SF 943

CCR-SF0943 - 90th Legislature (2017 - 2018)

Posted on 05/21/2017 03:00 p.m.

1.1CONFERENCE COMMITTEE REPORT ON S.F. No. 943 1.2A bill for an act 1.3relating to higher education; appropriating money for an education debt relief 1.4grant; requiring a report. 1.5May 21, 2017 1.6The Honorable Michelle L. Fischbach 1.7President of the Senate 1.8The Honorable Kurt L. Daudt 1.9Speaker of the House of Representatives 1.10We, the undersigned conferees for S.F. No. 943 report that we have agreed upon the 1.11items in dispute and recommend as follows: 1.12That the House recede from its amendment and that S.F. No. 943 be further amended 1.13as follows: 1.14Delete everything after the enacting clause and insert: 1.15"ARTICLE 1 1.16HIGHER EDUCATION APPROPRIATIONS 1.17 Section 1. new text begin APPROPRIATIONS. new text end 1.18 new text begin The sums shown in the columns marked "Appropriations" are appropriated to the agencies new text end 1.19 new text begin and for the purposes specified in this article. The appropriations are from the general fund, new text end 1.20 new text begin or another named fund, and are available for the fiscal years indicated for each purpose. new text end 1.21 new text begin The figures "2018" and "2019" used in this article mean that the appropriations listed under new text end 1.22 new text begin them are available for the fiscal year ending June 30, 2018, or June 30, 2019, respectively. new text end 1.23 new text begin "The first year" is fiscal year 2018. "The second year" is fiscal year 2019. "The biennium" new text end 1.24 new text begin is fiscal years 2018 and 2019. new text end 1.25 new text begin APPROPRIATIONS new text end 1.26 new text begin Available for the Year new text end 2.1 new text begin Ending June 30 new text end 2.2 new text begin 2018 new text end new text begin 2019 new text end 2.3 2.4 Sec. 2. new text begin MINNESOTA OFFICE OF HIGHER new text end new text begin EDUCATION new text end 2.5 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin new text end new text begin 260,036,000 new text end new text begin $ new text end new text begin new text end new text begin 256,495,000 new text end 2.6 new text begin The amounts that may be spent for each new text end 2.7 new text begin purpose are specified in the following new text end 2.8 new text begin subdivisions. new text end 2.9 new text begin Subd. 2. new text end new text begin State Grants new text end new text begin new text end new text begin 198,206,000 new text end new text begin new text end new text begin 198,356,000 new text end 2.10 new text begin If the appropriation in this subdivision for new text end 2.11 new text begin either year is insufficient, the appropriation new text end 2.12 new text begin for the other year is available for it. new text end 2.13 new text begin Subd. 3. new text end new text begin Child Care Grants new text end new text begin 6,694,000 new text end new text begin 6,694,000 new text end 2.14 new text begin Subd. 4. new text end new text begin State Work-Study new text end new text begin 14,502,000 new text end new text begin 14,502,000 new text end 2.15 new text begin Subd. 5. new text end new text begin Interstate Tuition Reciprocity new text end new text begin 11,018,000 new text end new text begin 11,018,000 new text end 2.16 new text begin If the appropriation in this subdivision for new text end 2.17 new text begin either year is insufficient, the appropriation new text end 2.18 new text begin for the other year is available to meet new text end 2.19 new text begin reciprocity contract obligations. new text end 2.20 new text begin Subd. 6. new text end new text begin Safety Officer's Survivors new text end new text begin 100,000 new text end new text begin 100,000 new text end 2.21 new text begin This appropriation is to provide educational new text end 2.22 new text begin benefits under Minnesota Statutes, section new text end 2.23 new text begin 299A.45, to eligible dependent children and new text end 2.24 new text begin to the spouses of public safety officers killed new text end 2.25 new text begin in the line of duty. new text end 2.26 new text begin If the appropriation in this subdivision for new text end 2.27 new text begin either year is insufficient, the appropriation new text end 2.28 new text begin for the other year is available for it. new text end 2.29 new text begin Subd. 7. new text end new text begin Indian Scholarships new text end new text begin 3,500,000 new text end new text begin 3,500,000 new text end 2.30 new text begin The commissioner must contract with or new text end 2.31 new text begin employ at least one person with demonstrated new text end 2.32 new text begin competence in American Indian culture and new text end 2.33 new text begin residing in or near the city of Bemidji to assist new text end 3.1 new text begin students with the scholarships under new text end 3.2 new text begin Minnesota Statutes, section 136A.126, and new text end 3.3 new text begin with other information about financial aid for new text end 3.4 new text begin which the students may be eligible. Bemidji new text end 3.5 new text begin State University must provide office space at new text end 3.6 new text begin no cost to the Office of Higher Education for new text end 3.7 new text begin purposes of administering the American Indian new text end 3.8 new text begin scholarship program under Minnesota Statutes, new text end 3.9 new text begin section 136A.126. This appropriation includes new text end 3.10 new text begin funding to administer the American Indian new text end 3.11 new text begin scholarship program. new text end 3.12 new text begin Subd. 8. new text end new text begin Tribal College Grants new text end new text begin 150,000 new text end new text begin 150,000 new text end 3.13 new text begin For tribal college assistance grants under new text end 3.14 new text begin Minnesota Statutes, section 136A.1796. new text end 3.15 3.16 new text begin Subd. 9. new text end new text begin Intervention for College Attendance new text end new text begin Program Grants new text end new text begin 671,000 new text end new text begin 671,000 new text end 3.17 new text begin For the intervention for college attendance new text end 3.18 new text begin program under Minnesota Statutes, section new text end 3.19 new text begin 136A.861. new text end 3.20 new text begin The commissioner may use no more than three new text end 3.21 new text begin percent of this appropriation to administer the new text end 3.22 new text begin intervention for college attendance program new text end 3.23 new text begin grants. new text end 3.24 new text begin Subd. 10. new text end new text begin Student-Parent Information new text end new text begin 122,000 new text end new text begin 122,000 new text end 3.25 new text begin Subd. 11. new text end new text begin Get Ready! new text end new text begin 180,000 new text end new text begin 180,000 new text end 3.26 3.27 new text begin Subd. 12. new text end new text begin Minnesota Education Equity new text end new text begin Partnership new text end new text begin 45,000 new text end new text begin 45,000 new text end 3.28 new text begin Subd. 13. new text end new text begin Midwest Higher Education Compact new text end new text begin 115,000 new text end new text begin 115,000 new text end 3.29 3.30 new text begin Subd. 14. new text end new text begin United Family Medicine Residency new text end new text begin Program new text end new text begin 501,000 new text end new text begin 501,000 new text end 3.31 new text begin For a grant to United Family Medicine new text end 3.32 new text begin residency program. This appropriation shall new text end 3.33 new text begin be used to support up to 21 resident physicians new text end 3.34 new text begin each year in family practice at United Family new text end 3.35 new text begin Medicine residency programs and shall new text end 4.1 new text begin prepare doctors to practice family care new text end 4.2 new text begin medicine in underserved rural and urban areas new text end 4.3 new text begin of the state. It is intended that this program new text end 4.4 new text begin will improve health care in underserved new text end 4.5 new text begin communities, provide affordable access to new text end 4.6 new text begin appropriate medical care, and manage the new text end 4.7 new text begin treatment of patients in a cost-effective new text end 4.8 new text begin manner. new text end 4.9 new text begin Subd. 15. new text end new text begin MnLINK Gateway and Minitex new text end new text begin 5,905,000 new text end new text begin 5,905,000 new text end 4.10 4.11 new text begin Subd. 16. new text end new text begin Statewide Longitudinal Education new text end new text begin Data System new text end new text begin 882,000 new text end new text begin 882,000 new text end 4.12 new text begin Subd. 17. new text end new text begin Hennepin County Medical Center new text end new text begin 645,000 new text end new text begin 645,000 new text end 4.13 new text begin For transfer to Hennepin County Medical new text end 4.14 new text begin Center for graduate family medical education new text end 4.15 new text begin programs at Hennepin County Medical Center. new text end 4.16 4.17 new text begin Subd. 18. new text end new text begin MNSCU Two-Year Public College new text end new text begin Program new text end new text begin 3,481,000 new text end new text begin -0- new text end 4.18 new text begin (a) $2,780,000 in fiscal year 2018 is for new text end 4.19 new text begin two-year public college program grants under new text end 4.20 new text begin Laws 2015, chapter 69, article 3, section 20. new text end 4.21 new text begin (b) $545,000 in fiscal year 2018 is to provide new text end 4.22 new text begin mentoring and outreach as specified under new text end 4.23 new text begin Laws 2015, chapter 69, article 3, section 20. new text end 4.24 new text begin (c) $156,000 in fiscal year 2018 is for new text end 4.25 new text begin information technology and administrative new text end 4.26 new text begin costs associated with implementation of the new text end 4.27 new text begin grant program. new text end 4.28 new text begin Subd. 19. new text end new text begin College Possible new text end new text begin 250,000 new text end new text begin 250,000 new text end 4.29 new text begin (a) This appropriation is for immediate transfer new text end 4.30 new text begin to College Possible to support programs of new text end 4.31 new text begin college admission and college graduation for new text end 4.32 new text begin low-income students through an intensive new text end 4.33 new text begin curriculum of coaching and support at both new text end 4.34 new text begin the high school and postsecondary level. new text end 5.1 new text begin (b) This appropriation must, to the extent new text end 5.2 new text begin possible, be proportionately allocated between new text end 5.3 new text begin students from greater Minnesota and students new text end 5.4 new text begin in the seven-county metropolitan area. new text end 5.5 new text begin (c) This appropriation must be used by College new text end 5.6 new text begin Possible only for programs supporting students new text end 5.7 new text begin who are residents of Minnesota and attending new text end 5.8 new text begin colleges or universities within Minnesota. new text end 5.9 new text begin (d) By February 1 of each year, College new text end 5.10 new text begin Possible must report to the chairs and ranking new text end 5.11 new text begin minority members of the legislative new text end 5.12 new text begin committees and divisions with jurisdiction new text end 5.13 new text begin over higher education and E-12 education on new text end 5.14 new text begin activities funded by this appropriation. The new text end 5.15 new text begin report must include, but is not limited to, new text end 5.16 new text begin information about the expansion of College new text end 5.17 new text begin Possible in Minnesota, the number of College new text end 5.18 new text begin Possible coaches hired, the expansion within new text end 5.19 new text begin existing partner high schools, the expansion new text end 5.20 new text begin of high school partnerships, the number of new text end 5.21 new text begin high school and college students served, the new text end 5.22 new text begin total hours of community service by high new text end 5.23 new text begin school and college students, and a list of new text end 5.24 new text begin communities and organizations benefiting new text end 5.25 new text begin from student service hours. new text end 5.26 5.27 new text begin Subd. 20. new text end new text begin Spinal Cord Injury and Traumatic new text end new text begin Brain Injury Research Grant Program new text end new text begin 3,000,000 new text end new text begin 3,000,000 new text end 5.28 new text begin For spinal cord injury and traumatic brain new text end 5.29 new text begin injury research grants authorized under new text end 5.30 new text begin Minnesota Statutes, section 136A.901. new text end 5.31 new text begin The commissioner may use no more than three new text end 5.32 new text begin percent of this appropriation to administer the new text end 5.33 new text begin grant program under this subdivision. new text end 5.34 5.35 new text begin Subd. 21. new text end new text begin Summer Academic Enrichment new text end new text begin Program new text end new text begin 125,000 new text end new text begin 125,000 new text end 6.1 new text begin For summer academic enrichment grants under new text end 6.2 new text begin Minnesota Statutes, section 136A.091. new text end 6.3 new text begin The commissioner may use no more than three new text end 6.4 new text begin percent of this appropriation to administer the new text end 6.5 new text begin grant program under this subdivision. new text end 6.6 6.7 new text begin Subd. 22. new text end new text begin Dual Training Competency Grants; new text end new text begin Office of Higher Education new text end new text begin 2,000,000 new text end new text begin 2,000,000 new text end 6.8 new text begin For training grants under Minnesota Statutes, new text end 6.9 new text begin section 136A.246. new text end 6.10 new text begin The commissioner may use no more than three new text end 6.11 new text begin percent of this appropriation to administer the new text end 6.12 new text begin grant program under this subdivision. new text end 6.13 6.14 new text begin Subd. 23. new text end new text begin Dual Training Competency Grants; new text end new text begin Department of Labor and Industry new text end new text begin 200,000 new text end new text begin 200,000 new text end 6.15 new text begin For transfer to the commissioner of labor and new text end 6.16 new text begin industry for identification of competency new text end 6.17 new text begin standards for dual training under Minnesota new text end 6.18 new text begin Statutes, section 175.45. new text end 6.19 new text begin Subd. 24. new text end new text begin Concurrent Enrollment Courses new text end new text begin 340,000 new text end new text begin 340,000 new text end 6.20 new text begin (a) $225,000 in fiscal year 2018 and $225,000 new text end 6.21 new text begin in fiscal year 2019 are for grants to develop new text end 6.22 new text begin new concurrent enrollment courses under new text end 6.23 new text begin Minnesota Statutes, section 124D.09, new text end 6.24 new text begin subdivision 10, that satisfy the elective new text end 6.25 new text begin standard for career and technical education. new text end 6.26 new text begin Any balance in the first year does not cancel new text end 6.27 new text begin but is available in the second year. new text end 6.28 new text begin (b) $115,000 in fiscal year 2018 and $115,000 new text end 6.29 new text begin in fiscal year 2019 are for grants to new text end 6.30 new text begin postsecondary institutions currently new text end 6.31 new text begin sponsoring a concurrent enrollment course to new text end 6.32 new text begin expand existing programs. The commissioner new text end 6.33 new text begin shall determine the application process and new text end 6.34 new text begin the grant amounts. The commissioner must new text end 7.1 new text begin give preference to expanding programs that new text end 7.2 new text begin are at capacity. Any balance in the first year new text end 7.3 new text begin does not cancel but is available in the second new text end 7.4 new text begin year. new text end 7.5 new text begin (c) By December 1 of each year, the office new text end 7.6 new text begin shall submit a brief report to the chairs and new text end 7.7 new text begin ranking minority members of the legislative new text end 7.8 new text begin committees with jurisdiction over higher new text end 7.9 new text begin education regarding: new text end 7.10 new text begin (1) the courses developed by grant recipients new text end 7.11 new text begin and the number of students who enrolled in new text end 7.12 new text begin the courses under paragraph (a); and new text end 7.13 new text begin (2) the programs expanded and the number of new text end 7.14 new text begin students who enrolled in programs under new text end 7.15 new text begin paragraph (b). new text end 7.16 new text begin Subd. 25. new text end new text begin Campus Sexual Assault Reporting new text end new text begin 25,000 new text end new text begin 25,000 new text end 7.17 new text begin For the sexual assault reporting required under new text end 7.18 new text begin Minnesota Statutes, section 135A.15. new text end 7.19 7.20 new text begin Subd. 26. new text end new text begin Campus Sexual Violence Prevention new text end new text begin and Response Coordinator new text end new text begin 150,000 new text end new text begin 150,000 new text end 7.21 new text begin For the Office of Higher Education to staff a new text end 7.22 new text begin campus sexual violence prevention and new text end 7.23 new text begin response coordinator to serve as a statewide new text end 7.24 new text begin resource providing professional development new text end 7.25 new text begin and guidance on best practices for new text end 7.26 new text begin postsecondary institutions. $50,000 each year new text end 7.27 new text begin are for administrative funding to conduct new text end 7.28 new text begin trainings and provide materials to new text end 7.29 new text begin postsecondary institutions. new text end 7.30 7.31 new text begin Subd. 27. new text end new text begin Addiction Medicine Graduate new text end new text begin Fellowship Program new text end new text begin 210,000 new text end new text begin -0- new text end 7.32 new text begin For the addiction medicine graduate fellowship new text end 7.33 new text begin program under Laws 2016, chapter 189, article new text end 7.34 new text begin 1, section 2, subdivision 4. new text end 8.1 8.2 new text begin Subd. 28. new text end new text begin Student and Employer Connection new text end new text begin Information System new text end new text begin 405,000 new text end new text begin 405,000 new text end 8.3 new text begin For a grant to the Minnesota Chamber new text end 8.4 new text begin Foundation for the creation of a web-based new text end 8.5 new text begin job and intern-seeking software tool that blind new text end 8.6 new text begin matches the needs of employers located in new text end 8.7 new text begin Minnesota with the individual profiles of high new text end 8.8 new text begin school seniors and postsecondary students new text end 8.9 new text begin attending Minnesota high schools and new text end 8.10 new text begin postsecondary institutions. No more than three new text end 8.11 new text begin percent of this appropriation may be used for new text end 8.12 new text begin administrative expenses of the foundation. The new text end 8.13 new text begin foundation must report by January 15, 2019, new text end 8.14 new text begin on activities under this subdivision to the new text end 8.15 new text begin chairs and ranking minority members of the new text end 8.16 new text begin legislative committees with jurisdiction over new text end 8.17 new text begin higher education finance. new text end 8.18 8.19 new text begin Subd. 29. new text end new text begin Emergency Assistance for new text end new text begin Postsecondary Students new text end new text begin 175,000 new text end new text begin 175,000 new text end 8.20 new text begin (a) This appropriation is for the Office of new text end 8.21 new text begin Higher Education to allocate grant funds on a new text end 8.22 new text begin matching basis to schools with a demonstrable new text end 8.23 new text begin homeless student population. new text end 8.24 new text begin (b) This appropriation shall be used to meet new text end 8.25 new text begin immediate student needs that could result in new text end 8.26 new text begin a student not completing the term or their new text end 8.27 new text begin program including, but not limited to, new text end 8.28 new text begin emergency housing, food, and transportation. new text end 8.29 new text begin Emergency assistance does not impact the new text end 8.30 new text begin amount of state financial aid received. new text end 8.31 new text begin (c) The commissioner shall determine the new text end 8.32 new text begin application process and the grant amounts. new text end 8.33 new text begin Any balance in the first year does not cancel new text end 8.34 new text begin but shall be available in the second year. The new text end 8.35 new text begin Office of Higher Education shall partner with new text end 9.1 new text begin interested postsecondary institutions, other new text end 9.2 new text begin state agencies, and student groups to establish new text end 9.3 new text begin the programs. new text end 9.4 new text begin Subd. 30. new text end new text begin Grants to Teacher Candidates new text end new text begin 500,000 new text end new text begin 500,000 new text end 9.5 new text begin For grants to teacher candidates under new text end 9.6 new text begin Minnesota Statutes, section 136A.1275. This new text end 9.7 new text begin appropriation is in addition to the money new text end 9.8 new text begin available under Laws 2016, chapter 189, new text end 9.9 new text begin article 25, section 62, subdivision 11. new text end 9.10 new text begin The commissioner may use no more than three new text end 9.11 new text begin percent of the appropriation for administration new text end 9.12 new text begin of the program. new text end 9.13 new text begin Subd. 31. new text end new text begin Teacher Shortage Loan Forgiveness new text end new text begin 200,000 new text end new text begin 200,000 new text end 9.14 new text begin For the loan forgiveness program under new text end 9.15 new text begin Minnesota Statutes, section 136A.1791. new text end 9.16 new text begin The commissioner may use no more than three new text end 9.17 new text begin percent of this appropriation to administer the new text end 9.18 new text begin program under this subdivision. new text end 9.19 9.20 new text begin Subd. 32. new text end new text begin Large Animal Veterinarian Loan new text end new text begin Forgiveness Program new text end new text begin 375,000 new text end new text begin 375,000 new text end 9.21 new text begin For the large animal veterinarian loan new text end 9.22 new text begin forgiveness program under Minnesota Statutes, new text end 9.23 new text begin section 136A.1795. new text end 9.24 9.25 new text begin Subd. 33. new text end new text begin Agricultural Educators Loan new text end new text begin Forgiveness new text end new text begin 50,000 new text end