1.1 	A bill for an act
1.2 	relating to higher education; defining terms; providing an appeals process; 
1.3 	requiring a report; providing awards for online courses; appropriating money;
1.4 	amending Minnesota Statutes 2008, sections 135A.25, subdivision 4; 136A.08, 
1.5 	subdivision 1, by adding a subdivision; 136A.127, by adding a subdivision.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	ARTICLE 1
1.8 	HIGHER EDUCATION APPROPRIATIONS

1.9	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
1.10 		Subdivision 1.Summary By Fund. The amounts shown in this subdivision 
1.11 	summarize direct appropriations, by fund, made in this article.

1.12	SUMMARY BY FUND
	
1.13			2010
		2011
		Total
	
1.14	General
	$
	1,421,840,000
	$
	1,422,710,000
	$
	2,844,550,000
	
1.15	Health Care Access
	$
	2,157,000
	$
	2,157,000
	$
	4,314,000
	
1.16	Total
	$
	1,423,997,000
	$
	1,424,867,000
	$
	2,848,864,000
	
1.17 		Subd. 2.Summary By Agency - All Funds. The amounts shown in this subdivision 
1.18 	summarize direct appropriations, by agency, made in this article.

1.19	SUMMARY BY AGENCY - ALL FUNDS
	
1.20			2010
		2011
		Total
	
1.21
1.22	Minnesota Office of Higher 
Education
	$
	184,976,000
	$
	185,795,000
	$
	370,771,000
	
1.23
1.24
1.25	Board of Trustees of the 
Minnesota State Colleges and 
Universities
	$
	608,597,000
	$
	608,597,000
	$
	1,217,194,000
	
2.1
2.2	Board of Regents of the 
University of Minnesota
	$
	627,092,000
	$
	627,092,000
	$
	1,254,184,000
	
2.3	Mayo Medical Foundation
	$
	1,175,000
	$
	1,226,000
	$
	2,401,000
	
2.4	Total
	$
	1,421,840,000
	$
	1,422,710,000
	$
	2,844,550,000

2.5	Sec. 2. HIGHER EDUCATION APPROPRIATIONS.
 	
2.6 	The sums shown in the columns marked "Appropriations" are appropriated to the 
2.7 	agencies and for the purposes specified in this article. The appropriations are from the 
2.8 	general fund, or another named fund, and are available for the fiscal years indicated 
2.9 	for each purpose. The figures "2010" and "2011" used in this article mean that the 
2.10 	appropriations listed under them are available for the fiscal year ending June 30, 2010, or 
2.11 	June 30, 2011, respectively. "The first year" is fiscal year 2010. "The second year" is fiscal 
2.12 	year 2011. "The biennium" is fiscal years 2010 and 2011.

2.13				APPROPRIATIONS
	
2.14				Available for the Year
	
2.15				Ending June 30
	
2.16					2010
		2011

2.17
2.18	Sec. 3. MINNESOTA OFFICE OF HIGHER 
EDUCATION

2.19	Subdivision 1.Total Appropriation
 	$
	184,976,000
	$
	185,795,000
	
2.20 	The amounts that may be spent for each 
2.21 	purpose are specified in the following 
2.22 	subdivisions.

2.23	Subd. 2.State Grants
 		144,138,000
		144,138,000
	
2.24 	If the appropriation in this subdivision for 
2.25 	either year is insufficient, the appropriation 
2.26 	for the other year is available for it.
2.27 	For the biennium, the tuition maximum for 
2.28 	students in four-year programs is $9,838 in 
2.29 	each year for students in four-year programs, 
2.30 	and for students in two-year programs, is 
2.31 	$5,808 each year.
2.32 	This appropriation sets the living and 
2.33 	miscellaneous expense allowance at $6,200 
2.34 	each year.

3.1	Subd. 3.Safety Officers Survivors
 		100,000
		100,000
	
3.2 	This appropriation is to provide educational 
3.3 	benefits under Minnesota Statutes, section 
3.4 	299A.45, to dependents of public safety 
3.5 	officers killed in the line of duty.
3.6 	If the appropriation in this subdivision for 
3.7 	either year is insufficient, the appropriation 
3.8 	for the other year is available for it.

3.9	Subd. 4.Interstate Tuition Reciprocity
 		2,750,000
		3,150,000
	
3.10 	If the appropriation in this subdivision for 
3.11 	either year is insufficient, the appropriation 
3.12 	for the other year is available to meet 
3.13 	reciprocity contract obligations.

