Minnesota Legislature
Office of the Revisor of Statutes
Minnesota Session Laws - 1998, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 408-S.F.No. 3396
An act relating to legislative enactments; correcting
miscellaneous noncontroversial oversights,
inconsistencies, ambiguities, unintended results, and
technical errors; amending Minnesota Statutes 1996,
sections 62A.65, subdivision 5, as amended; 115C.08,
subdivision 3; and 120.1701, subdivision 17, as
amended; Minnesota Statutes 1997 Supplement, sections
241.015, as amended; 268.07, subdivision 2, as
amended; Laws 1998, chapter 262, section 13, by adding
a subdivision; Laws 1998, chapter 293, section 3; Laws
1998, chapter 299, section 15, subdivision 1; Laws
1998, chapter 319, section 2, subdivisions 2 and 7;
Laws 1998, chapter 367, article 2, section 30,
subdivision 3; article 2, section 31; article 2,
section 34; article 7, section 15; article 11, section
27; House File 3840, article 8, section 44,
subdivisions 1, 2, and 7; article 9, section 2,
subdivision 2; article 11, section 23; Senate File
161, article 1, section 3; Senate File 3298, article
1, section 2; Senate File 3345, article 9, section 25;
Senate File 3346, article 8, section 15; Senate File
3354, section 32; proposing coding for new law in
Minnesota Statutes, chapter 241.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 1996, section 115C.08,
subdivision 3, is amended to read:
Subd. 3. [PETROLEUM TANK RELEASE CLEANUP FEE.] A petroleum
tank release cleanup fee is imposed on the use of tanks that
contain petroleum products defined in section 296.01. On
products other than gasoline, the fee must be paid in the manner
provided in section 296.141 by the first licensed distributor
receiving the product in Minnesota, as defined in section
296.01. When the product is gasoline, the distributor
responsible for payment of the gasoline tax is also responsible
for payment of the petroleum tank cleanup fee. The fee must be
imposed as required under subdivision 3 2, at a rate of $20 per
1,000 gallons of petroleum products, rounded to the nearest
1,000 gallons. A distributor who fails to pay the fee imposed
under this section is subject to the penalties provided in
section 296.15.
Sec. 2. [CORRECTION 1.] Laws 1998, chapter 262, section
13, is amended by adding a subdivision to read:
Subd. 1a. [SECTION 9.] Section 9 is effective August 1,
1998, and applies to the estate of a person dying on or after
that date.
Sec. 3. [CORRECTION 2.] Minnesota Statutes 1997
Supplement, section 268.07, subdivision 2, as amended by Laws
1998, chapter 265, section 23, is amended to read:
Subd. 2. [WEEKLY BENEFIT AMOUNT AND MAXIMUM AMOUNT OF
BENEFITS.] (a) To establish a reemployment insurance account, a
claimant must have:
(1) wage credits in two or more calendar quarters of the
claimant's base period;
(2) minimum total wage credits equal to or greater than the
high quarter wage credits multiplied by 1.25;
(3) high quarter wage credits of not less than $1,000.
(b) If the commissioner finds that a claimant has
established a reemployment insurance account, the weekly benefit
amount payable during the claimant's benefit year shall be the
higher of:
(1) 50 percent of the claimant's average weekly wage during
the claimant's base period, to a maximum of 66-2/3 percent of
the state's average weekly wage; or
(2) 50 percent of the claimant's average weekly wage during
the high quarter, to a maximum of the higher of $331 or 50
percent of the state's average weekly wage, or $331, whichever
is higher.
The claimant's average weekly wage under clause (1) shall
be computed by dividing the claimant's total wage credits by
52. The claimant's average weekly wage under clause (2) shall
be computed by dividing the claimant's high quarter wage credits
by 13.
(c) The state's maximum weekly benefit amount and the
claimant's weekly benefit amount shall be computed to the
nearest whole dollar.
(d) The maximum amount of benefits payable on any
reemployment insurance account shall equal one-third of the
claimant's total wage credits rounded to the next lower dollar,
not to exceed 26 times the claimant's weekly benefit amount.
