Key: (1) language to be deleted (2) new language
Laws of Minnesota 1990 CHAPTER 571-H.F.No. 2081 An act relating to state government; regulating state employment practices; regulating the setting of certain salaries; ratifying certain salaries; amending Minnesota Statutes 1988, sections 15A.081, subdivision 7b, and by adding a subdivision; 15A.083, subdivisions 5, 7, and by adding a subdivision; 43A.04, subdivisions 1, 3, and by adding a subdivision; 43A.10, subdivisions 7 and 8; 43A.12, subdivision 5; 43A.13, subdivisions 2, 3, 4, 5, 6, and 7; 43A.15, subdivision 10; 43A.17, subdivisions 1 and 8; 43A.18, subdivisions 4 and 5, and by adding a subdivision; 43A.191, subdivisions 2 and 3; 43A.23, subdivision 1; 43A.27, subdivision 4; 43A.316, subdivisions 2, 3, 5, 7, and 8; 43A.37, subdivision 1; 176.421, by adding a subdivision; 176B.02; 237.51, subdivision 5; 268.0121, subdivision 3; 473.405, subdivision 12; and 487.13; Minnesota Statutes 1989 Supplement, sections 43A.08, subdivision 1; 43A.316, subdivisions 9 and 10; and 214.04, subdivision 3; proposing coding for new law in Minnesota Statutes, chapter 43A; repealing Minnesota Statutes 1988, section 43A.081, subdivisions 1, 2, and 5; and Minnesota Statutes 1989 Supplement, section 485.018, subdivision 7. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. Minnesota Statutes 1988, section 15A.081, subdivision 7b, is amended to read: Subd. 7b. [HIGHER EDUCATION OFFICERS.] The state university board, the state board for community colleges, the state board of vocational technical education, and the higher education coordinating board shall set the salary rates for, respectively, the chancellor of the state universities, the chancellor of the community colleges, the state director of vocational technical education, and the executive director of the higher education coordinating board. The respective board shall submit the proposed salary increase to the legislative commission on employee relations for approval, modification, or rejection in the manner provided in section 43A.18, subdivision 2. Salary rates for the positions specified in this subdivision may not exceed 95 percent of the salary of the governor under section 15A.082, subdivision 3. In deciding whether to recommend a salary increase, the governing board shall consider the performance of the chancellor or director, including the chancellor's or director's progress toward attaining affirmative action goals. Sec. 2. Minnesota Statutes 1988, section 15A.081, is amended by adding a subdivision to read: Subd. 9. [TRANSFER OF VACATION AND SICK LEAVE; CERTAIN APPOINTEES.] (a) This subdivision governs transfers of accumulated vacation leave and sick leave if the governor appoints the incumbent of a position listed in this section to another position listed in this section. (b) An appointee moving between positions in the executive branch shall transfer all vacation leave and sick leave hours to the appointee's credit at the time of the new appointment. (c) The governor may authorize an appointee to transfer accumulated vacation leave and sick leave hours under the following conditions: (1) an appointee moving to a position in the executive branch from a position outside the executive branch may be permitted to transfer no more than 275 hours of accumulated unliquidated vacation leave and no more than 900 hours of accumulated unliquidated sick leave; and (2) an appointee moving to a position outside the executive branch from a position within the executive branch may be permitted to transfer accumulated unliquidated vacation leave and sick leave hours up to the maximum accumulations permitted by the personnel policies governing the new position. The governor shall notify the commissioner of employee relations of any transfers authorized under this paragraph. Sec. 3. Minnesota Statutes 1988, section 15A.083, subdivision 5, is amended to read: Subd. 5. [TAX COURT.] Salaries of judges of the tax courtshall beare the same as the base salary for district judges asprovided inset under section 15A.082, subdivision13. Sec. 4. Minnesota Statutes 1988, section 15A.083, is amended by adding a subdivision to read: Subd. 6a. [ADMINISTRATIVE LAW JUDGE; MAXIMUM SALARY.] The maximum salary of an administrative law judge in the classified service employed by the office of administrative hearings is 90 percent of the salary of district court judges as set under section 15A.082, subdivision 3. Sec. 5. Minnesota Statutes 1988, section 15A.083, subdivision 7, is amended to read: Subd. 7. [WORKERS' COMPENSATION COURT OF APPEALS AND COMPENSATION JUDGES.] Salaries of judges of the workers' compensation court of appealsshall be 90 percent ofare the same as the salary for district judges asprovided inset under section 15A.082, subdivision13. Salaries of compensation judgesshall beare 75 percent of the salary of district court judgesas provided in subdivision 1. The chief workers' compensation settlement judge at the department of labor and industry may be paid an annual salary that is up to five percent greater than the salary of workers' compensation settlement judges at the department of labor and industry. Sec. 6. Minnesota Statutes 1988, section 43A.04, subdivision 1, is amended to read: Subdivision 1. [STATEWIDE LEADERSHIP.] (a) The commissionershall beis the chief personnel and labor relations manager of the civil service in the executive branch.(a)Whenever any power or responsibility is given to the commissioner by any provision of Laws 1981, chapter 210, unless otherwise expressly provided, the power or authorityshall applyapplies to all employees of agencies in the executive branch and to employees in classified positions in the office of the legislative auditor, the Minnesota state retirement system, the public employees retirement association, and the teacher's retirement association. Unless otherwise provided by law, the power or authorityshalldoes not apply to unclassified employees in the legislative and judicial branches. (b) The commissioner shall operate an information system from which personnel data, as defined in section 13.43, concerning employees and applicants for positions in the classified service can be retrieved. The commissionershall havehas access to all public and private personnel data kept by appointing authoritieswhichthat will aid in the discharge of the commissioner's duties. (c) The commissioner may consider and investigate any matters concerned with the administration of provisions of Laws 1981, chapter 210, and may order any remedial actions consistent with law. (d) The commissioner has sole authority to settle state employee workers' compensation claims. (e) The commissioner may assess all state entities for the costs of programs under sections 15.46 and 176.603. Sec. 7. Minnesota Statutes 1988, section 43A.04, subdivision 3, is amended to read: Subd. 3. [RULES.] The commissioner shallpromulgateadopt rulespursuant tounder the administrative procedure act to implement the provisions of this chapterwhichthat directly affect the rights of or processes available to the general public. The rulesshallhave the force and effect of law andshallmay include but are not limited to:(a)(1) the processes for determining the extent of competition for filling vacancies, for recruiting applicants, for conducting competitive open examinations, for ranking candidates and maintaining competitive open eligible lists, and for certification and appointment of eligibles from competitive open eligible lists;(b)(2) the process for effecting noncompetitive and qualifying appointments;(c)(3) the process for temporary designation of positions in the unclassified