3.14	Subd. 5.State Work Study
 		11,822,000
		11,822,000

3.15	Subd. 6.Child Care Grants
 		5,875,000
		5,875,000

3.16	Subd. 7.Indian Scholarships
 		1,856,000
		1,856,000
	
3.17 	Up to $150,000 of this appropriation in 
3.18 	the 2010-2011 biennium may be used for 
3.19 	administration of the program.
3.20 	The director of the Minnesota Office of 
3.21 	Higher Education must contract with at least 
3.22 	one knowledgeable person residing in or 
3.23 	near the city of Bemidji to assist students 
3.24 	with the scholarships under Minnesota 
3.25 	Statutes, section 136A.126, and with other 
3.26 	information about financial aid for which 
3.27 	the students may be eligible. Bemidji State 
3.28 	University must provide office space at 
3.29 	no cost to the Minnesota Office of Higher 
3.30 	Education for purposes of administering the 
3.31 	American Indian scholarship program under 
3.32 	Minnesota Statutes, section 136A.126.

3.33	Subd. 8.Minitex
 		5,068,000
		5,068,000

4.1	Subd. 9.MnLINK Gateway
 		360,000
		360,000

4.2	Subd. 10.Learning Network of Minnesota
 		4,320,000
		4,320,000

4.3	Subd. 11.Minnesota College Savings Plan
 		700,000
		700,000

4.4	Subd. 12.Midwest Higher Education Compact
 		85,000
		85,000

4.5
4.6	Subd. 13.Intervention for College Attendance 
Program Grants
 		447,000
		447,000
	
4.7 	Up to $100,000 of this appropriation in the 
4.8 	2010-2011 biennium may be used for the 
4.9 	administration of the program.

4.10	Subd. 14.Achieve Scholarship Program
 		4,150,000
		4,550,000
	
4.11 	Up to $200,000 in the 2010-2011 biennium 
4.12 	may be used for administration of the 
4.13 	program.

4.14
4.15	Subd. 15.Outreach; Student and Parent 
Information
 		294,000
		294,000
	
4.16 	This appropriation includes funding for 
4.17 	student and parent information and the get 
4.18 	ready outreach program. Of this amount 
4.19 	$125,000 each year is for student and parent 
4.20 	information and $169,000 each year is for 
4.21 	Get Ready outreach.

4.22
4.23	Subd. 16.United Family Medicine Residency 
Program
 		403,000
		422,000
	
4.24 	This appropriation is for a grant to the 
4.25 	United Family Medicine residency program 
4.26 	to support up to 18 resident physicians 
4.27 	each year in family practice at United 
4.28 	Family Medicine residency programs and 
4.29 	shall prepare doctors to practice family 
4.30 	care medicine in underserved rural and 
4.31 	urban areas of the state. It is intended that 
4.32 	this program will improve health care in 
4.33 	underserved communities, provide affordable 
4.34 	access to appropriate medical care, and 
5.1 	manage the treatment of patients in a more 
5.2 	cost-effective manner.

5.3	Subd. 17.Campus Compact
 		216,000
		216,000
	
5.4 	Up to $103,000 each year may be used for 
5.5 	administration. Up to $113,000 each year is 
5.6 	for grants to increase campus-community 
5.7 	collaboration and service learning statewide, 
5.8 	including operations of the Minnesota 
5.9 	campus compact, grants to member 
5.10 	institutions and grants for member institution 
5.11 	initiatives. For every $1 in state funding, 
5.12 	grant recipients must contribute $2 in campus 
5.13 	or community-based support.

5.14
5.15	Subd. 18.Minnesota Minority Education 
Partnership
 		48,000
		48,000

5.16	Subd. 19.Agency Administration
 		2,344,000
		2,344,000

5.17	Subd. 20.Balances Forward
 					
5.18 	A balance in the first year under this section 
5.19 	does not cancel, but is available for the 
5.20 	second year.

5.21	Subd. 21.Transfers
 					
5.22 	The Minnesota Office of Higher Education 
5.23 	may transfer unencumbered balances from 
5.24 	the appropriations in this section to the 
5.25 	state grant appropriation, the interstate 
5.26 	tuition reciprocity appropriation, the 
5.27 	child care grant appropriation, the Indian 
5.28 	scholarship appropriation, the state work 
5.29 	study appropriation, the achieve scholarship 
5.30 	appropriation, the public safety officers' 
5.31 	survivors appropriation, and the Minnesota 
5.32 	college savings plan appropriation. Transfers 
5.33 	from the child care or state work study 
5.34 	appropriations may only be made to the 
6.1 	extent there is a projected surplus in the 
6.2 	appropriation. A transfer may be made 
6.3 	only with the prior written approval of the 
6.4 	commissioner of finance and prior written 
6.5 	notice to the chairs of the senate and house of 
6.6 	representatives committees with jurisdiction 
6.7 	over higher education finance.