Sec. 4. [CORRECTION 4.] Laws 1998, chapter 319, section 2,
subdivision 2, is amended to read:
Subd. 2. [OTHER INSURERS.] In order to be eligible to be
governed by sections 60L.01 to 60L.15, an insurer other than a
life insurer must meet the following requirements:
(a) For each calendar year during which sections 60L.01 to
60L.15 apply to the insurer, the insurer shall have had, as of
the end of the immediately preceding calendar year:
(1) total admitted assets of at least $2,000,000,000; and
(2) a total amount of capital plus surplus of at least
$200,000,000.
(b) For each calendar year during which sections 60L.01 to
60L.15 apply to the insurer, the insurer shall have had, as of
the end of the immediately preceding calendar year, total
adjusted capital equal to or greater than company action level
risk-based capital, as defined in section 60A.60, subdivision
11. For purposes of this subdivision, "total adjusted capital"
means total adjusted capital as defined in section 60A.60,
subdivision 14, adjusted to deduct the value of capital notes
and surplus notes as provided in the risk-based instructions as
defined in section 60A.60, subdivision 10.
(c) For each calendar year during which sections 60L.01 to
60L.15 apply to the insurer, the mean of the ratio, calculated
as of the end of each of the five immediately preceding calendar
years, of total adjusted capital to company action level
risk-based capital, as defined in section 60A.60, subdivision
11, must equal at least 1.0.
(d) An insurer is considered to have met the requirements
of this subdivision and subdivision 3 if the insurer
participates in a 100 percent reinsurance pooling agreement
which substantially affects the solvency and integrity of its
reserves and cedes all of its direct and assumed business to the
pool, and where the insurer with the largest share of pooled
business subject to the agreement meets the requirements of this
subdivision and subdivision 3.
Sec. 5. [CORRECTION 4A.] Laws 1998, chapter 319, section
2, subdivision 7, is amended to read:
Subd. 7. [TERMINATION.] (a) After sections 60L.01 to
60L.15 begin to govern an insurer, sections 60L.01 to 60L.15
apply to the insurer unless:
(1) the insurer has ceased to comply with the requirements
of:
(i) subdivision 1, if the insurer is a life insurer, or;
(ii) subdivision 2, if the insurer is other than a life
insurer, and with the requirements of; or
(iii) subdivision 3
and the insurer has failed to bring itself back into compliance
with the requirements of the applicable subdivisions within 30
days of ceasing to comply; or
(2) the commissioner has issued an order under section
60L.14, subdivision 2, that sections 60L.01 to 60L.15 no longer
govern the insurer, regardless of whether the insurer is
contesting the order; or
(3) all of the following conditions have been met:
(i) the insurer's board of directors has adopted a
resolution electing that sections 60L.01 to 60L.15 no longer
apply to its investments and investment practices;
(ii) the insurer has notified the commissioner in writing
of its intention that sections 60L.01 to 60L.15 no longer apply
to the insurer's investments and investment practices; and
(iii) during the period ending 30 days after the receipt by
the commissioner of the written notice, the commissioner has not
issued an order under section 60L.14 prohibiting the insurer
from ceasing to comply with sections 60L.01 to 60L.15.
(b) An insurer may not elect more than once in a 12-month
period that sections 60L.01 to 60L.15 do not apply to the
insurer's investments and investment practices.
(c) An investment which is held as an admitted asset by an
insurer on the date on which sections 60L.01 to 60L.15 cease to
govern the insurer and which qualified as an admitted asset
immediately before the date remains qualified as an admitted
asset of the insurer.
(d) If sufficient voting securities of the insurer or an
affiliate are acquired to require a filing under section 60D.17,
sections 60L.01 to 60L.15 cease to apply to the insurer 30 days
following the completion of the acquisition of voting
securities. If the board of directors of the insurer desires
the insurer to continue to be governed by sections 60L.01 to
60L.15, it shall comply with the requirements of subdivision 4
and shall notify the commissioner as required under and subject
to subdivision 5. If the notification is received within 30
days of the completion of the acquisition, the insurer is
governed by sections 60L.01 to 60L.15 during the time period
allowed for the commissioner's disapproval.