new text begin 50,000 new text end 9.26 new text begin For deposit in the agricultural education loan new text end 9.27 new text begin forgiveness account. new text end 9.28 9.29 new text begin Subd. 34. new text end new text begin Aviation Degree Loan Forgiveness new text end new text begin Program new text end new text begin 25,000 new text end new text begin 25,000 new text end 9.30 new text begin For the aviation degree loan forgiveness new text end 9.31 new text begin program under Minnesota Statutes, section new text end 9.32 new text begin 136A.1789. new text end 9.33 9.34 new text begin Subd. 35. new text end new text begin Grants for Students with Intellectual new text end new text begin and Developmental Disabilities new text end new text begin 200,000 new text end new text begin 200,000 new text end 10.1 new text begin For grants for students with intellectual and new text end 10.2 new text begin developmental disabilities under Minnesota new text end 10.3 new text begin Statutes, section 136A.1215. new text end 10.4 new text begin Subd. 36. new text end new text begin Loan Repayment Assistance Program new text end new text begin 25,000 new text end new text begin 25,000 new text end 10.5 new text begin For a grant to the Loan Repayment Assistance new text end 10.6 new text begin Program of Minnesota to provide education new text end 10.7 new text begin debt relief to attorneys with full-time new text end 10.8 new text begin employment providing legal advice or new text end 10.9 new text begin representation to low-income clients or support new text end 10.10 new text begin services for this work. new text end 10.11 new text begin Subd. 37. new text end new text begin Minnesota Life College new text end new text begin 1,000,000 new text end new text begin 1,000,000 new text end 10.12 new text begin For a grant to Minnesota Life College for new text end 10.13 new text begin need-based scholarships and tuition reduction. new text end 10.14 new text begin Subd. 38. new text end new text begin Agency Administration new text end new text begin 4,064,000 new text end new text begin 4,064,000 new text end 10.15 new text begin Subd. 39. new text end new text begin Balances Forward new text end 10.16 new text begin A balance in the first year under this section new text end 10.17 new text begin does not cancel, but is available for the second new text end 10.18 new text begin year. new text end 10.19 new text begin Subd. 40. new text end new text begin Transfers new text end 10.20 new text begin The commissioner of the Office of Higher new text end 10.21 new text begin Education may transfer unencumbered new text end 10.22 new text begin balances from the appropriations in this new text end 10.23 new text begin section to the state grant appropriation, the new text end 10.24 new text begin interstate tuition reciprocity appropriation, the new text end 10.25 new text begin child care grant appropriation, the Indian new text end 10.26 new text begin scholarship appropriation, the state work-study new text end 10.27 new text begin appropriation, the get ready appropriation, and new text end 10.28 new text begin the public safety officers' survivors new text end 10.29 new text begin appropriation. Transfers from the child care new text end 10.30 new text begin or state work-study appropriations may only new text end 10.31 new text begin be made to the extent there is a projected new text end 10.32 new text begin surplus in the appropriation. A transfer may new text end 10.33 new text begin be made only with prior written notice to the new text end 10.34 new text begin chairs and ranking minority members of the new text end 11.1 new text begin senate and house of representatives new text end 11.2 new text begin committees with jurisdiction over higher new text end 11.3 new text begin education finance. new text end 11.4 11.5 11.6 Sec. 3. new text begin BOARD OF TRUSTEES OF THE new text end new text begin MINNESOTA STATE COLLEGES AND new text end new text begin UNIVERSITIES new text end 11.7 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin new text end new text begin 731,019,000 new text end new text begin $ new text end new text begin new text end new text begin 721,919,000 new text end 11.8 new text begin The amounts that may be spent for each new text end 11.9 new text begin purpose are specified in the following new text end 11.10 new text begin subdivisions. new text end 11.11 new text begin Subd. 2. new text end new text begin Central Office and Shared Services Unit new text end new text begin 33,074,000 new text end new text begin 33,074,000 new text end 11.12 new text begin For the Office of the Chancellor and the new text end 11.13 new text begin Shared Services Division. new text end 11.14 new text begin Subd. 3. new text end new text begin Operations and Maintenance new text end new text begin new text end new text begin 693,830,000 new text end new text begin new text end new text begin 684,730,000 new text end 11.15 new text begin (a) The Board of Trustees must establish new text end 11.16 new text begin tuition rates as follows: new text end 11.17 new text begin (1) for the 2017-2018 academic year, the new text end 11.18 new text begin tuition rate at colleges must not exceed the new text end 11.19 new text begin 2016-2017 academic year rate by more than new text end 11.20 new text begin one percent; and new text end 11.21 new text begin (2) for the 2018-2019 academic year, the new text end 11.22 new text begin tuition rates for undergraduates at colleges and new text end 11.23 new text begin universities must not exceed the 2017-2018 new text end 11.24 new text begin academic year rates. new text end new text begin new text end 11.25 new text begin The student tuition relief may not be offset by new text end 11.26 new text begin increases in mandatory fees, charges, or other new text end 11.27 new text begin assessments to the student. Colleges and new text end 11.28 new text begin universities are permitted to increase new text end 11.29 new text begin differential tuition charges in fiscal years 2018 new text end 11.30 new text begin and 2019 where costs for course or program new text end 11.31 new text begin delivery have increased due to extraordinary new text end 11.32 new text begin circumstances beyond the control of the new text end 11.33 new text begin college or university. Rates and rationale must new text end 11.34 new text begin be approved by the Board of Trustees. new text end 12.1 new text begin (b) $3,000,000 in fiscal year 2018 and new text end 12.2 new text begin $3,000,000 in fiscal year 2019 are to provide new text end 12.3 new text begin the supplemental aid under article 2, section new text end 12.4 new text begin 23. new text end 12.5 new text begin (c) The Board of Trustees is requested to help new text end 12.6 new text begin Minnesota close the attainment gap by funding new text end 12.7 new text begin activities which improve retention and new text end 12.8 new text begin completion for students of color. new text end 12.9 new text begin (d) This appropriation includes $1,000,000 in new text end 12.10 new text begin fiscal year 2019 for workforce development new text end 12.11 new text begin scholarships under Minnesota Statutes, section new text end 12.12 new text begin 136F.38. The base for this appropriation in new text end 12.13 new text begin fiscal year 2020 is $500,000. new text end 12.14 new text begin (e) $200,000 each year is for transfer to the new text end 12.15 new text begin Cook County Higher Education Board to new text end 12.16 new text begin provide educational programming and new text end 12.17 new text begin academic support services to remote regions new text end 12.18 new text begin in northeastern Minnesota. The Cook County new text end 12.19 new text begin Higher Education Board shall continue to new text end 12.20 new text begin provide information to the Board of Trustees new text end 12.21 new text begin on the number of students served, credit hours new text end 12.22 new text begin delivered, and services provided to students. new text end 12.23 new text begin (f) $50,000 in fiscal year 2018 and $50,000 in new text end 12.24 new text begin fiscal year 2019 are for developing and new text end 12.25 new text begin teaching online agricultural courses by farm new text end 12.26 new text begin business management faculty at colleges that new text end 12.27 new text begin offer farm business management. new text end 12.28 new text begin (g) $175,000 in fiscal year 2018 and $175,000 new text end 12.29 new text begin in fiscal year 2019 are for the new text end 12.30 new text begin veterans-to-agriculture pilot program new text end 12.31 new text begin established by Laws 2015, chapter 69, article new text end 12.32 new text begin 1, section 4, subdivision 3. The program shall new text end 12.33 new text begin continue to conform to the requirements of new text end 12.34 new text begin that subdivision. The appropriation shall be new text end 13.1 new text begin used to support, in equal amounts, up to six new text end 13.2 new text begin program sites statewide. No more than two new text end 13.3 new text begin percent of the total appropriation provided by new text end 13.4 new text begin this section may be used for administrative new text end 13.5 new text begin purposes at the system level. new text end 13.6 new text begin No later than December 15, 2018, the program new text end 13.7 new text begin shall report to the committees of the house of new text end 13.8 new text begin representatives and the senate with jurisdiction new text end 13.9 new text begin over issues related to agriculture, veterans new text end 13.10 new text begin affairs, and higher education on program new text end 13.11 new text begin operations, including information on new text end 13.12 new text begin participation rates, new job placements, and new text end 13.13 new text begin any unmet needs. new text end 13.14 new text begin (h) This appropriation includes $40,000 in new text end 13.15 new text begin fiscal year 2018 and $40,000 in fiscal year new text end 13.16 new text begin 2019 to implement the sexual assault policies new text end 13.17 new text begin required under Minnesota Statutes, section new text end 13.18 new text begin 135A.15. new text end 13.19 new text begin (i) This appropriation includes $4,000,000 in new text end 13.20 new text begin fiscal year 2018 and $4,000,000 in fiscal year new text end 13.21 new text begin 2019 for upgrading the Integrated Statewide new text end 13.22 new text begin Record System. new text end 13.23 new text begin (j) $100,000 in fiscal year 2018 is for use by new text end 13.24 new text begin Winona State University for HealthForce new text end 13.25 new text begin Minnesota to develop educational materials new text end 13.26 new text begin that increase awareness of career opportunities new text end 13.27 new text begin available in the field of senior care. The new text end 13.28 new text begin educational materials developed under this new text end 13.29 new text begin provision must be appropriate for students in new text end 13.30 new text begin K-12 education settings, dislocated workers, new text end 13.31 new text begin and rural communities. Materials must be new text end 13.32 new text begin developed in collaboration with employers new text end 13.33 new text begin and trade organizations representing new text end 13.34 new text begin employers in the field of senior care. new text end 14.1 new text begin Winona State University shall submit a report new text end 14.2 new text begin by February 1, 2019, to the chairs and ranking new text end 14.3 new text begin minority members of the legislative new text end 14.4 new text begin committees with jurisdiction over higher new text end 14.5 new text begin education finance and policy. The report must new text end 14.6 new text begin include information about the materials new text end 14.7 new text begin developed, to whom materials were new text end 14.8 new text begin distributed, and identify any collaborations new text end 14.9 new text begin with employers and trade organizations. new text end 14.10 new text begin Subd. 4. new text end new text begin Learning Network of Minnesota new text end new text begin 4,115,000 new text end new text begin 4,115,000 new text end 14.11 14.12 Sec. 4. new text begin BOARD OF REGENTS OF THE new text end new text begin UNIVERSITY OF MINNESOTA new text end 14.13 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin new text end new text begin 660,843,000 new text end new text begin $ new text end new text begin new text end new text begin 650,793,000 new text end 14.14 new text begin Appropriations by Fund new text end 14.15 new text begin 2018 new text end new text begin 2019 new text end 14.16 new text begin General new text end new text begin new text end new text begin 658,686,000 new text end new text begin new text end new text begin 648,636,000 new text end 14.17 new text begin Health Care Access new text end new text begin 2,157,000 new text end new text begin 2,157,000 new text end 14.18 new text begin The amounts that may be spent for each new text end 14.19 new text begin purpose are specified in the following new text end 14.20 new text begin subdivisions. new text end 14.21 new text begin Subd. 2. new text end new text begin Operations and Maintenance new text end new text begin new text end new text begin 590,248,000 new text end new text begin new text end new text begin 580,198,000 new text end 14.22 new text begin (a) The Board of Regents is requested to set new text end 14.23 new text begin resident tuition rates for academic year new text end 14.24 new text begin 2018-2019 at levels not to exceed the rates for new text end 14.25 new text begin academic year 2017-2018. new text end 14.26 new text begin (b) $15,000,000 in fiscal year 2018 and new text end 14.27 new text begin $15,000,000 in fiscal year 2019 are to: (1) new text end 14.28 new text begin increase the medical school's research new text end 14.29 new text begin capacity; (2) improve the medical school's new text end 14.30 new text begin ranking in National Institutes of Health new text end 14.31 new text begin funding; (3) ensure the medical school's new text end 14.32 new text begin national prominence by attracting and new text end 14.33 new text begin retaining world-class faculty, staff, and new text end 14.34 new text begin students; (4) invest in physician training new text end 15.1 new text begin programs in rural and underserved new text end 15.2 new text begin communities; and (5) translate the medical new text end 15.3 new text begin school's research discoveries into new new text end 15.4 new text begin treatments and cures to improve the health of new text end 15.5 new text begin Minnesotans. new text end 15.6 new text begin (c) $7,800,000 in fiscal year 2018 and new text end 15.7 new text begin $7,800,000 in fiscal year 2019 are for health new text end 15.8 new text begin training restoration. This appropriation must new text end 15.9 new text begin be used to support all of the following: (1) new text end 15.10 new text begin faculty physicians who teach at eight residency new text end 15.11 new text begin program sites, including medical resident and new text end 15.12 new text begin student training programs in the Department new text end 15.13 new text begin of Family Medicine; (2) the Mobile Dental new text end 15.14 new text begin Clinic; and (3) expansion of geriatric new text end 15.15 new text begin education and family programs. new text end 15.16 new text begin (d) $4,000,000 in fiscal year 2018 and new text end 15.17 new text begin $4,000,000 in fiscal year 2019 are for the new text end 15.18 new text begin Minnesota Discovery, Research, and new text end 15.19 new text begin InnoVation Economy funding program for new text end 15.20 new text begin cancer care research. new text end 15.21 new text begin (e) $50,000 in fiscal year 2018 is to develop new text end 15.22 new text begin and implement a plan to offer the academic new text end 15.23 new text begin program for students with intellectual and new text end 15.24 new text begin developmental disabilities required in article new text end 15.25 new text begin 2, section 17. The Board of Regents must new text end 15.26 new text begin submit a report on the plan to the chairs and new text end 15.27 new text begin ranking minority members of the committees new text end 15.28 new text begin of the legislature with jurisdiction over higher new text end 15.29 new text begin education finance and policy no later than new text end 15.30 new text begin January 15, 2018. The report must describe new text end 15.31 new text begin program plans, including strategies for new text end 15.32 new text begin recruitment of applicants, and strategies to new text end 15.33 new text begin address anticipated program needs that cannot new text end 15.34 new text begin be filled using existing campus or system new text end 15.35 new text begin resources. This is a onetime appropriation. new text end 16.1 new text begin (f) $500,000 in fiscal year 2018 and $500,000 new text end 16.2 new text begin in fiscal year 2019 are for the University of new text end 16.3 new text begin Minnesota, Morris branch, to cover the costs new text end 16.4 new text begin of tuition waivers under Minnesota Statutes, new text end 16.5 new text begin section 137.16. new text end 16.6 new text begin Subd. 3. new text end new text begin Primary Care Education Initiatives new text end new text begin 2,157,000 new text end new text begin 2,157,000 new text end 16.7 new text begin This appropriation is from the health care new text end 16.8 new text begin access fund. new text end 16.9 new text begin Subd. 4. new text end new text begin Special Appropriations new text end 16.10 new text begin (a) new text end new text begin Agriculture and Extension Service new text end new text begin 42,922,000 new text end new text begin 42,922,000 new text end 16.11 new text begin For the Agricultural Experiment Station and new text end 16.12 new text begin the Minnesota Extension Service: new text end 16.13 new text begin (1) the agricultural experiment stations and new text end 16.14 new text begin Minnesota Extension Service must convene new text end 16.15 new text begin agricultural advisory groups to focus research, new text end 16.16 new text begin education, and extension activities on producer new text end 16.17 new text begin needs and implement an outreach strategy that new text end 16.18 new text begin more effectively and rapidly transfers research new text end 16.19 new text begin results and best practices to producers new text end 16.20 new text begin throughout the state; new text end 16.21 new text begin (2) this appropriation includes funding for new text end 16.22 new text begin research and outreach on the production of new text end 16.23 new text begin renewable energy from Minnesota biomass new text end 16.24 new text begin resources, including agronomic crops, plant new text end 16.25 new text begin and animal wastes, and native plants or trees. new text end 16.26 new text begin The following areas should be prioritized and new text end 16.27 new text begin carried out in consultation with Minnesota new text end 16.28 new text begin producers, renewable energy, and bioenergy new text end 16.29 new text begin organizations: new text end 16.30 new text begin (i) biofuel and other energy production from new text end 16.31 new text begin perennial crops, small grains, row crops, and new text end 16.32 new text begin forestry products in conjunction with the new text end 16.33 new text begin Natural Resources Research Institute (NRRI); new text end 17.1 new text begin (ii) alternative bioenergy crops and cropping new text end 17.2 new text begin systems; and new text end 17.3 new text begin (iii) biofuel coproducts used for livestock feed; new text end 17.4 new text begin (3) this appropriation includes funding for the new text end 17.5 new text begin College of Food, Agricultural, and Natural new text end 17.6 new text begin Resources Sciences to establish and provide new text end 17.7 new text begin leadership for organic agronomic, new text end 17.8 new text begin horticultural, livestock, and food systems new text end 17.9 new text begin research, education, and outreach and for the new text end 17.10 new text begin purchase of state-of-the-art laboratory, new text end 17.11 new text begin planting, tilling, harvesting, and processing new text end 17.12 new text begin equipment necessary for this project; new text end 17.13 new text begin (4) this appropriation includes funding for new text end 17.14 new text begin research efforts that demonstrate a renewed new text end 17.15 new text begin emphasis on the needs of the state's agriculture new text end 17.16 new text begin community. The following areas should be new text end 17.17 new text begin prioritized and carried out in consultation with new text end 17.18 new text begin Minnesota farm organizations: new text end 17.19 new text begin (i) vegetable crop research with priority for new text end 17.20 new text begin extending the Minnesota vegetable growing new text end 17.21 new text begin season; new text end 17.22 new text begin (ii) fertilizer and soil fertility research and new text end 17.23 new text begin development; new text end 17.24 new text begin (iii) soil, groundwater, and surface water new text end 17.25 new text begin conservation practices and contaminant new text end 17.26 new text begin reduction research; new text end 17.27 new text begin (iv) discovering and developing plant varieties new text end 17.28 new text begin that use nutrients more efficiently; new text end 17.29 new text begin (v) breeding and development of turf seed and new text end 17.30 new text begin other biomass resources in all three Minnesota new text end 17.31 new text begin biomes; new text end 18.1 new text begin (vi) development of new disease-resistant and new text end 18.2 new text begin pest-resistant varieties of turf and agronomic new text end 18.3 new text begin crops; new text end 18.4 new text begin (vii) utilizing plant and livestock cells to treat new text end 18.5 new text begin and cure human diseases; new text end 18.6 new text begin (viii) the development of dairy coproducts; new text end 18.7 new text begin (ix) a rapid agricultural response fund for new text end 18.8 new text begin current or emerging animal, plant, and insect new text end 18.9 new text begin problems affecting production or food safety; new text end 18.10 new text begin (x) crop pest and animal disease research; new text end 18.11 new text begin (xi) developing animal agriculture that is new text end 18.12 new text begin capable of sustainably feeding the world; new text end 18.13 new text begin (xii) consumer food safety education and new text end 18.14 new text begin outreach; new text end 18.15 new text begin (xiii) programs to meet the research and new text end 18.16 new text begin outreach needs of organic livestock and crop new text end 18.17 new text begin farmers; and new text end 18.18 new text begin (xiv) alternative bioenergy crops and cropping new text end 18.19 new text begin systems; and growing, harvesting, and new text end 18.20 new text begin transporting biomass plant material; and new text end 18.21 new text begin (5) by February 1, 2019, the Board of Regents new text end 18.22 new text begin must submit a report to the legislative new text end 18.23 new text begin committees and divisions with jurisdiction new text end 18.24 new text begin over agriculture and higher education finance new text end 18.25 new text begin on the status and outcomes of research and new text end 18.26 new text begin initiatives funded in this paragraph. new text end 18.27 new text begin (b) new text end new text begin