service and for effecting appointments to the unclassified service;(d)(4) a statewide affirmative action program to include requirements for agency affirmative action plans, statewide policies and procedures, reporting requirements, accountability and responsibility of employees in the executive branch, and overall objectives of the program;(e)(5) conditions under which moving and other expenses may be authorized and paid prior to appointment to persons who have accepted state employment;(f)(6) procedures for administration of the code of ethics for employees of the executive branch;and(g)(7) examination procedures for candidates withhandicapsdisabilities as described in section 43A.10, subdivision 8.; and (8) procedures or policies that affect the operation of or participation in the public employees insurance program. Sec. 8. Minnesota Statutes 1988, section 43A.04, is amended by adding a subdivision to read: Subd. 9. [EXPERIMENTAL OR RESEARCH PROJECTS.] The commissioner of employee relations may conduct experimental or research projects designed to improve recruitment, selection, referral, or appointment processes for the filling of state classified positions. The commissioner shall meet and confer with the affected exclusive bargaining representative of state employees concerning the design and implementation of experimental and research projects under this subdivision. Any provision in sections 43A.09 to 43A.15, associated personnel rules adopted under subdivision 3, or administrative procedures established under subdivision 4, is waived for the purposes of these projects. The number of appointments under this subdivision may not exceed five percent of the total number of appointments in the preceding fiscal year. The commissioner shall report by September 1 to the legislative commission on employee relations the results of the experimental research projects conducted in the preceding fiscal year. Sec. 9. Minnesota Statutes 1989 Supplement, section 43A.08, subdivision 1, is amended to read: Subdivision 1. [UNCLASSIFIED POSITIONS.] Unclassified positions are held by employees who are: (a) chosen by election or appointed to fill an elective office; (b) heads of agencies required by law to be appointed by the governor or other elective officers, and the executive or administrative heads of departments, bureaus, divisions, and institutions specifically established by law in the unclassified service; (c) deputy and assistant agency heads and one confidential secretary in the agencies listed in subdivision 1a; (d) the confidential secretary to each of the elective officers of this state and, for the secretary of state, state auditor, and state treasurer, an additional deputy, clerk, or employee; (e) intermittent help employed by the commissioner of public safety to assist in the issuance of vehicle licenses; (f) employees in the offices of the governor and of the lieutenant governor and one confidential employee for the governor in the office of the adjutant general; (g) employees of the Washington, D.C., office of the state of Minnesota; (h) employees of the legislature and of legislative committees or commissions; provided that employees of the legislative audit commission, except for the legislative auditor, the deputy legislative auditors, and their confidential secretaries, shall be employees in the classified service; (i) presidents, vice-presidents, deans, other managers and professionals in academic and academic support programs, administrative or service faculty, teachers, research assistants, and student employees eligible under terms of the federal economic opportunity act work study program in the school and resource center for the arts, state universities and community colleges, but not the custodial, clerical, or maintenance employees, or any professional or managerial employee performing duties in connection with the business administration of these institutions; (j) officers and enlisted persons in the national guard; (k) attorneys, legal assistants, examiners, and three confidential employees appointed by the attorney general or employed with the attorney general's authorization; (l) judges and all employees of the judicial branch, referees, receivers, jurors, and notaries public, except referees and adjusters employed by the department of labor and industry; (m) members of the state patrol; provided that selection and appointment of state patrol troopers shall be made in accordance with applicable laws governing the classified service; (n) chaplains employed by the state; (o) examination monitors and intermittent training instructors employed by the departments of employee relations and commerce and by professional examining boards; (p) student workers; (q) one position in the hazardous substance notification and response activity in the department of public safety; (r) employees unclassified pursuant to other statutory authority;and(s) intermittent help employed by the commissioner of agriculture to perform duties relating to pesticides, fertilizer, and seed regulation; and (t) the administrators and the deputy administrators at the state academies for the deaf and the blind. Sec. 10. Minnesota Statutes 1988, section 43A.10, subdivision 7, is amended to read: Subd. 7. [EXAMINATION ACCOMMODATIONS.] Upon request, the commissioner shall provide examination accommodations to a candidate with ahandicapdisability that does not prevent performance of the duties of the class. The accommodationsshallmust provide an opportunity to fairly examine the ability of the candidate to perform the duties of the class notwithstanding thehandicapdisability butshallmust preserve, to the extent feasible, the validity of the examination process and equitable comparison of examination scores with competitors withouthandicapsdisabilities. Sec. 11. Minnesota Statutes 1988, section 43A.10, subdivision 8, is amended to read: Subd. 8. [ELIGIBILITY FOR QUALIFIEDHANDICAPPEDDISABLED EXAMINATIONS.] The commissioner shall establish examination procedures for candidates whosehandicapsdisabilities are of such a severe nature that the candidates are unable to demonstrate their abilities in competitive examination processes. The examination proceduresshallmust consist of up to 700 hours on-the-job trial work experience which will be in lieu of a competitive examination and for which the disabled person has the option of being paid or unpaid. Up to three persons with severe disabilities and their job coachshallmay be allowed to demonstrate their job competence as a unit through the on-the-job trial work experience examination procedure. This work experienceshallmust be limited to candidates for appointment, promotion, or transfer who have a physical or mental impairment for which there is no reasonable accommodation in the examination process. Implementation of provisions of this subdivisionshallmay not be deemed a violation of other provisions of Laws 1981, chapter 210 or 363. Sec. 12. Minnesota Statutes 1988, section 43A.12, subdivision 5, is amended to read: Subd. 5. [QUALIFIEDHANDICAPPEDDISABLED LISTS.] On qualifiedhandicappeddisabled lists eligiblesshallmust be ranked in alphabetical order. Sec. 13. Minnesota Statutes 1988, section 43A.13, subdivision 2, is amended to read: Subd. 2. [LAYOFF.] If an agency has a layoff list for the class and employment conditions of the vacancy to be filled, the commissioner shall certify eligibles as provided in collective bargaining agreements, plans establishedpursuant tounder section 43A.18, rules, or procedures implementedpursuant tounder section 43A.04, subdivision 4. The commissioner, in accordance with collective bargaining