(e) When sections 60L.01 to 60L.15 cease to govern an
insurer, then, in the case of a life insurer, sections 61A.28;
61A.282, subdivision 2; 61A.283; 61A.29; 61A.31; and 61A.315,
and, in the case of an insurer other than a life insurer,
section 60A.11, apply to the insurer.
Sec. 6. [CORRECTION 5.] Laws 1998, chapter 293, section 3,
is amended to read:
Sec. 3. [EFFECTIVE DATE.]
Section 1 is effective for policies issued or renewed on or
after January 1, 1999. Section 2 is effective the day following
final enactment.
Sec. 7. [CORRECTION 6.] 1998 S.F. No. 3345, article 9,
section 25, if enacted, is amended to read:
Sec. 25. [EFFECTIVE DATE.]
Sections 1 to 3, 6 to 8, 12, and 18 are effective the day
following final enactment. Sections 11 and 17 are effective
January 1, 1999. Sections 13 to 15, 21, and 24 are effective
July 1, 1999.
Sec. 8. [CORRECTION 7.] 1998 S.F. No. 3354, section 32, if
enacted, is amended to read:
Sec. 32. [16D.045] [STAFF.]
Any If there is an increase in the complement of collectors
hired employed by the commissioner of revenue after June 30,
1998, to work for the Minnesota collection enterprise above the
complement employed on June 30, 1998, the new complement of
collectors must be located in the Ely office.
Sec. 9. [CORRECTION 8.] 1998 S.F. No. 3298, article 1,
section 2, is amended to read:
Sec. 2. DEPARTMENT OF PUBLIC
SAFETY $ 200,000 $ 4,170,000
Summary by Fund
General -0- 294,000
Trunk Highway 200,000 3,826,000
Highway User Tax
Distribution Fund -0- 50,000
(a) State Patrol
Summary by Fund
General -0- 294,000
Trunk Highway -0- 3,591,000
Highway User Tax
Distribution Fund -0- 50,000
These appropriations are added to the
appropriation in Laws 1997, chapter
159, article 1, section 4, subdivision
3.
$50,000 from the highway user tax
distribution fund is for the vehicle
registration and insurance study.
$294,000 from the general fund for
fiscal year 1999 is for additional
capitol complex security staff.
$200,000 from the trunk highway fund
for fiscal year 1998 1999 is for
additional state patrol flight time to
enhance law enforcement efforts through
airborne enforcement.
$2,697,000 from the trunk highway fund
for fiscal year 1999 is for 29
additional state troopers and related
support staff.
$694,000 from the trunk highway fund
for fiscal year 1999 is for replacement
and maintenance of state patrol
communications equipment.
(b) Driver and Vehicle Services
200,000 235,000
$200,000 for fiscal year 1998 and
$235,000 for fiscal year 1999 are added
to the appropriations in Laws 1997,
chapter 159, article 1, section 4,
subdivision 4, for driver's license and
identification card cost increases.
This appropriation is from the trunk
highway fund.
Sec. 10. [CORRECTION 9.] Laws 1998, chapter 299, section
15, subdivision 1, is amended to read:
Subdivision 1. [MONTHLY GASOLINE REPORTS; SHRINKAGE
ALLOWANCE.] (a) Except as provided in paragraph (e), on or
before the 23rd day of each month, every person who is required
to pay a gasoline tax shall file with the commissioner a report,
in the form and manner prescribed by the commissioner, showing
the number of gallons of petroleum products received by the
reporter during the preceding calendar month, and other
information the commissioner may require. A written report is
deemed to have been filed as required in this subdivision if
postmarked on or before the 23rd day of the month in which the
tax is payable.
