-farm 113.19field scale research and outreach to develop 113.20and test the agronomic and economic 113.21requirements of diverse stands of prairie 113.22plants and other perennials for bioenergy 113.23systems including, but not limited to, 113.24multiple species selection and establishment, 113.25ecological management between planting 113.26and harvest, harvest technologies, financial 113.27and agronomic risk management, farmer 113.28goal setting and adoption of technologies, 113.29integration of wildlife habitat into 113.30management approaches, evaluation of 113.31carbon and other benefits, and robust policies 113.32needed to induce farmer conversion on 113.33marginal lands.* (The preceding text 113.34beginning "$350,000 the first year" was 113.35indicated as vetoed by the governor.) 114.1$200,000 the first year is for a grant to the 114.2Minnesota Turf Seed Council for basic 114.3and applied agronomic research on native 114.4plants, including plant breeding, nutrient 114.5management, pest management, disease 114.6management, yield, and viability. The grant 114.7recipient may subcontract with a qualified 114.8third party for some or all of the basic 114.9or applied research. The grant recipient 114.10must actively participate in the Agricultural 114.11Utilization Research Institute's Renewable 114.12Energy Roundtable and no later than 114.13February 1, 2009, must report to the house 114.14and senate committees with jurisdiction 114.15over agriculture finance. This is a onetime 114.16appropriation and is available until spent. 114.17$200,000 the first year is for a grant to a joint 114.18venture combined heat and power energy 114.19facility located in Scott or LeSueur County 114.20for the creation of a centrally located biomass 114.21fuel supply depot with the capability of 114.22unloading, processing, testing, scaling, and 114.23storing renewable biomass fuels. The grant 114.24must be matched by at least $3 of nonstate 114.25funds for every $1 of state funds. The grant 114.26recipient must actively participate in the 114.27Agricultural Utilization Research Institute's 114.28Renewable Energy Roundtable and no 114.29later than February 1, 2009, must report 114.30to the house and senate committees with 114.31jurisdiction over agriculture finance. This is 114.32a onetime appropriation and is available until 114.33spent. 114.34$300,000 the first year is for a grant to the 114.35Bois Forte Band of Chippewa for a feasibility 114.36study of a renewable energy biofuels 115.1demonstration facility on the Bois Forte 115.2Reservation in St. Louis and Koochiching 115.3Counties. The grant shall be used by the Bois 115.4Forte Band to conduct a detailed feasibility 115.5study of the economic and technical viability 115.6of developing a multistream renewable 115.7energy biofuels demonstration facility 115.8on Bois Forte Reservation land to utilize 115.9existing forest resources, woody biomass, 115.10and cellulosic material to produce biofuels or 115.11bioenergy. The grant recipient must actively 115.12participate in the Agricultural Utilization 115.13Research Institute's Renewable Energy 115.14Roundtable and no later than February 1, 115.152009, must report to the house and senate 115.16committees with jurisdiction over agriculture 115.17finance. This is a onetime appropriation and 115.18is available until spent. 115.19$300,000 the first year is for a grant to 115.20the White Earth Band of Chippewa for a 115.21feasibility study of a renewable energy 115.22biofuels production, research, and production 115.23facility on the White Earth Reservation in 115.24Mahnomen County. The grant must be used 115.25by the White Earth Band and the University 115.26of Minnesota to conduct a detailed feasibility 115.27study of the economic and technical viability 115.28of (1) developing a multistream renewable 115.29energy biofuels demonstration facility on 115.30White Earth Reservation land to utilize 115.31existing forest resources, woody biomass, 115.32and cellulosic material to produce biofuels or 115.33bioenergy, and (2) developing, harvesting, 115.34and marketing native prairie plants and seeds 115.35for bioenergy production. The grant recipient 115.36must actively participate in the Agricultural 116.1Utilization Research Institute's Renewable 116.2Energy Roundtable and no later than 116.3February 1, 2009, must report to the house 116.4and senate committees with jurisdiction 116.5over agriculture finance. This is a onetime 116.6appropriation and is available until spent. 116.7$200,000 the first year is for a grant to the Elk 116.8River Economic Development Authority for 116.9upfront engineering and a feasibility study 116.10of the Elk River renewable fuels facility. 116.11The facility must use a plasma gasification 116.12process to convert primarily cellulosic 116.13material, but may also use plastics and other 116.14components from municipal solid waste, as 116.15feedstock for the production of methanol 116.16for use in biodiesel production facilities. 116.17Any unencumbered balance in fiscal year 116.182008 does not cancel but is available for 116.19fiscal year 2009. Notwithstanding Minnesota 116.20Statutes, section 16A.285, the agency must 116.21not transfer this appropriation. The grant 116.22recipient must actively participate in the 116.23Agricultural Utilization Research Institute's 116.24Renewable Energy Roundtable and no 116.25later than February 1, 2009, must report 116.26to the house and senate committees with 116.27jurisdiction over agriculture finance. This is 116.28a onetime appropriation and is available until 116.29spent. 116.30$200,000 the first year is for a grant to 116.31Chisago County to conduct a detailed 116.32feasibility study of the economic and 116.33technical viability of developing a 116.34multistream renewable energy biofuels 116.35demonstration facility in Chisago, Isanti, 116.36or Pine County to utilize existing forest 117.1resources, woody biomass, and cellulosic 117.2material to produce biofuels or bioenergy. 117.3Chisago County may expend funds to Isanti 117.4and Pine Counties and the University of 117.5Minnesota for any costs incurred as part 117.6of the study. The feasibility study must 117.7consider the capacity of: (1) the seed bank 117.8at Wild River State Park to expand the 117.9existing prairie grass, woody biomass, and 117.10cellulosic material resources in Chisago, 117.11Isanti, and Pine Counties; (2) willing and 117.12interested landowners in Chisago, Isanti, and 117.13Pine Counties to grow cellulosic materials; 117.14and (3) the Minnesota Conservation Corps, 117.15the sentence to serve program, and other 117.16existing workforce programs in east central 117.17Minnesota to contribute labor to these efforts. 117.18The grant recipient must actively participate 117.19in the Agricultural Utilization Research 117.20Institute's Renewable Energy Roundtable and 117.21no later than February 1, 2009, must report 117.22to the house and senate committees with 117.23jurisdiction over agriculture finance. This is 117.24a onetime appropriation and is available until 117.25spent. 117.26EFFECTIVE DATE.This section is effective the day following final enactment. 117.27ARTICLE 8 117.28VETERANS AFFAIRS 117.29 Section 1. SUMMARY OF APPROPRIATIONS.

117.30 The amounts shown in this section summarize direct appropriations, by fund, made 117.31in this article. 117.32 20082009Total 117.33 General$-0-$4,145,000$4,145,000 117.34 Special Revenue-0-(338,000)(338,000)

118.1 Sec. 2. APPROPRIATIONS.

118.2 The sums shown in the columns marked "Appropriations" are added to or, if shown 118.3in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 2, to 118.4the agencies and for the purposes specified in this article. The appropriations are from the 118.5general fund or another named fund and are available for the fiscal years indicated for 118.6each purpose. The figures "2008" and "2009" used in this article mean that the addition 118.7to or subtraction from the appropriation listed under them is available for the fiscal year 118.8ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 118.9reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 118.10day following final enactment. 118.11 APPROPRIATIONS 118.12 Available for the Year 118.13 Ending June 30 118.14 20082009

118.15 Sec. 3. VETERANS AFFAIRS

118.16 Subdivision 1.Total Appropriation$-0-$3,807,000

118.17The appropriation additions or reductions 118.18for each purpose are shown in the following 118.19paragraphs. 118.20$500,000 in 2009 is added to the base for 118.21grants to counties for veterans service offices 118.22as provided under Laws 2007, chapter 45, 118.23article 2, section 1, paragraph (b). This is a 118.24onetime appropriation. 118.25$2,500,000 in 2009 is for state soldiers 118.26assistance under Minnesota Statutes, section 118.27197.05. Of this amount, $1,500,000 is 118.28added to the base for this activity. This 118.29appropriation is available until spent. The 118.30appropriation for state soldiers assistance 118.31for 2009 in Laws 2007, chapter 45, article 118.322, section 1, is available in 2008 if the 118.33appropriation for 2008 is insufficient. 119.1$500,000 in 2009 is for casework services for 119.2veterans. The commissioner, in consultation 119.3with the Department of Administration, 119.4shall use the request for proposal process in 119.5Minnesota Statutes, chapter 16C, to solicit 119.6bids for the provision of these services. 119.7The casework services provided should be 119.8community-based, available statewide, and 119.9include in-home counseling. 119.10$220,000 in 2009 is added to the base for 119.11operations of the LinkVET telephone line 119.12service for veterans. 119.13For purposes of efficiency, the commissioner 119.14must combine the services available through 119.15the toll-free higher education call center 119.16for veterans with those available through 119.17LinkVET. 119.18$250,000 in 2009 is for a grant to the 119.19Minnesota Assistance Council for Veterans 119.20for their work in helping veterans and their 119.21families affected by homelessness. 119.22$250,000 in 2009 is for the Veterans Claims 119.23Office for outreach and training to improve 119.24services and benefits to veterans. This 119.25appropriation includes money to add veterans 119.26service officer/coordinator positions, 119.27including one to assist female veterans. 119.28$25,000 in 2009 is to develop a pilot program 119.29for peer-to-peer counseling among combat 119.30veterans. This is a onetime appropriation. 119.31$338,000 is a reduction in 2009 from the 119.32special revenue fund appropriation from the 119.33account established in Minnesota Statutes, 119.34section 190.19. 120.1$200,000 in 2009 is a onetime appropriation 120.2for: 120.3(1) an intergovernmental and veterans 120.4strategic planning study for the Minnesota 120.5veterans homes, with special emphasis 120.6on exploring alternative models for the 120.7Minneapolis veterans home; 120.8(2) a study of the feasibility of partnering 120.9for home-based services for veterans with 120.10nongovernmental, nonprofit, or faith-based 120.11social service and health care delivery 120.12organizations, as a means of enabling 120.13veterans to live more independently, as an 120.14alternative to the projected sharply increasing 120.15needs for domiciliary and skilled nursing 120.16beds in state veterans homes. This is a 120.17onetime appropriation; and 120.18(3) designing a treatment program for 120.19veterans with traumatic brain injuries within 120.20the state veterans homes. 120.21$300,000 is a reduction in 2009 for 120.22the Veterans Homes Board. The base 120.23appropriation for fiscal years 2010 and 2011 120.24is reduced by $300,000 in each year. This 120.25reduction is made possible by the enhanced 120.26efficiency in administration of the homes 120.27associated with the transfer of governing 120.28authority from the Veterans Homes Board to 120.29the commissioner of veterans affairs. 120.30 Subd. 2.Report to the Legislature

120.31By January 15, 2009, the commissioner shall 120.32report to the chairs and ranking minority 120.33members of the legislative committees and 120.34divisions with jurisdiction over veterans 121.1affairs policy and finance regarding activities 121.2and expenditures in programs receiving an 121.3appropriation in this article. 121.4 Sec. 4. Minnesota Statutes 2006, section 168.1255, is amended by adding a subdivision 121.5to read: 121.6 Subd. 6. World War II memorial donation match account. Money remaining 121.7in the World War II memorial donation match account after the state share of the 121.8construction costs of the World War II memorial has been paid in full is appropriated to the 121.9commissioner of veterans affairs for services and programs for veterans and their families. 121.10 Sec. 5. Minnesota Statutes 2006, section 190.19, subdivision 1, is amended to read: 121.11 Subdivision 1. Establishment. The Minnesota "Support Our Troops" account is 121.12established in the special revenue fund. The account shall consist of contributions from 121.13private sources and appropriations. Money in the account is appropriated in equal shares 121.14to the Department of Military Affairs and the Department of Veterans Affairs. 121.15EFFECTIVE DATE.Notwithstanding Laws 2007, chapter 45, article 2, section 121.161, and article 3, section 2, subdivision 3, this section is effective for distribution of the 121.17Minnesota "Support Our Troops" account the day following final enactment. 121.18 Sec. 6. Minnesota Statutes 2006, section 190.19, is amended by adding a subdivision 121.19to read: 121.20 Subd. 2a. Uses; veterans. Money appropriated to the Department of Veterans 121.21Affairs from the Minnesota "Support Our Troops" account may be used for: 121.22 (1) grants to veterans service organizations; and 121.23 (2) outreach to underserved veterans. 121.24 Sec. 7. Laws 2007, chapter 144, article 1, section 7, is amended to read: 121.25 121.26 Sec. 7. DEPARTMENT OF VETERANS AFFAIRS.$ 6,000,000 $ 6,000,000

121.27For grants to eligible veterans or the eligible 121.28spouses and children of veterans as provided 121.29under Minnesota Statutes, section 197.791. 121.30If the appropriation in this subdivision for 122.1either year is insufficient, the appropriation 122.2for the other year is available for it. 122.3Of this appropriation, no more than three 122.4percent $100,000 each year may be used for 122.5the administrative costs of operating this 122.6program. 122.7On June 1, 2009, the commissioner of finance 122.8must determine the amount needed to fully 122.9fund the grant program under Minnesota 122.10Statutes, section 197.791, and must adjust the 122.11appropriations in this section to the amount 122.12needed to provide grants for all eligible 122.13veterans. 122.14ARTICLE 9 122.15MILITARY AFFAIRS 122.16 Section 1. SUMMARY OF APPROPRIATIONS.

122.17 The amounts shown in this section summarize direct appropriations, by fund, made 122.18in this article. 122.19 20082009Total 122.20 General$-0-$390,000$390,000 122.21 Special Revenue-0-(338,000)(338,000)

122.22 Sec. 2. APPROPRIATIONS.

122.23 The sums shown in the columns marked "Appropriations" are added to or, if shown 122.24in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 3, to 122.25the agencies and for the purposes specified in this article. The appropriations are from the 122.26general fund or another named fund and are available for the fiscal years indicated for 122.27each purpose. The figures "2008" and "2009" used in this article mean that the addition 122.28to or subtraction from the appropriation listed under them is available for the fiscal year 122.29ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 122.30reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 122.31day following final enactment. 123.1 APPROPRIATIONS 123.2 Available for the Year 123.3 Ending June 30 123.4 20082009

123.5 Sec. 3. MILITARY AFFAIRS$-0-$52,000

123.6$75,000 in 2009 is to establish a state 123.7enhancement of the employer support of the 123.8guard and reserve program. The funding 123.9base for this activity is $35,000 each year in 123.10fiscal years 2010 and 2011. 123.11$135,000 in 2009 is to make $1,000 biannual 123.12bonus payments to National Guard medics 123.13who meet recertification requirements during 123.14the fiscal year. 123.15$180,000 in 2009 is to add "state navigator" 123.16positions to coordinate state agency programs 123.17and activities to support and assist soldiers 123.18and their families during and after the 123.19reintegration process. 123.20$338,000 is a reduction in 2009 from the 123.21special revenue fund appropriation from the 123.22account established in Minnesota Statutes, 123.23section 190.19. 123.24 Sec. 4. Minnesota Statutes 2007 Supplement, section 190.19, subdivision 2, is 123.25amended to read: 123.26 Subd. 2. Uses. (a) Money appropriated from the Minnesota "Support Our Troops" 123.27account to the Department of Military Affairs may be used for: 123.28 (1) grants directly to eligible individuals; 123.29 (2) grants to one or more eligible foundations for the purpose of making grants to 123.30eligible individuals, as provided in this section; or 123.31 (3) veterans' services.; or 123.32 (4) grants to family readiness groups chartered by the adjutant general. 124.1 (b) As used in paragraph (a), the term, "eligible individual" includes any person 124.2who is: 124.3 (1) a member of the Minnesota National Guard or a reserve unit based in Minnesota 124.4who has been called to active service as defined in section 190.05, subdivision 5; 124.5 (2) a Minnesota resident who is a member of a military reserve unit not based 124.6in Minnesota, if the member is called to active service as defined in section 190.05, 124.7subdivision 5 ; 124.8 (3) any other Minnesota resident performing active service for any branch of the 124.9military of the United States; 124.10 (4) a person who served in one of the capacities listed in clause (1), (2), or (3) who 124.11has current financial needs directly related to that service; and 124.12 (5) a member of the immediate family of an individual identified in clause (1), (2), 124.13(3), or (4). For purposes of this clause, "immediate family" means the individual's spouse 124.14and minor children and, if they are dependents of the member of the military, the member's 124.15parents, grandparents, siblings, stepchildren, and adult children. 124.16 (c) As used in paragraph (a), the term "eligible foundation" includes any organization 124.17that: 124.18 (1) is a tax-exempt organization under section 501(c)(3) of the Internal Revenue 124.19Code; 124.20 (2) has articles of incorporation under chapter 317A specifying the purpose of 124.21the organization as including the provision of financial assistance to members of the 124.22Minnesota National Guard and other United States armed forces reserves and their 124.23families and survivors; and 124.24 (3) agrees in writing to distribute any grant money received from the adjutant general 124.25under this section to eligible individuals as defined in this section and in accordance 124.26with any written policies and rules the adjutant general may impose as conditions of the 124.27grant to the foundation. 124.28 (d) The maximum grant awarded to an eligible individual under paragraph (a) in a 124.29calendar year with funds from the Minnesota "Support Our Troops" account, either through 124.30an eligible institution or directly from the adjutant general, may not exceed $2,000. 124.31 Sec. 5. Minnesota Statutes 2006, section 190.25, subdivision 3, is amended to read: 124.32 Subd. 3. Sale; use of funds. The adjutant general is authorized to sell in the manner 124.33provided by law any or all 124.34 (1) land, and 125.1 (2) timber, growing crops, buildings, and other improvements, if any, situated upon 125.2the land, acquired under the authority of subdivision 1 or which may hereafter comprise 125.3the Camp Ripley Military Field Training Center and not needed for military training 125.4purposes. The proceeds of any sales shall be deposited in the general fund. 125.5 The adjutant general may use funds that are directly appropriated for the acquisition 125.6of land, the payment of expenses of forest management on land forming the Camp 125.7Ripley Military Reservation, and the provision of an Enlisted Person's Service Center. If 125.8amounts that are directly appropriated for these purposes in either year of a biennium are 125.9insufficient, the appropriation for the other year of the biennium is available. 125.10 Sec. 6. Minnesota Statutes 2006, section 190.25, is amended by adding a subdivision 125.11to read: 125.12 Subd. 3a. Timber sales; use of funds. The adjutant general is authorized to sell 125.13in the manner provided by law any or all timber on land acquired under the authority of 125.14subdivision 1 or which may hereafter comprise the Camp Ripley Military Field Training 125.15Center. The proceeds of any sales of timber under this subdivision must be deposited in an 125.16account in the special revenue fund and are appropriated to the adjutant general to be used 125.17to manage the timber resources of Camp Ripley in a manner consistent with the camp's 125.18purpose as lands for training armed forces. 125.19 Sec. 7. [192.341] STATE ENHANCED EMPLOYER SUPPORT OF GUARD 125.20AND RESERVE (ESGR) PROGRAM. 125.21 The adjutant general is authorized to establish and administer a state enhancement 125.22to the federal Employer Support of Guard and Reserve (ESGR) Program. The adjutant 125.23general shall develop policy and guidelines for the administration of the program 125.24established under this section. 125.25 Sec. 8. Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision 125.26to read: 125.27 Subd. 1c. Medic recertification bonus program. (a) The adjutant general 125.28may establish a program to provide a recertification bonus to eligible members of the 125.29Minnesota National Guard who recertify as emergency medical technicians (EMTs) in 125.30the National Guard within the limitations of this subdivision. The bonus payments are 125.31intended to generally encourage a member's continuing certification as an EMT. 125.32 (b) Eligibility for the recertification bonus is limited to a member of the National 125.33Guard who: 126.1 (1) is serving satisfactorily as determined by the adjutant general; and 126.2 (2) has successfully completed the training required for recertification and warrants 126.3the payment of a bonus. 126.4 (c) The adjutant general may, within the limitations of this subdivision and other 126.5applicable laws, determine additional eligibility criteria for the bonus, and must specify all 126.6of the criteria in regulations and publish changes as necessary. 126.7 (d) Payments under this subdivision must be made on a schedule that is determined 126.8and published in department regulations by the adjutant general. 126.9 Sec. 9. Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision 126.10to read: 126.11 Subd. 2a. Usage of tuition and textbook reimbursement grant program by 126.12spouse permitted. (a) Notwithstanding the eligibility limitations of subdivision 2, 126.13paragraph (b), the spouse of a person eligible under subdivision 2, paragraph (b), is 126.14eligible to use up to 12 semester hours per year, or the equivalent amount of quarter 126.15credits, of that eligible person's unused tuition reimbursement benefit for each year of 126.16service in the Minnesota National Guard after the eighth year of such service. 126.17 (b) Total benefits under this subdivision cannot exceed the total unused portion of 126.18the service member's benefit. A service member's and spouse's eligibility for tuition 126.19reimbursement under this subdivision is limited by the provisions of subdivision 2, 126.20paragraph (g). 126.21 Sec. 10. STARBASE STUDY. 126.22 The appropriation in Laws 2007, chapter 45, article 3, section 2, subdivision 3, for 126.23a longitudinal study measuring improvement in academic achievement as a result of 126.24participation in the Starbase program is available until June 30, 2009. The Department of 126.25Military Affairs must contract with the Wilder Foundation to conduct the study. 126.26EFFECTIVE DATE.This section is effective the day following final enactment. 126.27 Sec. 11. NATIONAL GUARD YOUTH CHALLENGE PROGRAM STUDY. 126.28 The adjutant general and the Department of Military Affairs shall study participation 126.29by the Minnesota National Guard in the National Guard Youth Challenge Program 126.30promoted by the National Guard Youth Foundation. The adjutant general shall report on 126.31the study and make recommendations to the governor and the committees of the senate 126.32and the house of representatives with jurisdiction over National Guard programs by 126.33January 15, 2009. The study must include: 127.1 (1) possible locations for the Minnesota National Guard Youth Challenge Program; 127.2 (2) estimated start-up costs for the program; 127.3 (3) application and establishment procedures and resources required to apply for 127.4and establish the program; and 127.5 (4) a survey of similar programs established in other states and how each state comes 127.6up with the state match required to obtain federal funds. 127.7ARTICLE 10 127.8ECONOMIC DEVELOPMENT 127.9 Section 1. SUMMARY OF APPROPRIATIONS.

127.10 The amounts shown in this section summarize direct appropriations, by fund, made 127.11in this article. 127.12 20082009Total 127.13 General$(2,425,000)$1,512,000$(913,000)

127.14 Sec. 2. APPROPRIATIONS.

127.15 The dollar amounts in the columns under "APPROPRIATIONS" are added to or, 127.16if shown in parentheses, subtracted from the appropriations in Laws 2007, chapter 135, 127.17or other law to the specified agencies. The appropriations are from the general fund, or 127.18another named fund, and are available for the fiscal years indicated for each purpose. The 127.19figures "2008" and "2009" used in this article mean that the appropriations listed under 127.20them are available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 127.21"The first year" is fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" 127.22is fiscal years 2008 and 2009. Appropriations for the fiscal year ending June 30, 2008, are 127.23effective the day following final enactment. 127.24 APPROPRIATIONS 127.25 Available for the Year 127.26 Ending June 30 127.27 20082009

127.28 127.29 Sec. 3. EMPLOYMENT AND ECONOMIC DEVELOPMENT

127.30 Subdivision 1.Total Appropriation$(3,000,000)$ 445,000

128.1The appropriation additions or reductions 128.2for each purpose are shown in the following 128.3subdivisions. 128.4 128.5 Subd. 2.Employment and Economic Development-0-(550,000)

128.6This is an ongoing base reduction to 128.7the department's operating budget. This 128.8reduction must not result in layoffs. 128.9 128.10 Subd. 3.Business and Community Development(3,000,000)800,000

128.11(a) $400,000 in the second year is for the 128.12establishment and operation of the Office of 128.13Science and Technology. This is a onetime 128.14appropriation and is available until expended. 128.15(b) $400,000 in the second year is a onetime 128.16appropriation for transfer to the revolving 128.17loan account created in Minnesota Statutes, 128.18section 116J.996, subdivision 3, for the 128.19military reservist economic injury loan 128.20program, resulting from a call to active 128.21military duty. 128.22 Subd. 4.Workforce Development-0-195,000

128.23(a) $120,000 in the second year is for a 128.24grant to HIRED to operate its industry 128.25sector training initiatives, which provide 128.26employee training developed in collaboration 128.27with employers in specific, high-demand 128.28industries. This is a onetime appropriation. 128.29(b) $75,000 in the second year is for a grant 128.30to Lifetrack Resources for a onetime pilot 128.31project in Rochester focusing on immigrant 128.32and refugee collaborative programs, 128.33including those related to job-seeking skills 129.1and workplace orientation, intensive job 129.2development, functional work English, and 129.3on-site job coaching. This is a onetime 129.4appropriation and is available until expended. 129.5 Subd. 5. Cancellations

129.6By July 31, 2008, the commissioner of 129.7finance shall cancel the unencumbered 129.8balance of the appropriation in Laws 2005, 129.9First Special Session chapter 3, article 10, 129.10section 23, to the foreign trade zone authority, 129.11estimated to be $608,000, to the general fund. 129.12By July 31, 2008, the commissioner of 129.13finance shall cancel $2,000,000 of the 129.14balance in the job skills partnership account 129.15to the general fund. 129.16 Subd. 6.Transfers In

129.17By July 31, 2008, the commissioner of 129.18finance shall transfer the unencumbered 129.19balance of the appropriation in Laws 129.202005, First Special Session chapter 1, 129.21article 3, section 2, subdivision 2, for 129.22the methamphetamine laboratory cleanup 129.23revolving loan account in the public facilities 129.24authority fund, estimated to be $150,000, to 129.25the general fund. 129.26By July 31, 2008, the commissioner of 129.27finance shall transfer $8,000,000 of the 129.28unencumbered balance in the workforce 129.29development fund to the general fund. 129.30 129.31 Subd. 7.Minnesota Minerals 21st Century Fund

129.32Notwithstanding Minnesota Statutes, 129.33section 116J.423, by June 30, 2009, the 130.1commissioner shall make a $1,000,000 grant 130.2and a $1,000,000 loan from the Minnesota 130.3Minerals 21st Century Fund to Magnetation, 130.4Inc. for reclamation of iron ore. 130.5 Sec. 4. LABOR AND INDUSTRY

130.6 Subdivision 1.Base Reduction$-0-$(43,000)

130.7$43,000 in the second year is a base 130.8reduction. The commissioner must not 130.9reduce funding available for prevailing wage 130.10enforcement and must fill all positions when 130.11vacancies become available. 130.12 Subd. 2.Transfers In

130.13By June 30, 2009, the commissioner of 130.14finance shall transfer $2,000,000 from the 130.15construction code fund under Minnesota 130.16Statutes, section 326B.04, to the general 130.17fund. 130.18 130.19 Sec. 5. BUREAU OF MEDIATION SERVICES$-0-$(69,000)

130.20This is a base reduction. 130.21 Sec. 6. EXPLORE MINNESOTA TOURISM$-0-$1,299,000

130.22(a) $1,299,000 is for a grant to the Minnesota 130.23Film and TV Board for the jobs production 130.24program under Minnesota Statutes, section 130.25116U.26. This is a onetime appropriation and 130.26is in addition to any other appropriation for 130.27the jobs program under Minnesota Statutes, 130.28section 116U.26. This appropriation is 130.29available until expended. 131.1(b) $500,000 of the balance in the special 131.2marketing account established pursuant to 131.3Laws 2005, First Special Session chapter 131.41, article 3, section 6, must be used for a 131.5onetime grant to the Minnesota Film and 131.6TV Board for the production of a film in 131.7Minnesota in calendar years 2008 and 2009. 131.8The grant is in addition to any payments 131.9made for the same purpose from the film 131.10production jobs program under Minnesota 131.11Statutes, section 116U.26. This appropriation 131.12is available until expended. 131.13 Sec. 7. HOUSING FINANCE AGENCY$-0-$(200,000)

131.14This is a onetime reduction. 131.15 131.16 Sec. 8. MINNESOTA BOXING COMMISSION$-0-$80,000

131.17This amount is added to the commission's or 131.18its successor's base budget. 131.19 131.20 Sec. 9. MINNESOTA HISTORICAL SOCIETY$575,000$-0-

