1.1 	A bill for an act
1.2 	relating to state government; appropriating money for economic development 
1.3 	and housing; establishing and modifying certain programs; providing for 
1.4 	regulation of certain activities and practices; amending certain unemployment 
1.5 	insurance provisions; providing for accounts, assessments, and fees; changing 
1.6 	codes and licensing provisions; providing penalties; amending Iron Range 
1.7 	resources provisions; making technical changes;amending Minnesota Statutes 
1.8 	2008, sections 15.75, subdivision 5; 16B.54, subdivision 2; 45.027, subdivision 
1.9 	1; 60A.315, subdivision 6; 61A.02, subdivisions 2, 2a; 61A.072, subdivision 11; 
1.10 	70A.06, subdivision 2; 84.94, subdivision 3; 115C.08, subdivision 4; 116J.035, 
1.11 	subdivisions 1, 6; 116J.401, subdivision 2; 116J.424; 116J.435, subdivisions 2, 
1.12 	3; 116J.551, subdivision 1; 116J.68, subdivision 2; 116J.8731, subdivisions 
1.13 	2, 3; 116L.03, subdivision 5; 116L.05, subdivision 5; 116L.871, subdivision 
1.14 	1; 116L.96; 123A.08, subdivision 1; 124D.49, subdivision 3; 129D.13, 
1.15 	subdivisions 1, 2, 3; 129D.14, subdivisions 4, 5, 6; 129D.155; 160.16, by 
1.16 	adding a subdivision; 160.276, subdivision 8; 241.27, subdivision 1; 248.061, 
1.17 	subdivision 3; 248.07, subdivisions 7, 8; 256J.626, subdivision 4; 256J.66, 
1.18 	subdivision 1; 268.031; 268.035, subdivisions 2, 17, by adding subdivisions; 
1.19 	268.042, subdivision 3; 268.043; 268.044, subdivision 2; 268.047, subdivisions 
1.20 	1, 2; 268.051, subdivisions 1, 4; 268.052, subdivision 2; 268.053, subdivision 1; 
1.21 	268.057, subdivisions 4, 5; 268.0625, subdivision 1; 268.066; 268.067; 268.069, 
1.22 	subdivision 1; 268.07, subdivisions 1, 2, 3, 3b; 268.084; 268.085, subdivisions 1, 
1.23 	2, 3, 3a, 4, 5, 6, 15; 268.095, subdivisions 1, 2, 4, 10, 11; 268.101, subdivisions 
1.24 	1, 2; 268.103, subdivision 1, by adding a subdivision; 268.105, subdivisions 1, 
1.25 	2, 3a, 4; 268.115, subdivision 5; 268.125, subdivision 5; 268.135, subdivision 
1.26 	4; 268.145, subdivision 1; 268.18, subdivisions 1, 2, 4a; 268.186; 268.196, 
1.27 	subdivisions 1, 2; 268.199; 268.211; 268A.06, subdivision 1; 270.97; 298.22, 
1.28 	subdivisions 2, 5a, 6, 7, 8, 10, 11; 298.221; 298.2211, subdivision 3; 298.2213, 
1.29 	subdivision 4; 298.2214, by adding a subdivision; 298.223; 298.227; 298.28, 
1.30 	subdivision 9d; 298.292, subdivision 2; 298.294; 298.296, subdivision 2; 
1.31 	298.2961; 325E.115, subdivision 1; 325E.1151, subdivisions 1, 3, 4; 326B.33, 
1.32 	subdivision 13; 327C.03, by adding a subdivision; 327C.095, subdivision 12; 
1.33 	469.169, subdivision 3; Laws 1998, chapter 404, section 23, subdivision 6, 
1.34 	as amended; proposing coding for new law in Minnesota Statutes, chapters 
1.35 	116J; 137; 161; 268; 298; 326B; repealing Minnesota Statutes 2008, sections 
1.36 	60A.315, subdivisions 1, 2, 3, 4, 5; 116J.402; 116J.413; 116J.58, subdivision 1; 
1.37 	116J.59; 116J.61; 116J.656; 116L.16; 116L.88; 116U.65; 129D.13, subdivision 
1.38 	4; 176.135, subdivision 1b; 268.085, subdivision 14; 268.086.
2.1 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.2 	ARTICLE 1
2.3 	ECONOMIC DEVELOPMENT AND HOUSING

2.4	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
2.5 	The amounts shown in this section summarize direct appropriations, by fund, made 
2.6 	in this article.

2.7			2010
		2011
		Total
	
2.8	General
	$
	153,397,000
	$
	152,131,000
	$
	305,528,000
	
2.9	Workforce Development
		17,007,000
		17,257,000
		34,264,000
	
2.10	Remediation
		700,000
		700,000
		1,400,000
	
2.11
2.12	Petroleum Tank Release 
Clean-Up Fund
		1,084,000
		1,084,000
		2,168,000
	
2.13	Workers' Compensation
		22,940,000
		22,940,000
		45,880,000
	
2.14	Clean Water
		8,225,000
		17,350,000
		25,575,000
	
2.15	Total
	$
	203,703,000
	$
	211,562,000
	$
	415,265,000

2.16	Sec. 2. APPROPRIATIONS.
 	
2.17 	The sums shown in the columns marked "Appropriations" are appropriated to the 
2.18 	agencies and for the purposes specified in this article.  The appropriations are from the 
2.19 	general fund, or another named fund, and are available for the fiscal years indicated 
2.20 	for each purpose.  The figures "2010" and "2011" used in this article mean that the 
2.21 	appropriations listed under them are available for the fiscal year ending June 30, 2010, or 
2.22 	June 30, 2011, respectively. "The first year" is fiscal year 2010. "The second year" is fiscal 
2.23 	year 2011. "The biennium" is fiscal years 2010 and 2011.  Appropriations for the fiscal 
2.24 	year ending June 30, 2009, are effective the day following final enactment.

2.25				APPROPRIATIONS
	
2.26				Available for the Year
	
2.27				Ending June 30
	
2.28					2010
		2011

2.29
2.30	Sec. 3. EMPLOYMENT AND ECONOMIC 
DEVELOPMENT

2.31	Subdivision 1.Total Appropriation
 	$
	59,339,000
	$
	58,439,000

2.32	Appropriations by Fund
	
2.33		2010
	2011
	
2.34	General
	42,632,000
	41,732,000
	
3.1
3.2	Workforce 
Development
	16,007,000
	16,007,000
	
3.3	Remediation
	700,000
	700,000
	
3.4 	The amounts that may be spent for each 
3.5 	purpose are specified in the following 
3.6 	subdivisions.

3.7
3.8	Subd. 2.Business and Community 
Development
 		10,251,000
		9,501,000

3.9	Appropriations by Fund
	
3.10	General
	9,551,000
	8,801,000
	
3.11	Remediation  
	700,000
	700,000
	
3.12 	(a) $700,000 the first year and $700,000 the 
3.13 	second year are from the remediation fund for 
3.14 	contaminated site cleanup and development 
3.15 	grants under Minnesota Statutes, section 
3.16 	116J.554. This appropriation is available 
3.17 	until expended.
3.18 	(b) $175,000 each year is from the general 
3.19 	fund for a grant to WomenVenture for 
3.20 	women's business development programs 
3.21 	and for programs that encourage and assist 
3.22 	women to enter nontraditional careers in the 
3.23 	trades; manual and technical occupations; 
3.24 	science, technology, engineering, and 
3.25 	mathematics-related occupations; and green 
3.26 	jobs. This appropriation may be matched 
3.27 	dollar for dollar with any resources available 
3.28 	from the federal government for these 
3.29 	purposes with priority given to initiatives 
3.30 	that have a goal of increasing by at least ten 
3.31 	percent the number of women in occupations 
3.32 	where women currently comprise less than 25 
3.33 	percent of the workforce. The appropriation 
3.34 	is available until expended.
4.1 	(c) $200,000 the first year and $200,000 
4.2 	the second year are for a grant to the 
4.3 	Metropolitan Economic Development 
4.4 	Association for continuing minority business 
4.5 	development programs in the metropolitan 
4.6 	area.
4.7 	(d) $500,000 the first year and $500,000 the 
4.8 	second year are for a grant to the BioBusiness 
4.9 	Alliance of Minnesota for bioscience 
4.10 	business development programs to promote 
4.11 	and position the state as a global leader in 
4.12 	bioscience business activities.
4.13 	(e) Of the money available in the Minnesota 
4.14 	Investment Fund, Minnesota Statutes, section 
4.15 	116J.8731, to the commissioner of the 
4.16 	Department of Employment and Economic 
4.17 	Development, $3,000,000 is appropriated 
4.18 	in fiscal year 2010 for a loan to an aircraft 
4.19 	manufacturing and assembly company, 
4.20 	associated with the aerospace industry, for 
4.21 	equipment utilized to establish an aircraft 
4.22 	completion center at the Minneapolis-St. 
4.23 	Paul International Airport. The finishing 
4.24 	center must use the state's vocational training 
4.25 	programs designed specifically for aircraft 
4.26 	maintenance training, and to the extent 
4.27 	possible, work to recruit employees from 
4.28 	these programs. The center must create at 
4.29 	least 200 new manufacturing jobs within 24 
4.30 	months of receiving the loan, and create not 
4.31 	less than 500 new manufacturing jobs over a 
4.32 	five-year period in Minnesota.
4.33 	This loan is not subject to loan limitations 
4.34 	under Minnesota Statutes, section 116J.8731, 
4.35 	subdivision 5. Any match requirements 
5.1 	under Minnesota Statutes, section 116J.8731, 
5.2 	subdivision 3, may be made from current 
5.3 	resources. This is a onetime appropriation 
5.4 	and is effective the day following final 
5.5 	enactment.
5.6 	(f) $79,000 the first year and $79,000 the 
5.7 	second year are for grants to the Minnesota 
5.8 	Inventors Congress. Of this amount, $10,000 
5.9 	each year is for the Student Inventors 
5.10 	Congress.
5.11 	(g) $375,000 the first year and $375,000 the 
5.12 	second year are for the Office of Science and 
5.13 	Technology. These amounts are added to the 
5.14 	agency's budget base.
5.15 	(h) $500,000 the first year and $500,000 the 
5.16 	second year are for a grant to Enterprise 
5.17 	Minnesota, Inc., for the small business 
5.18 	growth acceleration program under 
5.19 	Minnesota Statutes, section 116O.115. These 
5.20 	amounts are added to the agency's budget 
5.21 	base.
5.22 	(i) $250,000 the first year and $250,000 
5.23 	the second year are for a grant to the Rural 
5.24 	Policy and Development Center at St. Peter, 
5.25 	Minnesota, under Minnesota Statutes, section 
5.26 	116J.421.
5.27 	(j) $350,000 the first year is for a grant 
5.28 	to the city of Hugo to be used for relief 
5.29 	from damages caused by the May 25, 2008, 
5.30 	tornado. This is a onetime appropriation and 
5.31 	is available until expended. The city of Hugo 
5.32 	may reimburse Oneka Elementary School up 
5.33 	to $7,800 for costs attributable to the tornado.
5.34 	(k) $300,000 the first year is for a grant 
5.35 	to Minnesota State University, Mankato, 
6.1 	for the International Renewable Energy 
6.2 	Technical Institute (IRETI) to be located 
6.3 	at the university. The institute is a 
6.4 	public and private partnership to support 
6.5 	applied research in renewable energy and 
6.6 	energy efficiency, to aid in the transfer of 
6.7 	technology from Sweden to Minnesota, and 
6.8 	to support technology commercialization 
6.9 	from companies located in Minnesota and 
6.10 	throughout the world. This is a onetime 
6.11 	appropriation.
6.12 	(l) $100,000 is for the commissioner of 
6.13 	employment and economic development to 
6.14 	develop a program to make grants available 
6.15 	to local government units to mitigate the 
6.16 	impacts of transportation construction on 
6.17 	local small business. This is a onetime 
6.18 	appropriation and is available until expended.

6.19	Subd. 3.Workforce Development
 		46,662,000
		46,512,000

6.20	Appropriations by Fund
	
6.21	General
	30,655,000
	30,505,000
	
6.22
6.23	Workforce 
Development
	16,007,000
	16,007,000
	
6.24 	(a) $4,562,000 the first year and $4,562,000 
6.25 	the second year are for the Minnesota job 
6.26 	skills partnership program under Minnesota 
6.27 	Statutes, sections 116L.01 to 116L.17. If the 
6.28 	appropriation for either year is insufficient, 
6.29 	the appropriation for the other year is 
6.30 	available for it. This appropriation is 
6.31 	available until expended.
6.32 	(b) $8,800,000 the first year and $8,800,000 
6.33 	the second year are for the state's vocational 
6.34 	rehabilitation program under Minnesota 
6.35 	Statutes, chapter 268A.
7.1 	(c) $5,986,000 the first year and $5,986,000 
7.2 	the second year are for the state services for 
7.3 	the blind activities.
7.4 	(d) $2,380,000 the first year and $2,380,000 
7.5 	the second year are for grants to centers for 
7.6 	independent living under Minnesota Statutes, 
7.7 	section 268A.11.
7.8 	(e) $455,000 the first year and $455,000 the 
7.9 	second year are for a grant under Minnesota 
7.10 	Statutes, section 116J.8747, to Twin Cities 
7.11 	RISE! to provide training to hard-to-train 
7.12 	individuals.
7.13 	(f) $250,000 the first year and $250,000 
7.14 	the second year are for a grant to Northern 
7.15 	Connections in Perham to implement and 
7.16 	operate a pilot workforce program that 
7.17 	provides one-stop supportive services 
7.18 	to individuals as they transition into the 
7.19 	workforce.
7.20 	(g) $375,000 the first year and $375,000 
7.21 	the second year are for a grant to Ramsey 
7.22 	County Workforce Investment Board for the 
7.23 	development of the building lives program. 
7.24 	This appropriation is added to the agency's 
7.25 	budget base.
7.26 	(h) $150,000 the first year and $150,000 the 
7.27 	second year are for a grant to Advocating 
7.28 	Change Together for training, technical 
7.29 	assistance, and resource materials for persons 
7.30 	with developmental and mental illness 
7.31 	disabilities.
7.32 	(i) $5,627,000 each year is from the general 
7.33 	fund and $6,830,000 each year is from the 
7.34 	workforce development fund for extended 
7.35 	employment services for persons with severe 
8.1 	disabilities or related conditions under 
8.2 	Minnesota Statutes, section 268A.15. Of 
8.3 	the general fund appropriation, $125,000 
8.4 	each year is to supplement funds paid for 
8.5 	wage incentives for the community support 
8.6 	fund established in Minnesota Rules, part 
8.7 	3300.2045.
8.8 	(j) $250,000 the first year and $100,000 
8.9 	the second year are for grants to Minnesota 
8.10 	Diversified Industries, Inc., to provide 
8.11 	progressive development and employment 
8.12 	opportunities for people with disabilities. 
8.13 	This appropriation is available in either 
8.14 	year of the biennium. The budget base 
8.15 	for Minnesota Diversified Industries, Inc., 
8.16 	is $175,000 each year in the 2012-2013 
8.17 	biennium.
8.18 	(k) $1,600,000 the first year and $1,600,000 
8.19 	the second year are for grants to programs 
8.20 	that provide employment support services to 
8.21 	persons with mental illness under Minnesota 
8.22 	Statutes, sections 268A.13 and 268A.14. 
8.23 	Up to $77,000 each year may be used for 
8.24 	administrative expenses.
8.25 	(l) $75,000 the first year and $75,000 the 
8.26 	second year are for a grant to MN Works!, a 
8.27 	nonprofit organization that works on behalf 
8.28 	of all licensed vendors in order to increase 
8.29 	employment opportunities for persons 
8.30 	with disabilities. These appropriations are 
8.31 	available in either year of the biennium and 
8.32 	are added to the agency's budget base.
8.33 	(m) $145,000 each year is from the general 
8.34 	fund and $163,000 each year is from 
8.35 	the workforce development fund for a 
9.1 	grant under Minnesota Statutes, section 
9.2 	268A.03, to Rise, Inc. for the Minnesota 
9.3 	Employment Center for People Who are Deaf 
9.4 	or Hard-of-Hearing. Money not expended 
9.5 	the first year is available the second year.
9.6 	(n) $350,000 the first year and $350,000 
9.7 	the second year are from the workforce 
9.8 	development fund for a grant to Lifetrack 
9.9 	Resources for its immigrant and refugee 
9.10 	collaborative program, including those 
9.11 	related to job-seeking skills and workplace 
9.12 	orientation, intensive job development, 
9.13 	functional work English, and on-site job 
9.14 	coaching.
9.15 	(o) $3,255,000 the first year and $3,255,000 
9.16 	the second year are from the workforce 
9.17 	development fund for the Minnesota youth 
9.18 	program under Minnesota Statutes, sections 
9.19 	116L.56 and 116L.561.
9.20 	(p) $1,250,000 the first year and $1,250,000 
9.21 	the second year are from the workforce 
9.22 	development fund for the Opportunities 
9.23 	Industrialization Center programs.
9.24 	(q) $1,200,000 the first year and $1,200,000 
9.25 	the second year are from the workforce 
9.26 	development fund for grants for the 
9.27 	Minneapolis summer youth employment 
9.28 	program. The grants shall be used to fund 
9.29 	up to 500 jobs for youth each summer. Of 
9.30 	this appropriation, $300,000 each year is for 
9.31 	a grant to the learn-to-earn summer youth 
9.32 	employment program. The commissioner 
9.33 	shall establish criteria for awarding the 
9.34 	grants. This appropriation is available in 
10.1 	either year of the biennium and is available 
10.2 	until spent.
10.3 	(r) $1,000,000 each year from the workforce 
10.4 	development fund is for a grant to the 
10.5 	Minnesota Alliance of Boys and Girls 
10.6 	Clubs to administer a statewide project 
10.7 	of youth jobs skills development. This 
10.8 	project, which may have career guidance 
10.9 	components, including health and life skills, 
10.10 	is to encourage, train, and assist youth in 
10.11 	job-seeking skills, workplace orientation, 
10.12 	and job-site knowledge through coaching. 
10.13 	This grant requires a 25 percent match from 
10.14 	nonstate resources.
10.15 	(s) $558,000 the first year and $558,000 
10.16 	the second year are from the workforce 
10.17 	development fund for grants to fund summer 
10.18 	youth employment in St. Paul. The grants 
10.19 	shall be used to fund up to 500 jobs for 
10.20 	youth each summer. The commissioner shall 
10.21 	establish criteria for awarding the grants. 
10.22 	This appropriation is available in either year 
10.23 	of the biennium and is available until spent.
10.24 	(t) $1,075,000 the first year and $1,075,000 
10.25 	the second year are from the workforce 
10.26 	development fund for the youthbuild 
10.27 	program under Minnesota Statutes, sections 
10.28 	116L.361 to 116L.366.
10.29 	(u) $326,000 the first year and $326,000 
10.30 	the second year are from the workforce 
10.31 	development fund for grants to provide 
10.32 	interpreters for a regional transition program 
10.33 	that specializes in providing culturally 
10.34 	appropriate transition services leading to 
11.1 	employment for deaf, hard-of-hearing, and 
11.2 	deaf-blind students.
11.3 	(v) The first $1,450,000 deposited in each 
11.4 	year of the biennium into the contingent 
11.5 	account created under Minnesota Statutes, 
11.6 	section 268.199, must be transferred 
11.7 	before the closing of each fiscal year to 
11.8 	the workforce development fund created 
11.9 	under Minnesota Statutes, section 116L.20. 
11.10 	Deposits in excess of $1,450,000 must be 
11.11 	transferred before the closing of each fiscal 
11.12 	year to the general fund.

11.13	Subd. 4.State-Funded Administration
 		2,426,000
		2,426,000
	
11.14 	The transfer of funds to the governor's office 
11.15 	for the Washington, D.C. office function is 
11.16 	$20,000 each year.

11.17	Sec. 4. PUBLIC FACILITIES AUTHORITY
 	$
	8,318,000
	$
	17,443,000

11.18	Appropriations by Fund
	
11.19	Clean Water
	8,225,000
	17,350,000
	
11.20	General
	93,000
	93,000
	
11.21 	The following appropriations are from the 
11.22 	clean water fund unless noted.
11.23 	(a) $5,000,000 the first year and $10,000,000 
11.24 	the second year are for the total maximum 
11.25 	daily load grant program under Minnesota 
11.26 	Statutes, section 446A.073. This 
11.27 	appropriation is available until spent.
11.28 	(b) $2,500,000 the first year and $5,000,000 
11.29 	the second year are for the clean water legacy 
11.30 	phosphorus reduction grant program under 
11.31 	Minnesota Statutes, section 446A.074. This 
11.32 	appropriation is available until spent.
11.33 	(c) $125,000 the first year and $250,000 the 
11.34 	second year are for the small community 
12.1 	wastewater treatment program for technical 
12.2 	assistance grants under Minnesota Statutes, 
12.3 	section 446A.075. This appropriation is 
12.4 	available until spent.
12.5 	(d) $500,000 the first year and $2,000,000 
12.6 	the second year are for the small 
12.7 	community wastewater treatment program 
12.8 	for construction loans and grants under 
12.9 	Minnesota Statutes, section 446A.075. This 
12.10 	appropriation is available until spent.
12.11 	(e) $100,000 the first year and $100,000 the 
12.12 	second year are for the small community 
12.13 	wastewater treatment program under 
12.14 	Minnesota Statutes, chapter 446A. This 
12.15 	appropriation is available until spent.
12.16 	(f) $93,000 the first year and $93,000 the 
12.17 	second year are for the small community 
12.18 	wastewater treatment program under 
12.19 	Minnesota Statutes, chapter 446A. These 
12.20 	appropriations are from the general fund.

12.21	Sec. 5. EXPLORE MINNESOTA TOURISM
 	$
	11,417,000
	$
	11,417,000
	
12.22 	(a) To develop maximum private sector 
12.23 	involvement in tourism, $500,000 the first 
12.24 	year and $500,000 the second year must 
12.25 	be matched by Explore Minnesota Tourism 
12.26 	from nonstate sources. Each $1 of state 
12.27 	incentive must be matched with $3 of private 
12.28 	sector funding. Cash match is defined as 
12.29 	revenue to the state or documented cash 
12.30 	expenditures directly expended to support 
12.31 	Explore Minnesota Tourism programs. Up 
12.32 	to one-half of the private sector contribution 
12.33 	may be in-kind or soft match. The incentive 
12.34 	in the first year shall be based on fiscal 
13.1 	year 2009 private sector contributions. The 
13.2 	incentive in the second year will be based on 
13.3 	fiscal year 2010 private sector contributions. 
13.4 	This incentive is ongoing.
13.5 	Funding for the marketing grants is available 
13.6 	either year of the biennium. Unexpended 
13.7 	grant funds from the first year are available 
13.8 	in the second year.
13.9 	Unexpended money from the general fund 
13.10 	appropriations made under this section 
13.11 	does not cancel but must be placed in a 
13.12 	special marketing account for use by Explore 
13.13 	Minnesota Tourism for additional marketing 
13.14 	activities.
13.15 	(b) $325,000 the first year and $325,000 the 
13.16 	second year are for the Minnesota Film and 
13.17 	TV Board. The appropriation in each year 
13.18 	is available only upon receipt by the board 
13.19 	of $1 in matching contributions of money or 
13.20 	in-kind contributions from nonstate sources 
13.21 	for every $3 provided by this appropriation.
13.22 	(c) $1,675,000 the first year and $1,675,000 
13.23 	the second year are for a grant to the 
13.24 	Minnesota Film and TV Board for the 
13.25 	film jobs production program under 
13.26 	Minnesota Statutes, section 116U.26. These 
13.27 	appropriations are available in either year 
13.28 	of the biennium and are available until 
13.29 	expended.

13.30	Sec. 6. HOUSING FINANCE AGENCY

13.31	Subdivision 1.Total Appropriation
 	$
	42,560,000
	$
	42,560,000
	
13.32 	The amounts that may be spent for each 
13.33 	purpose are specified in the following 
13.34 	subdivisions.
14.1 	This appropriation is for transfer to the 
14.2 	housing development fund for the programs 
14.3 	specified. Except as otherwise indicated, this 
14.4 	transfer is part of the agency's permanent 
14.5 	budget base. The agency's budget base is 
14.6 	$42,710,000 in each year of the 2012-2013 
14.7 	biennium.

14.8	Subd. 2.Challenge Program
 		6,769,000
		6,769,000
	
14.9 	For the economic development and housing 
14.10 	challenge program under Minnesota 
14.11 	Statutes, section 462A.33. Of this amount, 
14.12 	$1,395,000 each year shall be made available 
14.13 	during the first eight months of the fiscal 
14.14 	year exclusively for housing projects for 
14.15 	American Indians. Any funds not committed 
14.16 	to housing projects for American Indians in 
14.17 	the first eight months of the fiscal year shall 
14.18 	be available for any eligible activity under 
14.19 	Minnesota Statutes, section 462A.33.

14.20	Subd. 3.Housing Trust Fund
 		10,805,000
		10,805,000
	
14.21 	For deposit in the housing trust fund account 
14.22 	created under Minnesota Statutes, section 
14.23 	462A.201, and used for the purposes 
14.24 	provided in that section.
14.25 	$250,000 the first year and $250,000 the 
14.26 	second year are for a grant to a nonprofit 
14.27 	organization for a demonstration project for 
14.28 	high-risk adults under Laws 2007, chapter 
14.29 	54, article 1, section 19.

14.30	Subd. 4.Rental Assistance for Mentally Ill
 		2,638,000
		2,638,000
	
14.31 	For a rental housing assistance program for 
14.32 	persons with a mental illness or families with 
14.33 	an adult member with a mental illness under 
14.34 	Minnesota Statutes, section 462A.2097.

15.1	Subd. 5.Family Homeless Prevention
 		7,465,000
		7,465,000
	
15.2 	For the family homeless prevention and 
15.3 	assistance programs under Minnesota 
15.4 	Statutes, section 462A.204.

15.5	Subd. 6.Home Ownership Assistance Fund
 		685,000
		685,000
	
15.6 	For the home ownership assistance program 
15.7 	under Minnesota Statutes, section 462A.21, 
15.8 	subdivision 8.

15.9	Subd. 7.Affordable Rental Investment Fund
 		8,796,000
		8,796,000
	
15.10 	For the affordable rental investment fund 
15.11 	program under Minnesota Statutes, section 
15.12 	462A.21, subdivision 8b. The appropriation 
15.13 	is to finance the acquisition, rehabilitation, 
15.14 	and debt restructuring of federally assisted 
15.15 	rental property and for making equity 
15.16 	take-out loans under Minnesota Statutes, 
15.17 	section 462A.05, subdivision 39. 
15.18 	The owner of federally assisted rental 
15.19 	property must agree to participate in 
15.20 	the applicable federally assisted housing 
15.21 	program and to extend any existing 
15.22 	low-income affordability restrictions on the 
15.23 	housing for the maximum term permitted. 
15.24 	The owner must also enter into an agreement 
15.25 	that gives local units of government, 
15.26 	housing and redevelopment authorities, 
15.27 	and nonprofit housing organizations the 
15.28 	right of first refusal if the rental property 
15.29 	is offered for sale. Priority must be given 
15.30 	among comparable federally assisted rental 
15.31 	properties to properties with the longest 
15.32 	remaining term under an agreement for 
15.33 	federal assistance. Priority must also be 
15.34 	given among comparable rental housing 
16.1 	developments to developments that are or 
16.2 	will be owned by local government units, a 
16.3 	housing and redevelopment authority, or a 
16.4 	nonprofit housing organization.
16.5 	The appropriation also may be used to finance 
16.6 	the acquisition, rehabilitation, and debt 
16.7 	restructuring of existing supportive housing 
16.8 	properties. For purposes of this subdivision, 
16.9 	"supportive housing" means affordable rental 
16.10 	housing with links to services necessary for 
16.11 	individuals, youth, and families with children 
16.12 	to maintain housing stability.

16.13	Subd. 8.Housing Rehabilitation
 		4,287,000
		4,287,000
	
16.14 	For the housing rehabilitation program 
16.15 	under Minnesota Statutes, section 462A.05, 
16.16 	subdivision 14, for rental housing 
16.17 	developments.

16.18
16.19	Subd. 9.Homeownership Education, 
Counseling, and Training
 		865,000
		865,000
	
16.20 	For the homeownership education, 
16.21 	counseling, and training program under 
16.22 	Minnesota Statutes, section 462A.209.

16.23	Subd. 10.Capacity Building Grants
 		250,000
		250,000
	
16.24 	For nonprofit capacity building grants 
16.25 	under Minnesota Statutes, section 462A.21, 
16.26 	subdivision 3b.

16.27	Sec. 7. LABOR AND INDUSTRY

16.28	Subdivision 1.Total Appropriation
 	$
	22,397,000
	$
	22,647,000

16.29	Appropriations by Fund
	
16.30		2010
	2011
	
16.31	General
	911,000
	911,000
	
16.32
16.33	Workers' 
Compensation
	20,486,000
	20,486,000
	
16.34
16.35	Workforce 
Development
	1,000,000
	1,250,000
	
17.1 	The amounts that may be spent for each 
17.2 	purpose are specified in the following 
17.3 	subdivisions.

17.4	Subd.  2.Workers' Compensation
 		14,890,000
		14,890,000
	
17.5 	This appropriation is from the workers' 
17.6 	compensation fund.

17.7	Subd. 3.Labor Standards and Apprenticeship
 		1,911,000
		2,161,000

17.8	Appropriations by Fund
	
17.9	General
	911,000
	911,000
	
17.10
17.11	Workforce 
Development
	1,000,000
	1,250,000
	
17.12 	The appropriation from the workforce 
17.13 	development fund is for the apprenticeship 
17.14 	program under Minnesota Statutes, chapter 
17.15 	178, and includes $100,000 each year for 
17.16 	labor education and advancement program 
17.17 	grants. 
17.18 	The appropriation increase from the 
17.19 	workforce development fund is for the 
17.20 	apprenticeship program under Minnesota 
17.21 	Statutes, chapter 178, and includes $250,000 
17.22 	in fiscal year 2010 and $500,000 in fiscal 
17.23 	year 2011 to expand and promote registered 
17.24 	apprenticeship training in nonconstruction 
17.25 	trade programs. These amounts are added to 
17.26 	the agency's budget base.
17.27 	The commissioner must not reduce any 
17.28 	funding available for prevailing wage 
17.29 	enforcement and must fill all positions when 
17.30 	vacancies become available.

17.31	Subd. 4.General Support
 		5,596,000
		5,596,000
	
17.32 	This appropriation is from the workers' 
17.33 	compensation fund.

18.1
18.2	Sec. 8. BUREAU OF MEDIATION 
SERVICES

18.3	Subdivision 1.Total Appropriation
 	$
	1,683,000
	$
	1,683,000
	
18.4 	The amounts that may be spent for each 
18.5 	purpose are specified in the following 
18.6 	subdivisions.

18.7	Subd. 2.Mediation Services
 		1,583,000
		1,583,000

18.8
18.9	Subd. 3.Labor Management Cooperation 
Grants
 		100,000
		100,000
	
18.10 	$100,000 the first year and $100,000 
18.11 	the second year are for grants to area 
18.12 	labor-management committees. Grants may 
18.13 	be awarded for a 12-month period beginning 
18.14 	July 1 of each year. Any unencumbered 
18.15 	balance remaining at the end of the first 
18.16 	year does not cancel but is available for the 
18.17 	second year.

18.18
18.19	Sec. 9. WORKERS' COMPENSATION 
COURT OF APPEALS
 	$
	1,703,000
	$
	1,703,000
	
18.20 	This appropriation is from the workers' 
18.21 	compensation fund.

18.22
18.23	Sec. 10. MINNESOTA HISTORICAL 
SOCIETY

18.24	Subdivision 1.Total Appropriation
 	$
	23,337,000
	$
	23,221,000
	
18.25 	The amounts that may be spent for each 
18.26 	purpose are specified in the following 
18.27 	subdivisions.

18.28	Subd. 2.Education and Outreach
 		13,122,000
		13,122,000

18.29	Subd. 3.Preservation and Access
 		9,853,000
		9,853,000

18.30	Subd. 4.Fiscal Agent

18.31	(a) Minnesota International Center
		43,000
		43,000

18.32	(b) Minnesota Air National Guard Museum
		16,000
		-0-

19.1	(c) Minnesota Military Museum
		100,000
		-0-

19.2	(d) Farmamerica
		128,000
		128,000
	
19.3 	(e) $75,000 the first year and $75,000 the 
19.4 	second year are for a grant to the city of 
19.5 	Eveleth to be used for the support of the 
19.6 	Hockey Hall of Fame Museum provided 
19.7 	that it continues to operate in the city. This 
19.8 	grant is in addition to and must not be 
19.9 	used to supplant funding under Minnesota 
19.10 	Statutes, section 298.28, subdivision 9c. This 
19.11 	appropriation is added to the society's budget 
19.12 	base.

19.13	(f) Balances Forward
					
19.14 	Any unencumbered balance remaining in 
19.15 	this subdivision the first year does not cancel 
19.16 	but is available for the second year of the 
19.17 	biennium.

19.18	Subd. 5.Fund Transfer
 					
19.19 	The Minnesota Historical Society may 
19.20 	reallocate funds appropriated in and between 
19.21 	subdivisions 2 and 3 for any program 
19.22 	purposes and the appropriations are available 
19.23 	in either year of the biennium.

19.24	Sec. 11. BOARD OF THE ARTS

19.25	Subdivision 1.Total Appropriation
 	$
	9,303,000
	$
	9,303,000
	
19.26 	The amounts that may be spent for each 
19.27 	purpose are specified in the following 
19.28 	subdivisions.

19.29	Subd. 2.Operations and Services
 		651,000
		651,000

19.30	Subd. 3.Grants Program
 		6,013,000
		6,013,000

19.31	Subd. 4.Regional Arts Councils
 		2,639,000
		2,639,000

20.1	Sec. 12. HUMANITIES COMMISSION
 	$
	250,000
	$
	250,000

20.2	Sec. 13. PUBLIC BROADCASTING
 	$
	2,515,000
	$
	2,515,000
	
20.3 	(a) $500,000 is for a grant to Minnesota 
20.4 	Public Radio to assist with conversion to a 
20.5 	digital broadcast signal. This is a onetime 
20.6 	appropriation.
20.7 	(b) $1,161,000 the first year and $1,161,000 
20.8 	the second year are for matching grants for 
20.9 	public television.
20.10 	(c) $200,000 the first year and $200,000 
20.11 	the second year are for public television 
20.12 	equipment grants. Equipment or matching 
20.13 	grant allocations shall be made after 
20.14 	considering the recommendations of the 
20.15 	Minnesota Public Television Association.
20.16 	(d) $17,000 the first year and $17,000 the 
20.17 	second year are for grants to the Twin Cities 
20.18 	regional cable channel.
20.19 	(e) $287,000 the first year and $287,000 the 
20.20 	second year are for community service grants 
20.21 	to public educational radio stations.
20.22 	(f) $100,000 the first year and $100,000 
20.23 	the second year are for equipment grants to 
20.24 	public educational radio stations.
20.25 	(g) The grants in paragraphs (e) and (f) 
20.26 	must be allocated after considering the 
20.27 	recommendations of the Association of 
20.28 	Minnesota Public Educational Radio Stations 
20.29 	under Minnesota Statutes, section 129D.14.
20.30 	(h) $250,000 the first year and $250,000 
20.31 	the second year are for equipment grants to 
20.32 	Minnesota Public Radio, Inc.
21.1 	(i) Any unencumbered balance remaining the 
21.2 	first year for grants to public television or 
21.3 	radio stations does not cancel and is available 
21.4 	for the second year.