(b) The number of gallons of gasoline must be reported in
United States standard liquid gallons, 231 cubic inches, except
that the commissioner may upon written application and for cause
shown permit the distributor to report the number of gallons of
gasoline as corrected to a temperature of 60-degrees
Fahrenheit. If the application is granted, all gasoline covered
in the application and allowed by the commissioner must continue
to be reported by the distributor on the adjusted basis for a
period of one year from the date of the granting of the
application. The number of gallons of petroleum products other
than gasoline must be reported as originally invoiced. Each
report must show separately the number of gallons of aviation
gasoline received by the reporter during each calendar month.
(c) Each report must also include the amount of gasoline
tax on gasoline received by the reporter during the preceding
month. In computing the tax a deduction of three percent of the
quantity of gasoline received by a distributor shall be made for
evaporation and loss. At the time of reporting, the reporter
shall submit satisfactory evidence that one-third of the three
percent deduction has been credited or paid to dealers on
quantities sold to them.
(d) Each report shall contain a confession of judgment for
the amount of the tax shown due to the extent not timely paid.
(e) Under certain circumstances and with the approval of
the commissioner, taxpayers may be allowed to file reports
annually.
Sec. 11. [CORRECTION 10.] Laws 1998, chapter 367, article
7, section 15, is amended to read:
Sec. 15. [REPEALER.]
Minnesota Statutes 1996, section 401.02, subdivision 4; and
Minnesota Statutes 1997 Supplement, section 244.19, subdivision
3a 4, are repealed.
Sec. 12. [CORRECTION 10A.] Laws 1998, chapter 367, article
11, section 27, is amended to read:
Sec. 27. [REPEALER.]
Minnesota Statutes 1996, sections section 299M.05; and
299M.11, subdivision 3, are, is repealed.
Sec. 13. [CORRECTION 11.] Minnesota Statutes 1997
Supplement, section 241.015, as amended by Laws 1998, chapter
367, article 9, section 4, is amended to read:
241.015 [ANNUAL PERFORMANCE REPORTS REQUIRED.]
Subdivision 1. [ANNUAL REPORT.] Notwithstanding section
15.91, the department of corrections must issue a performance
report by November 30 of each year. The issuance and content of
the report must conform with section 15.91.
Subd. 2. [RECIDIVISM ANALYSIS.] The report required by
subdivision 1 must include an evaluation and analysis of the
programming in all department of corrections facilities. This
evaluation and analysis must include:
(1) a description of the vocational, work, and industries
programs and information on the recidivism rates for offenders
who participated in these types of programming;
(2) a description of the educational programs and
information on the recidivism rates for offenders who
participated in educational programming; and
(3) a description of the chemical dependency, sex offender,
and mental health treatment programs and information on the
recidivism rates for offenders who participated in these
treatment programs.
The analysis of recidivism rates must include a breakdown
of recidivism rates for juvenile offenders, adult male
offenders, and adult female offenders.
Sec. 14. [CORRECTION 11A.] Subdivision 1. [241.016]
[AGENCY PERFORMANCE REPORTING; RECIDIVISM ANALYSIS.]
The report required by section 15.91 must include an
evaluation and analysis of the programming in all department of
corrections facilities. This evaluation and analysis must
include:
(1) a description of the vocational, work, and industries
programs and information on the recidivism rates for offenders
who participated in these types of programming;
(2) a description of the educational programs and
information on the recidivism rates for offenders who
participated in educational programming; and
(3) a description of the chemical dependency, sex offender,
and mental health treatment programs and information on the
recidivism rates for offenders who participated in these
treatment programs.
The analysis of recidivism rates must include a breakdown
of recidivism rates for juvenile offenders, adult male
offenders, and adult female offenders.
Subd. 2. [EFFECTIVE DATE.] Subdivision 1 is effective July
1, 1998.
Sec. 15. [CORRECTION 12.] Laws 1998, chapter 367, article
2, section 30, subdivision 3, is amended to read:
Subd. 3. [LEGISLATIVE REPORT.] The prosecuting authorities
specified in subdivision 2 shall cooperate in compiling a report
containing the information required to be collected under
subdivision 2 and shall submit the report by December 15, 1998,
to the chairs and ranking minority members of the senate crime
prevention committee and the house judiciary committee.