agreements or plans established under section 43A.18, may also afford employees on permanent layoff from state service the opportunity to be tested for existing competitive open and promotional eligible lists for classes equal to or lower than those from which they are on layoff. Candidates tested under this procedure who obtain passing scores are eligible in accordance with the ranking and certification provisions of section 43A.12 and this section. Sec. 14. Minnesota Statutes 1988, section 43A.13, subdivision 3, is amended to read: Subd. 3. [REEMPLOYMENT.] For positions to be filled by reemployment of a former employee, the commissioner may certify any eligible on the reemployment list for the class or approve direct reinstatement of a former classified employee withinthreefour years of separation. Sec. 15. Minnesota Statutes 1988, section 43A.13, subdivision 4, is amended to read: Subd. 4. [COMPETITIVE OPEN.] (a) For positions to be filled by competitive open examination, the commissioner shall certify the first 20 eligibles on the list plus those eligibles having the same score as the 20th eligible certified. (b) When the position to be filled by competitive open examination is in a class for which the initially established eligible list contained the names of more than 200 eligibles and that list has existed for more than 12 months and been referred to more than ten vacancies, the commissioner shall certify the first 40 eligibles on the list plus those eligibles having the same score as the 40th eligible certified. Sec. 16. Minnesota Statutes 1988, section 43A.13, subdivision 5, is amended to read: Subd. 5. [COMPETITIVE PROMOTIONAL.] For positions to be filled by competitive promotional examination limited to employees of one or more agencies or organizational units, the commissioner shall certify the first ten eligibles on the list plus those eligibles having the same score as the tenth eligible certified. For positions to be filled by competitive promotional examination extended to all employees of the civil service, the commissioner shall certify the first 20 eligibles on the list, plus those eligibles having the same score as the 20th eligible certified. Sec. 17. Minnesota Statutes 1988, section 43A.13, subdivision 6, is amended to read: Subd. 6. [QUALIFIEDHANDICAPPEDDISABLED.] For a position to be filled by qualifiedhandicappeddisabled examination, the commissioner shall certify only the one eligible who has successfully completed the examination processes provided in section 43A.10, subdivision 8 for the position. Sec. 18. Minnesota Statutes 1988, section 43A.13, subdivision 7, is amended to read: Subd. 7. [EXPANDED CERTIFICATION.] When the commissioner determines that a disparity as defined in rules exists between an agency's work force and its affirmative action plan approved in accordance with section 43A.19, the commissioner shall ensure to the extent possible that eligibles who are members of the protected groups for which the disparity exists are certified for appointment. When fewer than two eligibles of each protected group for which a disparity has been determined to exist would be certified under subdivisions 4 and 5, the commissioner shall certify two eligibles from each protected group for which a disparity exists or four from each group for which a disparity exists if the number of names referred has been increased under subdivision 4, paragraph (b). Implementation of this subdivisionshallmay not be deemed a violation of other provisions of Laws 1981, chapter 210 or 363. Sec. 19. Minnesota Statutes 1988, section 43A.15, subdivision 10, is amended to read: Subd. 10. [ROUTINE SERVICE AND ENTRY CLERICAL APPOINTMENTS.] The commissioner may authorize the administration of a qualifying selection process if a class is of a routine, service nature involving unskilled tasks, the performance of which cannot be directly related to qualifications beyond a minimum competency level.Appointing authorities may considerany candidate found so qualified for probationary appointment tosuch a position.The commissioner may also authorize the administration of qualifying skill tests for entry level clerical positions as an alternative to certification from an eligible list as provided in section 43A.13. Sec. 20. Minnesota Statutes 1988, section 43A.17, subdivision 1, is amended to read: Subdivision 1. [SALARY LIMITS.] As used in subdivisions 1 to89, "salary" means hourly, monthly, or annual rate of pay including any lump-sum payments and cost-of-living adjustment increases but excluding payments due to overtime worked, shift or equipment differentials, work out of class as required by collective bargaining agreements or plans established under section 43A.18, and back pay on reallocation or other payments related to the hours or conditions under which work is performed rather than to the salary range or rate to which a class is assigned. The salary, as established in section 15A.081, of the head of a state agency in the executive branch is the upper limit of compensation in the agency. The salary of the commissioner of labor and industry is the upper limit of compensation of employees in the bureau of mediation services. However, if an agency head is assigned a salary that is lower than the current salary of another agency employee, the employee retains the salary, but may not receive an increase in salary as long as the salary is above that of the agency head. The commissioner may grant exemptions from these upper limits as provided in subdivisions 3 and 4. Sec. 21. Minnesota Statutes 1988, section 43A.17, subdivision 8, is amended to read: Subd. 8. [ACCUMULATED VACATION LEAVE.] The commissioner of employee relations shall not agree to a collective bargaining agreement or recommend a compensation plan pursuant to section 43A.18, subdivisions 1, 2, 3, and 4, nor shall an arbitrator issue an award under sections 179A.01 to 179A.25, if the compensation plan, agreement, or award permits an employee to convert accumulated vacation leave into cashor deferredcompensationbefore separation from state service. This section does not prohibit the commissioner from negotiating a collective bargaining agreement or recommending approval of a compensation plan which permits an employee to receive payment for accumulated vacation leave upon beginning an unpaid leave of absence approved for more than one year in duration if the leave of absence is not for the purpose of accepting an unclassified position in state civil service. Sec. 22. Minnesota Statutes 1988, section 43A.18, subdivision 4, is amended to read: Subd. 4. [PLANS NOT ESTABLISHED BUT APPROVED BY COMMISSIONER.] Notwithstanding any other law to the contrary, total compensation for employees listed in this subdivisionshallmust be set by appointing authorities within the limits of compensation plans that have been approved by the commissioner before becoming effective. Compensation plans established under paragraphs (b), (c), and (d) must be approved by the legislature and the legislative commission on employee relations under subdivision 2 before becoming effective. (a) Total compensation for employees who are not covered by a collective bargaining agreement in the offices of the governor, lieutenant governor, attorney general, secretary of state, state auditor, and state treasurershallmust be determined by the governor, lieutenant governor, attorney general, secretary of state, state auditor and state treasurer, respectively. (b) Total compensation for unclassified positions pursuant to section 43A.08, subdivision 1, clause(h)(i),in the highereducation coordinating board, and in the state board ofvocational