6.8
6.96.10
	Sec. 4. BOARD OF TRUSTEES OF THE 
MINNESOTA STATE COLLEGES AND 
UNIVERSITIES

6.11	Subdivision 1.Total Appropriation
 	$
	608,597,000
	$
	608,597,000
	
6.12 	The Board of Trustees of the Minnesota 
6.13 	State Colleges and Universities shall adopt 
6.14 	a tuition growth cap for the 2009-2010 and 
6.15 	2010-2011 academic years that limits the 
6.16 	impact on students compared to tuition paid 
6.17 	in the previous academic year.

6.18	Subd. 2.General Appropriation
 		608,597,000
		608,597,000

6.19
6.20	Sec. 5. BOARD OF REGENTS OF THE 
UNIVERSITY OF MINNESOTA

6.21	Subdivision 1.Total Appropriation
 	$
	629,249,000
	$
	629,249,000

6.22	Appropriations by Fund
	
6.23		2010
	2011
	
6.24	General
	627,092,000
	627,092,000
	
6.25	Health Care Access
	2,157,000
	2,157,000
	
6.26 	The amounts that may be spent for each 
6.27 	purpose are specified in the following 
6.28 	subdivisions.

6.29	Subd. 2.Operations and Maintenance
 		542,653,000
		542,653,000
	
6.30 	The Board of Regents of the University of 
6.31 	Minnesota is encouraged to adopt a tuition 
6.32 	growth cap for the 2009-2010 and 2010-2011 
6.33 	academic years that limits the impact on 
7.1 	students compared to tuition paid in the 
7.2 	previous academic year.

7.3	Subd. 3.Primary Care Education Initiatives
 		2,157,000
		2,157,000
	
7.4 	This appropriation is from the health care 
7.5 	access fund.

7.6	Subd. 4.Special Appropriations

7.7	(a) Agriculture and Extension Service
		46,406,000
		46,406,000
	
7.8 	(1) This appropriation is for the Agricultural 
7.9 	Experiment Station, Minnesota Extension 
7.10 	Service. 
7.11 	(2) The Board of Regents of the University 
7.12 	of Minnesota is requested to refrain from 
7.13 	implementing corresponding reductions in 
7.14 	funding for the purposes for which additional 
7.15 	funding is provided.

7.16	(b) Health Sciences
		4,384,000
		4,384,000
	
7.17 	$346,000 each year is to support up to 12 
7.18 	resident physicians each year in the St. 
7.19 	Cloud Hospital family practice residency 
7.20 	program. The program must prepare doctors 
7.21 	to practice primary care medicine in the rural 
7.22 	areas of the state. The legislature intends 
7.23 	this program to improve health care in rural 
7.24 	communities, provide affordable access to 
7.25 	appropriate medical care, and manage the 
7.26 	treatment of patients in a more cost-effective 
7.27 	manner.
7.28 	The remainder of this appropriation is for 
7.29 	the rural physicians associates program, the 
7.30 	Veterinary Diagnostic Laboratory, health 
7.31 	sciences research, dental care, and the 
7.32 	Biomedical Engineering Center.

7.33	(c) Institute of Technology
		1,234,000
		1,234,000
	
8.1 	This appropriation is for the Geological 
8.2 	Survey and the talented youth mathematics 
8.3 	program.

8.4	(d) System Specials
		5,474,000
		5,474,000
	
8.5 	This appropriation is for general research, 
8.6 	student loans matching money, industrial 
8.7 	relations education, Natural Resources 
8.8 	Research Institute, Center for Urban and 
8.9 	Regional Affairs, Bell Museum of Natural 
8.10 	History, and the Humphrey exhibit.
8.11 	This appropriation includes additional 
8.12 	funding each year for industrial relations 
8.13 	education.

8.14
8.15	Subd. 5.University of Minnesota and Mayo 
Foundation Partnership
 		7,115,000
		7,115,000
	
8.16 	This appropriation is for the direct and 
8.17 	indirect expenses of the collaborative 
8.18 	research partnership between the University 
8.19 	of Minnesota and the Mayo Foundation 
8.20 	for research in biotechnology and medical 
8.21 	genomics. This appropriation is available 
8.22 	until expended. An annual report on 
8.23 	the expenditure of these funds must be 
8.24 	submitted to the governor and the chairs 
8.25 	of the senate and house of representatives 
8.26 	committees responsible for higher education 
8.27 	and economic development by June 30 of 
8.28 	each fiscal year.

8.29	Subd. 6.Academic Health Center
 					
8.30 	The appropriation for Academic Health 
8.31 	Center funding under Minnesota Statutes, 
8.32 	section 297F.10, is $22,250,000 each year.