Health Sciences new text end new text begin 9,204,000 new text end new text begin 9,204,000 new text end 18.28 new text begin $346,000 each year is to support up to 12 new text end 18.29 new text begin resident physicians in the St. Cloud Hospital new text end 18.30 new text begin family practice residency program. The new text end 18.31 new text begin program must prepare doctors to practice new text end 18.32 new text begin primary care medicine in rural areas of the new text end 18.33 new text begin state. The legislature intends this program to new text end 19.1 new text begin improve health care in rural communities, new text end 19.2 new text begin provide affordable access to appropriate new text end 19.3 new text begin medical care, and manage the treatment of new text end 19.4 new text begin patients in a more cost-effective manner. The new text end 19.5 new text begin remainder of this appropriation is for the rural new text end 19.6 new text begin physicians associates program; the Veterinary new text end 19.7 new text begin Diagnostic Laboratory; health sciences new text end 19.8 new text begin research; dental care; the Biomedical new text end 19.9 new text begin Engineering Center; and the collaborative new text end 19.10 new text begin partnership between the University of new text end 19.11 new text begin Minnesota and Mayo Clinic for regenerative new text end 19.12 new text begin medicine, research, clinical translation, and new text end 19.13 new text begin commercialization. new text end 19.14 new text begin (c) new text end new text begin Institute of Technology new text end new text begin 1,140,000 new text end new text begin 1,140,000 new text end 19.15 new text begin For the geological survey and the talented new text end 19.16 new text begin youth mathematics program. new text end 19.17 new text begin (d) new text end new text begin System Special new text end new text begin 7,181,000 new text end new text begin 7,181,000 new text end 19.18 new text begin For general research, the Labor Education new text end 19.19 new text begin Service, Natural Resources Research Institute, new text end 19.20 new text begin Center for Urban and Regional Affairs, Bell new text end 19.21 new text begin Museum of Natural History, and the new text end 19.22 new text begin Humphrey exhibit. new text end 19.23 new text begin $2,000,000 in fiscal year 2018 and $2,000,000 new text end 19.24 new text begin in fiscal year 2019 are for the Natural new text end 19.25 new text begin Resources Research Institute to invest in new text end 19.26 new text begin applied research for economic development. new text end 19.27 19.28 new text begin (e) new text end new text begin University of Minnesota and Mayo new text end new text begin Foundation Partnership new text end new text begin 7,991,000 new text end new text begin 7,991,000 new text end 19.29 new text begin This appropriation is for the following new text end 19.30 new text begin activities: new text end 19.31 new text begin (1) $7,491,000 in fiscal year 2018 and new text end 19.32 new text begin $7,491,000 in fiscal year 2019 are for the new text end 19.33 new text begin direct and indirect expenses of the new text end 19.34 new text begin collaborative research partnership between the new text end 20.1 new text begin University of Minnesota and the Mayo new text end 20.2 new text begin Foundation for research in biotechnology and new text end 20.3 new text begin medical genomics. An annual report on the new text end 20.4 new text begin expenditure of these funds must be submitted new text end 20.5 new text begin to the governor and the chairs of the legislative new text end 20.6 new text begin committees responsible for higher education new text end 20.7 new text begin finance by June 30 of each fiscal year. new text end 20.8 new text begin (2) $500,000 in fiscal year 2018 and $500,000 new text end 20.9 new text begin in fiscal year 2019 are to award competitive new text end 20.10 new text begin grants to conduct research into the prevention, new text end 20.11 new text begin treatment, causes, and cures of Alzheimer's new text end 20.12 new text begin disease and other dementias. new text end 20.13 new text begin Subd. 5. new text end new text begin Academic Health Center new text end 20.14 new text begin The appropriation for Academic Health Center new text end 20.15 new text begin funding under Minnesota Statutes, section new text end 20.16 new text begin 297F.10, is estimated to be $22,250,000 each new text end 20.17 new text begin year. new text end 20.18 Sec. 5. new text begin MAYO CLINIC new text end 20.19 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 1,351,000 new text end new text begin $ new text end new text begin 1,351,000 new text end 20.20 new text begin The amounts that may be spent are specified new text end 20.21 new text begin in the following subdivisions. new text end 20.22 new text begin Subd. 2. new text end new text begin Medical School new text end new text begin 665,000 new text end new text begin 665,000 new text end 20.23 new text begin The state must pay a capitation each year for new text end 20.24 new text begin each student who is a resident of Minnesota. new text end 20.25 new text begin The appropriation may be transferred between new text end 20.26 new text begin each year of the biennium to accommodate new text end 20.27 new text begin enrollment fluctuations. It is intended that new text end 20.28 new text begin during the biennium the Mayo Clinic use the new text end 20.29 new text begin capitation money to increase the number of new text end 20.30 new text begin doctors practicing in rural areas in need of new text end 20.31 new text begin doctors. new text end 20.32 20.33 new text begin Subd. 3. new text end new text begin Family Practice and Graduate new text end new text begin Residency Program new text end new text begin 686,000 new text end new text begin 686,000 new text end 21.1 new text begin The state must pay stipend support for up to new text end 21.2 new text begin 27 residents each year. new text end 21.3ARTICLE 2 21.4HIGHER EDUCATION POLICY 21.5    Section 1. Minnesota Statutes 2016, section 43A.06, subdivision 1, is amended to read: 21.6    Subdivision 1. General. (a) The commissioner shall perform the duties assigned to the 21.7commissioner by sections 3.855, 179A.01 to 179A.25 and this section. 21.8(b) The commissioner shall be the state labor negotiator for purposes of negotiating and 21.9administering agreements with exclusive representatives of employees and shall perform 21.10any other duties delegated by the commissioner subject to the limitations in paragraph (c). 21.11(c) The Board of Trustees of the Minnesota State Colleges and Universities may exercise 21.12the powers under this section for employees included in the units provided in clauses (9), 21.13(10), and (11) of section 179A.10, subdivision 2, except with respect to sections 43A.22 to 21.1443A.31 , which shall continue to be the responsibility of the commissioner. The commissioner 21.15shall have the right to review and comment to the Minnesota State Colleges and Universities 21.16on the board's final proposals prior to exchange of final positions with the designated 21.17bargaining units as well as any requests for interest arbitration. new text begin The legislature encourages new text end 21.18 new text begin the Board of Trustees, in coordination with the commissioner of management and budget new text end 21.19 new text begin and the Board of Regents of the University of Minnesota, to endeavor in collective bargaining new text end 21.20 new text begin negotiations to seek fiscal balance recognizing the ability of the employer to fund the new text end 21.21 new text begin agreements or awards. new text end When submitting a proposed collective bargaining agreement to the 21.22Legislative Coordinating Commission and the legislature under section 3.855, subdivision 21.232 , the Board of Trustees must use procedures and assumptions consistent with those used 21.24by the commissioner in calculating the costs of the proposed contract. The Legislative 21.25Coordinating Commission must, when considering a collective bargaining agreement or 21.26arbitration award submitted by the Board of Trustees, evaluate market conditions affecting 21.27the employees in the bargaining unit, equity with other bargaining units in the executive 21.28branch, and the ability of the trustees and the state to fund the agreement or award. 21.29    Sec. 2. Minnesota Statutes 2016, section 135A.031, subdivision 7, is amended to read: 21.30    Subd. 7. Reports. (a) The University of Minnesota and the Minnesota State Colleges 21.31and Universities systems shall include in their biennial budget proposals to the legislature: 21.32    (1) a five-year history of systemwide expenditures, reported by: 22.1    (i) functional areas, including instruction, research, public service, student financial aid, 22.2and auxiliary services, and including direct costs and indirect costs, such as institutional 22.3support, academic support, student services, and facilities management, associated with 22.4each functional area; and 22.5    (ii) objects of expenditure, such as salaries, benefits, supplies, and equipment new text begin , including new text end 22.6 new text begin a full explanation of all material changes to the expenditure categories when compared to new text end 22.7 new text begin the prior fiscal year new text end ; 22.8    (2) a five-year history of the system's total instructional expenditures per full-year 22.9equivalent student, by level of instruction, including upper-division undergraduate, 22.10lower-division undergraduate, graduate, professional, and other categories of instructional 22.11programs offered by the system; 22.12    (3) a five-year history of the system's total revenues by funding source, including tuition, 22.13state operations and maintenance appropriations, state special appropriations, other restricted 22.14state funds, federal appropriations, sponsored research funds, gifts, auxiliary revenue, indirect 22.15cost recovery, and any other revenue sources; 22.16    (4) an explanation describing how state appropriations made to the system in the previous 22.17biennium were allocated and the methodology used to determine the allocation; 22.18    (5) data describing how the institution reallocated resources to advance the priorities set 22.19forth in the budget submitted under section 135A.034 and the statewide objectives under 22.20section 135A.011. The information must indicate whether instruction and support programs 22.21received a reduction in or additional resources. The total amount reallocated must be clearly 22.22explained; 22.23    (6) the tuition rates and fees established by the governing board in each of the past ten 22.24years and comparison data for peer institutions and national averages; 22.25    (7) data on the number and proportion of students graduating within four, five, and six 22.26years from universities and within three years from colleges as reported in the integrated 22.27postsecondary education data system. These data must be provided for each institution by 22.28race, ethnicity, and gender. Data and information must be submitted that describe the system's 22.29plan and progress toward attaining the goals set forth in the plan to increase the number and 22.30proportion of students that graduate within four, five, or six years from a university or within 22.31three years from a college; 22.32    (8) data on, and the methodology used to measure, the number of students traditionally 22.33underrepresented in higher education enrolled at the system's institutions. Data and 23.1information must be submitted that describe the system's plan and progress toward attaining 23.2the goals set forth in the plan to increase the recruitment, retention, and timely graduation 23.3of students traditionally underrepresented in higher education; and 23.4    (9) data on the revenue received from all sources to support research or workforce 23.5development activities or the system's efforts to license, sell, or otherwise market products, 23.6ideas, technology, and related inventions created in whole or in part by the system. Data 23.7and information must be submitted that describe the system's plan and progress toward 23.8attaining the goals set forth in the plan to increase the revenue received to support research 23.9or workforce development activities or revenue received from the licensing, sale, or other 23.10marketing and technology transfer activities by the system new text begin ; new text end 23.11     new text begin (10) data on consulting contracts from the last two completed fiscal years for which the new text end 23.12 new text begin work is performed by a consultant who is not an employee of the system, for which the new text end 23.13 new text begin system paid in excess of $500,000. Data must include the name of the consultant, the total new text end 23.14 new text begin value of the contract, a description of the work completed, and a description of the reasons new text end 23.15 new text begin for using an outside consultant and not internal staff. Consulting contracts are defined as new text end 23.16 new text begin contracts from management, investment and financial advisory services, project management, new text end 23.17 new text begin computer/technology advisory services, and construction project management; and new text end 23.18 new text begin (11) aggregate data on the following: new text end 23.19 new text begin (i) student demographics; new text end 23.20 new text begin (ii) a five-year history of student enrollment, including student enrollment by legislative new text end 23.21 new text begin district; new text end 23.22 new text begin (iii) a five-year history of student debt; new text end 23.23 new text begin (iv) a five-year history of mandatory student fees by campus; new text end 23.24 new text begin (v) employee head count and employee demographics; new text end 23.25 new text begin (vi) facilities, including physical space overview, condition, square footage, distribution new text end 23.26 new text begin by region, any deferred maintenance, and capital bonding requested and received; new text end 23.27 new text begin (vii) administrative costs, including the definition of "administrators" used by the system, new text end 23.28 new text begin the total number of "administrators" as percent of total employee head count, and system new text end 23.29 new text begin office budget for Minnesota State Colleges and Universities as percent of total system new text end 23.30 new text begin general fund revenue; and new text end 23.31     new text begin (viii) college and university operating budgets new text end . 24.1    (b) Data required by this subdivision shall be submitted by the public postsecondary 24.2systems to the Minnesota Office of Higher Education and the Department of Management 24.3and Budget and included in the biennial budget document. Representatives from each system, 24.4in consultation with the commissioner of management and budget and the commissioner 24.5of the Office of Higher Education, shall develop consistent reporting practices for this 24.6purpose. 24.7    (c) To the extent practicable, each system shall develop the ability to respond to legislative 24.8requests for financial analyses that are more detailed than those required by this subdivision, 24.9including but not limited to analyses that show expenditures or revenues by institution or 24.10program, or in multiple categories of expenditures or revenues, and analyses that show 24.11revenue sources for particular types of expenditures. 24.12    Sec. 3. new text begin [135A.0434] MANDATORY STUDENT ACTIVITY FEES REFERENDUM. new text end 24.13     new text begin Subdivision 1. new text end new text begin Referendum. new text end new text begin The governing body of a public postsecondary institution new text end 24.14 new text begin must not increase mandatory student activity fees by greater than two percent relative to new text end 24.15 new text begin the previous academic year unless the increase is approved by a majority of students voting new text end 24.16 new text begin in a campus referendum. This section does not apply to fees paid by students that are directly new text end 24.17 new text begin related to academic, administrative, health services, or debt obligations, including bonds new text end 24.18 new text begin issued under sections 136F.90 to 136F.98. The Board of Regents of the University of new text end 24.19 new text begin Minnesota is requested to adopt a policy implementing this section. new text end 24.20     new text begin Subd. 2. new text end new text begin Penalty. new text end new text begin If the Board of Regents of the University of Minnesota increases new text end 24.21 new text begin mandatory student activity fees by more than two percent without approval by a vote of the new text end 24.22 new text begin student body as described in subdivision 1, the commissioner of management and budget new text end 24.23 new text begin shall deduct from the university's appropriation base an amount equal to one percent of the new text end 24.24 new text begin university's appropriation base in the first year of the next biennium. new text end 24.25 new text begin EFFECTIVE DATE. new text end new text begin This section is effective beginning September 1, 2017, and applies new text end 24.26 new text begin to actions taken by a governing body of a public postsecondary institution. new text end 24.27    Sec. 4. new text begin [135A.158] INFORMATION PROVIDED TO STUDENT PARENTS AND new text end 24.28 new text begin PREGNANT STUDENTS. new text end 24.29 new text begin A public or regionally accredited private postsecondary educational institution must new text end 24.30 new text begin provide information according to this section to students who are parents of one or more new text end 24.31 new text begin children age 12 or younger, and to students who notify the institution that they are pregnant. new text end 24.32 new text begin The information must include a fact sheet on the legal rights of student parents and pregnant new text end 24.33 new text begin students and a list of resources to support student parents and pregnant students. The list of new text end 25.1 new text begin resources may include resources for prenatal care, child care, transportation, and housing. new text end 25.2 new text begin This information must be available in languages that reflect the primary languages of the new text end 25.3 new text begin institution's student body. The Board of Regents of the University of Minnesota is requested new text end 25.4 new text begin to comply with this section. new text end 25.5    Sec. 5. new text begin [136A.055] DEVELOPMENTAL EDUCATION REPORTING. new text end 25.6 new text begin (a) The commissioner must report on the department's Web site the following summary new text end 25.7 new text begin data on students who graduated from a Minnesota high school and are attending a public new text end 25.8 new text begin postsecondary institution in Minnesota, limited to the most recent academic school year: new text end 25.9 new text begin (1) the number of students placed in supplemental or developmental education; new text end 25.10 new text begin (2) the number of students who complete supplemental or developmental education new text end 25.11 new text begin within one academic year; new text end 25.12 new text begin (3) the number of students that complete gateway courses in one academic year; and new text end 25.13 new text begin (4) time to complete a degree or certificate at a postsecondary institution. new text end 25.14 new text begin (b) Summary data must be aggregated by school district, high school, and postsecondary new text end 25.15 new text begin institution. Summary data must be disaggregated by race, ethnicity, free or reduced-price new text end 25.16 new text begin lunch eligibility, and age. new text end 25.17 new text begin (c) The commissioner must post the initial data on the department's Web site on or before new text end 25.18 new text begin February 15, 2018, and must update the data at least annually thereafter. new text end 25.19    Sec. 6. Minnesota Statutes 2016, section 136A.101, subdivision 5a, is amended to read: 25.20    Subd. 5a. Assigned family responsibility. "Assigned family responsibility" means the 25.21amount of a family's contribution to a student's cost of attendance, as determined by a federal 25.22need analysis. For dependent students, the assigned family responsibility is 94 new text begin 84 new text end percent 25.23of the parental contribution. For independent students with dependents other than a spouse, 25.24the assigned family responsibility is 86 new text begin 76 new text end percent of the student contribution. For 25.25independent students without dependents other than a spouse, the assigned family 25.26responsibility is 50 new text begin 40 new text end percent of the student contribution. 25.27    Sec. 7. Minnesota Statutes 2016, section 136A.121, subdivision 6, is amended to read: 25.28    Subd. 6. Cost of attendance. (a) The recognized cost of attendance consists of: (1) an 25.29allowance specified in law for living and miscellaneous expenses, and (2) an allowance for 25.30tuition and fees equal to the lesser of the average tuition and fees charged by the institution, 25.31or a tuition and fee maximum if one is established in law. If no living and miscellaneous 26.1expense allowance is established in law, the allowance is equal to new text begin 101 percent of new text end the federal 26.2poverty guidelines for a one person household in Minnesota for nine months. If no tuition 26.3and fee maximum is established in law, the allowance for tuition and fees is equal to the 26.4lesser of: (1) the average tuition and fees charged by the institution, and (2) for two-year 26.5programs, an amount equal to the highest tuition and fees charged at a public two-year 26.6institution, or for four-year programs, an amount equal to the highest tuition and fees charged 26.7at a public university. 26.8(b) For a student registering for less than full time, the office shall prorate the cost of 26.9attendance to the actual number of credits for which the student is enrolled. 26.10(c) The recognized cost of attendance for a student who is confined to a Minnesota 26.11correctional institution shall consist of the tuition and fee component in paragraph (a), with 26.12no allowance for living and miscellaneous expenses. 