131.21$575,000 in the first year is a onetime 131.22appropriation for the Minnesota 131.23Sesquicentennial Commission. The 131.24Minnesota Historical Society, the State Arts 131.25Board, and Explore Minnesota Tourism 131.26may assist the commission in designing 131.27and implementing the grants program. 131.28The commission shall encourage private 131.29contributions to match the state money to the 131.30greatest extent possible. Any gifts, pledges, 131.31membership fees, or contributions received 131.32by the commission are appropriated to the 132.1commission. This appropriation is available 132.2until June 30, 2009. 132.3 Sec. 10. [116J.996] MILITARY RESERVIST ECONOMIC INJURY LOANS. 132.4 Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this 132.5section. 132.6 (b) "Active service" has the meaning given in section 190.05. 132.7 (c) "Commissioner" means the commissioner of employment and economic 132.8development. 132.9 (d) "Eligible business" means a small business, as defined in section 645.445, that 132.10was operating in Minnesota on the date a military reservist received orders for active 132.11service. 132.12 (e) "Essential employee" means a military reservist who is an owner or employee 132.13of an eligible business and whose managerial or technical expertise is critical to the 132.14day-to-day operation of the eligible business. 132.15 (f) "Military reservist" means a member of the reserve component of the armed 132.16forces. 132.17 (g) "Reserve component of the armed forces" has the meaning given it in United 132.18States Code, title 10, section 101(c). 132.19 (h) "Substantial economic injury" means an economic harm to an eligible business 132.20that results in the inability of the eligible business to: 132.21 (1) meet its obligations as they mature; 132.22 (2) pay its ordinary and necessary operating expenses; or 132.23 (3) manufacture, produce, market, or provide a product or service ordinarily 132.24manufactured, produced, marketed, or provided by the eligible business. 132.25 Subd. 2. Loan program. The commissioner may make onetime, interest-free loans 132.26of up to $20,000 per borrower to eligible businesses that have sustained or are likely to 132.27sustain substantial economic injury as a result of the call to active service for 180 days 132.28or more of an essential employee. Loans must be made for the purpose of preventing, 132.29remedying, or ameliorating the substantial economic injury. 132.30 Subd. 3. Revolving loan account. The commissioner shall use money appropriated 132.31for the purpose to establish a revolving loan account. All repayments of loans made 132.32under this section must be deposited into this account. Interest earned on money in the 132.33account accrues to the account. Money in the account is appropriated to the commissioner 132.34for purposes of the loan program created in this section, including costs incurred by the 132.35commissioner to establish and administer the program. 133.1 Subd. 4. Rules. Using the expedited rulemaking procedures of section 14.389, the 133.2commissioner shall develop and publish expedited rules for loan applications, use of 133.3funds, needed collateral, terms of loans, and other details of military reservist economic 133.4injury loans. 133.5EFFECTIVE DATE.This section is effective the day following final enactment. 133.6 Sec. 11. Minnesota Statutes 2006, section 116L.04, subdivision 1, is amended to read: 133.7 Subdivision 1. Partnership program. (a) The partnership program may provide 133.8grants-in-aid to educational or other nonprofit educational institutions using the following 133.9guidelines: 133.10 (1) the educational or other nonprofit educational institution is a provider of training 133.11within the state in either the public or private sector; 133.12 (2) the program involves skills training that is an area of employment need; and 133.13 (3) preference will be given to educational or other nonprofit training institutions 133.14which serve economically disadvantaged people, minorities, or those who are victims of 133.15economic dislocation and to businesses located in rural areas. 133.16 (b) A single grant to any one institution shall not exceed $400,000. A portion of a 133.17grant may be used for preemployment training. 133.18 (c) Each institution must provide for the dissemination of summary results of a 133.19grant-funded project, including, but not limited to, information about curriculum and 133.20all supporting materials developed in conjunction with the grant. Results of projects 133.21developed by any Minnesota State Colleges and Universities system institution must 133.22be disseminated throughout the system. 133.23 Sec. 12. Minnesota Statutes 2006, section 116L.05, subdivision 3, is amended to read: 133.24 Subd. 3. Use of funds. The Job Skills Partnership Board may use up to six percent 133.25of any funds it receives, regardless of the source, for activities authorized under section 133.26116L.04, subdivision 2 . The board may also use a portion of these funds to collect and 133.27disseminate information on the activities under section 116L.04, subdivision 2. The board 133.28must plan for the statewide dissemination of the results, curriculum, and supporting 133.29materials of these grant-funded projects. 133.30 Sec. 13. Minnesota Statutes 2006, section 116L.05, subdivision 5, is amended to read: 133.31 Subd. 5. Use of workforce development funds. After March 1 of any fiscal year, 133.32the board may use workforce development funds for the purposes outlined in sections 134.1116L.04 , , and 116L.10 to 116L.14, or to provide incumbent worker training 134.2services under section 116L.18 if the following conditions have been met: 134.3 (1) the board examines relevant economic indicators, including the projected 134.4number of layoffs for the remainder of the fiscal year and the next fiscal year, evidence of 134.5declining and expanding industries, the number of initial applications for and the number 134.6of exhaustions of unemployment benefits, job vacancy data, and any additional relevant 134.7information brought to the board's attention; 134.8 (2) the board accounts for all allocations made in section 116L.17, subdivision 2; 134.9 (3) based on the past expenditures and projected revenue, the board estimates future 134.10funding needs for services under section 116L.17 for the remainder of the current fiscal 134.11year and the next fiscal year; 134.12 (4) the board determines there will be unspent funds after meeting the needs of 134.13dislocated workers in the current fiscal year and there will be sufficient revenue to meet 134.14the needs of dislocated workers in the next fiscal year; and 134.15 (5) the board reports its findings in clauses (1) to (4) to the chairs of legislative 134.16committees with jurisdiction over the workforce development fund, to the commissioners 134.17of revenue and finance, and to the public. 134.18 Sec. 14. Minnesota Statutes 2006, section 116L.16, is amended to read: 134.19116L.16 DISTANCE-WORK GRANTS. 134.20 The Job Skills Partnership Board may make grants-in-aid for distance-work 134.21projects. The purpose of the grants is to promote distance-work projects involving 134.22technology in rural areas and may include a consortium of organizations partnering 134.23in the development of rural technology industry. Grants may be used to identify and 134.24train rural workers in technology, act as a catalyst to bring together employers and rural 134.25employees to perform distance work, and provide rural workers with physical connections 134.26to telecommunications infrastructure, where necessary, in order to be self-employed or 134.27employed from their homes or satellite offices. Grants must be made according to sections 134.28116L.02 and 116L.04, except that: 134.29 (1) the business match may include, but is not limited to, office space; 134.30additional management or technology staff costs; start-up equipment costs such as 134.31telecommunications infrastructure, additional software, or computer upgrades; consulting 134.32fees for implementation of distance-work policies or identification and skill assessment 134.33of potential employees; and the joint financial contribution of two or more businesses 134.34acting as a consortium; 134.35 (2) cash or in-kind contributions by partnering organizations may be used as a match; 135.1 (3) eligible grantees may be educational or nonprofit educational training 135.2organizations; and 135.3 (4) grants-in-aid may be packaged with loans under section 116L.06, subdivision 135.46 ; and 135.5 (5) with respect to grants serving as a catalyst to bring together employers and rural 135.6employees to perform distance work, the match must be at least one-to-two. 135.7 The board shall, to the extent there are sufficient applications, make grant awards 135.8to as many parts of the state as possible. Subject to the requirement for geographic 135.9distribution of grants, preference shall be given to grant applications that provide the most 135.10cost-effective training proposals, that provide the best prospects for high-paying jobs 135.11with high retention rates, or that are from more economically distressed rural areas or 135.12communities. 135.13 Grantees must meet reporting and evaluation requirements established by the board. 135.14 Sec. 15. Minnesota Statutes 2007 Supplement, section 116L.17, subdivision 1, is 135.15amended to read: 135.16 Subdivision 1. Definitions. (a) For the purposes of this section, the following terms 135.17have the meanings given them in this subdivision. 135.18 (b) "Commissioner" means the commissioner of employment and economic 135.19development. 135.20 (c) "Dislocated worker" means an individual who is a resident of Minnesota at the 135.21time employment ceased or was working in the state at the time employment ceased and: 135.22 (1) has been permanently separated or has received a notice of permanent separation 135.23from public or private sector employment and is eligible for or has exhausted entitlement 135.24to unemployment benefits, and is unlikely to return to the previous industry or occupation; 135.25 (2) has been long-term unemployed and has limited opportunities for employment 135.26or reemployment in the same or a similar occupation in the area in which the individual 135.27resides, including older individuals who may have substantial barriers to employment by 135.28reason of age; 135.29 (3) has been terminated or has received a notice of termination of employment as a 135.30result of a plant closing or a substantial layoff at a plant, facility, or enterprise; 135.31 (4) has been self-employed, including farmers and ranchers, and is unemployed as a 135.32result of general economic conditions in the community in which the individual resides 135.33or because of natural disasters; 136.1 (5) has been permanently separated from employment in a restaurant, bar, or 136.2lawful gambling organization from October 1, 2007, to October 1, 2009, due to the 136.3implementation of any state law prohibiting smoking; or 136.4 (6) is a veteran as defined by section 197.447, has been discharged or released from 136.5active duty under honorable conditions within the last 36 months, and (i) is unemployed 136.6or (ii) is employed in a job verified to be below the skill level and earning capacity of 136.7the veteran; or 136.8 (6) (7) is a displaced homemaker. A "displaced homemaker" is an individual who 136.9has spent a substantial number of years in the home providing homemaking service and 136.10(i) has been dependent upon the financial support of another; and now due to divorce, 136.11separation, death, or disability of that person, must find employment to self support; or (ii) 136.12derived the substantial share of support from public assistance on account of dependents 136.13in the home and no longer receives such support. 136.14 To be eligible under this clause, the support must have ceased while the worker 136.15resided in Minnesota. 136.16 (d) "Eligible organization" means a state or local government unit, nonprofit 136.17organization, community action agency, business organization or association, or labor 136.18organization. 136.19 (e) "Plant closing" means the announced or actual permanent shutdown of a single 136.20site of employment, or one or more facilities or operating units within a single site of 136.21employment. 136.22 (f) "Substantial layoff" means a permanent reduction in the workforce, which is 136.23not a result of a plant closing, and which results in an employment loss at a single site 136.24of employment during any 30-day period for at least 50 employees excluding those 136.25employees that work less than 20 hours per week. 136.26EFFECTIVE DATE.This section is effective the day following final enactment. 136.27 Sec. 16. Minnesota Statutes 2006, section 116L.20, subdivision 2, is amended to read: 136.28 Subd. 2. Disbursement of special assessment funds. (a) The money collected 136.29under this section shall be deposited in the state treasury and credited to the workforce 136.30development fund to provide for employment and training programs. The workforce 136.31development fund is created as a special account in the state treasury. 136.32 (b) All money in the fund not otherwise appropriated or transferred is appropriated 136.33to the Job Skills Partnership Board for the purposes of section 116L.17 and as provided for 136.34in paragraph (d). The board must act as the fiscal agent for the money and must disburse 136.35that money for the purposes of section 116L.17, not allowing the money to be used for 137.1any other obligation of the state. All money in the workforce development fund shall be 137.2deposited, administered, and disbursed in the same manner and under the same conditions 137.3and requirements as are provided by law for the other special accounts in the state treasury, 137.4except that all interest or net income resulting from the investment or deposit of money in 137.5the fund shall accrue to the fund for the purposes of the fund. 137.6 (c) Reimbursement for costs related to collection of the special assessment shall be 137.7in an amount negotiated between the commissioner and the United States Department 137.8of Labor. 137.9 (d) If the board determines that the conditions of section 116L.05, subdivision 5, 137.10have been met, the board may use funds for the purposes outlined in sections 116L.04, 137.11, and 116L.10 to 116L.14, or to provide incumbent worker training services under 137.12section 116L.18. 137.13 Sec. 17. Minnesota Statutes 2006, section 116U.26, is amended to read: 137.14116U.26 FILM JOBS PRODUCTION PROGRAM. 137.15 (a) The film production jobs program is created. The program shall be operated 137.16by the Minnesota Film and TV Board with administrative oversight and control by the 137.17director of Explore Minnesota Tourism. The program shall make payment to producers 137.18of feature films, national television or Internet programs, documentaries, music videos, 137.19and commercials that directly create new film jobs in Minnesota. To be eligible for a 137.20payment, a producer must submit documentation to the Minnesota Film and TV Board of 137.21expenditures for production costs incurred in Minnesota that are directly attributable to the 137.22production in Minnesota of a film product. 137.23 The Minnesota Film and TV Board shall make recommendations to the director of 137.24Explore Minnesota Tourism about program payment, but the director has the authority to 137.25make the final determination on payments. The director's determination must be based 137.26on proper documentation of eligible production costs submitted for payments. No more 137.27than five percent of the funds appropriated for the program in any year may be expended 137.28for administration. 137.29 (b) For the purposes of this section: 137.30 (1) "production costs" means the cost of the following: 137.31 (i) a story and scenario to be used for a film; 137.32 (ii) salaries of talent, management, and labor, including payments to personal 137.33services corporations for the services of a performing artist; 137.34 (iii) set construction and operations, wardrobe, accessories, and related services; 137.35 (iv) photography, sound synchronization, lighting, and related services; 138.1 (v) editing and related services; 138.2 (vi) rental of facilities and equipment; or 138.3 (vii) other direct costs of producing the film in accordance with generally accepted 138.4entertainment industry practice; and 138.5 (2) "film" means a movie feature film, television or Internet show, documentary, 138.6music video, or television commercial, whether on film or, video, or digital media. Film 138.7does not include news, current events, public programming, or a program that includes 138.8weather or market reports; a talk show; a production with respect to a questionnaire or 138.9contest; a sports event or sports activity; a gala presentation or awards show; a finished 138.10production that solicits funds; or a production for which the production company is 138.11required under United States Code, title 18, section 2257, to maintain records with respect 138.12to a performer portrayed in a single-media or multimedia program. 138.13 (c) Notwithstanding any other law to the contrary, the Minnesota Film and TV Board 138.14may make reimbursements of up to 20 percent of film production costs for films that incur 138.15production costs in excess of $5,000,000 in Minnesota within a 12-month period. 138.16EFFECTIVE DATE.This section is effective for films that are certified by the 138.17Minnesota Film and TV Board on or after the day following final enactment. 138.18 Sec. 18. Minnesota Statutes 2006, section 298.223, subdivision 2, is amended to read: 138.19 Subd. 2. Administration. (a) The taconite area environmental protection fund shall 138.20be administered by the commissioner of the Iron Range Resources and Rehabilitation 138.21Board. The commissioner shall by September 1 of each year submit to the board a list 138.22of projects to be funded from the taconite area environmental protection fund, with such 138.23supporting information including description of the projects, plans, and cost estimates as 138.24may be necessary. 138.25 (b) Each year no less than one-half of the amounts deposited into the taconite 138.26environmental protection fund must be used for public works projects, including 138.27construction of sewer and water systems, as specified under subdivision 1, paragraph (c). 138.28The Iron Range Resources and Rehabilitation Board with a majority vote of the members, 138.29may waive the requirements of this paragraph. 138.30 (c) Upon approval by a majority of the members of the Iron Range Resources and 138.31Rehabilitation Board, this the list of projects approved under this subdivision shall be 138.32submitted to the governor by November 1 of each year. By December 1 of each year, the 138.33governor shall approve or disapprove, or return for further consideration, each project. 138.34Funds for a project may be expended only upon approval of the project by the board and 139.1governor. The commissioner may submit supplemental projects to the board and governor 139.2for approval at any time. 139.3EFFECTIVE DATE.This section is effective for distributions beginning in 2009. 139.4 Sec. 19. Minnesota Statutes 2006, section 298.28, subdivision 9d, as added by Laws 139.52008, chapter 154, article 8, section 9, is amended to read: 139.6 Subd. 9d. Iron Range higher education account. Two Five cents per taxable ton 139.7must be allocated to the Iron Range Resources and Rehabilitation Board to be deposited 139.8in an Iron Range higher education account that is hereby created, to be used for higher 139.9education programs conducted at educational institutions in the taconite assistance area 139.10defined in section 273.1341. The Iron Range Higher Education committee under section 139.11298.2214 and the Iron Range Resources and Rehabilitation Board must approve all 139.12expenditures from the account. 139.13 Sec. 20. Minnesota Statutes 2006, section 298.292, subdivision 2, as amended by Laws 139.142008, chapter 154, article 8, section 11, is amended to read: 139.15 Subd. 2. Use of money. Money in the Douglas J. Johnson economic protection trust 139.16fund may be used for the following purposes: 139.17 (1) to provide loans, loan guarantees, interest buy-downs and other forms of 139.18participation with private sources of financing, but a loan to a private enterprise shall be 139.19for a principal amount not to exceed one-half of the cost of the project for which financing 139.20is sought, and the rate of interest on a loan to a private enterprise shall be no less than the 139.21lesser of eight percent or an interest rate three percentage points less than a full faith 139.22and credit obligation of the United States government of comparable maturity, at the 139.23time that the loan is approved; 139.24 (2) to fund reserve accounts established to secure the payment when due of the 139.25principal of and interest on bonds issued pursuant to section 298.2211; 139.26 (3) to pay in periodic payments or in a lump sum payment any or all of the interest 139.27on bonds issued pursuant to chapter 474 for the purpose of constructing, converting, 139.28or retrofitting heating facilities in connection with district heating systems or systems 139.29utilizing alternative energy sources; 139.30 (4) to invest in a venture capital fund or enterprise that will provide capital to other 139.31entities that are engaging in, or that will engage in, projects or programs that have the 139.32purposes set forth in subdivision 1. No investments may be made in a venture capital fund 139.33or enterprise unless at least two other unrelated investors make investments of at least 139.34$500,000 in the venture capital fund or enterprise, and the investment by the Douglas 140.1J. Johnson economic protection trust fund may not exceed the amount of the largest 140.2investment by an unrelated investor in the venture capital fund or enterprise. For purposes 140.3of this subdivision, an "unrelated investor" is a person or entity that is not related to 140.4the entity in which the investment is made or to any individual who owns more than 40 140.5percent of the value of the entity, in any of the following relationships: spouse, parent, 140.6child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of 140.7the value of all interests in it. For purposes of determining the limitations under this 140.8clause, the amount of investments made by an investor other than the Douglas J. Johnson 140.9economic protection trust fund is the sum of all investments made in the venture capital 140.10fund or enterprise during the period beginning one year before the date of the investment 140.11by the Douglas J. Johnson economic protection trust fund; and 140.12 (5) to purchase forest land in the taconite assistance area defined in section 273.1341 140.13to be held and managed as a public trust for the benefit of the area for the purposes 140.14authorized in section 298.22, subdivision 5a. Property purchased under this section may 140.15be sold by the commissioner upon approval by a majority vote of the board. The net 140.16proceeds must be deposited in the trust fund for the purposes and uses of this section. 140.17 Money from the trust fund shall be expended only in or for the benefit of the taconite 140.18assistance area defined in section 273.1341. 140.19 Sec. 21. Minnesota Statutes 2006, section 298.2961, subdivision 2, is amended to read: 140.20 Subd. 2. Projects; approval. (a) Projects funded must be for: 140.21 (1) environmentally unique reclamation projects; or 140.22 (2) pit or plant repairs, expansions, or modernizations other than for a value added 140.23iron products plant; or. 140.24 (3) haulage trucks and equipment and mining shovels. 140.25 (b) To be proposed by the board, a project must be approved by at least eight Iron 140.26Range Resources and Rehabilitation Board members. The money for a project may 140.27be spent only upon approval of the project by the governor. The board may submit 140.28supplemental projects for approval at any time. 140.29 (c) The board may require that it receive an equity percentage in any project to 140.30which it contributes under this section. 140.31 Sec. 22. Minnesota Statutes 2006, section 446A.12, subdivision 1, is amended to read: 140.32 Subdivision 1. Bonding authority. The authority may issue negotiable bonds in a 140.33principal amount that the authority determines necessary to provide sufficient funds for 140.34achieving its purposes, including the making of loans and purchase of securities, the 141.1payment of interest on bonds of the authority, the establishment of reserves to secure 141.2its bonds, the payment of fees to a third party providing credit enhancement, and the 141.3payment of all other expenditures of the authority incident to and necessary or convenient 141.4to carry out its corporate purposes and powers, but not including the making of grants. 141.5Bonds of the authority may be issued as bonds or notes or in any other form authorized 141.6by law. The principal amount of bonds issued and outstanding under this section at any 141.7time may not exceed $1,500,000,000, excluding bonds for which refunding bonds or 141.8crossover refunding bonds have been issued., and excluding any bonds issued for the 141.9credit enhanced bond program or refunding or crossover refunding bonds issued under the 141.10program. The principal amount of bonds issued and outstanding under section 446A.087, 141.11may not exceed $500,000,000, excluding bonds for which refunding bonds or crossover 141.12refunding bonds have been issued. 141.13 Sec. 23. Minnesota Statutes 2006, section 462A.22, subdivision 1, is amended to read: 141.14 Subdivision 1. Debt ceiling. The aggregate principal amount of bonds and notes 141.15which are outstanding at any time, excluding the principal amount of any bonds and 141.16notes refunded by the issuance of new bonds or notes, shall not exceed the sum of 141.17$3,000,000,000 $5,000,000,000. 141.18 Sec. 24. Laws 1999, chapter 223, article 2, section 72, is amended to read: 141.19 Sec. 72. UPPER RED LAKE BUSINESS LOAN PROGRAM. 141.20 The commissioner of trade and economic development must make loans to 141.21businesses in the Upper Red Lake area that have been severely affected by the significant 141.22decline of the walleye fishing resource in Upper Red Lake. The loans may only be 141.23made to businesses that operated in 1998. A business must submit an application to the 141.24commissioner on forms provided by the commissioner. The application must include a 141.25business plan for continued operation, with the assistance of the loan, until the walleye 141.26fishing resource recovers. The commissioner shall allocate available loan funds to a 141.27business based on the commissioner's evaluation of the probable success of its business 141.28plan. A loan shall be for a maximum amount of $75,000 and a duration of ten years from 141.29the date of the loan and shall be interest free. Repayment of a loan in monthly payments 141.30of 1/120 of the original principal amount must begin no later than one year after walleye 141.31fishing on Upper Red Lake is allowed by the department of natural resources recovered 141.32to a bag limit of six. Any principal balance remaining at the end of the ten-year period 141.33shall be forgiven if the business continues in operation for the ten-year period. Loan 141.34repayments shall be deposited in the general fund. 142.1EFFECTIVE DATE.This section is effective the day following final enactment. 142.2 Sec. 25. Laws 2007, chapter 135, article 1, section 3, subdivision 2, is amended to read: 142.3 142.4 Subd. 2. Business and Community Development 40,667,000 8,639,000

142.5 Appropriations by Fund 142.6 General 39,967,000 7,939,000 142.7 Remediation 700,000 700,000

142.8(a) (1) $250,000 the first year and $250,000 142.9the second year are from the general fund 142.10for a grant under Minnesota Statutes, 142.11section 116J.421, to the Rural Policy and 142.12Development Center at St. Peter, Minnesota. 142.13The grant shall be used for research and 142.14policy analysis on emerging economic and 142.15social issues in rural Minnesota, to serve as 142.16a policy resource center for rural Minnesota 142.17communities, to encourage collaboration 142.18across higher education institutions to 142.19provide interdisciplinary team approaches 142.20to research and problem-solving in rural 142.21communities, and to administer overall 142.22operations of the center. 142.23(2) The grant shall be provided upon the 142.24condition that each state-appropriated 142.25dollar be matched with a nonstate dollar. 142.26Acceptable matching funds are nonstate 142.27contributions that the center has received and 142.28have not been used to match previous state 142.29grants. Any unencumbered balance in the 142.30first year is available for the second year. 142.31(b) $250,000 the first year and $250,000 142.32the second year are from the general fund 143.1for a grant to WomenVenture for women's 143.2business development programs. 143.3(c) $250,000 the first year is for a grant to 143.4University Enterprise Laboratories (UEL) 143.5for its direct and indirect expenses to support 143.6efforts to encourage the growth of early-stage 143.7and emerging bioscience companies. UEL 143.8must provide a report by June 30 each year 143.9to the commissioner on the expenditures 143.10until the appropriation is expended. This is a 143.11onetime appropriation and is available until 143.12expended. 143.13(d) $2,000,000 the first year is for grants 143.14under Minnesota Statutes, section 116J.571, 143.15for the redevelopment grant program. This is 143.16a onetime appropriation. 143.17(e) $100,000 the first year and $100,000 the 143.18second year are to help small businesses 143.19access federal funds through the federal 143.20Small Business Innovation Research Program 143.21and the federal Small Business Technology 143.22Transfer Program. Department services 143.23must include maintaining connections to 143.2411 federal programs, assessment of specific 143.25funding opportunities, review of funding 143.26proposals, referral to specific consulting 143.27services, and training workshops throughout 143.28the state. Unless prohibited by federal law, 143.29the department must implement fees for 143.30services that help companies seek federal 143.31Phase II Small Business Innovation Research 143.32grants. The recommended fee schedule 143.33must be reported to the chairs of the house 143.34of representatives finance committee and 144.1senate budget division with jurisdiction over 144.2economic development by February 1, 2008. 144.3(f) $100,000 the first year and $100,000 144.4the second year are appropriated to the 144.5Public Facilities Authority for the small 144.6community wastewater treatment program 144.7under Minnesota Statutes, chapter 446A. 144.8(g) $255,000 the first year and $155,000 144.9the second year are from the general fund 144.10for a grant to the Metropolitan Economic 144.11Development Association for continuing 144.12minority business development programs in 144.13the metropolitan area. 144.14(h) $85,000 the first year and $85,000 the 144.15second year are for grants to the Minnesota 144.16Inventors Congress. Of this amount, $10,000 144.17each year is for the Student Inventors 144.18Congress. 144.19(i) $151,000 the first year is for a onetime 144.20grant to the city of Faribault to design, 144.21construct, furnish, and equip renovations to 144.22accommodate handicapped accessibility at 144.23the Paradise Center for the Arts. 144.24(j) $750,000 the first year is to Minnesota 144.25Technology, Inc. for the small business 144.26growth acceleration program established 144.27under Minnesota Statutes, section 116O.115. 144.28This is a onetime appropriation. This 144.29appropriation does not cancel, but is 144.30available until June 30, 2011. 144.31(k) $300,000 the first year is for a onetime 144.32grant to the city of Northome for the 144.33construction of a new municipal building to 144.34replace the structures damaged by fire on 145.1July 22, 2006. This appropriation is available 145.2when the commissioner determines that a 145.3sufficient match is available from nonstate 145.4sources to complete the project. 145.5(l) $300,000 the first year is for a grant to the 145.6city of Worthington for an agricultural-based 145.7bioscience training and testing center. Funds 145.8appropriated under this section must be used 145.9to provide a training and testing facility for 145.10incubator firms developing new agricultural 145.11processes and products. This is a onetime 145.12appropriation and is available until expended. 145.13(m) $1,750,000 the first year is for a onetime 145.14grant to BioBusiness Alliance of Minnesota 145.15for bioscience business development 145.16programs to promote and position the state 145.17as a global leader in bioscience business 145.18activities. These funds may be used for: 145.19(1) completion and periodic updating of 145.20a statewide bioscience business industry 145.21assessment of business technology 145.22enterprises and Minnesota's competitive 145.23position employing annual updates to federal 145.24industry classification data; 145.25(2) long-term strategic planning that includes 145.26projections of market changes resulting 145.27from developments in biotechnology and the 145.28development of 20-year goals, strategies, and 145.29identified objectives for renewable energy, 145.30medical devices, biopharma, and biologics 145.31business development in Minnesota; 145.32(3) the design and construction of a 145.33Minnesota focused bioscience business 145.34model to test competing strategies and 146.1scenarios, evaluate options, and forecast 146.2outcomes; and 146.3(4) creation of a bioscience business 146.4resources network that includes development 146.5of a statewide bioscience business economic 146.6development framework to encourage 146.7bioscience business development and 146.8encourage spin-off activities, attract 146.9bioscience business location or expansion in 146.10Minnesota, and establish a local capability to 146.11support strategic system level planning for 146.12industry, government, and academia. 146.13This appropriation is available until June 30, 146.142009. 146.15(n) $125,000 the first year is to develop and 146.16operate a bioscience business marketing 146.17program to market Minnesota bioscience 146.18businesses and business opportunities 146.19to other states and other countries. The 146.20bioscience business marketing program must 146.21emphasize bioscience business location and 146.22expansion opportunities in communities 146.23outside of the seven-county metropolitan 146.24area as defined in Minnesota Statutes, 146.25section 473.121, subdivision 2, that have 146.26established collaborative plans among two 146.27or more municipal units for bioscience 146.28business activities, and that are within 15 146.29miles of a four-year, baccalaureate degree 146.30granting institution or a two-year technical 146.31or community college that offers bioscience 146.32curricula. The commissioner must report 146.33to the committees of the senate and house 146.34of representatives having jurisdiction 146.35over bioscience and technology issues by 147.1February 1 of each year on the expenditures 147.2of these funds and the promotional activities 147.3undertaken to market the Minnesota 147.4bioscience industry to persons outside of the 147.5state. This is a onetime appropriation and is 147.6available until expended. 147.7(o) $325,000 is for a grant to the Walker 147.8Area Community Center, Inc., to construct, 147.9furnish, and equip the Walker Area 147.10Community Center. This appropriation is 147.11not available until the commissioner has 147.12determined that an amount sufficient to 147.13complete the project has been committed 147.14from nonstate sources. This is a onetime 147.15appropriation and is available until expended. 147.16(p) $100,000 the first year is for a grant 147.17to the Pine Island Economic Development 147.18Authority for predesign to upgrade and 147.19extend utilities to serve Elk Run Bioscience 147.20Research Park and The Falls - Healthy 147.21Living By Nature, an integrated medicine 147.22facility. This is a onetime appropriation and 147.23is available until expended. 147.24(q) $350,000 the first year is for a grant 147.25to Thomson Township for infrastructure 147.26improvements for the industrial park. This 147.27is a onetime appropriation and is available 147.28until expended. 147.29(r) $75,000 the first year is for a grant to 147.30Le Sueur County for the cost of cleaning 147.31up debris from lakes in Le Sueur County, 147.32caused by the August 24, 2006, tornado in 147.33southern Le Sueur County. This is a onetime 147.34appropriation and is available until expended. 148.1(s) $400,000 the first year is for a grant to 148.2the city of Rogers to be used for relief from 148.3damages caused by the September 16, 2006, 148.4tornado. 148.5(t) $75,000 the first year is for a grant to 148.6the city of Warroad for new public facilities 148.7to replace those damaged or destroyed 148.8by the August 2006 tornado, including 148.9approximately 28 new street lights and 148.10underground electrical circuits and a new 148.11fish cleaning house. This is a onetime 148.12appropriation and is available until expended. 148.13If an appropriation for this purpose is enacted 148.14more than once in the 2007 session, the 148.15appropriation is effective only once. 148.16(u) $500,000 the first year is for a grant to 148.17the Upper Sioux Community to improve the 148.18current water system to ensure continuity 148.19of service to the entire population of the 148.20community and to meet the demands of the 148.21community expansion over the next 20 years. 148.22The is a onetime appropriation and is not 148.23available until the Public Facilities Authority 148.24has determined that at least $1,000,000 has 148.25been committed from nonstate sources. This 148.26appropriation is available until expended. 148.27* (The preceding text beginning "(u) 148.28$500,000 the first year is for" was 148.29indicated as vetoed by the governor.) 148.30(v) $755,000 the first year is for the urban 148.31challenge grant program under Minnesota 148.32Statutes, section 116M.18. This is a onetime 148.33appropriation. 148.34(w) $1,100,000 is for a grant to the 148.35Neighborhood Development Center for 149.1assistance necessary to retain minority 149.2business enterprises at the Global Market. 149.3This is a onetime appropriation and is 149.4available until expended. 149.5(x) $350,000 the first year is for a onetime 149.6grant to the city of Inver Grove Heights 149.7to reduce debt on the Inver Grove Heights 149.8Veterans Memorial Community Center. 149.9* (The preceding text beginning "(x) 149.10$350,000 the first year is for" was 149.11indicated as vetoed by the governor.) 149.12(y) $14,900,000 the first year is for the 149.13Minnesota minerals 21st century fund created 149.14in Minnesota Statutes, section 116J.423, to 149.15partially restore the money unallotted by the 149.16commissioner of finance in 2003 pursuant 149.17to Minnesota Statutes, section 16A.152. 149.18This appropriation may be used as provided 149.19in Minnesota Statutes, section 116J.423, 149.20subdivision 2 . This appropriation is available 149.21until expended. 149.22(z) $2,500,000 the first year is for a grant to 149.23the city of St. Paul to be used to pay, redeem, 149.24or refund debt service costs incurred for the 149.25River Centre Campus. * (The preceding 149.26text beginning "(z) $2,500,000 the first 149.27year is for" was indicated as vetoed by the 149.28governor.) 149.29(aa) $147,000 each year is appropriated from 149.30the general fund to the commissioner of 149.31employment and economic development for 149.32grants of $49,000 to eligible organizations 149.33each year and for the purposes of this 149.34paragraph. Each state grant dollar must be 149.35matched with $1 of nonstate funds. Any 150.1balance in the first year does not cancel but 150.2is available in the second year. The base for 150.3these grants in fiscal years 2010 and 2011 150.4is $189,000 each year, with each eligible 150.5organization receiving a $63,000 grant each 150.6year. 150.7The commissioner of employment and 150.8economic development must make grants to 150.9organizations to assist in the development 150.10of entrepreneurs and small businesses. 150.11Three grants must be awarded to continue 150.12or to develop a program. One grant must 150.13be awarded to the Riverbend Center for 150.14Entrepreneurial Facilitation in Blue Earth 150.15County, and two to other organizations 150.16serving Faribault and Martin Counties. Grant 150.17recipients must report to the commissioner 150.18by February 1 of each year that the 150.19organization receives a grant with the 150.20number of customers served; the number of 150.21businesses started, stabilized, or expanded; 150.22the number of jobs created and retained; and 150.23business success rates. The commissioner 150.24must report to the house of representatives 150.25and senate committees with jurisdiction 150.26over economic development finance on the 150.27effectiveness of these programs for assisting 150.28in the development of entrepreneurs and 150.29small businesses. 150.30(bb) $5,000,000 $2,000,000 the first year is 150.31for grants under Minnesota Statutes, section 150.32116J.8731 , for the Minnesota investment 150.33fund program. Of this amount, up to 150.34$3,000,000 may be used for a legal reference 150.35office and data center facility, provided that 150.36the total capital investment in the facility 151.1is at least $60,000,000. This grant is not 151.2subject to grant limitations under Minnesota 151.3Statutes, section 116J.8731, subdivision 5 151.4$1,000,000 must be used for the biomass 151.5heating grants and loans pilot project. This 151.6is a onetime appropriation and is available in 151.7either year of the biennium. 151.8 Sec. 26. Laws 2007, chapter 135, article 1, section 3, subdivision 3, is amended to read: 151.9 Subd. 3. Workforce Development 50,024,000 49,833,000

151.10 Appropriations by Fund 151.11 General 33,529,000 33,338,000 151.12 151.13 Workforce Development 16,495,000 16,495,000

151.14(a) $6,785,000 the first year and $6,785,000 151.15the second year are from the general fund 151.16for the Minnesota job skills partnership 151.17program under Minnesota Statutes, sections 151.18116L.01 to 116L.17. If the appropriation for 151.19either year is insufficient, the appropriation 151.20for the other year is available for it. This 151.21appropriation does not cancel. 151.22(b) $455,000 the first year and $455,000 the 151.23second year are from the general fund for 151.24a grant under Minnesota Statutes, section 151.25116J.8747 , to Twin Cities RISE! to provide 151.26training to hard-to-train individuals. 151.27(c) $1,375,000 each year is from 151.28the workforce development fund for 151.29Opportunities Industrialization Center 151.30programs. 151.31(d) $5,614,000 each year is from the general 151.32fund and $6,920,000 each year is from the 152.1workforce development fund for extended 152.2employment services for persons with 152.3severe disabilities or related conditions under 152.4Minnesota Statutes, section 268A.15. Of this, 152.5$125,000 each year and in the base for fiscal 152.6years 2010 and 2011 is to supplement funds 152.7paid for wage incentives for the community 152.8support fund established in Minnesota Rules, 152.9part 3300.2045. The commissioner shall 152.10not reduce total expenditures from these 152.11appropriations. 152.12(e) $1,650,000 the first year and $1,650,000 152.13the second year are from the general fund for 152.14grants for programs that provide employment 152.15support services to persons with mental 152.16illness under Minnesota Statutes, sections 152.17268A.13 and 268A.14. Up to $77,000 each 152.18year may be used for administrative and 152.19salary expenses. 152.20(f) $2,440,000 the first year and $2,440,000 152.21the second year are from the general 152.22fund for grants under Minnesota Statutes, 152.23section 268A.11, for the eight centers 152.24for independent living. The base for this 152.25program is $2,440,000 each year in fiscal 152.26years 2010 and 2011. Money not expended 152.27the first year is available the second year. 152.28The commissioner must: 152.29(1) transfer $115,000 of federal independent 152.30living Part B rehabilitation services funds 152.31to the Minnesota Centers for Independent 152.32Living each year contingent upon the 152.33availability of federal funds under Title VII, 152.34Part B, of the Federal Rehabilitation Act of 152.351973 as amended under United States Code, 153.1title 29, section 711(c), and approved by the 153.2Statewide Independent Living Council; 153.3(2) replace federal Part B funds in the 153.4State Independent Living Council budget 153.5transferred under clause (1) with $115,000 153.6of Social Security Administration program 153.7income funds each year; and 153.8(3) provide an additional $185,000 each year 153.9from the Social Security Administration 153.10program income to the Minnesota Centers for 153.11Independent Living to be allocated equally 153.12among the eight centers. 153.13Additional funding for centers for 153.14independent living under clauses (1) and (3) 153.15must be used for core independent living 153.16services by the Centers for Independent 153.17Living. The Statewide Independent Living 153.18Council framework for statewide distribution 153.19of state and federal funding to the Minnesota 153.20Centers for Independent Living does not 153.21apply to the funds under clauses (1) and 153.22(3). The commissioner must report on the 153.23transfers in clauses (1), (2), and (3), and any 153.24other effort to pursue additional funding for 153.25the Centers for Independent Living to the 153.26standing committees of the senate and house 153.27of representatives having jurisdiction over 153.28Centers for Independent Living by March 15 153.29each year. 153.30(g) $5,940,000 the first year and $5,940,000 153.31the second year are from the general fund for 153.32state services for the blind activities. 153.33(h) $150,000 the first year and $150,000 153.34the second year are from the general fund 153.35and $175,000 the first year and $175,000 154.1the second year are from the workforce 154.2development fund for grants under Minnesota 154.3Statutes, section 268A.03, to Rise, Inc. 154.4for the Minnesota Employment Center for 154.5People Who are Deaf or Hard-of-Hearing. 154.6Money not expended the first year is 154.7available the second year. 154.8(i) $9,021,000 the first year and $9,021,000 154.9the second year are from the general fund for 154.10the state's vocational rehabilitation program 154.11for people with significant disabilities to 154.12assist with employment, under Minnesota 154.13Statutes, chapter 268A. 154.14(j) $350,000 the first year and $350,000 154.15the second year are from the workforce 154.16development fund for grants to provide 154.17interpreters for a regional transition program 154.18that specializes in providing culturally 154.19appropriate transition services leading to 154.20employment for deaf, hard-of-hearing, and 154.21deaf-blind students. This amount must be 154.22added to the department's base. 154.23(k) $150,000 the first year and $150,000 the 154.24second year are for a grant to Advocating 154.25Change Together for training, technical 154.26assistance, and resources materials to persons 154.27with developmental and mental illness 154.28disabilities. 154.29(l) $250,000 the first year and $250,000 154.30the second year are from the workforce 154.31development fund and $150,000 the first 154.32year and $100,000 the second year are from 154.33the general fund for a grant to Lifetrack 154.34Resources for its immigrant and refugee 154.35collaborative programs, including those 155.1related to job-seeking skills and workplace 155.2orientation, intensive job development, 155.3functional work English, and on-site job 155.4coaching. $50,000 of the first year general 155.5fund appropriation is for a onetime pilot 155.6Lifetrack project in Rochester. 155.7(m) $75,000 the first year and $75,000 the 155.8second year are from the general fund and 155.9$1,000,000 the first year and $1,000,000 155.10the second year are from the workforce 155.11development fund for the youthbuild 155.12program under Minnesota Statutes, sections 155.13116L.361 to 116L.366. This appropriation 155.14may be used for: 155.15(1) restoring the three youthbuild programs 155.16that were eliminated due to budget reductions 155.17and adding seven more youthbuild programs 155.18statewide; 155.19(2) restoring funding levels for all youthbuild 155.20programs plus an inflationary increase for 155.21each program; 155.22(3) increasing the number of at-risk youth 155.23served by the youthbuild programs from 260 155.24youth per year to 500 youth per year; and 155.25(4) restoring the youthbuild focus on careers 155.26in technology and adding a youthbuild focus 155.27on careers in the medical field. 155.28(n) $1,325,000 each year is from the 155.29workforce development fund for grants 155.30to fund summer youth employment in 155.31Minneapolis. The grants shall be used to 155.32fund up to 500 jobs for youth each summer. 155.33Of this appropriation, $325,000 each year is 155.34for a grant to the learn-to-earn summer youth 156.1employment program. The commissioner 156.2shall establish criteria for awarding the 156.3grants. This appropriation is available in 156.4either year of the biennium and is available 156.5until spent. 156.6(o) $600,000 the first year and $600,000 156.7the second year are from the workforce 156.8development fund for a grant to the city of 156.9St. Paul for grants to fund summer youth 156.10employment in St. Paul. The grants shall be 156.11used to fund up to 500 jobs for youth each 156.12summer. The commissioner shall establish 156.13criteria for awarding the grants within the 156.14city of St. Paul. This appropriation is 156.15available in either year of the biennium and 156.16is available until spent. 156.17(p) $250,000 the first year and $250,000 the 156.18second year are from the general fund for 156.19grants to Northern Connections in Perham 156.20to implement and operate a pilot workforce 156.21program that provides one-stop supportive 156.22services to individuals as they transition into 156.23the workforce. 156.24(q) $100,000 each year is for a grant to 156.25Ramsey County Workforce Investment Board 156.26for the development of the building lives 156.27program. This is a onetime appropriation. 156.28* (The preceding text beginning "(q) 156.29$100,000 each year is for" was indicated 156.30as vetoed by the governor.) 156.31(r) $150,000 each year is for a grant to the 156.32Hennepin-Carver Workforce Investment 156.33Board (WIB) to coordinate with the Partners 156.34for Progress Regional Skills Consortium 156.35to provide employment and training as 157.1demonstrated by the Twin Cities regional 157.2health care training partnership project. 157.3* (The preceding text beginning "(r) 157.4$150,000 each year is for" was indicated 157.5as vetoed by the governor.) 157.6(s) $160,000 the first year is for a onetime 157.7grant to Workforce Development, Inc., for 157.8a pilot project to provide demand-driven 157.9employment and training services to 157.10welfare recipients and other economically 157.11disadvantaged populations in Mower, 157.12Freeborn, Dodge, and Steele Counties. 157.13(t) $200,000 the first year and $200,000 the 157.14second year are from the general fund for 157.15a grant to HIRED to operate its industry 157.16sector training initiatives, which provide 157.17employee training developed in collaboration 157.18with employers in specific, high-demand 157.19industries. * (The preceding text beginning 157.20"(t) $200,000 the first year" was indicated 157.21as vetoed by the governor.) 157.22(u) $100,000 the first year is for a onetime 157.23grant to a nonprofit organization. The 157.24nonprofit organization must work on behalf 157.25of all licensed vendors to coordinate their 157.26efforts to respond to solicitations or other 157.27requests from private and governmental units 157.28as defined in Minnesota Statutes, section 157.29471.59, subdivision 1 , in order to increase 157.30employment opportunities for persons with 157.31disabilities. This appropriation is available 157.32until June 30, 2009. 157.33(v) $3,500,000 each year from the workforce 157.34development fund is for the Minnesota youth 158.1program under Minnesota Statutes, sections 158.2116L.56 and 116L.561. 158.3(w) $1,000,000 each year from the workforce 158.4development fund is for a grant to the 158.5Minnesota Alliance of Boys and Girls 158.6Clubs to administer a statewide project 158.7of youth job skills development. This 158.8project, which may have career guidance 158.9components, including health and life skills, 158.10is to encourage, train, and assist youth in 158.11job-seeking skills, workplace orientation, 158.12and job site knowledge through coaching. 158.13This grant requires a 25 percent match from 158.14nonstate resources. 158.15(x) $10,000 the first year is for a study on 158.16ways to promote employment opportunities 158.17for minorities, with a particular focus on 158.18opportunities for African Americans, in 158.19the state of Minnesota. The study should 158.20focus on how to significantly expand the job 158.21training available to minorities and promote 158.22substantial increases in the wages paid to 158.23minorities, at least to a rate well above living 158.24wage, and within several years, to equality. 158.25The commissioner must report on the study 158.26to the governor and the chair of the finance 158.27committee in each house of the legislature 158.28that has jurisdiction over employment by 158.29January 15, 2008, with recommendations for 158.30implementing the findings. 158.31(y) The commissioner must provide funding 158.32for the Minnesota Conservation Corps to 158.33provide learning stipends for deaf students 158.34and wages for interpreters participating in 158.35the MCC summer youth program. 159.1 Sec. 27. Laws 2007, chapter 135, article 1, section 6, subdivision 4, is amended to read: 159.2 Subd. 4. Labor Standards/Apprenticeship 1,833,000 1,803,000

159.3 Appropriations by Fund 159.4 General 1,069,000 1,024,000 159.5 159.6 Workforce Development 764,000 779,000

159.7The appropriation from the workforce 159.8development fund is for the apprenticeship 159.9program under Minnesota Statutes, chapter 159.10178, and includes $100,000 each year for 159.11labor education and advancement program 159.12grants. 159.13$360,000 the first year and $300,000 the 159.14second year from the general fund are for 159.15prevailing wage enforcement of which 159.16$60,000 in the first year is for outreach and 159.17survey participation improvements, and is 159.18available until expended. 159.19 Sec. 28. Laws 2007, First Special Session chapter 2, article 1, section 8, subdivision 2, 159.20is amended to read: 159.21 Subd. 2. Minnesota Investment Fund 35,000,000