21.5	Sec. 14. COMMERCE

21.6	Subdivision 1.Total Appropriation
 	$
	18,642,000
	$
	18,642,000

21.7	Appropriations by Fund
	
21.8		2010
	2011
	
21.9	General
	16,807,000
	16,807,000
	
21.10	Petroleum Cleanup
	1,084,000
	1,084,000
	
21.11
21.12	Workers' 
Compensation
	751,000
	751,000

21.13 	The amounts that may be spent for each 
21.14 	purpose are specified in the following 
21.15 	subdivisions.

21.16	Subd. 2.Financial Examinations
 		6,637,000
		6,637,000

21.17
21.18	Subd. 3.Petroleum Tank Release Cleanup 
Board
 		1,084,000
		1,084,000
	
21.19 	This appropriation is from the petroleum 
21.20 	tank release cleanup fund. 

21.21	Subd. 4.Administrative Services
 		4,300,000
		4,300,000

21.22	Subd. 5.Market Assurance
 		6,621,000
		6,621,000

21.23	Appropriations by Fund
	
21.24	General
	5,870,000
	5,870,000
	
21.25
21.26	Workers' 
Compensation
	751,000
	751,000

21.27	Sec. 15. BOARD OF ACCOUNTANCY
 	$
	505,000
	$
	505,000

21.28
21.29
21.30
21.31	Sec. 16. BOARD OF ARCHITECTURE, 
ENGINEERING, LAND SURVEYING, 
LANDSCAPE ARCHITECTURE, 
GEOSCIENCE, AND INTERIOR DESIGN
 	$
	815,000
	$
	815,000

21.32
21.33	Sec. 17. BOARD OF BARBER AND 
COSMETOLOGIST EXAMINERS
 	$
	839,000
	$
	839,000

22.1
22.2	Sec. 18. COMBATIVE SPORTS 
COMMISSION
 	$
	80,000
	$
	80,000

22.3	Sec. 19. TRANSFERS
 					
22.4 	By June 30, 2010, the commissioner of 
22.5 	finance shall transfer $4,250,000, and by June 
22.6 	30, 2011, $4,250,000 of the unencumbered 
22.7 	balance in the workforce development fund 
22.8 	to the general fund.
22.9 	By July 31, 2009, the commissioner of 
22.10 	finance shall transfer $500,000 from the 
22.11 	unexpended balance in the auto theft 
22.12 	prevention account to the general fund.

22.13 	ARTICLE 2
22.14 	EMPLOYMENT AND ECONOMIC DEVELOPMENT POLICY

22.15 	Section 1. Minnesota Statutes 2008, section 116J.435, subdivision 2, is amended to 
22.16 	read:
22.17 		Subd. 2.Definitions. For purposes of this section:
22.18 	(1) "local governmental unit" means a county, city, town, special district, public 
22.19 	higher education institution, or other political subdivision or public corporation;
22.20 	(2) "governing body" means the council, board of commissioners, board of trustees, 
22.21 	board of regents, or other body charged with governing a local governmental unit; 
22.22 	(3) "public infrastructure" means publicly owned physical infrastructure in this state, 
22.23 	including, but not limited to, wastewater collection and treatment systems, drinking water 
22.24 	systems, storm sewers, utility extensions, telecommunications infrastructure, streets, 
22.25 	roads, bridges, parking ramps, facilities that support basic science and clinical research, 
22.26 	and research infrastructure; and 
22.27 	(4) "eligible project" means a bioscience business development capital improvement 
22.28 	project in this state, including: manufacturing; technology; warehousing and distribution; 
22.29 	research and development; bioscience business incubator; agricultural bioprocessing; or 
22.30 	industrial, office, or research park development that would be used by a bioscience-based 
22.31 	business.

22.32 	Sec. 2. Minnesota Statutes 2008, section 116J.435, subdivision 3, is amended to read:
23.1 		Subd. 3.Grant program established. (a) The commissioner shall make 
23.2 	competitive grants to local governmental units to acquire and prepare land on which 
23.3 	public infrastructure required to support an eligible project will be located, including 
23.4 	demolition of structures and remediation of any hazardous conditions on the land, or to 
23.5 	predesign, design, acquire, construct, furnish, and equip public infrastructure required to 
23.6 	support an eligible project. The local governmental unit receiving a grant must provide for 
23.7 	the remainder of the public infrastructure costs from other sources. 
23.8 	(b) The amount of a grant may not exceed the lesser of the cost of the public 
23.9 	infrastructure or 50 percent of the sum of the cost of the public infrastructure plus the cost 
23.10 	of the completed eligible project.
23.11 	(c) The purpose of the program is to keep or enhance jobs in the area, increase the 
23.12 	tax base, or to expand or create new economic development through the growth of new 
23.13 	bioscience businesses and organizations.

23.14 	Sec. 3. Minnesota Statutes 2008, section 116J.8731, subdivision 2, is amended to read:
23.15 		Subd. 2.Administration. The commissioner shall administer the fund as part of 
23.16 	the Small Cities Development Block Grant Program. Funds shall be made available to 
23.17 	local communities and recognized Indian tribal governments in accordance with the rules 
23.18 	adopted for economic development grants in the small cities community development 
23.19 	block grant program, except that all units of general purpose local government are 
23.20 	eligible applicants for Minnesota investment funds. The commissioner may also make 
23.21 	funds available within the department for eligible expenditures under section 116J.8731, 
23.22 	subdivision 3, clause (2). A home rule charter or statutory city, county, or town may loan 
23.23 	or grant money received from repayment of funds awarded under this section to a regional 
23.24 	development commission, other regional entity, or statewide community capital fund as 
23.25 	determined by the commissioner, to capitalize or to provide the local match required for 
23.26 	capitalization of a regional or statewide revolving loan fund.

23.27 	Sec. 4. Minnesota Statutes 2008, section 116J.8731, subdivision 3, is amended to read:
23.28 		Subd. 3.Eligible expenditures. The money appropriated for this section may 
23.29 	be used to provide fund:
23.30 	(1) grants for infrastructure, loans, loan guarantees, interest buy-downs, and other 
23.31 	forms of participation with private sources of financing, provided that a loan to a private 
23.32 	enterprise must be for a principal amount not to exceed one-half of the cost of the project 
23.33 	for which financing is sought.; and
24.1 	(2) strategic investments in renewable energy market development, such as low 
24.2 	interest loans for renewable energy equipment manufacturing, training grants to support 
24.3 	renewable energy workforce, development of a renewable energy supply chain that 
24.4 	represents and strengthens the industry throughout the state, and external marketing to 
24.5 	garner more national and international investment into Minnesota's renewable sector. 
24.6 	Expenditures in external marketing for renewable energy market development are not 
24.7 	subject to the limitations in clause (1).

24.8 	Sec. 5. Minnesota Statutes 2008, section 248.07, subdivision 7, is amended to read:
24.9 		Subd. 7.Blind, vending stands and machines on governmental property; 
24.10 	liability limited. (a) Notwithstanding any other law, for the rehabilitation of blind persons 
24.11 	the commissioner shall have exclusive authority to establish and to operate vending 
24.12 	stands and vending machines in all buildings and properties owned or rented exclusively 
24.13 	by the Minnesota State Colleges and Universities at a state university, a community 
24.14 	college, a consolidated community technical college, or a technical college served by 
24.15 	the commissioner before January 1, 1996, or by any department or agency of the state 
24.16 	of Minnesota except the Department of Natural Resources properties operated directly 
24.17 	by the Division of State Parks and not subject to private leasing. The merchandise to be 
24.18 	dispensed by such Vending stands and machines authorized under this subdivision may 
24.19 	include dispense nonalcoholic beverages, food, candies, tobacco, souvenirs, notions and 
24.20 	related items. Such vending stands and vending machines herein authorized shalland 
24.21 	must be operated on the same basis as other vending stands for the blind established and 
24.22 	supervised by the commissioner under federal law. The commissioner shall waive this 
24.23 	authority to displace any present private individual concessionaire in any state-owned or 
24.24 	rented building or property who is operating under a contract with a specific renewal or 
24.25 	termination date, until the renewal or termination date. With the consent of the governing 
24.26 	body of a governmental subdivision of the state, the commissioner may establish and 
24.27 	supervise vending stands and vending machines for the blind in any building or property 
24.28 	exclusively owned or rented by the governmental subdivision.
24.29 	(b) The Department of Employment and Economic Development is not liable 
24.30 	under chapter 176 for any injury sustained by a blind vendor's employee or agent. The 
24.31 	Department of Employment and Economic Development, its officers, and its agents are 
24.32 	not liable for the acts or omissions of a blind vendor or of a blind vendor's employee or 
24.33 	agent that may result in the blind vendor's liability to third parties. The Department of 
24.34 	Employment and Economic Development, its officers, and its agents are not liable for 
25.1 	negligence based on any theory of liability for claims arising from the relationship created 
25.2 	under this subdivision with the blind vendor.

25.3 	Sec. 6. Minnesota Statutes 2008, section 268A.06, subdivision 1, is amended to read:
25.4 		Subdivision 1.Application. Any city, town, county, nonprofit corporation, 
25.5 	regional treatment center, or any combination thereof, may apply to the commissioner for 
25.6 	assistance in establishing or operating a community rehabilitation facility. Application for 
25.7 	assistance shallmust be on forms prescribed by the commissioner. Each applicant shall 
25.8 	annually submit to the commissioner its plan and budget for the next fiscal year. NoAn 
25.9 	applicant shall beis not eligible for a grant hereunderunder this section unless its plan 
25.10 	and budget audited financial statements of the prior fiscal year have been approved by 
25.11 	the commissioner.

25.12 	ARTICLE 3
25.13 	EMPLOYMENT AND ECONOMIC DEVELOPMENT TECHNICAL CHANGES

25.14 	Section 1. Minnesota Statutes 2008, section 15.75, subdivision 5, is amended to read:
25.15 		Subd. 5.Agreements with Department of Employment and Economic 
25.16 	Development. The commissioner of employment and economic development may 
25.17 	enter into agreements with regional entities established under subdivision 4 to prepare 
25.18 	plans to ensure coordination of the department's business development, community 
25.19 	development, workforce development, and trade functions with programs of local units of 
25.20 	government and other public and private development agencies in the regions. The plans 
25.21 	will identify regional development priorities and serve as a guide for the implementation 
25.22 	of the department's programs in the regions.

25.23 	Sec. 2. Minnesota Statutes 2008, section 16B.54, subdivision 2, is amended to read:
25.24 		Subd. 2.Vehicles. (a) The commissioner may direct an agency to make a transfer of 
25.25 	a passenger motor vehicle or truck currently assigned to it. The transfer must be made to 
25.26 	the commissioner for use in the central motor pool. The commissioner shall reimburse an 
25.27 	agency whose motor vehicles have been paid for with funds dedicated by the Constitution 
25.28 	for a special purpose and which are assigned to the central motor pool. The amount of 
25.29 	reimbursement for a motor vehicle is its average wholesale price as determined from the 
25.30 	midwest edition of the National Automobile Dealers Association official used car guide.
25.31 	(b) To the extent that funds are available for the purpose, the commissioner may 
25.32 	purchase or otherwise acquire additional passenger motor vehicles and trucks necessary 
26.1 	for the central motor pool. The title to all motor vehicles assigned to or purchased or 
26.2 	acquired for the central motor pool is in the name of the Department of Administration.
26.3 	(c) On the request of an agency, the commissioner may transfer to the central 
26.4 	motor pool any passenger motor vehicle or truck for the purpose of disposing of it. The 
26.5 	department or agency transferring the vehicle or truck must be paid for it from the motor 
26.6 	pool revolving account established by this section in an amount equal to two-thirds of the 
26.7 	average wholesale price of the vehicle or truck as determined from the midwest edition of 
26.8 	the National Automobile Dealers Association official used car guide.
26.9 	(d) The commissioner shall provide for the uniform marking of all motor vehicles. 
26.10 	Motor vehicle colors must be selected from the regular color chart provided by the 
26.11 	manufacturer each year. The commissioner may further provide for the use of motor 
26.12 	vehicles without marking by:
26.13 	(1) the governor;
26.14 	(2) the lieutenant governor;
26.15 	(3) the Division of Criminal Apprehension, the Division of Alcohol and Gambling 
26.16 	Enforcement, and arson investigators of the Division of Fire Marshal in the Department of 
26.17 	Public Safety;
26.18 	(4) the Financial Institutions Division and investigative staff of the Department 
26.19 	of Commerce;
26.20 	(5) the Division of Disease Prevention and Control of the Department of Health;
26.21 	(6) the State Lottery;
26.22 	(7) criminal investigators of the Department of Revenue;
26.23 	(8) state-owned community service facilities in the Department of Human Services;
26.24 	(9) the investigative staff of the Department of Employment and Economic 
26.25 	Development;
26.26 	(10) (9) the Office of the Attorney General; and
26.27 	(11) (10) the investigative staff of the Gambling Control Board.

26.28 	Sec. 3. Minnesota Statutes 2008, section 84.94, subdivision 3, is amended to read:
26.29 		Subd. 3.Identification and classification. The Department of Natural Resources, 
26.30 	with the cooperation of the state Geological Survey, Departments the Department of 
26.31 	Transportation, and Energy, Planning and Development the Department of Employment 
26.32 	and Economic Development, outside of the metropolitan area as defined in section 
26.33 	473.121, shall conduct a program of identification and classification of potentially valuable 
26.34 	publicly or privately owned aggregate lands located outside of urban or developed areas 
26.35 	where aggregate mining is restricted, without consideration of their present land use. The 
27.1 	program shall give priority to identification and classification in areas of the state where 
27.2 	urbanization or other factors are or may be resulting in a loss of aggregate resources to 
27.3 	development. Lands shall be classified as:  
27.4 	(1) identified resources, being those containing significant aggregate deposits;
27.5 	(2) potential resources, being those containing potentially significant deposits and 
27.6 	meriting further evaluation; or
27.7 	(3) subeconomic resources, being those containing no significant deposits.
27.8 	As lands are classified, the information on the classification shall be transmitted to 
27.9 	each of the departments and agencies named in this subdivision, to the planning authority 
27.10 	of the appropriate county and municipality, and to the appropriate county engineer. The 
27.11 	county planning authority shall notify owners of land classified under this subdivision by 
27.12 	publication in a newspaper of general circulation in the county or by mail.

27.13 	Sec. 4. Minnesota Statutes 2008, section 116J.035, subdivision 6, is amended to read:
27.14 		Subd. 6.Receipt of gifts, money; appropriation. (a) The commissioner may
27.15 	accept gifts, bequests, grants, payments for services, and other public and private money 
27.16 	to help finance the activities of the department.:
27.17 	(1) apply for, accept, and disburse gifts, bequests, grants, payments for services, 
27.18 	loans, or other property from the United States, the state, private foundations, or any 
27.19 	other source;
27.20 	(2) enter into an agreement required for the gifts, grants, or loans; and 
27.21 	(3) hold, use, and dispose of its assets according to the terms of the gift, grant, 
27.22 	loan, or agreement. 
27.23 	(b) Money received by the commissioner under this subdivision must be deposited 
27.24 	in a separate account in the state treasury and invested by the State Board of Investment. 
27.25 	The amount deposited, including investment earnings, is appropriated to the commissioner 
27.26 	to carry out duties under this section.

27.27 	Sec. 5. Minnesota Statutes 2008, section 116J.401, subdivision 2, is amended to read:
27.28 		Subd. 2.Duties; authorizations; limitations. (a) The commissioner of employment 
27.29 	and economic development shall:
27.30 	(1) provide regional development commissions, the Metropolitan Council, and 
27.31 	units of local government with information, technical assistance, training, and advice on 
27.32 	using federal and state programs;
28.1 	(2) receive and administer the Small Cities Community Development Block Grant 
28.2 	Program authorized by Congress under the Housing and Community Development Act of 
28.3 	1974, as amended;
28.4 	(3) receive and administer the section 107 technical assistance program grants 
28.5 	authorized by Congress under the Housing and Community Development Act of 1974, as 
28.6 	amended;
28.7 	(4) receive, administer, and supervise other state and federal grants and grant 
28.8 	programs for planning, community affairs, community development purposes, 
28.9 	employment and training services, and other state and federal programs assigned to the 
28.10 	department by law or by the governor in accordance with section 4.07;  
28.11 	(5) receive applications for state and federal grants and grant programs for planning, 
28.12 	community affairs, and community development purposes, and other state and federal 
28.13 	programs assigned to the department by law or by the governor in accordance with section 
28.14 	4.07;  
28.15 	(6) act as the agent of, and cooperate with, the federal government in matters of 
28.16 	mutual concern, including the administration of any federal funds granted to the state to 
28.17 	aid in the performance of functions of the commissioner;
28.18 	(7) provide consistent, integrated employment and training services across the state;
28.19 	(8) administer the Wagner-Peyser Act, the Workforce Investment Act, and other 
28.20 	federal employment and training programs;
28.21 	(9) establish the standards for all employment and training services administered 
28.22 	under this chapter and chapters 116L, 248, 268, and 268A;
28.23 	(10) administer the aspects of the Minnesota family investment program, general 
28.24 	assistance, and food stamps that relate to employment and training services, subject to the 
28.25 	contract under section 116L.86, subdivision 1;  
28.26 	(11) obtain reports from local service units and service providers for the purpose of 
28.27 	evaluating the performance of employment and training services;
28.28 	(12) as requested, certify employment and training services, and decertify services 
28.29 	that fail to comply with performance criteria according to standards established by the 
28.30 	commissioner;
28.31 	(13) develop standards for the contents and structure of the local service unit plans 
28.32 	and plans for Indian tribe employment and training services, review and comment on those 
28.33 	plans, and approve or disapprove the plans;
28.34 	(14) supervise the county boards of commissioners, local service units, and any other 
28.35 	units of government designated in federal or state law as responsible for employment and 
28.36 	training programs;
29.1 	(15) establish administrative standards and payment conditions for providers of 
29.2 	employment and training services;
29.3 	(16) enter into agreements with Indian tribes as necessary to provide employment 
29.4 	and training services as appropriate funds become available;
29.5 	(17) cooperate with the federal government and its employment and training 
29.6 	agencies in any reasonable manner as necessary to qualify for federal aid for employment 
29.7 	and training services and money;
29.8 	(18) administer and supervise all forms of unemployment insurance provided for 
29.9 	under federal and state laws;
29.10 	(19) provide current state and substate labor market information and forecasts, in 
29.11 	cooperation with other agencies;
29.12 	(20) require all general employment and training programs that receive state funds 
29.13 	to make available information about opportunities for women in nontraditional careers 
29.14 	in the trades and technical occupations;
29.15 	(21) consult with the Rehabilitation Council for the Blind on matters pertaining to 
29.16 	programs and services for the blind and visually impaired;
29.17 	(22) enter into agreements with other departments of the state and local units of 
29.18 	government as necessary; and
29.19 	(23) establish and maintain administrative units necessary to perform administrative 
29.20 	functions common to all divisions of the department.;
29.21 	(24) investigate, study, and undertake ways and means of promoting and encouraging 
29.22 	the prosperous development and protection of the legitimate interest and welfare of 
29.23 	Minnesota business, industry, and commerce, within and outside the state;
29.24 	(25) locate markets for manufacturers and processors and aid merchants in locating 
29.25 	and contacting markets;
29.26 	(26) as necessary or useful for the proper execution of the powers and duties of the 
29.27 	commissioner in promoting and developing Minnesota business, industry, and commerce, 
29.28 	both within and outside the state, investigate and study conditions affecting Minnesota 
29.29 	business, industry, and commerce; collect and disseminate information; and engage in 
29.30 	technical studies, scientific investigations, statistical research, and educational activities;
29.31 	(27) plan and develop an effective business information service both for the direct 
29.32 	assistance of business and industry of the state and for the encouragement of business and 
29.33 	industry outside the state to use economic facilities within the state;
29.34 	(28) compile, collect, and develop periodically, or otherwise make available, 
29.35 	information relating to current business conditions;
30.1 	(29) conduct or encourage research designed to further new and more extensive uses 
30.2 	of the natural and other resources of the state and designed to develop new products 
30.3 	and industrial processes;
30.4 	(30) study trends and developments in the industries of the state and analyze the 
30.5 	reasons underlying the trends;
30.6 	(31) study costs and other factors affecting successful operation of businesses within 
30.7 	the state;
30.8 	(32) make recommendations regarding circumstances promoting or hampering 
30.9 	business and industrial development;
30.10 	(33) serve as a clearing house for business and industrial problems of the state;
30.11 	(34) advise small business enterprises regarding improved methods of accounting 
30.12 	and bookkeeping;
30.13 	(35) cooperate with interstate commissions engaged in formulating and promoting 
30.14 	the adoption of interstate compacts and agreements helpful to business, industry, and 
30.15 	commerce;
30.16 	(36) cooperate with other state departments and with boards, commissions, and 
30.17 	other state agencies in the preparation and coordination of plans and policies for the 
30.18 	development of the state and for the use and conservation of its resources insofar as the 
30.19 	use, conservation, and development may be appropriately directed or influenced by a 
30.20 	state agency;
30.21 	(37) in connection with state, county, and municipal public works projects, assemble 
30.22 	and coordinate information relative to the status, scope, cost, and employment possibilities 
30.23 	and availability of materials, equipment, and labor, and recommend limitations on the 
30.24 	public works;
30.25 	(38) gather current progress information with reference to public and private 
30.26 	works projects of the state and its political subdivisions with reference to conditions of 
30.27 	employment;
30.28 	(39) inquire into and report to the governor, when requested by the governor, with 
30.29 	respect to any program of public state improvements and its financing; and request 
30.30 	and obtain information from other state departments or agencies as may be needed for 
30.31 	the report;
30.32 	(40) study changes in population and current trends and prepare plans and suggest 
30.33 	policies for the development and conservation of the resources of the state;
30.34 	(41) confer and cooperate with the executive, legislative, or planning authorities of 
30.35 	the United States, neighboring states and provinces, and the counties and municipalities 
30.36 	of neighboring states, for the purpose of bringing about a coordination between the 
31.1 	development of neighboring provinces, states, counties, and municipalities and the 
31.2 	development of this state;
31.3 	(42) generally gather, compile, and make available statistical information relating to 
31.4 	business, trade, commerce, industry, transportation, communication, natural resources, 
31.5 	and other like subjects in this state, with authority to call upon other state departments for 
31.6 	statistical data and results obtained by them and to arrange and compile that statistical 
31.7 	information in a reasonable manner;
31.8 	(43) publish documents and annually convene regional meetings to inform 
31.9 	businesses, local government units, assistance providers, and other interested persons of 
31.10 	changes in state and federal law related to economic development;
31.11 	(44) annually convene conferences of providers of economic development-related 
31.12 	financial and technical assistance for the purposes of exchanging information on economic 
31.13 	development assistance, coordinating economic development activities, and formulating 
31.14 	economic development strategies;
31.15 	(45) provide business with information on the economic benefits of energy 
31.16 	conservation and on the availability of energy conservation assistance;
31.17 	(46) as part of the biennial budget process, prepare performance measures for each 
31.18 	business loan or grant program within the jurisdiction of the commissioner. Measures 
31.19 	include source of funds for each program, number of jobs proposed or promised at the 
31.20 	time of application and the number of jobs created, estimated number of jobs retained, the 
31.21 	average salary and benefits for the jobs resulting from the program, and the number of 
31.22 	projects approved;
31.23 	(47) provide a continuous program of education for business people;
31.24 	(48) publish, disseminate, and distribute information and statistics;
31.25 	(49) promote and encourage the expansion and development of markets for 
31.26 	Minnesota products;
31.27 	(50) promote and encourage the location and development of new businesses in the 
31.28 	state as well as the maintenance and expansion of existing businesses and for that purpose 
31.29 	cooperate with state and local agencies and individuals, both within and outside the state;
31.30 	(51) advertise and disseminate information as to natural resources, desirable 
31.31 	locations, and other advantages for the purpose of attracting businesses to locate in this 
31.32 	state;
31.33 	(52) aid the various communities in this state in attracting business to their 
31.34 	communities;
31.35 	(53) advise and cooperate with municipal, county, regional, and other planning 
31.36 	agencies and planning groups within the state for the purpose of promoting coordination 
32.1 	between the state and localities as to plans and development in order to maintain a high 
32.2 	level of gainful employment in private profitable production and achieve commensurate 
32.3 	advancement in social and cultural welfare;
32.4 	(54) coordinate the activities of statewide and local planning agencies, correlate 
32.5 	information secured from them and from state departments and disseminate information 
32.6 	and suggestions to the planning agencies;
32.7 	(55) encourage and assist in the organization and functioning of local planning 
32.8 	agencies where none exist; and
32.9 	(56) adopt measures calculated to promote public interest in and understanding of 
32.10 	the problems of planning and, to that end, may publish and distribute copies of any plan 
32.11 	or any report and may employ other means of publicity and education that will give full 
32.12 	effect to the provisions of sections 116J.58 to 116J.63.
32.13 	(b) At the request of any governmental subdivision in paragraph (a), clause (53), 
32.14 	the commissioner may provide planning assistance, which includes but is not limited to 
32.15 	surveys, land use studies, urban renewal plans, technical services and other planning work 
32.16 	to any city or other municipality in the state or perform similar planning work in any 
32.17 	county, metropolitan, or regional area in the state. The commissioner must not perform 
32.18 	the planning work with respect to a metropolitan or regional area which is under the 
32.19 	jurisdiction for planning purposes of a county, metropolitan, regional, or joint planning 
32.20 	body, except at the request or with the consent of the respective county, metropolitan, 
32.21 	regional, or joint planning body.
32.22 	(c) The commissioner is authorized to:
32.23 	(1) receive and expend money from municipal, county, regional, and other planning 
32.24 	agencies;
32.25 	(2) accept and disburse grants and other aids for planning purposes from the federal 
32.26 	government and from other public or private sources;
32.27 	(3) utilize money received under clause (2) for the employment of consultants and 
32.28 	other temporary personnel to assist in the supervision or performance of planning work 
32.29 	supported by money other than state-appropriated money;
32.30 	(4) enter into contracts with agencies of the federal government, units of local 
32.31 	government or combinations thereof, and with private persons that are necessary in the 
32.32 	performance of the planning assistance function of the commissioner; and
32.33 	(5) assist any local government unit in filling out application forms for the federal 
32.34 	grants-in-aid.
32.35 	(d) In furtherance of its planning functions, any city or town, however organized, 
32.36 	may expend money and contract with agencies of the federal government, appropriate 
33.1 	departments of state government, other local units of government, and with private 
33.2 	persons.

33.3 	Sec. 6. Minnesota Statutes 2008, section 116J.68, subdivision 2, is amended to read:
33.4 		Subd. 2.Duties. The bureau shall:
33.5 	(a) (1) provide information and assistance with respect to all aspects of business 
33.6 	planning and business management related to the start-up, operation, or expansion of 
33.7 	a small business in Minnesota;
33.8 	(b) (2) refer persons interested in the start-up, operation, or expansion of a small 
33.9 	business in Minnesota to assistance programs sponsored by federal agencies, state 
33.10 	agencies, educational institutions, chambers of commerce, civic organizations, community 
33.11 	development groups, private industry associations, and other organizations or to the 
33.12 	business assistance referral system established by the Minnesota Project Outreach 
33.13 	Corporation;
33.14 	(c) (3) plan, develop, and implement a master file of information on small business 
33.15 	assistance programs of federal, state, and local governments, and other public and private 
33.16 	organizations so as to provide comprehensive, timely information to the bureau's clients;
33.17 	(d) (4) employ staff with adequate and appropriate skills and education and training 
33.18 	for the delivery of information and assistance;
33.19 	(e) (5) seek out and utilize, to the extent practicable, contributed expertise and 
33.20 	services of federal, state, and local governments, educational institutions, and other public 
33.21 	and private organizations;
33.22 	(f) (6) maintain a close and continued relationship with the director of the 
33.23 	procurement program within the Department of Administration so as to facilitate the 
33.24 	department's duties and responsibilities under sections 16C.16 to 16C.19 relating to the 
33.25 	small targeted group business and economically disadvantaged business program of the 
33.26 	state;  
33.27 	(g) (7) develop an information system which will enable the commissioner and other 
33.28 	state agencies to efficiently store, retrieve, analyze, and exchange data regarding small 
33.29 	business development and growth in the state. All executive branch agencies of state 
33.30 	government and the secretary of state shall to the extent practicable, assist the bureau in 
33.31 	the development and implementation of the information system;
33.32 	(h) (8) establish and maintain a toll free telephone number so that all small business 
33.33 	persons anywhere in the state can call the bureau office for assistance. An outreach 
33.34 	program shall be established to make the existence of the bureau well known to its 
33.35 	potential clientele throughout the state. If the small business person requires a referral to 
34.1 	another provider the bureau may use the business assistance referral system established by 
34.2 	the Minnesota Project Outreach Corporation;
34.3 	(i) (9) conduct research and provide data as required by the state legislature;
34.4 	(j) (10) develop and publish material on all aspects of the start-up, operation, or 
34.5 	expansion of a small business in Minnesota;
34.6 	(k) (11) collect and disseminate information on state procurement opportunities, 
34.7 	including information on the procurement process;
34.8 	(l) (12) develop a public awareness program through the use of newsletters, personal 
34.9 	contacts, and electronic and print news media advertising about state assistance programs 
34.10 	for small businesses, including those programs specifically for socially disadvantaged 
34.11 	small business persons;
34.12 	(m) (13) enter into agreements with the federal government and other public and 
34.13 	private entities to serve as the statewide coordinator or host agency for the federal small 
34.14 	business development center program under United States Code, title 15, section 648; and
34.15 	(n) (14) assist providers in the evaluation of their programs and the assessment of 
34.16 	their service area needs. The bureau may establish model evaluation techniques and 
34.17 	performance standards for providers to use.

34.18 	Sec. 7. Minnesota Statutes 2008, section 116L.03, subdivision 5, is amended to read:
34.19 		Subd. 5.Terms. The terms of appointed members shall be for four years except for 
34.20 	the initial appointments. The initial appointments of the governor shall have the following 
34.21 	terms: two members each for one, two, three, and four years. No member shall serve 
34.22 	more than two terms, and no person shall be appointed after December 31, 2001, for any 
34.23 	term that would cause that person to serve a total of more than eight years on the board. 
34.24 	Compensation for board members is as provided in section 15.0575, subdivision 3.  

34.25 	Sec. 8. Minnesota Statutes 2008, section 116L.05, subdivision 5, is amended to read:
34.26 		Subd. 5.Use of workforce development funds. After March 1 of any fiscal year, 
34.27 	the board may use workforce development funds for the purposes outlined in sections 
34.28 	116L.02, 116L.04, and 116L.10 to 116L.14, or to provide incumbent worker training 
34.29 	services under section 116L.18 if the following conditions have been met:
34.30 	(1) the board examines relevant economic indicators, including the projected 
34.31 	number of layoffs for the remainder of the fiscal year and the next fiscal year, evidence of 
34.32 	declining and expanding industries, the number of initial applications for and the number 
34.33 	of exhaustions of unemployment benefits, job vacancy data, and any additional relevant 
34.34 	information brought to the board's attention;
35.1 	(2) the board accounts for all allocations made in section 116L.17, subdivision 2;
35.2 	(3) based on the past expenditures and projected revenue, the board estimates future 
35.3 	funding needs for services under section 116L.17 for the remainder of the current fiscal 
35.4 	year and the next fiscal year;
35.5 	(4) the board determines there will be unspent funds after meeting the needs of 
35.6 	dislocated workers in the current fiscal year and there will be sufficient revenue to meet 
35.7 	the needs of dislocated workers in the next fiscal year; and
35.8 	(5) the board reports its findings in clauses (1) to (4) to the chairs of legislative 
35.9 	committees with jurisdiction over the workforce development fund, to the commissioners 
35.10 	of revenue and finance, and to the public.

35.11 	Sec. 9. Minnesota Statutes 2008, section 116L.871, subdivision 1, is amended to read:
35.12 		Subdivision 1.Responsibility and certification. (a) Unless prohibited by federal 
35.13 	law or otherwise determined by state law, a local service unit is responsible for the 
35.14 	delivery of employment and training services. As of July 1, 1998, Employment and 
35.15 	training services may be delivered by certified employment and training service providers.
35.16 	(b) The local service unit's employment and training service provider must meet the 
35.17 	certification standards in this subdivision if the county requests that they be certified 
35.18 	to deliver any of the following employment and training services and programs: wage 
35.19 	subsidies; general assistance grant diversion; food stamp employment and training 
35.20 	programs; community work experience programs; and MFIP employment services.
35.21 	(c) The commissioner shall certify a local service unit's service provider to provide 
35.22 	these employment and training services and programs if the commissioner determines 
35.23 	that the provider has:
35.24 	(1) past experience in direct delivery of the programs specified in paragraph (b);
35.25 	(2) staff capabilities and qualifications, including adequate staff to provide timely 
35.26 	and effective services to clients, and proven staff experience in providing specific services 
35.27 	such as assessments, career planning, job development, job placement, support services, 
35.28 	and knowledge of community services and educational resources;
35.29 	(3) demonstrated effectiveness in providing services to public assistance recipients 
35.30 	and other economically disadvantaged clients; and
35.31 	(4) demonstrated administrative capabilities, including adequate fiscal and 
35.32 	accounting procedures, financial management systems, participant data systems, and 
35.33 	record retention procedures.
35.34 	(d) When the only service provider that meets the criterion in paragraph (c), clause 
35.35 	(1), has been decertified, according to subdivision 1a, in that local service unit, the 
36.1 	following criteria shall be substituted: past experience in direct delivery of multiple, 
36.2 	coordinated, nonduplicative services, including outreach, assessments, identification of 
36.3 	client barriers, employability development plans, and provision or referral to support 
36.4 	services.

36.5 	Sec. 10. Minnesota Statutes 2008, section 116L.96, is amended to read:
36.6 	116L.96 DISPLACED HOMEMAKER PROGRAMS.
36.7 	The commissioner of economic security employment and economic development
36.8 	may enter into arrangements with existing private or nonprofit organizations and agencies 
36.9 	with experience in dealing with displaced homemakers to provide counseling and 
36.10 	training services. The commissioner shall assist displaced homemakers in applying for 
36.11 	appropriate welfare programs and shall take welfare allowances received into account 
36.12 	in setting the stipend level. Income received as a stipend under these programs shall 
36.13 	be totally disregarded for purposes of determining eligibility for and the amount of a 
36.14 	general assistance grant.

36.15 	Sec. 11. Minnesota Statutes 2008, section 123A.08, subdivision 1, is amended to read:
36.16 		Subdivision 1.Outside sources for resources and services. A center may accept:
36.17 	(1) resources and services from postsecondary institutions serving center pupils;
36.18 	(2) resources from Job Training Partnership Act Workforce Investment Act of 1998, 
36.19 	Public Law 105-220 programs, including funding for jobs skills training for various 
36.20 	groups and the percentage reserved for education;
36.21 	(3) resources from the Department of Human Services and county welfare funding;
36.22 	(4) resources from a local education and employment transitions partnership; or
36.23 	(5) private resources, foundation grants, gifts, corporate contributions, and other 
36.24 	grants.