technical education shallin the state universities and the community colleges not covered by a collective bargaining agreement must be determined by the state university board and the state board for community colleges,the highereducation coordinating board, and the state board of vocationaltechnical education,respectively. (c) Total compensation for classified administrative law judges in the office of administrative hearingsshallmust be determined by the chief administrative law judge. (d) Total compensation for unclassified positions not covered by a collective bargaining agreement in the higher education coordinating board and in the state board of vocational technical education must be determined by the higher education coordinating board and the state board of vocational technical education, respectively. Sec. 23. Minnesota Statutes 1988, section 43A.18, is amended by adding a subdivision to read: Subd. 4a. [COMPENSATION REPORTS.] On July 1 of each odd-numbered year the state agricultural society, the world trade center corporation board of directors, the greater Minnesota corporation board of directors, and the governing board of the Minnesota state high school league shall each submit a report to the legislative commission on employee relations on the total compensation plan for their employees. Sec. 24. Minnesota Statutes 1988, section 43A.18, subdivision 5, is amended to read: Subd. 5. [GOVERNOR TO RECOMMEND CERTAIN SALARIES.] (a) The governor shall, by July 1 of each odd-numbered year, submit to the legislative commission on employee relations recommendations for salaries within the salary range for the positions listed in section 15A.081, subdivisions 1 and 7. The governor may also propose additions or deletions of positions from those listed.(a)(b) Before submitting the recommendations, the governor shall consult with the commissioner of administration, the commissioner of finance, and the commissioner of employee relations concerning the recommendations.(b)(c) In making recommendations, the governor shall consideronlythe criteria established in subdivision 8 andmaynot take into accountthe performance of individual incumbents. The performance evaluation must include a review of an incumbent's progress toward attainment of affirmative action goals. The governor shall establish an objective system for quantifying knowledge, abilities, duties, responsibilities, and accountabilities and in determining recommendations rate each position by this system.(c)(d) Before the governor's recommended salaries take effect, the recommendations must be reviewed and approved, rejected, or modified by the legislative commission on employee relations and the legislature in the same manner as provided for the commissioner's plan in subdivision 2. The governor may also at any time propose changes in the salary rate of any positions covered by this subdivision, which must be submitted and approved in the same manner as provided in this subdivision.(d)(e) The governor shall set the initial salary of a head of a new agency or a chair of a new metropolitan board or commission whose salary is not specifically prescribed by law after consultation with the commissioner, whose recommendation is advisory only. The amount of the new salary must be comparable to the salary of an agency head or commission chair having similar duties and responsibilities.(e)(f) The salary of a newly appointed head of an agency or chair of a metropolitan agency listed in section 15A.081, subdivision 1 or 7, may be increased or decreased by the governor from the salary previously set for that position within 30 days of the new appointment after consultation with the commissioner. If the governor increases a salary under this paragraph, the governor shall submit the new salary to the legislative commission on employee relations and the full legislature for approval, modification, or rejection in the manner provided in section 43A.18, subdivision 2. If the legislature rejects an increased salary or adjourns without action during the following legislative session, the salary for the position reverts to the level in effect before the governor proposed the change. Sec. 25. [43A.181] [UNREIMBURSED MEDICAL COSTS VACATION DONATION PROGRAM.] Subdivision 1. [DONATION OF VACATION TIME.] A state employee may donate up to eight hours of accrued vacation time in any fiscal year to the account established by subdivision 2 for the benefit of another state employee. The employee must notify the employee's agency head of the amount of accrued vacation time the employee wishes to donate and the name of the other state employee who is to benefit from the donation. The agency head shall determine the monetary value of the donated time, using the gross salary of the employee making the donation. The agency head shall transfer that amount, less deductions for applicable taxes and retirement contributions, to the account established by subdivision 2. A donation of accrued vacation time is irrevocable once its monetary value has been transferred to the account. Subd. 2. [BENEFIT ACCOUNT.] The vacation benefit account, consisting of money transferred under subdivision 1, is administered by the commissioner of employee relations. Money in the account is appropriated to the commissioner for purposes of this section. Subd. 3. [USE OF ACCOUNT ASSETS.] Expenditures from the account established by subdivision 2 may be made only to pay unreimbursed medical expenses when the total of those expenses is at least $10,000 and the expenses are incurred because of the illness of or injury to a state employee or the employee's spouse or dependent. Any money remaining after all of the unreimbursed medical expenses incurred by the employee named to benefit from a donation have been paid may be transferred to a general pool. The commissioner may use the pool to pay unreimbursed medical expenses for another state employee named to benefit from donated vacation time but whose unreimbursed expenses exceed the monetary value of the donated time. Sec. 26. Minnesota Statutes 1988, section 43A.191, subdivision 2, is amended to read: Subd. 2. [AGENCY AFFIRMATIVE ACTION PLANS.] (a) The head of each agency in the executive branch shall prepare and implement an agency affirmative action plan consistent with this section and rules issued under section 43A.04, subdivision 3. (b) The agency plan must include a plan for the provision of reasonable accommodation in the hiring and promotion of qualifiedhandicappeddisabled persons. The reasonable accommodation planshallmust consist of at least the following: (1) procedures for compliance with section 363.03 and, where appropriate, regulations implementing United States Code, title 29, section 794, as amended through December 31, 1984, which is section 504 of the Rehabilitation Act of 1973, as amended; (2) methods and procedures for providing reasonable accommodation forhandicappeddisabled job applicants, current employees, and employees seeking promotion; and (3) provisions for funding reasonable accommodations. (c) The agency plan must be prepared by the agency head with the assistance of the agency affirmative action officer and the director of equal employment opportunity. The council on disability shall provide assistance with the agency reasonable accommodation plan. (d) An agency affirmative action plan may not be implemented without the commissioner's approval. Sec. 27. Minnesota Statutes 1988, section 43A.191, subdivision 3, is amended to read: Subd. 3. [SANCTIONS AND INCENTIVES.] (a) The director of equal employment opportunity shall annually audit the record of each agency to determine