159.22For transfer to the Minnesota investment 159.23fund for grants to local units of government 159.24for locally administered grants or loan 159.25programs for businesses and nonprofit 159.26organizations directly and adversely affected 159.27by the flood, including those that provide 159.28residential, health care, child care, social, or 159.29other services on behalf of the Department 159.30of Human Services to residents of the area 159.31included in DR-1717. Assistance under this 159.32subdivision is not limited to businesses. 160.1Payments may be made for property damage 160.2and cleanup, and to reimburse parties under 160.3contract, provider agreement, or other 160.4arrangement with the commissioner of 160.5human services as of August 18, 2007, for 160.6residential, health care, child care, social, 160.7or other services provided on behalf of 160.8the Department of Human Services to a 160.9resident of the area included in DR-1717, 160.10notwithstanding that: 160.11(1) the resident has been compelled by the 160.12floods of August 2007 to relocate outside the 160.13party's service area; or 160.14(2) the party is unable to provide services 160.15to the resident due to flood damage to the 160.16party's place of business. 160.17Criteria and requirements must be locally 160.18established with the approval of the 160.19commissioner. For the purposes of this 160.20appropriation, Minnesota Statutes, sections 160.21116J.8731 , subdivisions 3, 4, 5, and 7; 160.22116J.993 ; 116J.994; and 116J.995, are 160.23waived. Businesses that receive grants or 160.24loans from this appropriation must set goals 160.25for jobs retained and wages paid within the 160.26area included in DR-1717. 160.27Before any grants under this subdivision are 160.28awarded to a local unit of government, the 160.29commissioner of employment and economic 160.30development shall report to the chairs of the 160.31senate finance and house of representatives 160.32ways and means committees the criteria and 160.33requirements to be used by local units of 160.34government in the grant or loan programs 161.1they will administer. This appropriation is 161.2from the general fund. 161.3Any money transferred to the commissioner 161.4of natural resources to provide 161.5high-resolution digital elevation maps 161.6using Light Detection and Ranging (LiDAR) 161.7technology to be used for flood management 161.8is available until June 30, 2009. 161.9 Sec. 29. BIOMASS HEATING GRANTS AND LOANS PILOT PROJECT. 161.10 Within the limits of appropriations, the commissioner of the Department of 161.11Employment and Economic Development shall make grants and loans for costs related 161.12to the installation of an approved biomass heating project in a publicly owned facility, 161.13including K-12 public schools, higher education buildings, and buildings owned by a 161.14local unit of government. The commissioner must approve biomass heating projects that 161.15produce energy for heating air or water using organic matter available on a renewable 161.16basis, including but not limited to agricultural crops, grasses and trees, or wood production 161.17or other waste. Applications for a grant or loan under this section must be made to the 161.18commissioner on the forms and according to the timeline prescribed by the commissioner. 161.19At a minimum, the commissioner must require sufficient information on the applications 161.20to determine that the physical condition of the publicly owned facility is sufficient to 161.21support the efficient operation of the biomass heating project and that the projected 161.22cumulative energy cost savings are adequate relative to the costs of the investment. 161.23The grant and loan may each provide up to 50 percent of the total installed costs of the 161.24biomass heating projects. 161.25 Sec. 30. HARDSHIP PAYMENTS. 161.26 Subdivision 1. Payments; availability. Hardship payments are available to 161.27an applicant if the applicant suffered economic hardship due to delays in receiving 161.28unemployment benefits resulting from the new unemployment insurance application 161.29and filing system implemented by the Department of Employment and Economic 161.30Development on October 15, 2007. 161.31 Subd. 2. Economic hardship. "Economic hardship" means financial losses to 161.32an applicant resulting from: checks returned for insufficient funds; account overdraft 161.33charges; installment credit penalties, interest, and other fees resulting from missed or 161.34late payments; mortgage loan late fees, interest charges, or other penalties; charges for 162.1force-placed automobile or homeowner's insurance; penalties for late payment of income 162.2or property taxes; and any penalties or adverse consequences, including the suspension of 162.3an applicant's driver's license due to nonpayment of child support. 162.4 Subd. 3. Payment from administration account. Hardship payments are payable 162.5from the unemployment insurance administration account under Minnesota Statutes, 162.6section 268.196. 162.7 Subd. 4. Eligibility conditions. An applicant is eligible to receive hardship 162.8payments under this section if the applicant's unemployment benefit payments due and 162.9payable after October 15, 2007, were delayed at least four weeks. 162.10 Subd. 5. Amount of hardship payments. The amount of hardship payments 162.11available to an applicant is equal to the amount of economic hardship experienced by an 162.12applicant due to the delay in receiving unemployment benefits. An applicant must provide 162.13documentation of the amount of financial hardship claimed using financial institution 162.14records, consumer or business credit records, child support records, or other commonly 162.15recognized methods of documenting financial transactions. 162.16 Subd. 6. Notice. The commissioner must notify applicants of the availability of 162.17hardship payments by posting a notice on the department's official Web site, by notifying 162.18applicants by individual mailing where department records show the applicant may be 162.19eligible under subdivision 4, and by any other appropriate announcement. 162.20EFFECTIVE DATE.This section is effective the day following final enactment. 162.21 Sec. 31. LUMBER COMPANY EXTRA BENEFITS. 162.22 Subdivision 1. Extra benefits; availability. Extra unemployment benefits are 162.23available to an applicant who was laid off due to lack of work from the Ainsworth Lumber 162.24Company plant in Cook, Minnesota. 162.25 Subd. 2. Payment from fund; effect on employer. Extra unemployment benefits 162.26are payable from the unemployment insurance trust fund. Extra unemployment benefits 162.27paid will not be used in computing the experience rating of Ainsworth Lumber Company 162.28under Minnesota Statutes, sections 268.047 and 268.051, subdivision 3. 162.29 Subd. 3. Eligibility conditions. An applicant is eligible to receive extra 162.30unemployment benefits under this section for any week through December 27, 2008, if: 162.31 (1) the applicant established a benefit account under Minnesota Statutes, section 162.32268.07, with a majority of the wage credits from Ainsworth Lumber Company, and 162.33exhausted entitlement to those regular unemployment benefits after January 1, 2008; 163.1 (2) the applicant meets the same eligibility requirements that are required for regular 163.2unemployment benefits under Minnesota Statutes, section 268.069; 163.3 (3) the applicant is not entitled to any other unemployment benefits and is not 163.4entitled to receive unemployment benefits under any other state or federal law for that 163.5week, including any other extended unemployment benefits; and 163.6 (4) if an applicant qualifies for any type of unemployment benefits available under 163.7Minnesota law, or under any federal law, or the law of another state, the applicant must 163.8apply for and exhaust entitlement to those unemployment benefits. 163.9 Subd. 4. Weekly amount of extra benefits. The weekly extra unemployment 163.10benefits amount available to an applicant is the same as the applicant's weekly regular 163.11unemployment benefit amount on the benefit account established in subdivision 3, clause 163.12(1). 163.13 Subd. 5. Maximum amount of extra unemployment benefits. The maximum 163.14amount of extra unemployment benefits available is equal to 13 times the applicant's 163.15weekly benefit amount. 163.16 Subd. 6. Program expiration. This extra unemployment benefit program expires 163.17on December 27, 2008. No extra unemployment benefits may be paid for any week after 163.18the expiration of this program. 163.19 Subd. 7. Notice. The commissioner must notify applicants of the availability 163.20of extra unemployment benefits by posting a notice on the department's official Web 163.21site, by notifying applicants by individual mailing where department records show the 163.22applicant may qualify for these extra unemployment benefits, and by any other appropriate 163.23announcement. 163.24EFFECTIVE DATE.This section is effective the day following final enactment 163.25and applies retroactively from January 1, 2008. 163.26 Sec. 32. UNEMPLOYMENT BENEFITS; CONTINUED REQUEST TIME 163.27PERIOD WAIVER. 163.28 Notwithstanding any other law to the contrary, the commissioner must accept initial 163.29and continued requests for unemployment benefits and pay unemployment benefits to 163.30an applicant who currently resides in Hubbard County and applied for unemployment 163.31benefits on September 15, 2006, and had an account dated September 10, 2006: 163.32 (1) was employed as a technician or inspector for Northwest Airlines, Inc., prior 163.33to August 20, 2005; 164.1 (2) stopped working on or about August 20, 2005, because of a labor dispute between 164.2the Aircraft Mechanics Fraternal Association (AMFA) and Northwest Airlines, Inc.; 164.3 (3) did not file an initial or continued requests for unemployment benefits within the 164.4time periods required under Minnesota Statutes, chapter 268; and 164.5 (4) meets all the other requirements for the payment of unemployment benefits 164.6under Minnesota Statutes, section 268.069, subdivision 2. 164.7 Any unemployment benefits paid under the account established September 10, 2006, 164.8shall be deducted from the total benefits authorized under this section. 164.9EFFECTIVE DATE.This section is effective the day following final enactment 164.10and applies retroactively from August 21, 2005. 164.11 Sec. 33. OFFICE OF SCIENCE AND TECHNOLOGY. 164.12 Subdivision 1. Establishment. An Office of Science and Technology is established 164.13in the Department of Employment and Economic Development to do the following: 164.14 (1) coordinate public and private efforts to procure federal funding for collaborative 164.15research and development projects of primary benefit to small and medium-sized 164.16businesses; 164.17 (2) promote contractual relationships between Minnesota businesses that are 164.18recipients of federal grants and prime contractors, and Minnesota-based subcontractors; 164.19 (3) work with Minnesota nonprofit institutions including the University of 164.20Minnesota, Minnesota State Colleges and Universities, and the Mayo Clinic in promoting 164.21collaborative efforts to respond to federal funding opportunities; 164.22 (4) develop a framework for Minnesota companies to establish sole-source 164.23relationships with federal agencies; and 164.24 (5) coordinate workshops, assistance with business proposals, licensing, intellectual 164.25property protection, commercialization, and government auditing with the University of 164.26Minnesota and Minnesota State Colleges and Universities. 164.27 For the purposes of this section, "office" means the Office of Science and Technology 164.28established in this subdivision. 164.29 Subd. 2. Technology partnering with a prime contractor. The office must 164.30develop a program to assist small businesses competing for a small business innovation 164.31research award by matching the applicant with a larger company. Prime contractors are 164.32matched to small businesses through a prescreening process that may result in a letter of 164.33support for the applicant designed to increase the chance of receiving a Small Business 164.34Innovation Research (SBIR) award. 165.1 Subd. 3. Collaborate to commercialize. The office must develop a program to use 165.2the federal high-risk research and development investment program to encourage the 165.3development of new technologies, products, and business development and to reduce 165.4development risks by encouraging alliances between medium-sized companies and 165.5innovative small businesses. 165.6 Subd. 4. Technology matchmaking. The office must assist businesses in 165.7identifying qualified suppliers and vendors through a program to serve as a conduit for 165.8Minnesota-based companies to network with firms able to support their success. Firms 165.9outside Minnesota can participate in the technology matchmaking network if one of the 165.10participating companies is located in Minnesota. 165.11 Subd. 5. Commercialization assistance. The office must provide 165.12commercialization assistance to Minnesota firms that have received a Phase I Small 165.13Business Innovation Research (SBIR) or a Phase I Small Business Technology Transfer 165.14(STTR) award and are submitting a Phase II proposal. Local service providers must assist 165.15the applicant with developing and reviewing the required commercialization plan prior to 165.16Phase II submission. The office may provide SBIR Phase I proposal technical review. 165.17 Subd. 6. Report. The commissioner of employment and economic development 165.18must report to the committees in the house of representatives and senate having 165.19jurisdiction over bioscience and technology issues on the activities of the Office of Science 165.20and Technology by June 30, 2009. 165.21 Sec. 34. 2008 DISTRIBUTIONS ONLY. 165.22 For distribution in 2008 only, a special fund is established to receive 9.65 cents 165.23per ton that otherwise would be allocated under Minnesota Statutes, section 298.28, 165.24subdivision 6. If sufficient funds are not available under Minnesota Statutes, section 165.25298.28, subdivision 6, to make the payments required under this section and under 165.26Minnesota Statutes, section 298.28, subdivision 6, the remaining amount needed to total 165.279.65 cents per ton may be taken from funds available under Minnesota Statutes, section 165.28298.28, subdivision 9. The following amounts are allocated to St. Louis County acting as 165.29the fiscal agent for the recipients for the following specified purposes: 165.30 (1) two cents per ton must be paid to the Hibbing Economic Development Authority 165.31to retire bonds and for economic development purposes; 165.32 (2) 0.25 cent per ton must be paid to the St. Louis County School Board to study 165.33the potential for and impact of consolidation and streamlining the operations of the St. 165.34Louis County School District No. 2142; 166.1 (3) 0.25 cent per ton must be paid to the city of Grand Rapids, for industrial park 166.2work; 166.3 (4) 0.65 cent per ton must be paid to the city of Aitkin, for sewer and water for 166.4housing projects; 166.5 (5) 0.5 cent per ton must be paid to the city of Crosby, for well and water tower 166.6infrastructure; 166.7 (6) 0.25 cent per ton must be paid to the Mountain Iron-Buhl School Board to 166.8study the potential for and impact of consolidation or streamlining the operations of the 166.9Mountain Iron-Buhl School District No. 712; 166.10 (7) 0.25 cent per ton must be paid to the Virginia School Board to study the potential 166.11for an impact of consolidation or streamlining the operations of the Virginia Public 166.12School District No. 706; 166.13 (8) 1.5 cents per ton must be paid to the city of Silver Bay to pay for health and 166.14safety and maintenance improvements at a former elementary school building that is 166.15currently owned by the city, to be used for economic development purposes; 166.16 (9) 1.5 cents per ton must be paid to St. Louis County to extend water and sewer 166.17lines from the city of Chisholm to the St. Louis County fairgrounds; 166.18 (10) 1.5 cents per ton must be paid to the White Community Hospital for debt 166.19restructuring; 166.20 (11) 0.5 cent per ton must be paid to the city of Keewatin for street, sewer, and 166.21water improvements; and 166.22 (12) 0.5 cent per ton must be paid to the city of Calumet for street, sewer, and water 166.23improvements. 166.24 Sec. 35. REPEALER. 166.25Minnesota Statutes 2006, section 341.31, and Laws 2004, chapter 188, section 166.262, are repealed. 166.27EFFECTIVE DATE.This section is effective the day following final enactment. 166.28ARTICLE 11 166.29TRANSPORTATION 166.30 Section 1. SUMMARY OF APPROPRIATIONS.

166.31 The amounts shown in this section summarize direct appropriations, by fund, made 166.32in this article. 167.1 20082009Total 167.2 General$-0-$(255,000)$(255,000) 167.3 Trunk Highway6,850,000-0-6,850,000 167.4 State Airports-0-(15,000,000)(15,000,000) 167.5 Total$6,850,000$(15,255,000)$(8,405,000)

167.6 Sec. 2. APPROPRIATIONS.

167.7 The sums shown in the columns marked "Appropriations" are added to or, if shown 167.8in parentheses, subtracted from the appropriations under Laws 2007, chapter 143, article 167.91; Laws 2007, First Special Session chapter 2, article 2, section 2; and Laws 2008, 167.10chapter 152, article 1, to the agencies and for the purposes specified in this article. The 167.11appropriations are from the trunk highway fund or another named fund and are available 167.12for the fiscal years indicated for each purpose. The figures "2008" and "2009" used in 167.13this article mean that the addition to or subtraction from the appropriation listed under 167.14them is available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 167.15Supplemental appropriations and reductions to appropriations for the fiscal year ending 167.16June 30, 2008, are effective the day following final enactment. 167.17 APPROPRIATIONS 167.18 Available for the Year 167.19 Ending June 30 167.20 20082009

167.21 Sec. 3. TRANSPORTATION

167.22 Subdivision 1.Total Appropriation$6,850,000$(34,000)

167.23 Appropriations by Fund 167.24 20082009 167.25 General-0-(34,000) 167.26 Trunk Highway 6,850,000-0-

167.27The amounts that may be spent or must be 167.28reduced for each purpose are specified in the 167.29following subdivisions. 167.30 Subd. 2.Transit-0-(32,000)

168.1This reduction is from the appropriation from 168.2the general fund for transit in Laws 2007, 168.3chapter 143, article 1, section 3, subdivision 168.42, paragraph (b). 168.5 Subd. 3.Freight-0-(2,000)

168.6This reduction is from the appropriation from 168.7the general fund for freight in Laws 2007, 168.8chapter 143, article 1, section 3, subdivision 168.92, paragraph (c). 168.10 Subd. 4.State Roads6,850,000-0-

168.11This appropriation is spending authority for 168.12additional federal bridge funding authorized 168.13and appropriated by Congress in 2008, and 168.14is for the actual construction, reconstruction, 168.15and improvement of trunk highways, 168.16including design-build contracts and 168.17consultant usage to support these activities. 168.18This includes the cost of actual payments to 168.19landowners for lands acquired for highway 168.20rights-of-way, payments to lessees, interest 168.21subsidies, and relocation expenses. This is a 168.22onetime appropriation. 168.23 Subd. 5.Transfers In

168.24By June 30, 2008, the commissioner of 168.25finance shall transfer $15,000,000 from the 168.26state airports fund established in Minnesota 168.27Statutes, section 360.017, to the general fund. 168.28Notwithstanding Minnesota Statutes, 168.29section 222.49, before June 30, 2008, 168.30the commissioner of finance shall transfer 168.31$3,000,000 from the rail service improvement 168.32account in the special revenue fund to the 168.33general fund. 169.1Notwithstanding Minnesota Statutes, section 169.2222.49, after July 1, 2008, and before June 169.330, 2009, the commissioner of finance shall 169.4transfer $3,000,000 from the rail service 169.5improvement account in the special revenue 169.6fund to the general fund. 169.7 Sec. 4. METROPOLITAN COUNCIL$-0-$(136,000)

169.8This reduction is from the appropriation from 169.9the general fund for bus system operations in 169.10Laws 2007, chapter 143, article 1, section 4, 169.11subdivision 2, and Hiawatha light rail transit 169.12in Laws 2007, chapter 143, article 1, section 169.134, subdivision 3. 169.14 Sec. 5. PUBLIC SAFETY

169.15 Subdivision 1.Total Appropriation$-0-$(60,000)

169.16The amounts that may be spent or must be 169.17reduced for each purpose are specified in the 169.18following subdivisions. 169.19 Subd. 2.Public Safety Support-0-(45,000)

169.20Of this reduction, $28,000 is from the 169.21appropriation from the general fund 169.22for a security coordinator to coordinate 169.23planning efforts for the Republican National 169.24Convention in Laws 2007, chapter 143, 169.25article 1, section 5, subdivision 2, paragraph 169.26(b). 169.27Of this reduction, $17,000 is from the 169.28appropriation from the general fund in 169.29Laws 2007, chapter 143, article 1, section 5, 169.30subdivision 2, paragraph (b). 169.31The base appropriation for fiscal years 2010 169.32and 2011 is $3,296,000 per year. 170.1 Subd. 3.Capitol Security-0-(15,000)

170.2This reduction is from the appropriation from 170.3the general fund in Laws 2007, chapter 143, 170.4article 1, section 5, subdivision 3, paragraph 170.5(c). 170.6 Sec. 6. Minnesota Statutes 2006, section 168.013, is amended by adding a subdivision 170.7to read: 170.8 Subd. 21. Technology surcharge. For every vehicle registration renewal required 170.9under this chapter, the commissioner shall collect a surcharge of $1.75. Surcharges 170.10collected under this subdivision must be credited to the driver and vehicle services 170.11technology account in the special revenue fund under section 299A.705. 170.12EFFECTIVE DATE.This section is effective July 1, 2008, and expires June 30, 170.132012. 170.14 Sec. 7. Minnesota Statutes 2006, section 168A.29, as amended by Laws 2007, chapter 170.15143, article 3, section 2, is amended to read: 170.16168A.29 FEES. 170.17 Subdivision 1. Amounts. (a) The department must be paid the following fees: 170.18 (1) for filing an application for and the issuance of an original certificate of title, the 170.19sum of $6.25 of which $3.25 must be paid into the vehicle services operating account of 170.20the special revenue fund under section 299A.705; until June 30, 2012, a surcharge of $1.75 170.21must be added to the fee and credited to the driver and vehicle services technology account; 170.22 (2) for each security interest when first noted upon a certificate of title, including the 170.23concurrent notation of any assignment thereof and its subsequent release or satisfaction, 170.24the sum of $2, except that no fee is due for a security interest filed by a public authority 170.25under section 168A.05, subdivision 8; 170.26 (3) for the transfer of the interest of an owner and the issuance of a new certificate of 170.27title, the sum of $5.50 of which $2.50 must be paid into the vehicle services operating 170.28account of the special revenue fund under section 299A.705; until June 30, 2012, a 170.29surcharge of $1.75 must be added to the fee and credited to the driver and vehicle services 170.30technology account; 170.31 (4) for each assignment of a security interest when first noted on a certificate of title, 170.32unless noted concurrently with the security interest, the sum of $1; 171.1 (5) for issuing a duplicate certificate of title, the sum of $7.25 of which $3.25 must 171.2be paid into the vehicle services operating account of the special revenue fund under 171.3section 299A.705; until June 30, 2012, a surcharge of $1.75 must be added to the fee and 171.4credited to the driver and vehicle services technology account. 171.5 (b) After June 30, 1994, in addition to each of the fees required under paragraph (a), 171.6clauses (1) and (3), the department must be paid $3.50. The additional $3.50 fee collected 171.7under this paragraph must be deposited in the special revenue fund and credited to the 171.8public safety motor vehicle account established in section 299A.70. 171.9 Subd. 2. Fee in lieu of other fee. If a person applies for an original or a new 171.10certificate of title to a vehicle, concurrently with an application, as transferee, of 171.11registration of the vehicle, the fee prescribed in subdivision 1 must be in lieu of the fee 171.12fees prescribed by section sections 168.013, subdivision 21, and 168.54, with respect to 171.13any transfer of ownership or registration of the vehicle to the applicant. 171.14 Subd. 3. No certificate issued until fees paid. Subject to subdivision 2, the 171.15department shall not issue a certificate of title to a vehicle until all fees prescribed by 171.16sections section 168.54 and 168A.10, subdivision 6, with respect to any prior transfer of 171.17ownership or registration of the vehicle have been paid. 171.18 Sec. 8. Minnesota Statutes 2007 Supplement, section 171.06, subdivision 2, is 171.19amended to read: 171.20 Subd. 2. Fees. (a) The fees for a license and Minnesota identification card are 171.21as follows: 171.22 171.23 Classified Driver's License D-$22.25 C-$26.25 B-$33.25 A-$41.25 171.24 Classified Under-21 D.L. D-$22.25 C-$26.25 B-$33.25 A-$21.25 171.25 Instruction Permit $10.25 171.26 Provisional License $13.25 171.27 171.28 171.29 Duplicate License or duplicate identification card $11.75 172.1 172.2 172.3 172.4 172.5 172.6 172.7 172.8 Minnesota identification card or Under-21 Minnesota identification card, other than duplicate, except as otherwise provided in section 171.07, subdivisions 3 and 3a $16.25

172.9 In addition to each fee required in this paragraph, the commissioner shall collect a 172.10surcharge of $1.75 until June 30, 2012. Surcharges collected under this paragraph must be 172.11credited to the driver and vehicle services technology account in the special revenue fund 172.12under section 299A.705. 172.13 (b) Notwithstanding paragraph (a), an individual who holds a provisional license and 172.14has a driving record free of (1) convictions for a violation of section 169A.20, 169A.33, 172.15169A.35 , or sections 169A.50 to 169A.53, (2) convictions for crash-related moving 172.16violations, and (3) convictions for moving violations that are not crash related, shall have a 172.17$3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation" 172.18has the meaning given it in section 171.04, subdivision 1. 172.19 (c) In addition to the driver's license fee required under paragraph (a), the 172.20commissioner shall collect an additional $4 processing fee from each new applicant 172.21or individual renewing a license with a school bus endorsement to cover the costs for 172.22processing an applicant's initial and biennial physical examination certificate. The 172.23department shall not charge these applicants any other fee to receive or renew the 172.24endorsement. 172.25 Sec. 9. Minnesota Statutes 2006, section 299A.705, is amended by adding a 172.26subdivision to read: 172.27 Subd. 3. Driver and vehicle services technology account. (a) The driver and 172.28vehicle services technology account is created in the special revenue fund, consisting of 172.29the technology surcharge collected as specified in chapters 168, 168A, and 171, and any 172.30other money otherwise donated, allotted, appropriated, or legislated to this account. 172.31 (b) Money in the account is annually appropriated to the commissioner of public 172.32safety to support the research, development, deployment, and maintenance of a driver 172.33and vehicle services information system. 173.1EFFECTIVE DATE.This section is effective July 1, 2008, and expires June 30, 173.22012. 173.3 Sec. 10. Laws 2007, chapter 143, article 1, section 3, subdivision 2, is amended to read: 173.4 Subd. 2. Multimodal Systems

173.5 (a) Aeronautics

173.6 173.7 (1) Airport Development and Assistance 20,298,000 20,298,000 5,298,000

173.8This appropriation is from the state airports 173.9fund and must be spent according to 173.10Minnesota Statutes, section 360.305, 173.11subdivision 4 . 173.12$6,000,000 the first year and $6,000,000 the 173.13second year are is a onetime appropriations 173.14appropriation and do does not add to 173.15the base appropriations. The base for 173.16this appropriation for fiscal year 2010 is 173.17$14,298,000. 173.18Of this appropriation $200,000 the first 173.19year is to the Legislative Coordinating 173.20Commission for the administrative expenses 173.21of the Airport Funding Advisory Task Force 173.22and for other costs relating to the preparation 173.23of the task force report, including the costs of 173.24hiring a consultant, if needed. Any remaining 173.25amount of this appropriation shall revert to 173.26the state airports fund. 173.27Notwithstanding Minnesota Statutes, section 173.2816A.28, subdivision 6 , this appropriation is 173.29available for five years after appropriation. 173.30If the appropriation for either year is 173.31insufficient, the appropriation for the other 173.32year is available for it. 174.1 (2) Aviation Support and Services

174.2 Appropriations by Fund 174.3 Airports 5,184,000 5,286,000 174.4 Trunk Highway 852,000 866,000

174.5$65,000 the first year and $65,000 the second 174.6year from the state airports fund are for the 174.7Civil Air Patrol. 174.8 (b) Transit

174.9 Appropriations by Fund 174.10 General 18,813,000 18,816,000 174.11 Trunk Highway 740,000 761,000

174.12 (c) Freight

174.13 Appropriations by Fund 174.14 General 357,000 367,000 174.15 Trunk Highway 5,028,000 5,158,000

174.16 Sec. 11. Laws 2008, chapter 152, article 1, section 6, subdivision 2, is amended to read: 174.17 Subd. 2. Appropriation; study. $325,000 $300,000 is appropriated from the 174.18general fund to the Board of Regents of the University of Minnesota for the Center for 174.19Transportation Studies to complete a study to assess the public policy implications of 174.20financing new and improved transportation infrastructure in Minnesota through capturing 174.21the value of the benefits created, to prepare a report on its findings, and to conduct a 174.22series of workshops. This is a onetime appropriation and is available in fiscal years 2008 174.23and 2009. 174.24EFFECTIVE DATE.This section is effective the day following final enactment. 174.25ARTICLE 12 174.26PUBLIC SAFETY 174.27 Section 1. SUMMARY OF APPROPRIATIONS.

175.1 The amounts shown in this section summarize the direct appropriations, by fund, 175.2made in this article. 175.3 20082009Total 175.4 General$268,000$(10,490,000)$(10,222,000) 175.5 Special Revenue(25,000)50,00025,000 175.6 Total$243,000$(10,440,000)$(10,197,000)

175.7 Sec. 2. PUBLIC SAFETY APPROPRIATIONS.

175.8 The sums shown in the columns marked "Appropriations" are added to or, if shown 175.9in parentheses, subtracted from the appropriations in Laws 2007, chapter 54, article 1, to 175.10the agencies and for the purposes specified in this article. The appropriations are from the 175.11general fund, or another named fund, and are available for the fiscal years indicated for 175.12each purpose. The figures "2008" and "2009" used in this article mean that the addition to 175.13or subtraction from the appropriations listed under them are available for the fiscal year 175.14ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 175.15reductions to appropriations for the fiscal year ending June 30, 2008, are effective the day 175.16following final enactment. "The first year" is fiscal year 2008. "The second year" is fiscal 175.17year 2009. "The biennium" is fiscal years 2008 and 2009. 175.18 APPROPRIATIONS 175.19 Available for the Year 175.20 Ending June 30 175.21 20082009

175.22 Sec. 3. SUPREME COURT$-0-$(951,000)

175.23The appropriation additions or reductions for 175.24each purpose are as follows: 175.25 (a) Supreme Court Operations-0-(831,000)

175.26 (b)Civil Legal Services-0-(120,000)

175.27 Sec. 4. COURT OF APPEALS$-0-$(250,000)

175.28 Sec. 5. DISTRICT COURTS$-0-$(2,800,000)

176.1This reduction may be applied to any 176.2appropriation contained in Laws 2007, 176.3chapter 54, article 1, section 5. 176.4 Sec. 6. BOARD OF PUBLIC DEFENSE$-0-$(1,491,000)

176.5 Sec. 7. PUBLIC SAFETY

176.6 Subdivision 1.Total Appropriation$360,000$(2,057,000)

176.7The appropriation additions or reductions 176.8for each purpose are shown in the following 176.9subdivisions. 176.10 Subd. 2.Emergency Management

176.11 (a) State Match360,000-0-

176.12This appropriation is to provide a match 176.13for FEMA money received for natural 176.14disaster assistance payments and is added 176.15to appropriations in Laws 2007, chapter 176.1654, article 1, section 10, subdivision 2. It 176.17is available until June 30, 2010, and is a 176.18onetime appropriation. 176.19 (b) Chemical Assessment/HazMat Teams-0-(40,000)

176.20The appropriation from the general fund in 176.21the second year to reimburse local chemical 176.22assessment and hazardous materials teams 176.23when they respond to incidents is reduced 176.24by $40,000. Reimbursements up to $40,000 176.25per year are to be made from revenues in 176.26the special revenue fund from billings to 176.27responsible companies. 176.28 Subd. 3.Criminal Apprehension

176.29 (a) CriMNet-0-(1,265,000)

177.1 177.2 (b) Agencywide Cut, Except for Office of Justice Programs-0-(250,000)

177.3This reduction may be applied to any 177.4program funded under Laws 2007, chapter 177.554, article 1, section 10, with the exception of 177.6the Office of Justice programs. Reductions to 177.7the Office of Justice programs are specified 177.8in subdivision 4. No other reductions may be 177.9made from that office. 177.10 Subd. 4.Office of Justice Programs

177.11 (a) Financial Crimes Task Force-0-(450,000)

177.12 (b) Squad Car Cameras-0-(52,000)

177.13The base for these grants in fiscal year 2010 177.14is $0. 177.15 Sec. 8. HUMAN RIGHTS$-0-$(149,000)

177.16 Sec. 9. CORRECTIONS$(92,000)$(2,792,000)

177.17The appropriation additions or reductions for 177.18each purpose are as follows: 177.19 (a) Short-Term Offenders-0-(2,100,000)

177.20 (b) Sentencing to Service-0-(600,000)

177.21 (c) 8-Day Holds(92,000)(92,000)

177.22 Sec. 10. Minnesota Statutes 2007 Supplement, section 297I.06, subdivision 3, is 177.23amended to read: 177.24 Subd. 3. Fire safety account, annual transfers, allocation. A special account, to 177.25be known as the fire safety account, is created in the state treasury. The account consists of 177.26the proceeds under subdivisions 1 and 2. $468,000 in fiscal year 2008 and $2,268,000, 177.27$4,268,000 in fiscal year 2009, and $2,268,000 in each year thereafter is transferred from 178.1the fire safety account in the special revenue fund to the general fund to offset the loss of 178.2revenue caused by the repeal of the one-half of one percent tax on fire insurance premiums. 178.3 Sec. 11. Minnesota Statutes 2006, section 357.021, subdivision 6, is amended to read: 178.4 Subd. 6. Surcharges on criminal and traffic offenders. (a) Except as provided 178.5in this paragraph, the court shall impose and the court administrator shall collect a $72 178.6$75 surcharge on every person convicted of any felony, gross misdemeanor, misdemeanor, 178.7or petty misdemeanor offense, other than a violation of a law or ordinance relating to 178.8vehicle parking, for which there shall be a $4 surcharge. In the Second Judicial District, 178.9the court shall impose, and the court administrator shall collect, an additional $1 surcharge 178.10on every person convicted of any felony, gross misdemeanor, misdemeanor, or petty 178.11misdemeanor offense, including a violation of a law or ordinance relating to vehicle 178.12parking, if the Ramsey County Board of Commissioners authorizes the $1 surcharge. The 178.13surcharge shall be imposed whether or not the person is sentenced to imprisonment or the 178.14sentence is stayed. The surcharge shall not be imposed when a person is convicted of a 178.15petty misdemeanor for which no fine is imposed. 178.16 (b) If the court fails to impose a surcharge as required by this subdivision, the court 178.17administrator shall show the imposition of the surcharge, collect the surcharge, and 178.18correct the record. 178.19 (c) The court may not waive payment of the surcharge required under this 178.20subdivision. Upon a showing of indigency or undue hardship upon the convicted person 178.21or the convicted person's immediate family, the sentencing court may authorize payment 178.22of the surcharge in installments. 178.23 (d) The court administrator or other entity collecting a surcharge shall forward it 178.24to the commissioner of finance. 178.25 (e) If the convicted person is sentenced to imprisonment and has not paid the 178.26surcharge before the term of imprisonment begins, the chief executive officer of the 178.27correctional facility in which the convicted person is incarcerated shall collect the 178.28surcharge from any earnings the inmate accrues from work performed in the facility 178.29or while on conditional release. The chief executive officer shall forward the amount 178.30collected to the commissioner of finance. 178.31 Sec. 12. Minnesota Statutes 2006, section 357.021, subdivision 7, is amended to read: 178.32 Subd. 7. Disbursement of surcharges by commissioner of finance. (a) Except 178.33as provided in paragraphs (b), (c), and (d), the commissioner of finance shall disburse 178.34surcharges received under subdivision 6 and section 97A.065, subdivision 2, as follows: 179.1 (1) one percent shall be credited to the game and fish fund to provide peace officer 179.2training for employees of the Department of Natural Resources who are licensed under 179.3sections 626.84 to 626.863, and who possess peace officer authority for the purpose of 179.4enforcing game and fish laws; 179.5 (2) 39 percent shall be credited to the peace officers training account in the special 179.6revenue fund; and 179.7 (3) 60 percent shall be credited to the general fund. 179.8 (b) The commissioner of finance shall credit $3 of each surcharge received under 179.9subdivision 6 and section 97A.065, subdivision 2, to the general fund. 179.10 (c) In addition to any amounts credited under paragraph (a), the commissioner of 179.11finance shall credit $44 $47 of each surcharge received under subdivision 6 and section 179.1297A.065, subdivision 2 , and the $4 parking surcharge, to the general fund. 179.13 (d) If the Ramsey County Board of Commissioners authorizes imposition of 179.14the additional $1 surcharge provided for in subdivision 6, paragraph (a), the court 179.15administrator in the Second Judicial District shall transmit the surcharge to the 179.16commissioner of finance. The $1 special surcharge is deposited in a Ramsey County 179.17surcharge account in the special revenue fund and amounts in the account are appropriated 179.18to the trial courts for the administration of the petty misdemeanor diversion program 179.19operated by the Second Judicial District Ramsey County Violations Bureau. 179.20 Sec. 13. Laws 2007, chapter 54, article 1, section 11, is amended to read: 179.21 179.22 Sec. 11. PEACE OFFICER STANDARDS AND TRAINING (POST) BOARD$ 4,296,000 4,271,000$ 4,278,000 4,328,000

179.23Excess Amounts Transferred. This 179.24appropriation is from the peace officer 179.25training account in the special revenue fund. 179.26Any new receipts credited to that account 179.27in the first year in excess of $4,296,000 179.28$4,271,000 must be transferred and credited 179.29to the general fund. Any new receipts 179.30credited to that account in the second year 179.31in excess of $4,278,000 $4,328,000 must be 179.32transferred and credited to the general fund. 179.33Peace Officer Training Reimbursements. 179.34$3,159,000 the first year and $ 3,159,000 the 180.1second year are for reimbursements to local 180.2governments for peace officer training costs. 180.3No Contact Orders. The board shall: (1) 180.4revise and update preservice courses and 180.5develop in-service training courses related 180.6to no contact orders in domestic violence 180.7cases and domestic violence dynamics; and 180.8(2) reimburse peace officers who have taken 180.9training courses described in clause (1). 180.10At a minimum, the training must include 180.11instruction in the laws relating to no contact 180.12orders and address how to best coordinate 180.13law enforcement resources relating to no 180.14contact orders. In addition, the training 180.15must include a component to instruct peace 180.16officers on doing risk assessments of the 180.17escalating factors of lethality in domestic 180.18violence cases. The board must consult with 180.19a statewide domestic violence organization 180.20in developing training courses. The board 180.21shall utilize a request for proposal process in 180.22awarding training contracts. The recipient 180.23of the training contract must conduct these 180.24trainings with advocates or instructors from 180.25a statewide domestic violence organization. 180.26Beginning on January 1, 2008, the board may 180.27not approve an in-service training course 180.28relating to domestic abuse that does not 180.29comply with this section. 180.30ARTICLE 13 180.31STATE GOVERNMENT 180.32 Section 1. SUMMARY OF APPROPRIATIONS.