36.25 	Sec. 12. Minnesota Statutes 2008, section 124D.49, subdivision 3, is amended to read:
36.26 		Subd. 3.Local education and employment transitions systems. A local education 
36.27 	and employment transitions partnership must assess the needs of employers, employees, 
36.28 	and learners, and develop a plan for implementing and achieving the objectives of a local 
36.29 	or regional education and employment transitions system. The plan must provide for a 
36.30 	comprehensive local system for assisting learners and workers in making the transition 
36.31 	from school to work or for retraining in a new vocational area. The objectives of a local 
36.32 	education and employment transitions system include:
37.1 	(1) increasing the effectiveness of the educational programs and curriculum of 
37.2 	elementary, secondary, and postsecondary schools and the work site in preparing students 
37.3 	in the skills and knowledge needed to be successful in the workplace;
37.4 	(2) implementing learner outcomes for students in grades kindergarten through 12 
37.5 	designed to introduce the world of work and to explore career opportunities, including 
37.6 	nontraditional career opportunities;
37.7 	(3) eliminating barriers to providing effective integrated applied learning, 
37.8 	service-learning, or work-based curriculum;
37.9 	(4) increasing opportunities to apply academic knowledge and skills, including 
37.10 	skills needed in the workplace, in local settings which include the school, school-based 
37.11 	enterprises, postsecondary institutions, the workplace, and the community;
37.12 	(5) increasing applied instruction in the attitudes and skills essential for success in 
37.13 	the workplace, including cooperative working, leadership, problem-solving, and respect 
37.14 	for diversity;
37.15 	(6) providing staff training for vocational guidance counselors, teachers, and other 
37.16 	appropriate staff in the importance of preparing learners for the transition to work, and in 
37.17 	methods of providing instruction that incorporate applied learning, work-based learning, 
37.18 	and service-learning experiences;
37.19 	(7) identifying and enlisting local and regional employers who can effectively 
37.20 	provide work-based or service-learning opportunities, including, but not limited to, 
37.21 	apprenticeships, internships, and mentorships;
37.22 	(8) recruiting community and workplace mentors including peers, parents, employers 
37.23 	and employed individuals from the community, and employers of high school students;
37.24 	(9) identifying current and emerging educational, training, and employment needs of 
37.25 	the area or region, especially within industries with potential for job growth;
37.26 	(10) improving the coordination and effectiveness of local vocational and job 
37.27 	training programs, including vocational education, adult basic education, tech prep, 
37.28 	apprenticeship, service-learning, youth entrepreneur, youth training and employment 
37.29 	programs administered by the commissioner of employment and economic development, 
37.30 	and local job training programs under the Job Training Partnership Act, United States 
37.31 	Code, title 29, section 1501, et seq. Workforce Investment Act of 1998, Public Law 
37.32 	105-220;
37.33 	(11) identifying and applying for federal, state, local, and private sources of funding 
37.34 	for vocational or applied learning programs;
37.35 	(12) providing students with current information and counseling about career 
37.36 	opportunities, potential employment, educational opportunities in postsecondary 
38.1 	institutions, workplaces, and the community, and the skills and knowledge necessary to 
38.2 	succeed;
38.3 	(13) providing educational technology, including interactive television networks 
38.4 	and other distance learning methods, to ensure access to a broad variety of work-based 
38.5 	learning opportunities;
38.6 	(14) including students with disabilities in a district's vocational or applied learning 
38.7 	program and ways to serve at-risk learners through collaboration with area learning 
38.8 	centers under sections 123A.05 to 123A.09, or other alternative programs; and  
38.9 	(15) providing a warranty to employers, postsecondary education programs, and 
38.10 	other postsecondary training programs, that learners successfully completing a high school 
38.11 	work-based or applied learning program will be able to apply the knowledge and work 
38.12 	skills included in the program outcomes or graduation requirements. The warranty shall 
38.13 	require education and training programs to continue to work with those learners that need 
38.14 	additional skill development until they can demonstrate achievement of the program 
38.15 	outcomes or graduation requirements.

38.16 	Sec. 13.  Minnesota Statutes 2008, section 160.276, subdivision 8, is amended to read:
38.17 		Subd. 8.Revenue. The agreement may provide that the vendor pay a portion of 
38.18 	the gross revenues derived from advertising. These revenues must be paid to the state for 
38.19 	deposit in the safety rest area account established in section 160.2745. The commissioner 
38.20 	of transportation and director of the Office of Explore Minnesota Tourism may enter into 
38.21 	an interagency agreement to define the distribution of the revenues generated in this 
38.22 	subdivision and subdivisions 2a and 3a.

38.23 	Sec. 14. Minnesota Statutes 2008, section 241.27, subdivision 1, is amended to read:
38.24 		Subdivision 1.Establishment of Minnesota correctional industries; MINNCOR 
38.25 	industries. For the purpose of providing adequate, regular and suitable employment, 
38.26 	educational training, and to aid the inmates of state correctional facilities, the 
38.27 	commissioner of corrections may establish, equip, maintain and operate at any correctional 
38.28 	facility under the commissioner's control such industrial and commercial activities as may 
38.29 	be deemed necessary and suitable to the profitable employment, educational training and 
38.30 	development of proper work habits of the inmates of state correctional facilities. The 
38.31 	industrial and commercial activities authorized by this section are designated MINNCOR 
38.32 	industries and shall be for the primary purpose of sustaining and ensuring MINNCOR 
38.33 	industries' self-sufficiency, providing  educational training, meaningful employment 
38.34 	and the teaching of proper work habits to the inmates of correctional facilities under 
39.1 	the control of the commissioner of corrections, and not solely as competitive business 
39.2 	ventures. The net profits from these activities shall be used for the benefit of the inmates 
39.3 	as it relates to education, self-sufficiency skills, and transition services and not to fund 
39.4 	non-inmate-related activities or mandates. Prior to the establishment of any industrial and 
39.5 	commercial activity, the commissioner of corrections may consult with representatives 
39.6 	of business, industry, organized labor, the state Department of Education, the state 
39.7 	Apprenticeship Council, the state Department of Labor and Industry, the Department of 
39.8 	Employment Security and Economic Development, the Department of Administration, 
39.9 	and such other persons and bodies as the commissioner may feel are qualified to determine 
39.10 	the quantity and nature of the goods, wares, merchandise and services to be made or 
39.11 	provided, and the types of processes to be used in their manufacture, processing, repair, 
39.12 	and production consistent with the greatest opportunity for the reform and  educational 
39.13 	training of the inmates, and with the best interests of the state, business, industry and labor.
39.14 	The commissioner of corrections shall, at all times in the conduct of any industrial 
39.15 	or commercial activity authorized by this section, utilize inmate labor to the greatest 
39.16 	extent feasible, provided, however, that the commissioner may employ all administrative, 
39.17 	supervisory and other skilled workers necessary to the proper instruction of the inmates 
39.18 	and the profitable and efficient operation of the industrial and commercial activities 
39.19 	authorized by this section.
39.20 	Additionally, the commissioner of corrections may authorize the director of any 
39.21 	correctional facility under the commissioner's control to accept work projects from outside 
39.22 	sources for processing, fabrication or repair, provided that preference shall be given to the 
39.23 	performance of such work projects for state departments and agencies.

39.24 	Sec. 15. Minnesota Statutes 2008, section 248.061, subdivision 3, is amended to read:
39.25 		Subd. 3.Eligible individual. "Eligible individual" means an individual who is 
39.26 	eligible for library loan services through the Library of Congress and the State Library for 
39.27 	the Blind and Physically Handicapped Minnesota Braille and Talking Book Library under 
39.28 	Code of Federal Regulations, title 36, section 701.10, subsection (b).

39.29 	Sec. 16. Minnesota Statutes 2008, section 248.07, subdivision 8, is amended to read:
39.30 		Subd. 8.Use of revolving fund, licenses for operation of vending machines
39.31 	stands. (a) The revolving fund created by Laws 1947, chapter 535, section 5, is continued 
39.32 	as provided in this subdivision and shall be known as the revolving fund for vocational 
39.33 	rehabilitation of the blind. It shall be used for the purchase of equipment and supplies 
39.34 	for establishing and operating of vending stands by blind persons. All income, receipts, 
40.1 	earnings, and federal grants vending machine income due to the operation thereofof 
40.2 	vending stands operated under this subdivision shall also be paid into the fund. All interest 
40.3 	earned on money accrued in the fund must be credited to the fund by the commissioner of 
40.4 	finance. All equipment, supplies, and expenses for setting up these stands shall be paid 
40.5 	for from the fund. 
40.6 	(b) Authority is hereby given to The commissioner is authorized to use the money 
40.7 	available in the revolving fund that originated as operational charges to individuals 
40.8 	licensed under this subdivision for the establishment, operation, and supervision of 
40.9 	vending stands by blind persons for the following purposes: 
40.10 	(1) purchase, upkeep and replacement of equipment; 
40.11 	(2) expenses incidental to the setting up of new stands and improvement of old 
40.12 	stands; 
40.13 	(3) reimbursement under section 15.059 to individual blind vending operators 
40.14 	for reasonable expenses incurred in attending supervisory meetings as called by the 
40.15 	commissioner and other expenditures for management services consistent with federal 
40.16 	law; and 
40.17 	(4) purchase of fringe benefits for blind vending operators and their employees such 
40.18 	as group health insurance, retirement program, vacation or sick leave assistance provided 
40.19 	that the purchase of any fringe benefit is approved by a majority vote of blind vending 
40.20 	operators licensed pursuant to this subdivision after the commissioner provides to each 
40.21 	blind vending operator information on all matters relevant to the fringe benefits. "Majority 
40.22 	vote" means a majority of blind vending operators voting. Fringe benefits shall be paid 
40.23 	only from assessments of operators for specific benefits, gifts to the fund for fringe benefit 
40.24 	purposes, and vending income which is not assignable to an individual stand.  
40.25 	(c) Money originally deposited as merchandise and supplies repayments by 
40.26 	individuals licensed under this subdivision may be expended for initial and replacement 
40.27 	stocks of supplies and merchandise. Money originally deposited from vending income on 
40.28 	federal property must be spent consistent with federal law.
40.29 	(d) All other deposits may be used for the purchase of general liability insurance or 
40.30 	any other expense related to the operation and supervision of vending stands.
40.31 	(e) The commissioner shall issue each license for the operation of a vending stand 
40.32 	or vending machine for an indefinite period but may terminate any license in the manner 
40.33 	provided. In granting licenses for new or vacated stands preference on the basis of 
40.34 	seniority of experience in operating stands under the control of the commissioner shall 
40.35 	be given to capable operators who are deemed competent to handle the enterprise under 
41.1 	consideration. Application of this preference shall not prohibit the commissioner from 
41.2 	selecting an operator from the community in which the stand is located.

41.3 	Sec. 17. Minnesota Statutes 2008, section 256J.626, subdivision 4, is amended to read:
41.4 		Subd. 4.County and tribal biennial service agreements. (a) Effective January 1, 
41.5 	2004, and each two-year period thereafter, each county and tribe must have in place an 
41.6 	approved biennial service agreement related to the services and programs in this chapter. 
41.7 	In counties with a city of the first class with a population over 300,000, the county must 
41.8 	consider a service agreement that includes a jointly developed plan for the delivery of 
41.9 	employment services with the city. Counties may collaborate to develop multicounty, 
41.10 	multitribal, or regional service agreements.
41.11 	(b) The service agreements will be completed in a form prescribed by the 
41.12 	commissioner. The agreement must include:
41.13 	(1) a statement of the needs of the service population and strengths and resources 
41.14 	in the community;
41.15 	(2) numerical goals for participant outcomes measures to be accomplished during 
41.16 	the biennial period. The commissioner may identify outcomes from section 256J.751, 
41.17 	subdivision 2, as core outcomes for all counties and tribes; 
41.18 	(3) strategies the county or tribe will pursue to achieve the outcome targets. 
41.19 	Strategies must include specification of how funds under this section will be used and may 
41.20 	include community partnerships that will be established or strengthened; 
41.21 	(4) strategies the county or tribe will pursue under family stabilization services; and 
41.22 	(5) other items prescribed by the commissioner in consultation with counties and 
41.23 	tribes.
41.24 	(c) The commissioner shall provide each county and tribe with information needed 
41.25 	to complete an agreement, including: (1) information on MFIP cases in the county or 
41.26 	tribe; (2) comparisons with the rest of the state; (3) baseline performance on outcome 
41.27 	measures; and (4) promising program practices.
41.28 	(d) The service agreement must be submitted to the commissioner by October 15, 
41.29 	2003, and October 15 of each second year thereafter. The county or tribe must allow 
41.30 	a period of not less than 30 days prior to the submission of the agreement to solicit 
41.31 	comments from the public on the contents of the agreement.
41.32 	(e) The commissioner must, within 60 days of receiving each county or tribal service 
41.33 	agreement, inform the county or tribe if the service agreement is approved. If the service 
41.34 	agreement is not approved, the commissioner must inform the county or tribe of any 
41.35 	revisions needed prior to approval.
42.1 	(f) The service agreement in this subdivision supersedes the plan requirements 
42.2 	of section 116L.88. 

42.3 	Sec. 18. Minnesota Statutes 2008, section 256J.66, subdivision 1, is amended to read:
42.4 		Subdivision 1.Establishing the on-the-job training program. (a) County agencies 
42.5 	may develop on-the-job training programs for MFIP caregivers who are participating in 
42.6 	employment and training services. A county agency that chooses to provide on-the-job 
42.7 	training may make payments to employers for on-the-job training costs that, during the 
42.8 	period of the training, must not exceed 50 percent of the wages paid by the employer to 
42.9 	the participant. The payments are deemed to be in compensation for the extraordinary 
42.10 	costs associated with training participants under this section and in compensation for the 
42.11 	costs associated with the lower productivity of the participants during training.
42.12 	(b) Provision of an on-the-job training program under the Job Training Partnership 
42.13 	Act Workforce Investment Act of 1998, Public Law 105-220, in and of itself, does not 
42.14 	qualify as an on-the-job training program under this section.
42.15 	(c) Employers must compensate participants in on-the-job training shall be 
42.16 	compensated by the employer at the same rates, including periodic increases, as similarly 
42.17 	situated employees or trainees and in accordance with applicable law, but in no event less 
42.18 	than the federal or applicable state minimum wage, whichever is higher.

42.19 	Sec. 19. Minnesota Statutes 2008, section 469.169, subdivision 3, is amended to read:
42.20 		Subd. 3.Evaluation of applications. (a) The commissioner shall review and 
42.21 	evaluate the applications submitted pursuant to subdivision 2 and shall determine whether 
42.22 	each area is eligible for designation as an enterprise zone. In determining whether an 
42.23 	area is eligible under section 469.168, subdivision 4, paragraph (a), if unemployment, 
42.24 	employment, income, or other necessary data are not available for the area from the 
42.25 	federal departments of labor or commerce or the state demographer, the commissioner 
42.26 	may rely upon other data submitted by the municipality if the commissioner determines it 
42.27 	is statistically reliable or accurate. The commissioner, together with the commissioner 
42.28 	of revenue, shall prepare an estimate of the amount of state tax revenue which will be 
42.29 	foregone for each application if the area is designated as a zone. 
42.30 	(b) By October 1 of each year, the commissioner shall submit to the Legislative 
42.31 	Advisory Commission a list of the areas eligible for designation as enterprise zones, 
42.32 	along with recommendations for designation and supporting documentation. In making 
42.33 	recommendations for designation, the commissioner shall consider and evaluate the 
42.34 	applications pursuant to the following criteria:
43.1 	(1) the pervasiveness of poverty, unemployment, and general distress in the area;
43.2 	(2) the extent of chronic abandonment, deterioration, or reduction in value of 
43.3 	commercial, industrial, or residential structures in the area and the extent of property 
43.4 	tax arrearages in the area;
43.5 	(3) the prospects for new investment and economic development in the area with 
43.6 	the tax reductions proposed in the application relative to the state and local tax revenue 
43.7 	which would be foregone;
43.8 	(4) the competing needs of other areas of the state;
43.9 	(5) the municipality's proposed use of other state and federal development funds or 
43.10 	programs to increase the probability of new investment and development occurring;
43.11 	(6) the extent to which the projected development in the zone will provide 
43.12 	employment to residents of the economic hardship area, and particularly individuals who 
43.13 	are unemployed or who are economically disadvantaged as defined in the federal Job 
43.14 	Training Partnership Act of 1982, Volume 96, Statutes at Large, page 1322 Workforce 
43.15 	Investment Act of 1998, Public Law 105-220;
43.16 	(7) the funds available pursuant to subdivision 7; and
43.17 	(8) other relevant factors that the commissioner specifies in the commissioner's 
43.18 	recommendations.
43.19 	(c) The commissioner shall submit a separate list of the areas entitled to designation 
43.20 	as federally designated zones and border city zones along with recommendations for the 
43.21 	amount of funds to be allocated to each area.

43.22 	Sec. 20. REVISOR'S INSTRUCTION.
 43.23 	The revisor of statutes shall renumber Minnesota Statutes, section 116J.58, 
43.24 	subdivision 2, as Minnesota Statutes, section 116J.035, subdivision 1a, and shall revise 
43.25 	statutory cross-references consistent with that renumbering.

43.26 	Sec. 21.  REPEALER.
 43.27 	Minnesota Statutes 2008, sections 116J.402; 116J.413; 116J.58, subdivision 1; 
43.28 	116J.59; 116J.61; 116J.656; 116L.16; 116L.88; and 116U.65, are repealed.

43.29 	ARTICLE 4
43.30 	UNEMPLOYMENT INSURANCE POLICY

43.31 	Section 1. Minnesota Statutes 2008, section 268.052, subdivision 2, is amended to read:
43.32 		Subd. 2.Election by state or political subdivision to be a taxpaying employer.
 43.33 	(a) The state or political subdivision may elect to be a taxpaying employer for any 
44.1 	calendar year if a notice of election is filed within 30 calendar days following January 1 of 
44.2 	that calendar year. Upon election, the state or political subdivision must be assigned the 
44.3 	new employer tax rate under section 268.051, subdivision 5, for the calendar year of the 
44.4 	election and unless or until it qualifies for an experience rating under section 268.051, 
44.5 	subdivision 3.
44.6 	(b) An election is for a minimum period of two calendar years following the effective 
44.7 	date of the election and continue unless a notice terminating the election is filed not later 
44.8 	than 30 calendar days before the beginning of the calendar year. The termination is 
44.9 	effective at the beginning of the next calendar year. Upon election, the commissioner shall 
44.10 	establish a reimbursable account for the state or political subdivision. A termination of 
44.11 	election is allowed only if the state or political subdivision has, since the beginning of the 
44.12 	experience rating period under section 268.051, subdivision 3, paid taxes equal to or more 
44.13 	than 125 percent of the unemployment benefits used in computing the experience rating. In 
44.14 	addition, any unemployment benefits paid after the experience rating period are transferred 
44.15 	to the new reimbursable account of the state or political subdivision. If the amount of taxes 
44.16 	paid since the beginning of the experience rating period exceeds 125 percent of the amount 
44.17 	of unemployment benefits paid during the experience rating period, that amount in excess 
44.18 	is applied against any unemployment benefits paid after the experience rating period.
44.19 	(c) The method of payments to the trust fund under subdivisions 3 and 4 applies to 
44.20 	all taxes paid by or due from the state or political subdivision that elects to be taxpaying 
44.21 	employers under this subdivision.
44.22 	(d) A notice of election or a notice terminating election must be filed by electronic 
44.23 	transmission in a format prescribed by the commissioner.

44.24 	Sec. 2. Minnesota Statutes 2008, section 268.053, subdivision 1, is amended to read:
44.25 		Subdivision 1.Election. (a) Any nonprofit organization that has employees in 
44.26 	covered employment must pay taxes on a quarterly basis in accordance with section 
44.27 	268.051 unless it elects to make reimbursements to the trust fund the amount of 
44.28 	unemployment benefits charged to its reimbursable account under section 268.047.
44.29 	The organization may elect to make reimbursements for a period of not less than 
44.30 	two calendar years beginning with the date that the organization was determined to be an 
44.31 	employer with covered employment by filing a notice of election not later than 30 calendar 
44.32 	days after the date of the determination.
44.33 	(b) Any nonprofit organization that makes an election will continue to be liable for 
44.34 	reimbursements until it files a notice terminating its election not later than 30 calendar 
44.35 	days before the beginning of the calendar year the termination is to be effective.
45.1 	(c) A nonprofit organization that has been making reimbursements that files a notice 
45.2 	of termination of election must be assigned the new employer tax rate under section 
45.3 	268.051, subdivision 5, for the calendar year of the termination of election and unless or 
45.4 	until it qualifies for an experience rating under section 268.051, subdivision 3.
45.5 	(d) Any nonprofit organization that has been paying taxes may elect to make 
45.6 	reimbursements by filing no less than 30 calendar days before January 1 of any calendar 
45.7 	year a notice of election. Upon election, the commissioner shall establish a reimbursable 
45.8 	account for the nonprofit organization. An election is allowed only if the nonprofit 
45.9 	organization has, since the beginning of the experience rating period under section 
45.10 	268.051, subdivision 3, paid taxes equal to or more than 125 percent of the unemployment 
45.11 	benefits used in computing the experience rating. In addition, any unemployment benefits 
45.12 	paid after the experience rating period are transferred to the new reimbursable account 
45.13 	of the nonprofit organization. If the amount of taxes paid since the beginning of the 
45.14 	experience rating period exceeds 125 percent of the amount of unemployment benefits 
45.15 	paid during the experience rating period, that amount in excess is applied against any 
45.16 	unemployment benefits paid after the experience rating period. The election is not 
45.17 	terminable by the organization for that and the next calendar year.
45.18 	(e) The commissioner may for good cause extend the period that a notice of election, 
45.19 	or a notice of termination, must be filed and may permit an election to be retroactive.
45.20 	(f) A notice of election or notice terminating election must be filed by electronic 
45.21 	transmission in a format prescribed by the commissioner.

45.22 	Sec. 3. Minnesota Statutes 2008, section 268.066, is amended to read:
45.23 	268.066 CANCELLATION OF AMOUNTS DUE FROM AN EMPLOYER.
45.24 	(a) The commissioner shall must cancel as uncollectible any amounts due from 
45.25 	an employer under this chapter or section 116L.20, that remain unpaid six years after 
45.26 	the amounts have been first determined due, except where the delinquent amounts are 
45.27 	secured by a notice of lien, a judgment, are in the process of garnishment, or are under a 
45.28 	payment plan. 
45.29 	(b) The commissioner may cancel at any time as uncollectible any amount due, or 
45.30 	any portion of an amount due, from an employer under this chapter or section 116L.20, 
45.31 	that (1) are uncollectible due to death or bankruptcy, or (2) the Collection Division of the 
45.32 	Department of Revenue under section 16D.04 was unable to collect, or (3).
45.33 	(c) The commissioner may cancel at any time any interest, penalties, or fees due 
45.34 	from an employer, or any portions due, if the commissioner determines that it is not in 
46.1 	the public interest to pursue collection of the amount due. This paragraph does not apply 
46.2 	to unemployment insurance taxes or reimbursements due.

46.3 	Sec. 4. Minnesota Statutes 2008, section 268.067, is amended to read:
46.4 	268.067 COMPROMISE.
46.5 	(a) The commissioner may compromise in whole or in part any action, determination, 
46.6 	or decision that affects only an employer and not an applicant, and that has occurred 
46.7 	during the prior 24 months. This paragraph may apply applies if it is determined by a court 
46.8 	of law, or a confession of judgment, that an applicant, while employed, wrongfully took 
46.9 	from the employer $500 or more in money or property.
46.10 	(b) The commissioner may at any time compromise any amount unemployment 
46.11 	insurance tax or reimbursement due from an employer under this chapter or section 
46.12 	116L.20. 
46.13 	(c) Any compromise involving an amount over $2,500 must be authorized by an 
46.14 	attorney licensed to practice law in Minnesota who is an employee of the department 
46.15 	designated by the commissioner for that purpose.
46.16 	(d) Any compromise must be in the best interest of the state of Minnesota.

46.17 	Sec. 5. Minnesota Statutes 2008, section 268.07, subdivision 3b, is amended to read:
46.18 		Subd. 3b.Limitations on applications and benefit accounts. (a) An application for 
46.19 	unemployment benefits is effective the Sunday of the calendar week that the application 
46.20 	was filed. Upon specific request of an applicant, An application for unemployment benefits 
46.21 	may be backdated one calendar week before the Sunday of the week the application was 
46.22 	actually filed if the applicant requests the backdating at the time the application is filed. 
46.23 	An application may be backdated only if the applicant was unemployed throughout had 
46.24 	no employment during the period of the backdating. If an individual attempted to file an 
46.25 	application for unemployment benefits, but was prevented from filing an application by 
46.26 	the department, the application is effective the Sunday of the calendar week the individual 
46.27 	first attempted to file an application.
46.28 	(b) A benefit account established under subdivision 2 is effective the date the 
46.29 	application for unemployment benefits was effective. 
46.30 	(c) A benefit account, once established, may later be withdrawn only if:
46.31 	(1) the applicant has not been paid any unemployment benefits on that benefit 
46.32 	account; and
46.33 	(2) a new application for unemployment benefits is filed and a new benefit account is 
46.34 	established at the time of the withdrawal; and.
47.1 	(2) the applicant has not served the nonpayable waiting week under section 268.085, 
47.2 	subdivision 1, clause (5).
47.3 	A determination or amended determination of eligibility or ineligibility issued under 
47.4 	section 268.101, that was issued sent before the withdrawal of the benefit account, remains 
47.5 	in effect and is not voided by the withdrawal of the benefit account. A determination of 
47.6 	ineligibility requiring subsequent earnings to satisfy the period of ineligibility under 
47.7 	section 268.095, subdivision 10, applies to the weekly unemployment benefit amount on 
47.8 	the new benefit account.
47.9 	(d) An application for unemployment benefits is not allowed before the Sunday 
47.10 	following the expiration of the benefit year on a prior benefit account. Except as allowed 
47.11 	under paragraph (b) (c), an applicant may establish only one benefit account each 52 
47.12 	calendar weeks.

47.13 	Sec. 6. Minnesota Statutes 2008, section 268.085, subdivision 3, is amended to read:
47.14 		Subd. 3.Payments that delay unemployment benefits. (a) An applicant is not 
47.15 	eligible to receive unemployment benefits for any week with respect to which the applicant 
47.16 	is receiving, has received, or has filed for payment, equal to or in excess of the applicant's 
47.17 	weekly unemployment benefit amount, in the form of:
47.18 	(1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause 
47.19 	does not apply to (i) vacation pay paid upon a permanent separation from employment, or 
47.20 	(ii) vacation pay paid from a vacation fund administered by a union or a third party not 
47.21 	under the control of the employer;
47.22 	(2) severance pay, bonus pay, sick pay, and any other payments, except earnings 
47.23 	under subdivision 5, and back pay under subdivision 6, paid by an employer because of, 
47.24 	upon, or after separation from employment, but only if the payment is considered wages at 
47.25 	the time of payment under section 268.035, subdivision 29; or
47.26 	(3) pension, retirement, or annuity payments from any plan contributed to by a base 
47.27 	period employer including the United States government, except Social Security benefits 
47.28 	that are provided for in subdivision 4. The base period employer is considered to have 
47.29 	contributed to the plan if the contribution is excluded from the definition of wages under 
47.30 	section 268.035, subdivision 29, clause (1).
47.31 	If the pension, retirement, or annuity payment is paid in a lump sum, an applicant is 
47.32 	not considered to have received the lump-sum a payment if (i) the applicant immediately 
47.33 	deposits that payment in a qualified pension plan or account, or (ii) that payment is an 
47.34 	early distribution for which the applicant paid an early distribution penalty under the 
47.35 	Internal Revenue Code, United States Code, title 26, section 72(t)(1).
48.1 	(b) This subdivision applies to all the weeks of payment. Payments under paragraph 
48.2 	(a), clauses (1) and (2) clause (1), are applied to the period immediately following the last 
48.3 	day of employment. The number of weeks of payment is determined as follows:
48.4 	(1) if the payments are made periodically, the total of the payments to be received is 
48.5 	divided by the applicant's last level of regular weekly pay from the employer; or
48.6 	(2) if the payment is made in a lump sum, that sum is divided by the applicant's last 
48.7 	level of regular weekly pay from the employer.
48.8 	(c) If the payment is less than the applicant's weekly unemployment benefit amount, 
48.9 	unemployment benefits are reduced by the amount of the payment. If the computation 
48.10 	of reduced unemployment benefits is not a whole dollar, it is rounded down to the next 
48.11 	lower whole dollar.

48.12 	Sec. 7. Minnesota Statutes 2008, section 268.085, subdivision 6, is amended to read:
48.13 		Subd. 6.Receipt of back pay. (a) Back pay received by an applicant within 24 
48.14 	months of the establishment of the benefit account with respect to any week occurring 
48.15 	in the 104 weeks before the payment of the back pay during the benefit year must be 
48.16 	deducted from unemployment benefits paid for that week.
48.17 	If the back pay is not paid with respect to a specific period, the back pay must be 
48.18 	applied to the period immediately following the last day of employment.
48.19 	(b) If the back pay is reduced by the amount of unemployment benefits that have 
48.20 	been paid, the amount of back pay withheld must be:
48.21 	(1) paid by the employer to the trust fund within 30 calendar days and subject to the 
48.22 	same collection procedures that apply to past due taxes;
48.23 	(2) applied to unemployment benefit overpayments resulting from the payment of 
48.24 	the back pay; and
48.25 	(3) credited to the maximum amount of unemployment benefits available to the 
48.26 	applicant in a benefit year that includes the weeks for which back pay was deducted.
48.27 	(c) Unemployment benefits paid the applicant must be removed from the 
48.28 	computation of the tax rate for taxpaying employers and removed from the reimbursable 
48.29 	account for nonprofit and government employers that have elected to be liable for 
48.30 	reimbursements in the calendar quarter the trust fund receives payment.
48.31 	(d) Payments to the trust fund under this subdivision are considered as made by 
48.32 	the applicant.

48.33 	Sec. 8. Minnesota Statutes 2008, section 268.085, subdivision 15, is amended to read:
49.1 		Subd. 15.Available for suitable employment defined. (a) "Available for suitable 
49.2 	employment" means an applicant is ready and willing to accept suitable employment in 
49.3 	the labor market area. The attachment to the work force must be genuine. An applicant 
49.4 	may restrict availability to suitable employment, but there must be no other restrictions, 
49.5 	either self-imposed or created by circumstances, temporary or permanent, that prevent 
49.6 	accepting suitable employment.
49.7 	(b) To be considered "available for suitable employment," a student must be willing 
49.8 	to quit school to accept suitable employment.
49.9 	(c) An applicant who is absent from the labor market area for personal reasons, other 
49.10 	than to search for work, is not "available for suitable employment."
49.11 	(d) An applicant who has restrictions on the hours of the day or days of the week 
49.12 	that the applicant can or will work, that are not normal for the applicant's usual occupation 
49.13 	or other suitable employment, is not "available for suitable employment." An applicant 
49.14 	must be available for daytime employment, if suitable employment is performed during 
49.15 	the daytime, even though the applicant previously worked the night shift.
49.16 	(e) An applicant must have transportation throughout the labor market area to be 
49.17 	considered "available for suitable employment."

49.18 	Sec. 9. Minnesota Statutes 2008, section 268.095, subdivision 1, is amended to read:
49.19 		Subdivision 1.Quit. An applicant who quit employment  is ineligible for all 
49.20 	unemployment benefits according to subdivision 10 except when a preponderance of 
49.21 	the evidence shows:
49.22 	(1) the applicant quit the employment because of a good reason caused by the 
49.23 	employer as defined in subdivision 3;
49.24 	(2) the applicant quit the employment to accept other covered employment that 
49.25 	provided substantially better terms and conditions of employment, but the applicant did 
49.26 	not work long enough at the second employment to have sufficient subsequent earnings to 
49.27 	satisfy the period of ineligibility that would otherwise be imposed under subdivision 10 
49.28 	for quitting the first employment;
49.29 	(3) the applicant quit the employment within 30 calendar days of beginning the 
49.30 	employment because the employment was unsuitable for the applicant;
49.31 	(4) the employment was unsuitable for the applicant and the applicant quit to enter 
49.32 	reemployment assistance training;
49.33 	(5) the employment was part time and the applicant also had full-time employment 
49.34 	in the base period, from which full-time employment the applicant separated because of 
49.35 	reasons for which the applicant was held not to be ineligible, and the wage credits from 
50.1 	the full-time employment are sufficient to meet the minimum requirements to establish a 
50.2 	benefit account under section 268.07;
50.3 	(6) the applicant quit because the employer notified the applicant that the applicant 
50.4 	was going to be laid off because of lack of work within 30 calendar days. An applicant 
50.5 	who quit employment within 30 calendar days of a notified date of layoff because of lack 
50.6 	of work is ineligible for unemployment benefits through the end of the week that includes 
50.7 	the scheduled date of layoff;
50.8 	(7) the applicant quit the employment because the applicant's serious illness or 
50.9 	injury made it medically necessary that the applicant quit, provided that the applicant 
50.10 	inform the employer of the serious illness or injury and request accommodation and no 
50.11 	reasonable accommodation is made available.
50.12 	If the applicant's serious illness is chemical dependency, this exception does not 
50.13 	apply if the applicant was previously diagnosed as chemically dependent or had treatment 
50.14 	for chemical dependency, and since that diagnosis or treatment has failed to make 
50.15 	consistent efforts to control the chemical dependency.
50.16 	This exception raises an issue of the applicant's being able to work available for 
50.17 	suitable employment under section 268.085, subdivision 1, that the commissioner shall
50.18 	must determine;.
50.19 	(8) the applicant's loss of child care for the applicant's minor child caused the 
50.20 	applicant to quit the employment, provided the applicant made reasonable effort to obtain 
50.21 	other child care and requested time off or other accommodation from the employer and no 
50.22 	reasonable accommodation is available.
50.23 	This exception raises an issue of the applicant's availability being available for 
50.24 	suitable employment under section 268.085, subdivision 1, that the commissioner shall
50.25 	must determine; or
50.26 	(9) domestic abuse of the applicant or the applicant's minor child, necessitated the 
50.27 	applicant's quitting the employment. Domestic abuse must be shown by one or more of 
50.28 	the following:
50.29 	(i) a district court order for protection or other documentation of equitable relief 
50.30 	issued by a court;
50.31 	(ii) a police record documenting the domestic abuse;
50.32 	(iii) documentation that the perpetrator of the domestic abuse has been convicted 
50.33 	of the offense of domestic abuse;
50.34 	(iv) medical documentation of domestic abuse; or
50.35 	(v) written statement that the applicant or the applicant's minor child is a victim 
50.36 	of domestic abuse, provided by a social worker, member of the clergy, shelter worker, 
51.1 	attorney at law, or other professional who has assisted the applicant in dealing with the 
51.2 	domestic abuse.
51.3 	Domestic abuse for purposes of this clause is defined under section 518B.01.

51.4 	Sec. 10. Minnesota Statutes 2008, section 268.095, subdivision 2, is amended to read:
51.5 		Subd. 2.Quit defined. (a) A quit from employment occurs when the decision to end 
51.6 	the employment was, at the time the employment ended, the employee's.
51.7 	(b) An employee who has been notified that the employee will be discharged in the 
51.8 	future, who chooses to end the employment while employment in any capacity is still 
51.9 	available, is considered to have quit the employment.
51.10 	(c) An employee who seeks to withdraw a previously submitted notice of quitting is 
51.11 	considered to have quit the employment if the employer does not agree that the notice 
51.12 	may be withdrawn.
51.13 	(d) An applicant who, within five calendar days after completion of a suitable 
51.14 	temporary job assignment from a staffing service employer, (1) fails without good cause 
51.15 	to affirmatively request an additional job assignment, or (2) refuses without good cause 
51.16 	an additional suitable job assignment offered, or (3) accepts employment with the client 
51.17 	of the staffing service, is considered to have quit employment with the staffing service. 
51.18 	Accepting employment with the client of the staffing service meets the requirements of the 
51.19 	exception to ineligibility under subdivision 1, clause (2).
51.20 	This paragraph applies only if, at the time of beginning of employment with the 
51.21 	staffing service employer, the applicant signed and was provided a copy of a separate 
51.22 	document written in clear and concise language that informed the applicant of this 
51.23 	paragraph and that unemployment benefits may be affected.
51.24 	For purposes of this paragraph, "good cause" is a reason that is significant and 
51.25 	would compel an average, reasonable worker, who would otherwise want an additional 
51.26 	temporary job assignment with the staffing service employer, (1) to fail to contact the 
51.27 	staffing service employer, or (2) to refuse an offered assignment.
51.28 	For purposes of this paragraph, a "staffing service employer" is an employer whose 
51.29 	business involves employing individuals directly for the purpose of furnishing temporary 
51.30 	job assignment workers to clients of the staffing service.

51.31 	Sec. 11. Minnesota Statutes 2008, section 268.103, is amended by adding a subdivision 
51.32 	to read:
51.33 		Subd. 2a.Employer-agent appeals filed online. (a) If an agent files an appeal on 
51.34 	behalf of an employer, the appeal must be filed online. The appeal must be filed through 
52.1 	the electronic address provided on the determination being appealed. Use of another 
52.2 	method of filing does not constitute an appeal. This paragraph does not apply to an 
52.3 	employee filing an appeal on behalf of an employer.
52.4 	(b) All information requested when the appeal is filed must be supplied or the 
52.5 	communication does not constitute an appeal.

52.6 	Sec. 12. Minnesota Statutes 2008, section 268.18, subdivision 4a, is amended to read:
52.7 		Subd. 4a.Court fees; collection fees. (a) If the commissioner is required to pay any 
52.8 	court fees in an attempt to enforce collection of overpaid unemployment benefits, penalties, 
52.9 	or interest, the commissioner may add the amount of the court fees to the total amount due.
52.10 	(b) If an applicant who has been determined overpaid unemployment benefits 
52.11 	because of fraud seeks to have any portion of the debt discharged under the federal 
52.12 	bankruptcy code, and the commissioner files an objection in bankruptcy court to the 
52.13 	discharge, the commissioner may add the commissioner's cost of any court fees to the debt 
52.14 	if the bankruptcy court does not discharge the debt.
52.15 	(c) If the Internal Revenue Service assesses the commissioner a fee for offsetting 
52.16 	from a federal tax refund the amount of any fraud overpayment, including penalties and 
52.17 	interest, the amount of the fee may be added to the total amount due. The offset amount 
52.18 	must be put in the trust fund and that amount credited to the total amount due from the 
52.19 	applicant.