the rate of compliance with annual hiring goals of each goal unit and to evaluate the agency's overall progress toward its affirmative action goals and objectives. (b) By March 1 of each year, the commissioner shall submit a report on affirmative action progress of each agency and the state as a whole to the governor and to the finance committee of the senate, the appropriations committee of the house of representatives, the governmental operations committees of both houses of the legislature, and the legislative commission on employee relations. The report must include noncompetitive appointments made under section 43A.08, subdivision 2a, or 43A.15, subdivisions 3 to 13, and cover each agency's rate of compliance with annual hiring goals. In addition, any agency that has not met its affirmative action hiring goals, that fails to make an affirmative action hire, or fails to justify its nonaffirmative action hire in 25 percent or more of the appointments made in the previous calendar year must be designated in the report as an agency not in compliance with affirmative action requirements. (c) The commissioner shall study methods to improve the performance of agencies not in compliance with affirmative action requirements. (d) The commissioner shall establish a program to recognize agencies that have made significant and measurable progress toward achieving affirmative action objectives. Sec. 28. Minnesota Statutes 1988, section 43A.23, subdivision 1, is amended to read: Subdivision 1. [GENERAL.] The commissioner is authorized to request bids from carriers or to negotiate with carriers and to enter into contracts with carriers which in the judgment of the commissioner are best qualified to underwrite and service the benefit plans. Contracts entered into with carriers are not subject to the requirements of sections 16B.189 to 16B.22. The commissioner may negotiate premium rates and coverage provisions with all carriers licensed under chapters 62A, 62C, and 62D. The commissioner may also negotiate reasonable restrictions to be applied to all carriers under chapters 62A, 62C, and 62D. Contracts to underwrite the benefit plans must be bid or negotiated separately from contracts to service the benefit plans, which may be awarded only on the basis of competitive bids. The commissioner shall consider the cost of the plans, conversion options relating to the contracts, service capabilities, character, financial position, and reputation of the carriers and any other factors which the commissioner deems appropriate. Each benefit contract must be for a uniform term of at least one year, but may be made automatically renewable from term to term in the absence of notice of termination by either party. The commissioner shall, to the extent feasible, make hospital and medical benefits available from at least one carrier licensed to do business pursuant to each of chapters 62A, 62C and 62D. The commissioner need not provide health maintenance organization services to an employee who resides in an area which is not served by a licensed health maintenance organization. The commissioner may refuse to allow a health maintenance organization to continue as a carrier. The commissioner may elect not to offer all three types of carriers if there are no bids or no acceptable bids by that type of carrier or if the offering of additional carriers would result in substantial additional administrative costs. A carrier licensed under chapter 62A is exempt from the tax imposed by section 60A.15 on premiums paid to it by the state. Sec. 29. Minnesota Statutes 1988, section 43A.27, subdivision 4, is amended to read: Subd. 4. [RETIRED JUDGES; FORMER LEGISLATORS.]A(a) Retiredjudgejudges oraformerlegislatorlegislators may elect to purchase coverage for themselves or their dependents at their own expense as providedbelow:in paragraphs (b) and (c).(a)(b) A retired judge of the state supreme court, the court of appeals, a district court, a county court, a county municipal court, or a probate court may elect to purchase coverage provided persons listed in section 43A.24, subdivision 2, clause (c), provided that the retired judge exercises thisoption within 30 days of the effective date of retirement; or. The commissioner shall notify judges no later than the effective date of their retirement of their right to exercise the option provided in this subdivision. A retired judge must notify the commissioner or designee of the commissioner within 30 days after the effective date of retirement if the judge intends to exercise the option.(b)(c) A former member of the legislature may elect to purchase coverage provided persons listed in section 43A.24, subdivision 2, clause (a). Sec. 30. Minnesota Statutes 1988, section 43A.316, subdivision 2, is amended to read: Subd. 2. [DEFINITIONS.] For the purpose of this section, the terms defined in this subdivision have the meaning given them. (a) [COMMISSIONER.] "Commissioner" means the commissioner of employee relations. (b) [EMPLOYEE.] "Employee" means: (1) a person who is a public employee within the definition of section 179A.03, subdivision 14, who is insurance eligible and is employed by an eligible employeror; (2) an elected public official of an eligible employer who is insurance eligible; or (3) a person employed by a labor organization or employee association certified as an exclusive representative of employees of an eligible employer or by another public employer approved by the commissioner, so long as the plan meets the requirements of a governmental plan under United States Code, title 29, section 1002(32). (c) [ELIGIBLE EMPLOYER.] "Eligible employer" means (1) a public employer within the definition of section 179A.03, subdivision 15, that is a town, county, city, school district as defined in section 120.02, educational cooperative service unit as defined in section 123.58, intermediate district as defined in section 136C.02, subdivision 7, cooperative center for vocational education as defined in section 123.351, regional management information center as defined in section 121.935, or an education unit organized under the joint powers action, section 471.59; or (2) an exclusive representative of employees, as defined in paragraph (b); or (3) another public employer approved by the commissioner. (d) [EXCLUSIVE REPRESENTATIVE.] "Exclusive representative" means an exclusive representative as defined in section 179A.03, subdivision 8. (e) [LABOR-MANAGEMENT COMMITTEE.] "Labor-management committee" means the committee established by subdivision 4. (f) [PLAN.] "Plan" means the statewide public employees insurance plan created by subdivision 3. Sec. 31. Minnesota Statutes 1988, section 43A.316, subdivision 3, is amended to read: Subd. 3. [PUBLIC EMPLOYEE INSURANCE PLAN.]There iscreated the "public employee insurance plan."The commissioner shall be the administrator of the public employee insurance plan and may determine its funding arrangements. The commissioner shall model the plan after the plan established in section 43A.18, subdivision 2, but may modify that plan, in consultation with the labor-management committee. Sec. 32. Minnesota Statutes 1988, section 43A.316, subdivision 5, is amended to read: Subd. 5. [PUBLIC EMPLOYEE PARTICIPATION.] (a) Participation in the plan is subject to the conditions in this subdivision.