8.33	Sec. 6. MAYO CLINIC

8.34	Subdivision 1.Total Appropriation
 	$
	1,175,000
	$
	1,226,000
	
9.1 	The amounts that may be spent for each 
9.2 	purpose are specified in the following 
9.3 	subdivisions.

9.4	Subd. 2.Medical School
 		577,000
		602,000
	
9.5 	The state must pay a capitation each 
9.6 	year for each student who is a resident 
9.7 	of Minnesota. The appropriation may be 
9.8 	transferred between years of the biennium to 
9.9 	accommodate enrollment fluctuations.
9.10 	It is intended that during the biennium the 
9.11 	Mayo Clinic use the capitation money to 
9.12 	increase the number of doctors practicing in 
9.13 	rural areas in need of doctors.

9.14
9.15	Subd. 3.Family Practice and Graduate 
Residency Program
 		598,000
		624,000
	
9.16 	The state must pay stipend support for up to 
9.17 	27 residents each year.

9.18 	ARTICLE 2
9.19 	OTHER HIGHER EDUCATION PROVISIONS

9.20 	Section 1. Minnesota Statutes 2008, section 135A.25, subdivision 4, is amended to 
9.21 	read:
9.22 		Subd. 4.Minnesota Office of Higher Education responsibilities. (a) For private 
9.23 	postsecondary institutions, the Minnesota Office of Higher Education must develop 
9.24 	educational materials considering the recommendations by the Minnesota Office of Higher 
9.25 	Education and others and at least annually convene and sponsor meetings and workshops 
9.26 	and provide educational strategies for faculty, students, administrators, institutions, and 
9.27 	bookstores to inform all interested parties on strategies for reducing the costs of course 
9.28 	materials for students attending postsecondary institutions.
9.29 	(b) The Minnesota Office of Higher Education must identify methods to compile and 
9.30 	distribute information on publishers that sell or distribute course material for classroom 
9.31 	use in postsecondary institutions in a manner that meets the requirements and complies 
9.32 	with subdivision 2. The Minnesota Office of Higher Education must also evaluate ways 
9.33 	to make this information available for use by students and faculty in postsecondary 
9.34 	institutions. report to the committees of the legislature responsible for higher education 
10.1 	finance by January 15, 2010, on the implementation of textbook information requirements 
10.2 	under United States Code, title 20, section 1015b, effective July 1, 2010. In preparing 
10.3 	the report, the office must work with representatives of the Student Advisory Council, 
10.4 	Minnesota State Colleges and Universities, the University of Minnesota, and the Private 
10.5 	College Council. At a minimum, the report must include a template that publishers may 
10.6 	use to provide the required information in a consistent format to all Minnesota campuses, 
10.7 	and make recommendations of methods to disseminate pricing information to support 
10.8 	students and faculty in making well informed decisions about course materials.

10.9 	Sec. 2. Minnesota Statutes 2008, section 136A.08, subdivision 1, is amended to read:
10.10 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms
10.11 	have the meanings given them.
10.12 	(b) "Province" and "provincial" mean the Canadian province of Manitoba.
10.13 	(c) "Resident of this state" means a resident student as defined in section 136A.101, 
10.14 	subdivision 8.

10.15 	Sec. 3. Minnesota Statutes 2008, section 136A.08, is amended by adding a subdivision 
10.16 	to read:
10.17 		Subd. 9.Appeal; resident status. A student who does not meet the definition of 
10.18 	resident after residing in Minnesota for 12 months may appeal to the director by providing 
10.19 	documentation on the student's reasons for residing in Minnesota. The director may 
10.20 	grant resident status to the student upon determining the documentation establishes that 
10.21 	postsecondary education was not the student's principle reason for residing in Minnesota.

10.22 	Sec. 4. Minnesota Statutes 2008, section 136A.127, is amended by adding a 
10.23 	subdivision to read:
10.24 		Subd. 9a.Additional award for online course completion. An eligible student 
10.25 	who has completed at least one online course while in high school or in a home-school 
10.26 	setting under section 120A.22 may receive an additional award of up to $150 to be used 
10.27 	in conjunction with the base award described in subdivision 9. The additional award is 
10.28 	available to new applicants for terms of enrollment beginning on or after July 1, 2009, 
10.29 	and must be used during the period described in subdivision 12. The online course must 
10.30 	be offered by a provider certified by the Minnesota Department of Education under 
10.31 	section 124D.095 or by an eligible postsecondary institution as defined under section 
10.32 	136A.101, subdivision 4. If the official high school transcript is not sufficient to document 
11.1 	the completion of the online course, the student may be required to submit further 
11.2 	documentation that the office deems sufficient.