Sec. 16. [CORRECTION 12A.] Laws 1998, chapter 367, article
2, section 31, is amended to read:
Sec. 31. [PENALTY ASSESSMENTS FOR PROSTITUTION CRIMES;
REPORT.]
(a) On or before December 15, 1998, the commissioner of
corrections shall submit a report to the chairs and ranking
minority members of the senate crime prevention committee and
the house judiciary committee concerning the use of money
appropriated to the commissioner from the penalty assessment
authorized by Minnesota Statutes, section 609.3241. The report
shall provide information on the amount of money appropriated to
the commissioner from this source since fiscal year 1995, and
the ways in which the money has been used to assist individuals
who have stopped or wished to stop engaging in prostitution.
(b) On or before December 15, 1998, the supreme court is
requested to report to the chairs and ranking minority members
of the senate crime prevention committee and the house judiciary
committee concerning the use of money collected since fiscal
year 1995 from penalty assessments under Minnesota Statutes,
section 609.3241, and used for the purposes described in
Minnesota Statutes, section 626.558, subdivision 2.
Sec. 17. [CORRECTION 12B.] Laws 1998, chapter 367, article
2, section 34, is amended to read:
Sec. 34. [EFFECTIVE DATE.]
Sections 4 and 22 are effective January 1, 1999, and apply
to crimes committed on or after that date. Section 9 is
effective June 1, 1998, and applies to crimes committed on or
after that date. Section 27 is effective the day following
final enactment. Section 29 applies to the city of Minneapolis
upon its acceptance by the Minneapolis city council pursuant to
Minnesota Statutes, section 645.021, and applies to Hennepin
county upon its acceptance by the Hennepin county board pursuant
to Minnesota Statutes, section 645.021. Sections 1 to 3, 5 to
8, 10 to 21, 23, 24, 26, 32, and 33 are effective August 1,
1998, and apply to crimes committed on or after that date.
Sec. 18. [CORRECTION 13.] 1998 H.F. No. 3840, article 8,
section 44, subdivision 1, if enacted, is amended to read:
Subdivision 1. [SALES AND USE TAX AUTHORIZED.]
Notwithstanding Minnesota Statutes, section 477A.016, or any
other provision of law, ordinance, or city charter, the cities
of St. Cloud, Sauk Rapids, Sartell, Waite Park, and St. Joseph
may impose by ordinance a sales and use tax of up to one-half of
one percent for the purposes specified in subdivision 3 5. This
tax, and the taxes described in subdivisions 2 to 4, may be
imposed in any of these cities only if approved by the voters of
the city at a general election held within one year of the date
of final enactment of this act, or at an election held on the
first Tuesday in November of 1999. The provisions of Minnesota
Statutes, section 297A.48, govern the imposition,
administration, collection, and enforcement of the taxes
authorized under this subdivision.
Sec. 19. [CORRECTION 13A.] 1998 H.F. No. 3840, article 8,
section 44, subdivision 2, if enacted, is amended to read:
Subd. 2. [EXCISE TAX AUTHORIZED.] Notwithstanding
Minnesota Statutes, section 477A.016, or any other provision of
law, ordinance, or city charter, the cities identified in
subdivision 1 may impose by ordinance, for the purposes
specified in subdivision 3 5, an excise tax of up to $20 per
motor vehicle acquired from any person engaged within the city
in the business of selling motor vehicles at retail.
Sec. 20. [CORRECTION 13B.] 1998 H.F. No. 3840, article 8,
section 44, subdivision 7, if enacted, is amended to read:
Subd. 7. [TERMINATION OF TAXES.] The taxes imposed by each
city under subdivisions 1 to 4 expire when sufficient funds have
been received from the taxes to finance the obligations under
subdivision 3 subdivisions 5, paragraph (a), and 6, and to
prepay or retire at maturity the principal, interest, and
premium due on the original bonds issued for the initial
acquisition, construction, and improvement of the Central
Minnesota Events Center as determined under an applicable joint
powers agreement or by a governing entity in charge of
administering the project. Any funds remaining after completion
of the project and retirement or redemption of the bonds may be
placed in the general funds of the cities imposing the taxes.