52.20 	Sec. 13. Minnesota Statutes 2008, section 268.186, is amended to read:
52.21 	268.186 RECORDS; AUDITS.
52.22 	(a) Each employer  must keep true and accurate records for the periods of time and 
52.23 	containing the information the commissioner may require by rule. For the purpose of 
52.24 	administering this chapter, the commissioner has the power to audit, examine, or cause to 
52.25 	be supplied or copied, any books, correspondence, papers, records, or memoranda that 
52.26 	are relevant, whether the books, correspondence, papers, records, or memoranda are the 
52.27 	property of or in the possession of the employer or any other person at any reasonable 
52.28 	time and as often as may be necessary.
52.29 	(b) Any employer that refuses to allow an audit of its records by the department, or 
52.30 	that fails to make all necessary records available for audit in Minnesota upon request of 
52.31 	the commissioner, may be assessed an administrative penalty of $500. An employer that 
52.32 	fails to provide a weekly breakdown of money earned by an applicant upon request of the 
52.33 	commissioner, information necessary for the detection of applicant fraud under section 
52.34 	268.18, subdivision 2, may be assessed an administrative penalty of $100. Any notice 
53.1 	requesting a weekly breakdown must clearly state that a $100 penalty may be assessed for 
53.2 	failure to provide the information. The penalty collected  is credited to the administration 
53.3 	account to be used by the commissioner to ensure integrity in the administration of the 
53.4 	unemployment insurance program trust fund.
53.5 	(c) The commissioner may make summaries, compilations, photographs, 
53.6 	duplications, or reproductions of any records, or reports that the commissioner considers 
53.7 	advisable for the preservation of the information contained therein. Any summaries, 
53.8 	compilations, photographs, duplications, or reproductions  is admissible in any proceeding 
53.9 	under this chapter. The commissioner may duplicate records, reports, summaries, 
53.10 	compilations, instructions, determinations, or any other written or recorded matter 
53.11 	pertaining to the administration of this chapter.
53.12 	(d) Regardless of any law to the contrary, the commissioner may provide for the 
53.13 	destruction of any records, reports, or reproductions, or other papers that are no longer 
53.14 	necessary for the administration of this chapter, including any required audit. In addition, 
53.15 	the commissioner may provide for the destruction or disposition of any record, report, 
53.16 	or other paper from which the information has been electronically captured and stored, 
53.17 	or that has been photographed, duplicated, or reproduced.

53.18 	Sec. 14. ENTREPRENEURSHIP FOR DISLOCATED WORKERS.
 53.19 		Subdivision 1.Authorization. Minnesota has been awarded a federal grant by the 
53.20 	United States Department of Labor under the Project GATE (Growing America Through 
53.21 	Entrepreneurship) program to assist certain dislocated workers in starting a business. 
53.22 	Providing unemployment benefits while the dislocated worker is receiving services such 
53.23 	as entrepreneurial training, business counseling, and technical assistance will assist in the 
53.24 	success of this pilot project. In order to provide unemployment benefits, the commissioner 
53.25 	of employment and economic development is authorized to waive the availability for 
53.26 	suitable employment requirements of Minnesota Statutes, section 268.085, subdivision 1, 
53.27 	as well as the earnings deductibility provisions of Minnesota Statutes, section 268.085, 
53.28 	subdivision 5, for individuals enrolled in this pilot project.
53.29 		Subd. 2.Limitations. A maximum of 500 applicants for unemployment benefits are 
53.30 	authorized to receive a waiver.
53.31 		Subd. 3.Expiration date. The authorization under subdivision 1 expires June 
53.32 	30, 2012.

53.33 	Sec. 15. EFFECTIVE DATE.
 54.1 	Sections 1 to 5, 7 to 11, 13, and 14 are effective August 2, 2009, and apply to all 
54.2 	department determinations and unemployment law judge decisions issued on or after that 
54.3 	date. Section 12 is effective April 1, 2010, and applies to all department determinations 
54.4 	and unemployment law judge decisions issued on or after that date. Sections 6 and 15 
54.5 	are effective the day following final enactment and section 6 is retroactive to December 
54.6 	1, 2008.

54.7 	ARTICLE 5
54.8 	UNEMPLOYMENT INSURANCE TECHNICAL CHANGES

54.9 	Section 1. Minnesota Statutes 2008, section 268.031, is amended to read:
54.10 	268.031 STANDARD OF PROOF.
54.11 	All issues of fact under the Minnesota Unemployment Insurance Law are determined 
54.12 	by a preponderance of the evidence. Preponderance of the evidence means evidence in 
54.13 	substantiation of a fact that, when weighed against the evidence opposing the fact, is more 
54.14 	convincing and has a greater probability of truth.

54.15 	Sec. 2. [268.034] COMPUTATIONS OF MONEY ROUNDED DOWN.
54.16 	Computations of money required under this chapter that do not result in a whole 
54.17 	dollar are rounded down to the next lower whole dollar, unless specifically provided 
54.18 	otherwise by law.

54.19 	Sec. 3. Minnesota Statutes 2008, section 268.035, subdivision 2, is amended to read:
54.20 		Subd. 2.Agricultural employment. "Agricultural employment" means services:
54.21 	(1) on a farm, in the employ of any person or family farm corporation in connection 
54.22 	with cultivating the soil, or in connection with raising or harvesting any agricultural or 
54.23 	horticultural commodity, including the raising, shearing, feeding, caring for, training, and 
54.24 	management of livestock, bees, poultry, fur-bearing animals, and wildlife;
54.25 	(2) in the employ of the owner or tenant or other operator of a farm, in connection 
54.26 	with the operation, management, conservation, improvement, or maintenance of the farm 
54.27 	and its tools and equipment, or in salvaging timber or clearing land of brush and other 
54.28 	debris left by a tornado-like storm, if the major part of the employment is performed 
54.29 	on a farm;
54.30 	(3) in connection with the production or harvesting of any commodity defined as 
54.31 	an agricultural product in United States Code, title 7, section 1626 of the Agricultural 
54.32 	Marketing Act, or in connection with cotton ginning, or in connection with the operation 
55.1 	or maintenance of ditches, canals, reservoirs, or waterways, not owned or operated for 
55.2 	profit, used exclusively for supplying and storing water for farming purposes;
55.3 	(4) in the employ of the operator of a farm in handling, planting, drying, packing, 
55.4 	packaging, processing, freezing, grading, storing, or delivering to storage or to market 
55.5 	or to a carrier for transportation to market, in its unmanufactured state, any agricultural 
55.6 	or horticultural commodity; but only if the operator produced more than one-half of 
55.7 	the commodity with respect to which the employment is performed, or in the employ 
55.8 	of a group of operators of farms or a cooperative organization of which the operators 
55.9 	are members, but only if the operators produced more than one-half of the commodity 
55.10 	with respect to which the employment is performed; however, this clause shallis not 
55.11 	be applicable to employment performed in connection with commercial canning or 
55.12 	commercial freezing or in connection with any agricultural or horticultural commodity 
55.13 	after its delivery to a terminal market for distribution for consumption; or
55.14 	(5) on a farm operated for profit if the employment is not in the course of the 
55.15 	employer's trade or business.
55.16 	For purposes of this subdivision, the term "farm" includes stock, dairy, poultry, fruit, 
55.17 	fur-bearing animals, and truck farms, plantations, ranches, nurseries, orchards, ranges, 
55.18 	greenhouses, or other similar structures used primarily for the raising of agricultural or 
55.19 	horticultural commodities.

55.20 	Sec. 4. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
55.21 	to read:
55.22 		Subd. 9a.Construction; independent contractor. For purposes of this chapter, 
55.23 	section 181.723 determines whether a worker is an independent contractor or an employee 
55.24 	when performing public or private sector commercial or residential building construction 
55.25 	or improvement services.

55.26 	Sec. 5. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
55.27 	to read:
55.28 		Subd. 12c.Determination. "Determination" means a document sent to an applicant 
55.29 	or employer by mail or electronic transmission that is an initial department ruling on a 
55.30 	specific issue. All documents that are determinations under this chapter use that term in 
55.31 	the title of the document and are appealable to an unemployment law judge under section 
55.32 	268.105, subdivision 1.

55.33 	Sec. 6. Minnesota Statutes 2008, section 268.035, subdivision 17, is amended to read:
56.1 		Subd. 17.Filing; filed. "Filing" or "filed" means the personal delivery of any 
56.2 	document an application, appeal, or other required action to the commissioner or any of 
56.3 	the commissioner's agents, or the depositing of the documentif done by mail, deposited 
56.4 	in the United States mail properly addressed to the department with postage prepaid, in 
56.5 	which case the documentit is considered filed on the day indicated by the cancellation 
56.6 	mark of the United States Postal Service.
56.7 	If, where allowed, an application, appeal, or other required action is made by 
56.8 	electronic transmission, it is considered filed on the day received by the department.

56.9 	Sec. 7. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
56.10 	to read:
56.11 		Subd. 20a.Preponderance of the evidence. "Preponderance of the evidence" 
56.12 	means evidence in substantiation of a fact that, when weighed against the evidence 
56.13 	opposing the fact, is more convincing and has a greater probability of truth.

56.14 	Sec. 8. Minnesota Statutes 2008, section 268.042, subdivision 3, is amended to read:
56.15 		Subd. 3.Election to have noncovered employment considered covered 
56.16 	employment. (a) Any employer that has employment performed for it that is noncovered 
56.17 	employment under section 268.035, subdivision 20, may file with the commissioner, by 
56.18 	electronic transmission in a format prescribed by the commissioner, an election that all 
56.19 	employees in that class of employment, in one or more distinct establishments or places 
56.20 	of business, is considered covered employment for not less than two calendar years. 
56.21 	The commissioner has discretion on the approval of any election. Upon the approval of 
56.22 	the commissioner, sent by mail or electronic transmission, the employment constitutes 
56.23 	covered employment beginning the calendar quarter after the date of approval or 
56.24 	beginning a later calendar quarter if requested by the employer. The employment ceases to 
56.25 	be considered covered employment as of the first day of January of any calendar year only 
56.26 	if at least 30 calendar days before the first day of January the employer has filed with the 
56.27 	commissioner, by electronic transmission in a format prescribed by the commissioner, a 
56.28 	notice to that effect. 
56.29 	(b) The commissioner must terminate any election agreement under this subdivision 
56.30 	upon 30 calendar days' notice sent by mail or electronic transmission, if the employer is 
56.31 	delinquent on any taxes due or reimbursements due the trust fund.

56.32 	Sec. 9. Minnesota Statutes 2008, section 268.043, is amended to read:
56.33 	268.043 DETERMINATIONS OF COVERAGE.
57.1 	(a) The commissioner, upon the commissioner's own motion or upon application 
57.2 	of a person, shallmust determine if that person is an employer or whether services 
57.3 	performed for it constitute employment and covered employment, or whether theany 
57.4 	compensation for services constitutes wages, and notify the person of the determination. 
57.5 	The determination is final unless the person,files an appeal within 20 calendar days 
57.6 	after sending of the determinationthe commissioner sends the determination by mail 
57.7 	or electronic transmission, files an appeal. Proceedings on the appeal are conducted in 
57.8 	accordance with section 268.105.
57.9 	(b) No person may be initially determined an employer, or that services performed 
57.10 	for it were in employment or covered employment, for periods more than four years 
57.11 	before the year in which the determination is made, unless the commissioner finds that 
57.12 	there was fraudulent action to avoid liability under this chapter.

57.13 	Sec. 10. Minnesota Statutes 2008, section 268.044, subdivision 2, is amended to read:
57.14 		Subd. 2.Failure to timely file report; late fees. (a) Any employer that fails to 
57.15 	submit the quarterly wage detail report when due must pay a late fee of $10 per employee, 
57.16 	computed based upon the highest of:
57.17 	(1) the number of employees reported on the last wage detail report submitted;
57.18 	(2) the number of employees reported in the corresponding quarter of the prior 
57.19 	calendar year; or
57.20 	(3) if no wage detail report has ever been submitted, the number of employees 
57.21 	listed at the time of employer registration.
57.22 	The late fee is waivedcanceled if the wage detail report is received within 30 
57.23 	calendar days after a demand for the report is sent to the employer by mail or electronic 
57.24 	transmission. A late fee assessed an employer may not be waivedcanceled more than 
57.25 	twice each 12 months. The amount of the late fee assessed may not be less than $250.
57.26 	(b) If the wage detail report is not received in a manner and format prescribed by the 
57.27 	commissioner within 30 calendar days after demand is sent under paragraph (a), the late 
57.28 	fee assessed under paragraph (a) doubles and a renewed demand notice and notice of the 
57.29 	increased late fee will be sent to the employer by mail or electronic transmission.
57.30 	(c) Late fees due under this subdivision may be compromisedcanceled, in whole or 
57.31 	in part, under section 268.067268.066 where good cause for late submission is found by 
57.32 	the commissioner.

57.33 	Sec. 11. Minnesota Statutes 2008, section 268.047, subdivision 1, is amended to read:
58.1 		Subdivision 1.General rule. Unemployment benefits paid to an applicant, 
58.2 	including extended and shared work benefits, will be used in computing the future 
58.3 	tax rate of a taxpaying base period employer or charged to the reimbursable account 
58.4 	of a base period nonprofit or government employer that has elected to be liable for 
58.5 	reimbursements except as provided in subdivisions 2 and 3. The amount of unemployment 
58.6 	benefits used in computing the future tax rate of taxpaying employers or charged to the 
58.7 	reimbursable account of a nonprofit or government employer that has elected to be liable 
58.8 	for reimbursements is the same percentage of the total amount of unemployment benefits 
58.9 	paid as the percentage of wage credits from the employer is of the total amount of wage 
58.10 	credits from all the applicant's base period employers.
58.11 	In making computations under this subdivision, the amount of wage credits, if not a 
58.12 	whole dollar, must be computed to the nearest whole dollar.

58.13 	Sec. 12. Minnesota Statutes 2008, section 268.047, subdivision 2, is amended to read:
58.14 		Subd. 2.Exceptions for all employers. Unemployment benefits paid will not be 
58.15 	used in computing the future tax rate of a taxpaying base period employer or charged to 
58.16 	the reimbursable account of a base period nonprofit or government employer that has 
58.17 	elected to be liable for reimbursements when:
58.18 	(1) the applicant was discharged from the employment because of aggravated 
58.19 	employment misconduct as determined under section 268.095. This exception applies 
58.20 	only to unemployment benefits paid for periods after the applicant's discharge from 
58.21 	employment;
58.22 	(2) an applicant's discharge from that employment occurred because a law required 
58.23 	removal of the applicant from the position the applicant held;
58.24 	(3) the employer is in the tourist or recreation industry and is in active operation of 
58.25 	business less than 15 calendar weeks each year and the applicant's wage credits from the 
58.26 	employer are less than 600 times the applicable state or federal minimum wage;
58.27 	(4)(3) the employer provided regularly scheduled part-time employment to the 
58.28 	applicant during the applicant's base period and continues to provide the applicant with 
58.29 	regularly scheduled part-time employment during the benefit year of at least 90 percent 
58.30 	of the part-time employment provided in the base period, and is an involved employer 
58.31 	because of the applicant's loss of other employment. This exception terminates effective 
58.32 	the first week that the employer fails to meet the benefit year employment requirements. 
58.33 	This exception applies to educational institutions without consideration of the period 
58.34 	between academic years or terms;
59.1 	(5)(4) the employer is a fire department or firefighting corporation or operator 
59.2 	of a life-support transportation service, and continues to provide employment for the 
59.3 	applicant as a volunteer firefighter or a volunteer ambulance service personnel during the 
59.4 	benefit year on the same basis that employment was provided in the base period. This 
59.5 	exception terminates effective the first week that the employer fails to meet the benefit 
59.6 	year employment requirements;
59.7 	(6)(5) the applicant's unemployment from this employer was a direct result of 
59.8 	the condemnation of property by a governmental agency, a fire, flood, or act of nature, 
59.9 	where 25 percent or more of the employees employed at the affected location, including 
59.10 	the applicant, became unemployed as a result. This exception does not apply where the 
59.11 	unemployment was a direct result of the intentional act of the employer or a person acting 
59.12 	on behalf of the employer;
59.13 	(7)(6) the unemployment benefits were paid by another state as a result of the 
59.14 	transferring of wage credits under a combined wage arrangement provided for in section 
59.15 	268.131;
59.16 	(8)(7) the applicant stopped working because of a labor dispute at the applicant's 
59.17 	primary place of employment if the employer was not a party to the labor dispute;
59.18 	(9)(8) the unemployment benefits were determined overpaid unemployment benefits 
59.19 	under section 268.18;
59.20 	(10)(9) the applicant was employed as a replacement worker, for a period of six 
59.21 	months or longer, for an employee who is in the military reserve and was called for active 
59.22 	duty during the time the applicant worked as a replacement, and the applicant was laid off 
59.23 	because the employee returned to employment after active duty; or
59.24 	(11)(10) the trust fund was reimbursed for the unemployment benefits by the 
59.25 	federal government.

59.26 	Sec. 13. Minnesota Statutes 2008, section 268.051, subdivision 1, is amended to read:
59.27 		Subdivision 1.Payments. (a) Unemployment insurance taxes and any special 
59.28 	assessments, fees, or surcharges accrue and become payable by each employer for each 
59.29 	calendar year on the taxable wages that the employer paid to employees in covered 
59.30 	employment, except for:
59.31 	(1) nonprofit organizations that elect to make reimbursements as provided in section 
59.32 	268.053; and
59.33 	(2) the state of Minnesota and political subdivisions that make reimbursements, 
59.34 	unless they elect to pay taxes as provided in section 268.052.
60.1 	Each employer must pay taxes quarterly, at the employer's assigned tax rate under 
60.2 	subdivision 6, on the taxable wages paid to each employee. The commissioner must 
60.3 	compute the tax due from the wage detail report required under section 268.044 and notify 
60.4 	the employer of the tax due. The taxes and any special assessments, fees, or surcharges 
60.5 	must be paid to the trust fund and must be received by the department on or before the last 
60.6 	day of the month following the end of the calendar quarter.
60.7 	(b) The tax amount computed, if not a whole dollar, is rounded down to the next 
60.8 	lower whole dollar.
60.9 	(c) If for any reason the wages on the wage detail report under section 268.044 are 
60.10 	adjusted for any quarter, the commissioner must recompute the taxes due for that quarter 
60.11 	and assess the employer for any amount due or credit the employer as appropriate.

60.12 	Sec. 14. Minnesota Statutes 2008, section 268.051, subdivision 4, is amended to read:
60.13 		Subd. 4.Experience rating history transfer. (a) When:
60.14 	(1) a taxpaying employer acquires all of the organization, trade or business, or 
60.15 	workforce of another taxpaying employer; and
60.16 	(2) there is 25 percent or more common ownership or there is substantially common 
60.17 	management or control between the predecessor and successor, the experience rating 
60.18 	history of the predecessor employer is transferred to the successor employer.
60.19 	(b) When:
60.20 	(1) a taxpaying employer acquires a portion, but less than all, of the organization, 
60.21 	trade or business, or workforce of another taxpaying employer; and
60.22 	(2) there is 25 percent or more common ownership or there is substantially common 
60.23 	management or control between the predecessor and successor, the successor employer 
60.24 	acquires, as of the date of acquisition, the experience rating history attributable to the 
60.25 	portion it acquired, and the predecessor employer retains the experience rating history 
60.26 	attributable to the portion that it has retained. If the commissioner determines that 
60.27 	sufficient information is not available to substantiate that a distinct severable portion 
60.28 	was acquired and to assign the appropriate distinct severable portion of the experience 
60.29 	rating history, the commissioner shallmust assign the successor employer that percentage 
60.30 	of the predecessor employer's experience rating history equal to that percentage of 
60.31 	the employment positions it has obtained, and the predecessor employer retains that 
60.32 	percentage of the experience rating history equal to the percentage of the employment 
60.33 	positions it has retained.
61.1 	(c) The term "common ownership" for purposes of this subdivision includes 
61.2 	ownership by a spouse, parent, grandparent, child, grandchild, brother, sister, aunt, uncle, 
61.3 	niece, nephew, or first cousin, by birth or by marriage.
61.4 	(d) Each successor employer that is subject to paragraph (a) or (b) must notify the 
61.5 	commissioner of the acquisition by electronic transmission, in a format prescribed by the 
61.6 	commissioner, within 30 calendar days of the date of acquisition. Any successor employer 
61.7 	that fails to notify the commissioner is subject to the penalties under section 268.184, 
61.8 	subdivision 1a, if the successor's experience ratingassigned tax rate under subdivision 2 
61.9 	or 5 was lower than the predecessor's experience ratingassigned tax rate at the time of 
61.10 	the acquisition. Payments made toward the penalties are credited to the administration 
61.11 	account to be used to ensure integrity in the unemployment insurance program.
61.12 	(e) If the successor employer under paragraphs (a) and (b) had an experience rating 
61.13 	at the time of the acquisition, the transferred experience rating history of the predecessor 
61.14 	is combined with the successor's experience rating history for purposes of recomputing 
61.15 	a tax rate.
61.16 	(f) If there has been a transfer of an experience rating history under paragraph (a) or 
61.17 	(b), employment with a predecessor employer is not considered to have been terminated if 
61.18 	similar employment is offered by the successor employer and accepted by the employee.
61.19 	(g) The commissioner, upon notification of an employer, or upon the commissioner's 
61.20 	own motion if the employer fails to provide the required notification, shallmust determine 
61.21 	if an employer is a successor within the meaning of this subdivision. The commissioner 
61.22 	shall must, after determining the issue of succession or nonsuccession, recompute the tax 
61.23 	rate under subdivision 6 of all employers affected. The commissioner shallmust send the 
61.24 	recomputed tax rate to all affected employers by mail or electronic transmission. Any 
61.25 	affected employer may appeal the recomputed tax rate in accordance with the procedures 
61.26 	in subdivision 6, paragraph (c).
61.27 	(h) The "experience rating history" for purposes of this subdivision and subdivision 
61.28 	4a means the amount of unemployment benefits paid and the taxable wages that are being 
61.29 	used and would be used in computing the current and any future experience rating.
61.30 	For purposes of this chapter, an "acquisition" means anything that results in the 
61.31 	obtaining by the successor employer, in any way or manner, of the organization, trade or 
61.32 	business, or workforce of the predecessor employer.
61.33 	A "distinct severable portion" in paragraph (b) means a location or unit separately 
61.34 	identifiable within the employer's wage detail report under section 268.044.
61.35 	(i) Regardless of the ownership, management, or control requirements of paragraph 
61.36 	(a), if there is an acquisition or merger of a publicly held corporation by or with another 
62.1 	publicly held corporation the experience rating histories of the corporations are combined 
62.2 	as of the date of acquisition or merger for the purpose of recomputing a tax rate.

62.3 	Sec. 15. Minnesota Statutes 2008, section 268.057, subdivision 4, is amended to read:
62.4 		Subd. 4.Costs. (a) Any person that fails to pay any amount when due under this 
62.5 	chapter is liable for any filing fees, recording fees, sheriff fees, costs incurred by referral 
62.6 	to any public or private collection agency, or litigation costs, including attorney fees, 
62.7 	incurred in the collection of the amounts due.
62.8 	(b) If any tendered payment of any amount due is not honored when presented to 
62.9 	a financial institution for payment, any costs assessed the department by the financial 
62.10 	institution and a fee of $25 must be assessed to the person.
62.11 	(c) Costs and fees collected under this subdivision are credited to the administration 
62.12 	account to be used by the commissioner to ensure integrity in the administration of the 
62.13 	unemployment insurance program.

62.14 	Sec. 16. Minnesota Statutes 2008, section 268.057, subdivision 5, is amended to read:
62.15 		Subd. 5.Interest on amounts past due. If any amounts due from an employer 
62.16 	under this chapter or section 116L.20, except late fees under section 268.044, are not 
62.17 	received on the date due the unpaid balance bears interest at the rate of one and one-half 
62.18 	percent per month or any part thereof. Interest assessed, if not a whole dollar amount, 
62.19 	is rounded down to the next lower whole dollar. Interest collected is credited to the 
62.20 	contingent account. Interest may be compromised under section 268.067.

62.21 	Sec. 17. Minnesota Statutes 2008, section 268.0625, subdivision 1, is amended to read:
62.22 		Subdivision 1.Notice of debt to licensing authority. The state of Minnesota or a 
62.23 	political subdivision may not issue, transfer, or renew, and must revoke a license for the 
62.24 	conduct of any profession, trade, or business, if the commissioner notifies the licensing 
62.25 	authority that the licensee, applicant, or employer owes any amount due under this chapter 
62.26 	or section 116L.20, of $500 or more. A licensing authority that has received such a notice 
62.27 	may issue, transfer, renew, or not revoke the license only if the licensing authority has 
62.28 	received a copy of the debt clearance certificate issued by the commissioner.  

62.29 	Sec. 18. Minnesota Statutes 2008, section 268.069, subdivision 1, is amended to read:
62.30 		Subdivision 1.Requirements. The commissioner shallmust pay unemployment 
62.31 	benefits from the trust fund to an applicant who has met each of the following requirements:
63.1 	(1) the applicant has filed an application for unemployment benefits and established 
63.2 	a benefit account in accordance with section 268.07;
63.3 	(2) the applicant has not been held ineligible for unemployment benefits under 
63.4 	section 268.095 because of a quit or discharge;
63.5 	(3) the applicant has met all of the ongoing eligibility requirements under sections
63.6 	section 268.085and 268.086;
63.7 	(4) the applicant does not have an outstanding overpayment of unemployment 
63.8 	benefits, including any penalties or interest; and
63.9 	(5) the applicant has not been held ineligible for unemployment benefits under 
63.10 	section 268.182 because of a false representation or concealment of facts.

63.11 	Sec. 19. Minnesota Statutes 2008, section 268.07, subdivision 1, is amended to read:
63.12 		Subdivision 1.Application for unemployment benefits; determination of benefit 
63.13 	account. (a) An application for unemployment benefits may be filed in person, by mail, 
63.14 	or by electronic transmission as the commissioner may require. The applicant must be 
63.15 	unemployed at the time the application is filed and must provide all requested information 
63.16 	in the manner required. If the applicant is not unemployed at the time of the application 
63.17 	or fails to provide all requested information, the communication is not considered an 
63.18 	application for unemployment benefits.
63.19 	(b) The commissioner shallmust examine each application for unemployment 
63.20 	benefits to determine the base period and the benefit year, and based upon all 
63.21 	the covered employment in the base period the commissioner shall determine the 
63.22 	weekly unemployment benefit amount available, if any, and the maximum amount of 
63.23 	unemployment benefits available, if any. The determination is known as the, which is a 
63.24 	document separate and distinct from a document titled a determination of eligibility or 
63.25 	determination of ineligibility issued under section 268.101, must be titled determination of 
63.26 	benefit account. A determination of benefit account must be sent to the applicant and all 
63.27 	base period employers, by mail or electronic transmission.
63.28 	(c) If a base period employer did not provide wage information for the applicant as 
63.29 	provided for in section 268.044, or provided erroneous information, the commissioner 
63.30 	may accept an applicant certification as to wage credits, based upon the applicant's records, 
63.31 	and issue a determination of benefit account. 
63.32 	(d) The commissioner may, at any time within 24 months from the establishment 
63.33 	of a benefit account, reconsider any determination of benefit account and make an 
63.34 	amended determination if the commissioner finds that the determination was incorrect 
63.35 	for any reason. An amended determination of benefit account must be promptly sent 
64.1 	to the applicant and all base period employers, by mail or electronic transmission.
64.2 	This subdivision does not apply to documents titled determinations of eligibility or 
64.3 	determinations of ineligibility issued under section 268.101.
64.4 	(e) If an amended determination of benefit account reduces the weekly 
64.5 	unemployment benefit amount or maximum amount of unemployment benefits available, 
64.6 	any unemployment benefits that have been paid greater than the applicant was entitled 
64.7 	is considered an overpayment of unemployment benefits. A determination or amended 
64.8 	determination issued under this section that results in an overpayment of unemployment 
64.9 	benefits must set out the amount of the overpayment and the requirement under section 
64.10 	268.18, subdivision 1, that the overpaid unemployment benefits must be repaid. 

64.11 	Sec. 20. Minnesota Statutes 2008, section 268.07, subdivision 2, is amended to read:
64.12 		Subd. 2.Benefit account requirements and weekly unemployment benefit 
64.13 	amount and maximum amount of unemployment benefits. (a) To establish a benefit 
64.14 	account, an applicant must have:
64.15 	(1) high quarter wage credits of $1,000 or more; and
64.16 	(2) wage credits, in other than the high quarter, of $250 or more.
64.17 	(b) If an applicant has established a benefit account, the weekly unemployment 
64.18 	benefit amount available during the benefit year is the higher of:
64.19 	(1) 50 percent of the applicant's average weekly wage during the base period, to a 
64.20 	maximum of 66-2/3 percent of the state's average weekly wage; or
64.21 	(2) 50 percent of the applicant's average weekly wage during the high quarter, to a 
64.22 	maximum of 43 percent of the state's average weekly wage.
64.23 	The applicant's average weekly wage under clause (1) is computed by dividing 
64.24 	the total wage credits by 52. The applicant's average weekly wage under clause (2) is 
64.25 	computed by dividing the high quarter wage credits by 13.
64.26 	(c) The state's maximum weekly unemployment benefit amount and an applicant's 
64.27 	weekly unemployment benefit amount and maximum amount of unemployment benefits 
64.28 	available is rounded down to the next lower whole dollar. The state's maximum weekly 
64.29 	benefit amount, computed in accordance with section 268.035, subdivision 23, applies 
64.30 	to a benefit account established effective on or after the last Sunday in October. Once 
64.31 	established, an applicant's weekly unemployment benefit amount is not affected by the last 
64.32 	Sunday in October change in the state's maximum weekly unemployment benefit amount. 
64.33 	(d) The maximum amount of unemployment benefits available on any benefit 
64.34 	account is the lower of:
64.35 	(1) 33-1/3 percent of the applicant's total wage credits; or
65.1 	(2) 26 times the applicant's weekly unemployment benefit amount.

65.2 	Sec. 21. Minnesota Statutes 2008, section 268.07, subdivision 3, is amended to read:
65.3 		Subd. 3.Second benefit account requirements. To establish a second benefit 
65.4 	account following the expiration of a benefit year on a prior benefit account, an 
65.5 	applicant must have sufficient wage credits to establish a benefit account undermeet the 
65.6 	requirements of subdivision 2 and must have performed services in covered employment 
65.7 	after the effective date of the prior benefit account. The wages paid for that employment
65.8 	those services must equal not less thanbe at least eight times the weekly unemployment 
65.9 	benefit amount of the prior benefit account. Part of the purpose ofreason for this 
65.10 	subdivision is to prevent an applicant from establishing more than one benefit account as a 
65.11 	result of one loss of employment.

65.12 	Sec. 22. Minnesota Statutes 2008, section 268.084, is amended to read:
65.13 	268.084 PERSONAL IDENTIFICATION NUMBER; PRESUMPTION.
65.14 	(a) Each applicant must be issued a personal identification number (PIN) for the 
65.15 	purpose of filing continued requests for unemployment benefits, accessing information, 
65.16 	and engaging in other transactions with the department.
65.17 	(b) If a PIN assigned to an applicant is used in the filing of a continued request for 
65.18 	unemployment benefits under section 268.086 268.0865 or any other type of transaction, 
65.19 	the applicant is presumed to have been the individual using that PIN and presumed to have 
65.20 	received any unemployment benefit payment issued. This presumption may be rebutted 
65.21 	by a preponderance of the evidence showing that the applicant assigned the PIN was not 
65.22 	the individual who used that PIN in the transaction. 
65.23 	(c) The commissioner shall must notify each applicant of this section.

65.24 	Sec. 23. Minnesota Statutes 2008, section 268.085, subdivision 1, is amended to read:
65.25 		Subdivision 1.Eligibility conditions. An applicant may be eligible to receive 
65.26 	unemployment benefits for any week if:
65.27 	(1) the applicant has an active benefit account and has filed a continued request for 
65.28 	unemployment benefits for that week under section 268.086 268.0865;
65.29 	(2) the week for which unemployment benefits are requested is in the applicant's 
65.30 	benefit year;
65.31 	(3) the applicant was unemployed as defined in section 268.035, subdivision 26;
65.32 	(4) the applicant was able to work and was available for suitable employment, and 
65.33 	was actively seeking suitable employment as defined in subdivision 15. The applicant's 
66.1 	weekly unemployment benefit amount is reduced one-fifth for each day the applicant 
66.2 	is unable to work or is unavailable for suitable employment. If the computation of the 
66.3 	reduced unemployment benefits is not a whole dollar, it is rounded down to the next lower 
66.4 	whole dollar. This clause does not apply to an applicant who is in reemployment assistance 
66.5 	training, or each day the applicant is on jury duty or serving as an election judge;
66.6 	(5) the applicant was actively seeking suitable employment as defined in subdivision 
66.7 	16. This clause does not apply to an applicant who is in reemployment assistance training 
66.8 	or who was on jury duty throughout the week;
66.9 	(6) the applicant has served a nonpayable waiting period of one week that the 
66.10 	applicant is otherwise entitled to some amount of unemployment benefits. This clause 
66.11 	does not apply if the applicant would have been entitled to federal disaster unemployment 
66.12 	assistance because of a disaster in Minnesota, but for the applicant's establishment of a 
66.13 	benefit account under section 268.07; and
66.14 	(6)(7) the applicant has been participating in reemployment assistance services, 
66.15 	such as job search and resume writing classes, if the applicant has been determined in 
66.16 	need of reemployment assistance services by the commissioner, unless the applicant 
66.17 	has good cause for failing to participate.

66.18 	Sec. 24. Minnesota Statutes 2008, section 268.085, subdivision 2, is amended to read:
66.19 		Subd. 2.Not eligible. An applicant is ineligible for unemployment benefits for 
66.20 	any week:
66.21 	(1) that occurs before the effective date of a benefit account;
66.22 	(2) that the applicant, at the beginning of the week, has an outstanding fraud 
66.23 	overpayment balance under section 268.18, subdivision 2, including any penalties and 
66.24 	interest;
66.25 	(3) that occurs in a period when the applicant is a student in attendance at, or on 
66.26 	vacation from a secondary school including the period between academic years or terms;
66.27 	(4) that the applicant is incarcerated or performing court orderedcourt-ordered 
66.28 	community service. The applicant's weekly unemployment benefit amount is reduced 
66.29 	by one-fifth for each day the applicant is incarcerated or performing court ordered
66.30 	court-ordered community service. If the computation of the reduced unemployment 
66.31 	benefits is not a whole dollar, it is rounded down to the next lower whole dollar;
66.32 	(5) that the applicant fails or refuses to provide information on an issue of 
66.33 	ineligibility required under section 268.101;
67.1 	(6) that the applicant is performing services 32 hours or more, in employment, 
67.2 	covered employment, noncovered employment, volunteer work, or self-employment 
67.3 	regardless of the amount of any earnings; or
67.4 	(7) with respect to which the applicant is receiving, has received, or has filed an 
67.5 	application for unemployment benefits under any federal law or the law of any other 
67.6 	state. If the appropriate agency finally determines that the applicant is not entitled to the 
67.7 	unemployment benefits, this clause does not apply.