180.33 The amounts shown in this section summarize direct appropriations, by fund, made 180.34in this article. 181.1 20082009Total 181.2 General$-0-$(1,104,000)$(1,104,000)

181.3 Sec. 2. APPROPRIATIONS.

181.4 The sums shown in the columns marked "Appropriations" are added to or, if shown 181.5in parentheses, subtracted from the appropriations in Laws 2007, chapter 148, article 1, to 181.6the agencies and for the purposes specified in this article. The appropriations are from the 181.7general fund or another named fund and are available for the fiscal years indicated for 181.8each purpose. The figures "2008" and "2009" used in this article mean that the addition 181.9to or subtraction from the appropriation listed under them is available for the fiscal year 181.10ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 181.11reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 181.12day following final enactment. 181.13 APPROPRIATIONS 181.14 Available for the Year 181.15 Ending June 30 181.16 20082009

181.17 Sec. 3. LEGISLATURE

181.18 Subdivision 1.Total Reduction$-0-$(1,821,000)

181.19The appropriation additions or reductions 181.20for each purpose are shown in the following 181.21subdivisions. 181.22 Subd. 2.Senate-0-(710,000)

181.23The base budget for the senate shall 181.24be $22,958,000 in fiscal year 2010 and 181.25$22,958,000 in fiscal year 2011. 181.26 Subd. 3.House of Representatives-0-(952,000)

181.27The base budget for the house of 181.28representatives shall be $30,866,000 in fiscal 181.29year 2010 and $30,866,000 in fiscal year 181.302011. 181.31 Subd. 4.Legislative Coordinating Commission-0-(159,000)

182.1The base budget for the Legislative 182.2Coordinating Commission shall be 182.3$15,734,000 in fiscal year 2010 and 182.4$15,734,000 in fiscal year 2011. 182.5 Sec. 4. GOVERNOR$-0-$(113,000)

182.6The base budget for the office of the governor 182.7shall be $3,701,000 in fiscal year 2010 and 182.8$3,701,000 in fiscal year 2011. 182.9 Sec. 5. STATE AUDITOR$-0-$(42,000)

182.10 Sec. 6. ATTORNEY GENERAL$-0-$(749,000)

182.11 Sec. 7. SECRETARY OF STATE$-0-$(195,000)

182.12The base budget for the secretary of state 182.13shall be $6,134,000 in fiscal year 2010 and 182.14$6,301,000 in fiscal year 2011. 182.15 182.16 Sec. 8. OFFICE OF ENTERPRISE TECHNOLOGY$-0-$(313,000)

182.17The base budget for the Office of Enterprise 182.18Technology shall be $6,076,000 in fiscal year 182.192010 and $6,076,000 in fiscal year 2011. 182.20 Sec. 9. ADMINISTRATION$-0-$(1,274,000)

182.21$885,000 of the reduction is from the 182.22appropriation for Department of Public 182.23Safety relocation expenses. 182.24By June 30, 2009, the commissioner 182.25of finance shall transfer $1,000,000 of 182.26the balance in the facilities repair and 182.27replacement account in the special revenue 182.28fund to the general fund. This amount 182.29is in addition to amounts transferred 183.1under Minnesota Statutes, section 16B.24, 183.2subdivision 5, paragraph (d). 183.3$40,000 is to design and construct a workers 183.4memorial on the Capitol grounds in St. 183.5Paul. This appropriation is added to the 183.6appropriation in Laws 2006, chapter 258, 183.7section 12, subdivision 4. 183.8$40,000 is for a grant to the Capitol 183.9Area Architectural and Planning Board to 183.10design and construct a memorial to Hubert 183.11H. Humphrey in the Capitol area. This 183.12appropriation is added to the appropriations 183.13for the same purpose in Laws 1993, chapter 183.14192, section 16; and Laws 1999, chapter 250, 183.15article 1, section 13, and is available until 183.16expended. 183.17 Sec. 10. FINANCE$-0-$(624,000)

183.18After the Departments of Finance and 183.19Employee Relations merge as directed in 183.20Laws 2007, chapter 148, article 2, section 80, 183.21the commissioner of finance may reallocate 183.22fiscal year 2009 general fund appropriation 183.23reductions among programs within the 183.24merged agency. Any reallocation of funds 183.25shall be shown in the program appropriations 183.26base for fiscal years 2010 and 2011 according 183.27to Minnesota Statutes, section 16A.11, 183.28subdivision 3, paragraph (b). 183.29 Sec. 11. EMPLOYEE RELATIONS$-0-$(218,000)

183.30The base budget for employee relations 183.31shall be $5,241,000 in fiscal year 2010 and 183.32$5,241,000 in fiscal year 2011 to reflect the 183.33reduction and a transfer to the Department of 184.1Health for the merger in Laws 2007, chapter 184.2148, article 2, section 80. 184.3 Sec. 12. REVENUE$-0-$ 6,120,000

184.4$7,000,000 is for additional activities to 184.5identify and collect tax liabilities from 184.6individuals and businesses that currently 184.7do not pay all taxes owed. This initiative 184.8is expected to result in new general fund 184.9revenues of $21,000,000 for fiscal year 2009. 184.10The department must report to the chairs of 184.11the house of representatives Ways and Means 184.12Committee and senate Finance Committee 184.13by March 1, 2009, and January 15, 2010, on 184.14the following performance indicators: 184.15(1) the number of corporations noncompliant 184.16with the corporate tax system each year and 184.17the percentage and dollar amounts of valid 184.18tax liabilities collected; 184.19(2) the number of businesses noncompliant 184.20with the sales and use tax system and the 184.21percentage and dollar amounts of the valid 184.22tax liabilities collected; and 184.23(3) the number of individual noncompliant 184.24cases resolved and the percentage and dollar 184.25amounts of valid tax liabilities collected. 184.26The reports must also identify base-level 184.27expenditures and staff positions related to 184.28compliance and audit activities, including 184.29baseline information as of January 1, 2006. 184.30The information must be provided at the 184.31budget activity level. 185.1$1,240,000 is a reduction from the 185.2appropriation for the tax system management 185.3program. 185.4$360,000 is for the costs of administering the 185.5data match program under new Minnesota 185.6Statutes, section 13B.07, including payments 185.7to financial institutions in exchange for 185.8performing data matches under that section. 185.9 Sec. 13. [5.33] RETURNING COMBAT VETERANS. 185.10 If any Minnesota business or nonprofit corporation, limited liability company, 185.11cooperative, limited partnership, or limited liability partnership has been administratively 185.12or statutorily dissolved, revoked, or terminated after December 31, 2006, for failure to file 185.13an annual or periodic report with the Office of the Secretary of State during a calendar 185.14year when an individual with substantial responsibility for the operation of the dissolved, 185.15revoked, or terminated business or nonprofit corporation, limited liability company, 185.16cooperative, limited partnership, or limited liability partnership was serving in active 185.17military service in the armed forces of the United States, including the reserves or National 185.18Guard, as defined in section 190.05, subdivision 5b or 5c, or was engaged in employment 185.19outside of the United States essential to the prosecution of a war or to the national defense, 185.20as designated by the United States Congress or the United States Department of Defense, 185.21the secretary of state shall waive any reinstatement fee otherwise required by law. 185.22EFFECTIVE DATE.This section is effective the day following final enactment. 185.23 Sec. 14. [13B.07] TAX DEBTOR DATA MATCHES. 185.24 Subdivision 1. Definitions. The definitions in this subdivision apply to this section. 185.25 (a) "Account" means demand deposit account, checking account, negotiable order of 185.26withdrawal account, savings account, time deposit account, money market mutual fund 185.27account, or certificate of deposit account located in Minnesota. 185.28 (b) "Account information" means the type of account, the account number, and 185.29whether the account is singly or jointly owned. 185.30 (c) "Commissioner" means the commissioner of revenue. 185.31 (d) "Debtor" means a person for whom a notice of lien has been filed by the 185.32commissioner as provided by section 270C.63, subdivision 2. 185.33 (e) "Financial institution" means any of the following that do business in this state: 186.1 (1) federal or state commercial banks and federal or state savings banks, including 186.2savings and loan associations and cooperative banks; 186.3 (2) federal and state chartered credit unions; 186.4 (3) safe deposit companies; or 186.5 (4) money market mutual funds. 186.6 (f) "Person" means a person as defined in section 270C.01, subdivision 6. 186.7 (g) "Service level agreement" means an agreement entered into between the 186.8commissioner and a financial institution that defines terms and conditions by which the 186.9financial institution will provide data matches to the commissioner. 186.10 Subd. 2. Data match system established. The commissioner shall establish a 186.11process for the comparison of account information data held by financial institutions with 186.12the Department of Revenue's database of debtors. The commissioner, in consultation 186.13with representatives from financial institutions, shall develop an implementation and 186.14administration plan for the data match system that attempts to minimize financial burdens 186.15on financial institutions for start-up and compliance costs and takes into consideration the 186.16financial institutions' existing data match systems. The commissioner shall inform the 186.17financial industry of the requirements of this section and the means by which financial 186.18institutions can comply no later than October 1, 2008, with the financial institutions 186.19receiving the first match requests no earlier than January 1, 2009. The commissioner may 186.20enter into service-level agreements with financial institutions. 186.21 Subd. 3. Duty to provide data. Within 30 days of a request by the commissioner, 186.22a financial institution shall provide to the commissioner the name, address, personal 186.23identifying information, and account information for each debtor or account holder, in 186.24accordance with the method chosen in subdivision 4, who maintains an account at the 186.25financial institution. The commissioner may request from a financial institution the data 186.26concerning any debtor not more than once every three months. 186.27 Subd. 4. Method to provide data. To comply with the requirements of this section, 186.28a financial institution must elect, in a manner authorized by the commissioner, to either: 186.29 (1) provide to the commissioner a list containing only the names and other necessary 186.30personal identifying information, including the debtor's address, Social Security number 186.31if an individual, and tax identification number if known, of all account holders for the 186.32commissioner to compare against its list of debtors for the purpose of identifying which 186.33debtors maintain an account at the financial institution; the names of the debtors who 186.34maintain an account at the institution shall then be transmitted to the financial institution 186.35which shall provide the commissioner with account information on those debtors; or 187.1 (2) obtain an electronic list of debtors from the commissioner that includes each 187.2debtor's name, address, Social Security number if an individual, and tax identification 187.3number if known, and compare that data to the data maintained at the financial institution 187.4to identify which of the identified debtors maintains an account at the financial institution. 187.5 Subd. 5. Means to provide data. A financial institution must provide the required 187.6data in encrypted form by secure electronic means or other means authorized by the 187.7commissioner. 187.8 Subd. 6. Access to data. (a) With regard to account information on all 187.9account holders provided by a financial institution under subdivision 4, clause (1), the 187.10commissioner shall retain the reported information only until the account information is 187.11compared against the commissioner's debtor database. Notwithstanding section 138.17, 187.12all account information that does not pertain to a debtor listed in the commissioner's 187.13database must be immediately destroyed and no retention or publication of that data shall 187.14be made by the commissioner. All account information that pertains to a debtor listed in 187.15the commissioner's database must be incorporated into the commissioner's database. 187.16Access to that data is governed by chapters 13 and 270B. Notwithstanding section 16D.06, 187.17data collected pursuant to this section is available for the collection of delinquent taxes 187.18only and is not available for other debt collection activities undertaken by the state. 187.19 (b) With regard to data on debtors provided by the commissioner to a financial 187.20institution under subdivision 4, clause (2), the financial institution shall retain the 187.21reported information only until the financial institution's database is compared against the 187.22commissioner's database. Data that does not pertain to an account holder at the financial 187.23institution must be immediately destroyed and no retention, publication, or any other use 187.24of that data shall be made by the financial institution. 187.25 Subd. 7. Fees. A financial institution may charge and collect a fee from the 187.26commissioner for providing account information to the commissioner. The commissioner 187.27may pay a financial institution up to $150 each quarter. The commissioner shall develop 187.28procedures for the financial institutions to charge and collect the fee. Payment of the fee 187.29is limited by the amount of the appropriation for this purpose. If the appropriation is 187.30insufficient, or if fund availability in the fourth quarter would allow payments for actual 187.31costs in excess of $150, the commissioner shall prorate the available funds among the 187.32financial institutions that have submitted a claim for the fee. No financial institution 187.33shall charge or collect a fee that exceeds its actual costs of complying with this section. 187.34The commissioner, together with an advisory group consisting of representatives of 187.35the financial institutions in the state, shall evaluate whether the fees paid to financial 188.1institutions compensate them for their actual costs, including start-up costs, of complying 188.2with this section, and shall evaluate whether the amount appropriated to the commissioner 188.3for the costs of administering the data match system compensates the commissioner for 188.4the costs incurred by the department. The advisory group shall submit a report to the 188.5legislature by February 1, 2009, with a recommendation for retaining or modifying the fee. 188.6 Subd. 8. Failure to respond to request for information. The commissioner shall 188.7send a written notice of noncompliance to a financial institution that fails to respond to 188.8a first written request for information under this section. The notice must be sent by 188.9certified mail and must explain the requirements of this section and advise the financial 188.10institution of the penalty for noncompliance. A financial institution that receives a second 188.11notice of noncompliance is subject to a civil penalty of $1,000 for its failure to comply. A 188.12financial institution that continues to fail to comply with this section is subject to a civil 188.13penalty of $5,000 for the third and each subsequent failure to comply. The penalties 188.14imposed under this subdivision are collected in the same manner as taxes. A financial 188.15institution that has been served with a notice of noncompliance and incurs a second or 188.16subsequent notice of noncompliance has the right to a contested case hearing under 188.17chapter 14. A financial institution has 20 days from the date of the service of the notice of 188.18noncompliance to file a request for a contested case hearing with the commissioner. The 188.19order of the administrative law judge constitutes the final decision in this case. A financial 188.20institution is considered to be in compliance with this section if it demonstrates that it is 188.21working in good faith to implement the data match program. 188.22 Subd. 9. Confidentiality. A financial institution furnishing a report to the 188.23commissioner under this section is prohibited from disclosing to a debtor that the name of 188.24the debtor has been received from or furnished to the commissioner. 188.25 Subd. 10. Immunity. A financial institution that provides or reasonably attempts to 188.26provide information to the commissioner in compliance with this section is not liable to 188.27any person for disclosing the information or for taking any other action in good faith as 188.28authorized by this section. 188.29EFFECTIVE DATE.This section is effective July 1, 2008, except that subdivision 188.308 is effective July 1, 2009. 188.31 Sec. 15. Minnesota Statutes 2006, section 15A.0815, subdivision 2, as amended by 188.32Laws 2008, chapter 204, section 3, is amended to read: 188.33 Subd. 2. Group I salary limits. The salaries for positions in this subdivision may 188.34not exceed 95 percent of the salary of the governor: 189.1 Commissioner of administration; 189.2 Commissioner of agriculture; 189.3 Commissioner of education; 189.4 Commissioner of commerce; 189.5 Commissioner of corrections; 189.6 Commissioner of finance; 189.7 Commissioner of health; 189.8 Executive director, Minnesota Office of Higher Education; 189.9 Commissioner, Housing Finance Agency; 189.10 Commissioner of human rights; 189.11 Commissioner of human services; 189.12 Commissioner of labor and industry; 189.13 Commissioner of natural resources; 189.14 Director of Office of Strategic and Long-Range Planning; 189.15 Commissioner, Pollution Control Agency; 189.16 Executive director, Public Employees Retirement Association; 189.17 Commissioner of public safety; 189.18 Commissioner of revenue; 189.19 Executive director, State Retirement System; 189.20 Executive director, Teachers Retirement Association; 189.21 Commissioner of employment and economic development; 189.22 Commissioner of transportation; and 189.23 Commissioner of veterans affairs. 189.24 Sec. 16. Minnesota Statutes 2006, section 15A.0815, subdivision 3, is amended to read: 189.25 Subd. 3. Group II salary limits. The salaries for positions in this subdivision may 189.26not exceed 85 percent of the salary of the governor: 189.27 Executive director of Gambling Control Board; 189.28 Commissioner, Iron Range Resources and Rehabilitation Board; 189.29 Commissioner, Bureau of Mediation Services; 189.30 Ombudsman for Mental Health and Developmental Disabilities; 189.31 Chair, Metropolitan Council; 189.32 Executive director of pari-mutuel racing; and 189.33 Executive director, Public Employees Retirement Association; 189.34 Commissioner, Public Utilities Commission;. 189.35 Executive director, State Retirement System; and 190.1 Executive director, Teachers Retirement Association. 190.2 Sec. 17. Minnesota Statutes 2006, section 270B.085, is amended by adding a 190.3subdivision to read: 190.4 Subd. 4. Data matching program for collection of tax debts. The commissioner 190.5may disclose the name, last known address, and Social Security number of taxpayers who 190.6owe delinquent state taxes for the purpose of administering the tax debt data matching 190.7program with financial institutions under section 13B.07. 190.8EFFECTIVE DATE.This section is effective the day following final enactment. 190.9 Sec. 18. Laws 2005, chapter 156, article 1, section 11, subdivision 2, is amended to 190.10read: 190.11 Subd. 2.State Facilities Services 16,070,000 10,946,000

190.12$5,124,000 the first year is for onetime 190.13funding of agency relocation expenses. This 190.14amount is available until June 30, 2009. 190.15The Department of Human Services will 190.16obtain federal reimbursement for associated 190.17relocation expenses. This amount, estimated 190.18to be $1,870,000, will be deposited in the 190.19general fund. 190.20$7,888,000 the first year and $7,888,000 the 190.21second year are for office space costs of the 190.22legislature and veterans organizations, for 190.23ceremonial space, and for statutorily free 190.24space. 190.25$2,000,000 of the balance in the state building 190.26code account in the state government special 190.27revenue fund is canceled to the general fund. 190.28$1,950,000 the first year and $1,950,000 the 190.29second year of the balance in the facilities 190.30repair and replacement account in the special 190.31revenue fund is canceled to the general fund. 190.32This is a onetime cancellation. 191.1 Sec. 19. Laws 2006, chapter 282, article 2, section 27, subdivision 4, is amended to 191.2read: 191.3 Subd. 4. Expiration. The commission expires December 31, 2008 June 30, 2009. 191.4 Sec. 20. Laws 2007, chapter 148, article 1, section 12, subdivision 4, is amended to 191.5read: 191.6 Subd. 4. Administrative Management Services 5,672,000 5,218,000