26.13(d) For the purpose of this subdivision, "fees" include only those fees that are mandatory 26.14and charged to full-time resident students attending the institution. Fees do not include 26.15charges for tools, equipment, computers, or other similar materials where the student retains 26.16ownership. Fees include charges for these materials if the institution retains ownership. Fees 26.17do not include optional or punitive fees. 26.18    Sec. 8. new text begin [136A.1215] GRANTS FOR STUDENTS WITH INTELLECTUAL AND new text end 26.19 new text begin DEVELOPMENTAL DISABILITIES. new text end 26.20     new text begin Subdivision 1. new text end new text begin Establishment. new text end new text begin A program is established to provide financial assistance new text end 26.21 new text begin to students with intellectual and developmental disabilities that attend a Minnesota new text end 26.22 new text begin postsecondary institution. new text end 26.23     new text begin Subd. 2. new text end new text begin Eligible students. new text end new text begin A postsecondary student is eligible for a grant under this new text end 26.24 new text begin section if the student: new text end 26.25 new text begin (1) meets the eligibility requirements in section 136A.121, subdivision 2; new text end 26.26 new text begin (2) is a student with an intellectual disability, as defined in Code of Federal Regulations, new text end 26.27 new text begin title 34, section 668.231, and is enrolled in a comprehensive transition and postsecondary new text end 26.28 new text begin program under that section; and new text end 26.29 new text begin (3) attends an eligible institution, as defined in section 136A.101, subdivision 4. new text end 26.30     new text begin Subd. 3. new text end new text begin Application. new text end new text begin To receive a grant under this section, a student must apply in the new text end 26.31 new text begin form and manner specified by the commissioner. new text end 27.1     new text begin Subd. 4. new text end new text begin Grant amounts. new text end new text begin (a) The amount of a grant under this section equals the tuition new text end 27.2 new text begin and fees at the student's postsecondary institution, minus: new text end 27.3 new text begin (1) any Pell or state grants the student receives; and new text end 27.4 new text begin (2) any institutional aid the student receives. new text end 27.5 new text begin (b) If appropriations are insufficient to provide the full amount calculated under paragraph new text end 27.6 new text begin (a) to all eligible applicants, the commissioner must reduce the grants of all recipients new text end 27.7 new text begin proportionally. new text end 27.8     new text begin Subd. 5. new text end new text begin Reporting. new text end new text begin By February 15 of each year, the commissioner of higher education new text end 27.9 new text begin must submit a report on the details of the program under this section to the legislative new text end 27.10 new text begin committees with jurisdiction over higher education finance and policy. The report must new text end 27.11 new text begin include the following information, broken out by postsecondary institution: new text end 27.12 new text begin (1) the number of students receiving an award; new text end 27.13 new text begin (2) the average and total award amounts; and new text end 27.14 new text begin (3) summary demographic data on award recipients. new text end 27.15    Sec. 9. Minnesota Statutes 2016, section 136A.125, subdivision 2, is amended to read: 27.16    Subd. 2. Eligible students. (a) An applicant is eligible for a child care grant if the 27.17applicant: 27.18    (1) is a resident of the state of Minnesota or the applicant's spouse is a resident of the 27.19state of Minnesota; 27.20    (2) has a child 12 years of age or younger, or 14 years of age or younger who is disabled 27.21as defined in section 125A.02, and who is receiving or will receive care on a regular basis 27.22from a licensed or legal, nonlicensed caregiver; 27.23    (3) is income eligible as determined by the office's policies and rules, but is not a recipient 27.24of assistance from the Minnesota family investment program; 27.25    (4) either has not earned a baccalaureate degree and has been enrolled full time less than 27.26eight new text begin ten new text end semesters or the equivalent, or has earned a baccalaureate degree and has been 27.27enrolled full time less than eight new text begin ten new text end semesters or the equivalent in a graduate or professional 27.28degree program; 27.29    (5) is pursuing a nonsectarian program or course of study that applies to an undergraduate, 27.30graduate, or professional degree, diploma, or certificate; 28.1    (6) is enrolled in at least six credits in an undergraduate program or one credit in a 28.2graduate or professional program in an eligible institution; and 28.3    (7) is in good academic standing and making satisfactory academic progress. 28.4    (b) A student who withdraws from enrollment for active military service after December 28.531, 2002, because the student was ordered to active military service as defined in section 28.6190.05, subdivision 5b or 5c, or for a major illness, while under the care of a medical 28.7professional, that substantially limits the student's ability to complete the term is entitled to 28.8an additional semester or the equivalent of grant eligibility and will be considered to be in 28.9continuing enrollment status upon return. 28.10    Sec. 10. Minnesota Statutes 2016, section 136A.125, subdivision 4, is amended to read: 28.11    Subd. 4. Amount and length of grants. (a) The amount of a child care grant must be 28.12based on: 28.13    (1) the income of the applicant and the applicant's spouse; 28.14    (2) the number in the applicant's family, as defined by the office; and 28.15    (3) the number of eligible children in the applicant's family. 28.16    (b) The maximum award to the applicant shall be $2,800 new text begin $3,000 new text end for each eligible child 28.17per academic year, except that the campus financial aid officer may apply to the office for 28.18approval to increase grants by up to ten percent to compensate for higher market charges 28.19for infant care in a community. The office shall develop policies to determine community 28.20market costs and review institutional requests for compensatory grant increases to ensure 28.21need and equal treatment. The office shall prepare a chart to show the amount of a grant 28.22that will be awarded per child based on the factors in this subdivision. The chart shall include 28.23a range of income and family size. 28.24(c) Applicants with family incomes at or below a percentage of the federal poverty level, 28.25as determined by the commissioner, will qualify for the maximum award. The commissioner 28.26shall attempt to set the percentage at a level estimated to fully expend the available 28.27appropriation for child care grants. Applicants with family incomes exceeding that threshold 28.28will receive the maximum award minus ten percent of their income exceeding that threshold. 28.29If the result is less than zero, the grant is zero. 28.30(d) The academic year award amount must be disbursed by academic term using the 28.31following formula: 28.32(1) the academic year amount described in paragraph (b); 29.1(2) divided by the number of terms in the academic year; 29.2(3) divided by 15 for undergraduate students and six for graduate and professional 29.3students; and 29.4(4) multiplied by the number of credits for which the student is enrolled that academic 29.5term, up to 15 credits for undergraduate students and six for graduate and professional 29.6students. 29.7(e) Payments shall be made each academic term to the student or to the child care 29.8provider, as determined by the institution. Institutions may make payments more than once 29.9within the academic term. 29.10    Sec. 11. Minnesota Statutes 2016, section 136A.1275, is amended to read: 29.11136A.1275 GRANTS TO STUDENT TEACHERS IN SHORTAGE AREAS new text begin new text end 29.12 new text begin TEACHER CANDIDATE GRANTS new text end . 29.13    Subdivision 1. Establishment. new text begin (a) new text end The commissioner of the Office of Higher Education 29.14must establish a grant program for student teaching stipends for low-income students enrolled 29.15in a Board of Teaching-approved teacher preparation program who are interested in teaching 29.16in a high needs subject area or region new text begin intend to teach in a shortage area new text end after graduating and 29.17receiving their teaching license new text begin or belong to an underrepresented racial or ethnic group new text end . For 29.18purposes of this section, "high needs subject area or region" means a shortage of teachers 29.19teaching in particular subject areas or a shortage of teachers teaching in particular regions 29.20of the state identified in the commissioner of education's biennial survey of districts under 29.21section 127A.05, subdivision 6, or in another Department of Education survey on teacher 29.22shortages. 29.23 new text begin (b) "Shortage area" means a license field or economic development region within new text end 29.24 new text begin Minnesota defined as a shortage area by the Department of Education using data collected new text end 29.25 new text begin for the teacher supply and demand report under section 127A.05, subdivision 6, or other new text end 29.26 new text begin surveys conducted by the Department of Education that provide indicators for teacher supply new text end 29.27 new text begin and demand. new text end 29.28    Subd. 2. Eligibility. To be eligible for a grant under this section, a teacher candidate 29.29must: 29.30(1) be enrolled in a Board of Teaching-approved teacher preparation program that requires 29.31at least 12 weeks of student teaching and results in the teacher candidate receiving new text begin in order new text end 29.32 new text begin to be recommended for new text end a full professional teaching license enabling the licensee to teach 29.33in a high needs subject area or region; and 30.1(2) demonstrate financial need based on criteria established by the commissioner under 30.2subdivision 3 new text begin ; new text end new text begin new text end 30.3 new text begin (3) intend to teach in a shortage area or belong to an underrepresented racial or ethnic new text end 30.4 new text begin group; and new text end 30.5 new text begin (4) be meeting satisfactory academic progress as defined under section 136A.101, new text end 30.6 new text begin subdivision 10 new text end . 30.7    Subd. 3. Administration; repayment. (a) The commissioner must establish an 30.8application process and other guidelines for implementing this program new text begin , including repayment new text end 30.9 new text begin responsibilities for stipend recipients who do not complete student teaching or who leave new text end 30.10 new text begin Minnesota to teach in another state during the first year after student teaching new text end . 30.11(b) The commissioner must determine each academic year the stipend amount new text begin up to new text end 30.12 new text begin $7,500 new text end based on the amount of available funding and new text begin , new text end the number of eligible applicants new text begin , new text end 30.13 new text begin and the financial need of the applicants new text end . 30.14 new text begin (c) The percentage of the total award reserved for teacher candidates who identify as new text end 30.15 new text begin belonging to an underrepresented racial or ethnic group must be equal to or greater than the new text end 30.16 new text begin total percentage of students of underrepresented racial or ethnic groups as measured under new text end 30.17 new text begin section 120B.35, subdivision 3. If this percentage cannot be met because of a lack of new text end 30.18 new text begin qualifying candidates, the remaining amount may be awarded to teacher candidates who new text end 30.19 new text begin intend to teach in a shortage area. new text end 30.20    Sec. 12. new text begin [136A.1789] AVIATION DEGREE LOAN FORGIVENESS PROGRAM. new text end 30.21     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin (a) For purposes of this section, the terms in this subdivision new text end 30.22 new text begin have the meanings given them. new text end 30.23 new text begin (b) "Qualified aircraft technician" means an individual who (1) has earned an associate's new text end 30.24 new text begin or bachelor's degree from a postsecondary institution located in Minnesota, and (2) has new text end 30.25 new text begin obtained an aviation mechanic's certificate from the Federal Aviation Administration. new text end 30.26 new text begin (c) "Qualified education loan" means a government, commercial, or foundation loan new text end 30.27 new text begin used by an individual for actual costs paid for tuition to a postsecondary institution located new text end 30.28 new text begin in Minnesota for a professional flight training degree. new text end 30.29 new text begin (d) "Qualified pilot" means an individual who (1) has earned an associate's or bachelor's new text end 30.30 new text begin degree in professional flight training from a postsecondary institution located in Minnesota, new text end 30.31 new text begin and (2) is in the process of obtaining or has obtained an airline transport pilot certificate. new text end 31.1     new text begin Subd. 2. new text end new text begin Creation of account. new text end new text begin (a) An aviation degree loan forgiveness program account new text end 31.2 new text begin is established to provide qualified pilots and qualified aircraft technicians with financial new text end 31.3 new text begin assistance in repaying qualified education loans. The commissioner must use money from new text end 31.4 new text begin the account to establish and administer the aviation degree loan forgiveness program. new text end 31.5 new text begin (b) Appropriations made to the aviation degree loan forgiveness program account do new text end 31.6 new text begin not cancel and are available until expended. new text end 31.7     new text begin Subd. 3. new text end new text begin Eligibility. new text end new text begin (a) To be eligible to participate in the loan forgiveness program new text end 31.8 new text begin under this section, an individual must: new text end 31.9 new text begin (1) be a qualified pilot or qualified aircraft technician; new text end 31.10 new text begin (2) have qualified education loans; new text end 31.11 new text begin (3) reside in Minnesota; and new text end 31.12 new text begin (4) submit an application to the commissioner in the form and manner prescribed by the new text end 31.13 new text begin commissioner. new text end 31.14 new text begin (b) An applicant selected to participate must sign a contract to agree to serve a minimum new text end 31.15 new text begin one-year full-time service obligation according to subdivision 4. To complete the service new text end 31.16 new text begin obligation, the applicant must work full time in Minnesota as a qualified pilot or qualified new text end 31.17 new text begin aircraft technician. A participant must complete one year of service under this paragraph new text end 31.18 new text begin for each year the participant receives an award under this section. new text end 31.19     new text begin Subd. 4. new text end new text begin Service obligation. new text end new text begin (a) Before receiving loan repayment disbursements and as new text end 31.20 new text begin requested, a participant must verify to the commissioner that the participant is employed in new text end 31.21 new text begin a position that fulfills the service obligation as required under subdivision 3, paragraph (b). new text end 31.22 new text begin (b) If a participant does not fulfill the required service obligation, the commissioner new text end 31.23 new text begin must collect from the participant the total amount paid to the participant under the loan new text end 31.24 new text begin forgiveness program plus interest at a rate established according to section 270C.40. The new text end 31.25 new text begin commissioner must deposit the money collected in the aviation degree loan forgiveness new text end 31.26 new text begin account. The commissioner must allow waivers of all or part of the money owed the new text end 31.27 new text begin commissioner as a result of a nonfulfillment penalty if emergency circumstances prevented new text end 31.28 new text begin fulfillment of the minimum service commitment. new text end 31.29     new text begin Subd. 5. new text end new text begin Loan forgiveness. new text end new text begin (a) The commissioner may select eligible applicants each new text end 31.30 new text begin year for participation in the aviation degree loan forgiveness program, within the limits of new text end 31.31 new text begin available funding. Applicants are responsible for securing their own qualified education new text end 31.32 new text begin loans. new text end 32.1 new text begin (b) For each year that the participant meets the eligibility requirements under subdivision new text end 32.2 new text begin 3, the commissioner must make annual disbursements directly to: new text end new text begin new text end 32.3 new text begin (1) a selected qualified pilot of $5,000 or the balance of the participant's qualified new text end 32.4 new text begin education loans, whichever is less; and new text end 32.5 new text begin (2) a selected qualified aircraft technician of $3,000 or the balance of the participant's new text end 32.6 new text begin qualified education loans, whichever is less. new text end 32.7 new text begin (c) An individual may receive disbursements under this section for a maximum of five new text end 32.8 new text begin years. new text end 32.9 new text begin (d) The participant must provide the commissioner with verification that the full amount new text end 32.10 new text begin of the loan repayment disbursement received by the participant has been applied toward the new text end 32.11 new text begin designated qualified education loan. After each disbursement, verification must be received new text end 32.12 new text begin by the commissioner and approved before the next repayment disbursement is made. new text end 32.13 new text begin (e) If the participant receives a disbursement in the participant's fifth year of eligibility, new text end 32.14 new text begin the participant must provide the commissioner with verification that the full amount of the new text end 32.15 new text begin participant's final loan repayment disbursement was applied toward the designated qualified new text end 32.16 new text begin education loan. If a participant does not provide the verification as required under this new text end 32.17 new text begin paragraph within six months of receipt of the final disbursement, the commissioner must new text end 32.18 new text begin collect from the participant the amount of the final disbursement. The commissioner must new text end 32.19 new text begin deposit the money collected in the aviation degree loan forgiveness program account. new text end 32.20     new text begin Subd. 6. new text end new text begin Rules. new text end new text begin The commissioner may adopt rules to implement this section. new text end 32.21    Sec. 13. new text begin [136A.1794] AGRICULTURAL EDUCATION LOAN FORGIVENESS new text end 32.22 new text begin PROGRAM. new text end 32.23     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin (a) For purposes of this section, the terms in this subdivision new text end 32.24 new text begin have the meanings given. new text end 32.25 new text begin (b) "Qualified education loan" means a government, commercial, or foundation loan for new text end 32.26 new text begin actual costs paid for tuition, reasonable education expenses, and reasonable living expenses new text end 32.27 new text begin related to the graduate or undergraduate education of a qualified teacher. new text end 32.28 new text begin (c) "Qualified teacher" means a teacher licensed under chapter 122A who: new text end 32.29 new text begin (1) is employed in a nonadministrative position teaching agricultural education in any new text end 32.30 new text begin grade from grades 5 through 12 at a Minnesota school during the current year; and new text end 33.1 new text begin (2) has completed an undergraduate or graduate program in agricultural education at a new text end 33.2 new text begin college or university approved by the state of Minnesota to prepare persons for teacher new text end 33.3 new text begin licensure. new text end 33.4 new text begin (d) "School" means the following: new text end 33.5 new text begin (1) a school or program operated by a school district or a group of school districts; new text end 33.6 new text begin (2) a tribal contract school eligible to receive aid according to section 124D.83; new text end 33.7 new text begin (3) a charter school; or new text end 33.8 new text begin (4) a private school. new text end 33.9     new text begin Subd. 2. new text end new text begin Account; appropriation. new text end new text begin An agricultural education loan forgiveness account new text end 33.10 new text begin is established in the special revenue fund to provide qualified teachers with financial new text end 33.11 new text begin assistance to repay qualified education loans. Money in the account, including interest, is new text end 33.12 new text begin appropriated to the commissioner for purposes of this section. new text end 33.13     new text begin Subd. 3. new text end new text begin Eligibility. new text end new text begin (a) To be eligible to participate in the loan forgiveness program new text end 33.14 new text begin under this section, an individual must: new text end 33.15 new text begin (1) be a qualified teacher; new text end 33.16 new text begin (2) have qualified education loans; and new text end 33.17 new text begin (3) submit an application to the commissioner in the form and manner prescribed by the new text end 33.18 new text begin commissioner. new text end 33.19 new text begin (b) An applicant selected to participate must sign a contract to agree to serve a minimum new text end 33.20 new text begin one-year full-time service obligation according to subdivision 4. To complete the service new text end 33.21 new text begin obligation, the applicant must work full time in Minnesota as a qualified teacher. A participant new text end 33.22 new text begin must complete one year of service under this paragraph for each year the participant receives new text end 33.23 new text begin an award under this section. new text end 33.24     new text begin Subd. 4. new text end new text begin Service obligation. new text end new text begin (a) Before receiving loan repayment disbursements and as new text end 33.25 new text begin requested, a participant must verify to the commissioner that the participant is employed in new text end 33.26 new text begin a position that fulfills the service obligation as required under subdivision 3, paragraph (b). new text end 33.27 new text begin (b) If a participant does not fulfill the required service obligation, the commissioner new text end 33.28 new text begin must collect from the participant the total amount paid to the participant under the loan new text end 33.29 new text begin forgiveness program plus interest at a rate established according to section 270C.40. The new text end 33.30 new text begin commissioner must deposit the money collected in the agricultural education loan forgiveness new text end 33.31 new text begin account. The commissioner must allow waivers of all or part of the money owed the new text end 34.1 new text begin commissioner as a result of a nonfulfillment penalty if emergency circumstances prevented new text end 34.2 new text begin fulfillment of the minimum service commitment. new text end 34.3     new text begin Subd. 5. new text end new text begin Loan forgiveness. new text end new text begin (a) The commissioner may select eligible applicants each new text end 34.4 new text begin year for participation in the agricultural education loan forgiveness program, within the new text end 34.5 new text begin limits of available funding. Applicants are responsible for securing their own qualified new text end 34.6 new text begin education loans. new text end 34.7 new text begin (b) The commissioner must make annual disbursements directly to the eligible participant new text end 34.8 new text begin of $3,000 or the balance of the participant's qualified education loans, whichever is less, new text end 34.9 new text begin for each year that the participant meets the eligibility requirements under subdivision 3, up new text end 34.10 new text begin to a maximum of five years. new text end 34.11 new text begin (c) The participant must provide the commissioner with verification that the full amount new text end 34.12 new text begin of the loan repayment disbursement received by the participant has been applied toward the new text end 34.13 new text begin designated qualified education loan. After each disbursement, verification must be received new text end 34.14 new text begin by the commissioner and approved before the next repayment disbursement is made. new text end 34.15    Sec. 14. Minnesota Statutes 2016, section 136A.653, is amended by adding a subdivision 34.16to read: 34.17     new text begin Subd. 5. new text end new text begin Regionally accredited institutions in Minnesota. new text end new text begin (a) A regionally accredited new text end 34.18 new text begin postsecondary institution with its primary physical location in Minnesota is exempt from new text end 34.19 new text begin the provisions of sections 136A.61 to 136A.71, including related fees, when it creates new new text end 34.20 new text begin or modifies existing: new text end 34.21 new text begin (1) majors, minors, concentrations, specializations, and areas of emphasis within approved new text end 34.22 new text begin degrees; new text end 34.23 new text begin (2) nondegree programs within approved degrees; new text end new text begin new text end 34.24 new text begin (3) underlying curriculum or courses; new text end 34.25 new text begin (4) modes of delivery; and new text end 34.26 new text begin (5) locations. new text end 34.27 new text begin (b) The institution must annually notify the commissioner of the exempt actions listed new text end 34.28 new text begin in paragraph (a) and, upon the commissioner's request, must provide additional information new text end 34.29 new text begin about the action. new text end 34.30 new text begin (c) The institution must notify the commissioner within 60 days of a program closing. new text end 35.1 new text begin (d) Nothing in this subdivision exempts an institution from the annual registration and new text end 35.2 new text begin degree approval requirements of sections 136A.61 to 136A.71. new text end 35.3    Sec. 15. Minnesota Statutes 2016, section 136A.685, is amended to read: 35.4136A.685 PRIVATE INSTITUTIONS; ADJUDICATION OF FRAUD OR 35.5MISREPRESENTATION. 