1.1                          A bill for an act 
  1.2             relating to state government; establishing a 
  1.3             settlement division in the office of administrative 
  1.4             hearings; transferring certain judges from the 
  1.5             department of labor and industry to the office of 
  1.6             administrative hearings; transferring the small claims 
  1.7             court from the department of labor and industry to the 
  1.8             office of administrative hearings; transferring 
  1.9             certain duties and funds. 
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  [SETTLEMENT DIVISION; TRANSFER OF JUDGES.] 
  1.12     The office of administrative hearings shall establish a 
  1.13  settlement division.  The workers' compensation judges and their 
  1.14  support staff, offices, furnishings, equipment, and other 
  1.15  supplies at the department of labor and industry are transferred 
  1.16  to the settlement division of the office of administrative 
  1.17  hearings. 
  1.18     Sec. 2.  [TRANSFER OF DUTIES.] 
  1.19     The following duties are transferred from the commissioner 
  1.20  of labor and industry to the office of administrative hearings: 
  1.21     (1) approving attorney fees and adjudicating disputes over 
  1.22  attorney fees; 
  1.23     (2) conducting settlement conferences; 
  1.24     (3) conducting administrative conferences and resolving 
  1.25  disputes over medical benefits, rehabilitation benefits, 
  1.26  retraining benefits, or the discontinuance of those benefits 
  1.27  involving employees, employers, insurers, rehabilitation 
  2.1   providers, or medical providers; 
  2.2      (4) ruling on motions regarding pending litigation; 
  2.3      (5) issuing temporary orders; and 
  2.4      (6) approving settlements of claims and issuing awards on 
  2.5   settlements. 
  2.6      Sec. 3.  [TRANSFER OF FUNDS.] 
  2.7      After consultation with the commissioner of labor and 
  2.8   industry and the chief administrative law judge, the 
  2.9   commissioner of finance shall make the appropriate transfer of 
  2.10  funds from the department of labor and industry to the office of 
  2.11  administrative hearings.  The funds transferred must be 
  2.12  sufficient to provide for the operation of the settlement 
  2.13  division, including the payment of salaries to all personnel 
  2.14  transferred to the office of administrative hearings and the 
  2.15  salaries for any judge or support staff positions that were 
  2.16  filled on October 1, 1997, but are vacant on the effective date 
  2.17  of this act.  The commissioner of finance shall report to the 
  2.18  legislature if the appropriation for the department of labor and 
  2.19  industry is insufficient following the transfer of funds. 
  2.20     Sec. 4.  [PROHIBITION ON LAYOFFS AND DEMOTIONS.] 
  2.21     No employee whose job duties are affected by the transfers 
  2.22  in this act may be laid off or demoted as a result of the 
  2.23  transfers. 
  2.24     Sec. 5.  [SMALL CLAIMS COURT TRANSFER.] 
  2.25     The small claims court in the department of labor and 
  2.26  industry is transferred to the office of administrative hearings.
  2.27     Sec. 6.  [INSTRUCTION TO REVISOR.] 
  2.28     The revisor of statutes shall change the term "settlement 
  2.29  judge" to "compensation judge" wherever it appears in Minnesota 
  2.30  Statutes and Minnesota Rules. 
  2.31     Sec. 7.  [EFFECTIVE DATE.] 
  2.32     Sections 1 to 6 are effective the day following final 
  2.33  enactment.