191.7(a) $125,000 the first year is to create an 191.8Office of Grants Management to standardize 191.9state grants management policies and 191.10procedures. For the fiscal year beginning 191.11July 1, 2008, the commissioner must may 191.12deduct up to $125,000 from state grants 191.13that are subject to Minnesota Statutes, 191.14section 16B.97, to nongovernmental 191.15nonstate entities, as necessary to fund the 191.16commissioner's duties under new Minnesota 191.17Statutes, sections 16B.97 and 16B.98. 191.18The amount deducted from appropriations 191.19for these grants is transferred to the 191.20commissioner for purposes of administering 191.21these sections. 191.22(b) $250,000 the first year and $250,000 191.23the second year are to establish a small 191.24agency resource team to consolidate and 191.25streamline the human resources and financial 191.26management activities for small state 191.27agencies, boards, and councils. 191.28(c) $500,000 the first year is a onetime 191.29appropriation for a targeted group business 191.30disparity study. The commissioner 191.31must cooperate with units of local 191.32government conducting similar studies. The 191.33commissioner shall ensure that the results of 191.34the study are kept current and that any new or 192.1upgraded accounting or procurement systems 192.2properly record purchases from minority and 192.3female-owned businesses through the use of 192.4state contracts, and the availability of bids 192.5from those businesses. 192.6(d) $74,000 the first year and $74,000 192.7the second year are for the Council on 192.8Developmental Disabilities. 192.9(e) $140,000 in fiscal year 2008 and $140,000 192.10in fiscal year 2009 are for a grant to the 192.11Council on Developmental Disabilities 192.12for the purpose of establishing a statewide 192.13self-advocacy network for persons with 192.14intellectual and developmental disabilities 192.15(ID/DD). The self-advocacy network shall: 192.16(1) ensure that persons with ID/DD are 192.17informed of their rights in employment, 192.18housing, transportation, voting, government 192.19policy, and other issues pertinent to the 192.20ID/DD community; 192.21(2) provide public education and awareness 192.22of the civil and human rights issues persons 192.23with ID/DD face; 192.24(3) provide funds, technical assistance, and 192.25other resources for self-advocacy groups 192.26across the state; and 192.27(4) organize systems of communications 192.28to facilitate an exchange of information 192.29between self-advocacy groups. 192.30This appropriation is in addition to any other 192.31appropriations and must be added to the base 192.32appropriation beginning in fiscal year 2010. 192.33 Sec. 21. PROFESSIONAL AND TECHNICAL CONTRACTS. 193.1 By July 1, 2008, the commissioner of finance shall allocate a reduction of $1,875,000 193.2among the general fund appropriations for fiscal year 2009 to executive branch state 193.3agencies, as defined in Minnesota Statutes, section 16A.011, subdivision 12a. To the 193.4extent possible, this reduction must be achieved through reductions in expenditures for 193.5professional and technical contracts, as defined in Minnesota Statutes, section 16C.08, 193.6subdivision 1. Executive branch state agencies shall cooperate with the commissioner 193.7of finance in developing and implementing the reductions. Any reductions that cannot 193.8be achieved through savings in professional and technical contracts must be allocated 193.9proportionally across executive branch state agency operating budgets. For the purposes 193.10of defining the base under Minnesota Statutes, section 16A.11, subdivision 3, paragraph 193.11(b), $575,000 each year must be allocated as a permanent reduction to state agency 193.12base appropriations for fiscal years 2010 and 2011. The reductions must be allocated in 193.13proportion to the fiscal year 2009 reduction. For purposes of this subdivision, "executive 193.14branch state agency" does not include the Minnesota State Colleges and Universities. By 193.15January 15, 2009, the commissioner of finance shall report to the chairs and ranking 193.16minority members of the legislative committees with jurisdiction over finance regarding 193.17the amount of the reductions in professional and technical contract spending by each 193.18agency. 193.19 Sec. 22. LEGISLATORS' FORUM. 193.20 During the biennium ending June 30, 2009, the Legislative Coordinating 193.21Commission must pay expenses associated with Minnesota legislators' participation in 193.22a legislators' forum, through which Minnesota legislators meet with counterparts from 193.23South Dakota, North Dakota, and Manitoba to discuss issues of mutual concern. 193.24EFFECTIVE DATE.This section is effective the day following final enactment. 193.25ARTICLE 14 193.26RESERVES AND TRANSFERS 193.27 Section 1. BUDGET RESERVE REDUCTION. 193.28 On July 1, 2008, the commissioner of finance shall cancel $500,000,000 of the 193.29balance in the budget reserve account in Minnesota Statutes, section 16A.152, to the 193.30general fund. 193.31 Sec. 2. DUPLICATE APPROPRIATIONS. 193.32 Unless another act explicitly provides otherwise, appropriations and transfers made 193.33in this act and other acts must be implemented only once even if the provision or a similar 194.1provision with the same fiscal effect in the same fiscal year is included in another act. This 194.2section applies to laws enacted in the 2008 regular session. 194.3 Sec. 3. SEVERABLE PROVISIONS. 194.4 If any provision of this act is found to be unconstitutional, the remaining provisions 194.5of this act remain valid. 194.6ARTICLE 15 194.7CONTINUING CARE 194.8 Section 1. Minnesota Statutes 2006, section 256B.0621, subdivision 2, is amended to 194.9read: 194.10 Subd. 2. Targeted case management; definitions. For purposes of subdivisions 3 194.11to 10, the following terms have the meanings given them: 194.12 (1) "home care service recipients" means those individuals receiving the following 194.13services under sections 256B.0651 to 256B.0656: skilled nursing visits, home health aide 194.14visits, private duty nursing, personal care assistants, or therapies provided through a 194.15home health agency; 194.16 (2) "home care targeted case management" means the provision of targeted case 194.17management services for the purpose of assisting home care service recipients to gain 194.18access to needed services and supports so that they may remain in the community; 194.19 (3) "institutions" means hospitals, consistent with Code of Federal Regulations, title 194.2042, section 440.10; regional treatment center inpatient services, consistent with section 194.21245.474 ; nursing facilities; and intermediate care facilities for persons with developmental 194.22disabilities; 194.23 (4) "relocation targeted case management" includes the provision of both county 194.24targeted case management and public or private vendor service coordination services 194.25for the purpose of assisting recipients to gain access to needed services and supports if 194.26they choose to move from an institution to the community. Relocation targeted case 194.27management may be provided during the lesser of: 194.28 (i) the last 180 consecutive days of an eligible recipient's institutional stay; or 194.29 (ii) the limits and conditions which apply to federal Medicaid funding for this 194.30service; and 194.31 (5) "targeted case management" means case management services provided to help 194.32recipients gain access to needed medical, social, educational, and other services and 194.33supports. 194.34 Sec. 2. Minnesota Statutes 2006, section 256B.0621, subdivision 6, is amended to read: 195.1 Subd. 6. Eligible services. (a) Services eligible for medical assistance 195.2reimbursement as targeted case management include: 195.3 (1) assessment of the recipient's need for targeted case management services and 195.4for persons choosing to relocate, the county must provide service coordination provider 195.5options at the first contact and upon request; 195.6 (2) development, completion, and regular review of a written individual service 195.7plan, which is based upon the assessment of the recipient's needs and choices, and which 195.8will ensure access to medical, social, educational, and other related services and supports; 195.9 (3) routine contact or communication with the recipient, recipient's family, primary 195.10caregiver, legal representative, substitute care provider, service providers, or other relevant 195.11persons identified as necessary to the development or implementation of the goals of the 195.12individual service plan; 195.13 (4) coordinating referrals for, and the provision of, case management services for 195.14the recipient with appropriate service providers, consistent with section 1902(a)(23) of 195.15the Social Security Act; 195.16 (5) coordinating and monitoring the overall service delivery and engaging in 195.17advocacy as needed to ensure quality of services, appropriateness, and continued need; 195.18 (6) completing and maintaining necessary documentation that supports and verifies 195.19the activities in this subdivision; 195.20 (7) assisting individuals in order to access needed services, including travel to 195.21conduct a visit with the recipient or other relevant person necessary to develop or 195.22implement the goals of the individual service plan; and 195.23 (8) coordinating with the institution discharge planner in the 180-day period before 195.24the recipient's discharge. 195.25 (b) Relocation targeted county case management includes services under paragraph 195.26(a), clauses (1), (2), and (4). Relocation service coordination includes services under 195.27paragraph (a), clauses (3) and (5) to (8). Home care targeted case management includes 195.28services under paragraph (a), clauses (1) to (8). 195.29 Sec. 3. Minnesota Statutes 2006, section 256B.0621, subdivision 10, is amended to 195.30read: 195.31 Subd. 10. Payment rates. The commissioner shall set payment rates for targeted 195.32case management under this subdivision. Case managers may bill according to the 195.33following criteria: 195.34 (1) for relocation targeted case management, case managers may bill for direct case 195.35management activities, including face-to-face and telephone contacts, in the lesser of: 196.1 (i) 180 days preceding an eligible recipient's discharge from an institution; or 196.2 (ii) the limits and conditions which apply to federal Medicaid funding for this 196.3service; 196.4 (2) for home care targeted case management, case managers may bill for direct case 196.5management activities, including face-to-face and telephone contacts; and 196.6 (3) billings for targeted case management services under this subdivision shall not 196.7duplicate payments made under other program authorities for the same purpose. 196.8 Sec. 4. Minnesota Statutes 2007 Supplement, section 256B.0625, subdivision 20, 196.9is amended to read: 196.10 Subd. 20. Mental health case management. (a) To the extent authorized by rule 196.11of the state agency, medical assistance covers case management services to persons with 196.12serious and persistent mental illness and children with severe emotional disturbance. 196.13Services provided under this section must meet the relevant standards in sections 245.461 196.14to 245.4887, the Comprehensive Adult and Children's Mental Health Acts, Minnesota 196.15Rules, parts 9520.0900 to 9520.0926, and 9505.0322, excluding subpart 10. 196.16 (b) Entities meeting program standards set out in rules governing family community 196.17support services as defined in section 245.4871, subdivision 17, are eligible for medical 196.18assistance reimbursement for case management services for children with severe 196.19emotional disturbance when these services meet the program standards in Minnesota 196.20Rules, parts 9520.0900 to 9520.0926 and 9505.0322, excluding subparts 6 and 10. 196.21 (c) Medical assistance and MinnesotaCare payment for mental health case 196.22management shall be made on a monthly basis. In order to receive payment for an eligible 196.23child, the provider must document at least a face-to-face contact with the child, the child's 196.24parents, or the child's legal representative. To receive payment for an eligible adult, the 196.25provider must document: 196.26 (1) at least a face-to-face contact with the adult or the adult's legal representative; or 196.27 (2) at least a telephone contact with the adult or the adult's legal representative and 196.28document a face-to-face contact with the adult or the adult's legal representative within 196.29the preceding two months. 196.30 (d) Payment for mental health case management provided by county or state staff 196.31shall be based on the monthly rate methodology under section 256B.094, subdivision 6, 196.32paragraph (b), with separate rates calculated for child welfare and mental health, and 196.33within mental health, separate rates for children and adults. 197.1 (e) Payment for mental health case management provided by Indian health services 197.2or by agencies operated by Indian tribes may be made according to this section or other 197.3relevant federally approved rate setting methodology. 197.4 (f) Payment for mental health case management provided by vendors who contract 197.5with a county or Indian tribe shall be based on a monthly rate negotiated by the host county 197.6or tribe. The negotiated rate must not exceed the rate charged by the vendor for the same 197.7service to other payers. If the service is provided by a team of contracted vendors, the 197.8county or tribe may negotiate a team rate with a vendor who is a member of the team. The 197.9team shall determine how to distribute the rate among its members. No reimbursement 197.10received by contracted vendors shall be returned to the county or tribe, except to reimburse 197.11the county or tribe for advance funding provided by the county or tribe to the vendor. 197.12 (g) If the service is provided by a team which includes contracted vendors, tribal 197.13staff, and county or state staff, the costs for county or state staff participation in the team 197.14shall be included in the rate for county-provided services. In this case, the contracted 197.15vendor, the tribal agency, and the county may each receive separate payment for services 197.16provided by each entity in the same month. In order to prevent duplication of services, 197.17each entity must document, in the recipient's file, the need for team case management and 197.18a description of the roles of the team members. 197.19 (h) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs 197.20for mental health case management shall be provided by the recipient's county of 197.21responsibility, as defined in sections 256G.01 to 256G.12, from sources other than federal 197.22funds or funds used to match other federal funds. If the service is provided by a tribal 197.23agency, the nonfederal share, if any, shall be provided by the recipient's tribe. When this 197.24service is paid by the state without a federal share through fee-for-service, 50 percent of 197.25the cost shall be provided by the recipient's county of responsibility. 197.26 (i) Notwithstanding any administrative rule to the contrary, prepaid medical 197.27assistance, general assistance medical care, and MinnesotaCare include mental health case 197.28management. When the service is provided through prepaid capitation, the nonfederal 197.29share is paid by the state and the county pays no share. 197.30 (j) The commissioner may suspend, reduce, or terminate the reimbursement to a 197.31provider that does not meet the reporting or other requirements of this section. The county 197.32of responsibility, as defined in sections 256G.01 to 256G.12, or, if applicable, the tribal 197.33agency, is responsible for any federal disallowances. The county or tribe may share this 197.34responsibility with its contracted vendors. 198.1 (k) The commissioner shall set aside a portion of the federal funds earned for county 198.2expenditures under this section to repay the special revenue maximization account under 198.3section 256.01, subdivision 2, clause (15). The repayment is limited to: 198.4 (1) the costs of developing and implementing this section; and 198.5 (2) programming the information systems. 198.6 (l) Payments to counties and tribal agencies for case management expenditures 198.7under this section shall only be made from federal earnings from services provided 198.8under this section. When this service is paid by the state without a federal share through 198.9fee-for-service, 50 percent of the cost shall be provided by the state. Payments to 198.10county-contracted vendors shall include the federal earnings, the state share, and the 198.11county share. 198.12 (m) Case management services under this subdivision do not include therapy, 198.13treatment, legal, or outreach services. 198.14 (n) If the recipient is a resident of a nursing facility, intermediate care facility, or 198.15hospital, and the recipient's institutional care is paid by medical assistance, payment for 198.16case management services under this subdivision is limited to the lesser of: 198.17 (1) the last 180 days of the recipient's residency in that facility and may not exceed 198.18more than six months in a calendar year; or 198.19 (2) the limits and conditions which apply to federal Medicaid funding for this service. 198.20 (o) Payment for case management services under this subdivision shall not duplicate 198.21payments made under other program authorities for the same purpose. 198.22 Sec. 5. [256B.0658] HOUSING ACCESS GRANTS. 198.23 The commissioner of human services shall award through a competitive process 198.24contracts for grants to public and private agencies to support and assist individuals eligible 198.25for publicly funded home and community-based services, including state plan home care, 198.26to access housing. Grants may be awarded to agencies that may include, but are not limited 198.27to, the following supports: assessment to assure suitability of housing, accompanying an 198.28individual to look at housing, filling out applications and rental agreements, meeting 198.29with landlords, helping with Section 8 or other program applications, helping to develop 198.30a budget, obtaining furniture and household goods, if necessary, and assisting with any 198.31problems that may arise with housing. 198.32 Sec. 6. Minnesota Statutes 2006, section 256B.0924, subdivision 4, is amended to read: 199.1 Subd. 4. Targeted case management service activities. (a) For persons with 199.2developmental disabilities, targeted case management services must meet the provisions 199.3of section 256B.092. 199.4 (b) For persons not eligible as a person with a developmental disability, targeted 199.5case management service activities include: 199.6 (1) an assessment of the person's need for targeted case management services; 199.7 (2) the development of a written personal service plan; 199.8 (3) a regular review and revision of the written personal service plan with the 199.9recipient and the recipient's legal representative, and others as identified by the recipient, 199.10to ensure access to necessary services and supports identified in the plan; 199.11 (4) effective communication with the recipient and the recipient's legal representative 199.12and others identified by the recipient; 199.13 (5) coordination of referrals for needed services with qualified providers; 199.14 (6) coordination and monitoring of the overall service delivery to ensure the quality 199.15and effectiveness of services; 199.16 (7) assistance to the recipient and the recipient's legal representative to help make 199.17an informed choice of services; 199.18 (8) advocating on behalf of the recipient when service barriers are encountered or 199.19referring the recipient and the recipient's legal representative to an independent advocate; 199.20 (9) monitoring and evaluating services identified in the personal service plan to 199.21ensure personal outcomes are met and to ensure satisfaction with services and service 199.22delivery; 199.23 (10) conducting face-to-face monitoring with the recipient at least twice a year; 199.24 (11) completing and maintaining necessary documentation that supports and verifies 199.25the activities in this section; 199.26 (12) coordinating with the medical assistance facility discharge planner in the 199.27180-day period prior to the recipient's discharge into the community; and 199.28 (13) a personal service plan developed and reviewed at least annually with the 199.29recipient and the recipient's legal representative. The personal service plan must be revised 199.30when there is a change in the recipient's status. The personal service plan must identify: 199.31 (i) the desired personal short and long-term outcomes; 199.32 (ii) the recipient's preferences for services and supports, including development of 199.33a person-centered plan if requested; and 199.34 (iii) formal and informal services and supports based on areas of assessment, such 199.35as: social, health, mental health, residence, family, educational and vocational, safety, 200.1legal, self-determination, financial, and chemical health as determined by the recipient and 200.2the recipient's legal representative and the recipient's support network. 200.3 Sec. 7. Minnesota Statutes 2006, section 256B.0924, subdivision 6, is amended to read: 200.4 Subd. 6. Payment for targeted case management. (a) Medical assistance and 200.5MinnesotaCare payment for targeted case management shall be made on a monthly basis. 200.6In order to receive payment for an eligible adult, the provider must document at least one 200.7contact per month and not more than two consecutive months without a face-to-face 200.8contact with the adult or the adult's legal representative, family, primary caregiver, or 200.9other relevant persons identified as necessary to the development or implementation 200.10of the goals of the personal service plan. 200.11 (b) Payment for targeted case management provided by county staff under this 200.12subdivision shall be based on the monthly rate methodology under section 256B.094, 200.13subdivision 6 , paragraph (b), calculated as one combined average rate together with 200.14adult mental health case management under section 256B.0625, subdivision 20, except 200.15for calendar year 2002. In calendar year 2002, the rate for case management under this 200.16section shall be the same as the rate for adult mental health case management in effect 200.17as of December 31, 2001. Billing and payment must identify the recipient's primary 200.18population group to allow tracking of revenues. 200.19 (c) Payment for targeted case management provided by county-contracted vendors 200.20shall be based on a monthly rate negotiated by the host county. The negotiated rate must 200.21not exceed the rate charged by the vendor for the same service to other payers. If the 200.22service is provided by a team of contracted vendors, the county may negotiate a team rate 200.23with a vendor who is a member of the team. The team shall determine how to distribute 200.24the rate among its members. No reimbursement received by contracted vendors shall be 200.25returned to the county, except to reimburse the county for advance funding provided by 200.26the county to the vendor. 200.27 (d) If the service is provided by a team that includes contracted vendors and county 200.28staff, the costs for county staff participation on the team shall be included in the rate for 200.29county-provided services. In this case, the contracted vendor and the county may each 200.30receive separate payment for services provided by each entity in the same month. In 200.31order to prevent duplication of services, the county must document, in the recipient's file, 200.32the need for team targeted case management and a description of the different roles of 200.33the team members. 200.34 (e) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs 200.35for targeted case management shall be provided by the recipient's county of responsibility, 201.1as defined in sections 256G.01 to 256G.12, from sources other than federal funds or 201.2funds used to match other federal funds. 201.3 (f) The commissioner may suspend, reduce, or terminate reimbursement to a 201.4provider that does not meet the reporting or other requirements of this section. The county 201.5of responsibility, as defined in sections 256G.01 to 256G.12, is responsible for any federal 201.6disallowances. The county may share this responsibility with its contracted vendors. 201.7 (g) The commissioner shall set aside five percent of the federal funds received under 201.8this section for use in reimbursing the state for costs of developing and implementing 201.9this section. 201.10 (h) Payments to counties for targeted case management expenditures under this 201.11section shall only be made from federal earnings from services provided under this 201.12section. Payments to contracted vendors shall include both the federal earnings and the 201.13county share. 201.14 (i) Notwithstanding section 256B.041, county payments for the cost of case 201.15management services provided by county staff shall not be made to the commissioner of 201.16finance. For the purposes of targeted case management services provided by county staff 201.17under this section, the centralized disbursement of payments to counties under section 201.18256B.041 consists only of federal earnings from services provided under this section. 201.19 (j) If the recipient is a resident of a nursing facility, intermediate care facility, or 201.20hospital, and the recipient's institutional care is paid by medical assistance, payment for 201.21targeted case management services under this subdivision is limited to the lesser of: 201.22 (1) the last 180 days of the recipient's residency in that facility and may not exceed 201.23more than six months in a calendar year; or 201.24 (2) the limits and conditions which apply to federal Medicaid funding for this service. 201.25 (k) Payment for targeted case management services under this subdivision shall not 201.26duplicate payments made under other program authorities for the same purpose. 201.27 (l) Any growth in targeted case management services and cost increases under this 201.28section shall be the responsibility of the counties. 201.29 Sec. 8. Minnesota Statutes 2006, section 256B.19, subdivision 1d, is amended to read: 201.30 Subd. 1d. Portion of nonfederal share to be paid by certain counties. (a) 201.31In addition to the percentage contribution paid by a county under subdivision 1, the 201.32governmental units designated in this subdivision shall be responsible for an additional 201.33portion of the nonfederal share of medical assistance cost. For purposes of this 201.34subdivision, "designated governmental unit" means the counties of Becker, Beltrami, 202.1Clearwater, Cook, Dodge, Hubbard, Itasca, Lake, Pennington, Pipestone, Ramsey, St. 202.2Louis, Steele, Todd, Traverse, and Wadena. 202.3 (b) Beginning in 1994, each of the governmental units designated in this subdivision 202.4shall transfer before noon on May 31 to the state Medicaid agency an amount equal to the 202.5number of licensed beds in any nursing home owned and operated by the county on that 202.6date, with the county named as licensee, multiplied by $5,723. If two or more counties own 202.7and operate a nursing home, the payment shall be prorated. These sums shall be part of the 202.8designated governmental unit's portion of the nonfederal share of medical assistance costs. 202.9 (c) Beginning in 2002, in addition to any transfer under paragraph (b), each of the 202.10governmental units designated in this subdivision shall transfer before noon on May 31 202.11to the state Medicaid agency an amount equal to the number of licensed beds in any 202.12nursing home owned and operated by the county on that date, with the county named as 202.13licensee, multiplied by $10,784. The provisions of paragraph (b) apply to transfers under 202.14this paragraph. 202.15 (d) Beginning in 2003, in addition to any transfer under paragraphs (b) and (c), each 202.16of the governmental units designated in this subdivision shall transfer before noon on May 202.1731 to the state Medicaid agency an amount equal to the number of licensed beds in any 202.18nursing home owned and operated by the county on that date, with the county named as 202.19licensee, multiplied by $2,230. The provisions of paragraph (b) apply to transfers under 202.20this paragraph. 202.21 (e) (d) The commissioner may reduce the intergovernmental transfers under 202.22paragraphs paragraph (c) and (d) based on the commissioner's determination of the 202.23payment rate in section 256B.431, subdivision 23, paragraphs (c), and (d), and (e). Any 202.24adjustments must be made on a per-bed basis and must result in an amount equivalent to 202.25the total amount resulting from the rate adjustment in section 256B.431, subdivision 23, 202.26paragraphs (c), and (d), and (e). 202.27EFFECTIVE DATE.This section is effective the day following final enactment. 202.28 Sec. 9. Minnesota Statutes 2006, section 256B.431, subdivision 23, is amended to read: 202.29 Subd. 23. County nursing home payment adjustments. (a) Beginning in 1994, 202.30the commissioner shall pay a nursing home payment adjustment on May 31 after noon 202.31to a county in which is located a nursing home that, on that date, was county-owned and 202.32operated, with the county named as licensee by the commissioner of health, and had over 202.3340 beds and medical assistance occupancy in excess of 50 percent during the reporting 202.34year ending September 30, 1991. The adjustment shall be an amount equal to $16 per 202.35calendar day multiplied by the number of beds licensed in the facility on that date. 203.1 (b) Payments under paragraph (a) are excluded from medical assistance per diem 203.2rate calculations. These payments are required notwithstanding any rule prohibiting 203.3medical assistance payments from exceeding payments from private pay residents. A 203.4facility receiving a payment under paragraph (a) may not increase charges to private pay 203.5residents by an amount equivalent to the per diem amount payments under paragraph (a) 203.6would equal if converted to a per diem. 203.7 (c) Beginning in 2002, in addition to any payment under paragraph (a), the 203.8commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in 203.9an amount equal to $29.55 per calendar day multiplied by the number of beds licensed 203.10in the facility on that date. The provisions of paragraphs (a) and (b) apply to payments 203.11under this paragraph. 203.12 (d) Beginning in 2003, in addition to any payment under paragraphs (a) and (c), the 203.13commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in 203.14an amount equal to $6.11 per calendar day multiplied by the number of beds licensed in 203.15the facility on that date. The provisions of paragraphs (a) and (b) apply to payments 203.16under this paragraph. 203.17 (e) (d) The commissioner may reduce payments under paragraphs paragraph (c) and 203.18(d) based on the commissioner's determination of Medicare upper payment limits. Any 203.19adjustments must be proportional to adjustments made under section 256B.19, subdivision 203.201d , paragraph (e) (d). 203.21EFFECTIVE DATE.This section is effective the day following final enactment. 203.22 Sec. 10. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 1, 203.23is amended to read: 203.24 Subdivision 1. Rebasing of nursing facility operating cost payment rates. (a) 203.25The commissioner shall rebase nursing facility operating cost payment rates to align 203.26payments to facilities with the cost of providing care. The rebased operating cost payment 203.27rates shall be calculated using the statistical and cost report filed by each nursing facility 203.28for the report period ending one year prior to the rate year. 203.29 (b) The new operating cost payment rates based on this section shall take effect 203.30beginning with the rate year beginning October 1, 2008, and shall be phased in over eight 203.31rate years through October 1, 2015. For each year of the phase-in, the operating payment 203.32rates shall be calculated using the statistical and cost report filed by each nursing facility 203.33for the report period ending one year prior to the rate year. 203.34 (c) Operating cost payment rates shall be rebased on October 1, 2016, and every 203.35two years after that date. 204.1 (d) Each cost reporting year shall begin on October 1 and end on the following 204.2September 30. Beginning in 2006, a statistical and cost report shall be filed by each 204.3nursing facility by January 15. Notice of rates shall be distributed by August 15 and the 204.4rates shall go into effect on October 1 for one year. 204.5 (e) Effective October 1, 2014, property rates shall be rebased in accordance with 204.6section 256B.431 and Minnesota Rules, chapter 9549. The commissioner shall determine 204.7what the property payment rate for a nursing facility would be had the facility not had its 204.8property rate determined under section 256B.434. The commissioner shall allow nursing 204.9facilities to provide information affecting this rate determination that would have been 204.10filed annually under Minnesota Rules, chapter 9549, and nursing facilities shall report 204.11information necessary to determine allowable debt. The commissioner shall use this 204.12information to determine the property payment rate. 204.13 Sec. 11. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 55, 204.14is amended to read: 204.15 Subd. 55. Phase-in of rebased operating cost payment rates. (a) For the rate 204.16years beginning October 1, 2008, to October 1, 2012 2015, the operating cost payment 204.17rate calculated under this section shall be phased in by blending the operating cost rate 204.18with the operating cost payment rate determined under section 256B.434. For purposes 204.19of this subdivision, the rate to be used that is determined under section 256B.434 shall 204.20not include the portion of the operating payment rate related to performance-based 204.21incentive payments under section 256B.434, subdivision 4, paragraph (d). For the rate 204.22year beginning October 1, 2008, the operating cost payment rate for each facility shall 204.23be 13 percent of the operating cost payment rate from this section, and 87 percent of the 204.24operating cost payment rate from section 256B.434. For the rate year beginning October 1, 204.252009, the operating cost payment rate for each facility shall be 14 percent of the operating 204.26cost payment rate from this section, and 86 percent of the operating cost payment rate from 204.27section 256B.434. For the rate year beginning October 1, 2010, the operating cost payment 204.28rate for each facility shall be 14 percent of the operating cost payment rate from this 204.29section, and 86 percent of the operating cost payment rate from section 256B.434. For the 204.30rate year beginning October 1, 2011, the operating cost payment rate for each facility shall 204.31be 31 percent of the operating cost payment rate from this section, and 69 percent of the 204.32operating cost payment rate from section 256B.434. For the rate year beginning October 1, 204.332012, the operating cost payment rate for each facility shall be 48 percent of the operating 204.34cost payment rate from this section, and 52 percent of the operating cost payment rate 204.35from section 256B.434. For the rate year beginning October 1, 2013, the operating cost 205.1payment rate for each facility shall be 65 percent of the operating cost payment rate from 205.2this section, and 35 percent of the operating cost payment rate from section 256B.434. For 205.3the rate year beginning October 1, 2014, the operating cost payment rate for each facility 205.4shall be 82 percent of the operating cost payment rate from this section, and 18 percent 205.5of the operating cost payment rate from section 256B.434. For the rate year beginning 205.6October 1, 2015, the operating cost payment rate for each facility shall be the operating 205.7cost payment rate determined under this section. The blending of operating cost payment 205.8rates under this section shall be performed separately for each RUG's class. 205.9 (b) For the rate year beginning October 1, 2008, the commissioner shall apply limits 205.10to the operating payment rate increases under paragraph (a) by creating a minimum 205.11percentage increase and a maximum percentage increase. 205.12 (1) Each nursing facility that receives a blended October 1, 2008, operating payment 205.13rate increase under paragraph (a) of less than one percent, when compared to its operating 205.14payment rate on September 30, 2008, computed using rates with RUG's weight of 1.00, 205.15shall receive a rate adjustment of one percent. 205.16 (2) The commissioner shall determine a maximum percentage increase that will 205.17result in savings equal to the cost of allowing the minimum increase in clause (1). Nursing 205.18facilities with a blended October 1, 2008, operating payment rate increase under paragraph 205.19(a) greater than the maximum percentage increase determined by the commissioner, when 205.20compared to its operating payment rate on September 30, 2008, computed using rates with 205.21a RUG's weight of 1.00, shall receive the maximum percentage increase. 205.22 (3) Nursing facilities with a blended October 1, 2008, operating payment rate 205.23increase under paragraph (a) greater than one percent and less than the maximum 205.24percentage increase determined by the commissioner, when compared to its operating 205.25payment rate on September 30, 2008, computed using rates with a RUG's weight of 1.00, 205.26shall receive the blended October 1, 2008, operating payment rate increase determined 205.27under paragraph (a). 205.28 (4) The October 1, 2009, through October 1, 2015, operating payment rate for 205.29facilities receiving the maximum percentage increase determined in clause (2) shall be 205.30the amount determined under paragraph (a) less the difference between the amount 205.31determined under paragraph (a) for October 1, 2008, and the amount allowed under clause 205.32(2). This rate restriction does not apply to rate increases provided in any other section. 205.33 (b) (c) A portion of the funds received under this subdivision that are in excess of 205.34operating cost payment rates that a facility would have received under section 256B.434, 205.35as determined in accordance with clauses (1) to (3), shall be subject to the requirements in 205.36section 256B.434, subdivision 19, paragraphs (b) to (h). 206.1 (1) Determine the amount of additional funding available to a facility, which shall be 206.2equal to total medical assistance resident days from the most recent reporting year times 206.3the difference between the blended rate determined in paragraph (a) for the rate year being 206.4computed and the blended rate for the prior year. 206.5 (2) Determine the portion of all operating costs, for the most recent reporting year, 206.6that are compensation related. If this value exceeds 75 percent, use 75 percent. 206.7 (3) Subtract the amount determined in clause (2) from 75 percent. 206.8 (4) The portion of the fund received under this subdivision that shall be subject to 206.9the requirements in section 256B.434, subdivision 19, paragraphs (b) to (h), shall equal 206.10the amount determined in clause (1) times the amount determined in clause (3). 206.11 Sec. 12. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 56, 206.12is amended to read: 206.13 Subd. 56. Hold harmless. For the rate years beginning October 1, 2008, to October 206.141, 2016, no nursing facility shall receive an operating cost payment rate less than its 206.15operating cost payment rate under section 256B.434. For rate years beginning between 206.16October 1, 2009, and October 1, 2015, no nursing facility shall receive an operating 206.17payment rate less than its operating payment rate in effect on September 30, 2009. The 206.18comparison of operating cost payment rates under this section shall be made for a RUG's 206.19rate with a weight of 1.00. 206.20 Sec. 13. Minnesota Statutes 2007 Supplement, section 256B.5012, subdivision 7, 206.21is amended to read: 206.22 Subd. 7. ICF/MR rate increases effective October 1, 2007, and October 1, 2008. 206.23 (a) For the rate year beginning October 1, 2007, the commissioner shall make available 206.24to each facility reimbursed under this section operating payment rate adjustments equal 206.25to 2.0 percent of the operating payment rates in effect on September 30, 2007. For the 206.26rate year beginning July October 1, 2008, the commissioner shall make available to each 206.27facility reimbursed under this section operating payment rate adjustments equal to 2.0 206.28percent of the operating payment rates in effect on June September 30, 2008. For each 206.29facility, the commissioner shall make available an adjustment, based on occupied beds, 206.30using the percentage specified in this paragraph multiplied by the total payment rate, 206.31including the variable rate but excluding the property-related payment rate, in effect 206.32on the preceding day. The total payment rate shall include the adjustment provided in 206.33section 256B.501, subdivision 12. A facility whose payment rates are governed by closure 207.1agreements, receivership agreements, or Minnesota Rules, part 9553.0075, is not eligible 207.2for an adjustment otherwise granted under this subdivision. 207.3 (b) Seventy-five percent of the money resulting from the rate adjustments under 207.4paragraph (a) must be used for increases in compensation-related costs for employees 207.5directly employed by the facility on or after the effective date of the rate adjustments, 207.6except: 207.7 (1) the administrator; 207.8 (2) persons employed in the central office of a corporation that has an ownership 207.9interest in the facility or exercises control over the facility; and 207.10 (3) persons paid by the facility under a management contract. 207.11 (c) Two-thirds of the money available under paragraph (b) must be used for wage 207.12increases for all employees directly employed by the facility on or after the effective 207.13date of the rate adjustments, except those listed in paragraph (b), clauses (1) to (3). The 207.14wage adjustment that employees receive under this paragraph must be paid as an equal 207.15hourly percentage wage increase for all eligible employees. All wage increases under this 207.16paragraph must be effective on the same date. Only costs associated with the portion of 207.17the equal hourly percentage wage increase that goes to all employees shall qualify under 207.18this paragraph. Costs associated with wage increases in excess of the amount of the equal 207.19hourly percentage wage increase provided to all employees shall be allowed only for 207.20meeting the requirements in paragraph (b). This paragraph shall not apply to employees 207.21covered by a collective bargaining agreement. 207.22 (d) The commissioner shall allow as compensation-related costs all costs for: 207.23 (1) wages and salaries; 207.24 (2) FICA taxes, Medicare taxes, state and federal unemployment taxes, and workers' 207.25compensation; 207.26 (3) the employer's share of health and dental insurance, life insurance, disability 207.27insurance, long-term care insurance, uniform allowance, and pensions; and 207.28 (4) other benefits provided, subject to the approval of the commissioner. 207.29 (e) The portion of the rate adjustments under paragraph (a) that is not subject to the 207.30requirements in paragraphs (b) and (c) shall be provided to facilities effective October 207.311 of each year. 207.32 (f) Facilities may apply for the portion of the rate adjustments under paragraph 207.33(a) that is subject to the requirements in paragraphs (b) and (c). The application 207.34must be submitted to the commissioner within six months of the effective date of the 207.35rate adjustments, and the facility must provide additional information required by 207.36the commissioner within nine months of the effective date of the rate adjustments. 208.1The commissioner must respond to all applications within three weeks of receipt. 208.2The commissioner may waive the deadlines in this paragraph under extraordinary 208.3circumstances, to be determined at the sole discretion of the commissioner. The 208.4application must contain: 208.5 (1) an estimate of the amounts of money that must be used as specified in paragraphs 208.6(b) and (c); 208.7 (2) a detailed distribution plan specifying the allowable compensation-related and 208.8wage increases the facility will implement to use the funds available in clause (1); 208.9 (3) a description of how the facility will notify eligible employees of the contents of 208.10the approved application, which must provide for giving each eligible employee a copy of 208.11the approved application, excluding the information required in clause (1), or posting a 208.12copy of the approved application, excluding the information required in clause (1), for 208.13a period of at least six weeks in an area of the facility to which all eligible employees 208.14have access; and 208.15 (4) instructions for employees who believe they have not received the 208.16compensation-related or wage increases specified in clause (2), as approved by the 208.17commissioner, and which must include a mailing address, e-mail address, and the 208.18telephone number that may be used by the employee to contact the commissioner or the 208.19commissioner's representative. 208.20 (g) The commissioner shall ensure that cost increases in distribution plans under 208.21paragraph (f), clause (2), that may be included in approved applications, comply with 208.22requirements in clauses (1) to (4): 208.23 (1) costs to be incurred during the applicable rate year resulting from wage and 208.24salary increases effective after October 1, 2006, and prior to the first day of the facility's 208.25payroll period that includes October 1 of each year shall be allowed if they were not used 208.26in the prior year's application and they meet the requirements of paragraphs (b) and (c); 208.27 (2) a portion of the costs resulting from tenure-related wage or salary increases 208.28may be considered to be allowable wage increases, according to formulas that the 208.29commissioner shall provide, where employee retention is above the average statewide 208.30rate of retention of direct care employees; 208.31 (3) the annualized amount of increases in costs for the employer's share of health 208.32and dental insurance, life insurance, disability insurance, and workers' compensation shall 208.33be allowable compensation-related increases if they are effective on or after April 1 of 208.34the year in which the rate adjustments are effective and prior to April 1 of the following 208.35year; and 209.1 (4) for facilities in which employees are represented by an exclusive bargaining 209.2representative, the commissioner shall approve the application only upon receipt of a letter 209.3of acceptance of the distribution plan, as regards members of the bargaining unit, signed 209.4by the exclusive bargaining agent and dated after May 25, 2007. Upon receipt of the letter 209.5of acceptance, the commissioner shall deem all requirements of this section as having 209.6been met in regard to the members of the bargaining unit. 209.7 (h) The commissioner shall review applications received under paragraph (f) and 209.8shall provide the portion of the rate adjustments under paragraphs (b) and (c) if the 209.9requirements of this subdivision have been met. The rate adjustments shall be effective 209.10October 1 of each year. Notwithstanding paragraph (a), if the approved application 209.11distributes less money than is available, the amount of the rate adjustment shall be reduced 209.12so that the amount of money made available is equal to the amount to be distributed. 209.13 Sec. 14. Minnesota Statutes 2006, section 256B.69, subdivision 6, is amended to read: 209.14 Subd. 6. Service delivery. (a) Each demonstration provider shall be responsible for 209.15the health care coordination for eligible individuals. Demonstration providers: 209.16 (1) shall authorize and arrange for the provision of all needed health services 209.17including but not limited to the full range of services listed in sections 256B.02, 209.18subdivision 8 , and 256B.0625 in order to ensure appropriate health care is delivered to 209.19enrollees. Notwithstanding section 256B.0621, demonstration providers that provide 209.20nursing home and community-based services under this section shall provide relocation 209.21service coordination to enrolled persons age 65 and over; 209.22 (2) shall accept the prospective, per capita payment from the commissioner in return 209.23for the provision of comprehensive and coordinated health care services for eligible 209.24individuals enrolled in the program; 209.25 (3) may contract with other health care and social service practitioners to provide 209.26services to enrollees; and 209.27 (4) shall institute recipient grievance procedures according to the method established 209.28by the project, utilizing applicable requirements of chapter 62D. Disputes not resolved 209.29through this process shall be appealable to the commissioner as provided in subdivision 11. 209.30 (b) Demonstration providers must comply with the standards for claims settlement 209.31under section 72A.201, subdivisions 4, 5, 7, and 8, when contracting with other health 209.32care and social service practitioners to provide services to enrollees. A demonstration 209.33provider must pay a clean claim, as defined in Code of Federal Regulations, title 42, 209.34section 447.45(b), within 30 business days of the date of acceptance of the claim. 210.1 Sec. 15. Minnesota Statutes 2006, section 256D.44, subdivision 2, is amended to read: 210.2 Subd. 2. Standard of assistance for persons eligible for medical assistance 210.3waivers or at risk of placement in a group residential housing facility. The state 210.4standard of assistance for a person who: (1) is eligible for a medical assistance home and 210.5community-based services waiver or a person who; (2) has been determined by the local 210.6agency to meet the plan requirements for placement in a group residential housing facility 210.7under section 256I.04, subdivision 1a,; or (3) is eligible for a shelter needy payment 210.8under subdivision 5, paragraph (f), is the standard established in subdivision 3, paragraph 210.9(a) or (b). 210.10EFFECTIVE DATE.This section is effective January 1, 2009. 210.11 Sec. 16. Minnesota Statutes 2006, section 256D.44, subdivision 5, is amended to read: 210.12 Subd. 5. Special needs. In addition to the state standards of assistance established in 210.13subdivisions 1 to 4, payments are allowed for the following special needs of recipients of 210.14Minnesota supplemental aid who are not residents of a nursing home, a regional treatment 210.15center, or a group residential housing facility. 210.16 (a) The county agency shall pay a monthly allowance for medically prescribed 210.17diets if the cost of those additional dietary needs cannot be met through some other 210.18maintenance benefit. The need for special diets or dietary items must be prescribed by 210.19a licensed physician. Costs for special diets shall be determined as percentages of the 210.20allotment for a one-person household under the thrifty food plan as defined by the United 210.21States Department of Agriculture. The types of diets and the percentages of the thrifty 210.22food plan that are covered are as follows: 210.23 (1) high protein diet, at least 80 grams daily, 25 percent of thrifty food plan; 210.24 (2) controlled protein diet, 40 to 60 grams and requires special products, 100 percent 210.25of thrifty food plan; 210.26 (3) controlled protein diet, less than 40 grams and requires special products, 125 210.27percent of thrifty food plan; 210.28 (4) low cholesterol diet, 25 percent of thrifty food plan; 210.29 (5) high residue diet, 20 percent of thrifty food plan; 210.30 (6) pregnancy and lactation diet, 35 percent of thrifty food plan; 210.31 (7) gluten-free diet, 25 percent of thrifty food plan; 210.32 (8) lactose-free diet, 25 percent of thrifty food plan; 210.33 (9) antidumping diet, 15 percent of thrifty food plan; 210.34 (10) hypoglycemic diet, 15 percent of thrifty food plan; or 210.35 (11) ketogenic diet, 25 percent of thrifty food plan. 211.1 (b) Payment for nonrecurring special needs must be allowed for necessary home 211.2repairs or necessary repairs or replacement of household furniture and appliances using 211.3the payment standard of the AFDC program in effect on July 16, 1996, for these expenses, 211.4as long as other funding sources are not available. 211.5 (c) A fee for guardian or conservator service is allowed at a reasonable rate 211.6negotiated by the county or approved by the court. This rate shall not exceed five percent 211.7of the assistance unit's gross monthly income up to a maximum of $100 per month. If the 211.8guardian or conservator is a member of the county agency staff, no fee is allowed. 211.9 (d) The county agency shall continue to pay a monthly allowance of $68 for 211.10restaurant meals for a person who was receiving a restaurant meal allowance on June 1, 211.111990, and who eats two or more meals in a restaurant daily. The allowance must continue 211.12until the person has not received Minnesota supplemental aid for one full calendar month 211.13or until the person's living arrangement changes and the person no longer meets the criteria 211.14for the restaurant meal allowance, whichever occurs first. 211.15 (e) A fee of ten percent of the recipient's gross income or $25, whichever is less, 211.16is allowed for representative payee services provided by an agency that meets the 211.17requirements under SSI regulations to charge a fee for representative payee services. This 211.18special need is available to all recipients of Minnesota supplemental aid regardless of 211.19their living arrangement. 211.20 (f) (1) Notwithstanding the language in this subdivision, an amount equal to the 211.21maximum allotment authorized by the federal Food Stamp Program for a single individual 211.22which is in effect on the first day of January July of the previous each year will be added to 211.23the standards of assistance established in subdivisions 1 to 4 for individuals adults under 211.24the age of 65 who qualify as shelter needy and are: (i) relocating from an institution, or an 211.25adult mental health residential treatment program under section 256B.0622, and who are 211.26shelter needy; (ii) eligible for the self-directed supports option as defined under section 211.27256B.0657, subdivision 2; or (iii) home and community-based waiver recipients living in 211.28their own home or rented or leased apartment which is not owned, operated, or controlled 211.29by a provider of service not related by blood or marriage. 211.30 (2) Notwithstanding subdivision 3, paragraph (c), an individual eligible for the 211.31shelter needy benefit under this paragraph is considered a household of one. An eligible 211.32individual who receives this benefit prior to age 65 may continue to receive the benefit 211.33after the age of 65. 211.34 (3) "Shelter needy" means that the assistance unit incurs monthly shelter costs that 211.35exceed 40 percent of the assistance unit's gross income before the application of this 211.36special needs standard. "Gross income" for the purposes of this section is the applicant's or 212.1recipient's income as defined in section 256D.35, subdivision 10, or the standard specified 212.2in subdivision 3, paragraph (a) or (b), whichever is greater. A recipient of a federal or 212.3state housing subsidy, that limits shelter costs to a percentage of gross income, shall not be 212.4considered shelter needy for purposes of this paragraph. 212.5EFFECTIVE DATE.This section is effective January 1, 2009. 212.6 Sec. 17. Laws 2007, chapter 147, article 7, section 71, is amended to read: 212.7 Sec. 71. PROVIDER RATE INCREASES. 212.8 (a) The commissioner of human services shall increase allocations, reimbursement 212.9rates, or rate limits, as applicable, by 2.0 percent beginning October 1, 2007, and by 2.0 212.10percent beginning July October 1, 2008, effective for services rendered on or after those 212.11dates. County contracts for services specified in this section must be amended to pass 212.12through these rate adjustments within 60 days of the effective date of the increase and 212.13must be retroactive from the effective date of the rate adjustment. 212.14 (b) The annual rate increases described in this section must be provided to: 212.15 (1) home and community-based waivered services for persons with developmental 212.16disabilities or related conditions, including consumer-directed community supports, under 212.17Minnesota Statutes, section 256B.501; 212.18 (2) home and community-based waivered services for the elderly, including 212.19consumer-directed community supports, under Minnesota Statutes, section 256B.0915; 212.20 (3) waivered services under community alternatives for disabled individuals, 212.21including consumer-directed community supports, under Minnesota Statutes, section 212.22256B.49 ; 212.23 (4) community alternative care waivered services, including consumer-directed 212.24community supports, under Minnesota Statutes, section 256B.49; 212.25 (5) traumatic brain injury waivered services, including consumer-directed 212.26community supports, under Minnesota Statutes, section 256B.49; 212.27 (6) nursing services and home health services under Minnesota Statutes, section 212.28256B.0625, subdivision 6a ; 212.29 (7) personal care services and qualified professional supervision of personal care 212.30services under Minnesota Statutes, section 256B.0625, subdivision 19a; 212.31 (8) private duty nursing services under Minnesota Statutes, section 256B.0625, 212.32subdivision 7 ; 212.33 (9) day training and habilitation services for adults with developmental disabilities 212.34or related conditions under Minnesota Statutes, sections 252.40 to 252.46, including the 213.1additional cost of rate adjustments on day training and habilitation services, provided as a 213.2social service under Minnesota Statutes, section 256M.60 ; 213.3 (10) alternative care services under Minnesota Statutes, section 256B.0913; 213.4 (11) adult residential program grants under Minnesota Statutes, section 245.73; 213.5 (12) children's community-based mental health services grants and adult community 213.6support and case management services grants under Minnesota Rules, parts 9535.1700 213.7to 9535.1760; 213.8 (13) the group residential housing supplementary service rate under Minnesota 213.9Statutes, section 256I.05, subdivision 1a; 213.10 (14) adult mental health integrated fund grants under Minnesota Statutes, section 213.11245.4661 ; 213.12 (15) semi-independent living services (SILS) under Minnesota Statutes, section 213.13252.275 , including SILS funding under county social services grants formerly funded 213.14under Minnesota Statutes, chapter 256I; 213.15 (16) community support services for deaf and hard-of-hearing adults with mental 213.16illness who use or wish to use sign language as their primary means of communication 213.17under Minnesota Statutes, section 256.01, subdivision 2; and deaf and hard-of-hearing 213.18grants under Minnesota Statutes, sections 256C.233 and 256C.25; Laws 1985, chapter 9, 213.19article 1; and Laws 1997, First Special Session chapter 5, section 20; 213.20 (17) living skills training programs for persons with intractable epilepsy who need 213.21assistance in the transition to independent living under Laws 1988, chapter 689; 213.22 (18) physical therapy services under sections 256B.0625, subdivision 8, and 213.23256D.03, subdivision 4 ; 213.24 (19) occupational therapy services under sections 256B.0625, subdivision 8a, and 213.25256D.03, subdivision 4 ; 213.26 (20) speech-language therapy services under section 256D.03, subdivision 4, and 213.27Minnesota Rules, part 9505.0390; 213.28 (21) respiratory therapy services under section 256D.03, subdivision 4, and 213.29Minnesota Rules, part 9505.0295; 213.30 (22) adult rehabilitative mental health services under section 256B.0623; 213.31 (23) children's therapeutic services and support services under section 256B.0943; 213.32 (24) tier I chemical health services under Minnesota Statutes, chapter 254B; 213.33 (25) consumer support grants under Minnesota Statutes, section 256.476; 213.34 (26) family support grants under Minnesota Statutes, section 252.32; 213.35 (27) grants for case management services to persons with HIV or AIDS under 213.36Minnesota Statutes, section 256.01, subdivision 19; and 214.1 (28) aging grants under Minnesota Statutes, sections 256.975 to 256.977, 256B.0917, 214.2and 256B.0928. 214.3 (c) For services funded through Minnesota disability health options, the rate 214.4increases under this section apply to all medical assistance payments, including former 214.5group residential housing supplementary rates under Minnesota Statutes, chapter 256I. 214.6 (d) The commissioner may recoup payments made under this section from a provider 214.7that does not comply with paragraphs (f) and (g). 214.8 (e) A managed care plan receiving state payments for the services in this section 214.9must include these increases in their payments to providers on a prospective basis, 214.10effective on January 1 following the effective date of the rate increase. 214.11 (f) Providers that receive a rate increase under this section shall use 75 percent of 214.12the additional revenue to increase compensation-related costs for employees directly 214.13employed by the program on or after the effective date of the rate adjustments, except: 214.14 (1) the administrator; 214.15 (2) persons employed in the central office of a corporation or entity that has an 214.16ownership interest in the provider or exercises control over the provider; and 214.17 (3) persons paid by the provider under a management contract. 214.18Compensation-related costs include: wages and salaries; FICA taxes, Medicare taxes, 214.19state and federal unemployment taxes, and workers' compensation; and the employer's 214.20share of health and dental insurance, life insurance, disability insurance, long-term care 214.21insurance, uniform allowance, and pensions. 