35.6 new text begin (a) new text end The office shall not provide new text begin may revoke, or deny an application for, new text end registration or 35.7degree or name approval to a school if there has been a criminal, civil, or administrative 35.8adjudication of fraud or misrepresentation in Minnesota or in another state or jurisdiction 35.9against the school or its owner, officers, agents, or sponsoring organization. new text begin If the new text end 35.10 new text begin adjudication was related to a particular academic program, the office may revoke or deny new text end 35.11 new text begin an application for: new text end 35.12 new text begin (1) degree approval for the program only; new text end 35.13 new text begin (2) registration for the school; or new text end 35.14 new text begin (3) name approval for the school. new text end 35.15 new text begin (b) new text end The adjudication of fraud or misrepresentation is sufficient cause for the office to 35.16determine that a school: 35.17(1) does not qualify for exemption under section 136A.657; or 35.18(2) is not approved to grant degrees or to use the term "academy," "college," "institute," 35.19or "university" in its name. 35.20    Sec. 16. Minnesota Statutes 2016, section 136A.902, subdivision 1, is amended to read: 35.21    Subdivision 1. Membership. The commissioner shall appoint a 12-member new text begin 14-member new text end 35.22advisory council consisting of: 35.23(1) one member representing the University of Minnesota Medical School; 35.24(2) one member representing the Mayo Medical School; 35.25(3) one member representing the Courage Kenny Rehabilitation Center; 35.26(4) one member representing Hennepin County Medical Center; 35.27(5) one member who is a neurosurgeon; 35.28(6) one member who has a spinal cord injury; 35.29(7) one member who is a family member of a person with a spinal cord injury; 36.1(8) one member who has a traumatic brain injury; 36.2(9) one member who is a veteran who has a spinal cord injury or a traumatic brain injury; 36.3(10) new text begin one member who is a veteran who has a traumatic brain injury; new text end 36.4 new text begin (11) new text end one member who is a family member of a person with a traumatic brain injury; 36.5(11) new text begin (12) new text end one member who is a physician specializing in the treatment of spinal cord 36.6injury representing Gillette Children's Specialty Healthcare; and 36.7(12) new text begin (13) new text end one member who is a physician specializing in the treatment of traumatic brain 36.8injury new text begin ; and new text end 36.9 new text begin (14) one member representing Gillette Children's Specialty Healthcare new text end . 36.10    Sec. 17. new text begin [136F.38] WORKFORCE DEVELOPMENT SCHOLARSHIPS. new text end 36.11     new text begin Subdivision 1. new text end new text begin Program established. new text end new text begin The board shall develop a scholarship program new text end 36.12 new text begin to incentivize new students to enter high-demand occupations upon graduation. new text end 36.13     new text begin Subd. 2. new text end new text begin Scholarship awards. new text end new text begin The program shall award scholarships at the beginning new text end 36.14 new text begin of an academic term, in the amount of $2,500, to be distributed evenly between two terms. new text end 36.15     new text begin Subd. 3. new text end new text begin Program eligibility. new text end new text begin (a) Scholarships shall be awarded only to a student eligible new text end 36.16 new text begin for resident tuition, as defined in section 135A.043, who is enrolled in any of the following new text end 36.17 new text begin programs of study or certification: (1) advanced manufacturing; (2) agriculture; (3) health new text end 36.18 new text begin care services; or (4) information technology. new text end 36.19 new text begin (b) The student must be enrolled for at least nine credits at a two-year college in the new text end 36.20 new text begin Minnesota State Colleges and Universities system. new text end 36.21     new text begin Subd. 4. new text end new text begin Renewal; cap. new text end new text begin A student who has received a scholarship may apply again but new text end 36.22 new text begin total lifetime awards are not to exceed $5,000 per student. Students may only be awarded new text end 36.23 new text begin a second scholarship upon completion of two academic terms. new text end 36.24     new text begin Subd. 5. new text end new text begin Administration. new text end new text begin (a) The board shall establish an application process and other new text end 36.25 new text begin guidelines for implementing this program. new text end 36.26 new text begin (b) The board shall give preference to students in financial need. new text end 36.27     new text begin Subd. 6. new text end new text begin Report required. new text end new text begin The board must submit an annual report by February 1 of new text end 36.28 new text begin each year about the scholarship awards to the chairs and ranking minority members of the new text end 36.29 new text begin senate and house of representatives committees with jurisdiction over higher education new text end 36.30 new text begin finance and policy. The first report is due no later than February 1, 2019. The annual report new text end 36.31 new text begin shall describe the following: new text end 37.1 new text begin (1) the number of students receiving a scholarship at each two-year college during the new text end 37.2 new text begin previous fiscal year; new text end 37.3 new text begin (2) the number of scholarships awarded for each program of study or certification new text end 37.4 new text begin described in subdivision 3, paragraph (a); new text end 37.5 new text begin (3) the number of scholarship recipients who completed a program of study or certification new text end 37.6 new text begin described in subdivision 3, paragraph (a); new text end 37.7 new text begin (4) the number of scholarship recipients who secured employment by their graduation new text end 37.8 new text begin date and those who secured employment within three months of their graduation date; new text end 37.9 new text begin (5) a list of occupations scholarship recipients are entering; and new text end 37.10 new text begin (6) the number of students who were denied a scholarship. new text end 37.11 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2018. new text end 37.12    Sec. 18. new text begin [137.45] PROGRAM FOR STUDENTS WITH INTELLECTUAL AND new text end 37.13 new text begin DEVELOPMENTAL DISABILITIES. new text end 37.14     new text begin Subdivision 1. new text end new text begin Program required. new text end new text begin The Board of Regents of the University of Minnesota new text end 37.15 new text begin is requested to offer an academic program consistent with the requirements of this section new text end 37.16 new text begin for students with intellectual and developmental disabilities at the University of new text end 37.17 new text begin Minnesota-Morris. new text end 37.18     new text begin Subd. 2. new text end new text begin Enrollment and admission. new text end new text begin The program must establish an enrollment goal new text end 37.19 new text begin of at least 15 incoming students per academic year. The board is requested to establish an new text end 37.20 new text begin application process for the program. A student who successfully completes the program new text end 37.21 new text begin must be awarded a certificate, diploma, or other appropriate academic credential. new text end 37.22     new text begin Subd. 3. new text end new text begin Curriculum and activities. new text end new text begin (a) The program must provide an inclusive, new text end 37.23 new text begin full-time, two-year residential college experience for students with intellectual and new text end 37.24 new text begin developmental disabilities. The curriculum must include: new text end 37.25 new text begin (1) core courses that develop life skills, financial literacy, and the ability to live new text end 37.26 new text begin independently; new text end 37.27 new text begin (2) rigorous academic work in a student's chosen field of study; and new text end 37.28 new text begin (3) an internship, apprenticeship, or other skills-based experience to prepare for new text end 37.29 new text begin meaningful employment upon completion of the program. new text end 38.1 new text begin (b) In addition to academic requirements, the program must allow participating students new text end 38.2 new text begin the opportunity to engage fully in campus life. Program activities must include, but are not new text end 38.3 new text begin limited to: new text end 38.4 new text begin (1) the establishment of on-campus mentoring and peer support communities; and new text end 38.5 new text begin (2) opportunities for personal growth through leadership development and other new text end 38.6 new text begin community engagement activities. new text end 38.7 new text begin (c) The program may tailor its curriculum and activities to highlight academic programs, new text end 38.8 new text begin student and community life experiences, and employment opportunities unique to the campus new text end 38.9 new text begin or the region where the campus is located. new text end 38.10     new text begin Subd. 4. new text end new text begin Reporting. new text end new text begin By January 15 of each year, the board must submit a report on the new text end 38.11 new text begin program to the chairs and ranking minority members of the committees in the house of new text end 38.12 new text begin representatives and the senate with jurisdiction over higher education finance and policy. new text end 38.13 new text begin The report must include, but need not be limited to, information regarding: new text end 38.14 new text begin (1) the number of students participating in the program; new text end 38.15 new text begin (2) program goals and outcomes; and new text end 38.16 new text begin (3) the success rate of participants. new text end 38.17 new text begin EFFECTIVE DATE. new text end new text begin This section is effective beginning in the 2018-2019 academic new text end 38.18 new text begin year. new text end 38.19    Sec. 19. new text begin [137.47] FETAL TISSUE RESEARCH. new text end 38.20     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin (a) For purposes of this section, the terms in this subdivision new text end 38.21 new text begin have the meanings given them. new text end 38.22 new text begin (b) "Aborted fetal tissue" means fetal tissue that is available as a result of an elective new text end 38.23 new text begin abortion. new text end 38.24 new text begin (c) "Fetal tissue" means any body part, organ, or cell of an unborn human child. Fetal new text end 38.25 new text begin tissue does not include tissue or cells obtained from a placenta, umbilical cord, or amniotic new text end 38.26 new text begin fluid. new text end 38.27 new text begin (d) "Institutional Review Board" or "IRB" means the University of Minnesota's new text end 38.28 new text begin Institutional Review Board, the primary unit responsible for oversight of human subjects new text end 38.29 new text begin research protections. new text end 39.1 new text begin (e) "Fetal Tissue Research Committee" or "FTR" means an oversight committee at the new text end 39.2 new text begin University of Minnesota with the responsibility to oversee, review, and approve or deny new text end 39.3 new text begin research using fetal tissue. new text end 39.4 new text begin (f) "Non-aborted fetal tissue" means fetal tissue that is available as a result of a new text end 39.5 new text begin miscarriage or stillbirth, or fetal tissue from a living unborn child. new text end 39.6 new text begin (g) "Research" means systematic investigation, including development, testing, and new text end 39.7 new text begin evaluation, designed to develop or contribute to generalizable knowledge. Research does new text end 39.8 new text begin not include a procedure or test administered to a particular patient by a physician for medical new text end 39.9 new text begin purposes. new text end 39.10     new text begin Subd. 2. new text end new text begin Approval by the Fetal Tissue Research Committee. new text end new text begin (a) A researcher at the new text end 39.11 new text begin University of Minnesota must obtain approval from the FTR before conducting research new text end 39.12 new text begin using fetal tissue. The FTR must consider whether alternatives to fetal tissue would be new text end 39.13 new text begin sufficient for the research. If the proposed research involves aborted fetal tissue, the new text end 39.14 new text begin researcher must provide a written narrative justifying the use of aborted fetal tissue and new text end 39.15 new text begin discussing whether alternatives to aborted fetal tissue, including non-aborted fetal tissue, new text end 39.16 new text begin can be used. new text end 39.17 new text begin (b) The FTR must submit its decision to the IRB. The IRB is requested to review the new text end 39.18 new text begin conclusions of the FTR to ensure that all alternatives have been considered. new text end 39.19     new text begin Subd. 3. new text end new text begin Legislative report. new text end new text begin (a) No later than January 15 of each year, the Board of new text end 39.20 new text begin Regents must submit a report to the chairs and ranking minority members of the legislative new text end 39.21 new text begin committees with jurisdiction over higher education policy and finance and health and human new text end 39.22 new text begin services policy and finance. The report must describe: new text end 39.23 new text begin (1) all fetal tissue research proposals submitted to the FTR or IRB, including any written new text end 39.24 new text begin narrative required under subdivision 2; new text end 39.25 new text begin (2) whether the research proposal involved aborted fetal tissue; new text end 39.26 new text begin (3) action by the FTR or IRB on all fetal tissue research proposals, including whether new text end 39.27 new text begin the proposal was approved by the FTR or IRB; new text end 39.28 new text begin (4) a list of all new or ongoing fetal tissue research projects at the university, including: new text end 39.29 new text begin (i) the date that the project was approved by the FTR or IRB; new text end 39.30 new text begin (ii) the source of funding for the project; new text end 39.31 new text begin (iii) the goal or purpose of the project; new text end 39.32 new text begin (iv) whether the fetal tissue used is aborted fetal tissue or non-aborted fetal tissue; new text end 40.1 new text begin (v) the source of the fetal tissue used; new text end 40.2 new text begin (vi) references to any publicly available information about the project, such as National new text end 40.3 new text begin Institutes of Health grant award information; and new text end 40.4 new text begin (vii) references to any publications resulting from the project. new text end 40.5 new text begin (b) The report must not include a researcher's name, other identifying information, new text end 40.6 new text begin contact information, or the location of a laboratory or office. new text end 40.7     new text begin Subd. 4. new text end new text begin Education on compliance to applicable laws and policies. new text end new text begin The University new text end 40.8 new text begin of Minnesota is requested to conduct education programs for all students and employees new text end 40.9 new text begin engaged in research on fetal tissue. Programs are requested to include mandatory new text end 40.10 new text begin comprehensive training on applicable federal and state laws, university policies and new text end 40.11 new text begin procedures, and other professional standards related to the respectful, humane, and ethical new text end 40.12 new text begin treatment of fetal tissue in research. new text end 40.13    Sec. 20. Minnesota Statutes 2016, section 148.89, subdivision 5, is amended to read: 40.14    Subd. 5. Practice of psychology. "Practice of psychology" means the observation, 40.15description, evaluation, interpretation, or modification of human behavior by the application 40.16of psychological principles, methods, or procedures for any reason, including to prevent, 40.17eliminate, or manage symptomatic, maladaptive, or undesired behavior and to enhance 40.18interpersonal relationships, work, life and developmental adjustment, personal and 40.19organizational effectiveness, behavioral health, and mental health. The practice of psychology 40.20includes, but is not limited to, the following services, regardless of whether the provider 40.21receives payment for the services: 40.22(1) psychological research and teaching of psychology new text begin subject to the exemptions in new text end 40.23 new text begin section 148.9075 new text end ; 40.24(2) assessment, including psychological testing and other means of evaluating personal 40.25characteristics such as intelligence, personality, abilities, interests, aptitudes, and 40.26neuropsychological functioning; 40.27(3) a psychological report, whether written or oral, including testimony of a provider as 40.28an expert witness, concerning the characteristics of an individual or entity; 40.29(4) psychotherapy, including but not limited to, categories such as behavioral, cognitive, 40.30emotive, systems, psychophysiological, or insight-oriented therapies; counseling; hypnosis; 40.31and diagnosis and treatment of: 40.32(i) mental and emotional disorder or disability; 41.1(ii) alcohol and substance dependence or abuse; 41.2(iii) disorders of habit or conduct; 41.3(iv) the psychological aspects of physical illness or condition, accident, injury, or 41.4disability, including the psychological impact of medications; 41.5(v) life adjustment issues, including work-related and bereavement issues; and 41.6(vi) child, family, or relationship issues; 41.7(5) psychoeducational services and treatment; and 41.8(6) consultation and supervision. 41.9    Sec. 21. new text begin [148.9075] LICENSURE EXEMPTIONS. new text end 41.10     new text begin Subdivision 1. new text end new text begin Teaching and research. new text end new text begin Nothing in sections 148.88 to 148.98 shall be new text end 41.11 new text begin construed to prevent a person employed in a secondary, postsecondary, or graduate institution new text end 41.12 new text begin from teaching and conducting research in psychology within an educational institution that new text end 41.13 new text begin is recognized by a regional accrediting organization or by a federal, state, county, or local new text end 41.14 new text begin government institution, agency, or research facility, so long as: new text end 41.15 new text begin (1) the institution, agency, or facility provides appropriate oversight mechanisms to new text end 41.16 new text begin ensure public protections; and new text end 41.17 new text begin (2) the person is not providing direct clinical services to a client or clients as defined in new text end 41.18 new text begin sections 148.88 to 148.98. new text end 41.19     new text begin Subd. 2. new text end new text begin Students. new text end new text begin Nothing in sections 148.88 to 148.98 shall prohibit the practice of new text end 41.20 new text begin psychology under qualified supervision by a practicum psychology student, a predoctoral new text end 41.21 new text begin psychology intern, or an individual who has earned a doctoral degree in psychology and is new text end 41.22 new text begin in the process of completing their postdoctoral supervised psychological employment. new text end new text begin new text end 41.23    Sec. 22. new text begin [298.2215] COUNTY SCHOLARSHIP PROGRAM. new text end 41.24     new text begin Subdivision 1. new text end new text begin Establishment. new text end new text begin A county may establish a scholarship fund from any new text end 41.25 new text begin unencumbered revenue received pursuant to section 298.018, 298.28, 298.39, 298.396, or new text end 41.26 new text begin 298.405 or any law imposing a tax upon severed mineral values. Scholarships must be used new text end 41.27 new text begin at a two-year Minnesota State Colleges and Universities institution within the county. The new text end 41.28 new text begin county shall establish procedures for applying for and distributing the scholarships. new text end 42.1     new text begin Subd. 2. new text end new text begin Eligibility. new text end new text begin An applicant for a scholarship under this section must be a resident new text end 42.2 new text begin of the county at the time of the applicant's high school graduation. The county may establish new text end 42.3 new text begin additional eligibility criteria. new text end 42.4    Sec. 23. Laws 2014, chapter 312, article 1, section 15, is amended to read: 42.5    Sec. 15. UNIVERSITY OF MINNESOTA BASE ADJUSTMENT. 42.6     new text begin (a) new text end For fiscal years 2016 to 2041 new text begin 2017 new text end , $3,500,000 is added to the base operations and 42.7maintenance appropriation to the Board of Regents of the University of Minnesota in Laws 42.82013, chapter 99, article 1, section 5. 