67.8 	Sec. 25. Minnesota Statutes 2008, section 268.085, subdivision 3, is amended to read:
67.9 		Subd. 3.Payments that delay unemployment benefits. (a) An applicant is not 
67.10 	eligible to receive unemployment benefits for any week with respect to which the applicant 
67.11 	is receiving, has received, or has filed for payment, equal to or in excess of the applicant's 
67.12 	weekly unemployment benefit amount, in the form of:
67.13 	(1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause 
67.14 	does not apply to (i) vacation pay paid upon a permanent separation from employment, or 
67.15 	(ii) vacation pay paid from a vacation fund administered by a union or a third party not 
67.16 	under the control of the employer;
67.17 	(2) severance pay, bonus pay, sick pay, and any other payments, except earnings 
67.18 	under subdivision 5, and back pay under subdivision 6, paid by an employer because of, 
67.19 	upon, or after separation from employment, but only if the payment is considered wages at 
67.20 	the time of payment under section 268.035, subdivision 29; or
67.21 	(3) pension, retirement, or annuity payments from any plan contributed to by a base 
67.22 	period employer including the United States government, except Social Security benefits 
67.23 	that are provided for in subdivision 4. The base period employer is considered to have 
67.24 	contributed to the plan if the contribution is excluded from the definition of wages under 
67.25 	section 268.035, subdivision 29, clause (1).
67.26 	An applicant is not considered to have received the lump-sum payment if the 
67.27 	applicant immediately deposits that payment in a qualified pension plan or account.
67.28 	(b) This subdivision applies to all the weeks of payment. Payments under paragraph 
67.29 	(a), clauses (1) and (2) clause (1), are applied to the period immediately following the last 
67.30 	day of employment. The number of weeks of payment is determined as follows:
67.31 	(1) if the payments are made periodically, the total of the payments to be received is 
67.32 	divided by the applicant's last level of regular weekly pay from the employer; or
67.33 	(2) if the payment is made in a lump sum, that sum is divided by the applicant's last 
67.34 	level of regular weekly pay from the employer.
68.1 	(c) If the payment is less than the applicant's weekly unemployment benefit amount, 
68.2 	unemployment benefits are reduced by the amount of the payment. If the computation 
68.3 	of reduced unemployment benefits is not a whole dollar, it is rounded down to the next 
68.4 	lower whole dollar.

68.5 	EFFECTIVE DATE. This section is effective the day following final enactment 
68.6 	and is retroactive to December 1, 2008.

68.7 	Sec. 26. Minnesota Statutes 2008, section 268.085, subdivision 3a, is amended to read:
68.8 		Subd. 3a.Workers' compensation and disability insurance offset. (a) An 
68.9 	applicant is not eligible to receive unemployment benefits for any week in which the 
68.10 	applicant is receiving or has received compensation for loss of wages equal to or in excess 
68.11 	of the applicant's weekly unemployment benefit amount under:
68.12 	(1) the workers' compensation law of this state;
68.13 	(2) the workers' compensation law of any other state or similar federal law; or
68.14 	(3) any insurance or trust fund paid in whole or in part by an employer.
68.15 	(b) This subdivision does not apply to an applicant who has a claim pending for 
68.16 	loss of wages under paragraph (a); however, before unemployment benefits may be paid 
68.17 	when a claim is pending, the issue of the applicant being able to work available for 
68.18 	suitable employment, as required under subdivision 1, clause (2) (4), is determined under 
68.19 	section 268.101, subdivision 3 2. If the applicant later receives compensation as a result 
68.20 	of the pending claim, the applicant is subject to the provisions of paragraph (a) and the 
68.21 	unemployment benefits paid are subject to recoupment by the commissioner to the extent 
68.22 	that the compensation constitutes overpaid unemployment benefits. 
68.23 	(c) If the amount of compensation described under paragraph (a) for any week is 
68.24 	less than the applicant's weekly unemployment benefit amount, unemployment benefits 
68.25 	requested for that week are reduced by the amount of that compensation payment.

68.26 	Sec. 27. Minnesota Statutes 2008, section 268.085, subdivision 4, is amended to read:
68.27 		Subd. 4.Social Security benefits. (a) Any applicant aged 62 or over is required 
68.28 	to state when filing an application for unemployment benefits and when filing continued 
68.29 	requests for unemployment benefits if the applicant is receiving, has filed for, or intends to 
68.30 	file for, primary Social Security old age benefits for any week during the benefit year.
68.31 	If the effective date of the applicant's Social Security claim for old age benefits is, 
68.32 	or will be, after the start of the base period, there must be deducted from an applicant's 
68.33 	weekly unemployment benefit amountUnless paragraph (b) applies, 50 percent of the 
68.34 	weekly equivalent of the primary Social Security old age benefit the applicant has 
69.1 	received, has filed for, or intends to file for, with respect to that week must be deducted 
69.2 	from an applicant's weekly unemployment benefit amount.
69.3 	(b) If the effective dateall of the applicant's wage credits were earned while the 
69.4 	applicant was claiming Social Security claim for old age benefits is before the start of the 
69.5 	base period, there is no deduction from the applicant's weekly unemployment benefit 
69.6 	amount. The purpose of this paragraph is to ensure that an applicant who is claiming 
69.7 	Social Security benefits has demonstrated a desire and ability to work.
69.8 	(b)(c) An applicant who is receiving, has received, or has filed for primary Social 
69.9 	Security disability benefits for any week during the benefit year must be determined 
69.10 	unable to work and unavailable for suitable employment for that week, unless:
69.11 	(1) the Social Security Administration approved the collecting of primary Social 
69.12 	Security disability benefits each month the applicant was employed during the base 
69.13 	period; or
69.14 	(2) the applicant provides a statement from an appropriate health care professional 
69.15 	who is aware of the applicant's Social Security disability claim and the basis for that claim, 
69.16 	certifying that the applicant is able to work and available for suitable employment.
69.17 	If an applicant meets the requirements of clause (1) there is no deduction from the 
69.18 	applicant's weekly benefit amount for any Social Security disability benefits. If only 
69.19 	clause (2) applies, then there must be deducted from the applicant's weekly unemployment 
69.20 	benefit amount 50 percent of the weekly equivalent of the primary Social Security 
69.21 	disability benefits the applicant is receiving, has received, or has filed for, with respect 
69.22 	to that week; provided, however, that if the Social Security Administration determines 
69.23 	that an individual is not entitled to receive primary Social Security disability benefits for 
69.24 	any week the applicant has applied for those benefits, the 50 percent deduction does not 
69.25 	apply to that week.
69.26 	(c)(d) Information from the Social Security Administration is considered conclusive, 
69.27 	absent specific evidence showing that the information was erroneous.
69.28 	(d) If the computation of the reduced unemployment benefits is not a whole dollar, it 
69.29 	is rounded down to the next lower whole dollar.
69.30 	(e) This subdivision does not apply to Social Security survivor benefits.

69.31 	Sec. 28. Minnesota Statutes 2008, section 268.085, subdivision 5, is amended to read:
69.32 		Subd. 5.Deductible earnings. (a) If the applicant has earnings, including holiday 
69.33 	pay, with respect to any week, from employment, covered employment, noncovered 
69.34 	employment, self-employment, or volunteer work, equal to or in excess of the applicant's 
70.1 	weekly unemployment benefit amount, the applicant is ineligible for unemployment 
70.2 	benefits for that week.
70.3 	(b) If the applicant has earnings, with respect to any week, that is less than 
70.4 	the applicant's weekly unemployment benefit amount, from employment, covered 
70.5 	employment, noncovered employment, self-employment, or volunteer work, 55 percent of 
70.6 	the earnings are deducted from the weekly unemployment benefit amount.
70.7 	The resulting unemployment benefit, if not a whole dollar, is rounded down to the 
70.8 	next lower whole dollar.
70.9 	(c) No deduction is made from an applicant's weekly unemployment benefit amount 
70.10 	for earnings from service in the National Guard or a United States military reserve unit or 
70.11 	from direct service as a volunteer firefighter or volunteer ambulance service personnel. 
70.12 	This exception to paragraphs (a) and (b) does not apply to on-call or standby pay provided 
70.13 	to a volunteer firefighter or volunteer ambulance service personnel. No deduction is made 
70.14 	for jury duty pay or for pay as an election judge.
70.15 	(d) The applicant may report deductible earnings on continued requests for 
70.16 	unemployment benefits at the next lower whole dollar amount.
70.17 	(e) Deductible earnings does not include any money considered a deductible 
70.18 	payment under subdivision 3, but includes all compensation considered wages under 
70.19 	section 268.035, subdivision 29, and any other compensation considered earned income 
70.20 	under state and federal law for income tax purposes.

70.21 	Sec. 29. [268.0865] CONTINUED REQUEST FOR UNEMPLOYMENT 
70.22 	BENEFITS.
70.23 		Subdivision 1.Continued request for unemployment benefits defined. A 
70.24 	continued request for unemployment benefits is a certification by an applicant, done 
70.25 	on a weekly basis, that the applicant is unemployed and meets the ongoing eligibility 
70.26 	requirements for unemployment benefits under section 268.085. A continued  request 
70.27 	must include information on possible issues of ineligibility in accordance with section 
70.28 	268.101, subdivision 1, paragraph (c).
70.29 		Subd. 2.Filing continued requests for unemployment benefits. (a) The 
70.30 	commissioner must designate to each applicant one of the following methods for filing a 
70.31 	continued request:
70.32 	(1) by electronic transmission under subdivision 3; or
70.33 	(2) by mail under subdivision 4.
70.34 	(b) The method designated by the commissioner is the only method allowed for 
70.35 	filing a continued request by that applicant. An applicant may ask that the other allowed 
71.1 	method be designated and the commissioner must consider inconvenience to the applicant 
71.2 	as well as administrative capacity in determining whether to allow an applicant to change 
71.3 	the designated method for filing a continued request for unemployment benefits.
71.4 		Subd. 3.Continued request for unemployment benefits by electronic 
71.5 	transmission. (a) A continued request for unemployment benefits by electronic 
71.6 	transmission must be filed to that electronic mail address, telephone number, or Internet 
71.7 	address prescribed by the commissioner for that applicant. In order to constitute a 
71.8 	continued request, all information asked for, including information authenticating that the 
71.9 	applicant is sending the transmission, must be provided in the format required. If all of the 
71.10 	information asked for is not provided, the communication does not constitute a continued 
71.11 	request for unemployment benefits.
71.12 	(b) The electronic transmission communication must be filed on the date and during 
71.13 	the time of day designated for the applicant for filing a continued request by electronic 
71.14 	transmission.
71.15 	(c) If the electronic transmission continued request is not filed on the date and 
71.16 	during the time of day designated, a continued request by electronic transmission must be 
71.17 	accepted if the applicant files the continued request by electronic transmission within two 
71.18 	calendar weeks following the week in which the date designated occurred. If the continued 
71.19 	request by electronic transmission is not filed within two calendar weeks following the 
71.20 	week in which the date designated occurred, the electronic continued request will not be 
71.21 	accepted and the applicant is ineligible for unemployment benefits for the period covered 
71.22 	by the continued request, unless the applicant shows good cause for failing to file the 
71.23 	continued request by electronic transmission within the time period required.
71.24 		Subd. 4.Continued request for unemployment benefits by mail. (a) A 
71.25 	continued request for unemployment benefits by mail must be on a form prescribed by 
71.26 	the commissioner. The form, in order to constitute a continued request, must be totally 
71.27 	completed and signed by the applicant. The form must be filed on the date required for 
71.28 	the applicant for filing a continued request by mail, in an envelope with postage prepaid, 
71.29 	and sent to the address designated.
71.30 	(b) If the mail continued request for unemployment benefits is not filed on the date 
71.31 	designated, a continued request must be accepted if the form is filed by mail within two 
71.32 	calendar weeks following the week in which the date designated occurred. If the form 
71.33 	is not filed within two calendar weeks following the week in which the date designated 
71.34 	occurred, the form will not be accepted and the applicant is ineligible for unemployment 
71.35 	benefits for the period covered by the continued request for unemployment benefits, 
72.1 	unless the applicant shows good cause for failing to file the form by mail within the time 
72.2 	period required.
72.3 	(c) If the applicant has been designated to file a continued request for unemployment 
72.4 	benefits by mail, an applicant may submit the form by facsimile transmission on the day 
72.5 	otherwise required for mailing, or within two calendar weeks following the week in which 
72.6 	the date designated occurred. A form submitted by facsimile transmission must be sent 
72.7 	only to the telephone number assigned for that purpose.
72.8 	(d) An applicant who has been designated to file a continued request by mail may 
72.9 	personally deliver a continued request form only to the location to which the form was 
72.10 	otherwise designated to be mailed.
72.11 		Subd. 5.Good cause defined. (a) "Good cause" for purposes of this section is a 
72.12 	compelling substantial reason that would have prevented a reasonable person acting with 
72.13 	due diligence from filing a continued request for unemployment benefits within the time 
72.14 	periods required.
72.15 	(b) Good cause does not include forgetfulness, loss of the continued request form if 
72.16 	filing by mail, having returned to work, having an appeal pending, or inability to file a 
72.17 	continued request for unemployment benefits by the method designated if the applicant 
72.18 	was aware of the inability and did not make diligent effort to have the method of filing 
72.19 	a continued request changed by the commissioner. Good cause does not include having 
72.20 	previously made an attempt to file a continued request for unemployment benefits but 
72.21 	where the communication was not considered a continued request because the applicant 
72.22 	failed to submit all required information.

72.23 	Sec. 30. Minnesota Statutes 2008, section 268.095, subdivision 4, is amended to read:
72.24 		Subd. 4.Discharge. An applicant who was discharged from employment by an 
72.25 	employer is ineligible for all unemployment benefits according to subdivision 10 only 
72.26 	if a preponderance of the evidence shows:
72.27 	(1) the applicant was discharged because of employment misconduct as defined 
72.28 	in subdivision 6; or
72.29 	(2) the applicant was discharged because of aggravated employment misconduct as 
72.30 	defined in subdivision 6a.

72.31 	Sec. 31. Minnesota Statutes 2008, section 268.095, subdivision 10, is amended to read:
72.32 		Subd. 10.Ineligibility duration. (a)  Ineligibility from the payment of all 
72.33 	unemployment benefits under subdivisions 1 and 4 is for the duration of the applicant's 
72.34 	unemployment and until the end of the calendar week that the applicant had total earnings 
73.1 	in subsequent covered employment of eight times the applicant's weekly unemployment 
73.2 	benefit amount.
73.3 	(b) Ineligibility imposed under subdivisions 1 and 4 begins on the Sunday of the 
73.4 	week that the applicant became separated from employment.
73.5 	(c) In addition to paragraph (a), if the applicant was discharged from employment 
73.6 	because of aggravated employment misconduct, wage credits from that employment are 
73.7 	canceled and cannot be used for purposes of a benefit account under section 268.07, 
73.8 	subdivision 2.

73.9 	Sec. 32. Minnesota Statutes 2008, section 268.095, subdivision 11, is amended to read:
73.10 		Subd. 11.Application. (a) This section and section 268.085, subdivision 13c, 
73.11 	and this section apply to all covered employment, full time or part time, temporary or of 
73.12 	limited duration, permanent or of indefinite duration, that occurred in Minnesota during 
73.13 	the base period, the period between the end of the base period and the effective date of the 
73.14 	benefit account, or the benefit year, except as provided for in subdivision 1, clause (5).
73.15 	(b) Paragraph (a) also applies to employment covered under an unemployment 
73.16 	insurance program of any other state or established by an act of Congress.

73.17 	Sec. 33. Minnesota Statutes 2008, section 268.101, subdivision 1, is amended to read:
73.18 		Subdivision 1.Notification. (a) In an application for unemployment benefits, each 
73.19 	applicant must report the name and the reason for no longer working for the applicant's 
73.20 	most recent employer, as well as the names of all employers and the reasons for no 
73.21 	longer working for all employers during the six calendar months before the date of the 
73.22 	application. If the reason reported for no longer working for any of those employers is 
73.23 	other than a layoff because of lack of work, that raises an issue of ineligibility that the 
73.24 	department must determine. An applicant must report any offers of employment refused 
73.25 	during the eight calendar weeks before the date of the application for unemployment 
73.26 	benefits and the name of the employer that made the offer. An applicant's failure to report 
73.27 	the name of an employer, or giving an incorrect reason for no longer working for an 
73.28 	employer, or failing to disclose an offer of employment that was refused, is a violation of 
73.29 	section 268.182, subdivision 2.
73.30 	In an application, the applicant must also provide all information necessary to 
73.31 	determine the applicant's eligibility for unemployment benefits under this chapter. If the 
73.32 	applicant fails or refuses to provide information necessary to determine the applicant's 
73.33 	eligibility for unemployment benefits, the applicant is ineligible for unemployment 
74.1 	benefits under section 268.085, subdivision 2, until the applicant provides this required 
74.2 	information.
74.3 	(b) Upon establishment of a benefit account under section 268.07, subdivision 2, 
74.4 	the commissioner shall notify, by mail or electronic transmission, all employers the 
74.5 	applicant was required to report on the application and all base period employers and 
74.6 	determined successors to those employers under section 268.051, subdivision 4, in order 
74.7 	to provide the employer an opportunity to raise, in a manner and format prescribed by the 
74.8 	commissioner, any issue of ineligibility. An employer must be informed of the effect that 
74.9 	failure to raise an issue of ineligibility as a result of a quit or discharge of the applicant, 
74.10 	within ten calendar days after sending of the notice, as provided for under subdivision 2, 
74.11 	paragraph (b), may have on the employer under section 268.047.
74.12 	(c) Each applicant must report any employment, and loss of employment, and offers 
74.13 	of employment refused, during those weeks the applicant filed continued  requests for 
74.14 	unemployment benefits under section 268.086 268.0865. Each applicant who stops filing 
74.15 	continued requests during the benefit year and later begins filing continued requests during 
74.16 	that same benefit year must report the name of any employer the applicant worked for 
74.17 	during the period between the filing of continued requests and the reason the applicant 
74.18 	stopped working for the employer. The applicant must report any offers of employment 
74.19 	refused during the period between the filing of continued requests for unemployment 
74.20 	benefits. Those employers from which the applicant has reported a loss of employment 
74.21 	under this paragraph must be notified by mail or electronic transmission and provided an 
74.22 	opportunity to raise, in a manner prescribed by the commissioner, any issue of ineligibility. 
74.23 	An employer must be informed of the effect that failure to raise an issue of ineligibility as 
74.24 	a result of a quit or a discharge of the applicant may have on the employer under section 
74.25 	268.047.
74.26 	(d) The purpose for requiring the applicant to report the name of employers and the 
74.27 	reason for no longer working for those employers, or offers of employment refused, under 
74.28 	paragraphs (a) and (c) is for the commissioner to obtain information from an applicant 
74.29 	raising all issues that may result in the applicant being ineligible for unemployment 
74.30 	benefits under section 268.095, because of a quit or discharge, or the applicant being 
74.31 	ineligible for unemployment benefits under section 268.085, subdivision 13c. If the 
74.32 	reason given by the applicant for no longer working for an employer is other than a layoff 
74.33 	because of lack of work, that raises an issue of ineligibility and the applicant is required, 
74.34 	as part of the determination process under subdivision 2, paragraph (a), to state all the 
74.35 	facts about the cause for no longer working for the employer, if known. If the applicant 
74.36 	fails or refuses to provide any required information, the applicant is ineligible for 
75.1 	unemployment benefits under section 268.085, subdivision 2, until the applicant provides 
75.2 	this required information.

75.3 	Sec. 34. Minnesota Statutes 2008, section 268.101, subdivision 2, is amended to read:
75.4 		Subd. 2. Determination. (a) The commissioner shallmust determine any issue 
75.5 	of ineligibility raised by information required from an applicant under subdivision 1, 
75.6 	paragraph (a) or (c), and send to the applicant and any involved employer, by mail or 
75.7 	electronic transmission, a document titled a determination of eligibility or a determination 
75.8 	of ineligibility, as is appropriate. The determination on an issue of ineligibility as a result 
75.9 	of a quit or a discharge of the applicant must state the effect on the employer under section 
75.10 	268.047. A determination must be made in accordance with this paragraph even if a 
75.11 	notified employer has not raised the issue of ineligibility. 
75.12 	(b) The commissioner shallmust determine any issue of ineligibility raised by an 
75.13 	employer and send to the applicant and that employer, by mail or electronic transmission, 
75.14 	a document titled a determination of eligibility or a determination of ineligibility as is 
75.15 	appropriate. The determination on an issue of ineligibility as a result of a quit or discharge 
75.16 	of the applicant must state the effect on the employer under section 268.047. 
75.17 	If a base period employer: 
75.18 	(1) was not the applicant's most recent employer before the application for 
75.19 	unemployment benefits; 
75.20 	(2) did not employ the applicant during the six calendar months before the 
75.21 	application for unemployment benefits; and 
75.22 	(3) did not raise an issue of ineligibility as a result of a quit or discharge of the 
75.23 	applicant within ten calendar days of notification under subdivision 1, paragraph (b); 
75.24 	then any exception under section 268.047, subdivisions 2 and 3, begins the Sunday two 
75.25 	weeks following the week that the issue of ineligibility as a result of a quit or discharge of 
75.26 	the applicant was raised by the employer. 
75.27 	A communication from an employer must specifically set out why the applicant 
75.28 	should be determined ineligible for unemployment benefits for that communication to be 
75.29 	considered to have raised an issue of ineligibility for purposes of this section. A statement 
75.30 	of "protest" or a similar term without more information does not constitute raising an issue 
75.31 	of ineligibility for purposes of this section. 
75.32 	(c) An issue of ineligibility is determined based upon that information required of 
75.33 	an applicant, any information that may be obtained from an applicant or employer, and 
75.34 	information from any other source, without regard to any burden of proof. 
76.1 	(d) Regardless of the requirements of this subdivision, the commissioner is not 
76.2 	required to send to an applicant a copy of the determination where the applicant has 
76.3 	satisfied a period of ineligibility because of a quit or a discharge under section 268.095, 
76.4 	subdivision 10. 
76.5 	(e) The commissioner may issue a determination on an issue of ineligibility at any 
76.6 	time within 24 months from the establishment of a benefit account based upon information 
76.7 	from any source, even if the issue of ineligibility was not raised by the applicant or an 
76.8 	employer. This paragraph does not prevent the imposition of a penalty on an applicant 
76.9 	under section 268.18, subdivision 2, or 268.182. 
76.10 	(f) A determination of eligibility or determination of ineligibility is final unless an 
76.11 	appeal is filed by the applicant or notified employer within 20 calendar days after sending. 
76.12 	The determination must contain a prominent statement indicating the consequences of not 
76.13 	appealing. Proceedings on the appeal are conducted in accordance with section 268.105. 
76.14 	(g) An issue of ineligibility required to be determined under this section includes 
76.15 	any question regarding the denial or allowing of unemployment benefits under this chapter 
76.16 	except for issues under section 268.07. An issue of ineligibility for purposes of this section 
76.17 	includes any question of effect on an employer under section 268.047. 
76.18 	(h) Except for issues of ineligibility as a result of a quit or discharge of the applicant, 
76.19 	the employer will be (1) sent a copy of the determination of eligibility or a determination 
76.20 	of ineligibility, or (2) considered an involved employer for purposes of an appeal under 
76.21 	section 268.105, only if the employer raised the issue of ineligibility. 

76.22 	Sec. 35. Minnesota Statutes 2008, section 268.103, subdivision 1, is amended to read:
76.23 		Subdivision 1.In commissioner's discretion. (a) The commissioner shall have 
76.24 	the discretion tomay allow an appeal to be filed by electronic transmission. If the 
76.25 	commissioner allows an appeal to be filed by electronic transmission, that must be clearly 
76.26 	set out on the determination or decision subject to appeal.
76.27 	(b) The commissioner may restrict the manner,and format, and conditions under 
76.28 	which an appeal by electronic transmission may be filed. Any Restrictions as to days, 
76.29 	hours, a specific telephone number, or electronic address, or other conditions, must be 
76.30 	clearly set out on the determination or decision subject to appeal.
76.31 	(c) All information requested by the commissioner when an appeal is filed by 
76.32 	electronic transmission must be supplied or the communication does not constitute an 
76.33 	appeal.
76.34 	(d) This section applies to requests for reconsideration under section 268.105, 
76.35 	subdivision 2.

77.1 	Sec. 36. Minnesota Statutes 2008, section 268.105, subdivision 1, is amended to read:
77.2 		Subdivision 1.Evidentiary hearing by unemployment law judge. (a) Upon 
77.3 	a timely appeal having been filed, the department must send, by mail or electronic 
77.4 	transmission, a notice of appeal to all involved parties that an appeal has been filed, and
77.5 	that a de novo due process evidentiary hearing will be scheduled, and that the parties 
77.6 	have certain. The notice must set out the parties'  rights and responsibilities regarding the 
77.7 	hearing. The notice must explain that the matter will be decided by the unemployment 
77.8 	law judge based upon a preponderance of the evidence. The notice must explain in clear 
77.9 	and simple language the meaning of the term "preponderance of the evidence." The 
77.10 	department must set a time and place for a de novo due process evidentiary hearing and 
77.11 	send notice to any involved applicant and any involved employer, by mail or electronic 
77.12 	transmission, not less than ten calendar days before the date of the hearing.
77.13 	(b) The evidentiary hearing is conducted by an unemployment law judge without
77.14 	regard to any burden of proof as an evidence gathering inquiry and not an adversarial
77.15 	proceeding. At the beginning of the hearing the unemployment law judge must fully 
77.16 	explain how the hearing will be conducted, that the matter will be decided upon a 
77.17 	preponderance of the evidence, and, in clear and simple language, the meaning of the 
77.18 	term "preponderance of the evidence." The unemployment law judge must ensure that 
77.19 	all relevant facts are clearly and fully developed. The department may adopt rules on 
77.20 	evidentiary hearings. The rules need not conform to common law or statutory rules of 
77.21 	evidence and other technical rules of procedure. The department has discretion regarding 
77.22 	the method by which the evidentiary hearing is conducted. A report of any employee of 
77.23 	the department, except a determination, made in the regular course of the employee's 
77.24 	duties, is competent evidence of the facts contained in it.
77.25 	(c) After the conclusion of the hearing, upon the evidence obtained, the 
77.26 	unemployment law judge must make findings of fact and decision and send those, by mail 
77.27 	or electronic transmission, to all involved parties. When the credibility of an involved 
77.28 	party or witness testifying in an evidentiary hearing has a significant effect on the outcome 
77.29 	of a decision, the unemployment law judge must set out the reason for crediting or 
77.30 	discrediting that testimony. The unemployment law judge's decision is final unless a 
77.31 	request for reconsideration is filed under subdivision 2.
77.32 	(d) Regardless of paragraph (c), if the appealing party fails to participate in the 
77.33 	evidentiary hearing, the unemployment law judge has the discretion to dismiss the appeal 
77.34 	by summary order. By failing to participate, the appealing party is considered to have 
77.35 	failed to exhaust available administrative remedies unless the appealing party files a 
77.36 	request for reconsideration under subdivision 2 and establishes good cause for failing to 
78.1 	participate in the evidentiary hearing under subdivision 2, paragraph (d). Submission 
78.2 	of a written statement does not constitute participation. The applicant must participate 
78.3 	personally and appearance solely by a representative does not constitute participation.
78.4 	(e) Only employees of the department who are attorneys licensed to practice law 
78.5 	in Minnesota may serve as the chief unemployment law judge, senior unemployment 
78.6 	law judges who are supervisors, or unemployment law judges. The commissioner 
78.7 	must designate a chief unemployment law judge. The chief unemployment law judge 
78.8 	may transfer to another unemployment law judge any proceedings pending before an 
78.9 	unemployment law judge.

78.10 	Sec. 37. Minnesota Statutes 2008, section 268.105, subdivision 2, is amended to read:
78.11 		Subd. 2.Request for reconsideration. (a) Any involved applicant, involved 
78.12 	employer, or the commissioner may, within 20 calendar days of the sending of the 
78.13 	unemployment law judge's decision under subdivision 1, file a request for reconsideration 
78.14 	asking the unemployment law judge to reconsider that decision. Section 268.103 applies 
78.15 	to a request for reconsideration. If a request for reconsideration is timely filed, the 
78.16 	unemployment law judge must issue an order:
78.17 	(1) modifying the findings of fact and decision issued under subdivision 1;
78.18 	(2) setting aside the findings of fact and decision issued under subdivision 1 and 
78.19 	directing that an additional evidentiary hearing be conducted under subdivision 1; or
78.20 	(3) affirming the findings of fact and decision issued under subdivision 1.
78.21 	(b) Upon a timely request for reconsideration having been filed, the department must 
78.22 	send a notice, by mail or electronic transmission, to all involved parties that a request for 
78.23 	reconsideration has been filed. The notice must inform the involved parties:
78.24 	(1) of the opportunity to provide comment on the request for reconsideration, and 
78.25 	the right under subdivision 5 to obtain a copy of any recorded testimony and exhibits 
78.26 	offered or received into evidence at the evidentiary hearing;
78.27 	(2) that providing specific comments as to a perceived factual or legal error in the 
78.28 	decision, or a perceived error in procedure during the evidentiary hearing, will assist the 
78.29 	unemployment law judge in deciding the request for reconsideration;
78.30 	(3) of the right to obtain any comments and submissions provided by the other 
78.31 	involved party regarding the request for reconsideration; and
78.32 	(4) of the provisions of paragraph (c) regarding additional evidence.
78.33 	This paragraph does not apply if paragraph (d) is applicable.
78.34 	(c) In deciding a request for reconsideration, the unemployment law judge must not, 
78.35 	except for purposes of determining whether to order an additional evidentiary hearing, 
79.1 	consider any evidence that was not submitted at the evidentiary hearing conducted under 
79.2 	subdivision 1.
79.3 	The unemployment law judge must order an additional evidentiary hearing if an 
79.4 	involved party shows that evidence which was not submitted at the evidentiary hearing: 
79.5 	(1) would likely change the outcome of the decision and there was good cause for not 
79.6 	having previously submitted that evidence; or (2) would show that the evidence that was 
79.7 	submitted at the evidentiary hearing was likely false and that the likely false evidence had 
79.8 	an effect on the outcome of the decision.
79.9 	(d) If the involved applicant or involved employer who filed the request for 
79.10 	reconsideration failed to participate in the evidentiary hearing conducted under subdivision 
79.11 	1, an order setting aside the findings of fact and decision and directing that an additional 
79.12 	evidentiary hearing be conducted must be issued if the party who failed to participate had 
79.13 	good cause for failing to do so. In the notice that a request for reconsideration has been 
79.14 	filed, the party who failed to participate must be informed of the requirement, and provided 
79.15 	the opportunity, to show good cause for failing to participate. If the unemployment 
79.16 	law judge determines that good cause for failure to participate has not been shown, the 
79.17 	unemployment law judge must state that in the order issued under paragraph (a).
79.18 	Submission of a written statement at the evidentiary hearing under subdivision 1 
79.19 	does not constitute participation for purposes of this paragraph.
79.20 	All involved parties must be informed of this paragraph with the notice of appeal 
79.21 	and notice of hearing provided for in subdivision 1.
79.22 	"Good cause" for purposes of this paragraph is a reason that would have prevented a 
79.23 	reasonable person acting with due diligence from participating at the evidentiary hearing.
79.24 	(e) A request for reconsideration must be decided by the unemployment law judge 
79.25 	who issued the findings of fact and decision under subdivision 1 unless that unemployment 
79.26 	law judge: (1) is no longer employed by the department; (2) is on an extended or indefinite 
79.27 	leave; (3) has been disqualified from the proceedings on the judge's own motion; or (4) 
79.28 	has been removed from the proceedings as provided for under subdivision 1 or applicable 
79.29 	rule by the chief unemployment law judge.
79.30 	(f) The unemployment law judge must send to any involved applicant or involved 
79.31 	employer, by mail or electronic transmission, the order issued under this subdivision. An 
79.32 	order modifying the previously issued findings of fact and decision or an order affirming 
79.33 	the previously issued findings of fact and decision is the final department decision on the 
79.34 	matter and is final and binding on the involved applicant and involved employer unless 
79.35 	judicial review is sought under subdivision 7.

80.1 	Sec. 38. Minnesota Statutes 2008, section 268.105, subdivision 3a, is amended to read:
80.2 		Subd. 3a.Decisions. (a) If an unemployment law judge's decision or order 
80.3 	allows unemployment benefits to an applicant, the unemployment benefits must be paid 
80.4 	regardless of any request for reconsideration or any appeal to the Minnesota Court of 
80.5 	Appeals having been filed.
80.6 	(b) If an unemployment law judge's decision or order modifies or reverses a 
80.7 	determination, or prior decision of the unemployment law judge, allowing unemployment 
80.8 	benefits to an applicant, any benefits paid in accordance with the determination, or 
80.9 	prior decision of the unemployment law judge, is considered an overpayment of those 
80.10 	unemployment benefits. A decision or order issued under this section that results in an 
80.11 	overpayment of unemployment benefits must set out the amount of the overpayment and 
80.12 	the requirement under section 268.18, subdivision 1, that the overpaid unemployment 
80.13 	benefits must be repaid.
80.14 	(c) If an unemployment law judge's order under subdivision 2 allows unemployment 
80.15 	benefits to an applicant under section 268.095 because of a quit or discharge and the 
80.16 	unemployment law judge's decision is reversed by the Minnesota Court of Appeals or 
80.17 	the Supreme Court of Minnesota, the applicant cannot be held ineligible for any of 
80.18 	the unemployment benefits paid the applicant and it is not considered an overpayment 
80.19 	of those unemployment benefits under section 268.18, subdivision 1. The effect of the 
80.20 	court's reversal is the application of section 268.047, subdivision 3, in computing the 
80.21 	future tax rate of the employer.
80.22 	(d) If an unemployment law judge, under subdivision 2, orders the taking of 
80.23 	additional evidence, the unemployment law judge's prior decision must continue to be 
80.24 	enforced until new findings of fact and decision are made by the unemployment law judge.

80.25 	Sec. 39. Minnesota Statutes 2008, section 268.105, subdivision 4, is amended to read:
80.26 		Subd. 4.Oaths; subpoenas. An unemployment law judge  has authority to 
80.27 	administer oaths and affirmations, take depositions, and issue subpoenas to compel the 
80.28 	attendance of witnesses and the production of documents and other personal property 
80.29 	considered necessary as evidence in connection with the subject matter of an evidentiary 
80.30 	hearing.
80.31 	The unemployment law judge must give full consideration to a request for a 
80.32 	subpoena and must not unreasonably deny a request for a subpoena. If a subpoena request 
80.33 	is initially denied, the unemployment law judge must, on the unemployment law judge's 
80.34 	own motion, reconsider that request during the evidentiary hearing and rule on whether 
80.35 	the request was properly denied. If the request was not properly denied, the evidentiary 
81.1 	hearing must be continued for issuance of the subpoena. The subpoenas are enforceable 
81.2 	through the district court in Ramsey County. Witnesses subpoenaed, other than an involved 
81.3 	applicant or involved employer or officers and employees of an involved employer, must 
81.4 	be paid by the department the same witness fees as in a civil action in district court.

81.5 	Sec. 40. Minnesota Statutes 2008, section 268.115, subdivision 5, is amended to read:
81.6 		Subd. 5.Maximum amount of extended unemployment benefits. The maximum 
81.7 	amount of extended unemployment benefits available to an applicant is 50 percent of the 
81.8 	maximum amount of regular unemployment benefits available in the benefit year, rounded 
81.9 	down to the next lower whole dollar. If the total rate of unemployment computed under 
81.10 	subdivision 1, clause (2)(ii), equaled or exceeded eight percent, the maximum amount 
81.11 	of extended unemployment benefits available is 80 percent of the maximum amount of 
81.12 	regular unemployment benefits available in the benefit year.

81.13 	Sec. 41. Minnesota Statutes 2008, section 268.125, subdivision 5, is amended to read:
81.14 		Subd. 5.Maximum amount of unemployment benefits. The maximum amount 
81.15 	of additional unemployment benefits available in the applicant's benefit year is one-half 
81.16 	of the applicant's maximum amount of regular unemployment benefits available under 
81.17 	section 268.07, subdivision 2, rounded down to the next lower whole dollar. Extended 
81.18 	unemployment benefits paid and unemployment benefits paid under any federal law other 
81.19 	than regular unemployment benefits must be deducted from the maximum amount of 
81.20 	additional unemployment benefits available. 