214.22 (g) Two-thirds of the money available under paragraph (f) must be used for wage 214.23increases for all employees directly employed by the provider on or after the effective 214.24date of the rate adjustments, except those listed in paragraph (f), clauses (1) to (3). The 214.25wage adjustment that employees receive under this paragraph must be paid as an equal 214.26hourly percentage wage increase for all eligible employees. All wage increases under this 214.27paragraph must be effective on the same date. This paragraph shall not apply to employees 214.28covered by a collective bargaining agreement. 214.29 (h) For public employees, the increase for wages and benefits for certain staff is 214.30available and pay rates must be increased only to the extent that they comply with laws 214.31governing public employees collective bargaining. Money received by a provider for pay 214.32increases under this section may be used only for increases implemented on or after the 214.33first day of the rate period in which the increase is available and must not be used for 214.34increases implemented prior to that date. 214.35 (i) The commissioner shall amend state grant contracts that include direct 214.36personnel-related grant expenditures to include the allocation for the portion of the contract 215.1that is employee compensation related. Grant contracts for compensation-related services 215.2must be amended to pass through these adjustments within 60 days of the effective date of 215.3the increase and must be retroactive to the effective date of the rate adjustment. 215.4 (j) The Board on Aging and its Area Agencies on Aging shall amend their 215.5grants that include direct personnel-related grant expenditures to include the rate 215.6adjustment for the portion of the grant that is employee compensation related. Grants 215.7for compensation-related services must be amended to pass through these adjustments 215.8within 60 days of the effective date of the increase and must be retroactive to the effective 215.9date of the rate adjustment. 215.10 (k) The calendar year 2008 rate for vendors reimbursed under Minnesota Statutes, 215.11chapter 254B, shall be at least 2.0 percent above the rate in effect on January 1, 2007. The 215.12calendar year 2009 rate shall be at least 2.0 percent above the rate in effect on January 215.131, 2008. 215.14 (l) Providers that receive a rate adjustment under paragraph (a) that is subject to 215.15paragraphs (f) and (g) shall provide to the commissioner, and those counties with whom 215.16they have a contract, within six months after the effective date of each rate adjustment, a 215.17letter, in a format specified by the commissioner, that provides assurances that the provider 215.18has developed and implemented a compensation plan and complied with paragraphs (f) 215.19and (g). The provider shall keep on file, and produce for the commissioner or county 215.20upon request, its plan, which must specify: 215.21 (1) an estimate of the amounts of money that must be used as specified in paragraphs 215.22(f) and (g); and 215.23 (2) a detailed distribution plan specifying the allowable compensation-related and 215.24wage increases the provider will implement to use the funds available in clause (1). 215.25 (m) Within six months after the effective date of each rate adjustment, the provider 215.26shall post this plan, excluding the information required in paragraph (l), clause (1), for 215.27a period of at least six weeks in an area of the provider's operation to which all eligible 215.28employees have access and provide instructions for employees who believe they have 215.29not received the wage and other compensation-related increases specified in paragraph 215.30(l), clause (2). Instructions must include a mailing address, e-mail address, and the 215.31telephone number that may be used by the employee to contact the commissioner or the 215.32commissioner's representative. Providers shall also make assurances to the commissioner 215.33and counties with whom they have a contract that they have complied with the requirement 215.34in this paragraph. 215.35 Sec. 18. MORATORIUM EXCEPTION PROPOSAL; WAIVER. 216.1 The commissioner of health may waive the six-mile limit in Minnesota Statutes, 216.2section 144A.073, subdivision 5, paragraph (e), when considering a moratorium exception 216.3proposal submitted under Minnesota Statutes, section 144A.073, to allow a nursing 216.4facility providing specialty care in Minneapolis to close and relocate beds to a new facility 216.5in Robbinsdale under common ownership. 216.6ARTICLE 16 216.7CHILDREN AND FAMILY SERVICES 216.8 Section 1. Minnesota Statutes 2007 Supplement, section 256.741, subdivision 1, 216.9is amended to read: 216.10 Subdivision 1. Public assistance Definitions. (a) The term "direct support" as used 216.11in this chapter and chapters 257, 518, 518A, and 518C refers to an assigned support 216.12payment from an obligor which is paid directly to a recipient of TANF or MFIP public 216.13assistance. 216.14 (b) The term "public assistance" as used in this chapter and chapters 257, 518, 518A, 216.15and 518C, includes any form of assistance provided under the AFDC program formerly 216.16codified in sections 256.72 to 256.87, MFIP and MFIP-R formerly codified under chapter 216.17256, MFIP under chapter 256J, work first program formerly codified under chapter 256K; 216.18child care assistance provided through the child care fund under chapter 119B; any form 216.19of medical assistance under chapter 256B; MinnesotaCare under chapter 256L; and foster 216.20care as provided under title IV-E of the Social Security Act. 216.21 (c) The term "child support agency" as used in this section refers to the public 216.22authority responsible for child support enforcement. 216.23 (d) The term "public assistance agency" as used in this section refers to a public 216.24authority providing public assistance to an individual. 216.25 (e) The terms "child support" and "arrears" as used in this section have the meanings 216.26provided in section 518A.26. 216.27 (f) The term "maintenance" as used in this section has the meaning provided in 216.28section 518.003. 216.29 Sec. 2. Minnesota Statutes 2006, section 256.741, subdivision 2, is amended to read: 216.30 Subd. 2. Assignment of support and maintenance rights. (a) An individual 216.31receiving public assistance in the form of assistance under any of the following programs: 216.32the AFDC program formerly codified in sections 256.72 to 256.87, MFIP under chapter 216.33256J, MFIP-R and MFIP formerly codified under chapter 256, or work first program 216.34formerly codified under chapter 256K is considered to have assigned to the state at the 217.1time of application all rights to child support and maintenance from any other person the 217.2applicant or recipient may have in the individual's own behalf or in the behalf of any other 217.3family member for whom application for public assistance is made. An assistance unit is 217.4ineligible for the Minnesota family investment program unless the caregiver assigns all 217.5rights to child support and spousal maintenance benefits according to this section. 217.6 (1) An The assignment made according to this section is effective as to: 217.7 (i) any current child support and current spousal maintenance; and. 217.8 (ii) any accrued child support and spousal maintenance arrears. 217.9 (2) An assignment made after September 30, 1997, is effective as to: 217.10 (i) any current child support and current spousal maintenance; 217.11 (ii) any accrued child support and spousal maintenance arrears collected before 217.12October 1, 2000, or the date the individual terminates assistance, whichever is later; and 217.13 (iii) any accrued child support and spousal maintenance arrears collected under 217.14federal tax intercept. 217.15 (2) Any child support or maintenance arrears that accrue while an individual is 217.16receiving public assistance in the form of assistance under any of the programs listed in 217.17this paragraph are permanently assigned to the state. 217.18 (3) The assignment of current child support and current maintenance ends on the 217.19date the individual ceases to receive or is no longer eligible to receive public assistance 217.20under any of the programs listed in this paragraph. 217.21 (b) An individual receiving public assistance in the form of medical assistance, 217.22including MinnesotaCare, is considered to have assigned to the state at the time of 217.23application all rights to medical support from any other person the individual may have 217.24in the individual's own behalf or in the behalf of any other family member for whom 217.25medical assistance is provided. 217.26 (1) An assignment made after September 30, 1997, is effective as to any medical 217.27support accruing after the date of medical assistance or MinnesotaCare eligibility. 217.28 (2) Any medical support arrears that accrue while an individual is receiving public 217.29assistance in the form of medical assistance, including MinnesotaCare, are permanently 217.30assigned to the state. 217.31 (3) The assignment of current medical support ends on the date the individual ceases 217.32to receive or is no longer eligible to receive public assistance in the form of medical 217.33assistance or MinnesotaCare. 217.34 (c) An individual receiving public assistance in the form of child care assistance 217.35under the child care fund pursuant to chapter 119B is considered to have assigned to the 217.36state at the time of application all rights to child care support from any other person the 218.1individual may have in the individual's own behalf or in the behalf of any other family 218.2member for whom child care assistance is provided. 218.3 An (1) The assignment made according to this paragraph is effective as to: 218.4 (1) any current child care support and any child care support arrears assigned and 218.5accruing after July 1, 1997, that are collected before October 1, 2000; and. 218.6 (2) any accrued child care support arrears collected under federal tax intercept. Any 218.7child care support arrears that accrue while an individual is receiving public assistance in 218.8the form of child care assistance under the child care fund in chapter 119B are permanently 218.9assigned to the state. 218.10 (3) The assignment of current child care support ends on the date the individual 218.11ceases to receive or is no longer eligible to receive public assistance in the form of child 218.12care assistance under the child care fund under chapter 119B. 218.13 Sec. 3. Minnesota Statutes 2006, section 256.741, subdivision 2a, is amended to read: 218.14 Subd. 2a. Families-first Distribution of child support arrearages. (a) The 218.15state shall distribute current child support and maintenance received by the state to an 218.16individual who assigns the right to that support under subdivision 2, paragraph (a). 218.17 (b) When the public authority collects child support arrearages on behalf of an 218.18individual who is receiving public assistance provided under MFIP or MFIP-R under 218.19this chapter, MFIP under chapter 256J, or work first under chapter 256K, and the public 218.20authority has the option of applying the collection to arrears permanently assigned to the 218.21state or to arrears temporarily assigned to the state, the public authority shall first apply the 218.22collection to satisfy those arrears that are permanently assigned to the state. 218.23 (c) When the public authority collects child support arrearages on behalf of an 218.24individual who is not receiving public assistance, the public authority shall first apply the 218.25collection to satisfy those arrears that are not permanently assigned to the state. 218.26 (d) When the public authority collects child support arrearages certified under the 218.27federal tax offset, the public authority shall first apply the collection to satisfy those arrears 218.28that are permanently assigned to the state. 218.29 Sec. 4. Minnesota Statutes 2006, section 256.741, subdivision 3, is amended to read: 218.30 Subd. 3. Existing assignments. Assignments based on the receipt of public 218.31assistance in existence prior to July 1, 1997, are permanently assigned to the state. Arrears 218.32that accrued prior to the receipt of assistance that were assigned to the state between July 218.331, 1997, and October 1, 2009, must no longer be assigned as of October 1, 2009. 218.34EFFECTIVE DATE.This section is effective October 1, 2009. 219.1 Sec. 5. Minnesota Statutes 2007 Supplement, section 256J.621, is amended to read: 219.2256J.621 WORK PARTICIPATION BONUS CASH BENEFITS. 219.3 (a) Effective October 1, 2009, upon exiting the diversionary work program (DWP) 219.4or upon terminating MFIP cash assistance the Minnesota family investment program with 219.5earnings, a participant who is employed may be eligible for transitional assistance work 219.6participation cash benefits of $75 per month to assist in meeting the family's basic needs 219.7as the participant continues to move toward self-sufficiency. 219.8 (b) To be eligible for a transitional assistance payment work participation cash 219.9benefits, the participant shall not receive MFIP cash assistance or diversionary work 219.10program assistance during the month and the participant or participants must meet the 219.11following work requirements: 219.12 (1) if the participant is a single caregiver and has a child under six years of age, the 219.13participant must be employed at least 87 hours per month; 219.14 (2) if the participant is a single caregiver and does not have a child under six years of 219.15age, the participant must be employed at least 130 hours per month; or 219.16 (3) if the household is a two-parent family, at least one of the parents must be 219.17employed an average of at least 130 hours per month. 219.18 Whenever a participant exits the diversionary work program or is terminated from 219.19MFIP cash assistance and meets the other criteria in this section, transitional assistance is 219.20work participation cash benefits are available for up to 24 consecutive months. 219.21 (c) Expenditures on the program are maintenance of effort state funds for participants 219.22under paragraph (b), clauses (1) and (2). Expenditures for participants under paragraph 219.23(b), clause (3), are nonmaintenance of effort funds. Months in which a participant receives 219.24transitional assistance work participation cash benefits under this section do not count 219.25toward the participant's MFIP 60-month time limit. 219.26 Sec. 6. Minnesota Statutes 2006, section 518A.50, is amended to read: 219.27518A.50 PAYMENT TO PUBLIC AGENCY. 219.28 (a) This section applies to all proceedings involving a support order, including, but 219.29not limited to, a support order establishing an order for past support or reimbursement 219.30of public assistance. 219.31 (b) The court shall direct that all payments ordered for maintenance or support 219.32be made to the public authority responsible for child support enforcement so long as 219.33the obligee is receiving or has applied for public assistance, or has applied for child 219.34support or maintenance collection services. Public authorities responsible for child 219.35support enforcement may act on behalf of other public authorities responsible for child 220.1support enforcement, including the authority to represent the legal interests of or execute 220.2documents on behalf of the other public authority in connection with the establishment, 220.3enforcement, and collection of child support, maintenance, or medical support, and 220.4collection on judgments. 220.5 (c) Payments made to the public authority other than payments under section 220.6 must be credited as of the date the payment is received by the central collections 220.7unit., except that payments made under section 518A.53 may be considered to have been 220.8paid as of the date the obligor received the remainder of the income. 220.9 (d) Monthly amounts received by the public agency responsible for child support 220.10enforcement from the obligor that are greater than the monthly amount of public assistance 220.11granted to the obligee must be remitted to the obligee. 220.12EFFECTIVE DATE.This section is effective October 1, 2009. 220.13 Sec. 7. Minnesota Statutes 2006, section 518A.53, subdivision 5, is amended to read: 220.14 Subd. 5. Payor of funds responsibilities. (a) An order for or notice of withholding 220.15is binding on a payor of funds upon receipt. Withholding must begin no later than the first 220.16pay period that occurs after 14 days following the date of receipt of the order for or notice 220.17of withholding. In the case of a financial institution, preauthorized transfers must occur in 220.18accordance with a court-ordered payment schedule. 220.19 (b) A payor of funds shall withhold from the income payable to the obligor the 220.20amount specified in the order or notice of withholding and amounts specified under 220.21subdivisions 6 and 9 and shall remit the amounts withheld to the public authority within 220.22seven business days of the date the obligor is paid the remainder of the income. The payor 220.23of funds shall include with the remittance the Social Security number of the obligor, the 220.24case type indicator as provided by the public authority and the date the obligor is paid 220.25the remainder of the income. The obligor is considered to have paid the amount withheld 220.26as of the date the obligor received the remainder of the income. A payor of funds may 220.27combine all amounts withheld from one pay period into one payment to each public 220.28authority, but shall separately identify each obligor making payment. 220.29 (c) A payor of funds shall not discharge, or refuse to hire, or otherwise discipline an 220.30employee as a result of wage or salary withholding authorized by this section. A payor of 220.31funds shall be liable to the obligee for any amounts required to be withheld. A payor of 220.32funds that fails to withhold or transfer funds in accordance with this section is also liable 220.33to the obligee for interest on the funds at the rate applicable to judgments under section 220.34549.09 , computed from the date the funds were required to be withheld or transferred. 220.35A payor of funds is liable for reasonable attorney fees of the obligee or public authority 221.1incurred in enforcing the liability under this paragraph. A payor of funds that has failed 221.2to comply with the requirements of this section is subject to contempt sanctions under 221.3section 518A.73. If the payor of funds is an employer or independent contractor and 221.4violates this subdivision, a court may award the obligor twice the wages lost as a result 221.5of this violation. If a court finds a payor of funds violated this subdivision, the court 221.6shall impose a civil fine of not less than $500. The liabilities in this paragraph apply to 221.7intentional noncompliance with this section. 221.8 (d) If a single employee is subject to multiple withholding orders or multiple notices 221.9of withholding for the support of more than one child, the payor of funds shall comply 221.10with all of the orders or notices to the extent that the total amount withheld from the 221.11obligor's income does not exceed the limits imposed under the Consumer Credit Protection 221.12Act, United States Code, title 15, section 1673(b), giving priority to amounts designated in 221.13each order or notice as current support as follows: 221.14 (1) if the total of the amounts designated in the orders for or notices of withholding 221.15as current support exceeds the amount available for income withholding, the payor of 221.16funds shall allocate to each order or notice an amount for current support equal to the 221.17amount designated in that order or notice as current support, divided by the total of the 221.18amounts designated in the orders or notices as current support, multiplied by the amount 221.19of the income available for income withholding; and 221.20 (2) if the total of the amounts designated in the orders for or notices of withholding 221.21as current support does not exceed the amount available for income withholding, the 221.22payor of funds shall pay the amounts designated as current support, and shall allocate to 221.23each order or notice an amount for past due support, equal to the amount designated in 221.24that order or notice as past due support, divided by the total of the amounts designated in 221.25the orders or notices as past due support, multiplied by the amount of income remaining 221.26available for income withholding after the payment of current support. 221.27 (e) When an order for or notice of withholding is in effect and the obligor's 221.28employment is terminated, the obligor and the payor of funds shall notify the public 221.29authority of the termination within ten days of the termination date. The termination 221.30notice shall include the obligor's home address and the name and address of the obligor's 221.31new payor of funds, if known. 221.32 (f) A payor of funds may deduct one dollar from the obligor's remaining salary for 221.33each payment made pursuant to an order for or notice of withholding under this section to 221.34cover the expenses of withholding. 221.35EFFECTIVE DATE.This section is effective October 1, 2009. 222.1 Sec. 8. REPEALER. 222.2Minnesota Statutes 2006, section 256.741, subdivision 15, is repealed. 222.3ARTICLE 17 222.4HEALTH CARE 222.5 Section 1. [62U.10] HEALTH CARE TRANSFER, SAVINGS, AND REPAYMENT. 222.6 Subdivision 1. Health Care Access Fund Transfer. On June 30, 2009, the 222.7commissioner of finance shall transfer $50,000,000 from the health care access fund 222.8to the general fund. 222.9 Subd. 2. Projected spending baseline. (a) By June 1, 2009, the commissioner of 222.10health shall calculate the annual projected total private and public health care spending for 222.11residents of this state and establish a health care spending baseline, beginning for calendar 222.12year 2008 and for the next ten years based on the annual projected growth in spending. 222.13 (b) In establishing the health care spending baseline, the commissioner shall use the 222.14Centers for Medicare and Medicaid Services forecast for total growth in national health 222.15care expenditures and adjust this forecast to reflect the demographics, health status, and 222.16other factors deemed necessary by the commissioner. The commissioner shall contract 222.17with an actuarial consultant to make recommendations for the adjustments needed to 222.18specifically reflect projected spending for residents of this state. 222.19 (c) The commissioner may adjust the projected baseline as necessary to reflect any 222.20updated federal projections or account for unanticipated changes in federal policy. 222.21 (d) Medicare and long-term care spending must not be included in the calculations 222.22required under this section. 222.23 Subd. 3. Actual spending and savings determination. By June 1, 2010, and each 222.24June 1 thereafter until June 1, 2020, the commissioner of health shall determine the actual 222.25total private and public health care spending for residents of this state for the calendar 222.26year two years before the current calendar year, based on data collected under chapter 62J, 222.27and shall determine the difference between the projected spending, as determined under 222.28subdivision 2, and the actual spending for that year. The actual spending must be certified 222.29by an independent actuarial consultant. If the actual spending is less than the projected 222.30spending, the commissioner shall determine, based on the proportion of spending for 222.31state-administered health care programs to total private and public health care spending 222.32for the calendar year two years before the current calendar year, the percentage of the 222.33calculated aggregate savings amount accruing to state-administered health care programs. 223.1 Subd. 4. Repayment of transfer. When accumulated savings accruing to 223.2state-administered health care programs, as calculated under subdivision 3, meet or exceed 223.3$50,000,000, the commissioner of health shall certify that event to the commissioner of 223.4finance. In the next fiscal year following the certification, the commissioner of finance 223.5shall transfer $50,000,000 from the general fund to the health care access fund. The 223.6amount necessary to make the transfer is appropriated from the general fund to the 223.7commissioner of finance. 223.8 Subd. 5. Definitions. (a) For purposes of this section, the following definitions 223.9apply. 223.10 (b) "Public health care spending" means spending for a state-administered health 223.11care program. 223.12 (c) "State-administered health care program" means medical assistance, 223.13MinnesotaCare, general assistance medical care, and the state employee group insurance 223.14program. 223.15 Sec. 2. [144.058] INTERPRETER SERVICES QUALITY INITIATIVE. 223.16 (a) The commissioner of health shall establish a voluntary statewide roster, and 223.17develop a plan for a registry and certification process for interpreters who provide 223.18high quality, spoken language health care interpreter services. The roster, registry, and 223.19certification process shall be based on the findings and recommendations set forth by 223.20the Interpreter Services Work Group required under Laws 2007, chapter 147, article 223.2112, section 13. 223.22 (b) By January 1, 2009, the commissioner shall establish a roster of all available 223.23interpreters to address access concerns, particularly in rural areas. 223.24 (c) By January 15, 2010, the commissioner shall: 223.25 (1) develop a plan for a registry of spoken language health care interpreters, 223.26including: 223.27 (i) development of standards for registration that set forth educational requirements, 223.28training requirements, demonstration of language proficiency and interpreting skills, 223.29agreement to abide by a code of ethics, and a criminal background check; 223.30 (ii) recommendations for appropriate alternate requirements in languages for which 223.31testing and training programs do not exist; 223.32 (iii) recommendations for appropriate fees; and 223.33 (iv) recommendations for establishing and maintaining the standards for inclusion 223.34in the registry; and 224.1 (2) develop a plan for implementing a certification process based on national 224.2testing and certification processes for spoken language interpreters 12 months after the 224.3establishment of a national certification process. 224.4 (d) The commissioner shall consult with the Interpreter Stakeholder Group of the 224.5Upper Midwest Translators and Interpreters Association for advice on the standards 224.6required to plan for the development of a registry and certification process. 224.7 (e) The commissioner shall charge an annual fee of $50 to include an interpreter in 224.8the roster. Fee revenue shall be deposited in the state government special revenue fund. 224.9EFFECTIVE DATE.This section is effective the day following final enactment. 224.10 Sec. 3. Minnesota Statutes 2007 Supplement, section 144E.45, subdivision 2, is 224.11amended to read: 224.12 Subd. 2. Potential allocations. (a) On November 1, annually, the board or the 224.13board's designee under section 144E.40, subdivision 2, shall determine the amount of the 224.14allocation of the prior year's accumulation to each qualified ambulance service person. 224.15The prior year's net investment gain or loss under paragraph (b) must be allocated 224.16and that year's general fund appropriation, plus any transfer from the Cooper/Sams 224.17volunteer ambulance account under section 144E.42, subdivision 2, and after deduction of 224.18administrative expenses, also must be allocated. 224.19 (b) The difference in the market value of the assets of the Cooper/Sams volunteer 224.20ambulance trust account as of the immediately previous June 30 and the June 30 occurring 224.2112 months earlier must be reported on or before August 15 by the State Board of 224.22Investment. The market value gain or loss must be expressed as a percentage of the total 224.23potential award accumulations as of the immediately previous June 30, and that positive or 224.24negative percentage must be applied to increase or decrease the recorded potential award 224.25accumulation of each qualified ambulance service person. 224.26 (c) The appropriation for this purpose, after deduction of administrative expenses, 224.27must be divided by the total number of additional ambulance service personnel years 224.28of service recognized since the last allocation or 1,000 years of service, whichever is 224.29greater. If the allocation is based on the 1,000 years of service, any allocation not made 224.30for a qualified ambulance service person must be credited to the Cooper/Sams volunteer 224.31ambulance account under section 144E.42, subdivision 2. A qualified ambulance service 224.32person must be credited with a year of service if the person is certified by the chief 224.33administrative officer of the ambulance service as having rendered active ambulance 224.34service during the 12 months ending as of the immediately previous June 30. If the person 224.35has rendered prior active ambulance service, the person must be additionally credited with 225.1one-fifth of a year of service for each year of active ambulance service rendered before 225.2June 30, 1993, but not to exceed in any year one additional year of service or to exceed 225.3in total five years of prior service. Prior active ambulance service means employment 225.4by or the provision of service to a licensed ambulance service before June 30, 1993, as 225.5determined by the person's current ambulance service based on records provided by the 225.6person that were contemporaneous to the service. The prior ambulance service must be 225.7reported on or before August 1 to the board in an affidavit from the chief administrative 225.8officer of the ambulance service. 225.9 (d) Effective July 1, 2008, notwithstanding paragraphs (a) to (c), the value of each 225.10service credit shall be $447.19. 225.11 Sec. 4. Minnesota Statutes 2006, section 145.9255, subdivision 1, is amended to read: 225.12 Subdivision 1. Establishment. To the extent funds are available for the purposes 225.13of this subdivision, the commissioner of health, in consultation with a representative 225.14from Minnesota planning, the commissioner of human services, and the commissioner 225.15of education, shall develop and implement the Minnesota education now and babies 225.16later (MN ENABL) program, targeted to adolescents ages 12 to 14, with the goal of 225.17reducing the incidence of adolescent pregnancy in the state and promoting abstinence until 225.18marriage. The program must provide a multifaceted, primary prevention, community 225.19health promotion approach to educating and supporting adolescents in the decision to 225.20postpone sexual involvement modeled after the ENABL program in California. The 225.21commissioner of health shall consult with the chief of the health education section of 225.22the California Department of Health Services for general guidance in developing and 225.23implementing the program. 225.24 Sec. 5. Minnesota Statutes 2006, section 256.969, subdivision 2b, is amended to read: 225.25 Subd. 2b. Operating payment rates. In determining operating payment rates for 225.26admissions occurring on or after the rate year beginning January 1, 1991, and every two 225.27years after, or more frequently as determined by the commissioner, the commissioner 225.28shall obtain operating data from an updated base year and establish operating payment 225.29rates per admission for each hospital based on the cost-finding methods and allowable 225.30costs of the Medicare program in effect during the base year. Rates under the general 225.31assistance medical care, medical assistance, and MinnesotaCare programs shall not be 225.32rebased to more current data on January 1, 1997, and January 1, 2005, and for the first 225.3324 months of the rebased period beginning January 1, 2009. The base year operating 225.34payment rate per admission is standardized by the case mix index and adjusted by the 226.1hospital cost index, relative values, and disproportionate population adjustment. The 226.2cost and charge data used to establish operating rates shall only reflect inpatient services 226.3covered by medical assistance and shall not include property cost information and costs 226.4recognized in outlier payments. 226.5 Sec. 6. Minnesota Statutes 2006, section 256.969, subdivision 3a, is amended to read: 226.6 Subd. 3a. Payments. (a) Acute care hospital billings under the medical 226.7assistance program must not be submitted until the recipient is discharged. However, 226.8the commissioner shall establish monthly interim payments for inpatient hospitals that 226.9have individual patient lengths of stay over 30 days regardless of diagnostic category. 226.10Except as provided in section 256.9693, medical assistance reimbursement for treatment 226.11of mental illness shall be reimbursed based on diagnostic classifications. Individual 226.12hospital payments established under this section and sections 256.9685, 256.9686, and 226.13256.9695 , in addition to third party and recipient liability, for discharges occurring during 226.14the rate year shall not exceed, in aggregate, the charges for the medical assistance covered 226.15inpatient services paid for the same period of time to the hospital. This payment limitation 226.16shall be calculated separately for medical assistance and general assistance medical 226.17care services. The limitation on general assistance medical care shall be effective for 226.18admissions occurring on or after July 1, 1991. Services that have rates established under 226.19subdivision 11 or 12, must be limited separately from other services. After consulting with 226.20the affected hospitals, the commissioner may consider related hospitals one entity and 226.21may merge the payment rates while maintaining separate provider numbers. The operating 226.22and property base rates per admission or per day shall be derived from the best Medicare 226.23and claims data available when rates are established. The commissioner shall determine 226.24the best Medicare and claims data, taking into consideration variables of recency of the 226.25data, audit disposition, settlement status, and the ability to set rates in a timely manner. 226.26The commissioner shall notify hospitals of payment rates by December 1 of the year 226.27preceding the rate year. The rate setting data must reflect the admissions data used to 226.28establish relative values. Base year changes from 1981 to the base year established for the 226.29rate year beginning January 1, 1991, and for subsequent rate years, shall not be limited 226.30to the limits ending June 30, 1987, on the maximum rate of increase under subdivision 226.311. The commissioner may adjust base year cost, relative value, and case mix index data 226.32to exclude the costs of services that have been discontinued by the October 1 of the year 226.33preceding the rate year or that are paid separately from inpatient services. Inpatient stays 226.34that encompass portions of two or more rate years shall have payments established based 226.35on payment rates in effect at the time of admission unless the date of admission preceded 227.1the rate year in effect by six months or more. In this case, operating payment rates for 227.2services rendered during the rate year in effect and established based on the date of 227.3admission shall be adjusted to the rate year in effect by the hospital cost index. 227.4 (b) For fee-for-service admissions occurring on or after July 1, 2002, the total 227.5payment, before third-party liability and spenddown, made to hospitals for inpatient 227.6services is reduced by .5 percent from the current statutory rates. 227.7 (c) In addition to the reduction in paragraph (b), the total payment for fee-for-service 227.8admissions occurring on or after July 1, 2003, made to hospitals for inpatient services 227.9before third-party liability and spenddown, is reduced five percent from the current 227.10statutory rates. Mental health services within diagnosis related groups 424 to 432, and 227.11facilities defined under subdivision 16 are excluded from this paragraph. 227.12 (d) In addition to the reduction in paragraphs (b) and (c), the total payment for 227.13fee-for-service admissions occurring on or after July 1, 2005, made to hospitals for 227.14inpatient services before third-party liability and spenddown, is reduced 6.0 percent 227.15from the current statutory rates. Mental health services within diagnosis related groups 227.16424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph. 227.17Notwithstanding section 256.9686, subdivision 7, for purposes of this paragraph, medical 227.18assistance does not include general assistance medical care. Payments made to managed 227.19care plans shall be reduced for services provided on or after January 1, 2006, to reflect 227.20this reduction. 227.21 (e) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for 227.22fee-for-service admissions occurring on or after July 1, 2008, through June 30, 2009, made 227.23to hospitals for inpatient services before third-party liability and spenddown, is reduced 227.243.46 percent from the current statutory rates. Mental health services with diagnosis related 227.25groups 424 to 432 and facilities defined under subdivision 16 are excluded from this 227.26paragraph. Payments made to managed care plans shall be reduced for services provided 227.27on or after January 1, 2009, through June 30, 2009, to reflect this reduction. 227.28 (f) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for 227.29fee-for-service admissions occurring on or after July 1, 2009, through June 30, 2010, made 227.30to hospitals for inpatient services before third-party liability and spenddown, is reduced 227.311.9 percent from the current statutory rates. Mental health services with diagnosis related 227.32groups 424 to 432 and facilities defined under subdivision 16 are excluded from this 227.33paragraph. Payments made to managed care plans shall be reduced for services provided 227.34on or after July 1, 2009, through June 30, 2010, to reflect this reduction. 227.35 (g) In addition to the reductions in paragraphs (b), (c), and (d), the total payment 227.36for fee-for-service admissions occurring on or after July 1, 2010, made to hospitals for 228.1inpatient services before third-party liability and spenddown, is reduced 1.79 percent 228.2from the current statutory rates. Mental health services with diagnosis related groups 228.3424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph. 228.4Payments made to managed care plans shall be reduced for services provided on or after 228.5July 1, 2010, to reflect this reduction. 228.6 Sec. 7. Minnesota Statutes 2006, section 256B.0571, subdivision 8, is amended to read: 228.7 Subd. 8. Program established. (a) The commissioner, in cooperation with the 228.8commissioner of commerce, shall establish the Minnesota partnership for long-term care 228.9program to provide for the financing of long-term care through a combination of private 228.10insurance and medical assistance. 228.11 (b) An individual who meets the requirements in this paragraph is eligible to 228.12participate in the partnership program. The individual must: 228.13 (1) be a Minnesota resident at the time coverage first became effective under the 228.14partnership policy; and 228.15 (2) be a beneficiary of a partnership policy that (i) is issued on or after the effective 228.16date of the state plan amendment implementing the partnership program in Minnesota, or 228.17(ii) qualifies as a partnership policy under the provisions of subdivision 8a; and. 228.18 (3) have exhausted all of the benefits under the partnership policy as described in this 228.19section. Benefits received under a long-term care insurance policy before July 1, 2006, do 228.20not count toward the exhaustion of benefits required in this subdivision. 228.21 Sec. 8. Minnesota Statutes 2006, section 256B.0571, subdivision 9, is amended to read: 228.22 Subd. 9. Medical assistance eligibility. (a) Upon application for medical assistance 228.23program payment of long-term care services by an individual who meets the requirements 228.24described in subdivision 8, the commissioner shall determine the individual's eligibility 228.25for medical assistance according to paragraphs (b) to (i). 228.26 (b) After determining assets subject to the asset limit under section 256B.056, 228.27subdivision 3 or 3c, or 256B.057, subdivision 9 or 10, the commissioner shall allow the 228.28individual to designate assets to be protected from recovery under subdivisions 13 and 228.2915 up to the dollar amount of the benefits utilized under the partnership policy as of the 228.30effective date of eligibility for medical assistance program payment of long-term care 228.31services. Benefits utilized under a long-term care insurance policy before July 1, 2006, 228.32do not count for the purpose of determining the amount of assets that can be designated. 228.33Designated assets shall be disregarded for purposes of determining eligibility for payment 229.1of long-term care services. The dollar amount of benefits utilized must be equal to the 229.2amount of claims paid by the issuer under the policy as verified by the issuer. 229.3 (c) The individual shall identify the designated assets and the full fair market value 229.4of those assets and designate them as assets to be protected at the time of initial application 229.5for medical assistance payment of long-term care services. The full fair market value of 229.6real property or interests in real property shall be based on the most recent full assessed 229.7value for property tax purposes for the real property, unless the individual provides a 229.8complete professional appraisal by a licensed appraiser to establish the full fair market 229.9value. The extent of a life estate in real property shall be determined using the life estate 229.10table in the health care program's manual. Ownership of any asset in joint tenancy shall be 229.11treated as ownership as tenants in common for purposes of its designation as a disregarded 229.12asset. The unprotected value of any protected asset is subject to estate recovery according 229.13to subdivisions 13 and 15. 229.14 (d) The right to designate assets to be protected is personal to the individual and 229.15ends when the individual dies, except as otherwise provided in subdivisions 13 and 229.1615. It does not include the increase in the value of the protected asset and the income, 229.17dividends, or profits from the asset. It may be exercised by the individual or by anyone 229.18with the legal authority to do so on the individual's behalf. It shall not be sold, assigned, 229.19transferred, or given away. 229.20 (e) If the dollar amount of the benefits utilized under a partnership policy is greater 229.21than the full fair market value of all assets protected at the time of the application for 229.22medical assistance long-term care services, As the individual continues to utilize benefits 229.23under a partnership policy after eligibility for medical assistance payment of long-term 229.24care services begins, the individual may designate, for additional protection, an increase 229.25in the value of protected assets and additional assets that become available during the 229.26individual's lifetime for protection under this section up to the amount of additional 229.27benefits utilized. The individual must make the designation in writing to the county agency 229.28no later than the last date on which the individual must report a change in circumstances to 229.29the county agency, as provided for under the medical assistance program. Any excess used 229.30for this purpose shall not be available to the individual's estate to protect assets in the estate 229.31from recovery under section 256B.15 or 524.3-1202, or otherwise. The amount used for 229.32this purpose must reduce the unused amount of asset protection available to protect assets 229.33in the individual's estate from recovery under section 256B.15 or 524.3-1202, or otherwise. 229.34 (f) This section applies only to estate recovery under United States Code, title 42, 229.35section 1396p, subsections (a) and (b), and does not apply to recovery authorized by other 229.36provisions of federal law, including, but not limited to, recovery from trusts under United 230.1States Code, title 42, section 1396p, subsection (d)(4)(A) and (C), or to recovery from 230.2annuities, or similar legal instruments, subject to section 6012, subsections (a) and (b), of 230.3the Deficit Reduction Act of 2005, Public Law 109-171. 230.4 (g) An individual's protected assets owned by the individual's spouse who applies 230.5for payment of medical assistance long-term care services shall not be protected assets or 230.6disregarded for purposes of eligibility of the individual's spouse solely because they were 230.7protected assets of the individual. 230.8 (h) Assets designated under this subdivision shall not be subject to penalty under 230.9section 256B.0595. 230.10 (i) The commissioner shall otherwise determine the individual's eligibility 230.11for payment of long-term care services according to medical assistance eligibility 230.12requirements. 230.13 Sec. 9. Minnesota Statutes 2006, section 256B.0625, subdivision 13e, is amended to 230.14read: 230.15 Subd. 13e. Payment rates. (a) The basis for determining the amount of payment 230.16shall be the lower of the actual acquisition costs of the drugs plus a fixed dispensing fee; 230.17the maximum allowable cost set by the federal government or by the commissioner plus 230.18the fixed dispensing fee; or the usual and customary price charged to the public. The 230.19amount of payment basis must be reduced to reflect all discount amounts applied to the 230.20charge by any provider/insurer agreement or contract for submitted charges to medical 230.21assistance programs. The net submitted charge may not be greater than the patient liability 230.22for the service. The pharmacy dispensing fee shall be $3.65, except that the dispensing fee 230.23for intravenous solutions which must be compounded by the pharmacist shall be $8 per 230.24bag, $14 per bag for cancer chemotherapy products, and $30 per bag for total parenteral 230.25nutritional products dispensed in one liter quantities, or $44 per bag for total parenteral 230.26nutritional products dispensed in quantities greater than one liter. Actual acquisition 230.27cost includes quantity and other special discounts except time and cash discounts. 230.28Effective July 1, 2008, the actual acquisition cost of a drug shall be estimated by the 230.29commissioner, at average wholesale price minus 12 14 percent. The actual acquisition 230.30cost of antihemophilic factor drugs shall be estimated at the average wholesale price 230.31minus 30 percent. The maximum allowable cost of a multisource drug may be set by the 230.32commissioner and it shall be comparable to, but no higher than, the maximum amount 230.33paid by other third-party payors in this state who have maximum allowable cost programs. 230.34Establishment of the amount of payment for drugs shall not be subject to the requirements 230.35of the Administrative Procedure Act. 231.1 (b) An additional dispensing fee of $.30 may be added to the dispensing fee paid 231.2to pharmacists for legend drug prescriptions dispensed to residents of long-term care 231.3facilities when a unit dose blister card system, approved by the department, is used. Under 231.4this type of dispensing system, the pharmacist must dispense a 30-day supply of drug. 231.5The National Drug Code (NDC) from the drug container used to fill the blister card must 231.6be identified on the claim to the department. The unit dose blister card containing the 231.7drug must meet the packaging standards set forth in Minnesota Rules, part 6800.2700, 231.8that govern the return of unused drugs to the pharmacy for reuse. The pharmacy provider 231.9will be required to credit the department for the actual acquisition cost of all unused 231.10drugs that are eligible for reuse. Over-the-counter medications must be dispensed in the 231.11manufacturer's unopened package. The commissioner may permit the drug clozapine to be 231.12dispensed in a quantity that is less than a 30-day supply. 231.13 (c) Whenever a generically equivalent product is available, payment shall be on the 231.14basis of the actual acquisition cost of the generic drug, or on the maximum allowable cost 231.15established by the commissioner. 231.16 (d) The basis for determining the amount of payment for drugs administered in an 231.17outpatient setting shall be the lower of the usual and customary cost submitted by the 231.18provider or the amount established for Medicare by the United States Department of 231.19Health and Human Services pursuant to title XVIII, section 1847a of the federal Social 231.20Security Act. 231.21 (e) The commissioner may negotiate lower reimbursement rates for specialty 231.22pharmacy products than the rates specified in paragraph (a). The commissioner may 231.23require individuals enrolled in the health care programs administered by the department 231.24to obtain specialty pharmacy products from providers with whom the commissioner has 231.25negotiated lower reimbursement rates. Specialty pharmacy products are defined as those 231.26used by a small number of recipients or recipients with complex and chronic diseases 231.27that require expensive and challenging drug regimens. Examples of these conditions 231.28include, but are not limited to: multiple sclerosis, HIV/AIDS, transplantation, hepatitis 231.29C, growth hormone deficiency, Crohn's Disease, rheumatoid arthritis, and certain forms 231.30of cancer. Specialty pharmaceutical products include injectable and infusion therapies, 231.31biotechnology drugs, high-cost therapies, and therapies that require complex care. The 231.32commissioner shall consult with the formulary committee to develop a list of specialty 231.33pharmacy products subject to this paragraph. In consulting with the formulary committee 231.34in developing this list, the commissioner shall take into consideration the population 231.35served by specialty pharmacy products, the current delivery system and standard of care in 232.1the state, and access to care issues. The commissioner shall have the discretion to adjust 232.2the reimbursement rate to prevent access to care issues. 232.3EFFECTIVE DATE.This section is effective July 1, 2008. 232.4 Sec. 10. Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 1, 232.5is amended to read: 232.6 Subdivision 1. Co-payments. (a) Except as provided in subdivision 2, the medical 232.7assistance benefit plan shall include the following co-payments for all recipients, effective 232.8for services provided on or after October 1, 2003, and before January 1, 2009: 232.9 (1) $3 per nonpreventive visit. For purposes of this subdivision, a visit means an 232.10episode of service which is required because of a recipient's symptoms, diagnosis, or 232.11established illness, and which is delivered in an ambulatory setting by a physician or 232.12physician ancillary, chiropractor, podiatrist, nurse midwife, advanced practice nurse, 232.13audiologist, optician, or optometrist; 232.14 (2) $3 for eyeglasses; 232.15 (3) $6 for nonemergency visits to a hospital-based emergency room; and 232.16 (4) $3 per brand-name drug prescription and $1 per generic drug prescription, 232.17subject to a $12 per month maximum for prescription drug co-payments. No co-payments 232.18shall apply to antipsychotic drugs when used for the treatment of mental illness. 232.19 (b) Except as provided in subdivision 2, the medical assistance benefit plan shall 232.20include the following co-payments for all recipients, effective for services provided on 232.21or after January 1, 2009: 232.22 (1) $6 for nonemergency visits to a hospital-based emergency room; and 232.23 (2) $3 per brand-name drug prescription and $1 per generic drug prescription, 232.24subject to a $7 per month maximum for prescription drug co-payments. No co-payments 232.25shall apply to antipsychotic drugs when used for the treatment of mental illness.; and 232.26 (3) for individuals identified by the commissioner with income at or below 100 232.27percent of the federal poverty guidelines, total monthly co-payments must not exceed five 232.28percent of family income. For purposes of this paragraph, family income is the total 232.29earned and unearned income of the individual and the individual's spouse, if the spouse is 232.30enrolled in medical assistance and also subject to the five percent limit on co-payments. 232.31 (c) Recipients of medical assistance are responsible for all co-payments in this 232.32subdivision. 232.33 Sec. 11. Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 3, 232.34is amended to read: 233.1 Subd. 3. Collection. (a) The medical assistance reimbursement to the provider shall 233.2be reduced by the amount of the co-payment, except that reimbursement for prescription 233.3drugs reimbursements shall not be reduced: 233.4 (1) once a recipient has reached the $12 per month maximum or the $7 per month 233.5maximum effective January 1, 2009, for prescription drug co-payments; or 233.6 (2) for a recipient identified by the commissioner under 100 percent of the federal 233.7poverty guidelines who has met their monthly five percent co-payment limit. 233.8 (b) The provider collects the co-payment from the recipient. Providers may not deny 233.9services to recipients who are unable to pay the co-payment. 233.10 (c) Medical assistance reimbursement to fee-for-service providers and payments to 233.11managed care plans shall not be increased as a result of the removal of the co-payments 233.12effective January 1, 2009. 233.13 Sec. 12. [256B.194] FEDERAL PAYMENTS. 233.14 The commissioner may require medical assistance and MinnesotaCare providers to 233.15provide any information necessary to determine Medicaid-related costs, and require the 233.16cooperation of providers in any audit or review necessary to ensure payments are limited 233.17to cost. This section does not apply to providers who are exempt from the provisions of the 233.18CMS final rule, published May 29, 2007, at Federal Register, Vol. 72, No. 100, governing 233.19payments to providers that are units of government. This section becomes effective when 233.20the CMS final rule goes into effect at the end of the moratorium imposed by Congress. 233.21 Sec. 13. Minnesota Statutes 2006, section 256B.32, subdivision 1, is amended to read: 233.22 Subdivision 1. Facility fee for hospital emergency room and clinic visit. (a) The 233.23commissioner shall establish a facility fee payment mechanism that will pay a facility fee 233.24to all enrolled outpatient hospitals for each emergency room or outpatient clinic visit 233.25provided on or after July 1, 1989. This payment mechanism may not result in an overall 233.26increase in outpatient payment rates. This section does not apply to federally mandated 233.27maximum payment limits, department-approved program packages, or services billed 233.28using a nonoutpatient hospital provider number. 233.29 (b) For fee-for-service services provided on or after July 1, 2002, the total payment, 233.30before third-party liability and spenddown, made to hospitals for outpatient hospital 233.31facility services is reduced by .5 percent from the current statutory rates. 233.32 (c) In addition to the reduction in paragraph (b), the total payment for fee-for-service 233.33services provided on or after July 1, 2003, made to hospitals for outpatient hospital 233.34facility services before third-party liability and spenddown, is reduced five percent from 234.1the current statutory rates. Facilities defined under section 256.969, subdivision 16, are 234.2excluded from this paragraph. 234.3 (d) In addition to the reductions in paragraphs (b) and (c), the total payment for 234.4fee-for-service services provided on or after July 1, 2008, made to hospitals for outpatient 234.5hospital facility services before third-party liability and spenddown, is reduced three 234.6percent from the current statutory rates. Mental health services and facilities defined under 234.7section 256.969, subdivision 16, are excluded from this paragraph. 234.8 Sec. 14. Minnesota Statutes 2006, section 256B.69, subdivision 5a, is amended to read: 234.9 Subd. 5a. Managed care contracts. (a) Managed care contracts under this section 234.10and sections 256L.12 and 256D.03, shall be entered into or renewed on a calendar year 234.11basis beginning January 1, 1996. Managed care contracts which were in effect on June 234.1230, 1995, and set to renew on July 1, 1995, shall be renewed for the period July 1, 1995 234.13through December 31, 1995 at the same terms that were in effect on June 30, 1995. The 234.14commissioner may issue separate contracts with requirements specific to services to 234.15medical assistance recipients age 65 and older. 234.16 (b) A prepaid health plan providing covered health services for eligible persons 234.17pursuant to chapters 256B, 256D, and 256L, is responsible for complying with the terms 234.18of its contract with the commissioner. Requirements applicable to managed care programs 234.19under chapters 256B, 256D, and 256L, established after the effective date of a contract 234.20with the commissioner take effect when the contract is next issued or renewed. 234.21 (c) Effective for services rendered on or after January 1, 2003, the commissioner 234.22shall withhold five percent of managed care plan payments under this section for the 234.23prepaid medical assistance and general assistance medical care programs pending 234.24completion of performance targets. Each performance target must be quantifiable, 234.25objective, measurable, and reasonably attainable, except in the case of a performance 234.26target based on a federal or state law or rule. Criteria for assessment of each performance 234.27target must be outlined in writing prior to the contract effective date. The withheld funds 234.28must be returned no sooner than July of the following year if performance targets in the 234.29contract are achieved. The commissioner may exclude special demonstration projects 234.30under subdivision 23. A managed care plan or a county-based purchasing plan under 234.31section 256B.692 may include as admitted assets under section 62D.044 any amount 234.32withheld under this paragraph that is reasonably expected to be returned. 234.33 (d)(1) Effective for services rendered on or after January 1, 2009, the commissioner 234.34shall withhold three percent of managed care plan payments under this section for the 234.35prepaid medical assistance and general assistance medical care programs. The withheld 235.1funds must be returned no sooner than July 1 and no later than July 31 of the following 235.2year. The commissioner may exclude special demonstration projects under subdivision 23. 235.3 (2) A managed care plan or a county-based purchasing plan under section 256B.692 235.4may include as admitted assets under section 62D.044 any amount withheld under 235.5this paragraph. The return of the withhold under this paragraph is not subject to the 235.6requirements of paragraph (c). 235.7 Sec. 15. Minnesota Statutes 2006, section 256B.75, is amended to read: 235.8256B.75 HOSPITAL OUTPATIENT REIMBURSEMENT. 235.9 (a) For outpatient hospital facility fee payments for services rendered on or after 235.10October 1, 1992, the commissioner of human services shall pay the lower of (1) submitted 235.11charge, or (2) 32 percent above the rate in effect on June 30, 1992, except for those 235.12services for which there is a federal maximum allowable payment. Effective for services 235.13rendered on or after January 1, 2000, payment rates for nonsurgical outpatient hospital 235.14facility fees and emergency room facility fees shall be increased by eight percent over the 235.15rates in effect on December 31, 1999, except for those services for which there is a federal 235.16maximum allowable payment. Services for which there is a federal maximum allowable 235.17payment shall be paid at the lower of (1) submitted charge, or (2) the federal maximum 235.18allowable payment. Total aggregate payment for outpatient hospital facility fee services 235.19shall not exceed the Medicare upper limit. If it is determined that a provision of this 235.20section conflicts with existing or future requirements of the United States government with 235.21respect to federal financial participation in medical assistance, the federal requirements 235.22prevail. The commissioner may, in the aggregate, prospectively reduce payment rates to 235.23avoid reduced federal financial participation resulting from rates that are in excess of 235.24the Medicare upper limitations. 235.25 (b) Notwithstanding paragraph (a), payment for outpatient, emergency, and 235.26ambulatory surgery hospital facility fee services for critical access hospitals designated 235.27under section 144.1483, clause (10), shall be paid on a cost-based payment system that is 235.28based on the cost-finding methods and allowable costs of the Medicare program. 235.29 (c) Effective for services provided on or after July 1, 2003, rates that are based 235.30on the Medicare outpatient prospective payment system shall be replaced by a budget 235.31neutral prospective payment system that is derived using medical assistance data. The 235.32commissioner shall provide a proposal to the 2003 legislature to define and implement 235.33this provision. 236.1 (d) For fee-for-service services provided on or after July 1, 2002, the total payment, 236.2before third-party liability and spenddown, made to hospitals for outpatient hospital 236.3facility services is reduced by .5 percent from the current statutory rate. 236.4 (e) In addition to the reduction in paragraph (d), the total payment for fee-for-service 236.5services provided on or after July 1, 2003, made to hospitals for outpatient hospital 236.6facility services before third-party liability and spenddown, is reduced five percent from 236.7the current statutory rates. Facilities defined under section 256.969, subdivision 16, are 236.8excluded from this paragraph. 236.9 (f) In addition to the reductions in paragraphs (d) and (e), the total payment for 236.10fee-for-service services provided on or after July 1, 2008, made to hospitals for outpatient 236.11hospital facility services before third-party liability and spenddown, is reduced three 236.12percent from the current statutory rates. Mental health services and facilities defined under 236.13section 256.969, subdivision 16, are excluded from this paragraph. 236.14ARTICLE 18 236.15HEALTH AND HUMAN SERVICES APPROPRIATIONS 236.16 Section 1. SUMMARY OF APPROPRIATIONS.