42.9 new text begin (b) For fiscal years 2018 to 2040, $3,312,000 is added to the base operations and new text end 42.10 new text begin maintenance appropriation to the Board of Regents of the University of Minnesota in Laws new text end 42.11 new text begin 2013, chapter 99, article 1, section 5. new text end 42.12    Sec. 24. new text begin SUPPLEMENTAL AID FOR TWO-YEAR MNSCU INSTITUTIONS. new text end 42.13 new text begin The Board of Trustees of the Minnesota State Colleges and Universities shall provide new text end 42.14 new text begin supplemental aid for operations and maintenance to the president of each two-year institution new text end 42.15 new text begin in the system with at least one campus that is not located in a metropolitan county, as defined new text end 42.16 new text begin in Minnesota Statutes, section 473.121, subdivision 4. The board shall transfer $100,000 new text end 42.17 new text begin for each campus not located in a metropolitan county in each year to the president of each new text end 42.18 new text begin institution that includes such a campus, provided that no institution may receive more than new text end 42.19 new text begin $300,000 in total supplemental aid each year. new text end 42.20    Sec. 25. new text begin DEVELOPMENTAL EDUCATION REFORM. new text end 42.21 new text begin (a) The Board of Trustees of the Minnesota State Colleges and Universities shall create new text end 42.22 new text begin a plan to reform developmental education offerings on system campuses aimed at reducing new text end 42.23 new text begin the number of students placed into developmental education. The plan must include, but is new text end 42.24 new text begin not limited to: new text end 42.25 new text begin (1) a systemwide multiple measures placement plan to guide campuses in placement of new text end 42.26 new text begin students into developmental education courses; new text end new text begin new text end 42.27 new text begin (2) uniform cut scores for student placement, where appropriate, which will lead to fewer new text end 42.28 new text begin students being placed into developmental education courses; new text end 42.29 new text begin (3) other identified system policy changes, including an appeals process, that will decrease new text end 42.30 new text begin the number of students being placed into developmental education courses; new text end 43.1 new text begin (4) accelerated pathways in mathematics, reading, and composition to ensure students new text end 43.2 new text begin can complete developmental education work in no more than one year, including allowing new text end 43.3 new text begin for students to complete college-level gateway courses in one year whenever possible; new text end 43.4 new text begin (5) a comprehensive examination of the cost structure of developmental education, new text end 43.5 new text begin including potential financial incentives for students or other mechanisms to lower the cost new text end 43.6 new text begin of developmental offerings for students; and new text end 43.7 new text begin (6) identified best practices and targeted support strategies such as the use of supplemental new text end 43.8 new text begin instruction, that may be used on every system campus around developmental education new text end 43.9 new text begin offerings. new text end 43.10 new text begin (b) The plan must include deadlines for implementation of proposed changes and must new text end 43.11 new text begin be submitted to the chairs and ranking minority members of the legislative committees with new text end 43.12 new text begin jurisdiction over higher education finance and policy by February 15, 2018. new text end 43.13 new text begin (c) The plan, in its entirety, shall be implemented by the start of the 2020-2021 academic new text end 43.14 new text begin term, with individual provisions being implemented earlier as dictated by the plan. new text end 43.15    Sec. 26. new text begin GREATER MINNESOTA OUTREACH AND RECRUITMENT. new text end 43.16 new text begin The Board of Regents of the University of Minnesota is requested to develop a plan to new text end 43.17 new text begin conduct outreach and recruitment of students from Minnesota, specifically identifying new text end 43.18 new text begin mechanisms to increase the number of students from greater Minnesota who are admitted new text end 43.19 new text begin to the university campus located in the metropolitan area. Greater Minnesota is defined as new text end 43.20 new text begin any area other than the area described in Minnesota Statutes, section 473.121, subdivision new text end 43.21 new text begin 4. The plan must be submitted to the chairs and ranking members of the senate and house new text end 43.22 new text begin of representatives legislative committees with jurisdiction over higher education finance new text end 43.23 new text begin and policy by February 15, 2018. new text end new text begin new text end 43.24    Sec. 27. new text begin UNIVERSITY OF MINNESOTA FETAL TISSUE RESEARCH; new text end 43.25 new text begin LEGISLATIVE AUDITOR REVIEW. new text end 43.26 new text begin (a) The legislative auditor is requested to complete a comprehensive review of the use new text end 43.27 new text begin of fetal tissue in research activities at the University of Minnesota. The review must include: new text end 43.28 new text begin (1) the total number of research activities in which fetal tissue is currently or has been new text end 43.29 new text begin previously used, including those that are in progress and those that have been completed; new text end new text begin new text end 43.30 new text begin (2) the cost of acquiring fetal tissues for use in research activities, itemized by the source new text end 43.31 new text begin of funds used for procurement, including funds from federal, state, and other public sources, new text end 43.32 new text begin and funds derived from student tuition and fees; new text end 44.1 new text begin (3) the extent to which the conduct of the research activities complies with applicable new text end 44.2 new text begin federal and state laws related to acquisition, sale, handling, and disposition of human tissues, new text end 44.3 new text begin including fetal tissues; new text end 44.4 new text begin (4) the extent to which the conduct of the research activities complies with applicable new text end 44.5 new text begin Board of Regents policies and procedures related to acquisition, sale, handling, and new text end 44.6 new text begin disposition of human tissues, including fetal tissues; and new text end 44.7 new text begin (5) whether applicable Board of Regents policies include provisions to ensure fetal tissue new text end 44.8 new text begin is used in research activities only when necessary, and to ensure that the research activities new text end 44.9 new text begin are conducted in an ethical manner, including whether procedures and protocols for oversight new text end 44.10 new text begin have been implemented to verify compliance with these policies. new text end 44.11 new text begin (b) As used in this section, "research activities" include any academic fetal tissue research new text end 44.12 new text begin or fetal tissue transplantation research activity or program conducted in a University of new text end 44.13 new text begin Minnesota facility, or that is supported, directly or indirectly, by University of Minnesota new text end 44.14 new text begin funds. new text end 44.15 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. The new text end 44.16 new text begin legislative auditor is requested to complete the review no later than one year following final new text end 44.17 new text begin enactment. new text end 44.18    Sec. 28. new text begin ONGOING APPROPRIATION. new text end 44.19 new text begin The appropriation under Laws 2016, chapter 189, article 25, section 62, subdivision 11, new text end 44.20 new text begin may be used to provide grants for any purpose under Minnesota Statutes, section 136A.1275. new text end 44.21ARTICLE 3 44.22OFFICE OF HIGHER EDUCATION AGENCY POLICY 44.23    Section 1. Minnesota Statutes 2016, section 135A.15, subdivision 1a, is amended to read: 44.24    Subd. 1a. Sexual assault definition. For the purposes of this section, "sexual assault" 44.25means forcible sex offenses new text begin rape, sex offenses - fondling, sex offenses - incest, or sex new text end 44.26 new text begin offenses - statutory rape new text end as defined in Code of Federal Regulations, title 34, part 668, subpart 44.27D, appendix A, as amended. 44.28    Sec. 2. Minnesota Statutes 2016, section 136A.103, is amended to read: 44.29136A.103 INSTITUTION ELIGIBILITY REQUIREMENTS. 45.1    (a) A postsecondary institution is eligible for state student aid under chapter 136A and 45.2sections 197.791 and 299A.45, if the institution is located in this state and: 45.3    (1) is operated by this state or the Board of Regents of the University of Minnesota; or 45.4    (2) is operated privately and, as determined by the office, meets the requirements of 45.5paragraph (b). 45.6    (b) A private institution must: 45.7    (1) maintain academic standards substantially equivalent to those of comparable 45.8institutions operated in this state; 45.9    (2) be licensed or registered as a postsecondary institution by the office; and 45.10    (3)(i) by July 1, 2010, participate in the federal Pell Grant program under Title IV of 45.11the Higher Education Act of 1965, Public Law 89-329, as amended; or 45.12    (ii) if an institution was participating in state student aid programs as of June 30, 2010, 45.13and the institution did not participate in the federal Pell Grant program by June 30, 2010, 45.14the institution must require every student who enrolls to sign a disclosure form, provided 45.15by the office, stating that the institution is not participating in the federal Pell Grant program. 45.16    (c) An institution that offers only graduate-level degrees or graduate-level nondegree 45.17programs, or that offers only degrees or programs that do not meet the required minimum 45.18program length to participate in the federal Pell Grant program, is an eligible institution if 45.19the institution is licensed or registered as a postsecondary institution by the office. 45.20    (d) An eligible institution under paragraph (b), clause (3), item (ii), that changes 45.21ownership as defined in section 136A.63, subdivision 2, must participate in the federal Pell 45.22Grant program within four calendar years of the first ownership change to continue eligibility. 45.23    (e) An institution that loses its eligibility for the federal Pell Grant program is not an 45.24eligible institution. 45.25 new text begin (f) An institution must maintain adequate administrative and financial standards and new text end 45.26 new text begin compliance with all state statutes, rules, and administrative policies related to state financial new text end 45.27 new text begin aid programs. new text end 45.28    Sec. 3. Minnesota Statutes 2016, section 136A.1795, subdivision 4, is amended to read: 45.29    Subd. 4. Loan forgiveness. (a) The commissioner may select a maximum of five 45.30applicants each year for participation in the loan forgiveness program, within the limits of 46.1available funding. Applicants are responsible for securing their own qualified educational 46.2loans. 46.3(b) The commissioner must select participants based on their suitability for practice 46.4serving the designated rural area, as indicated by experience or training. The commissioner 46.5must give preference to applicants closest to completing their training. 46.6(c) The commissioner must make annual disbursements directly to the participant of 46.7$15,000 or the balance of the participant's qualifying educational loans, whichever is less, 46.8for each year that a participant meets the service obligation required under subdivision 3, 46.9paragraph (b), up to a maximum of five years. 46.10(d) Before receiving loan repayment disbursements and as requested, the participant 46.11must complete and return to the commissioner an affidavit new text begin a confirmation new text end of practice form 46.12provided by the commissioner verifying that the participant is practicing as required under 46.13subdivision 2, paragraph (a). The participant must provide the commissioner with verification 46.14that the full amount of loan repayment disbursement received by the participant has been 46.15applied toward the designated loans. After each disbursement, verification must be received 46.16by the commissioner and approved before the next loan repayment disbursement is made. 46.17(e) Participants who move their practice remain eligible for loan repayment as long as 46.18they practice as required under subdivision 2, paragraph (a). 46.19    Sec. 4. Minnesota Statutes 2016, section 136A.62, is amended by adding a subdivision to 46.20read: 46.21     new text begin Subd. 8. new text end new text begin Entity. new text end new text begin "Entity" means a specific school or campus location. new text end 46.22    Sec. 5. Minnesota Statutes 2016, section 136A.646, is amended to read: 46.23136A.646 ADDITIONAL SECURITY. 46.24    (a) In the event new text begin New schools that have been granted conditional approval for degrees or new text end 46.25 new text begin names to allow them the opportunity to apply for and receive accreditation under section new text end 46.26 new text begin 136A.65, subdivision 7, or new text end any registered institution new text begin that new text end is notified by the United States 46.27Department of Education that it has fallen below minimum financial standards and that its 46.28continued participation in Title IV will be conditioned upon its satisfying either the Zone 46.29Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (f), or a Letter 46.30of Credit Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (c), 46.31the institution shall provide a surety bond conditioned upon the faithful performance of all 46.32contracts and agreements with students in a sum equal to the "letter of credit" required by 47.1the United States Department of Education in the Letter of Credit Alternative, but in no 47.2event shall such bond be less than $10,000 nor more than $250,000. 47.3    (b) In lieu of a bond, the applicant may deposit with the commissioner of management 47.4and budget: 47.5    (1) a sum equal to the amount of the required surety bond in cash; or 47.6    (2) securities, as may be legally purchased by savings banks or for trust funds, in an 47.7aggregate market value equal to the amount of the required surety bond. new text begin ; or new text end 47.8     new text begin (3) an irrevocable letter of credit issued by a financial institution to the amount of the new text end 47.9 new text begin required surety bond. new text end 47.10    (c) The surety of any bond may cancel it upon giving 60 days' notice in writing to the 47.11office and shall be relieved of liability for any breach of condition occurring after the 47.12effective date of cancellation. 47.13 new text begin (d) In the event of a school closure, the additional security must first be used to destroy new text end 47.14 new text begin any private educational data under section 13.32 left at a physical campus in Minnesota new text end 47.15 new text begin after all other governmental agencies have recovered or retrieved records under their record new text end 47.16 new text begin retention policies. Any remaining funds must then be used to reimburse tuition and fee costs new text end 47.17 new text begin to students that were enrolled at the time of the closure or had withdrawn in the previous new text end 47.18 new text begin 120 calendar days but did not graduate. Priority for refunds will be given to students in the new text end 47.19 new text begin following order: new text end 47.20 new text begin (1) cash payments made by the student or on behalf of a student; new text end 47.21 new text begin (2) private student loans; and new text end 47.22 new text begin (3) Veteran Administration education benefits that are not restored by the Veteran new text end 47.23 new text begin Administration. If there are additional security funds remaining, the additional security new text end 47.24 new text begin funds may be used to cover any administrative costs incurred by the office related to the new text end 47.25 new text begin closure of the school. new text end 47.26    Sec. 6. Minnesota Statutes 2016, section 136A.65, subdivision 1a, is amended to read: 47.27    Subd. 1a. Accreditation; requirement. new text begin (a) new text end A school must not be registered or authorized 47.28to offer any degree at any level unless the school is accredited new text begin has institutional accreditation new text end 47.29by an agency recognized by the United States Department of Education for purposes of 47.30eligibility to participate in Title IV federal financial aid programs. Any registered school 47.31undergoing institutional accreditation shall inform the office of site visits by the accrediting 47.32agency and provide office staff the opportunity to attend the visits, including new text begin excluding new text end any 48.1exit interviews. The institution must provide the office with a copy of the final report upon 48.2receipt new text begin request of the office new text end . 48.3     new text begin (b) A school must not be authorized to offer any degree unless the program has new text end 48.4 new text begin programmatic accreditation or the school has institutional accreditation by an agency new text end 48.5 new text begin recognized by the United States Department of Education for purposes of eligibility to new text end 48.6 new text begin participate in Title IV federal financial aid programs. Any program offered by a registered new text end 48.7 new text begin school that does not have institutional accreditation and is undergoing programmatic new text end 48.8 new text begin accreditation shall inform the office of site visits by the accrediting agency and provide new text end 48.9 new text begin office staff the opportunity to attend the visits, excluding any exit interviews. The school new text end 48.10 new text begin must provide the office with a copy of the final report by the accreditor upon request of the new text end 48.11 new text begin office. new text end 48.12    Sec. 7. Minnesota Statutes 2016, section 136A.65, subdivision 4, is amended to read: 48.13    Subd. 4. Criteria for approval. (a) A school applying to be registered and to have its 48.14degree or degrees and name approved must substantially meet the following criteria: 48.15    (1) the school has an organizational framework with administrative and teaching personnel 48.16to provide the educational programs offered; 48.17    (2) the school has financial resources sufficient to meet the school's financial obligations, 48.18including refunding tuition and other charges consistent with its stated policy if the institution 48.19is dissolved, or if claims for refunds are made, to provide service to the students as promised, 48.20and to provide educational programs leading to degrees as offered; 48.21    (3) the school operates in conformity with generally accepted budgeting and accounting 48.22principles new text begin according to the type of school new text end ; 48.23    (4) the school provides an educational program leading to the degree it offers; 48.24    (5) the school provides appropriate and accessible library, laboratory, and other physical 48.25facilities to support the educational program offered; 48.26    (6) the school has a policy on freedom or limitation of expression and inquiry for faculty 48.27and students which is published or available on request; 48.28    (7) the school uses only publications and advertisements which are truthful and do not 48.29give any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school, 48.30its personnel, programs, services, or occupational opportunities for its graduates for promotion 48.31and student recruitment; 49.1    (8) the school's compensated recruiting agents who are operating in Minnesota identify 49.2themselves as agents of the school when talking to or corresponding with students and 49.3prospective students; 49.4    (9) the school provides information to students and prospective students concerning: 49.5    (i) comprehensive and accurate policies relating to student admission, evaluation, 49.6suspension, and dismissal; 49.7    (ii) clear and accurate policies relating to granting credit for prior education, training, 49.8and experience and for courses offered by the school; 49.9    (iii) current schedules of fees, charges for tuition, required supplies, student activities, 49.10housing, and all other standard charges; 49.11    (iv) policies regarding refunds and adjustments for withdrawal or modification of 49.12enrollment status; and 49.13    (v) procedures and standards used for selection of recipients and the terms of payment 49.14and repayment for any financial aid program; and 49.15    (10) the school must not withhold a student's official transcript because the student is 49.16in arrears or in default on any loan issued by the school to the student if the loan qualifies 49.17as an institutional loan under United States Code, title 11, section 523(a)(8)(b). 49.18    (b) An application for degree approval must also include: 49.19    (i) title of degree and formal recognition awarded; 49.20    (ii) location where such degree will be offered; 49.21    (iii) proposed implementation date of the degree; 49.22    (iv) admissions requirements for the degree; 49.23    (v) length of the degree; 49.24    (vi) projected enrollment for a period of five years; 49.25    (vii) the curriculum required for the degree, including course syllabi or outlines; 49.26    (viii) statement of academic and administrative mechanisms planned for monitoring the 49.27quality of the proposed degree; 49.28    (ix) statement of satisfaction of professional licensure criteria, if applicable; 49.29    (x) documentation of the availability of clinical, internship, externship, or practicum 49.30sites, if applicable; and 50.1    (xi) statement of how the degree fulfills the institution's mission and goals, complements 50.2existing degrees, and contributes to the school's viability. 50.3    Sec. 8. Minnesota Statutes 2016, section 136A.65, subdivision 7, is amended to read: 50.4    Subd. 7. Conditional approval. new text begin (a) new text end The office may grant new text begin a school a one-year new text end conditional 50.5approval for a degree or use of a term in its name for a period of less than one year if doing 50.6so would be in the best interests of currently enrolled students or prospective students. new text begin new text end 50.7 new text begin Conditional approval of a degree or use of a term under this paragraph must not exceed a new text end 50.8 new text begin period of three years. new text end 50.9     new text begin (b) The office may grant new text end new schools may be granted new text begin and programs a one-year new text end conditional 50.10approval for degrees or names annually for a period not to exceed five years new text begin use of a term new text end 50.11 new text begin in its name new text end to allow them new text begin the school new text end the opportunity to apply for and receive accreditation 50.12as required in subdivision 1a. new text begin Conditional approval of a school or program under this new text end 50.13 new text begin paragraph must not exceed a period of five years. new text end A new school new text begin or program new text end granted 50.14conditional approval may be allowed to continue as a registered institution in order to 50.15complete an accreditation process upon terms and conditions the office determines. 