81.21 	Sec. 42. Minnesota Statutes 2008, section 268.135, subdivision 4, is amended to read:
81.22 		Subd. 4.Weekly benefit amount. (a) An applicant who is eligible for shared work 
81.23 	benefits  is paid an amount equal to the regular weekly unemployment benefit amount 
81.24 	multiplied by the nearest full percentage of reduction of the applicant's regular weekly 
81.25 	hours of work as set in the plan. The benefit payment, if not a whole dollar  must be 
81.26 	rounded down to the next lower whole dollar.
81.27 	(b) The deductible earnings provisions of section 268.085, subdivision 5,  must not 
81.28 	apply to earnings from the shared work employer of an applicant eligible for shared work 
81.29 	benefits unless the resulting amount would be less than the regular weekly unemployment 
81.30 	benefit amount the applicant would otherwise be eligible for without regard to shared 
81.31 	work benefits. 
82.1 	(c) An applicant  is not eligible for shared work benefits for any week that 
82.2 	employment is performed for the shared work employer in excess of the reduced hours 
82.3 	set forth in the plan.

82.4 	Sec. 43. Minnesota Statutes 2008, section 268.145, subdivision 1, is amended to read:
82.5 		Subdivision 1.Notification. (a) Upon filing an application for unemployment 
82.6 	benefits, the applicant  must be informed that:
82.7 	(1) unemployment benefits are subject to federal and state income tax;
82.8 	(2) there are requirements for filing estimated tax payments;
82.9 	(3) the applicant may elect to have federal income tax withheld from unemployment 
82.10 	benefits;
82.11 	(4) if the applicant elects to have federal income tax withheld, the applicant may, in 
82.12 	addition, elect to have Minnesota state income tax withheld; and
82.13 	(5) at any time during the benefit year the applicant may change a prior election.
82.14 	(b) If an applicant elects to have federal income tax withheld, the commissioner 
82.15 	shallmust deduct ten percent for federal income tax, rounded down to the next lower 
82.16 	whole dollar. If an applicant also elects to have Minnesota state income tax withheld, the 
82.17 	commissioner shallmust make an additional five percent deduction for state income 
82.18 	tax, rounded down to the next lower whole dollar. Any amounts deducted or offset  under 
82.19 	sections 268.155, 268.18, and 268.184 have priority over any amounts deducted under this 
82.20 	section. Federal income tax withholding has priority over state income tax withholding.
82.21 	(c) An election to have income tax withheld  may not be retroactive and  only  applies 
82.22 	to unemployment benefits paid after the election.

82.23 	Sec. 44. Minnesota Statutes 2008, section 268.18, subdivision 1, is amended to read:
82.24 		Subdivision 1.Nonfraud overpayment. (a) Any applicant who (1) because of a 
82.25 	determination or amended determination issued under section 268.07 or 268.101, or any 
82.26 	other section of this chapter, or (2) because of an appeal decision or order under section 
82.27 	268.105, has received any unemployment benefits that the applicant was held not entitled 
82.28 	to, must promptly repay the unemployment benefits to the trust fund. 
82.29 	(b) If the applicant fails to repay the unemployment benefits overpaid, the 
82.30 	commissioner may offset from any future unemployment benefits otherwise payable the 
82.31 	amount of the overpayment. Except when the overpayment resulted because the applicant 
82.32 	failed to report deductible earnings or deductible or benefit delaying payments, no single 
82.33 	offset may exceed 50 percent of the amount of the payment from which the offset is made. 
83.1 	The overpayment may also be collected by the same methods as delinquent payments
83.2 	allowed under state and federal lawfrom an employer. 
83.3 	(c) If an applicant has been overpaid unemployment benefits under the law of 
83.4 	another state, because of a reason other than fraud, and that state certifies that the applicant 
83.5 	is liable under its law to repay the unemployment benefits and requests the commissioner 
83.6 	to recover the overpayment, the commissioner may offset from future unemployment 
83.7 	benefits otherwise payable the amount of overpayment, except that no single offset may 
83.8 	exceed 50 percent of the amount of the payment from which the offset is made.
83.9 	(d) If under paragraph (b) or (c) the reduced unemployment benefits as a result of 
83.10 	a 50 percent offset is not a whole dollar amount, it is rounded down to the next lower 
83.11 	whole dollar.

83.12 	Sec. 45. Minnesota Statutes 2008, section 268.18, subdivision 2, is amended to read:
83.13 		Subd. 2.Overpayment because of fraud. (a) Any applicant who receives 
83.14 	unemployment benefits by knowingly misrepresenting, misstating, or failing to disclose 
83.15 	any material fact, or who makes a false statement or representation without a good faith 
83.16 	belief as to the correctness of the statement or representation, has committed fraud. After 
83.17 	the discovery of facts indicating fraud, the commissioner shallmust make a determination 
83.18 	that the applicant obtained unemployment benefits by fraud and that the applicant must 
83.19 	promptly repay the unemployment benefits to the trust fund. In addition, the commissioner 
83.20 	shallmust assess a penalty equal to 40 percent of the amount fraudulently obtained. This 
83.21 	penalty is in addition to penalties under section 268.182.
83.22 	(b) Unless the applicant files an appeal within 20 calendar days after the sending 
83.23 	of the determination of overpayment by fraud to the applicant by mail or electronic 
83.24 	transmission, the determination is final. Proceedings on the appeal are conducted in 
83.25 	accordance with section 268.105.
83.26 	(c) If the applicant fails to repay the unemployment benefits, penalty, and interest 
83.27 	assessed, the total due may be collected by the same methods as delinquent payments 
83.28 	from an employer allowed under state and federal law. A determination of overpayment 
83.29 	by fraud must state the methods of collection the commissioner may use to recover the 
83.30 	overpayment. Money received in repayment of fraudulently obtained unemployment 
83.31 	benefits, penalties, and interest is first applied to the unemployment benefits overpaid, then 
83.32 	to the penalty amount due, then to any interest due. 62.5 percent of the payments made 
83.33 	toward the penalty are credited to the contingent account and 37.5 percent credited to the 
83.34 	administration account for deterring, detecting, or collecting overpayments.
84.1 	(d) If an applicant has been overpaid unemployment benefits under the law of 
84.2 	another state because of fraud and that state certifies that the applicant is liable to repay 
84.3 	the unemployment benefits and requests the commissioner to recover the overpayment, 
84.4 	the commissioner may offset from future unemployment benefits otherwise payable the 
84.5 	amount of overpayment.
84.6 	(e) Unemployment benefits paid for weeks more than four years before the date of a 
84.7 	determination of overpayment by fraud issued under this subdivision are not considered 
84.8 	overpaid unemployment benefits.

84.9 	Sec. 46. Minnesota Statutes 2008, section 268.196, subdivision 1, is amended to read:
84.10 		Subdivision 1.Administration account. (a) There is created in the state treasury a 
84.11 	special account to be known as the administration account. All money that is deposited 
84.12 	or paid into this account is continuously available to the commissioner for expenditure to 
84.13 	administer the Minnesota unemployment insurance program, and does not lapse at any 
84.14 	time. The administration account consists of:
84.15 	(1) all money received from the federal government to administer the Minnesota 
84.16 	unemployment insurance program, any federal unemployment insurance program, or 
84.17 	assistance provided to any other state to administer that state's unemployment insurance 
84.18 	program;
84.19 	(2) five percent of any money recovered on overpaid unemployment benefits as 
84.20 	provided for in section 268.194, subdivision 1, clause (7), which must be used for 
84.21 	deterring, detecting, and collecting overpaid unemployment benefits;
84.22 	(3) any money received as compensation for services or facilities supplied to the 
84.23 	federal government or any other state;
84.24 	(4) any money credited to this account under this chapter;
84.25 	(5) any amounts received for losses sustained by this account or by reason of 
84.26 	damage to equipment or supplies; and
84.27 	(5)(6) any proceeds from the sale or disposition of any equipment or supplies that 
84.28 	may no longer be necessary for the proper administration of those sections.
84.29 	(b) All money in this account must be deposited, administered, and disbursed in the 
84.30 	same manner and under the same conditions and requirements as are provided by law for 
84.31 	the other special accounts in the state treasury. The commissioner of finance, as treasurer 
84.32 	and custodian of this account, is liable for the faithful performance of duties in connection 
84.33 	with this account.
85.1 	(c) All money in this account must be spent for the purposes and in the amounts 
85.2 	found necessary by the United States Secretary of Labor for the proper and efficient 
85.3 	administration of the Minnesota unemployment insurance program.

85.4 	Sec. 47. Minnesota Statutes 2008, section 268.196, subdivision 2, is amended to read:
85.5 		Subd. 2.State to replace money wrongfully used. If any money received under 
85.6 	United States Code, title 42, section 501 of the Social Security Act or the Wagner-Peyser 
85.7 	Act, is found by the United States Secretary of Labor to have been spent for purposes 
85.8 	other than, or in amounts in excess of, those necessary for the proper administration of the 
85.9 	Minnesota unemployment insurance program, the commissioner may replace the money 
85.10 	from the contingent account. If the money is not replaced from the contingent account, 
85.11 	it is the policy of this state that the money be replaced by money appropriated for that 
85.12 	purpose from the general funds of this state. If not replaced from the contingent account,
85.13 	the commissioner shall must, at the earliest opportunity, submit to the legislature a request 
85.14 	for the appropriation of that amount.

85.15 	Sec. 48. Minnesota Statutes 2008, section 268.199, is amended to read:
85.16 	268.199 CONTINGENT ACCOUNT.
85.17 	(a) There is created in the state treasury a special account, to be known as the 
85.18 	contingent account, that does not lapse nor revert to any other fund or account. This 
85.19 	account consists of all money appropriated by the legislature, all money collected under 
85.20 	this chapter that is required to be placed in this account, and any interest earned on the 
85.21 	account. All money in this account is supplemental to all federal money available to the 
85.22 	commissioner. Money in this account is appropriated to the commissioner and is available 
85.23 	to the commissioner for administration of the Minnesota unemployment insurance 
85.24 	program unless otherwise appropriated by session law.
85.25 	(b) All money in this account must be deposited, administered, and disbursed in the 
85.26 	same manner and under the same conditions and requirements as is provided by law for 
85.27 	the other special accounts in the state treasury. On June 30 of each year, all amounts in 
85.28 	excess of $300,000 in this account must be paid over to the  trust fund.

85.29 	Sec. 49. Minnesota Statutes 2008, section 268.211, is amended to read:
85.30 	268.211 UNEMPLOYMENT INSURANCE BENEFITS TELEPHONE 
85.31 	SYSTEM.
85.32 	The commissioner must ensure that theany automated telephone system used 
85.33 	for unemployment insurance benefits provides an option for any caller to speak to an 
86.1 	unemployment insurance specialist. An individual who calls any of the publicized 
86.2 	telephone numbers seeking information about applying for unemployment benefits or on 
86.3 	the status of a claimbenefit account must have the option to speak on the telephone to a 
86.4 	specialist who can provide direct assistance or can direct the caller to the personindividual 
86.5 	or office that is able to respond to the caller's needs.

86.6 	Sec. 50. REVISOR'S INSTRUCTION.
 86.7 	In Minnesota Statutes, chapter 268, the revisor shall change "shall" to "must," except 
86.8 	in Minnesota Statutes, sections 268.035 and 268.103.

86.9 	Sec. 51.  REPEALER.
 86.10 	 Minnesota Statutes 2008, sections 268.085, subdivision 14; and 268.086, are 
86.11 	repealed.

86.12 	Sec. 52. EFFECTIVE DATE.
 86.13 	Sections 1 to 50 are effective August 2, 2009, and apply to all department 
86.14 	determinations and unemployment law judge decisions issued on or after that date.

86.15 	ARTICLE 6
86.16 	IRON RANGE RESOURCES

86.17 	Section 1. Minnesota Statutes 2008, section 116J.424, is amended to read:
86.18 	116J.424 IRON RANGE RESOURCES AND REHABILITATION BOARD 
86.19 	CONTRIBUTION.
86.20 	The commissioner of the Iron Range Resources and Rehabilitation Board with 
86.21 	approval of the board by at least seven Iron Range Resources and Rehabilitation Board 
86.22 	members, shall provide an equal match for any loan or equity investment made for a 
86.23 	facility located in the tax relief area defined in section 273.134, paragraph (b), by the 
86.24 	Minnesota minerals 21st century fund created by section 116J.423. The match may be 
86.25 	in the form of a loan or equity investment, notwithstanding whether the fund makes a 
86.26 	loan or equity investment. The state shall not acquire an equity interest because of an 
86.27 	equity investment or loan by the board and the board at its sole discretion shall decide 
86.28 	what interest it acquires in a project. The commissioner of employment and economic 
86.29 	development may require a commitment from the board to make the match prior to 
86.30 	disbursing money from the fund. 

87.1 	Sec. 2. [298.217] IRON RANGE RESOURCES AND REHABILITATION; 
87.2 	EARLY SEPARATION INCENTIVE PROGRAM AUTHORIZATION.
87.3 	(a) Notwithstanding any law to the contrary, the commissioner of Iron Range 
87.4 	resources and rehabilitation, in consultation with the commissioner of employee 
87.5 	relations, may offer a targeted early separation incentive program for employees of the 
87.6 	commissioner who have attained the age of 60 years or who have received credit for at 
87.7 	least 30 years of allowable service under the provisions of chapter 352.
87.8 	(b) The early separation incentive program may include one or more of the following:
87.9 	(1) employer-paid postseparation health, medical, and dental insurance until age 
87.10 	65; and
87.11 	(2) cash incentives that may, but are not required to be, used to purchase additional 
87.12 	years of service credit through the Minnesota State Retirement System, to the extent that 
87.13 	the purchases are otherwise authorized by law.
87.14 	(c) The commissioner of iron range resources and rehabilitation shall establish 
87.15 	eligibility requirements for employees to receive an incentive.
87.16 	(d) The commissioner of iron range resources and rehabilitation, consistent with the 
87.17 	established program provisions under paragraph (b), and with the eligibility requirements 
87.18 	under paragraph (c), may designate specific programs or employees as eligible to be 
87.19 	offered the incentive program.
87.20 	(e) Acceptance of the offered incentive must be voluntary on the part of the 
87.21 	employee and must be in writing. The incentive may only be offered at the sole discretion 
87.22 	of the commissioner of iron range resources and rehabilitation.
87.23 	(f) The cost of the incentive is payable solely by funds made available to the 
87.24 	commissioner of iron range resources and rehabilitation by law, but only on prior approval 
87.25 	of the expenditures by a majority of the Iron Range Resources and Rehabilitation Board.
87.26 	(g) This section and section 298.218 are repealed June 30, 2011.

87.27 	Sec. 3. [298.218] APPLICATION OF OTHER LAWS.
87.28 	Unilateral implementation of section 298.217 by the commissioner of iron range 
87.29 	resources and rehabilitation is not an unfair labor practice under chapter 179A.

87.30 	Sec. 4. Minnesota Statutes 2008, section 298.22, subdivision 2, is amended to read:
87.31 		Subd. 2.Iron Range Resources and Rehabilitation Board. There is hereby 
87.32 	created the Iron Range Resources and Rehabilitation Board, consisting of 13 members, 
87.33 	five of whom are state senators appointed by the Subcommittee on Committees of the 
87.34 	Rules Committee of the senate, and five of whom are representatives, appointed by the 
88.1 	speaker of the house. The remaining members shall be appointed one each by the senate 
88.2 	majority leader, the speaker of the house, and the governor and must be nonlegislators 
88.3 	who reside in a taconite assistance area as defined in section 273.1341. The members shall 
88.4 	be appointed in January of every odd-numbered year, except that the initial nonlegislator 
88.5 	members shall be appointed by July 1, 1999, and shall serve until January of the next 
88.6 	odd-numbered year. Vacancies on the board shall be filled in the same manner as the 
88.7 	original members were chosen. At least a majority of the legislative members of the board 
88.8 	shall be elected from state senatorial or legislative districts in which over 50 percent 
88.9 	of the residents reside within a taconite assistance area as defined in section 273.1341. 
88.10 	All expenditures and projects made by the commissioner of Iron Range resources and 
88.11 	rehabilitation shall be consistent with the priorities established in subdivision 8 and shall 
88.12 	first be submitted to the Iron Range Resources and Rehabilitation Board for approval of 
88.13 	expenditures and projects for rehabilitation purposes as provided by this section, and 
88.14 	the method, manner, and time of payment of all funds proposed to be disbursed, by a 
88.15 	majority of the board of expenditures and projects for rehabilitation purposes as provided 
88.16 	by this section, and the method, manner, and time of payment of all funds proposed to be 
88.17 	disbursed shall be first approved or disapproved by the board at least seven Iron Range 
88.18 	Resources and Rehabilitation Board members. The board shall biennially make its report 
88.19 	to the governor and the legislature on or before November 15 of each even-numbered 
88.20 	year. The expenses of the board shall be paid by the state from the funds raised pursuant to 
88.21 	this section. Members of the board who are legislators may be reimbursed for expenses 
88.22 	in the manner provided in sections 3.099, subdivision 1, and 3.101, and may receive per 
88.23 	diem payments during the interims between legislative sessions in the manner provided 
88.24 	in section 3.099, subdivision 1. Members of the board who are not legislators may 
88.25 	receive per diem payments and be reimbursed for expenses at the lowest rate provided 
88.26 	for legislative members.

88.27 	EFFECTIVE DATE. This section is effective the day following final enactment.

88.28 	Sec. 5. Minnesota Statutes 2008, section 298.22, subdivision 5a, is amended to read:
88.29 		Subd. 5a. Forest trust. The commissioner, upon the affirmative vote of a majority 
88.30 	of the members of the board, of at least seven Iron Range Resources and Rehabilitation 
88.31 	Board members, may purchase forest lands in the taconite assistance area defined in under 
88.32 	section 273.1341 with funds specifically authorized for the purchase. The acquired forest 
88.33 	lands must be held in trust for the benefit of the citizens of the taconite assistance area 
88.34 	as the Iron Range Miners' Memorial Forest. The forest trust lands shall be managed and 
88.35 	developed for recreation and economic development purposes. The commissioner, upon 
89.1 	the affirmative vote of a majority of the members of the board, of at least seven Iron Range 
89.2 	Resources and Rehabilitation Board members, may sell forest lands purchased under this 
89.3 	subdivision if the board finds that the sale advances the purposes of the trust. Proceeds 
89.4 	derived from the management or sale of the lands and from the sale of timber or removal 
89.5 	of gravel or other minerals from these forest lands shall be deposited into an Iron Range 
89.6 	Miners' Memorial Forest account that is established within the state financial accounts. 
89.7 	Funds may be expended from the account upon approval of a majority of the members 
89.8 	of the board by at least seven Iron Range Resources and Rehabilitation Board members,
89.9 	to purchase, manage, administer, convey interests in, and improve the forest lands. By 
89.10 	majority an affirmative vote of the members of the board, of at least seven Iron Range 
89.11 	Resources and Rehabilitation Board members, money in the Iron Range Miners' Memorial 
89.12 	Forest account may be transferred into the corpus of the Douglas J. Johnson economic 
89.13 	protection trust fund established under sections 298.291 to 298.294. The property acquired 
89.14 	under the authority granted by this subdivision and income derived from the property or 
89.15 	the operation or management of the property are exempt from taxation by the state or its 
89.16 	political subdivisions while held by the forest trust. 

89.17 	Sec. 6. Minnesota Statutes 2008, section 298.22, subdivision 6, is amended to read:
89.18 		Subd. 6.Private entity participation. The board may acquire an equity interest in 
89.19 	any project for which it provides funding. The commissioner may establish, participate in 
89.20 	the management of, and dispose of the assets of charitable foundations, nonprofit limited 
89.21 	liability companies, and nonprofit corporations associated with any project for which it 
89.22 	provides funding, including specifically, but without limitation, a corporation within the 
89.23 	meaning of section 317A.011, subdivision 6. 

89.24 	Sec. 7. Minnesota Statutes 2008, section 298.22, subdivision 7, is amended to read:
89.25 		Subd. 7.Project area development authority. (a) In addition to the other powers 
89.26 	granted in this section and other law and notwithstanding any limitations contained in 
89.27 	subdivision 5, the commissioner, for purposes of fostering economic development and 
89.28 	tourism within the Giants Ridge Recreation Area or the Ironworld Discovery Center area, 
89.29 	may spend any money made available to the agency under section 298.28 to acquire real 
89.30 	or personal property or interests therein by gift, purchase, or lease and may convey by 
89.31 	lease, sale, or other means of conveyance or commitment any or all property interests 
89.32 	owned or administered by the commissioner within such areas. 
89.33 	(b) In furtherance of development of the Giants Ridge Recreation Area or the 
89.34 	Ironworld Discovery Center area, the commissioner may establish and participate in 
90.1 	charitable foundations, nonprofit limited liability companies, and nonprofit corporations, 
90.2 	including a corporation within the meaning of section 317A.011, subdivision 6. 
90.3 	(c) The term "Giants Ridge recreation area" refers to an economic development 
90.4 	project area established by the commissioner in furtherance of the powers delegated in this 
90.5 	section within St. Louis County in the western following portions of the town of White and 
90.6 	in the eastern portion of the westerly, adjacent, unorganized township. city of Biwabik:
90.7 	Township 59, North, Range 15 West, Sections 7,8, 17-20 and 29-32;
90.8 	Township 59 North, Range 16 West, Sections 12,13, 24, 25, and 36;
90.9 	Township 58 North, Range 16 West, Section 1; and
90.10 	Township 58 North, Range 15 West, Sections 5 and 6.
90.11 	(d) The term "Ironworld Discovery Center area" refers to an economic development 
90.12 	and tourism promotion project area established by the commissioner in furtherance 
90.13 	of the powers delegated in this section within St. Louis County in the south portion of 
90.14 	the town of Balkan.

90.15 	Sec. 8. Minnesota Statutes 2008, section 298.22, subdivision 8, is amended to read:
90.16 		Subd. 8.Spending priority. In making or approving any expenditures on programs 
90.17 	or projects, the commissioner and the board shall give the highest priority to programs 
90.18 	and projects that target relief to those areas of the taconite assistance area as defined in 
90.19 	section 273.1341, that have the largest percentages of job losses and population losses 
90.20 	directly attributable to the economic downturn in the taconite industry since the 1980s. 
90.21 	The commissioner and the board shall compare the 1980 population and employment 
90.22 	figures with the 2000 population and employment figures, and shall specifically consider 
90.23 	the job losses in 2000 and 2001 resulting from the closure of LTV Steel Mining Company, 
90.24 	in making or approving expenditures consistent with this subdivision, as well as the areas 
90.25 	of residence of persons who suffered job loss for which relief is to be targeted under this 
90.26 	subdivision. The commissioner may lease, for a term not exceeding 50 years and upon 
90.27 	the terms determined by the commissioner and approved by the board at least seven Iron 
90.28 	Range Resources and Rehabilitation Board members, surface and mineral interests owned 
90.29 	or acquired by the state of Minnesota acting by and through the office of the commissioner 
90.30 	of Iron Range resources and rehabilitation within those portions of the taconite assistance 
90.31 	area affected by the closure of the LTV Steel Mining Company facility near Hoyt Lakes. 
90.32 	The payments and royalties from these leases must be deposited into the fund established 
90.33 	in section 298.292. This subdivision supersedes any other conflicting provisions of law 
90.34 	and does not preclude the commissioner and the board from making expenditures for 
90.35 	programs and projects in other areas. 

91.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

91.2 	Sec. 9. Minnesota Statutes 2008, section 298.22, subdivision 10, is amended to read:
91.3 		Subd. 10.Sale or privatization of functions. The commissioner of Iron Range 
91.4 	resources and rehabilitation may not sell or privatize the Ironworld Discovery Center or 
91.5 	Giants Ridge Golf and Ski Resort without prior approval by a majority vote of the board at 
91.6 	least seven Iron Range Resources and Rehabilitation Board members.

91.7 	EFFECTIVE DATE. This section is effective the day following final enactment.

91.8 	Sec. 10. Minnesota Statutes 2008, section 298.22, subdivision 11, is amended to read:
91.9 		Subd. 11.Budgeting. The commissioner of Iron Range resources and rehabilitation 
91.10 	shall annually prepare a budget for operational expenditures, programs, and projects, and 
91.11 	submit it to the Iron Range Resources and Rehabilitation Board and the governor for 
91.12 	approval. After the budget is approved by the board at least seven Iron Range Resources 
91.13 	and Rehabilitation Board members and the governor, the commissioner may spend money 
91.14 	in accordance with the approved budget.

91.15 	EFFECTIVE DATE. This section is effective the day following final enactment.

91.16 	Sec. 11. Minnesota Statutes 2008, section 298.221, is amended to read:
91.17 	298.221 RECEIPTS FROM CONTRACTS; APPROPRIATION.
91.18 	(a) Except as provided in paragraph (c), all money paid to the state of Minnesota 
91.19 	pursuant to the terms of any contract entered into by the state under authority of section 
91.20 	298.22 and any fees which may, in the discretion of the commissioner of Iron Range 
91.21 	resources and rehabilitation, be charged in connection with any project pursuant to that 
91.22 	section as amended, shall be deposited in the state treasury to the credit of the Iron Range 
91.23 	Resources and Rehabilitation Board account in the special revenue fund and are hereby 
91.24 	appropriated for the purposes of section 298.22.  
91.25 	(b) Notwithstanding section 16A.013, merchandise may be accepted by the 
91.26 	commissioner of the Iron Range Resources and Rehabilitation Board for payment of 
91.27 	advertising contracts if the commissioner determines that the merchandise can be used 
91.28 	for special event prizes or mementos at facilities operated by the board. Nothing in this 
91.29 	paragraph authorizes the commissioner or a member of the board to receive merchandise 
91.30 	for personal use.  
91.31 	(c) All fees charged by the commissioner in connection with public use of the 
91.32 	state-owned ski and golf facilities at the Giants Ridge Recreation Area and all other 
92.1 	revenues derived by the commissioner from the operation or lease of those facilities 
92.2 	and from the lease, sale, or other disposition of undeveloped lands at the Giants Ridge 
92.3 	Recreation Area must be deposited into an Iron Range Resources and Rehabilitation 
92.4 	Board account that is created within the state enterprise fund. All funds deposited in the 
92.5 	enterprise fund account are appropriated to the commissioner to be expended, subject 
92.6 	to approval of a majority of the board, by at least seven Iron Range Resources and 
92.7 	Rehabilitation Board members, as follows:
92.8 	(1) to pay costs associated with the construction, equipping, operation, repair, or 
92.9 	improvement of the Giants Ridge Recreation Area facilities or lands;
92.10 	(2) to pay principal, interest and associated bond issuance, reserve, and servicing 
92.11 	costs associated with the financing of the facilities; and
92.12 	(3) to pay the costs of any other project authorized under section 298.22.  

92.13 	EFFECTIVE DATE. This section is effective the day following final enactment.

92.14 	Sec. 12. Minnesota Statutes 2008, section 298.2211, subdivision 3, is amended to read:
92.15 		Subd. 3.Project approval. All projects authorized by this section shall be 
92.16 	submitted by the commissioner to the Iron Range Resources and Rehabilitation Board, 
92.17 	which shall recommend approval or disapproval or modification of the projects for 
92.18 	approval by at least seven Iron Range Resources and Rehabilitation Board members. 
92.19 	Prior to the commencement of a project involving the exercise by the commissioner of 
92.20 	any authority of sections 469.174 to 469.179, the governing body of each municipality in 
92.21 	which any part of the project is located and the county board of any county containing 
92.22 	portions of the project not located in an incorporated area shall by majority vote approve 
92.23 	or disapprove the project. Any project, as so approved by the board at least seven Iron 
92.24 	Range Resources and Rehabilitation Board members and the applicable governing bodies, 
92.25 	if any, together with detailed information concerning the project, its costs, the sources of 
92.26 	its funding, and the amount of any bonded indebtedness to be incurred in connection 
92.27 	with the project, shall be transmitted to the governor, who shall approve, disapprove, or 
92.28 	return the proposal for additional consideration within 30 days of receipt. No project 
92.29 	authorized under this section shall be undertaken, and no obligations shall be issued and 
92.30 	no tax increments shall be expended for a project authorized under this section until the 
92.31 	project has been approved by the governor.  

92.32 	EFFECTIVE DATE. This section is effective the day following final enactment.

92.33 	Sec. 13. Minnesota Statutes 2008, section 298.2213, subdivision 4, is amended to read:
93.1 		Subd. 4.Project approval. The board and commissioner shall by August 1 each 
93.2 	year prepare a list of projects to be funded from the money appropriated in this section 
93.3 	with necessary supporting information including descriptions of the projects, plans, and 
93.4 	cost estimates. A project must not be approved by the board unless it finds that:
93.5 	(1) the project will materially assist, directly or indirectly, the creation of additional 
93.6 	long-term employment opportunities;
93.7 	(2) the prospective benefits of the expenditure exceed the anticipated costs; and
93.8 	(3) in the case of assistance to private enterprise, the project will serve a sound 
93.9 	business purpose.
93.10 	 Each project must be approved by a majority of the at least seven Iron Range 
93.11 	Resources and Rehabilitation Board members and the commissioner of Iron Range 
93.12 	resources and rehabilitation. The list of projects must be submitted to the governor, 
93.13 	who shall, by November 15 of each year, approve, disapprove, or return for further 
93.14 	consideration, each project. The money for a project may be spent only upon approval of 
93.15 	the project by the governor. The board may submit supplemental projects for approval at 
93.16 	any time.

93.17 	EFFECTIVE DATE. This section is effective the day following final enactment.

93.18 	Sec. 14. Minnesota Statutes 2008, section 298.2214, is amended by adding a 
93.19 	subdivision to read:
93.20 		Subd. 6.Per diem. Members of the committee may be reimbursed for expenses 
93.21 	in the manner provided in section 298.22, subdivision 2.

93.22 	EFFECTIVE DATE. This section is effective the day following final enactment.

93.23 	Sec. 15. Minnesota Statutes 2008, section 298.223, is amended to read:
93.24 	298.223 TACONITE AREA ENVIRONMENTAL PROTECTION FUND.
93.25 		Subdivision 1.Creation; purposes. A fund called the taconite environmental 
93.26 	protection fund is created for the purpose of reclaiming, restoring and enhancing those 
93.27 	areas of northeast Minnesota located within the taconite assistance area defined in section 
93.28 	273.1341, that are adversely affected by the environmentally damaging operations 
93.29 	involved in mining taconite and iron ore and producing iron ore concentrate and for the 
93.30 	purpose of promoting the economic development of northeast Minnesota. The taconite 
93.31 	environmental protection fund shall be used for the following purposes:
94.1 	(a) to initiate investigations into matters the Iron Range Resources and Rehabilitation 
94.2 	Board determines are in need of study and which will determine the environmental 
94.3 	problems requiring remedial action;
94.4 	(b) reclamation, restoration, or reforestation of mine lands not otherwise provided 
94.5 	for by state law;
94.6 	(c) local economic development projects but only if those projects are approved 
94.7 	by the board, at least seven Iron Range Resources and Rehabilitation Board members,
94.8 	and public works, including construction of sewer and water systems located within the 
94.9 	taconite assistance area defined in section 273.1341;
94.10 	(d) monitoring of mineral industry related health problems among mining 
94.11 	employees.;
94.12 	(e) local public works projects under section 298.227, paragraph (c); and
94.13 	(f) local public works projects as provided under this paragraph. The following 
94.14 	amounts shall be distributed in 2009:
94.15 	(1) .4651 cent per ton to the city of Aurora for street repair and renovation;
94.16 	(2) .4264 cent per ton to the city of Biwabik for street and utility infrastructure 
94.17 	improvements to the south side industrial site;
94.18 	(3) .6460 cent per ton to the city of Buhl for street repair;
94.19 	(4) 1.0336 cents per ton to the city of Hoyt Lakes for public utility improvements;
94.20 	(5) 1.1628 cents per ton to the city of Eveleth for water and sewer infrastructure 
94.21 	upgrades;
94.22 	(6)1.0336 cents per ton to the city of Gilbert for water and sewer infrastructure 
94.23 	upgrades;
94.24 	(7) .7752 cent per ton to the city of Mountain Iron for water and sewer infrastructure;
94.25 	(8) 1.2920 cents per ton to the city of Virginia for utility upgrades and accessibility 
94.26 	modifications for the miners' memorial;
94.27 	(9) .6460 cent per ton to the town of White for Highway 135 road upgrades;
94.28 	(10) 1.9380 cents per ton to the city of Hibbing for public infrastructure projects;
94.29 	(11) 1.1628 cents per ton to the city of Chisholm for water and sewer repair;
94.30 	(12) .6460 cent per ton to the town of Balkan for community center repairs;
94.31 	(13) .9044 cent per ton to the city of Babbitt for city garage construction;
94.32 	(14) .5168 cent per ton to the city of Cook for replacement of a water tower;
94.33 	(15) .5168 cent per ton to the city of Ely for reconstruction of 2nd Avenue West;
94.34 	(16) .6460 cent per ton to the city of Tower for water infrastructure upgrades;
94.35 	(17) .1292 cent per ton to the city of Orr for water infrastructure upgrades;
94.36 	(18) .1292 cent per ton to the city of Silver Bay for emergency cleanup;
95.1 	(19) .3230 cent per ton to Lake County for trail construction;
95.2 	(20) .1292 cent per ton to Cook County for construction of tennis courts in Grand 
95.3 	Marais;
95.4 	(21) .3101 cent per ton to the city of Two Harbors for water infrastructure 
95.5 	improvements;
95.6 	(22) .1938 cent per ton for land acquisition for phase one of Cook Airport project;
95.7 	(23) 1.0336 cents per ton to the city of Coleraine for water and sewer improvements 
95.8 	along Gayley Avenue;
95.9 	(24) .3876 cent per ton to the city of Marble for construction of a city administration 
95.10 	facility;
95.11 	(25) .1292 cent per ton to the city of Calumet for repairs at city hall and the 
95.12 	community center;
95.13 	(26) .6460 cent per ton to the city of Nashwauk for electrical infrastructure upgrades;
95.14 	(27) 1.0336 cents per ton to the city of Keewatin for water and sewer upgrades 
95.15 	along Depot Street;
95.16 	(28) .2584 cent per ton to the city of Aitkin for water, sewer, street, and gutter 
95.17 	improvements;
95.18 	(29) 1.1628 cents per ton to the city of Grand Rapids for water and sewer 
95.19 	infrastructure upgrades at Pokegema Golf Course and Park Place;
95.20 	(30) .1809 cent per ton to the city of Grand Rapids for water and sewer upgrades for 
95.21 	1st Avenue from River Road to 3rd Street SE; and
95.22 	(31) .9044 cent per ton to the city of Cohasset for upgrades to the railroad crossing at 
95.23 	Highway 2 and County Road 62.
95.24 		Subd. 2.Administration. (a) The taconite area environmental protection fund shall 
95.25 	be administered by the commissioner of the Iron Range Resources and Rehabilitation 
95.26 	Board. The commissioner shall by September 1 of each year submit to the board a list 
95.27 	of projects to be funded from the taconite area environmental protection fund, with such 
95.28 	supporting information including description of the projects, plans, and cost estimates as 
95.29 	may be necessary. 
95.30 	(b) Each year no less than one-half of the amounts deposited into the taconite 
95.31 	environmental protection fund must be used for public works projects, including 
95.32 	construction of sewer and water systems, as specified under subdivision 1, paragraph (c). 
95.33 	The Iron Range Resources and Rehabilitation Board with a majority vote of the members,
95.34 	approval by at least seven Iron Range Resources and Rehabilitation Board members, may 
95.35 	waive the requirements of this paragraph. 
96.1 	(c) Upon approval by a majority of the members of the Iron Range Resources and 
96.2 	Rehabilitation Board, at least seven Iron Range Resources and Rehabilitation Board 
96.3 	members, the list of projects approved under this subdivision shall be submitted to the 
96.4 	governor by November 1 of each year. By December 1 of each year, the governor shall 
96.5 	approve or disapprove, or return for further consideration, each project. Funds for a 
96.6 	project may be expended only upon approval of the project by the board at least seven Iron 
96.7 	Range Resources and Rehabilitation Board members, and governor. The commissioner 
96.8 	may submit supplemental projects to the board and governor for approval at any time.
96.9 		Subd. 3.Appropriation. There is annually appropriated to the commissioner of Iron 
96.10 	Range resources and rehabilitation taconite area environmental protection funds necessary 
96.11 	to carry out approved projects and programs and the funds necessary for administration of 
96.12 	this section. Annual administrative costs, not including detailed engineering expenses for 
96.13 	the projects, shall not exceed five percent of the amount annually expended from the fund.
96.14 	Funds for the purposes of this section are provided by section 298.28, subdivision 
96.15 	11, relating to the taconite area environmental protection fund. 