The taxes imposed by a city under this section may expire at an
earlier time by city ordinance, if authorized under the
applicable joint powers agreement or by the governing entity in
charge of administering the project.
If the cities that pass a referendum required under
subdivision 6 determine that the revenues raised from the sum of
all the taxes authorized by referendum under this subdivision
will not be sufficient to fund the project in subdivision 5,
none of the authorized taxes may be imposed.
Sec. 21. [CORRECTION 14.] 1998 H. F. No. 3840, article 11,
section 23, if enacted, is amended to read:
Sec. 23. [GARRISON; TAX INCREMENT FINANCING.]
The reduction in state aid under Minnesota Statutes,
section 273.1399, for the city of Garrison as a result of tax
increment financing district number 1 does not apply for aids
paid in fiscal years 1999 and 2000. The aid reduction for
fiscal years 1999 and 2000 must be deducted from aid payable to
the city in the year or years after the remainder of the aid
reduction for tax increment financing district number 1 has been
made.
Sec. 22. [CORRECTION 15.] 1998 H. F. No. 3840, article 9,
section 2, subdivision 2, if enacted, is amended to read:
Subd. 2. [PRIORITIES.] If on the basis of a forecast of
general fund revenues and expenditures after November 1 in 1998,
the commissioner of finance determines that there will be a
positive unrestricted budgetary general fund balance at the
close of the biennium, the commissioner of finance must allocate
money as follows:
(1) first, to the budget reserve until the total amount in
that account equals $622,000,000; then
(2) second, to the tax reduction and reform account until
the amount allocated equals $200,000,000; and
(3) third, to reduce the need to borrow money to finance
state building projects as provided in subdivision 3 until the
amount allocated equals $400,000,000.
Sec. 23. [CORRECTION 16.] Minnesota Statutes 1996, section
120.1701, subdivision 17, as amended by 1998 H.F. No. 2874,
article 2, section 18, if enacted, is amended to read:
Sec. 18. Minnesota Statutes 1996, section 120.1701,
subdivision 17, is amended to read:
Subd. 17. [MEDIATION PROCEDURE.] The commissioner, or the
commissioner's designee, of the state lead agency shall use
federal funds to provide mediation for the activities in
paragraphs (a) and (b).
(a) A parent may resolve a dispute regarding issues in
subdivision 16, paragraph (b), clause (5), through mediation.
If the parent chooses mediation, all public agencies involved in
the dispute shall participate in the mediation process. The
parent and the public agencies must complete the mediation
process within 30 calendar days of the date the office of
dispute resolution receives a parent's written request for
mediation. The mediation process may not be used to delay a
parent's right to a due process hearing. The resolution of the
mediation is not binding on any party.
(b) Resolution of a dispute through mediation, or other
form of alternative dispute resolution, is not limited to formal
disputes arising from the objection of a parent or guardian and
is not limited to the period following a request for a due
process hearing.
(c) The commissioner shall provide training and resources
to school districts to facilitate early identification of
disputes and access to mediation.
(d) The local primary agency may request mediation on
behalf of involved agencies when there are disputes between
agencies regarding responsibilities to coordinate, provide, pay
for, or facilitate payment for early intervention services.
Sec. 24. [CORRECTION 17.] 1998 S.F. No. 161, article 1,
section 3, if enacted, is amended to read:
Sec. 3. [SCHEDULE AND QUESTION.]
The proposed amendment shall be submitted at the 1998
general election. If approved, the office of treasurer will be
abolished on the first Monday in January 2003. The question
proposed shall be:
"Shall the Minnesota Constitution be amended to abolish the
office of state treasurer on the first Monday in January 2003?
Yes .......
No ........"