50.16     new text begin (c) The office may grant a registered school a one-year conditional approval for degrees new text end 50.17 new text begin or use of a term in its name to allow the school the opportunity to apply for and receive new text end 50.18 new text begin accreditation as required in subdivision 1a if the school's accrediting agency is no longer new text end 50.19 new text begin recognized by the United States Department of Education for purposes of eligibility to new text end 50.20 new text begin participate in Title IV federal financial aid programs. The office must not grant conditional new text end 50.21 new text begin approvals under this paragraph to a school for a period of more than five years. new text end 50.22     new text begin (d) The office may grant a registered school a one-year conditional approval for degrees new text end 50.23 new text begin or use of a term in its name to allow the school to change to a different accrediting agency new text end 50.24 new text begin recognized by the United States Department of Education for purposes of eligibility to new text end 50.25 new text begin participate in Title IV federal financial aid programs. The office must not grant conditional new text end 50.26 new text begin approvals under this paragraph to a school for a period of more than five years. new text end 50.27    Sec. 9. Minnesota Statutes 2016, section 136A.653, is amended to read: 50.28136A.653 EXEMPTIONS. 50.29     new text begin Subdivision 1. new text end new text begin Application. new text end new text begin A school that seeks an exemption under this section from new text end 50.30 new text begin the provisions of sections 136A.61 to 136A.71 must apply to the office to establish that the new text end 50.31 new text begin school meets the requirements of an exemption. An exemption expires two years from the new text end 50.32 new text begin date of approval or until a school adds a new program or makes a modification equal to or new text end 51.1 new text begin greater than 25 percent to an existing educational program. If a school is reapplying for an new text end 51.2 new text begin exemption, the application must be submitted to the office 90 days before the current new text end 51.3 new text begin exemption expires. new text end 51.4    Subdivision 1. new text begin Subd. 1a. new text end Exemption new text begin Private career schools new text end . A school that is subject 51.5to licensing by the office under sections 136A.82 to 136A.834 is exempt from the provisions 51.6of sections 136A.61 to 136A.71. The determination of the office as to whether a particular 51.7school is subject to regulation under sections 136A.82 to 136A.834 is final for the purposes 51.8of this exemption. 51.9    Subd. 2. Educational program; nonprofit organizations. Educational programs which 51.10are sponsored by a bona fide and nonprofit trade, labor, business, professional or fraternal 51.11organization, which programs are conducted solely for that organization's membership or 51.12for the members of the particular industries or professions served by that organization, and 51.13which are not available to the public on a fee basis, are exempted from the provisions of 51.14sections 136A.61 to 136A.71. 51.15    Subd. 3. Educational program; business firms. Educational programs which are 51.16sponsored by a business firm for the training of its employees or the employees of other 51.17business firms with which it has contracted to provide educational services at no cost to the 51.18employees are exempted from the provisions of sections 136A.61 to 136A.71. 51.19    Subd. 3a. Tuition-free educational courses. A school, including a school using an 51.20online platform service, offering training, courses, or programs is exempt from sections 51.21136A.61 to 136A.71, to the extent it offers tuition-free courses to students in Minnesota. A 51.22course will be considered tuition-free if the school charges no tuition and the required fees 51.23and other required charges paid by the student for the course new text begin tuition, fees, and any other new text end 51.24 new text begin charges for a student to participate new text end do not exceed two percent of the most recent average 51.25undergraduate tuition and required fees as of January 1 of the current year charged for 51.26full-time students at all degree-granting institutions as published annually by the United 51.27States Department of Education as of January 1 of each year. To qualify for an exemption, 51.28a school or online platform service must prominently display a notice comparable to the 51.29following: "IMPORTANT: Each educational institution makes its own decision regarding 51.30whether to accept completed coursework for credit. Check with your university or college." 51.31    Subd. 4. Voluntary submission. Any school or program exempted from the provisions 51.32of sections 136A.61 to 136A.71 by the provisions of this section may voluntarily submit to 51.33the provisions of those sections. 52.1    Sec. 10. Minnesota Statutes 2016, section 136A.657, is amended by adding a subdivision 52.2to read: 52.3     new text begin Subd. 5. new text end new text begin Application. new text end new text begin A school that seeks an exemption under this section from the new text end 52.4 new text begin provisions of sections 136A.61 to 136A.71 must apply to the office to establish that the new text end 52.5 new text begin school meets the requirements of an exemption. An exemption expires two years from the new text end 52.6 new text begin date of approval or when a school adds a new program or makes a modification equal to or new text end 52.7 new text begin greater than 25 percent to an existing educational program. If a school is reapplying for an new text end 52.8 new text begin exemption, the application must be submitted to the office 90 days before the current new text end 52.9 new text begin exemption expires. new text end 52.10    Sec. 11. Minnesota Statutes 2016, section 136A.67, is amended to read: 52.11136A.67 REGISTRATION REPRESENTATIONS. 52.12    No school and none of its officials or employees shall advertise or represent in any 52.13manner that such school is approved or accredited by the office or the state of Minnesota, 52.14except a school which is duly registered with the office, or any of its officials or employees, 52.15may represent in advertising and shall disclose in catalogues, applications, and enrollment 52.16materials that the school is registered with the office by prominently displaying the following 52.17statement: "(Name of school) is registered with the office new text begin Minnesota Office of Higher new text end 52.18 new text begin Education new text end pursuant to sections 136A.61 to 136A.71. Registration is not an endorsement of 52.19the institution. Credits earned at the institution may not transfer to all other institutions." In 52.20addition, all registered schools shall publish in the school catalog or student handbook the 52.21name, street address, telephone number, and Web site address of the office. 52.22    Sec. 12. new text begin [136A.672] STUDENT COMPLAINTS. new text end 52.23     new text begin Subdivision 1. new text end new text begin Authority. new text end new text begin The office has the authority to review and take appropriate new text end 52.24 new text begin action on student complaints from schools covered under the provisions of sections 136A.61 new text end 52.25 new text begin to 136A.71. new text end 52.26     new text begin Subd. 2. new text end new text begin Complaint. new text end new text begin A complaint must be in writing, be signed by a student, and state new text end 52.27 new text begin how the school's policies and procedures or sections 136A.61 to 136A.71 were violated. new text end 52.28 new text begin Student complaints shall be limited to complaints that occurred within six years from the new text end 52.29 new text begin date the concern should have been discovered with reasonable effort and after the student new text end 52.30 new text begin has utilized the school's internal complaint process. Students do not have to utilize a school's new text end 52.31 new text begin internal complaint process before the office has authority when the student is alleging fraud new text end 52.32 new text begin or misrepresentation. The office shall not investigate grade disputes, student conduct new text end 53.1 new text begin proceedings, disability accommodation requests, and discrimination claims, including Title new text end 53.2 new text begin IX complaints. new text end 53.3     new text begin Subd. 3. new text end new text begin Investigation. new text end new text begin The office shall initiate an investigation upon receipt of a new text end 53.4 new text begin complaint within the authority of subdivision 2. A school involved in an investigation shall new text end 53.5 new text begin be informed of the alleged violations and the processes of the investigation. A school new text end 53.6 new text begin involved in an investigation shall respond to the alleged violations and provide requested new text end 53.7 new text begin documentation to the office. Upon completing an investigation, the office shall inform the new text end 53.8 new text begin school and the student of the investigation outcome. new text end 53.9     new text begin Subd. 4. new text end new text begin Penalties. new text end new text begin If violations are found, the office may require remedial action by new text end 53.10 new text begin the school or assign a penalty under section 136A.705. Remedial action may include student new text end 53.11 new text begin notification of violations, adjustments to the school's policies and procedures, and tuition new text end 53.12 new text begin or fee refunds to impacted students. new text end 53.13     new text begin Subd. 5. new text end new text begin Appeals. new text end new text begin Any order requiring remedial action by the school or assigning a new text end 53.14 new text begin penalty under section 136A.705 is appealable in accordance with chapter 14. The request new text end 53.15 new text begin for an appeal must be made in writing to the office within 30 days of the date the school is new text end 53.16 new text begin notified of the action of the office. The court shall award costs and reasonable attorney fees new text end 53.17 new text begin in a contested chapter 14 hearing to the office if: (1) the office substantially prevails on the new text end 53.18 new text begin merits in an action brought under this section; and (2) the school has a net income from new text end 53.19 new text begin student tuition, fees, and other required institutional charges collected from the last fiscal new text end 53.20 new text begin year of $1,000,000 or greater. new text end new text begin new text end 53.21    Sec. 13. Minnesota Statutes 2016, section 136A.68, is amended to read: 53.22136A.68 RECORDS. 53.23    A registered school shall maintain a permanent record for each student for 50 years from 53.24the last date of the student's attendance. A registered school offering distance instruction to 53.25a student located in Minnesota shall maintain a permanent record for each Minnesota student 53.26for 50 years from the last date of the student's attendance. Records include a student's 53.27academic transcript, documents, and files containing student data about academic credits 53.28earned, courses completed, grades awarded, degrees awarded, and periods of attendance. 53.29To preserve permanent records, a school shall submit a plan that meets the following 53.30requirements: 53.31    (1) at least one copy of the records must be held in a secure, fireproof depository or 53.32duplicate records must be maintained off site in a secure location and in a manner approved 53.33by the office; 54.1    (2) an appropriate official must be designated to provide a student with copies of records 54.2or a transcript upon request; 54.3    (3) an alternative method approved by the office of complying with clauses (1) and (2) 54.4must be established if the school ceases to exist; and 54.5    (4) if the school has no binding agreement approved by the office for preserving student 54.6records, a continuous surety bond new text begin or an irrevocable letter of credit issued by a financial new text end 54.7 new text begin institution new text end must be filed with the office in an amount not to exceed $20,000. The bond new text begin or new text end 54.8 new text begin irrevocable letter of credit new text end shall run to the state of Minnesota. new text begin In the event of a school closure, new text end 54.9 new text begin the surety bond or irrevocable letter of credit must be used by the office to retrieve, recover, new text end 54.10 new text begin maintain, digitize, and destroy academic records. new text end 54.11    Sec. 14. Minnesota Statutes 2016, section 136A.821, is amended by adding a subdivision 54.12to read: 54.13     new text begin Subd. 13. new text end new text begin Compliance audit. new text end new text begin "Compliance audit" means an audit of a school's compliance new text end 54.14 new text begin with federal requirements related to its participation in federal Title IV student aid programs new text end 54.15 new text begin or other federal grant programs performed under either Uniform Grant Guidance, including new text end 54.16 new text begin predecessor Federal Circular A-133, or the United States Department of Education's audit new text end 54.17 new text begin guide, Audits of Federal Student Financial Assistance Programs at Participating Institutions new text end 54.18 new text begin and Institution Servicers. new text end 54.19    Sec. 15. Minnesota Statutes 2016, section 136A.821, is amended by adding a subdivision 54.20to read: 54.21     new text begin Subd. 14. new text end new text begin Entity. new text end new text begin "Entity" means a specific school or campus location. new text end 54.22    Sec. 16. Minnesota Statutes 2016, section 136A.821, is amended by adding a subdivision 54.23to read: 54.24     new text begin Subd. 15. new text end new text begin Higher-level entity. new text end new text begin "Higher-level entity" means a corporate parent or ultimate new text end 54.25 new text begin parent company or, in the case of a public school, the larger public system of which an new text end 54.26 new text begin entity is a part. new text end 54.27    Sec. 17. Minnesota Statutes 2016, section 136A.821, is amended by adding a subdivision 54.28to read: 54.29     new text begin Subd. 16. new text end new text begin Audited financial statements. new text end new text begin "Audited financial statements" means the new text end 54.30 new text begin financial statements of an entity or higher-level entity that have been examined by a certified new text end 54.31 new text begin public accountant or an equivalent government agency for public entities that include (1) new text end 55.1 new text begin an auditor's report, a statement of financial position, an income statement, a statement of new text end 55.2 new text begin cash flows, and notes to the financial statements or (2) the required equivalents for public new text end 55.3 new text begin entities as determined by the Financial Accounting Standards Board, the Governmental new text end 55.4 new text begin Accounting Standards Board, or the Securities and Exchange Commission. new text end 55.5    Sec. 18. Minnesota Statutes 2016, section 136A.821, is amended by adding a subdivision 55.6to read: 55.7     new text begin Subd. 17. new text end new text begin Review-level engagement. new text end new text begin "Review-level engagement" means a service new text end 55.8 new text begin performed by a certified public accountant that provides limited assurance that there are no new text end 55.9 new text begin material modifications that need to be made to an entity's financial statements in order for new text end 55.10 new text begin them to conform to generally accepted accounting principles. Review-level engagement new text end 55.11 new text begin provides fewer assurances than those reported under audited financial statements. new text end 55.12    Sec. 19. Minnesota Statutes 2016, section 136A.822, subdivision 4, is amended to read: 55.13    Subd. 4. Application. Application for a license shall be on forms prepared and furnished 55.14by the office, and shall include the following and other information as the office may require: 55.15(1) the title or name of the private career school, ownership and controlling officers, 55.16members, managing employees, and director; 55.17(2) the specific programs which will be offered and the specific purposes of the 55.18instruction; 55.19(3) the place or places where the instruction will be given; 55.20(4) a listing of the equipment available for instruction in each program; 55.21(5) the maximum enrollment to be accommodated with equipment available in each 55.22specified program; 55.23(6) the qualifications of instructors and supervisors in each specified program; 55.24(7) new text begin financial documents related to the entity's and higher-level entity's most recently new text end 55.25 new text begin completed fiscal year: new text end 55.26 new text begin (i) annual gross revenues from all sources; new text end 55.27 new text begin (ii) financial statements subjected to a review level engagement or, if requested by the new text end 55.28 new text begin office, audited financial statements; new text end 55.29 new text begin (iii) a school's most recent compliance audit, if applicable; and new text end 56.1 new text begin (iv) new text end a current balance sheet, income statement, and adequate supporting documentation, 56.2prepared and certified by an independent public accountant or CPA; 56.3(8) copies of all media advertising and promotional literature and brochures or electronic 56.4display currently used or reasonably expected to be used by the private career school; 56.5(9) copies of all Minnesota enrollment agreement forms and contract forms and all 56.6enrollment agreement forms and contract forms used in Minnesota; and 56.7(10) gross income earned in the preceding year from student tuition, fees, and other 56.8required institutional charges, unless the private career school files with the office a surety 56.9bond equal to at least $250,000 as described in subdivision 6. 56.10    Sec. 20. Minnesota Statutes 2016, section 136A.822, subdivision 6, is amended to read: 56.11    Subd. 6. Bond. (a) No license shall be issued to any private career school which 56.12maintains, conducts, solicits for, or advertises within the state of Minnesota any program, 56.13unless the applicant files with the office a continuous corporate surety bond written by a 56.14company authorized to do business in Minnesota conditioned upon the faithful performance 56.15of all contracts and agreements with students made by the applicant. 56.16    (b)(1) The amount of the surety bond shall be ten percent of the preceding year's gross new text begin new text end 56.17 new text begin net new text end income from student tuition, fees, and other required institutional charges new text begin collected new text end , but 56.18in no event less than $10,000 nor greater than $250,000, except that a private career school 56.19may deposit a greater amount at its own discretion. A private career school in each annual 56.20application for licensure must compute the amount of the surety bond and verify that the 56.21amount of the surety bond complies with this subdivision, unless the private career school 56.22maintains a surety bond equal to at least $250,000. A private career school that operates at 56.23two or more locations may combine gross new text begin net new text end income from student tuition, fees, and other 56.24required institutional charges new text begin collected new text end for all locations for the purpose of determining the 56.25annual surety bond requirement. The gross new text begin net new text end tuition and fees used to determine the amount 56.26of the surety bond required for a private career school having a license for the sole purpose 56.27of recruiting students in Minnesota shall be only that paid to the private career school by 56.28the students recruited from Minnesota. 56.29    (2) A person required to obtain a private career school license due to the use of 56.30"academy," "institute," "college," or "university" in its name and which is also licensed by 56.31another state agency or board new text begin , except not including those schools licensed exclusively in new text end 56.32 new text begin order to participate in state grants or SELF loan financial aid programs, new text end shall be required 56.33to provide a school bond of $10,000. 57.1    (c) The bond shall run to the state of Minnesota and to any person who may have a cause 57.2of action against the applicant arising at any time after the bond is filed and before it is 57.3canceled for breach of any contract or agreement made by the applicant with any student. 57.4The aggregate liability of the surety for all breaches of the conditions of the bond shall not 57.5exceed the principal sum deposited by the private career school under paragraph (b). The 57.6surety of any bond may cancel it upon giving 60 days' notice in writing to the office and 57.7shall be relieved of liability for any breach of condition occurring after the effective date 57.8of cancellation. 57.9    (d) In lieu of bond, the applicant may deposit with the commissioner of management 57.10and budget a sum equal to the amount of the required surety bond in cash, an irrevocable 57.11letter of credit issued by a financial institution equal to the amount of the required surety 57.12bond, or securities as may be legally purchased by savings banks or for trust funds in an 57.13aggregate market value equal to the amount of the required surety bond. 57.14    (e) Failure of a private career school to post and maintain the required surety bond or 57.15deposit under paragraph (d) shall new text begin may new text end result in denial, suspension, or revocation of the 57.16school's license. 