(a)(b) Each exclusive representative for an eligible employer determines whether the employees it representsshallwill participate in the plan. The exclusive representativemustshall give the employer notice of intent to participate at least 90 days before the expiration date of the collective bargaining agreement preceding the collective bargaining agreement that covers the date of entry into the plan. The exclusive representative and the eligible employer shall give notice to the commissioner of the determination to participate in the plan at least 90 daysprior tobefore entry into the plan. Entry into the planshall be according tois governed by a schedule established by the commissioner.(b)(c) Employees not represented by exclusive representatives may become members of the plan upon a determination of an eligible employer to include these employees in the plan. Either all or none of the employer's unrepresented employees must participate. The eligible employer shall give at least 90 days' notice to the commissionerprior tobefore entering the plan. Entry into the planshall be according tois governed by a schedule established by the commissioner.(c)(d) Participation in the planshall beis for athree-yeartwo-year termif coverage begins in an even-numberedyear and a four-year term if coverage begins in an odd-numberedyear. Participation is automatically renewed for an additionalfour-yeartwo-year term unless the exclusive representative, or the employer for unrepresented employees, gives the commissioner notice of withdrawal at least 90 daysprior tobefore expiration of the participation period. A group that withdraws must wait two years before rejoining. An exclusive representative, or employer for unrepresented employees, may also withdraw if premiums increase 50 percent or more from one insurance year to the next.(d)(e) The exclusive representative shall give the employer notice of intent to withdraw to the commissioner at least 90 days before the expiration date of a collective bargaining agreement that includes the date on which the term of participation expires.(e)(f) Each participating eligible employer shall notify the commissioner of names of individuals who will be participating within two weeks of the commissioner receiving notice of the parties' intent to participate. The employermustshall also submit other information as required by the commissioner for administration of the plan. Sec. 33. Minnesota Statutes 1988, section 43A.316, subdivision 7, is amended to read: Subd. 7. [PREMIUMS.] The proportion of premium paid by the employer and employee is subject to collective bargaining or personnel policies. If, at the beginning of the coverage period, no collective bargaining agreement has been finalized, the increased dollar costs, if any, from the previous year is the sole responsibility of the individual participant until a collective bargaining agreement states otherwise. Premiums, including an administration fee, shall be established by the commissioner. Eacheligibleemployer shall pay monthly the amounts due for employee benefits including the amounts under subdivision 8 to the commissioneron or beforeno later than the dates established by the commissioner.Failure to pay mayresult in cancellation of theIf an employer fails to make the payments as required, the commissioner may cancel plan benefits and pursue other civil remedies. Sec. 34. Minnesota Statutes 1988, section 43A.316, subdivision 8, is amended to read: Subd. 8. [CONTINUATION OF COVERAGE.] (a)A participatingemployee who is laid off or is on leave may elect to continuethe plan coverage. This coverage is at the expense of theemployee unless otherwise provided by a collective bargainingagreement. Premiums for these employees must be established bythe commissioner. Coverage continues until one of the followingoccurs:(1) the employee is reemployed and eligible for health carecoverage under a group policy; or(2) the insurance continuation periods required by stateand federal laws expire.(b)A participating employee who retires and is receiving an annuity or is eligible for and has applied for an annuity under chapter352, 352B, 352C, 352D,353, 353C, 354, 354A, 356, 422A, 423, 423A, or 424, or 490is eligible to continue participation in the plan. These employees, and employees who have already retired prior to the group from which they retired entering the plan, are eligible to participate as long as their group continues to participate. This participation is at the retiree's expense unless a collective bargaining agreement or personnel policy provides otherwise. Premiums for these participants must be established by the commissioner. An employer shall notify an employee of this option no later than the effective date of retirement. The retired employee shall notify the employer within 30 days of the effective date of retirement of intent to exercise this option.(c)(b) The spouse of a deceased, active, or retired employee may purchase the benefits provided at premiums established by the commissioner if the spouse was a dependent under the active or retired employee's coverage under this section at the time of the death. These participants are eligible to participate as long as the group which included their spouse participates. Coverage under this clause must be coordinated with relevant insurance benefits provided through the federally sponsored Medicare program.(d)(c) The plan benefits must continue in the event of strike permitted by section 179A.18, if the exclusive representative chooses to have coverage continue and the employee pays the total monthly premiums when due.(e)(d) A person who desires to participate under paragraphs (a) to(d)(c) shall notify the eligible employer or former employer of intent to participate according to rules established by the commissioner. The eligible employer shall notify the commissioner and coverage begins as soon as the commissioner permits. Persons participating under these paragraphs shall make appropriate premium payments in the time and manner established by the commissioner. Sec. 35. Minnesota Statutes 1989 Supplement, section 43A.316, subdivision 9, is amended to read: Subd. 9. [INSURANCE TRUST FUND.]AnThe insurance trust fundis establishedin the state treasury. Theconsists of depositsconsistof the premiums received from employers participating in the plan and transfers from the public employees insurance reserve holding account established by section 353.65, subdivision 7. All money in the fund is appropriated to the commissioner to pay insurance premiums, approved claims, refunds, administrative costs, and other related service costs. Premiums are exempt from the tax imposed by sections 60A.15 and 60A.198. The commissioner shall reserve an amount of money to cover the estimated costs of claims incurred but unpaid. The state board of investment shall invest the money according to section 11A.24. Investment income and losses attributable to the fundshallmust be credited to the fund. Sec. 36. Minnesota Statutes 1989 Supplement, section 43A.316, subdivision 10, is amended to read: Subd. 10. [BIDDING REQUIREMENT EXEMPTION.] The public employee insurance planisand, where applicable, the employers participating in it are exempt from chapter 62H, section 471.617, subdivisions 2 and 3, and the bidding requirementsimposed byof section 471.6161. Sec. 37. Minnesota Statutes 1988, section 43A.37, subdivision 1, is amended to read: Subdivision 1. [CERTIFICATION.] Neither the commissioner of finance nor any other fiscal officer of this stateshallmay draw, sign, or issue, or authorize the drawing, signing, or issuing of any warrant on the treasurer or other disbursing officer of the state, norshallmay the treasurer or other disbursing officer of the state pay any salary or compensation to any person in the civil service, unless a payroll register for the salary or compensation containing the name of every person to be paidshall bearbears the certificate of the commissioner that the