96.16 	EFFECTIVE DATE. This section is effective the day following final enactment.

96.17 	Sec. 16. Minnesota Statutes 2008, section 298.227, is amended to read:
96.18 	298.227 TACONITE ECONOMIC DEVELOPMENT FUND.
96.19 	(a) An amount equal to that distributed pursuant to each taconite producer's taxable 
96.20 	production and qualifying sales under section 298.28, subdivision 9a, shall be held by 
96.21 	the Iron Range Resources and Rehabilitation Board in a separate taconite economic 
96.22 	development fund for each taconite and direct reduced ore producer. Money from the 
96.23 	fund for each producer shall be released by the commissioner after review by a joint 
96.24 	committee consisting of an equal number of representatives of the salaried employees and 
96.25 	the nonsalaried production and maintenance employees of that producer. The District 11 
96.26 	director of the United States Steelworkers of America, on advice of each local employee 
96.27 	president, shall select the employee members. In nonorganized operations, the employee 
96.28 	committee shall be elected by the nonsalaried production and maintenance employees. 
96.29 	The review must be completed no later than six months after the producer presents a 
96.30 	proposal for expenditure of the funds to the committee. The funds held pursuant to this 
96.31 	section may be released only for workforce development and associated public facility 
96.32 	improvement, or for acquisition of plant and stationary mining equipment and facilities 
96.33 	for the producer or for research and development in Minnesota on new mining, or 
96.34 	taconite, iron, or steel production technology, but only if the producer provides a matching 
97.1 	expenditure to be used for the same purpose of at least 50 percent of the distribution based 
97.2 	on 14.7 cents per ton beginning with distributions in 2002. Effective for proposals for 
97.3 	expenditures of money from the fund beginning May 26, 2007, the commissioner may 
97.4 	not release the funds before the next scheduled meeting of the board. If the board rejects
97.5 	a proposed expenditure is not approved by at least seven Iron Range Resources and 
97.6 	Rehabilitation Board members, the funds must be deposited in the Taconite Environmental 
97.7 	Protection Fund under sections 298.222 to 298.225. If a producer uses money which has 
97.8 	been released from the fund prior to May 26, 2007 to procure haulage trucks, mobile 
97.9 	equipment, or mining shovels, and the producer removes the piece of equipment from the 
97.10 	taconite tax relief area defined in section 273.134 within ten years from the date of receipt 
97.11 	of the money from the fund, a portion of the money granted from the fund must be repaid 
97.12 	to the taconite economic development fund. The portion of the money to be repaid is 100 
97.13 	percent of the grant if the equipment is removed from the taconite tax relief area within 12 
97.14 	months after receipt of the money from the fund, declining by ten percent for each of the 
97.15 	subsequent nine years during which the equipment remains within the taconite tax relief 
97.16 	area. If a taconite production facility is sold after operations at the facility had ceased, any 
97.17 	money remaining in the fund for the former producer may be released to the purchaser of 
97.18 	the facility on the terms otherwise applicable to the former producer under this section. If 
97.19 	a producer fails to provide matching funds for a proposed expenditure within six months 
97.20 	after the commissioner approves release of the funds, the funds are available for release to 
97.21 	another producer in proportion to the distribution provided and under the conditions of 
97.22 	this section. Any portion of the fund which is not released by the commissioner within 
97.23 	one year of its deposit in the fund shall be divided between the taconite environmental 
97.24 	protection fund created in section 298.223 and the Douglas J. Johnson economic protection 
97.25 	trust fund created in section 298.292 for placement in their respective special accounts. 
97.26 	Two-thirds of the unreleased funds shall be distributed to the taconite environmental 
97.27 	protection fund and one-third to the Douglas J. Johnson economic protection trust fund. 
97.28 	(b) (1) Notwithstanding the requirements of paragraph (a), setting the amount of 
97.29 	distributions and the review process, an amount equal to ten cents per taxable ton of 
97.30 	production in 2007, for distribution in 2008 only, that would otherwise be distributed 
97.31 	under paragraph (a), may be used for a loan for the cost of construction of a biomass 
97.32 	energy facility. This amount must be deducted from the distribution under paragraph (a) 
97.33 	for which a matching expenditure by the producer is not required. The granting of the loan 
97.34 	is subject to approval by the Iron Range Resources and Rehabilitation Board at least seven 
97.35 	Iron Range Resources and Rehabilitation Board members; interest must be payable on the 
97.36 	loan at the rate prescribed in section 298.2213, subdivision 3. 
98.1 	(2) Repayments of the loan and interest must be deposited in the northeast Minnesota 
98.2 	economic development taconite environment protection fund established in section 
98.3 	298.2213 under sections 298.222 through 298.225. If a loan is not made under this 
98.4 	paragraph by July 1, 2009, the amount that had been made available for the loan under this 
98.5 	paragraph must be transferred to the northeast Minnesota economic developmenttaconite 
98.6 	environment protection fund  under sections 298.222 through 298.225. 
98.7 	(3) Money distributed in 2008 to the fund established under this section that exceeds 
98.8 	ten cents per ton is available to qualifying producers under paragraph (a) on a pro rata 
98.9 	basis.
98.10 	If 2008 H.F. No. 1812 is enacted and includes a provision that amends this section 
98.11 	in a manner that is different from the amendment in this section, the amendment in this 
98.12 	section supersedes the amendment in 2008 H.F. No. 1812, notwithstanding section 645.26.
98.13 	(c) Repayment or transfer of money to the taconite environmental protection fund 
98.14 	under paragraph (b), clause (2) must be allocated by the Iron Range Resources and 
98.15 	Rehabilitation Board for public works projects in house legislative districts in the same 
98.16 	proportion as taxable tonnage of production in 2007 in each house legislative district, for 
98.17 	distribution in 2008, bears to total taxable tonnage of production in 2007, for distribution 
98.18 	in 2008. Not withstanding any other law to the contrary, expenditures under this paragraph 
98.19 	do not require approval by the governor. For purposes of this paragraph, house legislative 
98.20 	districts mean the legislative districts in existence on the effective date of this section.

98.21 	EFFECTIVE DATE. This section is effective the day following final enactment.

98.22 	Sec. 17. Minnesota Statutes 2008, section 298.28, subdivision 9d, is amended to read:
98.23 		Subd. 9d. Iron Range higher education account. Five cents per taxable ton must 
98.24 	be allocated to the Iron Range Resources and Rehabilitation Board to be deposited in 
98.25 	an Iron Range higher education account that is hereby created, to be used for higher 
98.26 	education programs conducted at educational institutions in the taconite assistance area 
98.27 	defined in section 273.1341. The Iron Range Higher Education committee under section 
98.28 	298.2214, and the Iron Range Resources and Rehabilitation Board by an affirmative vote 
98.29 	of at least seven Iron Range Resources and Rehabilitation Board members, must approve 
98.30 	all expenditures from the account. 

98.31 	EFFECTIVE DATE. This section is effective the day following final enactment.

98.32 	Sec. 18. Minnesota Statutes 2008, section 298.292, subdivision 2, is amended to read:
99.1 		Subd. 2. Use of money. Money in the Douglas J. Johnson economic protection trust 
99.2 	fund may be used for the following purposes: 
99.3 	(1) to provide loans, loan guarantees, interest buy-downs and other forms of 
99.4 	participation with private sources of financing, but a loan to a private enterprise shall be 
99.5 	for a principal amount not to exceed one-half of the cost of the project for which financing 
99.6 	is sought, and the rate of interest on a loan to a private enterprise shall be no less than the 
99.7 	lesser of eight percent or an interest rate three percentage points less than a full faith 
99.8 	and credit obligation of the United States government of comparable maturity, at the 
99.9 	time that the loan is approved; 
99.10 	(2) to fund reserve accounts established to secure the payment when due of the 
99.11 	principal of and interest on bonds issued pursuant to section 298.2211; 
99.12 	(3) to pay in periodic payments or in a lump-sum payment any or all of the interest 
99.13 	on bonds issued pursuant to chapter 474 for the purpose of constructing, converting, 
99.14 	or retrofitting heating facilities in connection with district heating systems or systems 
99.15 	utilizing alternative energy sources; 
99.16 	(4) to invest in a venture capital fund or enterprise that will provide capital to other 
99.17 	entities that are engaging in, or that will engage in, projects or programs that have the 
99.18 	purposes set forth in subdivision 1. No investments may be made in a venture capital fund 
99.19 	or enterprise unless at least two other unrelated investors make investments of at least 
99.20 	$500,000 in the venture capital fund or enterprise, and the investment by the Douglas 
99.21 	J. Johnson economic protection trust fund may not exceed the amount of the largest 
99.22 	investment by an unrelated investor in the venture capital fund or enterprise. For purposes 
99.23 	of this subdivision, an "unrelated investor" is a person or entity that is not related to 
99.24 	the entity in which the investment is made or to any individual who owns more than 40 
99.25 	percent of the value of the entity, in any of the following relationships: spouse, parent, 
99.26 	child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of 
99.27 	the value of all interests in it. For purposes of determining the limitations under this 
99.28 	clause, the amount of investments made by an investor other than the Douglas J. Johnson 
99.29 	economic protection trust fund is the sum of all investments made in the venture capital 
99.30 	fund or enterprise during the period beginning one year before the date of the investment 
99.31 	by the Douglas J. Johnson economic protection trust fund; and 
99.32 	(5) to purchase forest land in the taconite assistance area defined in section 273.1341 
99.33 	to be held and managed as a public trust for the benefit of the area for the purposes 
99.34 	authorized in section 298.22, subdivision 5a. Property purchased under this section may 
99.35 	be sold by the commissioner upon approval by a majority vote of the board by at least 
100.1 	seven Iron Range Resources and Rehabilitation Board members. The net proceeds must 
100.2 	be deposited in the trust fund for the purposes and uses of this section.
100.3 	Money from the trust fund shall be expended only in or for the benefit of the taconite 
100.4 	assistance area defined in section 273.1341. 

100.5 	EFFECTIVE DATE. This section is effective the day following final enactment.

100.6 	Sec. 19. [298.2931] TRANSFER OF FUNDS.
100.7 	The amount deposited in the fund in 2009 in repayment of a loan for the Mesaba 
100.8 	Nugget project at the Erie Mining site in Hoyt Lakes shall be transferred to the taconite 
100.9 	environmental protection fund and deposited in a special account to be used as provided 
100.10 	under section 298.223, subdivision 1, paragraph (f).

100.11 	EFFECTIVE DATE. This section is effective the day following final enactment.

100.12 	Sec. 20. Minnesota Statutes 2008, section 298.294, is amended to read:
100.13 	298.294 INVESTMENT OF FUND.
100.14 	(a) The trust fund established by section 298.292 shall be invested pursuant to law 
100.15 	by the State Board of Investment and the net interest, dividends, and other earnings arising 
100.16 	from the investments shall be transferred, except as provided in paragraph (b), on the first 
100.17 	day of each month to the trust and shall be included and become part of the trust fund. 
100.18 	The amounts transferred, including the interest, dividends, and other earnings earned 
100.19 	prior to July 13, 1982, together with the additional amount of $10,000,000 for fiscal year 
100.20 	1983, which is appropriated April 21, 1983, are appropriated from the trust fund to the 
100.21 	commissioner of Iron Range resources and rehabilitation for deposit in a separate account 
100.22 	for expenditure for the purposes set forth in section 298.292. Amounts appropriated 
100.23 	pursuant to this section shall not cancel but shall remain available unless expended.  
100.24 	(b) For fiscal years 2010 and 2011 only, $1,000,000 of the net interest, dividends 
100.25 	and other earnings under paragraph (a) shall be transferred to a special account. Funds in 
100.26 	the special account are available for loans or grants to businesses with priority given to 
100.27 	businesses with 25 or fewer employees. Funds may be used for wage subsidies of up to 
100.28 	$5 per hour or other activities that will create additional jobs in the taconite assistance 
100.29 	area under section 273.1341. To qualify for a grant or loan, a business must be currently 
100.30 	operating, have been operating for one year immediately prior to its application for a loan 
100.31 	or grant, and its corporate headquarters must be located in the taconite assistance area. 
100.32 	Expenditures from the special account must be approved by at least seven Iron Range 
100.33 	Resources and Rehabilitation Board members.

101.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

101.2 	Sec. 21. Minnesota Statutes 2008, section 298.296, subdivision 2, is amended to read:
101.3 		Subd. 2. Expenditure of funds. (a) Before January 1, 2028, funds may be expended 
101.4 	on projects and for administration of the trust fund only from the net interest, earnings, 
101.5 	and dividends arising from the investment of the trust at any time, including net interest, 
101.6 	earnings, and dividends that have arisen prior to July 13, 1982, plus $10,000,000 made 
101.7 	available for use in fiscal year 1983, except that any amount required to be paid out of the 
101.8 	trust fund to provide the property tax relief specified in Laws 1977, chapter 423, article 
101.9 	X, section 4, and to make school bond payments and payments to recipients of taconite 
101.10 	production tax proceeds pursuant to section 298.225, may be taken from the corpus of 
101.11 	the trust. 
101.12 	(b) Additionally, upon recommendation by the board, up to $13,000,000 from the 
101.13 	corpus of the trust may be made available for use as provided in subdivision 4, and up to 
101.14 	$10,000,000 from the corpus of the trust may be made available for use as provided in 
101.15 	section 298.2961. 
101.16 	(c) Additionally, an amount equal to 20 percent of the value of the corpus of the trust 
101.17 	on May 18, 2002, not including the funds authorized in paragraph (b), plus the amounts 
101.18 	made available under section 298.28, subdivision 4, and Laws 2002, chapter 377, article 
101.19 	8, section 17, may be expended on projects. Funds may be expended for projects under 
101.20 	this paragraph only if the project: 
101.21 	(1) is for the purposes established under section 298.292, subdivision 1, clause 
101.22 	(1) or (2); and 
101.23 	(2) is approved by the board upon an affirmative vote of at least ten of its members. 
101.24 	No money made available under this paragraph or paragraph (d) can be used for 
101.25 	administrative or operating expenses of the Iron Range Resources and Rehabilitation 
101.26 	Board or expenses relating to any facilities owned or operated by the board on May 18, 
101.27 	2002. 
101.28 	(d) Upon recommendation by a unanimous vote of all members of the board, 
101.29 	amounts in addition to those authorized under paragraphs (a), (b), and (c) may be 
101.30 	expended on projects described in section 298.292, subdivision 1. 
101.31 	(e) Annual administrative costs, not including detailed engineering expenses for the 
101.32 	projects, shall not exceed five percent of the net interest, dividends, and earnings arising 
101.33 	from the trust in the preceding fiscal year. 
101.34 	(f) Principal and interest received in repayment of loans made pursuant to this 
101.35 	section, and earnings on other investments made under section 298.292, subdivision 2, 
102.1 	clause (4), shall be deposited in the state treasury and credited to the trust. These receipts 
102.2 	are appropriated to the board for the purposes of sections 298.291 to 298.298. 
102.3 	(g) Additionally, notwithstanding section 298.293, upon the affirmative vote 
102.4 	of a majority of the members of the board, of at least seven Iron Range Resources and 
102.5 	Rehabilitation Board members, money from the corpus of the trust may be expanded to 
102.6 	purchase forest lands within the taconite assistance area as provided in sections 298.22, 
102.7 	subdivision 5a, and 298.292, subdivision 2, clause (5). 

102.8 	EFFECTIVE DATE. This section is effective the day following final enactment.

102.9 	Sec. 22. Minnesota Statutes 2008, section 298.2961, is amended to read:
102.10 	298.2961 PRODUCER GRANTS.
102.11 		Subdivision 1.Appropriation. (a) $10,000,000 is appropriated from the Douglas 
102.12 	J. Johnson economic protection trust fund to a special account in the taconite area 
102.13 	environmental protection fund for grants to producers on a project-by-project basis as 
102.14 	provided in this section.
102.15 	(b) The proceeds of the tax designated under section 298.28, subdivision 9b, are 
102.16 	appropriated for grants to producers on a project-by-project basis as provided in this 
102.17 	section.  
102.18 		Subd. 2.Projects; approval. (a) Projects funded must be for:
102.19 	(1) environmentally unique reclamation projects; or
102.20 	(2) pit or plant repairs, expansions, or modernizations other than for a value added 
102.21 	iron products plant.
102.22 	(b) To be proposed by the board, a project must be approved by at least eight Iron 
102.23 	Range Resources and Rehabilitation Board members. The money for a project may 
102.24 	be spent only upon approval of the project by the governor. The board may submit 
102.25 	supplemental projects for approval at any time.
102.26 	(c) The board may require that it receive an equity percentage in any project to 
102.27 	which it contributes under this section.
102.28 		Subd. 3.Redistribution. (a) If a taconite production facility is sold after operations 
102.29 	at the facility had ceased, any money remaining in the taconite environmental fund for the 
102.30 	former producer may be released to the purchaser of the facility on the terms otherwise 
102.31 	applicable to the former producer under this section.
102.32 	(b) Any portion of the taconite environmental fund that is not released by the 
102.33 	commissioner within three years of its deposit in the taconite environmental fund shall be 
102.34 	divided between the taconite environmental protection fund created in section 298.223
103.1 	and the Douglas J. Johnson economic protection trust fund created in section 298.292 for 
103.2 	placement in their respective special accounts. Two-thirds of the unreleased funds must be 
103.3 	distributed to the taconite environmental protection fund and one-third to the Douglas J. 
103.4 	Johnson economic protection trust fund.  
103.5 		Subd. 4. Grant and loan fund. (a) A fund is established to receive distributions 
103.6 	under section 298.28, subdivision 9b, and to make grants or loans as provided in this 
103.7 	subdivision. Any grant or loan made under this subdivision must be approved by a majority 
103.8 	of the members of the Iron Range Resources and Rehabilitation Board, at least seven Iron 
103.9 	Range Resources and Rehabilitation Board members, established under section 298.22. 
103.10 	(b) Distributions received in calendar year 2005 are allocated to the city of Virginia 
103.11 	for improvements and repairs to the city's steam heating system. 
103.12 	(c) Distributions received in calendar year 2006 are allocated to a project of the 
103.13 	public utilities commissions of the cities of Hibbing and Virginia to convert their electrical 
103.14 	generating plants to the use of biomass products, such as wood. 
103.15 	(d) Distributions received in calendar year 2007 must be paid to the city of Tower to 
103.16 	be used for the East Two Rivers project in or near the city of Tower. 
103.17 	(e) For distributions received in 2008, the first $2,000,000 of the 2008 distribution 
103.18 	must be paid to St. Louis County for deposit in its county road and bridge fund to be 
103.19 	used for relocation of St. Louis County Road 715, commonly referred to as Pike River 
103.20 	Road. The remainder of the 2008 distribution must be paid to St. Louis County for a 
103.21 	grant to the city of Virginia for connecting sewer and water lines to the St. Louis County 
103.22 	maintenance garage on Highway 135, further extending the lines to interconnect with the 
103.23 	city of Gilbert's sewer and water lines. All distributions received in 2009 and subsequent 
103.24 	years are allocated for projects under section 298.223, subdivision 1. 
103.25 		Subd. 5. Public works and local economic development fund. For distributions in 
103.26 	2007 only, a special fund is established to receive 38.4 cents per ton that otherwise would 
103.27 	be allocated under section 298.28, subdivision 6. The following amounts are allocated to 
103.28 	St. Louis County acting as the fiscal agent for the recipients for the specific purposes: 
103.29 	(1) 13.4 cents per ton for the Central Iron Range Sanitary Sewer District for 
103.30 	construction of a combined wastewater facility and notwithstanding section 298.28, 
103.31 	subdivision 11, paragraph (a), or any other law, interest accrued on this money while held 
103.32 	by St. Louis County shall also be distributed to the recipient; 
103.33 	(2) six cents per ton to the city of Eveleth to redesign and design and construct 
103.34 	improvements to renovate its water treatment facility; 
103.35 	(3) one cent per ton for the East Range Joint Powers Board to acquire land for and to 
103.36 	design a central wastewater collection and treatment system; 
104.1 	(4) 0.5 cents per ton to the city of Hoyt Lakes to repair Leeds Road; 
104.2 	(5) 0.7 cents per ton to the city of Virginia to extend Eighth Street South; 
104.3 	(6) 0.7 cents per ton to the city of Mountain Iron to repair Hoover Road; 
104.4 	(7) 0.9 cents per ton to the city of Gilbert for alley repairs between Michigan and 
104.5 	Indiana Avenues and for repayment of a loan to the Minnesota Department of Employment 
104.6 	and Economic Development; 
104.7 	(8) 0.4 cents per ton to the city of Keewatin for a new city well; 
104.8 	(9) 0.3 cents per ton to the city of Grand Rapids for planning for a fire and hazardous 
104.9 	materials center; 
104.10 	(10) 0.9 cents per ton to Aitkin County Growth for an economic development 
104.11 	project for peat harvesting; 
104.12 	(11) 0.4 cents per ton to the city of Nashwauk to develop a comprehensive city plan; 
104.13 	(12) 0.4 cents per ton to the city of Taconite for development of a city comprehensive 
104.14 	plan; 
104.15 	(13) 0.3 cents per ton to the city of Marble for water and sewer infrastructure; 
104.16 	(14) 0.8 cents per ton to Aitkin County for improvements to the Long Lake 
104.17 	Environmental Learning Center; 
104.18 	(15) 0.3 cents per ton to the city of Coleraine for the Coleraine Technology Center; 
104.19 	(16) 0.5 cents per ton to the Economic Development Authority of the city of Grand 
104.20 	Rapids for planning for the North Central Research and Technology Laboratory; 
104.21 	(17) 0.6 cents per ton to the city of Bovey for sewer and water extension; 
104.22 	(18) 0.3 cents per ton to the city of Calumet for infrastructure improvements; and 
104.23 	(19) ten cents per ton to the commissioner of Iron Range Resources and 
104.24 	Rehabilitation for deposit in a Highway 1 Corridor Account established by the 
104.25 	commissioner, to be distributed by the commissioner to any of the cities of Babbitt, Cook, 
104.26 	Ely, or Tower, for economic development projects approved by the Iron Range Resources 
104.27 	and Rehabilitation Board at least seven Iron Range Resources and Rehabilitation Board 
104.28 	members; notwithstanding section 298.28, subdivision 11, paragraph (a), or any other law, 
104.29 	interest accrued on this money while held by St. Louis County or the commissioner 
104.30 	shall also be distributed to the recipient. 
104.31 		Subd. 6.Renewable energy. For distributions in 2009 only, a special account is 
104.32 	established in the taconite environmental protection fund to receive 15.5 cents per ton that 
104.33 	otherwise would be allocated under section 298.28, subdivision 6. The funds are available 
104.34 	for cooperative projects between the Iron Range Resources and Rehabilitation Board and 
104.35 	local governments for renewable energy initiatives.

104.36 	EFFECTIVE DATE. This section is effective the day following final enactment.

105.1 	ARTICLE 7
105.2 	MISCELLANEOUS PROVISIONS

105.3 	Section 1. Minnesota Statutes 2008, section 45.027, subdivision 1, is amended to read:
105.4 		Subdivision 1.General powers. In connection with the duties and responsibilities 
105.5 	entrusted to the commissioner, and Laws 1993, chapter 361, section 2, the commissioner 
105.6 	of commerce may:
105.7 	(1) make public or private investigations within or without this state as the 
105.8 	commissioner considers necessary to determine whether any person has violated or is 
105.9 	about to violate any law, rule, or order related to the duties and responsibilities entrusted 
105.10 	to the commissioner;
105.11 	(2) require or permit any person to file a statement in writing, under oath or otherwise 
105.12 	as the commissioner determines, as to all the facts and circumstances concerning the 
105.13 	matter being investigated;
105.14 	(3) hold hearings, upon reasonable notice, in respect to any matter arising out of the 
105.15 	duties and responsibilities entrusted to the commissioner;
105.16 	(4) conduct investigations and hold hearings for the purpose of compiling 
105.17 	information related to the duties and responsibilities entrusted to the commissioner;
105.18 	(5) examine the books, accounts, records, and files of every licensee, and of every 
105.19 	person who is engaged in any activity regulated; the commissioner or a designated 
105.20 	representative shall have free access during normal business hours to the offices and 
105.21 	places of business of the person, and to all books, accounts, papers, records, files, safes, 
105.22 	and vaults maintained in the place of business;
105.23 	(6) publish information which is contained in any order issued by the commissioner; 
105.24 	and
105.25 	(7) require any person subject to duties and responsibilities entrusted to the 
105.26 	commissioner, to report all sales or transactions that are regulated. The reports must 
105.27 	be made within ten days after the commissioner has ordered the report. The report is 
105.28 	accessible only to the respondent and other governmental agencies unless otherwise 
105.29 	ordered by a court of competent jurisdiction.; and
105.30 	(8) assess a licensee the necessary expenses of the investigation performed by the 
105.31 	department when an investigation is made by order of the commissioner. The cost of the 
105.32 	investigation shall be determined by the commissioner and is based on the salary cost 
105.33 	of investigators or assistants and at an average rate per day or fraction thereof so as to 
105.34 	provide for the total cost of the investigations. All money collected must be deposited into 
106.1 	the general fund. A natural person licensed under chapter 60K or 82 shall not be charged 
106.2 	costs of an investigation if the investigation results in no finding of a violation.

106.3 	Sec. 2. Minnesota Statutes 2008, section 60A.315, subdivision 6, is amended to read:
106.4 		Subd. 6.Audits; penalties. The commissioner is authorized to conduct audits 
106.5 	and investigations under section 45.027and this chapter to determine if the insurers are 
106.6 	complying with Minnesota law in the issuance of policies described under this section
106.7 	sections 61A.02, 61A.072, and 70A.06. If the policy filings contain provisions that are 
106.8 	inconsistent with or violate Minnesota law, the commissioner may take action against the 
106.9 	insurer under section 45.027. The commissioner shall assess the insurer for the costs of 
106.10 	the investigation performed by the department and shall deposit all such assessments into 
106.11 	the revolving fund established under section 60A.03.

106.12 	Sec. 3. Minnesota Statutes 2008, section 61A.02, subdivision 2, is amended to read:
106.13 		Subd. 2.Approval required. (a) Except as otherwise authorized pursuant to 
106.14 	subdivision 2a, no policy or certificate of life insurance or annuity contract, issued to an 
106.15 	individual, group, or multiple employer trust, nor any rider of any kind or description 
106.16 	which is made a part thereof shall be issued or delivered in this state, or be issued by a life 
106.17 	insurance company organized under the laws of this state, until the form of the same has 
106.18 	been approved by the commissioner. In making a determination under this section, the 
106.19 	commissioner may require the insurer to provide rates and advertising materials related to 
106.20 	policies or contracts, certificates, or similar evidence of coverage issued or delivered in 
106.21 	this state.
106.22 	(b) Subdivisions 1 to 5 apply to a policy, certificate of insurance, or similar evidence 
106.23 	of coverage issued to a Minnesota resident or issued to provide coverage to a Minnesota 
106.24 	resident. Subdivisions 1 to 5 do not apply to a certificate of insurance or similar evidence 
106.25 	of coverage that meets the conditions of section 61A.093, subdivision 2.
106.26 	(c) No policy or certificate of life insurance issued to an individual, group, or 
106.27 	multiple employer trust, nor any rider of any kind or description that is made a part 
106.28 	thereof shall be issued or delivered in this state, or be issued by a life insurance company 
106.29 	organized under the laws of this state, until the form of the same has been filed with the 
106.30 	commissioner. Subdivisions 2a to 5 do not apply to these policies, certificates, and riders.

106.31 	Sec. 4. Minnesota Statutes 2008, section 61A.02, subdivision 2a, is amended to read:
106.32 		Subd. 2a.Expedited procedure for life or annuity contracts; form and rate 
106.33 	filing reviews. (a) An insurer may file a life oran annuity contract, rates, or forms and all 
107.1 	related riders of any kind or description with the commissioner for a review under this 
107.2 	subdivision. Any review must be completed within 60 days of receipt of a completed 
107.3 	filing. The cost of any actuarial review must be paid by the insurer submitting the filing 
107.4 	under this subdivision.
107.5 	(b) If a filing has been disapproved and is resubmitted, the cover letter must note the 
107.6 	disapproval and any changes made since the earlier filing, with an explanation of why 
107.7 	the new filing should be approved. Resubmission of disapproved forms should, where 
107.8 	possible, be made within 90 days of disapproval.
107.9 	(c) The filer may request a hearing within ten days of receiving a final disapproval. 
107.10 	Within 20 days of the receipt of the request, the commissioner shall schedule a date 
107.11 	for the hearing, which must occur within 30 days of the scheduling. At least ten days' 
107.12 	written notice of the hearing must be given to all interested parties. All hearings must be 
107.13 	conducted in accordance with chapter 14.
107.14 	(d) The hearing officer may order a prehearing conference for the resolution or 
107.15 	simplification of issues, to be held no less than three days before the scheduled date of 
107.16 	a hearing.
107.17 	(e) All actuaries used by the commissioner to review filings submitted by insurers 
107.18 	pursuant to this subdivision, whether employed by the department or secured by contract, 
107.19 	must be members of the American Academy of Actuaries. The commissioner may 
107.20 	contract with actuaries to review filings submitted by insurers under this subdivision, 
107.21 	and shall assess the applicant for the costs of this review. Payments received by the 
107.22 	commissioner under this subdivision shall be deposited in the revolving fund established 
107.23 	under section 60A.03.
107.24 	(f) Except for the change in timing for the review of completed filings found in 
107.25 	paragraph (a) and the expedited hearing procedures found in paragraph (c), nothing in 
107.26 	this subdivision shall be construed as changing the statutory and regulatory standards for 
107.27 	approval or disapproval of filings.

107.28 	Sec. 5. Minnesota Statutes 2008, section 61A.072, subdivision 11, is amended to read:
107.29 		Subd. 11.Filing requirement. The filing and prior approval of forms containing an 
107.30 	accelerated benefit is required prior to issuance or delivery in this state.

107.31 	Sec. 6. Minnesota Statutes 2008, section 70A.06, subdivision 2, is amended to read:
107.32 		Subd. 2.Policy form filings. No policy form shall be delivered or issued for 
107.33 	delivery unless it has been filed with the commissioner and either (i) the commissioner 
107.34 	has approved it or (ii) 60 days have elapsed and the commissioner has not disapproved 
108.1 	it as misleading or violative of public policy, which period may be extended by the 
108.2 	commissioner for an additional period not to exceed 60 days. Every licensed insurer 
108.3 	and every rate service organization licensed under section 70A.14 shall file with the 
108.4 	commissioner all forms and all changes and amendments of forms made by it for use in 
108.5 	this state not later than their effective date. No forms contained in a filing shall become 
108.6 	effective unless they have been filed with the commissioner.

108.7 	Sec. 7. Minnesota Statutes 2008, section 115C.08, subdivision 4, is amended to read:
108.8 		Subd. 4.Expenditures. (a) Money in the fund may only be spent:
108.9 	(1) to administer the petroleum tank release cleanup program established in this 
108.10 	chapter;
108.11 	(2) for agency administrative costs under sections 116.46 to 116.50, sections 
108.12 	115C.03 to 115C.06, and costs of corrective action taken by the agency under section 
108.13 	115C.03, including investigations; 
108.14 	(3) for costs of recovering expenses of corrective actions under section 115C.04; 
108.15 	(4) for training, certification, and rulemaking under sections 116.46 to 116.50; 
108.16 	(5) for agency administrative costs of enforcing rules governing the construction, 
108.17 	installation, operation, and closure of aboveground and underground petroleum storage 
108.18 	tanks;
108.19 	(6) for reimbursement of the environmental response, compensation, and compliance 
108.20 	account under subdivision 5 and section 115B.26, subdivision 4; 
108.21 	(7) for administrative and staff costs as set by the board to administer the petroleum 
108.22 	tank release program established in this chapter;
108.23 	(8) for corrective action performance audits under section 115C.093; 
108.24 	(9) for contamination cleanup grants, as provided in paragraph (c); and
108.25 	(10) to assess and remove abandoned underground storage tanks under section 
108.26 	115C.094 and, if a release is discovered, to pay for the specific consultant and contractor 
108.27 	services costs necessary to complete the tank removal project, including, but not limited 
108.28 	to, excavation soil sampling, groundwater sampling, soil disposal, and completion of an 
108.29 	excavation report. 
108.30 	(b) Except as provided in paragraph (c), money in the fund is appropriated to the 
108.31 	board to make reimbursements or payments under this section.
108.32 	(c) $6,200,000 is annually appropriated from the fund to the commissioner of 
108.33 	employment and economic development for contamination cleanup grants under section 
108.34 	116J.554. Of this amount, the commissioner may spend up to $180,000 annually for 
108.35 	administration of the contamination cleanup grant program. The appropriation does not 
109.1 	cancel and is available until expended. The appropriation shall not be withdrawn from 
109.2 	the fund nor the fund balance reduced until the funds are requested by the commissioner 
109.3 	of employment and economic development. The commissioner shall schedule requests 
109.4 	for withdrawals from the fund to minimize the necessity to impose the fee authorized by 
109.5 	subdivision 2. Unless otherwise provided, the appropriation in this paragraph may be 
109.6 	used for: 
109.7 	(1) project costs at a qualifying site if a portion of the cleanup costs are attributable 
109.8 	to petroleum contamination or new and used tar and tar-like substances, including but not 
109.9 	limited to bitumen and asphalt, but excluding bituminous or asphalt pavement, that consist 
109.10 	primarily of hydrocarbons and are found in natural deposits in the earth or are distillates, 
109.11 	fractions, or residues from the processing of petroleum crude or petroleum products as 
109.12 	defined in section 296A.01; and
109.13 	(2) the costs of performing contamination investigation if there is a reasonable basis 
109.14 	to suspect the contamination is attributable to petroleum or new and used tar and tar-like 
109.15 	substances, including but not limited to bitumen and asphalt, but excluding bituminous or 
109.16 	asphalt pavement, that consist primarily of hydrocarbons and are found in natural deposits 
109.17 	in the earth or are distillates, fractions, or residues from the processing of petroleum crude 
109.18 	or petroleum products as defined in section 296A.01.

109.19 	Sec. 8. Minnesota Statutes 2008, section 116J.035, subdivision 1, is amended to read:
109.20 		Subdivision 1.Powers. (a) The commissioner may:
109.21 	(1) apply for, receive, and expend money from municipal, county, regional, and 
109.22 	other government agencies;
109.23 	(2) apply for, accept, and disburse grants and other aids from other public or private 
109.24 	sources;
109.25 	(3) contract for professional services if such work or services cannot be satisfactorily 
109.26 	performed by employees of the department or by any other state agency;
109.27 	(4) enter into interstate compacts to jointly carry out such research and planning with 
109.28 	other states or the federal government where appropriate;
109.29 	(5) distribute informational material at no cost to the public upon reasonable request; 
109.30 	and
109.31 	(6) enter into contracts necessary for the performance of the commissioner's duties 
109.32 	with federal, state, regional, metropolitan, local, and other agencies or units of government; 
109.33 	educational institutions, including the University of Minnesota. Contracts made pursuant 
109.34 	to this section shall not be subject to the competitive bidding requirements of chapter 16C.
110.1 	(b) The commissioner may apply for, receive, and expend money made available 
110.2 	from federal or other sources for the purpose of carrying out the duties and responsibilities 
110.3 	of the commissioner pursuant to this chapter.
110.4 	(c) All moneys received by the commissioner pursuant to this chapter shall be 
110.5 	deposited in the state treasury and, subject to section 3.3005, are appropriated to the 
110.6 	commissioner for the purpose for which the moneys have been received. The money shall 
110.7 	not cancel and shall be available until expended.

110.8 	Sec. 9. Minnesota Statutes 2008, section 116J.551, subdivision 1, is amended to read:
110.9 		Subdivision 1.Grant account. A contaminated site cleanup and development 
110.10 	grant account is created in the general fund. Money in the account may be used, as 
110.11 	appropriated by law, to make grants as provided in section 116J.554 and to pay for the 
110.12 	commissioner's costs in reviewing applications and making grants. Notwithstanding 
110.13 	section 16A.28, money appropriated to the account commissioner for this program from 
110.14 	any source is available until spent.