57.17    Sec. 21. Minnesota Statutes 2016, section 136A.822, subdivision 12, is amended to read: 57.18    Subd. 12. Permanent records. A private career school licensed under sections 136A.82 57.19to 136A.834 and located in Minnesota shall maintain a permanent record for each student 57.20for 50 years from the last date of the student's attendance. A private career school licensed 57.21under this chapter and offering distance instruction to a student located in Minnesota shall 57.22maintain a permanent record for each Minnesota student for 50 years from the last date of 57.23the student's attendance. Records include school transcripts, documents, and files containing 57.24student data about academic credits earned, courses completed, grades awarded, degrees 57.25awarded, and periods of attendance. To preserve permanent records, a private career school 57.26shall submit a plan that meets the following requirements: 57.27    (1) at least one copy of the records must be held in a secure, fireproof depository; 57.28    (2) an appropriate official must be designated to provide a student with copies of records 57.29or a transcript upon request; 57.30    (3) an alternative method, approved by the office, of complying with clauses (1) and (2) 57.31must be established if the private career school ceases to exist; and 57.32    (4) a continuous surety bond new text begin or irrevocable letter of credit issued by a financial institution new text end 57.33must be filed with the office in an amount not to exceed $20,000 if the private career school 58.1has no binding agreement approved by the office, for preserving student records. The bond 58.2 new text begin or irrevocable letter of credit new text end shall run to the state of Minnesota. new text begin In the event of a school new text end 58.3 new text begin closure, the surety bond or irrevocable letter of credit must be used by the office to retrieve, new text end 58.4 new text begin recover, maintain, digitize, and destroy academic records. new text end 58.5    Sec. 22. Minnesota Statutes 2016, section 136A.822, subdivision 13, is amended to read: 58.6    Subd. 13. Private career schools licensed by another state agency or board. A private 58.7career school required to obtain a private career school license due to the use of "academy," 58.8"institute," "college," or "university" in its name or licensed for the purpose of participating 58.9in state financial aid under chapter 136A, and which is also licensed by another state agency 58.10or board shall be required to satisfy only the requirements of subdivisions 4, clauses (1), 58.11(2), (3), (5), (7), new text begin (8), new text end and (10); 5; 6, paragraph (b), clause (2); 8, clauses (1) new text begin , (4), (7), (8), new text end 58.12and (9); 9; 10, clause (13); and 12. new text begin If a school is licensed to participate in state financial aid new text end 58.13 new text begin under this chapter, the school must follow the refund policy in section 136A.827, even if new text end 58.14 new text begin that section conflicts with the refund policy of the licensing agency or board. new text end A distance 58.15education private career school located in another state, or a school licensed to recruit 58.16Minnesota residents for attendance at a school outside of this state, or a school licensed by 58.17another state agency as its primary licensing body, may continue to use the school's name 58.18as permitted by its home state or its primary licensing body. 58.19    Sec. 23. Minnesota Statutes 2016, section 136A.826, subdivision 2, is amended to read: 58.20    Subd. 2. Contract information. A contract or enrollment agreement used by a private 58.21career school must include at least the following: 58.22    (1) the name and address of the private career school, clearly stated; 58.23    (2) a clear and conspicuous disclosure that the agreement is a legally binding instrument 58.24upon written acceptance of the student by the private career school unless canceled under 58.25section 136A.827; 58.26    (3) the private career school's cancellation and refund policy that shall be clearly and 58.27conspicuously entitled "Buyer's Right to Cancel"; 58.28    (4) a clear statement of total cost of the program including tuition and all other charges; 58.29    (5) the name and description of the program, including the number of hours or credits 58.30of classroom instruction, or distance instruction, that shall be included; and 58.31    (6) a clear and conspicuous explanation of the form and means of notice the student 58.32should use in the event the student elects to cancel the contract or sale, the effective date of 59.1cancellation, and the name and address new text begin , e-mail address, or phone number new text end of the seller to 59.2which the notice should be sent or delivered. 59.3The contract or enrollment agreement must not include a wage assignment provision or a 59.4confession of judgment clause. 59.5    Sec. 24. Minnesota Statutes 2016, section 136A.827, subdivision 2, is amended to read: 59.6    Subd. 2. Private career schools using written contracts. (a) Notwithstanding anything 59.7to the contrary, a private career school that uses a written contract or enrollment agreement 59.8shall refund all tuition, fees and other charges paid by a student, if the student gives written 59.9notice of cancellation within five business days after the day on which the contract was 59.10executed regardless of whether the program has started. 59.11(b) When a student has been accepted by the private career school and has entered into 59.12a contractual agreement with the private career school and gives written notice of cancellation 59.13following the fifth business day after the date of execution of contract, but before the start 59.14of the program in the case of resident private career schools, or before the first lesson has 59.15been serviced by the private career school in the case of distance education private career 59.16schools, all tuition, fees and other charges, except 15 percent of the total cost of the program 59.17but not to exceed $50, shall be refunded to the student. 59.18    Sec. 25. Minnesota Statutes 2016, section 136A.827, subdivision 3, is amended to read: 59.19    Subd. 3. Notice; amount. (a) A private career school shall refund all tuition, fees and 59.20other charges paid by a student if the student gives written notice of cancellation within five 59.21business days after the day on which the student is accepted by the private career school 59.22regardless of whether the program has started. 59.23(b) When a student has been accepted by the private career school and gives written 59.24notice of cancellation following the fifth business day after the day of acceptance by the 59.25private career school, but before the start of the program, in the case of resident private 59.26career schools, or before the first lesson has been serviced by the private career school, in 59.27the case of distance education private career schools, all tuition, fees and other charges, 59.28except 15 percent of the total cost of the program but not to exceed $50, shall be refunded 59.29to the student. 59.30    Sec. 26. Minnesota Statutes 2016, section 136A.828, subdivision 3, is amended to read: 59.31    Subd. 3. False statements. new text begin (a) new text end A private career school, agent, or solicitor shall not make, 59.32or cause to be made, any statement or representation, oral, written or visual, in connection 60.1with the offering or publicizing of a program, if the private career school, agent, or solicitor 60.2knows or reasonably should have known the statement or representation to be false, 60.3fraudulent, deceptive, substantially inaccurate, or misleading. 60.4 new text begin (b) Other than opinion-based statements or puffery, a school shall only make claims that new text end 60.5 new text begin are evidence-based, can be validated, and are based on current conditions and not on new text end 60.6 new text begin conditions that are no longer relevant. new text end 60.7 new text begin (c) A school shall not guarantee or imply the guarantee of employment. new text end 60.8 new text begin (d) A school shall not guarantee or advertise any certain wage or imply earnings greater new text end 60.9 new text begin than the prevailing wage for entry-level wages in the field of study for the geographic area new text end 60.10 new text begin unless advertised wages are based on verifiable wage information from graduates. new text end 60.11 new text begin (e) If placement statistics are used in advertising or other promotional materials, the new text end 60.12 new text begin school must be able to substantiate the statistics with school records. These records must new text end 60.13 new text begin be made available to the office upon request. A school is prohibited from reporting the new text end 60.14 new text begin following in placement statistics: new text end 60.15 new text begin (1) a student required to receive a job offer or start a job to be classified as a graduate; new text end 60.16 new text begin (2) a graduate if the graduate held a position before enrolling in the program, unless new text end 60.17 new text begin graduating enabled the graduate to maintain the position or the graduate received a promotion new text end 60.18 new text begin or raise upon graduation; new text end 60.19     new text begin (3) a graduate who works less than 20 hours per week; and new text end 60.20     new text begin (4) a graduate who is not expected to maintain the position for at least 180 days. new text end 60.21 new text begin (f) A school shall not use endorsements, commendations, or recommendations by a new text end 60.22 new text begin student in favor of a school except with the consent of the student and without any offer of new text end 60.23 new text begin financial or other material compensation. Endorsements may be used only when they portray new text end 60.24 new text begin current conditions. new text end 60.25 new text begin (g) A school may advertise that the school or its programs have been accredited by an new text end 60.26 new text begin accrediting agency recognized by the United States Department of Education or the Council new text end 60.27 new text begin for Higher Education Accreditation, but shall not advertise any other accreditation unless new text end 60.28 new text begin approved by the office. The office may approve an institution's advertising of accreditation new text end 60.29 new text begin that is not recognized by the United States Department of Education or the Council for new text end 60.30 new text begin Higher Education if that accreditation is industry specific. Clear distinction must be made new text end 60.31 new text begin when the school is in candidacy or application status versus full accreditation. new text end 61.1 new text begin (h) A school may advertise that financial aid is available, including a listing of the new text end 61.2 new text begin financial aid programs in which the school participates, but federal or state financial aid new text end 61.3 new text begin shall not be used as a primary incentive in advertisement, promotion, or recruitment. new text end 61.4 new text begin (i) A school may advertise placement or career assistance, if offered, but shall not use new text end 61.5 new text begin the words "wanted," "help wanted," or "trainee," either in the headline or the body of the new text end 61.6 new text begin advertisement. new text end 61.7 new text begin (j) A school shall not be advertised under any "help wanted," "employment," or similar new text end 61.8 new text begin classification. new text end 61.9 new text begin (k) A school shall not falsely claim that it is conducting a talent hunt, contest, or similar new text end 61.10 new text begin test. new text end 61.11 new text begin (l) The commissioner, at any time, may require a retraction of a false, misleading, or new text end 61.12 new text begin deceptive claim. To the extent reasonable, the retraction must be published in the same new text end 61.13 new text begin manner as the original claim. new text end 61.14    Sec. 27. new text begin [136A.8295] STUDENT COMPLAINTS. new text end 61.15     new text begin Subdivision 1. new text end new text begin Authority. new text end new text begin The office has the authority to review and take appropriate new text end 61.16 new text begin action on student complaints from schools covered under the provisions of sections 136A.822 new text end 61.17 new text begin to 136A.834. new text end 61.18     new text begin Subd. 2. new text end new text begin Complaint. new text end new text begin A complaint must be in writing, be signed by a student, and state new text end 61.19 new text begin how the school's policies and procedures or sections 136A.822 to 136A.834 were violated. new text end 61.20 new text begin Student complaints shall be limited to complaints that occurred within six years from the new text end 61.21 new text begin date the concern should have been discovered with reasonable effort and after the student new text end 61.22 new text begin has utilized the school's internal complaint process. Students do not have to utilize a school's new text end 61.23 new text begin internal complaint process before the office has authority when the student is alleging fraud new text end 61.24 new text begin or misrepresentation. The office shall not investigate grade disputes, student conduct new text end 61.25 new text begin proceedings, disability accommodation requests, and discrimination claims, including Title new text end 61.26 new text begin IX complaints. new text end 61.27     new text begin Subd. 3. new text end new text begin Investigation. new text end new text begin The office shall initiate an investigation upon receipt of a new text end 61.28 new text begin complaint within the authority of subdivision 2. A school involved in an investigation shall new text end 61.29 new text begin be informed of the alleged violations and the processes of the investigation. A school new text end 61.30 new text begin involved in an investigation shall respond to the alleged violations and provide requested new text end 61.31 new text begin documentation to the office. Upon completion of an investigation, the office shall inform new text end 61.32 new text begin the school and the student of the investigation outcome. new text end 62.1     new text begin Subd. 4. new text end new text begin Penalties. new text end new text begin If violations are found, the office may require remedial action by new text end 62.2 new text begin the school or assign a penalty under section 136A.832. Remedial action may include student new text end 62.3 new text begin notification of violations, adjustments to the school's policies and procedures, and tuition new text end 62.4 new text begin or fee refunds to impacted students. new text end 62.5     new text begin Subd. 5. new text end new text begin Appeals. new text end new text begin Any order requiring remedial action by the school or assigning a new text end 62.6 new text begin penalty under section 136A.832 is appealable in accordance with chapter 14. The request new text end 62.7 new text begin for an appeal must be made in writing to the office within 30 days of the date the school is new text end 62.8 new text begin notified of the action of the office. The court shall award costs and reasonable attorney fees new text end 62.9 new text begin in a contested chapter 14 hearing to the office if: (1) the office substantially prevails on the new text end 62.10 new text begin merits in an action brought under this section; and (2) the school has a net income from new text end 62.11 new text begin student tuition, fees, and other required institutional charges collected from the last fiscal new text end 62.12 new text begin year of $1,000,000 or greater. new text end new text begin new text end 62.13    Sec. 28. Minnesota Statutes 2016, section 136A.83, is amended to read: 62.14136A.83 INSPECTION. 62.15(a) The office or a delegate may inspect the instructional books and records, classrooms, 62.16dormitories, tools, equipment and classes of any private career school or applicant for license 62.17at any reasonable time. The office may require the submission of a certified public audit, 62.18or if there is no such audit available new text begin audited financial statements. new text end The office or a delegate 62.19may inspect the financial books and records of the private career school. In no event shall 62.20such financial information be used by the office to regulate or set the tuition or fees charged 62.21by the private career school. 62.22(b) Data obtained from an inspection of the financial records of a private career school 62.23or submitted to the office as part of a license application or renewal are nonpublic data as 62.24defined in section 13.02, subdivision 9. Data obtained from inspections may be disclosed 62.25to other members of the office, to law enforcement officials, or in connection with a legal 62.26or administrative proceeding commenced to enforce a requirement of law. 62.27    Sec. 29. Minnesota Statutes 2016, section 136A.833, is amended to read: 62.28136A.833 EXEMPTIONS. 62.29     new text begin Subdivision 1. new text end new text begin Application for exemptions. new text end new text begin A school that seeks an exemption from the new text end 62.30 new text begin provisions of sections 136A.822 to 136A.834 must apply to the office to establish that the new text end 62.31 new text begin school meets the requirements of an exemption. An exemption expires two years from the new text end 62.32 new text begin date of approval or when a school adds a new program or makes a modification equal to or new text end 63.1 new text begin greater than 25 percent to an existing educational program. If a school is reapplying for an new text end 63.2 new text begin exemption, the application must be submitted to the office 90 days before the current new text end 63.3 new text begin exemption expires. new text end 63.4     new text begin Subd. 2. new text end new text begin Exemption reasons. new text end Sections 136A.821 to 136A.832 shall not apply to the 63.5following: 63.6    (1) public postsecondary institutions; 63.7    (2) postsecondary institutions registered under sections 136A.61 to 136A.71; 63.8    (3) private career schools of nursing accredited by the state Board of Nursing or an 63.9equivalent public board of another state or foreign country; 63.10    (4) private schools complying with the requirements of section 120A.22, subdivision 4; 63.11    (5) courses taught to students in a valid apprenticeship program taught by or required 63.12by a trade union; 63.13    (6) private career schools exclusively engaged in training physically or mentally disabled 63.14persons for the state of Minnesota; 63.15    (7) private career schools licensed by boards authorized under Minnesota law to issue 63.16licenses except private career schools required to obtain a private career school license due 63.17to the use of "academy," "institute," "college," or "university" in their names; 63.18    (8) private career schools and educational programs, or training programs, contracted 63.19for by persons, firms, corporations, government agencies, or associations, for the training 63.20of their own employees, for which no fee is charged the employee; 63.21    (9) private career schools engaged exclusively in the teaching of purely avocational, 63.22recreational, or remedial subjects as determined by the office except private career schools 63.23required to obtain a private career school license due to the use of "academy," "institute," 63.24"college," or "university" in their names unless the private career school used "academy" 63.25or "institute" in its name prior to August 1, 2008; 63.26    (10) classes, courses, or programs conducted by a bona fide trade, professional, or 63.27fraternal organization, solely for that organization's membership; 63.28    (11) programs in the fine arts provided by organizations exempt from taxation under 63.29section 290.05 and registered with the attorney general under chapter 309. For the purposes 63.30of this clause, "fine arts" means activities resulting in artistic creation or artistic performance 63.31of works of the imagination which are engaged in for the primary purpose of creative 64.1expression rather than commercial sale or employment. In making this determination the 64.2office may seek the advice and recommendation of the Minnesota Board of the Arts; 64.3    (12) classes, courses, or programs intended to fulfill the continuing education 64.4requirements for licensure or certification in a profession, that have been approved by a 64.5legislatively or judicially established board or agency responsible for regulating the practice 64.6of the profession, and that are offered exclusively to an individual practicing the profession; 64.7    (13) classes, courses, or programs intended to prepare students to sit for undergraduate, 64.8graduate, postgraduate, or occupational licensing and occupational entrance examinations; 64.9    (14) classes, courses, or programs providing 16 or fewer clock hours of instruction that 64.10are not part of the curriculum for an occupation or entry level employment except private 64.11career schools required to obtain a private career school license due to the use of "academy," 64.12"institute," "college," or "university" in their names; 64.13    (15) classes, courses, or programs providing instruction in personal development, 64.14modeling, or acting; 64.15    (16) training or instructional programs, in which one instructor teaches an individual 64.16student, that are not part of the curriculum for an occupation or are not intended to prepare 64.17a person for entry level employment; 64.18    (17) private career schools with no physical presence in Minnesota, as determined by 64.19the office, engaged exclusively in offering distance instruction that are located in and 64.20regulated by other states or jurisdictions new text begin if the distance education instruction does not include new text end 64.21 new text begin internships, externships, field placements, or clinical placements for residents of Minnesota new text end ; 64.22and 64.23    (18) private career schools providing exclusively training, instructional programs, or 64.24courses where tuition, fees, and any other charges for a student to participate do not exceed 64.25$100. 64.26    Sec. 30. Minnesota Statutes 2016, section 136A.834, is amended by adding a subdivision 64.27to read: 64.28     new text begin Subd. 5. new text end new text begin Application. new text end new text begin A school that seeks an exemption from the provisions of sections new text end 64.29 new text begin 136A.82 to 136A.834 must apply to the office to establish that the school meets the new text end 64.30 new text begin requirements of an exemption. An exemption expires two years from the date of approval new text end 64.31 new text begin or when a school adds a new program or makes a modification equal to or greater than 25 new text end 64.32 new text begin percent to an existing educational program. If a school is reapplying for an exemption, the new text end 64.33 new text begin application must be submitted to the office 90 days before the current exemption expires. new text end 65.1    Sec. 31. Laws 2015, chapter 69, article 3, section 20, subdivision 10, is amended to read: 65.2    Subd. 10. Credit load. new text begin By the end of the first academic year including summer term, new text end a 65.3grantee must have accumulated at least new text begin the lesser of new text end 30 program credits by the end of the 65.4first academic year including summer term new text begin or the number of credits that the student's program new text end 65.5 new text begin is scheduled for during the first academic year new text end . A college must certify that a grantee is 65.6carrying sufficient credits in the second grant year to complete the program at the end of 65.7the second year, including summer school. The commissioner shall set the terms and provide 65.8the form for certification. 65.9 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end " 65.10Delete the title and insert: 65.11"A bill for an act 65.12relating to higher education; providing funding and policy changes for the Office 65.13of Higher Education, the Minnesota State Colleges and Universities, the University 65.14of Minnesota, and other related programs; modifying state grant program calculation 65.15parameters; requiring reports; authorizing rulemaking; appropriating money; 65.16amending Minnesota Statutes 2016, sections 43A.06, subdivision 1; 135A.031, 65.17subdivision 7; 135A.15, subdivision 1a; 136A.101, subdivision 5a; 136A.103; 65.18136A.121, subdivision 6; 136A.125, subdivisions 2, 4; 136A.1275; 136A.1795, 65.19subdivision 4; 136A.62, by adding a subdivision; 136A.646; 136A.65, subdivisions 65.201a, 4, 7; 136A.653; 136A.657, by adding a subdivision; 136A.67; 136A.68; 65.21136A.685; 136A.821, by adding subdivisions; 136A.822, subdivisions 4, 6, 12, 65.2213; 136A.826, subdivision 2; 136A.827, subdivisions 2, 3; 136A.828, subdivision 65.233; 136A.83; 136A.833; 136A.834, by adding a subdivision; 136A.902, subdivision 65.241; 148.89, subdivision 5; Laws 2014, chapter 312, article 1, section 15; Laws 2015, 65.25chapter 69, article 3, section 20, subdivision 10; proposing coding for new law in 65.26Minnesota Statutes, chapters 135A; 136A; 136F; 137; 148; 298." 66.1 We request the adoption of this report and repassage of the bill. 66.2 Senate Conferees: 66.3 ..... ..... 66.4 Michelle L. Fischbach Rich Draheim 66.5 ..... ..... 66.6 Paul Anderson Scott M. Jensen 66.7 ..... 66.8 Greg D. Clausen 66.9 House Conferees: 66.10 ..... ..... 66.11 Bud Nornes Drew Christensen 66.12 ..... ..... 66.13 Abigail Whelan Brian Daniels 66.14 ..... 66.15 Ilhan Omar