persons named in the payroll register have been appointed,as required by law, rules, or administrative procedures and that the salary or compensation is within the compensation plan fixedpursuant toby law. The appointing authority shall certify that all employees named in the payroll register are performing service as required by law. This provisionshalldoes not apply to positions defined in section 43A.08, subdivision 1, clauses(g),(h), (i), (j), and(k)(l). Employees to whom this subdivision does not apply may be paid on the state's payroll system, and the appointing authority or fiscal officer submitting their payroll registershall beis responsible for the accuracy and legality of the payments. Salary or compensation claims presented against existing appropriations, which have been deemed in violation of the provisions of this subdivision, may be certified for payment if, upon investigation, the commissioner determines the personal services for which payment is claimed actually have been rendered in good faith without collusion and without intent to defraud. Sec. 38. Minnesota Statutes 1988, section 176.421, is amended by adding a subdivision to read: Subd. 6a. [TIME LIMIT FOR DECISION.] The court shall issue a decision in each case within 90 days after certification of the record to the court by the chief administrative law judge, the filing of a cross-appeal, oral argument, or a final submission of briefs or memoranda by the parties, whichever is latest. No part of the salary of a workers' compensation court of appeals judge may be paid unless the judge, upon accepting the payment, certifies that decisions in cases in which the judge has participated have been issued within the time limits prescribed by this subdivision. Sec. 39. Minnesota Statutes 1988, section 176B.02, is amended to read: 176B.02 [PEACE OFFICERS BENEFIT FUND.]There is hereby created inThe peace officers benefit fund is an account in the state treasuryan account to be known aspeace officers benefit fund. Funds in the peace officersbenefit fund shall consistconsisting of money appropriated to that fund. The administrator of the fund is the commissioner ofemployee relationspublic safety, who shall follow the procedures specified in section 176.541, subdivisions 2, 3, and 4. Sec. 40. Minnesota Statutes 1989 Supplement, section 214.04, subdivision 3, is amended to read: Subd. 3. The executive secretary of each health-related and non-health-related board shall be the chief administrative officer for the board but shall not be a member of the board. The executive secretary shall maintain the records of the board, account for all fees received by it, supervise and direct employees servicing the board, and perform other services as directed by the board. The executive secretaries and other employees of the following boards shall be hired by the board, and the executive secretaries shall be in the unclassified civil service, except as provided in this subdivision: (1) dentistry; (2) medical examiners; (3) nursing; (4) pharmacy; (5) accountancy; (6) architecture, engineering, land surveying and landscape architecture; (7) barber examiners; (8) cosmetology; (9) electricity; (10) teaching; (11) peace officer standards and training; (12) social work; (13) marriage and family therapy; (14) unlicensed mental health service providers; and (15) office of social work and mental health boards.The board of medical examiners shall set the salary of itsexecutive director, which may not exceed 95 percent of the topof the salary range set for the commissioner of health insection 15A.081, subdivision 1. The board of dentistry shallset the salary of its executive director, which may not exceed80 percent of the top of the salary range set for thecommissioner of health in section 15A.081, subdivision 1. Theboard shall submit a proposed salary increase to the legislativecommission on employee relations and the full legislature forapproval, modification, or rejection in the manner provided insection 43A.18, subdivision 2.The executive secretaries serving theremainingboards are hired by those boards and are in the unclassified civil service, except for part-time executive secretaries, who are not required to be in the unclassified service. Boards not requiring full-time executive secretaries may employ them on a part-time basis. To the extent practicable, the sharing of part-time executive secretaries by boards being serviced by the same department is encouraged. Persons providing services to those boards not listed in this subdivision, except executive secretaries of the boards and employees of the attorney general, are classified civil service employees of the department servicing the board. To the extent practicable, the commissioner shall ensure that staff services are shared by the boards being serviced by the department. If necessary, a board may hire part-time, temporary employees to administer and grade examinations. Sec. 41. Minnesota Statutes 1988, section 237.51, subdivision 5, is amended to read: Subd. 5. [DUTIES.] In addition to any duties specified elsewhere in sections 237.51 to 237.56, the board shall: (1) define economic hardship, special needs, and household criteria so as to determine the priority of eligible applicants for initial distribution of devices and to determine circumstances necessitating provision of more than one communication device per household; (2) establish a method to verify eligibility requirements; (3) establish specifications for communication devices to be purchased under section 237.53, subdivision 3; (4) enter contracts for the establishment and operation of the message relay service pursuant to section 237.54; (5) inform the public and specifically the community of communication-impaired persons of the program; (6) prepare the reports required by section 237.55; (7) administer the fund created in section 237.52; (8) retain the services of a program administrator whose position is in the unclassified service; (9) adopt rules, including emergency rules, under chapter 14 to implement the provisions of sections 237.50 to 237.56; and (10) study the potential economic impact of the program on local communication device retailers and dispensers. Notwithstanding any provision of chapter 16B, the board shall develop guidelines for the purchase of some communication devices from local retailers and dispensers if the study determines that otherwise they will be economically harmed by implementation of sections 237.50 to 237.56. Sec. 42. Minnesota Statutes 1988, section 268.0121, subdivision 3, is amended to read: Subd. 3. [UNCLASSIFIED POSITIONS.] The commissioner may establish positions in the unclassified service in accordance with section 43A.08. The commissioner may appoint and define the duties of other subordinate officers and employees as the commissioner deems necessary to discharge the functions of the department. The commissioner may establish the position of director of the state job training office in the unclassified service. Sec. 43. Minnesota Statutes 1988, section 473.405, subdivision 12, is amended to read: Subd. 12. [MANAGEMENT CONTRACTS.] Notwithstanding any of the other provisions of sections 473.404 to 473.449, the commission may, in lieu of directly operating any public transit system or any part thereof, enter into contracts for management services. The contracts may provide for compensation, incentive fees, the employment of personnel, the services provided, and other terms and conditions that the commission deems proper. The contracts must provide that the compensation of personnel who work full time or substantially full time providing management