236.17 The amounts shown in this section summarize direct appropriations by fund made 236.18in this article. 236.19 20082009Total 236.20 General$(46,789,000)$(124,196,000)$(170,985,000) 236.21 236.22 State Government Special Revenue114,000667,000781,000 236.23 Health Care Access-0-(770,000)(770,000) 236.24 Federal TANF29,919,00056,356,00086,275,000 236.25 Total$(16,756,000)$(67,943,000)$(84,699,000)

236.26 Sec. 2. APPROPRIATIONS.

236.27 The sums shown in the columns marked "Appropriations" are added to or, if shown 236.28in parentheses, subtracted from the appropriations in Laws 2007, chapter 147, or other 236.29law to the agencies and for the purposes specified in this article. The appropriations 236.30are from the general fund, or another named fund, and are available for the fiscal years 236.31indicated for each purpose. The figures "2008" and "2009" used in this article mean 236.32that the addition or subtraction from appropriations listed under them are available for 237.1the fiscal year ending June 30, 2008, or June 30, 2009, respectively. "The first year" is 237.2fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" is fiscal years 237.32008 and 2009. Supplemental appropriations and reductions for the fiscal year ending 237.4June 30, 2008, are effective the day following final enactment. 237.5 APPROPRIATIONS 237.6 Available for the Year 237.7 Ending June 30 237.8 20082009

237.9 Sec. 3. HUMAN SERVICES

237.10 Subdivision 1.Total Appropriation$(16,870,000)$(64,480,000)

237.11 Appropriations by Fund 237.12 20082009 237.13 General(46,789,000)(120,066,000) 237.14 Health Care Access-0-(770,000) 237.15 Federal TANF29,919,000 56,356,000

237.16The appropriation additions or reductions 237.17for each purpose are shown in the following 237.18subdivisions. 237.19Additional Working Family Credit 237.20Expenditures to be Claimed for 237.21TANF/MOE. In addition to the transfer 237.22under prior law, the commissioner may count 237.23the following amounts of working family 237.24credit expenditure as TANF/MOE: 237.25(1) $21,085,000 in fiscal year 2008; 237.26(2) $48,408,000 in fiscal year 2009; 237.27(3) ($468,000) in fiscal year 2010; and 237.28(4) ($19,000) in fiscal year 2011. 237.29Notwithstanding any contrary provision in 237.30this article, this rider expires June 30, 2011. 237.31 Subd. 2.Agency Management

238.1 Financial Operations-0-(5,867,000)

238.2Transfer from Special Revenue Fund. 238.3$1,098,000 of the amount transferred into the 238.4special revenue fund from nongrant operating 238.5balances of general fund appropriations 238.6carried forward under Laws 2007, chapter 238.7147, article 19, section 20, must be 238.8transferred to the general fund by June 30, 238.92009. 238.10Base Adjustment. The general fund base 238.11is increased $23,000 in fiscal year 2010 and 238.12$26,000 in fiscal year 2011. 238.13 238.14 Subd. 3.Revenue and Pass-Through Revenue Expenditures

238.15 Federal TANF-0- 950,000

238.16TANF Transfer to Federal Child Care 238.17and Development Fund. The following 238.18TANF fund amounts are appropriated to the 238.19commissioner for the purposes of MFIP and 238.20transition year child care under Minnesota 238.21Statutes, section 119B.05: 238.22(1) fiscal year 2009, $950,000; and 238.23(2) fiscal year 2010, $1,085,000. 238.24The commissioner shall authorize the 238.25transfer of sufficient TANF funds to the 238.26federal child care and development fund to 238.27meet this appropriation and shall ensure that 238.28all transferred funds are expended according 238.29to federal child care and development fund 238.30regulations. 238.31 238.32 Subd. 4.Children and Economic Assistance Grants

239.1 (a) MFIP/DWP Grants

239.2 Appropriations by Fund 239.3 General(29,919,000)(50,060,000) 239.4 Federal TANF29,919,000 47,946,000

239.5These appropriation adjustments replace the 239.6appropriation adjustments in Laws 2008, 239.7chapter 232. 239.8 (b) Support Services Grants; TANF-0- 7,100,000

239.9Supported Work. (1) Of the TANF 239.10appropriation, $7,100,000 in fiscal year 2009 239.11is for supported work for MFIP participants, 239.12to be allocated to counties and tribes based 239.13on the criteria under clauses (1) and (2) and is 239.14available until expended. This appropriation 239.15shall become part of base level funding to the 239.16commissioner for the biennium beginning 239.17July 1, 2009. Paid transitional work 239.18experience and other supported employment 239.19under this clause shall provide a continuum of 239.20employment assistance, including outreach 239.21and recruitment, program orientation 239.22and intake, testing and assessment, job 239.23development and marketing, preworksite 239.24training, supported worksite experience, job 239.25coaching, and postplacement follow-up, in 239.26addition to extensive case management and 239.27referral services. The base for this program 239.28shall be $7,100,000 in fiscal year 2010 and 239.29zero in fiscal year 2011. 239.30(2) A county or tribe is eligible to receive an 239.31allocation under clause (1) if: 240.1(i) the county or tribe is not meeting the 240.2federal work participation rate; 240.3(ii) the county or tribe has participants who 240.4are required to perform work activities under 240.5Minnesota Statutes, chapter 256J, but are not 240.6meeting hourly work requirements; and 240.7(iii) the county or tribe has assessed 240.8participants who have completed six weeks 240.9of job search or are required to perform 240.10work activities and are not meeting the 240.11hourly requirements, and the county or tribe 240.12has determined that the participant would 240.13benefit from working in a supported work 240.14environment. 240.15(3) A county or tribe may also be eligible for 240.16funds in order to contract for supplemental 240.17hours of paid work at the participant's child's 240.18place of education, child care location, or the 240.19child's physical or mental health treatment 240.20facility or office. Grants to counties and 240.21tribes under this clause are specifically for 240.22MFIP participants who need to work up 240.23to five hours more per week in order to 240.24meet the hourly work requirement, and the 240.25participant's employer cannot or will not 240.26offer more hours to the participant. 240.27 240.28 (c) Basic Sliding Fee Child Care Assistance Grants-0-(9,227,000)

240.29Child Care and Development Fund 240.30Unexpended Balance. In addition to 240.31the amount provided in this section, the 240.32commissioner shall expend $9,227,000 240.33in fiscal year 2009 from the federal child 240.34care and development fund unexpended 241.1balance for basic sliding fee child care under 241.2Minnesota Statutes, section 119B.03. The 241.3commissioner shall ensure that all child 241.4care and development funds are expended 241.5according to the federal child care and 241.6development fund regulations. 241.7Base Adjustment. The general fund base is 241.8increased by $9,444,000 in fiscal year 2010 241.9and $9,227,000 in fiscal year 2011. 241.10 (d) Child Care Development Grants-0-(360,000)

241.11Grants Reduction. Effective July 1, 2008, 241.12base level funding for nonforecast, general 241.13fund child care development grants issued 241.14under this paragraph shall be reduced by 1.8 241.15percent at the allotment level. 241.16Prekindergarten Exploratory Projects. 241.17Of this appropriation reduction, $250,000 241.18in fiscal year 2009 is from the general fund 241.19appropriation for prekindergarten exploratory 241.20projects in Laws 2007, chapter 147, article 241.2119, section 3, subdivision 4, paragraph (e). 241.22Base Adjustment. Of the general fund 241.23reduction, $328,000 is onetime. 241.24 (e) Children's Services Grants(311,000)(1,898,000)

241.25Base Adjustment. The general fund base is 241.26increased by $1,688,000 in each year of the 241.27fiscal year 2010 and 2011 biennium. 241.28Funding Usage. Up to 75 percent of the 241.29fiscal year 2010 appropriation for children's 241.30mental health screening grants may be used 241.31to fund calendar year 2009 allocations for 241.32these programs, with the resulting calendar 242.1year funding pattern continuing into the 242.2future. 242.3Grants Reduction. Effective July 1, 2008, 242.4base level funding for nonforecast, general 242.5fund children's services grants issued under 242.6this paragraph, excluding children's mental 242.7health grants, adoption assistance grants, and 242.8relative custody assistance grants, shall be 242.9reduced by 1.8 percent at the allotment level. 242.10 (f) Children and Community Services Grants-0-(1,345,000)

242.11Base Adjustment. The general fund base 242.12is decreased by $98,000 in each year of the 242.13fiscal year 2010 and 2011 biennium. 242.14Grants Reduction. Effective July 1, 2008, 242.15base level funding for nonforecast, general 242.16fund children and community services grants 242.17issued under this paragraph shall be reduced 242.18by 1.8 percent at the allotment level. 242.19 (g) Minnesota Supplemental Aid Grants-0-201,000 242.20 Group Residential Housing Grants-0-(133,000)

242.21 242.22 (h) Other Children's and Economic Assistance Grants

242.23 Appropriations by Fund 242.24 General-0- 352,000 242.25 Federal TANF-0-360,000

242.26Grants Reduction. Effective July 1, 2008, 242.27base level funding for nonforecast, general 242.28fund other children's and economic assistance 242.29grants issued under this paragraph shall be 242.30reduced by 1.8 percent at the allotment level. 243.1The base for grants impacted by this 243.2reduction shall increase by $4,000 in fiscal 243.3year 2010 and $14,000 in fiscal year 2011. 243.4Foodshelf Programs. Of the general fund 243.5appropriation, $500,000 in fiscal year 2009 243.6is for foodshelf programs under Minnesota 243.7Statutes, section 256E.34. This is a onetime 243.8appropriation and is available until expended. 243.9Long-Term Homeless Supportive Services. 243.10$145,000 from the general fund and $360,000 243.11from TANF in fiscal year 2009 is for the 243.12long-term homeless supportive services fund 243.13under Minnesota Statutes, section 256K.26. 243.14This is a onetime appropriation and is 243.15available until expended. 243.16 Subd. 5.Basic Health Care Grants

243.17 (a) MinnesotaCare Grants

243.18 Health Care Access-0-(770,000)

243.19Incentive Program and Outreach Grants. 243.20Of the appropriation for the Minnesota health 243.21care outreach program in Laws 2007, chapter 243.22147, article 19, section 3, subdivision 7, 243.23paragraph (b): 243.24(1) $400,000 in fiscal year 2009 from the 243.25general fund and $200,000 in fiscal year 2009 243.26from the health care access fund are for the 243.27incentive program under Minnesota Statutes, 243.28section 256.962, subdivision 5. For the 243.29biennium beginning July 1, 2009, base level 243.30funding for this activity shall be $360,000 243.31from the general fund and $160,000 from the 243.32health care access fund; and 244.1(2) $100,000 in fiscal year 2009 from the 244.2general fund and $50,000 in fiscal year 2009 244.3from the health care access fund are for the 244.4outreach grants under Minnesota Statutes, 244.5section 256.962, subdivision 2. For the 244.6biennium beginning July 1, 2009, base level 244.7funding for this activity shall be $90,000 244.8from the general fund and $40,000 from the 244.9health care access fund. 244.10 244.11 (b) MA Basic Health Care Grants - Families and Children-0-(17,280,000)

244.12Third-Party Liability. (a) During 244.13fiscal year 2009, the commissioner shall 244.14employ a contractor paid on a percentage 244.15basis to improve third-party collections. 244.16Improvement initiatives may include, but not 244.17be limited to, efforts to improve postpayment 244.18collection from nonresponsive claims and 244.19efforts to uncover third-party payers the 244.20commissioner has been unable to identify. 244.21(b) In fiscal year 2009, the first $1,098,000 244.22of recoveries, after contract payments and 244.23federal repayments, is appropriated to 244.24the commissioner for technology-related 244.25expenses. 244.26Administrative Costs. (a) For contracts 244.27effective on or after January 1, 2009, 244.28the commissioner shall limit aggregate 244.29administrative costs paid to managed care 244.30plans under Minnesota Statutes, section 244.31256B.69, and to county-based purchasing 244.32plans under Minnesota Statutes, section 244.33256B.692, to an overall average of 6.6 244.34percent of total contract payments under 245.1Minnesota Statutes, sections 256B.69 and 245.2256B.692, for each calendar year. For 245.3purposes of this paragraph, administrative 245.4costs do not include premium taxes paid 245.5under Minnesota Statutes, section 297I.05, 245.6subdivision 5, and provider surcharges paid 245.7under Minnesota Statutes, section 256.9657, 245.8subdivision 3. 245.9(b) Notwithstanding any law to the contrary, 245.10the commissioner may reduce or eliminate 245.11administrative requirements to meet the 245.12administrative target under paragraph (a). 245.13(c) Notwithstanding any contrary provision 245.14of this article, this rider shall not expire. 245.15Hospital Payment Delay. Notwithstanding 245.16Laws 2005, First Special Session chapter 4, 245.17article 9, section 2, subdivision 6, payments 245.18from the Medicaid Management Information 245.19System that would otherwise have been made 245.20for inpatient hospital services for medical 245.21assistance enrollees are delayed as follows: 245.22(1) for fiscal year 2008, June payments must 245.23be included in the first payments in fiscal 245.24year 2009; and (2) for fiscal year 2009, 245.25June payments must be included in the first 245.26payment of fiscal year 2010. The provisions 245.27of Minnesota Statutes, section 16A.124, 245.28do not apply to these delayed payments. 245.29Notwithstanding any contrary provision in 245.30this article, this paragraph expires on June 245.3130, 2010. 245.32 245.33 (c) MA Basic Health Care Grants - Elderly and Disabled(14,028,000)(9,368,000)

246.1Minnesota Disability Health Options Rate 246.2Setting Methodology. The commissioner 246.3shall develop and implement a methodology 246.4for risk adjusting payments for community 246.5alternatives for disabled individuals (CADI) 246.6and traumatic brain injury (TBI) home 246.7and community-based waiver services 246.8delivered under the Minnesota disability 246.9health options program (MnDHO) effective 246.10January 1, 2009. The commissioner shall 246.11take into account the weighting system used 246.12to determine county waiver allocations in 246.13developing the new payment methodology. 246.14Growth in the number of enrollees receiving 246.15CADI or TBI waiver payments through 246.16MnDHO is limited to an increase of 200 246.17enrollees in each calendar year from January 246.182009 through December 2011. If those limits 246.19are reached, additional members may be 246.20enrolled in MnDHO for basic care services 246.21only as defined under Minnesota Statutes, 246.22section 256B.69, subdivision 28, and the 246.23commissioner may establish a waiting list for 246.24future access of MnDHO members to those 246.25waiver services. 246.26MA Basic Elderly and Disabled 246.27Adjustments. For the fiscal year ending June 246.2830, 2009, the commissioner may adjust the 246.29rates for each service affected by rate changes 246.30under this section in such a manner across 246.31the fiscal year to achieve the necessary cost 246.32savings and minimize disruption to service 246.33providers, notwithstanding the requirements 246.34of Laws 2007, chapter 147, article 7, section 246.3571. 247.1 (d) General Assistance Medical Care Grants-0-(6,971,000)

247.2 (e) Other Health Care Grants-0-(17,000)

247.3MinnesotaCare Outreach Grants Special 247.4Revenue Account. The balance in the 247.5MinnesotaCare outreach grants special 247.6revenue account on July 1, 2009, estimated 247.7to be $900,000, must be transferred to the 247.8general fund. 247.9Grants Reduction. Effective July 1, 2008, 247.10base level funding for nonforecast, general 247.11fund health care grants issued under this 247.12paragraph shall be reduced by 1.8 percent at 247.13the allotment level. 247.14 Subd. 6.Continuing Care Grants

247.15 (a) Aging and Adult Services Grants-0-(337,000)

247.16Base Adjustment. The general fund base is 247.17increased by $71,000 in fiscal year 2010 and 247.18$70,000 in fiscal year 2011. 247.19Grants Reduction. Effective July 1, 2008, 247.20base level funding for nonforecast, general 247.21fund aging and adult services state grants 247.22issued under this paragraph shall be reduced 247.23by 1.8 percent at the allotment level. 247.24Aging and Adult Services Adjustments. 247.25For the fiscal year ending June 30, 2009, 247.26the commissioner may allocate each grant 247.27affected by rate changes under this section 247.28in such a manner across the fiscal year 247.29to achieve the necessary cost savings 247.30and minimize disruption to grantees. To 247.31implement this paragraph, the commissioner 247.32may waive the requirements of Laws 2007, 248.1chapter 147, article 7, section 71, including 248.2the employee compensation-related cost 248.3requirements. 248.4Living-At-Home/Block Nurse Program 248.5Funding. Notwithstanding the provisions 248.6of Minnesota Statutes, section 256B.0917, 248.7subdivision 8, for the fiscal year beginning 248.8July 1, 2008, the commissioner of human 248.9services shall transfer $240,000 from the 248.10community service grant program under 248.11Minnesota Statutes, section 256B.0917, 248.12subdivision 13, to the living-at-home/block 248.13nurse program under Minnesota Statutes, 248.14section 256B.0917, subdivision 8, to provide 248.15$20,000 each for 12 living-at-home/block 248.16nurse programs currently operating without 248.17base funding. This is onetime funding. 248.18 Alternative Care Grants-0-(198,000)

248.19This reduction is onetime. 248.20 (b) MA Long-Term Care Facilities Grants(2,306,000) 3,045,000

248.21Nursing Facility Rate Increase. (a) For 248.22the rate year beginning October 1, 2008, 248.23the commissioner shall make available 248.24to each nursing facility reimbursed under 248.25Minnesota Statutes, section 256B.434, 248.26operating payment rate adjustments equal to 248.271.00 percent of the operating payment rates 248.28determined by the blending in Minnesota 248.29Statutes, section 256B.441, subdivision 55, 248.30paragraph (a). 248.31(b) Seventy-five percent of the money 248.32resulting from the rate adjustment under 248.33paragraph (a) must be used for increases in 249.1compensation-related costs for employees 249.2directly employed by the nursing facility 249.3on or after the effective date of the rate 249.4adjustment, except: 249.5(1) the administrator; 249.6(2) persons employed in the central office of 249.7a corporation that has an ownership interest 249.8in the nursing facility or exercises control 249.9over the nursing facility; and 249.10(3) persons paid by the nursing facility under 249.11a management contract. 249.12(c) Two-thirds of the money available 249.13under paragraph (b) must be used for wage 249.14increases for all employees directly employed 249.15by the nursing facility on or after the effective 249.16date of the rate adjustment, except those 249.17listed in paragraph (b), clauses (1) to (3). 249.18The wage adjustment that employees receive 249.19under this paragraph must be paid as an 249.20equal hourly percentage wage increase for 249.21all eligible employees. All wage increases 249.22under this paragraph must be effective on 249.23the same date. Only costs associated with 249.24the portion of the equal hourly percentage 249.25wage increase that goes to all employees 249.26shall qualify under this paragraph. Costs 249.27associated with wage increases in excess of 249.28the amount of the equal hourly percentage 249.29wage increase provided to all employees shall 249.30be allowed only for meeting the requirements 249.31in paragraph (b). This paragraph shall not 249.32apply to employees covered by a collective 249.33bargaining agreement. 249.34(d) The commissioner shall allow as 249.35compensation-related costs all costs for: 250.1(1) wages and salaries; 250.2(2) FICA taxes, Medicare taxes, state and 250.3federal unemployment taxes, and workers' 250.4compensation; 250.5(3) the employer's share of health and 250.6dental insurance, life insurance, disability 250.7insurance, long-term care insurance, uniform 250.8allowance, and pensions; and 250.9(4) other benefits provided, subject to the 250.10approval of the commissioner. 250.11(e) The portion of the rate adjustment under 250.12paragraph (a) that is not subject to the 250.13requirements in paragraphs (b) and (c) shall 250.14be provided to nursing facilities effective 250.15October 1, 2008. 250.16(f) Nursing facilities may apply for the 250.17portion of the rate adjustment under 250.18paragraph (a) that is subject to the 250.19requirements in paragraphs (b) and (c). 250.20The application must be submitted to the 250.21commissioner within six months of the 250.22effective date of the rate adjustment, and 250.23the nursing facility must provide additional 250.24information required by the commissioner 250.25within nine months of the effective date 250.26of the rate adjustment. The commissioner 250.27must respond to all applications within 250.28three weeks of receipt. The commissioner 250.29may waive the deadlines in this paragraph 250.30under extraordinary circumstances, to be 250.31determined at the sole discretion of the 250.32commissioner. The application must contain: 251.1(1) an estimate of the amounts of money that 251.2must be used as specified in paragraphs (b) 251.3and (c); 251.4(2) a detailed distribution plan specifying the 251.5allowable compensation-related and wage 251.6increases the nursing facility will implement 251.7to use the funds available in clause (1); 251.8(3) a description of how the nursing facility 251.9will notify eligible employees of the contents 251.10of the approved application, which must 251.11provide for giving each eligible employee a 251.12copy of the approved application, excluding 251.13the information required in clause (1), or 251.14posting a copy of the approved application, 251.15excluding the information required in clause 251.16(1), for a period of at least six weeks in 251.17an area of the nursing facility to which all 251.18eligible employees have access; and 251.19(4) instructions for employees who 251.20believe they have not received the 251.21compensation-related or wage increases 251.22specified in clause (2), as approved by the 251.23commissioner, and which must include a 251.24mailing address, e-mail address, and the 251.25telephone number that may be used by the 251.26employee to contact the commissioner or the 251.27commissioner's representative. 251.28(g) The commissioner shall ensure that 251.29cost increases in distribution plans under 251.30paragraph (f), clause (2), that may be 251.31included in approved applications, comply 251.32with the following requirements: 251.33(1) costs to be incurred during the applicable 251.34rate year resulting from wage and salary 251.35increases effective after October 1, 2007, and 252.1prior to the first day of the nursing facility's 252.2payroll period that includes October 1, 2008, 252.3shall be allowed if they were not used in the 252.4prior year's application; 252.5(2) a portion of the costs resulting from 252.6tenure-related wage or salary increases 252.7may be considered to be allowable wage 252.8increases, according to formulas that the 252.9commissioner shall provide, where employee 252.10retention is above the average statewide rate 252.11of retention of direct care employees; 252.12(3) the annualized amount of increases in 252.13costs for the employer's share of health and 252.14dental insurance, life insurance, disability 252.15insurance, and workers' compensation shall 252.16be allowable compensation-related increases 252.17if they are effective on or after April 1, 2008, 252.18and prior to April 1, 2009; and 252.19(4) for nursing facilities in which employees 252.20are represented by an exclusive bargaining 252.21representative, the commissioner shall 252.22approve the application only upon receipt of 252.23a letter of acceptance of the distribution plan, 252.24in regard to members of the bargaining unit, 252.25signed by the exclusive bargaining agent and 252.26dated after May 25, 2008. Upon receipt of 252.27the letter of acceptance, the commissioner 252.28shall deem all requirements of this rider as 252.29having been met in regard to the members 252.30of the bargaining unit. 252.31(h) The commissioner shall review 252.32applications received under paragraph (f) 252.33and shall provide the portion of the rate 252.34adjustment under paragraphs (b) and (c) 252.35if the requirements of this rider have been 253.1met. The rate adjustment shall be effective 253.2October 1, 2008. Notwithstanding paragraph 253.3(a), if the approved application distributes 253.4less money than is available, the amount of 253.5the rate adjustment shall be reduced so that 253.6the amount of money made available is equal 253.7to the amount to be distributed. 253.8(i) Of the general fund appropriation, 253.9$2,877,000 in fiscal year 2009 is for the 253.10purposes of paragraphs (a) to (h). 253.11(j) Notwithstanding any contrary provision 253.12of this article, this rider shall not expire. 253.13Nursing Facility Temporary Rate 253.14Adjustment. (a) Of the general fund 253.15appropriation, $2,877,000 for fiscal year 253.162009 is to make available to nursing 253.17facilities reimbursed under Minnesota 253.18Statutes, section 256B.434, for the rate year 253.19beginning October 1, 2008, a temporary 253.20rate adjustment equal to 1.0 percent of the 253.21operating payment rates determined by the 253.22blending in Minnesota Statutes, section 253.23256B.441, subdivision 55, paragraph (a). 253.24This rate adjustment shall be removed from 253.25the facility's operating payment rate for the 253.26rate year beginning October 1, 2009. 253.27(b) Seventy-five percent of the money 253.28resulting from the rate adjustment under 253.29paragraph (a) must be used to provide 253.30quarterly bonus payments, and to pay 253.31for associated employer costs and other 253.32benefits as specified in Minnesota Statutes, 253.33section 256B.434, subdivision 19, paragraph 253.34(d), clauses (2) to (4), for all employees 253.35directly employed by the nursing facility on 254.1December 31, 2008; March 31, 2009; June 254.230, 2009; and September 30, 2009, except: 254.3(1) the administrator; 254.4(2) persons employed in the central office of 254.5a corporation that has an ownership interest 254.6in the nursing facility or exercises control 254.7over the nursing facility; and 254.8(3) persons paid by the nursing facility under 254.9a management contract. 254.10(c) Two-thirds of the money available under 254.11paragraph (b) must be used for an equal 254.12hourly percentage wage bonus for all eligible 254.13employees. 254.14(d) Nursing facilities may apply for the 254.15portion of the rate adjustment subject to 254.16paragraphs (b) and (c), and the commissioner 254.17shall review and act on applications, 254.18according to the procedures specified in 254.19Minnesota Statutes, section 256B.434, 254.20subdivision 19. The portion of the rate 254.21adjustment under paragraph (a) that is not 254.22subject to the requirements in paragraphs (b) 254.23and (c) shall be provided to nursing facilities 254.24effective October 1, 2008. 254.25(e) Notwithstanding any contrary provision 254.26in this article, this rider expires December 254.2731, 2009. 254.28 254.29 (c) MA Long-Term Care Waivers and Home Care Grants-0-(10,643,000)

254.30Manage Growth in TBI and CADI Waiver. 254.31During the fiscal years beginning on July 254.321, 2008, July 1, 2009, and July 1, 2010, 254.33the commissioner shall allocate money 255.1for home and community-based programs 255.2covered under Minnesota Statutes, section 255.3256B.49, to ensure a reduction in state 255.4spending that is equivalent to limiting the 255.5caseload growth of the traumatic brain injury 255.6(TBI) waiver to 200 allocations in each 255.7year of the biennium and the community 255.8alternatives for disabled individuals (CADI) 255.9waiver to 1,500 allocations each year of the 255.10biennium. Priorities for the allocation of 255.11funds must be for individuals anticipated to 255.12be discharged from institutional settings or 255.13who are at imminent risk of a placement in 255.14an institutional setting. Notwithstanding any 255.15contrary section in this article, this provision 255.16expires June 30, 2011. 255.17 (d) Mental Health Grants-0-(4,823,000)

255.18Base Adjustment. This reduction is 255.19onetime. 255.20Funding Usage. Up to 75 percent of the 255.21fiscal year 2010 appropriation for adult 255.22mental health grants may be used to fund 255.23calendar year 2009 allocations for these 255.24programs, with the resulting calendar year 255.25funding pattern continuing into the future. 255.26 (e) Chemical Dependency Entitlement Grants-0-(2,069,000)

255.27Payments for Substance Abuse Treatment. 255.28For services provided in fiscal year 2009, 255.29county-negotiated rates and provider claims 255.30to the consolidated chemical dependency 255.31fund must not exceed rates charged for 255.32services in excess of those in effect on 255.33May 31, 2008. If statutes authorize a 255.34cost-of-living adjustment during fiscal year 256.12009, then notwithstanding any law to the 256.2contrary, fiscal year 2009 rates may not 256.3exceed those in effect on May 31, 2008, plus 256.4any authorized cost-of-living adjustments. 256.5Chemical Dependency Treatment Fund 256.6Special Revenue Account. The lesser of 256.7the balance of the consolidated chemical 256.8dependency treatment fund at the close of 256.9the fiscal year 2008, or $2,784,000 must be 256.10transferred and deposited into the general 256.11fund by September 1, 2008. The lesser of 256.12the balance of the consolidated chemical 256.13dependency treatment fund at the close of 256.14the fiscal year 2009, or $2,009,000 must be 256.15transferred and deposited into the general 256.16fund by September 1, 2009. 256.17 256.18 (f) Chemical Dependency Nonentitlement Grants-0- 1,967,000

256.19Base Level Adjustment. The general 256.20fund base for chemical dependency 256.21nonentitlement treatment grants must be 256.22reduced by $1,686,000 for fiscal year 2010 256.23and by $1,686,000 for fiscal year 2011. 256.24White Earth treatment facility. $2,000,000 256.25is appropriated from the general fund to 256.26the commissioner of human services for a 256.27grant to the White Earth tribe to purchase 256.28or develop one or more culturally specific 256.29treatment programs or capital facilities, or 256.30both, designed to serve youth from native 256.31cultures. This appropriation is onetime and 256.32is available until spent. 256.33Grants Reduction. Effective July 1, 2008, 256.34base level funding for nonforecast, general 257.1fund chemical dependency nonentitlement 257.2grants issued under this paragraph shall be 257.3reduced by 1.8 percent at the allotment level. 257.4 (g) Other Continuing Care Grants-0-(4,729,000)