Sec. 25. [CORRECTION 19.] Minnesota Statutes 1996, section
62A.65, subdivision 5, as amended by 1998 S.F. No. 3346, article
8, section 1, if enacted, is amended to read:
Subd. 5. [PORTABILITY OF COVERAGE.] (a) No individual
health plan may be offered, sold, issued, or with respect to
children age 18 or under renewed, to a Minnesota resident that
contains a preexisting condition limitation, preexisting
condition exclusion, or exclusionary rider, unless the
limitation or exclusion is permitted under this subdivision,
provided that, except for children age 18 or under, underwriting
restrictions may be retained on individual contracts that are
issued without evidence of insurability as a replacement for
prior individual coverage that was sold before May 17, 1993.
The individual may be subjected to an 18-month preexisting
condition limitation, unless the individual has maintained
continuous coverage as defined in section 62L.02. The
individual must not be subjected to an exclusionary rider. An
individual who has maintained continuous coverage may be
subjected to a one-time preexisting condition limitation of up
to 12 months, with credit for time covered under qualifying
coverage as defined in section 62L.02, at the time that the
individual first is covered under an individual health plan by
any health carrier. Credit must be given for all qualifying
coverage with respect to all preexisting conditions, regardless
of whether the conditions were preexisting with respect to any
previous qualifying coverage. The individual must not be
subjected to an exclusionary rider. Thereafter, the individual
must not be subject to any preexisting condition limitation,
preexisting condition exclusion, or exclusionary rider under an
individual health plan by any health carrier, except an
unexpired portion of a limitation under prior coverage, so long
as the individual maintains continuous coverage as defined in
section 62L.02.
(b) A health carrier must offer an individual health plan
to any individual previously covered under a group health plan
issued by that health carrier, regardless of the size of the
group, so long as the individual maintained continuous coverage
as defined in section 62L.02. Beginning January 1, 1999, If the
individual has available any continuation coverage provided
under sections 62A.146; 62A.148; 62A.17, subdivisions 1 and 2;
62A.20; 62A.21; 62C.142; 62D.101; or 62D.105, or continuation
coverage provided under federal law, the health carrier need not
offer coverage under this paragraph until the individual has
exhausted the continuation coverage. The offer must not be
subject to underwriting, except as permitted under this
paragraph. A health plan issued under this paragraph must be a
qualified plan as defined in section 62E.02 and must not contain
any preexisting condition limitation, preexisting condition
exclusion, or exclusionary rider, except for any unexpired
limitation or exclusion under the previous coverage. The
individual health plan must cover pregnancy on the same basis as
any other covered illness under the individual health plan. The
initial premium rate for the individual health plan must comply
with subdivision 3. The premium rate upon renewal must comply
with subdivision 2. In no event shall the premium rate exceed
90 percent of the premium charged for comparable individual
coverage by the Minnesota comprehensive health association, and
the premium rate must be less than that amount if necessary to
otherwise comply with this section. An individual health plan
offered under this paragraph to a person satisfies the health
carrier's obligation to offer conversion coverage under section
62E.16, with respect to that person. Coverage issued under this
paragraph must provide that it cannot be canceled or nonrenewed
as a result of the health carrier's subsequent decision to leave
the individual, small employer, or other group market. Section
72A.20, subdivision 28, applies to this paragraph.
Sec. 26. [CORRECTION 19A.] 1998 S.F. No. 3346, article 8,
section 15, if enacted, is amended to read:
Sec. 15. [EFFECTIVE DATES.]
(a) Sections 2 and 4 are effective January 1, 1999.
(b) Section 3 is effective January 1, 1999 July 1, 1998,
and applies to any individual who has continuation coverage
available on or after that date.
(c) Section 12 is effective upon compliance with Minnesota
Statutes, section 645.021, subdivision 2.
(d) Section 13 is effective the day following final
enactment without local approval according to Minnesota
Statutes, section 645.023, subdivision 1, clause (a).
(e) Section 14, paragraph (a), is effective January 1, 1999.
(f) Section 14, paragraph (b), is effective the day
following final enactment.
Sec. 27. [EFFECTIVE DATE.]
Unless provided otherwise, each section of this act takes
effect at the time the provision being corrected takes effect.
Presented to the governor April 10, 1998
Signed by the governor April 20, 1998, 11:10 a.m.
Official Publication of the State of Minnesota
Revisor of Statutes