110.15 	Sec. 10. [116J.6581] MINNESOTA SCIENCE AND TECHNOLOGY 
110.16 	ECONOMIC DEVELOPMENT PROJECT.
110.17 	(a) The commissioner of employment and economic development shall lead a 
110.18 	public-private project with science and technology experts from public, academic, and 
110.19 	private sectors to advise state agency collaboration to design, coordinate, and administer a 
110.20 	strategic science and technology program for the state designed to promote the welfare of 
110.21 	the people of the state, maximize the economic growth of the state, and create and retain 
110.22 	jobs in the state's industrial base through enhancement of Minnesota's:
110.23 	(1) high technology research and development capabilities;
110.24 	(2) product and process innovation and commercialization;
110.25 	(3) high technology manufacturing capabilities;
110.26 	(4) science and technology business environment; and
110.27 	(5) science and technology workforce preparation.
110.28 	(b) Project membership shall consist of science and technology experts from 
110.29 	public, academic, and private sectors. A member must have a background in science or 
110.30 	technology in order to serve on the project. The project members shall consist of at least 
110.31 	13 members as follows:
110.32 	(1) a representative of the University of Minnesota;
110.33 	(2) a representative of Minnesota State Colleges and Universities;
110.34 	(3) the chief executive officer of Mayo Clinic or a designee; and
111.1 	(4) six chief executive officers or designees from science- or technology-oriented 
111.2 	companies and four representatives from science- and technology-oriented trade 
111.3 	organizations.
111.4 	(c) The commissioner of employment and economic development must report 
111.5 	by January 15, 2010, to the legislative committees having jurisdiction over science 
111.6 	and technology and economic development policy and finance on the activities of the 
111.7 	project and must recommend changes or additions to its organization, including specific 
111.8 	recommendations for necessary legislation.

111.9 	Sec. 11. [116J.997] PROGRAM ACCOUNTABILITY REQUIREMENTS.
111.10 		Subdivision 1.Accountability measurement. By October 1, 2009, the 
111.11 	commissioner of employment and economic development shall develop a uniform 
111.12 	accountability report for economic development or workforce related programs funded in 
111.13 	whole or in part by state or federal funds. The commissioner shall also develop a formula 
111.14 	for measuring the return on investment for each program and a comparison of the return 
111.15 	on investment of all programs funded in whole or in part by state or federal funds. The 
111.16 	requirements of this section apply to programs administered directly by the commissioner 
111.17 	or administered by other employment organizations under a grant made by the department. 
111.18 	The report and formula required by this subdivision shall be submitted to the chairs and 
111.19 	ranking minority members of the committees of the house of representatives and senate 
111.20 	having jurisdiction over economic development and workforce policy and finance by 
111.21 	October 15, 2009, for review and comment.
111.22 		Subd. 2.Report to the legislature. By December 31 of each even-numbered 
111.23 	year the commissioner must report to the chairs and the ranking minority members of 
111.24 	the committees of the house of representatives and the senate having jurisdiction over 
111.25 	economic development and workforce policy and finance the following information for 
111.26 	each program subject to the requirements of subdivision 1:
111.27 	(1) the target population;
111.28 	(2) the number of jobs affected by the program, including the number of net new 
111.29 	jobs created in the state and the average annual wage per job;
111.30 	(3) the number of individuals leaving the unemployment compensation program as 
111.31 	a result of the program;
111.32 	(4) the number of individuals leaving the Minnesota Family Investment Program 
111.33 	support as a result of the program;
111.34 	(5) the region of the state in which the program operated;
111.35 	(6) the amount of state or federal funds allocated to the program; and 
112.1 	(7) the return on investment as calculated by the formula developed by the 
112.2 	commissioner.
112.3 		Subd. 3.Report to the commissioner. A recipient of a grant made by or through 
112.4 	the department must report to the commissioner by September 1 of each even-numbered 
112.5 	year on each of the items in subdivision 2 for each program it administers. The report 
112.6 	must be in a format prescribed by the commissioner.
112.7 	Beginning November 1, 2009, the commissioner shall provide notice to grant 
112.8 	applicants and recipients regarding the data collection and reporting requirements under 
112.9 	this subdivision and must provide technical assistance to applicants and recipients to assist 
112.10 	in complying with the requirements of this subdivision.
112.11 		Subd. 4.Biennial budget request. The information collected and reported under 
112.12 	subdivisions 2 and 3 shall be included in budgets submitted to the legislature under 
112.13 	section 16A.11.

112.14 	EFFECTIVE DATE. This section is effective the day following final enactment.

112.15 	Sec. 12. Minnesota Statutes 2008, section 129D.13, subdivision 1, is amended to read:
112.16 		Subdivision 1.Distribution. The commissioner shall distribute the money provided 
112.17 	by sections 129D.11 to 129D.13. Twice Annually the commissioner shall make block 
112.18 	grants which shall be distributed in equal amounts to public stations for operational costs. 
112.19 	The commissioner shall allocate money appropriated for the purposes of sections 129D.11
112.20 	to 129D.13 in such a manner that each eligible public station receives a block grant. In 
112.21 	addition, the commissioner shall make matching grants to public stations. Matching grants 
112.22 	shall be used for operational costs and shall be allocated using the procedure developed 
112.23 	for distribution of state money under this section for grants made in fiscal year 1979. No 
112.24 	station's matching grant in any fiscal year shall exceed the amount of Minnesota-based 
112.25 	contributions received by that station in the previous fiscal year. Grants made pursuant to 
112.26 	this subdivision may only be given to those federally licensed stations that are certified as 
112.27 	eligible for community service grants through the Corporation for Public Broadcasting. 
112.28 	Grant funds not expended by a station during the first year of the biennium do not cancel 
112.29 	and may be carried over into the second fiscal year.

112.30 	Sec. 13. Minnesota Statutes 2008, section 129D.13, subdivision 2, is amended to read:
112.31 		Subd. 2.Exclusions from contribution amount. In calculating the amount of 
112.32 	contributions received by a public station pursuant to subdivision 1, there shall be 
112.33 	excluded: contributions, whether monetary or in kind, from the Corporation for Public 
112.34 	Broadcasting; tax generated funds, including payments by public or private elementary 
113.1 	and secondary schools; that portion of any foundation or corporation donation in excess 
113.2 	of $500 $2,500 from any one contributor in a calendar the previous station fiscal year; 
113.3 	contributions from any source if made for the purpose of capital expenditures; and 
113.4 	contributions from all sources based outside the state.

113.5 	Sec. 14. Minnesota Statutes 2008, section 129D.13, subdivision 3, is amended to read:
113.6 		Subd. 3.Report. Each educational station receiving a grant shall annually report 
113.7 	by July 1 annually by August 1 to the commissioner the purposes for which the money 
113.8 	was used in the past fiscal year and the anticipated use of the money in the next fiscal year. 
113.9 	The report shall be certified by an independent auditor or a certified public accountant.
113.10 	This report shall be submitted along with a new grant request submission. If the report 
113.11 	is not submitted by September 1, the commissioner may withhold from the educational 
113.12 	station 45 percent of the amount to which it was entitled based upon the contribution of 
113.13 	the previous fiscal year, and may redistribute that money to other educational stations.

113.14 	Sec. 15. Minnesota Statutes 2008, section 129D.14, subdivision 4, is amended to read:
113.15 		Subd. 4.Application. To be eligible for a grant under this section, a licensee 
113.16 	shall submit an application to the commissioner within the deadline prescribed by the 
113.17 	commissioner according to state grant policies. Each noncommercial radio station 
113.18 	receiving a grant shall report annually within the deadline prescribed by August 1 to the 
113.19 	commissioner the purposes for which the money was used in the past fiscal year and the 
113.20 	anticipated use of the money for the next fiscal year. This report shall be submitted along 
113.21 	with a new grant request submission. If the application and report are not submitted within 
113.22 	the deadline prescribed by the commissioner, the grant may be redistributed to the other 
113.23 	noncommercial radio stations eligible for a grant under this section.

113.24 	Sec. 16. Minnesota Statutes 2008, section 129D.14, subdivision 5, is amended to read:
113.25 		Subd. 5.State community service block grants. (a) The commissioner shall 
113.26 	determine eligibility for block grants and the allocation of block grant money on the basis 
113.27 	of audited financial records of the station to receive the block grant funds for the station's 
113.28 	fiscal year preceding the year in which the grant is made, as well as on the basis of the 
113.29 	other requirements set forth in this section. The commissioner shall annually distribute 
113.30 	block grants equally to all stations that comply with the eligibility requirements and for 
113.31 	which a licensee applies for a block grant. Grant funds not expended by a station during 
113.32 	the first year of the biennium do not cancel and may be carried over into the second fiscal 
113.33 	year. The commissioner may promulgate rules to implement this section.
114.1 	(b) A station may use grant money under this section for any radio station expenses.

114.2 	Sec. 17. Minnesota Statutes 2008, section 129D.14, subdivision 6, is amended to read:
114.3 		Subd. 6.Audit. A station that receives a grant under this section shall have an 
114.4 	audit of its financial records made by an independent auditor or Corporation for Public 
114.5 	Broadcasting accepted audit at the end of for the fiscal year for which it received the grant. 
114.6 	The audit shall include a review of station promotion, operation, and management and an 
114.7 	analysis of the station's use of the grant money. A copy of the most recent audit shall be 
114.8 	filed with the commissioner. If neither is available, The commissioner may accept a letter 
114.9 	of negative assurance from an independent auditor or a certified public accountant.

114.10 	Sec. 18. Minnesota Statutes 2008, section 129D.155, is amended to read:
114.11 	129D.155 REPAYMENT OF FUNDS.
114.12 	State funds distributed to public television or noncommercial radio stations and used 
114.13 	to purchase equipment assets must be repaid to the state, without interest, if the assets 
114.14 	purchased with these funds are sold within five years or otherwise converted to a person 
114.15 	other than a nonprofit or municipal corporation. The amount due to the state shall be the 
114.16 	net amount realized from the sale of the assets, but shall not exceed the amount of state 
114.17 	funds advanced for the purchase of the asset. Public television and noncommercial radio 
114.18 	stations receiving state funds must report biennially to the legislature on the location and 
114.19 	usage of assets purchased with state funds.

114.20 	Sec. 19. [137.701] UNIVERSITY NEIGHBORHOOD DEVELOPMENT.
114.21 		Subdivision 1.Purpose. In order to support and create an environment surrounding 
114.22 	the University of Minnesota, Minneapolis campus that is conducive to the purposes of 
114.23 	higher education and a vital community, the Board of Regents and the city of Minneapolis 
114.24 	shall create with the Marcy Holmes, Southeast Como, Prospect Park, and Cedar-Riverside 
114.25 	neighborhood and business associations, an appropriate organization so that they 
114.26 	cooperate in the development of those neighborhoods. The purpose of the organization is 
114.27 	to improve the university's Minneapolis campus area neighborhoods including, but not 
114.28 	limited to, the following:
114.29 	(1) providing and supporting the development of good quality university 
114.30 	neighborhood housing, including housing for students, faculty, employees, alumni, and 
114.31 	others who may wish to live in the university area neighborhoods;
114.32 	(2) encouraging and assisting university faculty, staff, students, and others to live in 
114.33 	the neighborhood as long-term residents;
115.1 	(3) supporting and assisting appropriate business development in commercial areas 
115.2 	of the neighborhood; and
115.3 	(4) cooperating and coordinating planning and development in all matters affecting 
115.4 	the neighborhood with local government, businesses, residents, and other stakeholders in 
115.5 	the neighborhood.
115.6 		Subd. 2.Membership. The organization created by the Board of Regents and 
115.7 	the city of Minneapolis shall include representatives from the organizations currently 
115.8 	represented on the University District Alliance Steering Committee.
115.9 		Subd. 3.Report. The Board of Regents and the city of Minneapolis shall report 
115.10 	by January 15, 2010, to the chairs and ranking minority members of the legislative 
115.11 	committees with primary jurisdiction over higher education policy and finance and 
115.12 	economic development and housing finance on the status and activities of the organization 
115.13 	that is created.

115.14 	Sec. 20. Minnesota Statutes 2008, section 160.16, is amended by adding a subdivision 
115.15 	to read:
115.16 		Subd. 4.Business signs. A road or transit authority, before entering into a contract 
115.17 	for construction, reconstruction, or improvement of a street or highway, shall identify any 
115.18 	business that will experience access, parking, or visibility impacts during construction. 
115.19 	The road or transit authority shall consult with affected businesses before and during 
115.20 	construction to plan signage that will mitigate adverse effects on businesses during 
115.21 	project construction.

115.22 	Sec. 21. [161.2415] MITIGATION OF TRANSPORTATION CONSTRUCTION 
115.23 	IMPACTS ON BUSINESS.
115.24 		Subdivision 1.Definition. For the purposes of this section, "project" means road 
115.25 	work to maintain, construct, or improve a street or highway, or for a transit improvement, 
115.26 	if the work is anticipated by the road or transit authority to impair road access to one or 
115.27 	more business establishments for a minimum period of one month.
115.28 		Subd. 2.Business liaison. (a) Before the beginning of project construction work, 
115.29 	the road or transit authority shall identify businesses that are adjacent to the construction 
115.30 	area or whose access to the business premises or parking will be impaired by the project 
115.31 	and designate an individual to serve as business liaison between the road or transit 
115.32 	authority and the affected businesses.
115.33 	(b) The business liaison shall provide information to the identified businesses, 
115.34 	before and during construction, concerning project duration and timetables, lane and 
116.1 	road closures, detours, access impacts, customer parking impacts, visibility, noise, dust, 
116.2 	vibration, and public participation opportunities.

116.3 	Sec. 22. Minnesota Statutes 2008, section 270.97, is amended to read:
116.4 	270.97 DEPOSIT OF REVENUES.
116.5 	The commissioner shall deposit all revenues derived from the tax, interest, and 
116.6 	penalties received from the county in the contaminated site cleanup and development 
116.7 	account in the general fund and is annually appropriated to the commissioner of the 
116.8 	Department of Employment and Economic Development, for the purposes of section 
116.9 	116J.551.

116.10 	Sec. 23. Minnesota Statutes 2008, section 325E.115, subdivision 1, is amended to read:
116.11 		Subdivision 1.Surcharge; collection; notice. (a) A person selling lead acid 
116.12 	batteries at retail or offering lead acid batteries for retail sale in this state shall:
116.13 	(1) accept, at the point of transfer, lead acid batteries from customers;
116.14 	(2) charge a fee of $5 $10 per battery sold unless the customer returns a used battery 
116.15 	to the retailer; and
116.16 	(3) post written notice in accordance with section 325E.1151.  
116.17 	(b) Any person selling lead acid batteries at wholesale or offering lead acid batteries 
116.18 	for sale at wholesale must accept, at the point of transfer, lead acid batteries from 
116.19 	customers.

116.20 	Sec. 24. Minnesota Statutes 2008, section 325E.1151, subdivision 1, is amended to 
116.21 	read:
116.22 		Subdivision 1.Purchasers must return battery or pay $5 $10. (a) A person who 
116.23 	purchases a lead acid battery at retail, except a lead acid battery that is designed to provide 
116.24 	power for a boat motor that is purchased at the same time as the battery, must:
116.25 	(1) return a lead acid battery to the retailer; or
116.26 	(2) pay the retailer a $5 $10 surcharge.
116.27 	(b) A person who has paid a $5 $10 surcharge under paragraph (a) must receive a 
116.28 	$5 $10 refund from the retailer if the person returns a lead acid battery with a receipt 
116.29 	for the purchase of a new battery from that retailer within 30 days after purchasing 
116.30 	a new lead acid battery.
116.31 	(c) A retailer may keep the unrefunded surcharges for lead acid batteries not 
116.32 	returned within 30 days.

117.1 	Sec. 25. Minnesota Statutes 2008, section 325E.1151, subdivision 3, is amended to 
117.2 	read:
117.3 		Subd. 3.Retailers must post notices. (a) A person who sells lead acid batteries 
117.4 	at retail must post the notice in paragraph (b) in a manner clearly visible to a consumer 
117.5 	making purchasing decisions.
117.6 	(b) The notice must be at least 8-1/2 inches by 11 inches and contain the universal 
117.7 	recycling symbol and state:
117.8 	"NOTICE: USED BATTERIES
117.9 	This retailer is required to accept your used lead acid batteries, EVEN IF YOU DO 
117.10 	NOT PURCHASE A BATTERY. When you purchase a new battery, you will be charged 
117.11 	an additional $5 $10 unless you return a used battery within 30 days.
117.12 	It is a crime to put a motor vehicle battery in the garbage."

117.13 	Sec. 26. Minnesota Statutes 2008, section 325E.1151, subdivision 4, is amended to 
117.14 	read:
117.15 		Subd. 4.Notices required in newspaper advertisements. (a) An advertisement 
117.16 	for sale of new lead acid batteries at retail in newspapers published in this state must 
117.17 	contain the notice in paragraph (b).
117.18 	(b) The notice must state:
117.19 	"$5 $10 additional charge unless a used lead acid battery is returned. Improper 
117.20 	disposal of a lead acid battery is a crime."

117.21 	Sec. 27. Minnesota Statutes 2008, section 326B.33, subdivision 13, is amended to read:
117.22 		Subd. 13.Registration of unlicensed individuals. Unlicensed individuals 
117.23 	performing electrical work for a contractor or employer shall register with the department 
117.24 	in the manner prescribed by the commissioner. Experience credit for electrical work 
117.25 	performed in Minnesota after January 1, 2008 2009, by an applicant for a license identified 
117.26 	in this section shall not be granted where the applicant has not registered with or is not 
117.27 	licensed by the department.

117.28 	Sec. 28. [326B.881] REGISTRATION OF UNLICENSED PERSONS.
117.29 		Subdivision 1.Registration required. (a) An unlicensed contractor or subcontractor 
117.30 	who performs public or private sector commercial or residential building construction or 
117.31 	improvement services must register with the commissioner every two years. A licensed 
117.32 	contractor or subcontractor includes a plumbing contractor who has in their employ 
117.33 	a licensed master plumber or restricted master plumber under section 326B.42 or a 
118.1 	mechanical contractor as defined under section 326B.802. The registration must be 
118.2 	submitted on a form and in a manner prescribed by the commissioner and must include 
118.3 	the information specified in paragraph (b). For purposes of this section, "contractor" 
118.4 	or "subcontractor" means a limited liability company, corporation, partnership, or sole 
118.5 	proprietorship.
118.6 	(b) The information collected upon registration must include:
118.7 	(1) the legal name under which the contractor or subcontractor intends to offer 
118.8 	services;
118.9 	(2) the address at which the contractor or subcontractor is physically located;
118.10 	(3) the business telephone number and e-mail address;
118.11 	(4) the services provided by the contractor or subcontractor;
118.12 	(5) a federal employer identification number or social security number;
118.13 	(6) the approximate number of employees; and
118.14 	(7) a certificate of insurance showing workers' compensation coverage if applicable.
118.15 		Subd. 2.Exclusions. For purposes of this section, building construction and 
118.16 	improvement services do not include the manufacture, supply, or sale of products, 
118.17 	materials, or merchandise.
118.18 		Subd. 3.Application of requirements. The registration requirements under this 
118.19 	section do not apply to persons with a valid independent contractor exemption certificate 
118.20 	under section 181.723.
118.21 		Subd. 4.Fees. A $100 registration fee shall be paid to the commissioner upon 
118.22 	registration for deposit into the construction code fund under section 326B.04.
118.23 		Subd. 5.Prohibited activities. A person violating the requirements of this section 
118.24 	shall not perform public or private sector commercial or residential building construction 
118.25 	or improvement services in this state. Proof of registration must be maintained for at 
118.26 	least two years from the date of registration. Proof of registration must be provided by a 
118.27 	person before entering into a contract for public or private sector commercial or residential 
118.28 	building construction or improvement services on or after the effective date of this section. 
118.29 	Violations of this subdivision are subject to a  $500 fine payable to the commissioner for 
118.30 	deposit into the assigned risk safety account under chapter 79.

118.31 	EFFECTIVE DATE. This section is effective January 1, 2010.

118.32 	Sec. 29. Minnesota Statutes 2008, section 327C.03, is amended by adding a 
118.33 	subdivision to read:
118.34 		Subd. 6.Payment to the Minnesota manufactured home relocation trust fund.
 118.35 	In the event a park owner is assessed under section 327C.095, subdivision 12, paragraph 
119.1 	(c), the park owner may collect the $12 annual payment required under section 327C.095, 
119.2 	subdivision 12, for participation in the relocation trust fund, as a lump sum or, along with 
119.3 	monthly lot rent, a fee of no more than $1 per month to cover the cost of participating 
119.4 	in the relocation trust fund. The $1 fee must be separately itemized and clearly labeled 
119.5 	"Minnesota manufactured home relocation trust fund."

119.6 	Sec. 30. Minnesota Statutes 2008, section 327C.095, subdivision 12, is amended to 
119.7 	read:
119.8 		Subd. 12.Payment to the Minnesota manufactured home relocation trust fund.
 119.9 	(a) If a manufactured home owner is required to move due to the conversion of all or a 
119.10 	portion of a manufactured home park to another use, the closure of a park, or cessation 
119.11 	of use of the land as a manufactured home park, the manufactured park owner shall, 
119.12 	upon the change in use, pay to the commissioner of finance for deposit in the Minnesota 
119.13 	manufactured home relocation trust fund under section 462A.35, the lesser amount of the 
119.14 	actual costs of moving or purchasing the manufactured home approved by the neutral 
119.15 	third party and paid by the Minnesota Housing Finance Agency under subdivision 13, 
119.16 	paragraph (a) or (e), or $3,250 for each single section manufactured home, and $6,000 for 
119.17 	each multisection manufactured home, for which a manufactured home owner has made 
119.18 	application for payment of relocation costs under subdivision 13, paragraph (c). The 
119.19 	manufactured home park owner shall make payments required under this section to the 
119.20 	Minnesota manufactured home relocation trust fund within 60 days of receipt of invoice 
119.21 	from the neutral third party.
119.22 	(b) A manufactured home park owner is not required to make the payment prescribed 
119.23 	under paragraph (a), nor is a manufactured home owner entitled to compensation under 
119.24 	subdivision 13, paragraph (a) or (e), if:
119.25 	(1) the manufactured home park owner relocates the manufactured home owner to 
119.26 	another space in the manufactured home park or to another manufactured home park at 
119.27 	the park owner's expense;
119.28 	(2) the manufactured home owner is vacating the premises and has informed the 
119.29 	manufactured home park owner or manager of this prior to the mailing date of the closure 
119.30 	statement under subdivision 1;
119.31 	(3) a manufactured home owner has abandoned the manufactured home, or the 
119.32 	manufactured home owner is not current on the monthly lot rental, personal property 
119.33 	taxes, or has failed to pay the annual $12 payments to the Minnesota manufactured home 
119.34 	relocation trust fund when due; 
120.1 	(4) the manufactured home owner has a pending eviction action for nonpayment of 
120.2 	lot rental amount under section 327C.09, which was filed against the manufactured home 
120.3 	owner prior to the mailing date of the closure statement under subdivision 1, and the writ 
120.4 	of recovery has been ordered by the district court;
120.5 	(5) the conversion of all or a portion of a manufactured home park to another use, 
120.6 	the closure of a park, or cessation of use of the land as a manufactured home park is the 
120.7 	result of a taking or exercise of the power of eminent domain by a governmental entity 
120.8 	or public utility; or
120.9 	(6) the owner of the manufactured home is not a resident of the manufactured home 
120.10 	park, as defined in section 327C.01, subdivision 9, or the owner of the manufactured home 
120.11 	is a resident, but came to reside in the manufactured home park after the mailing date of 
120.12 	the closure statement under subdivision 1.
120.13 	(c) Owners of manufactured homes who rent lots in a manufactured home park shall 
120.14 	make annual payments to the park owner, to be deposited in the Minnesota manufactured 
120.15 	home relocation trust fund under section 462A.35, in the amount of $12 per year, per 
120.16 	manufactured home, payable on August 15 of each year. On or before July 15 of each 
120.17 	year, the commissioner of finance shall prepare and post on the department's Web site a 
120.18 	generic invoice and cover letter explaining the purpose of the Minnesota manufactured 
120.19 	home relocation trust fund, the obligation of each manufactured home owner to make an 
120.20 	annual $12 payment into the fund, the due date, and the need to pay to the park owner for 
120.21 	collection, and a warning, in 14-point font, that if the annual payments are not made when 
120.22 	due, the manufactured home owner will not be eligible for compensation from the fund if 
120.23 	the manufactured home park closes. The park owner shall receive, record, and commingle 
120.24 	the payments and forward the payments to the commissioner of finance by September 
120.25 	15 of each year, with a summary by the park owner, certifying the name, address, and 
120.26 	payment amount of each remitter, and noting the names and address of manufactured home 
120.27 	owners who did not pay the $12 annual payment, sent to both the commissioner of finance 
120.28 	and the commissioner of the Minnesota Housing Finance Agency. The commissioner of 
120.29 	finance shall deposit the payments in the Minnesota manufactured home relocation trust 
120.30 	fund. The commissioner of finance shall annually assess each manufactured home park 
120.31 	owner by mail the total amount of $12 for each licensed lot in their park, payable on 
120.32 	or before September 15 of each year. The commissioner of finance shall deposit the 
120.33 	payments in the Minnesota manufactured home relocation trust fund. On or before July 
120.34 	15 of each year, the commissioner of finance shall prepare and distribute to park owners 
120.35 	a letter explaining the collection, an invoice for all licensed lots, and a sample form for 
120.36 	the park owners to collect information on which park residents have been accounted for. 
121.1 	The park owner may recoup the cost of the assessment with a monthly fee of no more 
121.2 	than $1 collected from park residents together with monthly lot rent as provided in section 
121.3 	327C.03, subdivision 1. Park owners may adjust payment for lots in their park that are 
121.4 	vacant or otherwise not eligible for contribution to the trust fund under section 327C.095, 
121.5 	subdivision 12, paragraph (b), and deduct from the assessment, accordingly.
121.6 	(d) This subdivision and subdivision 13, paragraph (c), clause (5), are enforceable by 
121.7 	the neutral third party, on behalf of the Minnesota Housing Finance Agency, or by action 
121.8 	in a court of appropriate jurisdiction. The court shall award a prevailing party reasonable 
121.9 	attorney fees, court costs, and disbursements.

121.10 	Sec. 31. Laws 1998, chapter 404, section 23, subdivision 6, as amended by Laws 2002, 
121.11 	chapter 220, article 10, section 35, subdivision 6, is amended to read:

121.12	Subd. 6.St. Paul RiverCentre Arena
 				65,000,000
	
121.13 	This appropriation is from the general fund 
121.14 	to the commissioner of finance for a loan to 
121.15 	the city of St. Paul to demolish the existing 
121.16 	St. Paul RiverCentre Arena and to design, 
121.17 	construct, furnish, and equip a new arena. 
121.18 	This appropriation is not available until the 
121.19 	lessee to whom the city has leased the arena 
121.20 	has agreed to make rental or other payments 
121.21 	to the city under the terms set forth in this 
121.22 	subdivision. The loan is repayable solely 
121.23 	from and secured by the payments made 
121.24 	to the city by the lessee. The loan is not a 
121.25 	public debt and the full faith, credit, and 
121.26 	taxing powers of the city are not pledged for 
121.27 	its repayment.
121.28 	(a) $48,000,000$15,250,000 of the loan 
121.29 	must be repaid to the commissioner, without 
121.30 	interest, within 2012 years from the date 
121.31 	of substantial completion of the arena in 
121.32 	accordance with the following schedule:
121.33 	(1) no repayments are due in the first two 
121.34 	years from the date of substantial completion;
122.1 	(2) in each of the years three to five, the 
122.2 	lessee must pay $1,250,000;
122.3 	(3) in each of the years six to ten, the lessee 
122.4 	must pay $1,500,000; and
122.5 	(4) in each of the years 11 to and13 12, the 
122.6 	lessee must pay $2,000,000;.
122.7 	(5) in year 14, the lessee must pay 
122.8 	$3,000,000;
122.9 	(6) in year 15, the lessee must pay 
122.10 	$4,000,000; and
122.11 	(7) in each of the years 16 to 20, the lessee 
122.12 	must pay $4,750,000.
122.13 	(b) The commissioner must deposit the 
122.14 	repayments in the state treasury and credit 
122.15 	them to the general fund.
122.16 	(c) The loan may not be made until the 
122.17 	commissioner has entered into an agreement 
122.18 	with the city of St. Paul identifying the rental 
122.19 	or other payments that will be made and 
122.20 	establishing the dates on and the amounts 
122.21 	in which the payments will be made to the 
122.22 	city and by the city to the commissioner. The 
122.23 	payments may include operating revenues 
122.24 	and additional payments to be made by the 
122.25 	lessee under agreements to be negotiated 
122.26 	between the commissioner, the city, and the 
122.27 	lessee. Those agreements may include, but 
122.28 	are not limited to, an agreement whereby the 
122.29 	lessee pledges to provide each year a letter 
122.30 	of credit sufficient to guarantee the payment 
122.31 	of the amount due for the next succeeding 
122.32 	year; an agreement whereby the lessee 
122.33 	agrees to maintain a net worth, certified each 
122.34 	year by a financial institution or accounting 
123.1 	firm satisfactory to the commissioner, that 
123.2 	is greater than the balance due under the 
123.3 	payment schedule in paragraph (a); and any 
123.4 	other agreements the commissioner may 
123.5 	deem necessary to ensure that the payments 
123.6 	are made as scheduled.
123.7 	(d) The agreements must provide that the 
123.8 	failure of the lessee to make a payment due 
123.9 	to the city under the agreement is an event 
123.10 	of default under the lease between the city 
123.11 	and the lessee and that the state is entitled to 
123.12 	enforce the remedies of the lessor under the 
123.13 	lease in the event of default. Those remedies 
123.14 	must include, but need not be limited to, the 
123.15 	obligation of the lessee to pay the balance due 
123.16 	for the remainder of the payment schedule 
123.17 	in the event the lessee ceases to operate a 
123.18 	National Hockey League team in the arena.
123.19 	(e) By January 1, 1999, the commissioner 
123.20 	shall report to the chair of the senate 
123.21 	committee on state government finance 
123.22 	and the chair of the house committee on 
123.23 	ways and means the terms of an agreement 
123.24 	between the lessee and the amateur sports 
123.25 	commission whereby the lessee agrees to 
123.26 	make the facilities of the arena available to 
123.27 	the commission on terms satisfactory to the 
123.28 	commission for amateur sports activities 
123.29 	consistent with the purposes of Minnesota 
123.30 	Statutes, chapter 240A, each year during the 
123.31 	time the loan is outstanding. The amateur 
123.32 	sports commission must negotiate in good 
123.33 	faith and may be required to pay no more 
123.34 	than actual out-of-pocket expenses for the 
123.35 	time it uses the arena. The agreement may 
123.36 	not become effective before February 1, 
124.1 	1999. During any calendar year after 1999 
124.2 	that an agreement under this paragraph is 
124.3 	not in effect and a payment is due under 
124.4 	the schedule, the lessee must pay to the 
124.5 	commissioner a penalty of $750,000 for that 
124.6 	year. If the amateur sports commission has 
124.7 	not negotiated in good faith, no penalty is 
124.8 	due.

124.9 	Sec. 32. CONSTRUCTION MITIGATION PILOT PROGRAM.
124.10 		Subdivision 1.Purpose. The purpose of the construction mitigation grant program 
124.11 	is to mitigate the impacts of transportation construction on local small businesses, to 
124.12 	promote the retention of jobs in transportation construction areas, and to provide outreach 
124.13 	to the public and small businesses to minimize interruption to local commerce. The 
124.14 	Department of Transportation, Department of Employment and Economic Development, 
124.15 	and local government units shall work together to ensure that the recommendations 
124.16 	of the Department of Transportation's 2009 report to the legislature on transportation 
124.17 	construction impacts and any statutory changes resulting from the report recommendations 
124.18 	are applied when implementing the grant program.
124.19 		Subd. 2.Establishment. The commissioner of employment and economic 
124.20 	development shall develop and implement a construction mitigation grant program to 
124.21 	make grants available to local government units to mitigate the impacts of transportation 
124.22 	construction on local small businesses.
124.23 		Subd. 3.Definitions. For purposes of this section: 
124.24 	(1) "applicant" means a local government unit; 
124.25 	(2) "commissioner" means the commissioner of the Department of Employment and 
124.26 	Economic Development;
124.27 	(3) "eligible transportation project entirely or partially funded by state or federal 
124.28 	funds" means a project that will affect one or more small businesses as a result of 
124.29 	transportation work because the work is anticipated to impair road access for a minimum 
124.30 	period of one month;
124.31 	(4) "local government unit" means a county, statutory or home rule charter city, 
124.32 	town, special district, or other political subdivision;
124.33 	(5) "project" has the meaning given it in Minnesota Statutes, section 161.2415; and
124.34 	(6) "small business" means a business that employs ten or fewer employees and is 
124.35 	located in an area that is adjacent to an eligible project.
125.1 		Subd. 4.Applications. A grant applicant shall prepare and submit to the 
125.2 	commissioner a written proposal detailing a construction mitigation plan and strategies 
125.3 	on how the applicant will implement the plan to meet the purpose of the grant program 
125.4 	as provided in subdivision 1. An applicant shall identify any nonstate funding sources 
125.5 	available to match state funds distributed under subdivision 5.
125.6 		Subd. 5.Fund distribution. In distributing funds, the commissioner shall consider 
125.7 	the types of businesses affected by the eligible transportation project and shall balance 
125.8 	funding between eligible transportation projects within the seven-county metropolitan area 
125.9 	and eligible transportation projects outside of the seven-county metropolitan area.
125.10 		Subd. 6.Expiration. This section expires on July 1, 2011.

125.11 	EFFECTIVE DATE. This section is effective the day following final enactment.

125.12 	Sec. 33. FUNDING; APPROPRIATION.
 125.13 		Subdivision 1.Funding. To the extent that the commissioner receives funds from 
125.14 	the American Recovery and Reinvestment Act of 2009, Public Law 111-5, for the 
125.15 	purposes of Minnesota Statutes, section 116J.432, funding for the construction mitigation 
125.16 	grant program must be done through federal dollars. The commissioner of employment 
125.17 	and economic development is directed to determine whether federal dollars are available 
125.18 	for this purpose.
125.19 		Subd. 2.Appropriation. $100,000 is appropriated from the general fund to the 
125.20 	commissioner of employment and economic development to develop a construction 
125.21 	mitigation pilot program to fund up to five projects statewide. This appropriation is only 
125.22 	available if federal stimulus money is not available. This appropriation is available until 
125.23 	expended. 

125.24 	EFFECTIVE DATE. This section is effective the day following final enactment.

125.25 	Sec. 34. MINNESOTA EVENT DISTRICT EXPANSION, PHASE I.
 125.26 	The city of St. Paul may issue up to $40,000,000 of general obligation or special 
125.27 	revenue bonds to finance the design, acquisition, construction, and equipping of a public 
125.28 	community ice facility to be located within the block 39/arena tax increment district. The 
125.29 	city may pledge, or use to pay the bonds, any money available to the city or its housing 
125.30 	and redevelopment authority, including but not limited to, any revenue derived from 
125.31 	the project. The estimated collection of the pledged money may be deducted from any 
125.32 	general ad valorem taxes otherwise required to be levied before issuance of general 
126.1 	obligation bonds under Minnesota Statutes, section 475.61, subdivision 1. The bonds may 
126.2 	be issued in one or more series and sold without election on the question of issuance of 
126.3 	the bonds or the levy of a property tax to pay the bonds. Except as otherwise provided 
126.4 	in this section, the bonds must be issued, sold, and secured in the manner provided in 
126.5 	Minnesota Statutes, chapter 475.

126.6 	Sec. 35.  REPEALER.
 126.7 	Minnesota Statutes 2008, sections 60A.315, subdivisions 1, 2, 3, 4, and 5; 129D.13, 
126.8 	subdivision 4; and 176.135, subdivision 1b, are repealed.

126.9 	Sec. 36. EFFECTIVE DATE; LOCAL APPROVAL.
 126.10 	Section 34 is effective the day after the governing body of the city of St. Paul and its 
126.11 	chief clerical officer timely complete their compliance with Minnesota Statutes, section 
126.12 	645.021, subdivisions 2 and 3. Section 31 is effective the day after the city of St. Paul 
126.13 	issues the bonds authorized in section 34.