257.5Base Level Adjustment. The general fund 257.6base is increased by $7,283,000 in fiscal year 257.72010 and $4,921,000 in fiscal year 2011. 257.8Housing Access Grants. Of the general 257.9fund appropriation, $250,000 is appropriated 257.10in fiscal year 2009 for housing access 257.11grants under Minnesota Statutes, section 257.12256B.0658. 257.13Funding Usage. Up to 75 percent of 257.14the fiscal year 2010 appropriation for 257.15semi-independent living services grants and 257.16family support grants may be used to fund 257.17calendar year 2009 allocations for these 257.18programs, with the resulting calendar year 257.19funding pattern continuing into the future. 257.20Grants Reduction. Effective July 1, 2008, 257.21base level funding for nonforecast, general 257.22fund other continuing care grants issued 257.23under this paragraph, except for HIV grants, 257.24shall be reduced by 1.8 percent at the 257.25allotment level. HIV grants shall be reduced 257.26by 1.7 percent at the allotment level effective 257.27July 1, 2009. 257.28Other Continuing Care Grant 257.29Adjustments. For the fiscal year ending June 257.3030, 2009, the commissioner may allocate 257.31each grant affected by rate changes under 257.32this section in such a manner across the fiscal 257.33year to achieve the necessary cost savings 257.34and minimize disruption to grantees. To 258.1implement this paragraph, the commissioner 258.2may waive the requirements of Laws 2007, 258.3chapter 147, article 7, section 71, including 258.4the employee compensation-related cost 258.5requirements. 258.6 Subd. 7.State-Operated Services

258.7County Past Due Receivables. The 258.8commissioner is authorized to withhold 258.9county federal administrative reimbursement 258.10when the county of financial responsibility 258.11for cost-of-care payments due to the state 258.12under Minnesota Statutes, section 246.54 258.13or 253B.045, is 90 days past due. The 258.14commissioner shall deposit the withheld 258.15federal administrative earnings for the county 258.16into the general fund to settle the claims with 258.17the county of financial responsibility. The 258.18process for withholding funds is governed by 258.19Minnesota Statutes, section 256.017. 258.20Internet-Based Resource. Notwithstanding 258.21Laws 2005, First Special Session chapter 4, 258.22article 9, section 2, subdivision 10, base level 258.23funding for the fiscal year beginning July 1, 258.242008, is zero for the evidence-based practice 258.25for the treatment of methamphetamine 258.26abuse at the state-operated services chemical 258.27dependency program at Willmar. The 258.28Internet-based resource developed as part 258.29of the evidence-based practice must be 258.30maintained by the commissioner. 258.31Community Behavioral Health Hospitals. 258.32Under Minnesota Statutes, section 246.51, 258.33subdivision 1, a determination order for 258.34clients in the community behavioral hospital 258.35operated by the commissioner is only 259.1required when a client's third-party mental 259.2health coverage has been exhausted. 259.3 (a) Mental Health Services(225,000)(300,000)

259.4 (b) Minnesota Sex Offender Services-0--0-

259.5Sex Offender Program. Base level funding 259.6for the Minnesota sex offender program 259.7under Minnesota Statutes, chapter 246B, 259.8is reduced by $2,329,000 for fiscal years 259.9beginning on or after July 1, 2009. This 259.10reduction does not apply to the portion of the 259.11per diem related to professional treatment 259.12service costs. 259.13 Sec. 4. COMMISSIONER OF HEALTH

259.14 Subdivision 1.Total Appropriation$-0-$(3,663,000)

259.15 Appropriations by Fund 259.16 20082009 259.17 General-0-(4,130,000) 259.18 259.19 State Government Special Revenue-0-467,000

259.20The appropriation additions or reductions 259.21for each purpose are shown in the following 259.22subdivisions. 259.23 259.24 Subd. 2.Community and Family Health Promotion-0-(843,000)

259.25Minnesota ENABL Program. 259.26Notwithstanding Laws 2007, chapter 259.27147, article 19, section 4, subdivision 2, base 259.28level funding for the Minnesota ENABL 259.29program under Minnesota Statutes, section 260.1145.9255, for the fiscal year beginning July 260.21, 2008, is zero. 260.3Grants Reduction. Effective July 1, 260.42008, base level funding for general fund 260.5community and family health grants issued 260.6under this paragraph shall be reduced by 1.8 260.7percent at the allotment level. 260.8 Subd. 3.Policy, Quality, and Compliance

260.9 Appropriations by Fund 260.10 General-0-(2,070,000) 260.11 260.12 State Government Special Revenue-0-32,000

260.13Grants Reduction. Effective July 1, 2008, 260.14base level funding for general fund policy, 260.15quality, and compliance grants issued under 260.16this paragraph, excluding medical education 260.17and research costs transition funding grants 260.18to the Mayo Clinic, shall be reduced by 1.8 260.19percent at the allotment level. 260.20Interpreter Services Quality Initiative. Of 260.21the state government special revenue fund 260.22appropriation, $32,000 in fiscal year 2009 is 260.23for the interpreter services quality initiative 260.24under Minnesota Statutes, section 144.058. 260.25MERC Federal Compliance. 260.26Notwithstanding Laws 2007, chapter 260.27147, article 19, section 4, subdivision 3, the 260.28general fund appropriation in fiscal year 260.292009 for the commissioner to distribute to 260.30the Mayo Clinic for the purpose of providing 260.31transition funding while federal compliance 260.32changes are made to the medical education 260.33and research cost funding distribution 261.1formula in Minnesota Statutes, section 261.262J.692, shall be $4,250,000. Base level 261.3funding for this activity for fiscal years 2010 261.4and 2011 shall be $1,000,000 each year. This 261.5funding shall not become part of the base 261.6in 2012 and 2013. Notwithstanding any 261.7contrary provision of this article, this rider 261.8expires on June 30, 2012. 261.9Base Adjustment. The state government 261.10special revenue base is decreased by $11,000 261.11in both fiscal years 2010 and 2011. 261.12 Subd. 4.Health Protection

261.13 Appropriations by Fund 261.14 General-0-(40,000) 261.15 261.16 State Government Special Revenue-0-435,000

261.17Grants Reduction. Effective July 1, 2008, 261.18base level funding for general fund health 261.19protection grants issued under this paragraph 261.20shall be reduced by 1.8 percent at the 261.21allotment level. 261.22Inspection Delegation. $435,000 from the 261.23state government special revenue fund in 261.24fiscal year 2009 is for the St. Louis County 261.25inspection delegation. The base funding for 261.26this appropriation shall increase by $89,000 261.27in each of fiscal years 2010 and 2011. 261.28 Subd. 5.Minority and Multicultural Health-0-(77,000)

261.29Grants Reduction. Effective July 1, 2008, 261.30base level funding for general fund minority 261.31and multicultural health grants issued under 261.32this paragraph shall be reduced by 1.8 261.33percent at the allotment level. 262.1 Subd. 6.Administrative Support Services0(1,100,000)

262.2Base Adjustment. The general fund base is 262.3increased $46,000 in fiscal years 2010 and 262.42011. 262.5 Sec. 5. HEALTH RELATED BOARDS

262.6 Subdivision 1.Total Appropriation $114,000$200,000

262.7 Appropriations by Fund 262.8 20082009 262.9 General-0--0- 262.10 262.11 State Government Special Revenue114,000200,000

262.12Transfer from Special Revenue Fund. 262.13During the fiscal year beginning July 1, 2008, 262.14the commissioner of finance shall transfer 262.15$3,219,000 from the state government 262.16special revenue fund to the general fund. 262.17 262.18 Subd. 2.Board of Nursing Home Administrators

262.19 State Government Special Revenue100,000200,000

262.20Administrative Services Unit. The amounts 262.21appropriated are for the administrative 262.22services unit to pay for costs of contested 262.23case hearings and other unanticipated 262.24costs of legal proceedings involving 262.25health-related boards funded under Laws 262.262007, chapter 147, article 19, section 6. Upon 262.27certification of a health-related board to the 262.28administrative services unit that the costs 262.29will be incurred and that there is insufficient 263.1money available to pay for the costs out of 263.2money currently available to that board, the 263.3administrative services unit is authorized 263.4to transfer money from this appropriation 263.5to the board for payment of those costs 263.6with the approval of the commissioner of 263.7finance. This appropriation does not cancel. 263.8Any unencumbered and unspent balances 263.9remain available for these expenditures in 263.10subsequent fiscal years. 263.11 263.12 Subd. 3.Board of Marriage and Family Therapy

263.13 State Government Special Revenue14,000-0-

263.14 263.15 Sec. 6. EMERGENCY MEDICAL SERVICES BOARD

263.16Longevity Award and Incentive Program. 263.17For the fiscal year beginning July 1, 2008, 263.18$6,200,000 must be transferred from the 263.19ambulance service personnel longevity 263.20award and incentive trust to the general fund. 263.21 Sec. 7. Laws 2007, chapter 147, article 19, section 3, subdivision 4, is amended to read: 263.22 263.23 Subd. 4. Children and Economic Assistance Grants

263.24The amounts that may be spent from this 263.25appropriation for each purpose are as follows: 263.26 (a) MFIP/DWP Grants

263.27 Appropriations by Fund 263.28 General 62,069,000 62,405,000 263.29 Federal TANF 75,904,000 80,841,000

264.1 (b) Support Services Grants

264.2 Appropriations by Fund 264.3 General 8,715,000 8,715,000 264.4 Federal TANF 113,429,000 115,902,000

264.5TANF Prior Appropriation Cancellation. 264.6Notwithstanding Laws 2001, First Special 264.7Session chapter 9, article 17, section 264.82, subdivision 11, paragraph (b), any 264.9unexpended TANF funds appropriated to the 264.10commissioner to contract with the Board of 264.11Trustees of Minnesota State Colleges and 264.12Universities, to provide tuition waivers to 264.13employees of health care and human service 264.14providers that are members of qualifying 264.15consortia operating under Minnesota 264.16Statutes, sections 116L.10 to 116L.15, must 264.17cancel at the end of fiscal year 2007. 264.18MFIP Pilot Program. Of the TANF 264.19appropriation, $100,000 in fiscal year 2008 264.20and $750,000 in fiscal year 2009 are for a 264.21grant to the Stearns-Benton Employment and 264.22Training Council for the Workforce U pilot 264.23program. Base level funding for this program 264.24shall be $750,000 in 2010 and $0 in 2011. 264.25Supported Work. (1) Of the TANF 264.26appropriation, $5,468,000 in fiscal year 2008 264.27and $7,291,000 in fiscal year 2009 are is for 264.28supported work for MFIP participants, to 264.29be allocated to counties and tribes based on 264.30the criteria under clauses (2) and (3), and is 264.31available until expended. Paid transitional 264.32work experience and other supported 264.33employment under this rider provides 265.1a continuum of employment assistance, 265.2including outreach and recruitment, 265.3program orientation and intake, testing and 265.4assessment, job development and marketing, 265.5preworksite training, supported worksite 265.6experience, job coaching, and postplacement 265.7follow-up, in addition to extensive case 265.8management and referral services. * (The 265.9preceding text "and $7,291,000 in fiscal 265.10year 2009" was indicated as vetoed by the 265.11governor.) 265.12(2) A county or tribe is eligible to receive an 265.13allocation under this rider if: 265.14(i) the county or tribe is not meeting the 265.15federal work participation rate; 265.16(ii) the county or tribe has participants who 265.17are required to perform work activities under 265.18Minnesota Statutes, chapter 256J, but are not 265.19meeting hourly work requirements; and 265.20(iii) the county or tribe has assessed 265.21participants who have completed six weeks 265.22of job search or are required to perform 265.23work activities and are not meeting the 265.24hourly requirements, and the county or tribe 265.25has determined that the participant would 265.26benefit from working in a supported work 265.27environment. 265.28(3) A county or tribe may also be eligible for 265.29funds in order to contract for supplemental 265.30hours of paid work at the participant's child's 265.31place of education, child care location, or the 265.32child's physical or mental health treatment 265.33facility or office. This grant to counties and 265.34tribes is specifically for MFIP participants 265.35who need to work up to five hours more 266.1per week in order to meet the hourly work 266.2requirement, and the participant's employer 266.3cannot or will not offer more hours to the 266.4participant. 266.5Work Study. Of the TANF appropriation, 266.6$750,000 each year are to the commissioner 266.7to contract with the Minnesota Office of 266.8Higher Education for the biennium beginning 266.9July 1, 2007, for work study grants under 266.10Minnesota Statutes, section 136A.233, 266.11specifically for low-income individuals who 266.12receive assistance under Minnesota Statutes, 266.13chapter 256J, and for grants to opportunities 266.14industrialization centers. * (The preceding 266.15text beginning "Work Study. Of the TANF 266.16appropriation," was indicated as vetoed 266.17by the governor.) 266.18Integrated Service Projects. $2,500,000 266.19in fiscal year 2008 and $2,500,000 in fiscal 266.20year 2009 are appropriated from the TANF 266.21fund to the commissioner to continue to 266.22fund the existing integrated services projects 266.23for MFIP families, and if funding allows, 266.24additional similar projects. 266.25Base Adjustment. The TANF base for fiscal 266.26year 2010 is $115,902,000 and for fiscal year 266.272011 is $115,152,000. 266.28 (c) MFIP Child Care Assistance Grants

266.29 General 74,654,000 71,951,000

266.30 266.31 (d) Basic Sliding Fee Child Care Assistance Grants

266.32 General 42,995,000 45,008,000

267.1Base Adjustment. The general fund base 267.2is $44,881,000 for fiscal year 2010 and 267.3$44,852,000 for fiscal year 2011. 267.4At-Home Infant Care Program. No 267.5funding shall be allocated to or spent on 267.6the at-home infant care program under 267.7Minnesota Statutes, section 119B.035. 267.8 (e) Child Care Development Grants

267.9 General 4,390,000 6,390,000

267.10Prekindergarten Exploratory Projects. Of 267.11the general fund appropriation, $2,000,000 267.12the first year and $4,000,000 the second 267.13year are for grants to the city of St. Paul, 267.14Hennepin County, and Blue Earth County to 267.15establish scholarship demonstration projects 267.16to be conducted in partnership with the 267.17Minnesota Early Learning Foundation to 267.18promote children's school readiness. This 267.19appropriation is available until June 30, 2009. 267.20Child Care Services Grants. Of this 267.21appropriation, $500,000 each year are for 267.22the purpose of providing child care services 267.23grants under Minnesota Statutes, section 267.24119B.21, subdivision 5 . This appropriation 267.25is for the 2008-2009 biennium only, and does 267.26not increase the base funding. 267.27Early Childhood Professional 267.28Development System. Of this appropriation, 267.29$500,000 each year are for purposes of the 267.30early childhood professional development 267.31system, which increases the quality and 267.32continuum of professional development 267.33opportunities for child care practitioners. 268.1This appropriation is for the 2008-2009 268.2biennium only, and does not increase the 268.3base funding. 268.4Base Adjustment. The general fund base 268.5is $1,515,000 for each of fiscal years 2010 268.6and 2011. 268.7 (f) Child Support Enforcement Grants

268.8 General 11,038,000 3,705,000

268.9Child Support Enforcement. $7,333,000 268.10for fiscal year 2008 is to make grants to 268.11counties for child support enforcement 268.12programs to make up for the loss under the 268.132005 federal Deficit Reduction Act of federal 268.14matching funds for federal incentive funds 268.15passed on to the counties by the state. 268.16This appropriation is available until June 30, 268.172009. 268.18 (g) Children's Services Grants

268.19 Appropriations by Fund 268.20 General 63,647,000 71,147,000 268.21 Health Care Access 250,000 -0- 268.22 TANF 240,000 340,000

268.23Grants for Programs Serving Young 268.24Parents. Of the TANF fund appropriation, 268.25$140,000 each year is for a grant to a program 268.26or programs that provide comprehensive 268.27services through a private, nonprofit agency 268.28to young parents in Hennepin County who 268.29have dropped out of school and are receiving 268.30public assistance. The program administrator 268.31shall report annually to the commissioner on 269.1skills development, education, job training, 269.2and job placement outcomes for program 269.3participants. 269.4County Allocations for Rate Increases. 269.5County Children and Community Services 269.6Act allocations shall be increased by 269.7$197,000 effective October 1, 2007, and 269.8$696,000 effective October 1, 2008, to help 269.9counties pay for the rate adjustments to 269.10day training and habilitation providers for 269.11participants paid by county social service 269.12funds. Notwithstanding the provisions of 269.13Minnesota Statutes, section 256M.40, the 269.14allocation to a county shall be based on 269.15the county's proportion of social services 269.16spending for day training and habilitation 269.17services as determined in the most recent 269.18social services expenditure and grant 269.19reconciliation report. 269.20Privatized Adoption Grants. Federal 269.21reimbursement for privatized adoption grant 269.22and foster care recruitment grant expenditures 269.23is appropriated to the commissioner for 269.24adoption grants and foster care and adoption 269.25administrative purposes. 269.26Adoption Assistance Incentive Grants. 269.27Federal funds available during fiscal year 269.282008 and fiscal year 2009 for the adoption 269.29incentive grants are appropriated to the 269.30commissioner for these purposes. 269.31Adoption Assistance and Relative Custody 269.32Assistance. The commissioner may transfer 269.33unencumbered appropriation balances for 269.34adoption assistance and relative custody 270.1assistance between fiscal years and between 270.2programs. 270.3Children's Mental Health Grants. Of the 270.4general fund appropriation, $5,913,000 in 270.5fiscal year 2008 and $6,825,000 in fiscal year 270.62009 are for children's mental health grants. 270.7The purpose of these grants is to increase and 270.8maintain the state's children's mental health 270.9service capacity, especially for school-based 270.10mental health services. The commissioner 270.11shall require grantees to utilize all available 270.12third party reimbursement sources as a 270.13condition of using state grant funds. At 270.14least 15 percent of these funds shall be 270.15used to encourage efficiencies through early 270.16intervention services. At least another 15 270.17percent shall be used to provide respite care 270.18services for children with severe emotional 270.19disturbance at risk of out-of-home placement. 270.20Mental Health Crisis Services. Of the 270.21general fund appropriation, $2,528,000 in 270.22fiscal year 2008 and $2,850,000 in fiscal year 270.232009 are for statewide funding of children's 270.24mental health crisis services. Providers must 270.25utilize all available funding streams. 270.26Children's Mental Health Evidence-Based 270.27and Best Practices. Of the general fund 270.28appropriation, $375,000 in fiscal year 2008 270.29and $750,000 in fiscal year 2009 are for 270.30children's mental health evidence-based and 270.31best practices including, but not limited 270.32to: Adolescent Integrated Dual Diagnosis 270.33Treatment services; school-based mental 270.34health services; co-location of mental 270.35health and physical health care, and; the 271.1use of technological resources to better 271.2inform diagnosis and development of 271.3treatment plan development by mental 271.4health professionals. The commissioner 271.5shall require grantees to utilize all available 271.6third-party reimbursement sources as a 271.7condition of using state grant funds. 271.8Culturally Specific Mental Health 271.9Treatment Grants. Of the general fund 271.10appropriation, $75,000 in fiscal year 2008 271.11and $300,000 in fiscal year 2009 are for 271.12children's mental health grants to support 271.13increased availability of mental health 271.14services for persons from cultural and 271.15ethnic minorities within the state. The 271.16commissioner shall use at least 20 percent 271.17of these funds to help members of cultural 271.18and ethnic minority communities to become 271.19qualified mental health professionals and 271.20practitioners. The commissioner shall assist 271.21grantees to meet third-party credentialing 271.22requirements and require them to utilize all 271.23available third-party reimbursement sources 271.24as a condition of using state grant funds. 271.25Mental Health Services for Children with 271.26Special Treatment Needs. Of the general 271.27fund appropriation, $50,000 in fiscal year 271.282008 and $200,000 in fiscal year 2009 are 271.29for children's mental health grants to support 271.30increased availability of mental health 271.31services for children with special treatment 271.32needs. These shall include, but not be limited 271.33to: victims of trauma, including children 271.34subjected to abuse or neglect, veterans and 271.35their families, and refugee populations; 271.36persons with complex treatment needs, such 272.1as eating disorders; and those with low 272.2incidence disorders. 272.3MFIP and Children's Mental Health 272.4Pilot Project. Of the TANF appropriation, 272.5$100,000 in fiscal year 2008 and $200,000 272.6in fiscal year 2009 are to fund the MFIP 272.7and children's mental health pilot project. 272.8Of these amounts, up to $100,000 may be 272.9expended on evaluation of this pilot. 272.10Prenatal Alcohol or Drug Use. Of the 272.11general fund appropriation, $75,000 each 272.12year is to award grants beginning July 1, 272.132007, to programs that provide services 272.14under Minnesota Statutes, section 254A.171, 272.15in Pine, Kanabec, and Carlton Counties. This 272.16appropriation shall become part of the base 272.17appropriation. 272.18Base Adjustment. The general fund base 272.19is $62,572,000 in fiscal year 2010 and 272.20$62,575,000 in fiscal year 2011. 272.21 (h) Children and Community Services Grants

272.22 General 101,369,000 69,208,000

272.23Base Adjustment. The general fund base 272.24is $69,274,000 in each of fiscal years 2010 272.25and 2011. 272.26Targeted Case Management Temporary 272.27Funding. (a) Of the general fund 272.28appropriation, $32,667,000 in fiscal year 272.292008 is transferred to the targeted case 272.30management contingency reserve account in 272.31the general fund to be allocated to counties 272.32and tribes affected by reductions in targeted 272.33case management federal Medicaid revenue 273.1as a result of the provisions in the federal 273.2Deficit Reduction Act of 2005, Public Law 273.3109-171. 273.4(b) Contingent upon (1) publication by the 273.5federal Centers for Medicare and Medicaid 273.6Services of final regulations implementing 273.7the targeted case management provisions 273.8of the federal Deficit Reduction Act of 273.92005, Public Law 109-171, or (2) the 273.10issuance of a finding by the Centers for 273.11Medicare and Medicaid Services of federal 273.12Medicaid overpayments for targeted case 273.13management expenditures, up to $32,667,000 273.14is appropriated to the commissioner of human 273.15services. Prior to distribution of funds, the 273.16commissioner shall estimate and certify the 273.17amount by which the federal regulations or 273.18federal disallowance will reduce targeted 273.19case management Medicaid revenue over the 273.202008-2009 biennium. 273.21(c) Within 60 days of a contingency described 273.22in paragraph (b), the commissioner shall 273.23distribute the grants proportionate to each 273.24affected county or tribe's targeted case 273.25management federal earnings for calendar 273.26year 2005, not to exceed the lower of (1) the 273.27amount of the estimated reduction in federal 273.28revenue or (2) $32,667,000. 273.29(d) These funds are available in either year of 273.30the biennium. Counties and tribes shall use 273.31these funds to pay for social service-related 273.32costs, but the funds are not subject to 273.33provisions of the Children and Community 273.34Services Act grant under Minnesota Statutes, 273.35chapter 256M. 274.1(e) This appropriation shall be available to 274.2pay counties and tribes for expenses incurred 274.3on or after July 1, 2007. The appropriation 274.4shall be available until expended. 274.5 (i) General Assistance Grants

274.6 General 37,876,000 38,253,000

274.7General Assistance Standard. The 274.8commissioner shall set the monthly standard 274.9of assistance for general assistance units 274.10consisting of an adult recipient who is 274.11childless and unmarried or living apart 274.12from parents or a legal guardian at $203. 274.13The commissioner may reduce this amount 274.14according to Laws 1997, chapter 85, article 274.153, section 54. 274.16Emergency General Assistance. The 274.17amount appropriated for emergency general 274.18assistance funds is limited to no more 274.19than $7,889,812 in fiscal year 2008 and 274.20$7,889,812 in fiscal year 2009. Funds 274.21to counties must be allocated by the 274.22commissioner using the allocation method 274.23specified in Minnesota Statutes, section 274.24256D.06 . 274.25 (j) Minnesota Supplemental Aid Grants

274.26 General 30,505,000 30,812,000

274.27Emergency Minnesota Supplemental 274.28Aid Funds. The amount appropriated for 274.29emergency Minnesota supplemental aid 274.30funds is limited to no more than $1,100,000 274.31in fiscal year 2008 and $1,100,000 in fiscal 274.32year 2009. Funds to counties must be 275.1allocated by the commissioner using the 275.2allocation method specified in Minnesota 275.3Statutes, section 256D.46. 275.4 (k) Group Residential Housing Grants

275.5 General 91,069,000 98,671,000

275.6People Incorporated. Of the general fund 275.7appropriation, $460,000 each year is to 275.8augment community support and mental 275.9health services provided to individuals 275.10residing in facilities under Minnesota 275.11Statutes, section 256I.05, subdivision 1m. 275.12 275.13 (l) Other Children and Economic Assistance Grants

275.14 General 20,183,000 16,333,000 275.15 Federal TANF 1,500,000 1,500,000

275.16Base Adjustment. The general fund base 275.17shall be $16,033,000 in fiscal year 2010 and 275.18$15,533,000 in fiscal year 2011. The TANF 275.19base shall be $1,500,000 in fiscal year 2010 275.20and $1,181,000 in fiscal year 2011. 275.21Homeless and Runaway Youth. Of the 275.22general fund appropriation, $500,000 each 275.23year are for the Runaway and Homeless 275.24Youth Act under Minnesota Statutes, section 275.25256K.45 . Funds shall be spent in each area 275.26of the continuum of care to ensure that 275.27programs are meeting the greatest need. This 275.28is a onetime appropriation. 275.29Long-Term Homelessness. Of the general 275.30fund appropriation, $1,500,000 each year 275.31are $2,000,000 in fiscal year 2008 is for 276.1implementation of programs to address 276.2long-term homelessness and is available in 276.3either year of the biennium. This is a onetime 276.4appropriation. 276.5Minnesota Community Action Grants. (a) 276.6Of the general fund appropriation, $250,000 276.7each year is for the purposes of Minnesota 276.8community action grants under Minnesota 276.9Statutes, sections 256E.30 to 256E.32. This 276.10is a onetime appropriation. 276.11(b) Of the TANF appropriation, $1,500,000 276.12each year is for community action agencies 276.13for auto repairs, auto loans, and auto 276.14purchase grants to individuals who are 276.15eligible to receive benefits under Minnesota 276.16Statutes, chapter 256J, or who have lost 276.17eligibility for benefits under Minnesota 276.18Statutes, chapter 256J, due to earnings in the 276.19prior 12 months. Base level funding for this 276.20activity shall be $1,500,000 in fiscal year 276.212010 and $1,181,000 in fiscal year 2011. * 276.22(The preceding text beginning "(b) Of the 276.23TANF appropriation," was indicated as 276.24vetoed by the governor.) 276.25(c) Money appropriated under paragraphs (a) 276.26and (b) that is not spent in the first year does 276.27not cancel but is available for the second 276.28year. 276.29 Sec. 8. SUNSET OF UNCODIFIED LANGUAGE. 276.30 All uncodified language contained in this article expires on June 30, 2009, unless a 276.31different expiration date is specified. 277.1ARTICLE 19 277.2HEALTH AND HUMAN SERVICES FORECAST ADJUSTMENTS 277.3 277.4 Section 1. SUMMARY OF APPROPRIATIONS; DEPARTMENT OF HUMAN SERVICES FORECAST ADJUSTMENT.

277.5 The dollar amounts shown are added to or, if shown in parentheses, are subtracted 277.6from the appropriations in Laws 2007, chapter 147, from the general fund, or any other 277.7fund named, to the Department of Human Services for the purposes specified in this 277.8article, to be available for the fiscal year indicated for each purpose. The figure "2008" 277.9used in this article means that the appropriation or appropriations listed are available for 277.10the fiscal year ending June 30, 2008. The figure "2009" used in this article means that 277.11the appropriation or appropriations listed are available for the fiscal year ending June 30, 277.122009. Supplemental appropriations and reductions to appropriations for the fiscal year 277.13ending June 30, 2008, are effective the day following final enactment. 277.14 20082009 277.15 General$6,739,000$52,350,000 277.16 Health Care Access(84,156,000)(96,019,000) 277.17 Federal TANF(28,427,000)(7,441,000) 277.18 Total$ (105,844,000)$(51,110,000)

277.19 277.20 Sec. 2. COMMISSIONER OF HUMAN SERVICES

277.21 Subdivision 1.Total Appropriation$(105,844,000)$(51,110,000)

277.22 Appropriations by Fund 277.23 20082009 277.24 General6,739,00052,350,000 277.25 Health Care Access(84,156,000)(96,019,000) 277.26 Federal TANF(28,427,000)(7,441,000)

277.27 Subd. 2.Revenue and Pass-Through

277.28 Federal TANF1,187,0001,507,000

278.1 278.2 Subd. 3.Children and Economic Assistance Grants

278.3 General(4,960,000)5,925,000 278.4 Federal TANF(29,614,000)(8,948,000)

278.5The amounts that may be spent from this 278.6appropriation for each purpose are as follows: 278.7 (a) MFIP/DWP Grants

278.8 General25,139,00011,665,000 278.9 Federal TANF(29,614,000)(8,948,000)

278.10 (b) MFIP Child Care Assistance Grants(26,141,000)(10,710,000)

278.11 (c) General Assistance Grants2,529,0006,033,000

278.12 (d) Minnesota Supplemental Aid Grants299,000500,000

278.13 (e) Group Residential Housing Grants(6,786,000)(1,563,000)

278.14 Subd. 4.Basic Health Care Grants

278.15 General30,075,00048,389,000 278.16 Health Care Access(84,156,000)(96,019,000)

278.17The amounts that may be spent from this 278.18appropriation for each purpose are as follows: 278.19 (a) MinnesotaCare

278.20 Health Care Access(84,156,000)(96,019,000)

278.21 278.22 (b) MA Basic Health Care - Families and Children13,525,0007,005,000

278.23 278.24 (c) MA Basic Health Care - Elderly and Disabled(2,292,000)5,479,000

279.1 (d) General Assistance Medical Care18,842,00035,905,000

279.2 Subd. 5.Continuing Care Grants(18,376,000)(1,964,000)

279.3The amounts that may be spent from this 279.4appropriation for each purpose are as follows: 279.5 (a) MA Long-Term Care Facilities(10,986,000)(2,148,000)

279.6 (b) MA Long-Term Care Waivers(18,484,000)(13,598,000)

279.7 (c) Chemical Dependency Entitlement Grants11,094,00013,782,000"

279.8Delete the title and insert: 279.9"A bill for an act 279.10relating to the financing of state government; making supplemental appropriations 279.11and reductions in appropriations for early childhood through grade 12 education, 279.12higher education, environment and natural resources, energy, agriculture, 279.13veterans affairs, military affairs, economic development, transportation, public 279.14safety, judiciary, state government, and health and human services; modifying 279.15certain statutory provisions and laws; providing for certain programs; fixing and 279.16limiting fees; authorizing rulemaking; requiring reports; appropriating money; 279.17amending Minnesota Statutes 2006, sections 15A.0815, subdivisions 2, as 279.18amended, 3; 17.4988, subdivisions 2, 3; 41A.09, subdivision 3a; 93.481, by 279.19adding a subdivision; 97A.475, subdivision 29; 103A.204; 103A.43; 103B.151, 279.20subdivision 1; 103G.271, subdivision 6; 103G.291, by adding a subdivision; 279.21103G.615, subdivision 2; 116.07, subdivision 4; 116L.04, subdivision 1; 279.22116L.05, subdivisions 3, 5; 116L.16; 116L.20, subdivision 2; 116U.26; 121A.19; 279.23122A.21; 123B.59, subdivision 1; 123B.62; 124D.04, subdivisions 3, 6, 8, 9; 279.24124D.05, by adding a subdivision; 124D.118, subdivision 4; 124D.55; 125A.65, 279.25subdivision 4, by adding a subdivision; 125A.76, by adding a subdivision; 279.26126C.10, subdivision 31, by adding a subdivision; 126C.17, subdivision 9; 279.27126C.40, subdivision 1; 126C.45; 126C.51; 126C.52, subdivision 2, by adding a 279.28subdivision; 126C.53; 126C.55; 127A.45, subdivision 16; 136A.101, subdivision 279.298; 136G.11, subdivision 1; 145.9255, subdivision 1; 168.013, by adding a 279.30subdivision; 168.1255, by adding a subdivision; 168A.29, as amended; 190.19, 279.31subdivision 1, by adding a subdivision; 190.25, subdivision 3, by adding a 279.32subdivision; 192.501, by adding subdivisions; 216C.41, subdivision 4; 256.741, 279.33subdivisions 2, 2a, 3; 256.969, subdivisions 2b, 3a; 256B.0571, subdivisions 8, 279.349; 256B.0621, subdivisions 2, 6, 10; 256B.0625, subdivision 13e; 256B.0924, 279.35subdivisions 4, 6; 256B.19, subdivision 1d; 256B.32, subdivision 1; 256B.431, 279.36subdivision 23; 256B.69, subdivisions 5a, 6; 256B.75; 256D.44, subdivisions 279.372, 5; 270B.085, by adding a subdivision; 298.223, subdivision 2; 298.28, 279.38subdivision 9d, as added; 298.292, subdivision 2, as amended; 298.2961, 279.39subdivision 2; 299A.45, subdivision 1; 299A.705, by adding a subdivision; 279.40325E.313; 325E.314; 357.021, subdivisions 6, 7; 446A.12, subdivision 279.411; 462A.22, subdivision 1; 473.1565, subdivision 3; 518A.50; 518A.53, 279.42subdivision 5; 609.531, subdivision 1; Minnesota Statutes 2007 Supplement, 279.43sections 80A.65, subdivision 1; 103G.291, subdivision 3; 116L.17, subdivision 279.441; 123B.54; 124D.531, subdivision 1; 125A.76, subdivision 2; 126C.44; 279.45127A.49, subdivisions 2, 3; 136A.121, subdivision 7a; 144E.45, subdivision 2; 279.46171.06, subdivision 2; 190.19, subdivision 2; 216C.41, subdivision 3; 256.741, 280.1subdivision 1; 256B.0625, subdivision 20; 256B.0631, subdivisions 1, 3; 280.2256B.441, subdivisions 1, 55, 56; 256B.5012, subdivision 7; 256J.621; 297I.06, 280.3subdivision 3; Laws 1999, chapter 223, article 2, section 72; Laws 2005, chapter 280.4156, article 1, section 11, subdivision 2; Laws 2006, chapter 282, article 2, 280.5section 27, subdivision 4; Laws 2007, chapter 45, article 1, section 3, subdivision 280.64; Laws 2007, chapter 54, article 1, section 11; Laws 2007, chapter 57, article 280.71, section 4, subdivisions 4, 6; Laws 2007, chapter 135, article 1, sections 3, 280.8subdivisions 2, 3; 6, subdivision 4; Laws 2007, chapter 143, article 1, section 280.93, subdivision 2; Laws 2007, chapter 144, article 1, sections 3, subdivision 2; 280.105, subdivision 5; 7; Laws 2007, chapter 146, article 1, section 24, subdivisions 280.112, 3, 4, 5, 6, 7, 8; article 2, section 46, subdivisions 2, 3, 4, 6, 9, 13, 14, 20; 280.12article 3, sections 23, subdivision 2; 24, subdivisions 3, 4, 9; article 4, section 280.1316, subdivisions 2, 3, 6, 8; article 5, sections 11, subdivision 1; 13, subdivisions 280.142, 3, 4; article 7, section 4; article 9, section 17, subdivisions 2, 3, 4, 8, 9, 13; 280.15Laws 2007, chapter 147, article 7, section 71; article 19, section 3, subdivision 4; 280.16Laws 2007, chapter 148, article 1, section 12, subdivision 4; Laws 2007, First 280.17Special Session chapter 2, article 1, sections 8, subdivision 2; 11, subdivisions 280.181, 2, 6; Laws 2008, chapter 152, article 1, section 6, subdivision 2; proposing 280.19coding for new law in Minnesota Statutes, chapters 5; 13B; 85; 94; 103B; 114D; 280.20116J; 124D; 129D; 136F; 144; 173; 192; 256B; proposing coding for new law as 280.21Minnesota Statutes, chapter 62U; repealing Minnesota Statutes 2006, sections 280.22126C.21, subdivision 1; 127A.45, subdivision 7a; 256.741, subdivision 15; 280.23341.31; Laws 2004, chapter 188, section 2; Laws 2007, First Special Session 280.24chapter 2, article 1, section 11, subdivisions 3, 4." We request the adoption of this report and repassage of the bill.House Conferees: (Signed) Lyndon Carlson, Mary Murphy, Jean Wagenius, Tom Rukavina, Dennis OzmentSenate Conferees: (Signed) Richard J. Cohen, David J. Tomassoni, Dennis R. Frederickson, Don Betzold, Linda Higgins 281.1 We request the adoption of this report and repassage of the bill. 281.2 House Conferees:(Signed) 281.3 ..... ..... 281.4 Lyndon Carlson Mary Murphy 281.5 ..... ..... 281.6 Jean Wagenius Tom Rukavina 281.7 ..... 281.8 Dennis Ozment 281.9 Senate Conferees:(Signed) 281.10 ..... ..... 281.11 Richard J. Cohen David J. Tomassoni 281.12 ..... ..... 281.13 Dennis R. Frederickson Don Betzold 281.14 ..... 281.15 Linda Higgins

Office of the Revisor of Statutes

HF 1812

Bill Text Versions