or other services for the commission is public data under chapter 13. The commission may not permit a contract manager to supervise or manage internal audit activities. Internal audit activity must be supervised and managed directly by the commission. The commission shall advertise for bids and select contracts for management services through competitive bidding. The term of the contract may not be longer than two years. The contract must include clear operating objectives, stating the service policies and goals of the commission in terms of the movement of various passenger groups, and performance criteria, by means of which success in achieving the operating objectives can be measured. The commission shall consider and determine the feasibility and desirability of having all its transit management services provided internally by employees of the commission. The employees of any public transit system operated pursuant to the provisions of this subdivision for the purpose of resolving any dispute arising under any existing or new collective bargaining agreement relating to the terms or conditions of their employment, may either engage in a concerted refusal to work or to invoke the processes of final and binding arbitration as provided by chapter 572, subject to any applicable provisions of the agreement not inconsistent with law. Sec. 44. Minnesota Statutes 1988, section 487.13, is amended to read: 487.13 [BUDGET.] The county board by resolution shall provide the budget for (1) the salaries of deputies, clerks and other employees in the office of the court administrator of county court; (2) other expenses necessary in the performance of the duties of said office and (3) the payment of premiums of any bonds required of the court administrator of county court or any deputy, clerk or employee in said office and the board is authorized to appropriate funds therefor and for the salary of the court administrator of county court.Appeal from this resolution ofthe county board may be made in the manner prescribed in section485.018, subdivision 7.Sec. 45. [RATIFICATIONS.] Subdivision 1. [COUNCIL 6.] The labor agreement between the state of Minnesota and the American Federation of State, County and Municipal Employees, Council 6, approved by the legislative commission on employee relations on July 26, 1989, is ratified. Subd. 2. [PROFESSIONAL EMPLOYEES.] The labor agreement between the state of Minnesota and the Minnesota Association of Professional Employees, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 3. [SPECIAL TEACHERS.] The labor agreement between the state of Minnesota and the State Residential Schools Education Association, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 4. [LAW ENFORCEMENT.] The labor agreement between the state of Minnesota and the Bureau of Criminal Apprehension Agents' Association, Minnesota Conservation Officers' Association, and the Minnesota State Patrol Officers' Association, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 5. [MIDDLE MANAGERS.] The labor agreement between the state of Minnesota and the Middle Management Association, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 6. [ENGINEERS.] The labor agreement between the state of Minnesota and the Minnesota Government Engineers Council, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 7. [COMMUNITY COLLEGE FACULTY.] The labor agreement between the state of Minnesota and the Minnesota Community College Faculty Association, approved by the legislative commission on employee relations on November 7, 1989, is ratified. Subd. 8. [NURSES.] The labor agreement between the state of Minnesota and the Minnesota Nurses Association, approved by the legislative commission on employee relations on December 18, 1989, is ratified. Subd. 9. [STATE UNIVERSITY FACULTY.] The labor agreement between the state of Minnesota and the State University Inter-Faculty Organization, approved by the legislative commission on employee relations on December 18, 1989, is ratified. Subd. 10. [STATE UNIVERSITY ADMINISTRATORS.] The labor agreement between the state of Minnesota and the State University Administrative Unit, approved by the legislative commission on employee relations on December 18, 1989, is ratified. Subd. 11. [MANAGERIAL PLANS.] The commissioner of employee relations' plan for managerial employees, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 12. [COMMISSIONER'S PLAN.] The commissioner of employee relations' plan for unrepresented employees, approved by the legislative commission on employee relations on September 6, 1989, is ratified. Subd. 13. [AGENCY HEADS.] The salary plan for positions listed in Minnesota Statutes, section 15A.081, approved by the legislative commission on employee relations on November 7, 1989, is ratified. Subd. 14. [BOARD OF MEDICAL EXAMINERS.] The salary for the executive director of the board of medical examiners, approved by the legislative commission on employee relations on July 26, 1989, is ratified. Subd. 15. [CHANCELLOR, STATE UNIVERSITY SYSTEM.] The salary for the chancellor of the Minnesota state university system, approved by the legislative commission on employee relations on December 18, 1989, is ratified. Subd. 16. [CHANCELLOR, COMMUNITY COLLEGE SYSTEM.] The salary for the chancellor of the Minnesota community college system, approved by the legislative commission on employee relations on December 18, 1989, is ratified. Subd. 17. [DIRECTOR, HIGHER EDUCATION COORDINATING BOARD.] The salary for the executive director of the Minnesota higher education coordinating board, approved by the legislative commission on employee relations on January 23, 1990, is ratified. Subd. 18. [BOARD OF DENTISTRY.] The salary for the executive director of the board of dentistry, approved by the legislative commission on employee relations on January 23, 1990, is ratified. Sec. 46. [INTERIM APPROVAL.] After adjournment of the 1990 session but before the 1991 session of the legislature, the legislative commission on employee relations may give interim approval to any negotiated agreement, arbitration award, or compensation or salary plan submitted to it under other law. The commission shall submit the agreement, award, or plan to the entire legislature for ratification in the same manner and with the same effect as provided for agreements, awards, and plans submitted after adjournment of the legislature in an odd-numbered year. Sec. 47. [RETIRED JUDGES; OPTION TO PURCHASE INSURANCE.] The following judges may exercise the option provided in section 29 within 30 days after the effective date of that section: (1) judges who retired before July 1, 1981; and (2) judges who retired after July 1, 1981, but who were not notified of the option available under Minnesota Statutes, section 43A.27, subdivision 4. Sec. 48. [APPLICABILITY.] Section 43 applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. Sec. 49. [REPEALER.] Minnesota Statutes 1988, section 43A.081, subdivisions 1, 2, and 5; and Minnesota Statutes 1989 Supplement, section 485.018, subdivision 7, are repealed. Sec. 50. [EFFECTIVE DATES.] Sections 1, 3, 4, 5, 20, 24, and 28 are effective July 1, 1990. Sections 8, 14, 15, 16, 18, 19, 29, 42, 45, 46, and 47 are effective the day following final enactment. Section 2 is effective the day following final enactment and applies to appointments made after June 30, 1989. Section 38 is effective August 1, 1991. Section 22 applies only to changes in compensation plans under that section after its effective date. Presented to the governor April 26, 1990 Signed by the governor May 3, 1990, 5:10 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes