1.1 	A bill for an act
1.2 	relating to commerce; adding, modifying, or eliminating various provisions 
1.3 	governing insurance, financial institutions, commercial regulations and consumer 
1.4 	protection, and telecommunications; modifying and authorizing certain on-sale 
1.5 	liquor licenses; delaying medical supplement implementation; making technical 
1.6 	changes; establishing penalties; authorizing administrative rulemaking; requiring 
1.7 	reports;amending Minnesota Statutes 2022, sections 45.011, subdivision 1; 47.20, 
1.8 	subdivision 2; 47.54, subdivisions 2, 6; 48.24, subdivision 2; 58.02, subdivisions 
1.9 	18, 21, by adding a subdivision; 58.04, subdivisions 1, 2; 58.05, subdivisions 1, 
1.10 	3; 58.06, by adding subdivisions; 58.08, subdivisions 1a, 2; 58.10, subdivision 3; 
1.11 	58.115; 58.13, subdivision 1; 58B.02, subdivision 8, by adding a subdivision; 
1.12 	58B.03, by adding subdivisions; 58B.06, subdivisions 4, 5; 58B.07, subdivisions 
1.13 	1, 3, 9, by adding subdivisions; 58B.09, by adding a subdivision; 60A.201, by 
1.14 	adding a subdivision; 65A.29, by adding a subdivision; 67A.01, subdivision 2; 
1.15 	67A.14, subdivision 1; 72A.20, subdivision 13; 80A.61; 80A.66; 80C.05, 
1.16 	subdivision 3; 82B.021, subdivision 26; 82B.095, subdivision 3; 82B.19, 
1.17 	subdivision 1; 115C.08, subdivision 2; 176.175, subdivision 2; 237.121; 237.19; 
1.18 	239.791, by adding a subdivision; 270C.63, subdivision 8; 270C.65, subdivision 
1.19 	1; 270C.67, subdivisions 1a, 11; 270C.69, subdivision 1; 325E.66, subdivision 1; 
1.20 	325F.03; 325F.04; 325F.05; 325F.56, subdivision 2; 325F.62, subdivision 3; 
1.21 	325G.24; 325G.25, subdivision 1; 340A.101, subdivision 13; 340A.404, 
1.22 	subdivisions 1, 2, 6; 429.021, subdivision 1; 471.6161, subdivision 8; 471.617, 
1.23 	subdivision 2; 519.05; 550.37, subdivisions 2, 4, 12a, 14, 22, 23, by adding 
1.24 	subdivisions; 550.39; 571.72, subdivisions 6, 9; 571.914, subdivision 1; 571.92; 
1.25 	571.921; 571.922; 571.927; Minnesota Statutes 2023 Supplement, sections 53B.28, 
1.26 	subdivisions 18, 25; 53B.29; 53B.69, by adding subdivisions; 61A.031; 62Q.522, 
1.27 	subdivision 1; 62Q.523, subdivision 1; 80A.50; 144.587, subdivision 4; 239.791, 
1.28 	subdivision 8; 325E.21, subdivisions 1b, 11; 325E.80, subdivisions 1, 5, 6, 7; 
1.29 	332.71, subdivisions 2, 4, 5, 7; 332.72; 332.73, subdivision 1; 332.74, subdivisions 
1.30 	3, 5; Laws 2022, chapter 86, article 2, sections 3; 5; Laws 2023, chapter 57, article 
1.31 	2, sections 7; 8; 9; 10; 11; 12; 13; 14; 15; proposing coding for new law in 
1.32 	Minnesota Statutes, chapters 53B; 58; 60A; 61A; 62J; 62Q; 65A; 325F; 325G; 
1.33 	332; 513; proposing coding for new law as Minnesota Statutes, chapters 46A; 
1.34 	60M; 325O; 332C; repealing Minnesota Statutes 2022, sections 45.014; 58.08, 
1.35 	subdivision 3; 82B.25; 239.791, subdivision 3; 325G.25, subdivision 1a; 332.3351; 
1.36 	Minnesota Statutes 2023 Supplement, sections 53B.58; 62Q.522, subdivisions 3, 
1.37 	4; 332.71, subdivision 8.
2.1 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.2 	ARTICLE 1
2.3 	INSURANCE

2.4 	Section 1. Minnesota Statutes 2022, section 60A.201, is amended by adding a subdivision 
2.5 	to read:
2.6 		Subd. 6.Coverage deemed unavailable. Coverage for a risk that was referred to a 
2.7 	surplus lines broker by a Minnesota licensed insurance producer who is not affiliated with 
2.8 	the surplus lines broker is deemed unavailable from a licensed insurer.

2.9 	Sec. 2. [60A.43] DISABILITY INCOME COVERAGE; DISCLOSURE.
2.10 	(a) No contract or policy of long-term disability insurance that limits the duration of 
2.11 	coverage for mental health or substance use disorders shall be offered in this state without 
2.12 	a disclosure, provided at the time of application, that includes the following:
2.13 	(1) a notification that the long-term disability coverage selected by the potential 
2.14 	policyholder or plan sponsor limits the duration of coverage for mental health or substance 
2.15 	use disorders; and
2.16 	(2) that the potential policyholder or plan sponsor has the right to request more 
2.17 	information about the limitation and other coverage options that include an unlimited 
2.18 	duration, if available.
2.19 	(b) Receipt of the disclosure described in paragraph (a) must be acknowledged by the 
2.20 	potential policyholder or plan sponsor and evidence of the disclosure and acknowledgment 
2.21 	must be retained by the insurance company offering the coverage for a period of no less 
2.22 	than two years.

2.23 	EFFECTIVE DATE. This section is effective October 1, 2024.

2.24 	Sec. 3. [61A.012] ANNUAL NOTICE REQUIRED.
2.25 		Subdivision 1.Annual notice required. For each policy of individual life insurance 
2.26 	issued or delivered in Minnesota, a life insurance company must provide a written notice 
2.27 	to the policyholder that contains the following information, as applicable:
2.28 	(1) the policyholder;
2.29 	(2) the policy number;
2.30 	(3) the insured life; and
3.1 	(4) the current contact information for the life insurance company.
3.2 		Subd. 2.Notice requirements. The notice required under this section must be provided 
3.3 	by the life insurance company to the policyholder at least once per calendar year, sent via 
3.4 	United States mail to the policyholder's last known address or electronically to the 
3.5 	policyholder's last known email address.
3.6 		Subd. 3.Compliance with other law. This section's annual notice requirement is satisfied 
3.7 	by an annual report provided by a life insurance company to a policyholder pursuant to and 
3.8 	in compliance with section 61A.735.

3.9 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to policies 
3.10 	offered, issued, or renewed on or after that date.

3.11 	Sec. 4. Minnesota Statutes 2023 Supplement, section 61A.031, is amended to read:
3.12 	61A.031 SUICIDE PROVISIONS.
3.13 	(a) The sanity or insanity mental competency of a person shall not be a factor in 
3.14 	determining whether a person committed completed suicide within the terms of an individual 
3.15 	or group life insurance policy regulating the payment of benefits in the event of the insured's 
3.16 	suicide. This paragraph shall not be construed to alter present law but is intended to clarify 
3.17 	present law.
3.18 	(b) A life insurance policy or certificate issued or delivered in this state may exclude or 
3.19 	restrict liability for any death benefit in the event the insured dies as a result of suicide 
3.20 	within one year from the date of the issue of the policy or certificate. Any exclusion or 
3.21 	restriction shall be clearly stated in the policy or certificate. Any life insurance policy or 
3.22 	certificate which contains any exclusion or restriction under this paragraph shall also provide 
3.23 	that in the event any death benefit is denied because the insured dies as a result of suicide 
3.24 	within one year from the date of issue of the policy or certificate, the insurer shall refund 
3.25 	all premiums paid for coverage providing the denied death benefit on the insured.

3.26 	Sec. 5. Minnesota Statutes 2023 Supplement, section 62Q.522, subdivision 1, is amended 
3.27 	to read:
3.28 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this section.
3.29 	(b) "Closely held for-profit entity" means an entity that:
3.30 	(1) is not a nonprofit entity;
4.1 	(2) has more than 50 percent of the value of its ownership interest owned directly or 
4.2 	indirectly by five or fewer owners; and
4.3 	(3) has no publicly traded ownership interest.
4.4 	For purposes of this paragraph:
4.5 	(i) ownership interests owned by a corporation, partnership, limited liability company, 
4.6 	estate, trust, or similar entity are considered owned by that entity's shareholders, partners, 
4.7 	members, or beneficiaries in proportion to their interest held in the corporation, partnership, 
4.8 	limited liability company, estate, trust, or similar entity;
4.9 	(ii) ownership interests owned by a nonprofit entity are considered owned by a single 
4.10 	owner;
4.11 	(iii) ownership interests owned by all individuals in a family are considered held by a 
4.12 	single owner. For purposes of this item, "family" means brothers and sisters, including 
4.13 	half-brothers and half-sisters, a spouse, ancestors, and lineal descendants; and
4.14 	(iv) if an individual or entity holds an option, warrant, or similar right to purchase an 
4.15 	ownership interest, the individual or entity is considered to be the owner of those ownership 
4.16 	interests.
4.17 	(c) (b) "Contraceptive method" means a drug, device, or other product approved by the 
4.18 	Food and Drug Administration to prevent unintended pregnancy.
4.19 	(d) (c) "Contraceptive service" means consultation, examination, procedures, and medical 
4.20 	services related to the prevention of unintended pregnancy, excluding vasectomies. This 
4.21 	includes but is not limited to voluntary sterilization procedures, patient education, counseling 
4.22 	on contraceptives, and follow-up services related to contraceptive methods or services, 
4.23 	management of side effects, counseling for continued adherence, and device insertion or 
4.24 	removal.
4.25 	(e) "Eligible organization" means an organization that opposes providing coverage for 
4.26 	some or all contraceptive methods or services on account of religious objections and that 
4.27 	is:
4.28 	(1) organized as a nonprofit entity and holds itself out to be religious; or
4.29 	(2) organized and operates as a closely held for-profit entity, and the organization's 
4.30 	owners or highest governing body has adopted, under the organization's applicable rules of 
4.31 	governance and consistent with state law, a resolution or similar action establishing that the 
5.1 	organization objects to covering some or all contraceptive methods or services on account 
5.2 	of the owners' sincerely held religious beliefs.
5.3 	(f) "Exempt organization" means an organization that is organized and operates as a 
5.4 	nonprofit entity and meets the requirements of section 6033(a)(3)(A)(i) or (iii) of the Internal 
5.5 	Revenue Code of 1986, as amended.
5.6 	(g) (d) "Medical necessity" includes but is not limited to considerations such as severity 
5.7 	of side effects, difference in permanence and reversibility of a contraceptive method or 
5.8 	service, and ability to adhere to the appropriate use of the contraceptive method or service, 
5.9 	as determined by the attending provider.
5.10 	(h) (e) "Therapeutic equivalent version" means a drug, device, or product that can be 
5.11 	expected to have the same clinical effect and safety profile when administered to a patient 
5.12 	under the conditions specified in the labeling, and that:
5.13 	(1) is approved as safe and effective;
5.14 	(2) is a pharmaceutical equivalent: (i) containing identical amounts of the same active 
5.15 	drug ingredient in the same dosage form and route of administration; and (ii) meeting 
5.16 	compendial or other applicable standards of strength, quality, purity, and identity;
5.17 	(3) is bioequivalent in that:
5.18 	(i) the drug, device, or product does not present a known or potential bioequivalence 
5.19 	problem and meets an acceptable in vitro standard; or
5.20 	(ii) if the drug, device, or product does present a known or potential bioequivalence 
5.21 	problem, it is shown to meet an appropriate bioequivalence standard;
5.22 	(4) is adequately labeled; and
5.23 	(5) is manufactured in compliance with current manufacturing practice regulations.

5.24 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to health 
5.25 	plans offered, sold, issued, or renewed on or after that date.

5.26 	Sec. 6. Minnesota Statutes 2023 Supplement, section 62Q.523, subdivision 1, is amended 
5.27 	to read:
5.28 		Subdivision 1.Scope of coverage. Except as otherwise provided in section 62Q.522
5.29 	62Q.679, subdivisions 2 and 3 and 4, all health plans that provide prescription coverage 
5.30 	must comply with the requirements of this section.

6.1 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to health 
6.2 	plans offered, sold, issued, or renewed on or after that date.

6.3 	Sec. 7. [62Q.585] GENDER-AFFIRMING CARE COVERAGE; MEDICALLY 
6.4 	NECESSARY CARE.
6.5 		Subdivision 1.Requirement. No health plan that covers physical or mental health 
6.6 	services may be offered, sold, issued, or renewed in this state that:
6.7 	(1) excludes coverage for medically necessary gender-affirming care; or
6.8 	(2) requires gender-affirming treatments to satisfy a definition of "medically necessary 
6.9 	care," "medical necessity," or any similar term that is more restrictive than the definition 
6.10 	provided in subdivision 2.
6.11 		Subd. 2.Minimum definition. "Medically necessary care" means health care services 
6.12 	appropriate in terms of type, frequency, level, setting, and duration to the enrollee's diagnosis 
6.13 	or condition and diagnostic testing and preventive services. Medically necessary care must 
6.14 	be consistent with generally accepted practice parameters as determined by health care 
6.15 	providers in the same or similar general specialty as typically manages the condition, 
6.16 	procedure, or treatment at issue and must:
6.17 	(1) help restore or maintain the enrollee's health; or
6.18 	(2) prevent deterioration of the enrollee's condition.
6.19 		Subd. 3.Definitions. (a) For purposes of this section, the following terms have the 
6.20 	meanings given.
6.21 	(b) " Gender-affirming care" means all medical, surgical, counseling, or referral services, 
6.22 	including telehealth services, that an individual may receive to support and affirm the 
6.23 	individual's gender identity or gender expression and that are legal under the laws of this 
6.24 	state.
6.25 	(c) "Health plan" has the meaning given in section 62Q.01, subdivision 3, but includes 
6.26 	the coverages listed in section 62A.011, subdivision 3, clauses (7) and (10).

6.27 	EFFECTIVE DATE. This section is effective January 1, 2025.

6.28 	Sec. 8. [62Q.679] RELIGIOUS OBJECTIONS.
6.29 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this section.
7.1 	(b) "Closely held for-profit entity" means an entity that is not a nonprofit entity, has 
7.2 	more than 50 percent of the value of its ownership interest owned directly or indirectly by 
7.3 	five or fewer owners, and has no publicly traded ownership interest. For purposes of this 
7.4 	paragraph:
7.5 	(1) ownership interests owned by a corporation, partnership, limited liability company, 
7.6 	estate, trust, or similar entity are considered owned by that entity's shareholders, partners, 
7.7 	members, or beneficiaries in proportion to their interest held in the corporation, partnership, 
7.8 	limited liability company, estate, trust, or similar entity;
7.9 	(2) ownership interests owned by a nonprofit entity are considered owned by a single 
7.10 	owner;
7.11 	(3) ownership interests owned by all individuals in a family are considered held by a 
7.12 	single owner. For purposes of this clause, "family" means brothers and sisters, including 
7.13 	half-brothers and half-sisters, a spouse, ancestors, and lineal descendants; and
7.14 	(4) if an individual or entity holds an option, warrant, or similar right to purchase an 
7.15 	ownership interest, the individual or entity is considered to be the owner of those ownership 
7.16 	interests.
7.17 	(c) "Eligible organization" means an organization that opposes covering some or all 
7.18 	health benefits under section 62Q.522 or 62Q.585 on account of religious objections and 
7.19 	that is:
7.20 	(1) organized as a nonprofit entity and holds itself out to be religious; or
7.21 	(2) organized and operates as a closely held for-profit entity, and the organization's 
7.22 	owners or highest governing body has adopted, under the organization's applicable rules of 
7.23 	governance and consistent with state law, a resolution or similar action establishing that the 
7.24 	organization objects to covering some or all health benefits under section 62Q.522 or 
7.25 	62Q.585 on account of the owners' sincerely held religious beliefs.
7.26 	(d) "Exempt organization" means an organization that is organized and operates as a 
7.27 	nonprofit entity and meets the requirements of section 6033(a)(3)(A)(i) or (iii) of the Internal 
7.28 	Revenue Code of 1986, as amended.
7.29 		Subd. 2.Exemption. (a) An exempt organization is not required to provide coverage 
7.30 	under section 62Q.522 or 62Q.585 if the exempt organization has religious objections to 
7.31 	the coverage. An exempt organization that chooses to not provide coverage pursuant to this 
7.32 	paragraph must notify employees as part of the hiring process and must notify all employees 
7.33 	at least 30 days before:
8.1 	(1) an employee enrolls in the health plan; or
8.2 	(2) the effective date of the health plan, whichever occurs first.
8.3 	(b) If the exempt organization provides partial coverage under section 62Q.522 or 
8.4 	62Q.585, the notice required under paragraph (a) must provide a list of the portions of such 
8.5 	coverage which the organization refuses to cover.
8.6 		Subd. 3.Accommodation for eligible organizations. (a) A health plan established or 
8.7 	maintained by an eligible organization complies with the coverage requirements of section 
8.8 	62Q.522 or 62Q.585, with respect to the health benefits identified in the notice under this 
8.9 	paragraph, if the eligible organization provides notice to any health plan company with 
8.10 	which the eligible organization contracts that it is an eligible organization and that the 
8.11 	eligible organization has a religious objection to coverage for all or a subset of the health 
8.12 	benefits under section 62Q.522 or 62Q.585.
8.13 	(b) The notice from an eligible organization to a health plan company under paragraph 
8.14 	(a) must include: (1) the name of the eligible organization; (2) a statement that it objects to 
8.15 	coverage for some or all of the health benefits under section 62Q.522 or 62Q.585, including 
8.16 	a list of the health benefits to which the eligible organization objects, if applicable; and (3) 
8.17 	the health plan name. The notice must be executed by a person authorized to provide notice 
8.18 	on behalf of the eligible organization.
8.19 	(c) An eligible organization must provide a copy of the notice under paragraph (a) to 
8.20 	prospective employees as part of the hiring process and to all employees at least 30 days 
8.21 	before:
8.22 	(1) an employee enrolls in the health plan; or
8.23 	(2) the effective date of the health plan, whichever occurs first.
8.24 	(d) A health plan company that receives a copy of the notice under paragraph (a) with 
8.25 	respect to a health plan established or maintained by an eligible organization must, for all 
8.26 	future enrollments in the health plan:
8.27 	(1) expressly exclude coverage for those health benefits identified in the notice under 
8.28 	paragraph (a) from the health plan; and
8.29 	(2) provide separate payments for any health benefits required to be covered under 
8.30 	section 62Q.522 or 62Q.585 for enrollees as long as the enrollee remains enrolled in the 
8.31 	health plan.
9.1 	(e) The health plan company must not impose any cost-sharing requirements, including 
9.2 	co-pays, deductibles, or coinsurance, or directly or indirectly impose any premium, fee, or 
9.3 	other charge for the health benefits under section 62Q.522 on the enrollee. The health plan 
9.4 	company must not directly or indirectly impose any premium, fee, or other charge for the 
9.5 	health benefits under section 62Q.522 or 62Q.585 on the eligible organization or health 
9.6 	plan.
9.7 	(f) On January 1, 2024, and every year thereafter a health plan company must notify the 
9.8 	commissioner, in a manner determined by the commissioner, of the number of eligible 
9.9 	organizations granted an accommodation under this subdivision.

9.10 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to health 
9.11 	plans offered, sold, issued, or renewed on or after that date.

9.12 	Sec. 9. Minnesota Statutes 2022, section 65A.29, is amended by adding a subdivision to 
9.13 	read:
9.14 		Subd. 8a.Losses resulting from lightning, wind, rain, or hail.  (a) An insurer may 
9.15 	refuse to renew a policy of homeowner's insurance if the insured had three or more covered 
9.16 	losses each over $10,000 resulting from lightning, wind, rain, or hail during the five-year 
9.17 	period immediately preceding the refusal to renew.
9.18 	(b) If an insurer elects to not renew a policy of homeowner's insurance under paragraph 
9.19 	(a), the insurer must provide the insured 60 days' advance notice of the insurer's intention 
9.20 	to make the election. The notice must specify the reason for the refusal to renew and must 
9.21 	inform the insured of the possibility of coverage through the Minnesota FAIR plan under 
9.22 	sections 65A.31 to 65A.42.
9.23 	(c) An insurer writing homeowner's insurance for property located in Minnesota must 
9.24 	annually report to the commissioner the number of policies not renewed under paragraph 
9.25 	(a).
9.26 	(d) An insurer may, at the end of a homeowner's insurance policy period, offer to reduce 
9.27 	the policy's coverage by revising the policy's deductible to a percentage-based deductible 
9.28 	solely for losses resulting from lightning, wind, rain, or hail without complying with the 
9.29 	nonrenewal rules in Minnesota Rules, chapter 2880, provided:
9.30 	(1) the percentage-based deductible only obligates the insured to pay that percentage of 
9.31 	the cost, at the time any loss or damage occurs, to actually repair, rebuild, or replace the 
9.32 	insured property;
10.1 	(2) the insurer provides the insured at least 60 days' advance notice of the insurer's offer 
10.2 	to revise the deductible in a manner consistent with this section;
10.3 	(3) the 60 days' notice the insurer provides to the insured clearly and fully discloses in 
10.4 	plain language all details pertaining to the revised deductible, including an example of how 
10.5 	the deductible works in the event of an insured loss resulting from lightning, wind, rain, or 
10.6 	hail with the percentage the consumer is obligated to pay when applied to the cost of repair; 
10.7 	and
10.8 	(4) the insurer offers the insured at least one reasonable flat-dollar deductible option 
10.9 	that does not exceed the highest percentage deductible policy in lieu of the percentage-based 
10.10 	deductible. The offer under this clause must be included in the 60 days' notice the insurer 
10.11 	provides to the insured. The 60 days' notice must also clearly and conspicuously disclose 
10.12 	that if the insured fails to elect the percentage-based deductible but renews the policy, the 
10.13 	policy's deductible is the flat-dollar deductible.

10.14 	Sec. 10. [65A.3025] CONDOMINIUM AND TOWNHOUSE POLICIES; 
10.15 	COORDINATION OF BENEFITS FOR LOSS ASSESSMENT.
10.16 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
10.17 	the meanings given.
10.18 	(b) "Assessable loss" means a covered loss under the terms of a policy governed by 
10.19 	subdivision 2, paragraph (a) or (b).
10.20 	(c) "Association" has the meaning given in section 515B.1-103, clause (4).
10.21 	(d) "Unit owner" has the meaning given in section 515B.1-103, clause (37).
10.22 		Subd. 2.Loss assessment. (a) If a loss assessment is charged by an association to an 
10.23 	individual unit owner, the insurance policy in force at the time of the assessable loss must 
10.24 	pay the loss assessment, subject to the limits provided in the policy, notwithstanding any 
10.25 	policy provisions regarding when loss assessment coverage accrues, and subject to any 
10.26 	other terms, conditions, and exclusions in the policy, if the following conditions are met:
10.27 	(1) the unit owner at the time of the assessable loss is the owner of the property listed 
10.28 	on the policy at the time the loss assessment is charged;
10.29 	(2) the insurance policy in force at the time of the assessable loss provides loss assessment 
10.30 	coverage; and
10.31 	(3) a loss assessment and the event or occurrence which triggers a loss assessment shall 
10.32 	be considered a single loss for underwriting and rating purposes.
11.1 	(b) If a loss assessment is charged by an association to an individual unit owner, the 
11.2 	insurance policy in force at the time the loss assessment is charged must pay the assessment, 
11.3 	subject to the limits provided in the policy, notwithstanding any policy provisions regarding 
11.4 	when loss assessment coverage accrues, and subject to any other terms, conditions, and 
11.5 	exclusions in the policy, if the following conditions are met:
11.6 	(1) the unit owner at the time of the loss assessment is charged is different than the unit 
11.7 	owner at the time of the assessable loss; and
11.8 	(2) the insurance policy in force at the time the loss assessment is charged provides loss 
11.9 	assessment coverage.
11.10 	(c) For a loss assessment under paragraph (b), an insurer may require evidence 
11.11 	documenting that the transfer of ownership occurred prior to the assessment before the 
11.12 	insurer affords coverage.

11.13 	Sec. 11. Minnesota Statutes 2022, section 67A.01, subdivision 2, is amended to read:
11.14 		Subd. 2.Authorized territory. (a) A township mutual fire insurance company may be 
11.15 	authorized to write business in up to nine adjoining counties in the aggregate at the same 
11.16 	time. If policyholder surplus is at least $500,000 as reported in the company's last annual 
11.17 	financial statement filed with the commissioner, the company may, if approval has been 
11.18 	granted by the commissioner, be authorized to write business in ten or more counties in the 
11.19 	aggregate at the same time, subject to a maximum of 20 30 adjoining counties, in accordance 
11.20 	with the following schedule:

11.21	Number of Counties
	Surplus Requirement
		
11.22	10
	$500,000
		
11.23	11
	600,000
		
11.24	12
	700,000
		
11.25	13
	800,000
		
11.26	14
	900,000
		
11.27	15
	1,000,000
		
11.28	16
	1,100,000
		
11.29	17
	1,200,000
		
11.30	18
	1,300,000
		
11.31	19
	1,400,000
		
11.32	20
	1,500,000
		
11.33	21
	1,600,000
		
11.34	22
	1,700,000
		
12.1	23
	1,800,000
		
12.2	24
	1,900,000
		
12.3	25
	2,000,000
		
12.4	26
	2,100,000
		
12.5	27
	2,200,000
		
12.6	28
	2,300,000
		
12.7	29
	2,400,000
		
12.8	30
	2,500,000
		
12.9 	(b) In the case of a merger of two or more companies having contiguous territories, the 
12.10 	surviving company in the merger may transact business in the entire territory of the merged 
12.11 	companies; however, the territory of the surviving company in the merger may not be larger 
12.12 	than 20 must be approved by the commissioner and may not be in excess of 30 counties, 
12.13 	provided the company complies with the additional reporting requirements stipulated in 
12.14 	paragraph (g).
12.15 	(c) Notwithstanding paragraph (b), a policy issued by a constituent company to the 
12.16 	merger may remain effective, without respect to the policy being issued in a county outside 
12.17 	the territory of the surviving company, until the policy:
12.18 	(1) expires or is terminated by the policy's terms; or
12.19 	(2) is terminated or annulled and canceled in accordance with section 67A.18.
12.20 	The surviving company must not amend or renew a policy issued in a county outside the 
12.21 	surviving company's territory.
12.22 	(c) (d) A township mutual fire insurance company may write new and renewal insurance 
12.23 	on property in cities within the company's authorized territory having a population less than 
12.24 	25,000. A township mutual fire insurance company may continue to write new and renewal 
12.25 	insurance once the population increases to 25,000 or greater provided that amended and 
12.26 	restated articles are filed with the commissioner along with a certification that such city's 
12.27 	population has increased to 25,000 or greater.
12.28 	(d) (e) A township mutual fire insurance company may write new and renewal insurance 
12.29 	on property in cities within the company's authorized territory with a population of 25,000 
12.30 	or greater, but less than 150,000, if approval has been granted by the commissioner. No 
12.31 	township mutual fire insurance company shall insure any property in cities with a population 
12.32 	of 150,000 or greater.
12.33 	(e) (f) If a township mutual fire insurance company provides evidence to the 
12.34 	commissioner that the company had insurance in force on December 31, 2007, in a city 
13.1 	within the company's authorized territory with a population of 25,000 or greater, but less 
13.2 	than 150,000, the company may write new and renewal insurance on property in that city 
13.3 	provided that the company files amended and restated articles by July 31, 2010, naming 
13.4 	that city.
13.5 	(g) If a surviving company of a merger writes in more than 20 counties, that company 
13.6 	must report to the commissioner the following items on a quarterly basis:
13.7 	(1) income statement;
13.8 	(2) balance sheet;
13.9 	(3) insurance in force; and
13.10 	(4) number of policies.

13.11 	Sec. 12. Minnesota Statutes 2022, section 67A.14, subdivision 1, is amended to read:
13.12 		Subdivision 1.Kinds of property; property outside authorized territory. (a) Township 
13.13 	mutual fire insurance companies may insure qualified property. Qualified property means 
13.14 	dwellings, household goods, appurtenant structures, farm buildings, farm personal property, 
13.15 	churches, church personal property, county fair buildings, community and township meeting 
13.16 	halls and their usual contents.
13.17 	(b) Township mutual fire insurance companies may extend coverage to include an 
13.18 	insured's secondary property if the township mutual fire insurance company covers qualified 
13.19 	property belonging to the insured. Secondary property means any real or personal property 
13.20 	that is not considered qualified property for a township mutual fire insurance company to 
13.21 	cover under this chapter. The maximum amount of coverage that a township mutual fire 
13.22 	insurance company may write for secondary property is 25 percent of the total limit of 
13.23 	liability of the policy issued to an insured covering the qualified property.
13.24 	(c) A township mutual fire insurance company may insure any real or personal property, 
13.25 	including qualified or secondary property, subject to the limitations in subdivision 1, 
13.26 	paragraph (b), located outside the limits of the territory in which the company is authorized 
13.27 	by its certificate or articles of incorporation to transact business, if the company is already 
13.28 	covering qualified property belonging to the insured, inside the limits of the company's 
13.29 	territory. For purposes of this paragraph, qualified property inside the limits of the company's 
13.30 	territory includes qualified property outside the territory of the surviving company to a 
13.31 	merger for the duration of the policy insuring the qualified property if the qualified property 
13.32 	was qualified property inside the territory of a constituent company to the merger.
14.1 	(d) A township mutual fire insurance company may insure property temporarily outside 
14.2 	of the authorized territory of the township mutual fire insurance company.

14.3 	Sec. 13. Minnesota Statutes 2022, section 72A.20, subdivision 13, is amended to read:
14.4 		Subd. 13.Refusal to renew. (a) Refusing to renew, declining to offer or write, or charging 
14.5 	differential rates for an equivalent amount of homeowner's insurance coverage, as defined 
14.6 	by section 65A.27, for property located in a town or statutory or home rule charter city, in 
14.7 	which the insurer offers to sell or writes homeowner's insurance, solely because:
14.8 	(a) (1) of the geographic area in which the property is located;
14.9 	(b) (2) of the age of the primary structure sought to be insured;
14.10 	(c) (3) the insured or prospective insured was denied coverage of the property by another 
14.11 	insurer, whether by cancellation, nonrenewal or declination to offer coverage, for a reason 
14.12 	other than those specified in section 65A.01, subdivision 3a, clauses (a) to (e);
14.13 	(d) (4) the property of the insured or prospective insured has been insured under the 
14.14 	Minnesota FAIR Plan Act, shall constitute an unfair method of competition and an unfair 
14.15 	and deceptive act or practice; or
14.16 	(e) (5) the insured has inquired about coverage for a hypothetical claim or has made an 
14.17 	inquiry to the insured's agent regarding a potential claim.
14.18 	This subdivision prohibits an insurer from filing or charging different rates for different 
14.19 	zip code areas within the same town or statutory or home rule charter city.
14.20 	(b) An insurer must not establish more than one geographical rating territory within the 
14.21 	same city of the first class or city of the second class that has 60,000 or more inhabitants. 
14.22 	For purposes of compliance with this paragraph: (1) the population of the cities subject to 
14.23 	this paragraph is determined by the preceding United States decennial census, as reported 
14.24 	by the Minnesota State Demographic Center; and (2) the territorial boundaries of the cities 
14.25 	subject to this paragraph are the boundaries as the boundaries exist on December 31 in years 
14.26 	ending in 0 or 5, whichever is more recent. Any revisions to the rating manual resulting 
14.27 	from a change in the territorial boundaries or population must be filed with the commissioner 
14.28 	within 120 days of the date the data are reported.
14.29 	(c) This subdivision shall not prohibit the insurer from applying underwriting or rating 
14.30 	standards which the insurer applies generally in all other locations in the state and which 
14.31 	are not specifically prohibited by clauses (a) to (e). Such underwriting or rating standards 
14.32 	shall specifically include but not be limited to standards based upon the proximity of the 
15.1 	insured property to an extraordinary hazard or based upon the quality or availability of fire 
15.2 	protection services or based upon the density or concentration of the insurer's risks. Clause 
15.3 	(b) shall not prohibit the use of rating standards based upon the age of the insured structure's 
15.4 	plumbing, electrical, heating or cooling system or other part of the structure, the age of 
15.5 	which affects the risk of loss. Any insurer's failure to comply with section 65A.29, 
15.6 	subdivisions 2 to 4, either (1) by failing to give an insured or applicant the required notice 
15.7 	or statement or (2) by failing to state specifically a bona fide underwriting or other reason 
15.8 	for the refusal to write shall create a presumption that the insurer has violated this subdivision.

15.9 	Sec. 14. Minnesota Statutes 2022, section 325E.66, subdivision 1, is amended to read:
15.10 		Subdivision 1.Payment or rebate of insurance deductible Residential contractor; 
15.11 	prohibited insurance practices. (a) A residential contractor providing home repair or 
15.12 	improvement services to be paid by an insured from the proceeds of a property or casualty 
15.13 	insurance policy shall not,:
15.14 	(1) as an inducement to the sale or provision of goods or services to an insured, advertise 
15.15 	or promise to pay, directly or indirectly, all or part of any applicable insurance deductible 
15.16 	or offer to compensate an insured for providing any service to the insured. The prohibition 
15.17 	under this clause includes but is not limited to offering compensation in exchange for:
15.18 	(i) allowing the residential contractor to conduct an inspection of the covered property;
15.19 	(ii) making an insurance claim for damage to the covered property; or
15.20 	(iii) referring the residential contractor's services to others when insurance proceeds are 
15.21 	payable;
15.22 	(2) provide an insured with an agreement authorizing repairs without also providing a 
15.23 	good faith estimate of the itemized and detailed cost of services and materials undertaken 
15.24 	pursuant to a property and casualty claim; or
15.25 	(3) interpret policy provisions or advise an insured regarding coverages or duties under 
15.26 	the insured's policy, or adjust a property insurance claim on behalf of the insured, unless 
15.27 	the contractor has a license as a public adjuster under chapter 72B.
15.28 	(b) If a residential contractor violates this section, the insurer to whom the insured 
15.29 	tendered the claim shall not be obligated to consider the estimate prepared by the residential 
15.30 	contractor. The residential contractor must provide a written notification of the requirements 
15.31 	of this section with its initial estimate. The adjuster or insurer must provide a written 
15.32 	notification of the requirements of this section in the initial estimate relating to the claim.
16.1 	(c) For purposes of this section, "residential contractor" means a residential roofer, as 
16.2 	defined in section 326B.802, subdivision 14; a residential building contractor, as defined 
16.3 	in section 326B.802, subdivision 11; and a residential remodeler, as defined in section 
16.4 	326B.802, subdivision 12.

16.5 	Sec. 15. Minnesota Statutes 2022, section 471.6161, subdivision 8, is amended to read:
16.6 		Subd. 8.School districts; group health insurance coverage. (a) Any entity providing 
16.7 	group health insurance coverage to a school district must provide the school district with 
16.8 	school district-specific nonidentifiable aggregate claims records for the most recent 24 
16.9 	months within 30 days of the request.
16.10 	(b) School districts shall request proposals for group health insurance coverage as 
16.11 	provided in subdivision 2 from a minimum of three potential sources of coverage. One of 
16.12 	these requests must go to an administrator governed by chapter 43A. Entities referenced in 
16.13 	subdivision 1 must respond to requests for proposals received directly from a school district. 
16.14 	School districts that are self-insured must also follow these provisions, except as provided 
16.15 	in paragraph (f) (g). School districts must make requests for proposals at least 150 days 
16.16 	prior to the expiration of the existing contract but not more frequently than once every 24 
16.17 	months. The request for proposals must include the most recently available 24 months of 
16.18 	nonidentifiable aggregate claims data. The request for proposals must be publicly released 
16.19 	at or prior to its release to potential sources of coverage.
16.20 	(c) School district contracts for group health insurance must not be longer than two years 
16.21 	unless the exclusive representative of the largest employment group and the school district 
16.22 	agree otherwise.
16.23 	(d) All proposals for group health insurance coverage, including coverage offered under 
16.24 	chapters 43A and 123A, must include the information described in this paragraph for each 
16.25 	separate health plan being proposed. The information must be on the first page of each 
16.26 	proposal in a summary section and in a separate tabular format. The information must use 
16.27 	a uniform set of assumptions, including but not limited to enrollment projections by plan, 
16.28 	enrollment projections by tier, and number of members. Proposals that do not include all 
16.29 	of the following information are not eligible to be selected by a school district. All proposals 
16.30 	must include the:
16.31 	(1) structure of the health plan, designating either exclusive provider organization, 
16.32 	preferred provider organization, point of service, or health maintenance organization;
17.1 	(2) health plan actuarial value, using the minimum value calculator described in Code 
17.2 	of Federal Regulations, title 45, section 156.145;
17.3 	(3) type of provider network, designating either narrow network, broad network, narrow 
17.4 	tiered network, or broad tiered network;
17.5 	(4) agent or broker commissions paid as part of the premium, as requested by the proposal, 
17.6 	displayed in dollars per member per month;
17.7 	(5) total premium dollars in the first 12-month period of the quote, not including 
17.8 	commissions;
17.9 	(6) total premium dollars, per member per month, not including commissions; and
17.10 	(7) number of expected members used for the premium quote calculation.
17.11 	(d) (e) All initial proposals shall be sealed upon receipt until they are all opened no less 
17.12 	than 90 days prior to the plan's renewal date in the presence of up to three representatives 
17.13 	selected by the exclusive representative of the largest group of employees. Section 13.591, 
17.14 	subdivision 3, paragraph (b), applies to data in the proposals. The representatives of the 
17.15 	exclusive representative must maintain the data according to this classification and are 
17.16 	subject to the remedies and penalties under sections 13.08 and 13.09 for a violation of this 
17.17 	requirement.
17.18 	(e) (f) A school district, in consultation with the same representatives referenced in 
17.19 	paragraph (d) (e), may continue to negotiate with any entity that submitted a proposal under 
17.20 	paragraph (d) (e) in order to reduce costs or improve services under the proposal. Following 
17.21 	the negotiations any entity that submitted an initial proposal may submit a final proposal 
17.22 	incorporating the negotiations, which is due no less than 75 days prior to the plan's renewal 
17.23 	date. All the final proposals submitted must be opened at the same time in the presence of 
17.24 	up to three representatives selected by the exclusive representative of the largest group of 
17.25 	employees. Notwithstanding section 13.591, subdivision 3, paragraph (b), following the 
17.26 	opening of the final proposals, all the proposals, including any made under paragraph (d)
17.27 	(e), and other data submitted in connection with the proposals are public data. The school 
17.28 	district may choose from any of the initial or final proposals without further negotiations 
17.29 	and in accordance with subdivision 5, but not sooner than 15 days after the proposals become 
17.30 	public data.
17.31 	(f) (g) School districts that are self-insured shall follow all of the requirements of this 
17.32 	section, except that:
18.1 	(1) their requests for proposals may be for third-party administrator services, where 
18.2 	applicable;
18.3 	(2) these requests for proposals must be from a minimum of three different sources, 
18.4 	which may include both entities referenced in subdivision 1 and providers of third-party 
18.5 	administrator services;
18.6 	(3) for purposes of fulfilling the requirement to request a proposal for group insurance 
18.7 	coverage from an administrator governed by chapter 43A, self-insured districts are not 
18.8 	required to include in the request for proposal the coverage to be provided;
18.9 	(4) a district that is self-insured on or before the date of enactment, or that is self-insured 
18.10 	with more than 1,000 insured lives, or a district in which the school board adopted a motion 
18.11 	on or before May 14, 2014, to approve a self-insured health care plan to be effective July 
18.12 	1, 2014, may, but need not, request a proposal from an administrator governed by chapter 
18.13 	43A;
18.14 	(5) requests for proposals must be sent to providers no less than 90 days prior to the 
18.15 	expiration of the existing contract; and
18.16 	(6) proposals must be submitted at least 60 days prior to the plan's renewal date and all 
18.17 	proposals shall be opened at the same time and in the presence of the exclusive representative, 
18.18 	where applicable.
18.19 	(g) (h) Nothing in this section shall restrict the authority granted to school district boards 
18.20 	of education by section 471.59, except that districts will not be considered self-insured for 
18.21 	purposes of this subdivision solely through participation in a joint powers arrangement.
18.22 	(h) (i) An entity providing group health insurance to a school district under a multiyear 
18.23 	contract must give notice of any rate or plan design changes applicable under the contract 
18.24 	at least 90 days before the effective date of any change. The notice must be given to the 
18.25 	school district and to the exclusive representatives of employees.

18.26 	Sec. 16. Minnesota Statutes 2022, section 471.617, subdivision 2, is amended to read:
18.27 		Subd. 2.Jointly. Any two or more statutory or home rule charter cities, counties, school 
18.28 	districts, or instrumentalities thereof which together have more than 100 employees may 
18.29 	jointly self-insure for any employee health benefits including long-term disability, but not 
18.30 	for employee life benefits, subject to the same requirements as an individual self-insurer 
18.31 	under subdivision 1. Self-insurance pools under this section are subject to section 62L.045. 
18.32 	A self-insurance pool established and operated by one or more service cooperatives governed 
18.33 	by section 123A.21 to provide coverage described in this subdivision qualifies under this 
19.1 	subdivision, but the individual school district members of such a pool shall not be considered 
19.2 	to be self-insured for purposes of section 471.6161, subdivision 8, paragraph (f) (g). The 
19.3 	commissioner of commerce may adopt rules pursuant to chapter 14, providing standards or 
19.4 	guidelines for the operation and administration of self-insurance pools.

19.5 	Sec. 17. REPEALER.
 19.6 	(a) Minnesota Statutes 2022, section 332.3351, is repealed.
19.7 	(b) Minnesota Statutes 2023 Supplement, section 62Q.522, subdivisions 3 and 4, are 
19.8 	repealed.

19.9 	EFFECTIVE DATE. Paragraph (b) is effective January 1, 2025, and applies to health 
19.10 	plans offered, sold, issued, or renewed on or after that date.

19.11 	ARTICLE 2
19.12 	FINANCIAL INSTITUTIONS

19.13 	Section 1. [46A.01] DEFINITIONS.
19.14 		Subdivision 1.Terms.  For the purposes of this chapter, the terms defined in this section 
19.15 	have the meanings given them.
19.16 		Subd. 2.Authorized user. "Authorized user" means any employee, contractor, agent, 
19.17 	or other person who: (1) participates in a financial institution's business operations; and (2) 
19.18 	is authorized to access and use any of the financial institution's information systems and 
19.19 	data.
19.20 		Subd. 3.Commissioner. "Commissioner" means the commissioner of commerce.
19.21 		Subd. 4.Consumer. (a) "Consumer" means an individual who obtains or has obtained 
19.22 	from a financial institution a financial product or service that is used primarily for personal, 
19.23 	family, or household purposes, or is used by the individual's legal representative. Consumer 
19.24 	includes but is not limited to an individual who:
19.25 	(1) applies to a financial institution for credit for personal, family, or household purposes, 
19.26 	regardless of whether the credit is extended;
19.27 	(2) provides nonpublic personal information to a financial institution in order to obtain 
19.28 	a determination whether the individual qualifies for a loan used primarily for personal, 
19.29 	family, or household purposes, regardless of whether the loan is extended;
19.30 	(3) provides nonpublic personal information to a financial institution in connection with 
19.31 	obtaining or seeking to obtain financial, investment, or economic advisory services, regardless 
20.1 	of whether the financial institution establishes a continuing advisory relationship with the 
20.2 	individual; or
20.3 	(4) has a loan for personal, family, or household purposes in which the financial institution 
20.4 	has ownership or servicing rights, even if the financial institution or one or more other 
20.5 	institutions that hold ownership or servicing rights in conjunction with the financial institution 
20.6 	hires an agent to collect on the loan.
20.7 	(b) Consumer does not include an individual who:
20.8 	(1) is a consumer of another financial institution that uses a different financial institution 
20.9 	to act solely as an agent for, or provide processing or other services to, the consumer's 
20.10 	financial institution;
20.11 	(2) designates a financial institution solely for the purposes to act as a trustee for a trust;
20.12 	(3) is the beneficiary of a trust for which the financial institution serves as trustee; or
20.13 	(4) is a participant or a beneficiary of an employee benefit plan that the financial 
20.14 	institution sponsors or for which the financial institution acts as a trustee or fiduciary.
20.15 		Subd. 5.Continuing relationship. (a) "Continuing relationship" means a consumer:
20.16 	(1) has a credit or investment account with a financial institution;
20.17 	(2) obtains a loan from a financial institution;
20.18 	(3) purchases an insurance product from a financial institution;
20.19 	(4) holds an investment product through a financial institution, including but not limited 
20.20 	to when the financial institution acts as a custodian for securities or for assets in an individual 
20.21 	retirement arrangement;
20.22 	(5) enters into an agreement or understanding with a financial institution whereby the 
20.23 	financial institution undertakes to arrange or broker a home mortgage loan, or credit to 
20.24 	purchase a vehicle, for the consumer;
20.25 	(6) enters into a lease of personal property on a nonoperating basis with a financial 
20.26 	institution;
20.27 	(7) obtains financial, investment, or economic advisory services from a financial 
20.28 	institution for a fee;
20.29 	(8) becomes a financial institution's client to obtain tax preparation or credit counseling 
20.30 	services from the financial institution;
21.1 	(9) obtains career counseling while: (i) seeking employment with a financial institution 
21.2 	or the finance, accounting, or audit department of any company; or (ii) employed by a 
21.3 	financial institution or department of any company;
21.4 	(10) is obligated on an account that a financial institution purchases from another financial 
21.5 	institution, regardless of whether the account is in default when purchased, unless the 
21.6 	financial institution does not locate the consumer or attempt to collect any amount from the 
21.7 	consumer on the account;
21.8 	(11) obtains real estate settlement services from a financial institution; or
21.9 	(12) has a loan for which a financial institution owns the servicing rights.
21.10 	(b) Continuing relationship does not include situations where:
21.11 	(1) the consumer obtains a financial product or service from a financial institution only 
21.12 	in isolated transactions, including but not limited to: (i) using a financial institution's 
21.13 	automated teller machine to withdraw cash from an account at another financial institution; 
21.14 	(ii) purchasing a money order from a financial institution; (iii) cashing a check with a 
21.15 	financial institution; or (iv) making a wire transfer through a financial institution;
21.16 	(2) a financial institution sells the consumer's loan and does not retain the rights to service 
21.17 	the loan;
21.18 	(3) a financial institution sells the consumer airline tickets, travel insurance, or traveler's 
21.19 	checks in isolated transactions;
21.20 	(4) the consumer obtains onetime personal or real property appraisal services from a 
21.21 	financial institution; or
21.22 	(5) the consumer purchases checks for a personal checking account from a financial 
21.23 	institution.
21.24 		Subd. 6.Customer. "Customer" means a consumer who has a customer relationship 
21.25 	with a financial institution.
21.26 		Subd. 7.Customer information. "Customer information" means any record containing 
21.27 	nonpublic personal information about a financial institution's customer, whether the record 
21.28 	is in paper, electronic, or another form, that is handled or maintained by or on behalf of the 
21.29 	financial institution or the financial institution's affiliates.
21.30 		Subd. 8.Customer relationship. "Customer relationship" means a continuing relationship 
21.31 	between a consumer and a financial institution under which the financial institution provides 
22.1 	to the consumer one or more financial products or services that are used primarily for 
22.2 	personal, family, or household purposes.
22.3 		Subd. 9.Encryption. "Encryption" means the transformation of data into a format that 
22.4 	results in a low probability of assigning meaning without the use of a protective process or 
22.5 	key, consistent with current cryptographic standards and accompanied by appropriate 
22.6 	safeguards for cryptographic key material.
22.7 		Subd. 10.Federally insured depository financial institution. "Federally insured 
22.8 	depository financial institution" means a bank, credit union, savings and loan association, 
22.9 	trust company, savings association, savings bank, industrial bank, or industrial loan company 
22.10 	organized under the laws of the United States or any state of the United States, when the 
22.11 	bank, credit union, savings and loan association, trust company, savings association, savings 
22.12 	bank, industrial bank, or industrial loan company has federally insured deposits.
22.13 		Subd. 11.Financial product or service. "Financial product or service" means any 
22.14 	product or service that a financial holding company could offer by engaging in a financial 
22.15 	activity under section 4(k) of the Bank Holding Company Act of 1956, United States Code, 
22.16 	title 12, section 1843(k). Financial product or service includes a financial institution's 
22.17 	evaluation or brokerage of information that the financial institution collects in connection 
22.18 	with a request or an application from a consumer for a financial product or service.
22.19 		Subd. 12.Financial institution. "Financial institution" means a consumer small loan 
22.20 	lender under section 47.60, a person owning or maintaining electronic financial terminals 
22.21 	under section 47.62, a trust company under chapter 48A, a loan and thrift company under 
22.22 	chapter 53, a currency exchange under chapter 53A, a money transmitter under chapter 53B, 
22.23 	a sales finance company under chapter 53C, a regulated loan lender under chapter 56, a 
22.24 	residential mortgage originator or servicer under chapter 58, a student loan servicer under 
22.25 	chapter 58B, a credit service organization under section 332.54, a debt management service 
22.26 	provider or person providing debt management services under chapter 332A, or a debt 
22.27 	settlement service provider or person providing debt settlement services under chapter 332B.
22.28 		Subd. 13.Information security program. "Information security program" means the 
22.29 	administrative, technical, or physical safeguards a financial institution uses to access, collect, 
22.30 	distribute, process, protect, store, use, transmit, dispose of, or otherwise handle customer 
22.31 	information.
22.32 		Subd. 14.Information system. "Information system" means a discrete set of electronic 
22.33 	information resources organized to collect, process, maintain, use, share, disseminate, or 
22.34 	dispose of electronic information, as well as any specialized system, including but not 
23.1 	limited to industrial process controls systems, telephone switching and private branch 
23.2 	exchange systems, and environmental controls systems, that contains customer information 
23.3 	or that is connected to a system that contains customer information.
23.4 		Subd. 15.Multifactor authentication. "Multifactor authentication" means authentication 
23.5 	through verification of at least two of the following factors:
23.6 	(1) knowledge factors, including but not limited to a password;
23.7 	(2) possession factors, including but not limited to a token; or
23.8 	(3) inherence factors, including but not limited to biometric characteristics.
23.9 		Subd. 16.Nonpublic personal information. (a) "Nonpublic personal information" 
23.10 	means:
23.11 	(1) personally identifiable financial information; or
23.12 	(2) any list, description, or other grouping of consumers, including publicly available 
23.13 	information pertaining to the list, description, or other grouping of consumers, that is derived 
23.14 	using personally identifiable financial information that is not publicly available.
23.15 	(b) Nonpublic personal information includes but is not limited to any list of individuals' 
23.16 	names and street addresses that is derived in whole or in part using personally identifiable 
23.17 	financial information that is not publicly available, including account numbers.
23.18 	(c) Nonpublic personal information does not include:
23.19 	(1) publicly available information, except as included on a list described in paragraph 
23.20 	(a), clause (2);
23.21 	(2) any list, description, or other grouping of consumers, including publicly available 
23.22 	information pertaining to the list, description, or other grouping of consumers, that is derived 
23.23 	without using any personally identifiable financial information that is not publicly available; 
23.24 	or
23.25 	(3) any list of individuals' names and addresses that contains only publicly available 
23.26 	information, is not derived in whole or in part using personally identifiable financial 
23.27 	information that is not publicly available, and is not disclosed in a manner that indicates 
23.28 	that any individual on the list is the financial institution's consumer.
23.29 		Subd. 17.Notification event. "Notification event" means the acquisition of unencrypted 
23.30 	customer information without the authorization of the individual to which the information 
23.31 	pertains. Customer information is considered unencrypted for purposes of this subdivision 
23.32 	if the encryption key was accessed by an unauthorized person. Unauthorized acquisition is 
24.1 	presumed to include unauthorized access to unencrypted customer information unless the 
24.2 	financial institution has reliable evidence showing that there has not been, or could not 
24.3 	reasonably have been, unauthorized acquisition of customer information.
24.4 		Subd. 18.Penetration testing. "Penetration testing" means a test methodology in which 
24.5 	assessors attempt to circumvent or defeat the security features of an information system by 
24.6 	attempting to penetrate databases or controls from outside or inside a financial institution's 
24.7 	information systems.
24.8 		Subd. 19.Personally identifiable financial information. (a) "Personally identifiable 
24.9 	financial information" means any information:
24.10 	(1) a consumer provides to a financial institution to obtain a financial product or service;
24.11 	(2) about a consumer resulting from any transaction involving a financial product or 
24.12 	service between a financial institution and a consumer; or
24.13 	(3) a financial institution otherwise obtains about a consumer in connection with providing 
24.14 	a financial product or service to the customer.
24.15 	(b) Personally identifiable financial information includes:
24.16 	(1) information a consumer provides to a financial institution on an application to obtain 
24.17 	a loan, credit card, or other financial product or service;
24.18 	(2) account balance information, payment history, overdraft history, and credit or debit 
24.19 	card purchase information;
24.20 	(3) the fact that an individual is or has been a financial institution's customer or has 
24.21 	obtained a financial product or service from the financial institution;
24.22 	(4) any information about a financial institution's consumer, if the information is disclosed 
24.23 	in a manner that indicates that the individual is or has been the financial institution's 
24.24 	consumer;
24.25 	(5) any information that a consumer provides to a financial institution or that a financial 
24.26 	institution or a financial institution's agent otherwise obtains in connection with collecting 
24.27 	on or servicing a credit account;
24.28 	(6) any information a financial institution collects through an Internet information 
24.29 	collecting device from a web server; and
24.30 	(7) information from a consumer report.
24.31 	(c) Personally identifiable financial information does not include:
25.1 	(1) a list of customer names and addresses for an entity that is not a financial institution; 
25.2 	and
25.3 	(2) information that does not identify a consumer, including but not limited to aggregate 
25.4 	information or blind data that does not contain personal identifiers, including account 
25.5 	numbers, names, or addresses.
25.6 		Subd. 20.Publicly available information. (a) "Publicly available information" means 
25.7 	any information that a financial institution has a reasonable basis to believe is lawfully made 
25.8 	available to the general public from:
25.9 	(1) federal, state, or local government records;
25.10 	(2) widely distributed media; or
25.11 	(3) disclosures to the general public that are required under federal, state, or local law.
25.12 	(b) Publicly available information includes but is not limited to:
25.13 	(1) with respect to government records, information in government real estate records 
25.14 	and security interest filings; and
25.15 	(2) with respect to widely distributed media, information from a telephone book, a 
25.16 	television or radio program, a newspaper, or a website that is available to the general public 
25.17 	on an unrestricted basis. A website is not restricted merely because an Internet service 
25.18 	provider or a site operator requires a fee or a password, provided that access is available to 
25.19 	the general public.
25.20 	(c) For purposes of this subdivision, a financial institution has a reasonable basis to 
25.21 	believe that information is lawfully made available to the general public if the financial 
25.22 	institution has taken steps to determine: (1) that the information is of the type that is available 
25.23 	to the general public; and (2) whether an individual can direct that the information not be 
25.24 	made available to the general public and, if so, that the financial institution's consumer has 
25.25 	not directed that the information not be made available to the general public. A financial 
25.26 	institution has a reasonable basis to believe that mortgage information is lawfully made 
25.27 	available to the general public if the financial institution determines the information is of 
25.28 	the type included on the public record in the jurisdiction where the mortgage would be 
25.29 	recorded. A financial institution has a reasonable basis to believe that an individual's 
25.30 	telephone number is lawfully made available to the general public if the financial institution 
25.31 	has located the telephone number in the telephone book or the consumer has informed the 
25.32 	financial institution that the telephone number is not unlisted.
26.1 		Subd. 21.Qualified individual. "Qualified individual" means the individual designated 
26.2 	by a financial institution to oversee, implement, and enforce the financial institution's 
26.3 	information security program.
26.4 		Subd. 22.Security event. "Security event" means an event resulting in unauthorized 
26.5 	access to, or disruption or misuse of: (1) an information system or information stored on an 
26.6 	information system; or (2) customer information held in physical form.
26.7 		Subd. 23.Service provider. "Service provider" means any person or entity that receives, 
26.8 	maintains, processes, or otherwise is permitted access to customer information through the 
26.9 	service provider's provision of services directly to a financial institution that is subject to 
26.10 	this chapter.

26.11 	Sec. 2. [46A.02] SAFEGUARDING CUSTOMER INFORMATION; STANDARDS.
26.12 		Subdivision 1.Information security program. (a) A financial institution must develop, 
26.13 	implement, and maintain a comprehensive information security program.
26.14 	(b) The information security program must: (1) be written in one or more readily 
26.15 	accessible parts; and (2) contain administrative, technical, and physical safeguards that are 
26.16 	appropriate to the financial institution's size and complexity, the nature and scope of the 
26.17 	financial institution's activities, and the sensitivity of any customer information at issue.
26.18 	(c) The information security program must include the elements set forth in section 
26.19 	46A.03 and must be reasonably designed to achieve the objectives of this chapter, as 
26.20 	established under subdivision 2.
26.21 		Subd. 2.Objectives. The objectives of this chapter are to:
26.22 	(1) ensure the security and confidentiality of customer information;
26.23 	(2) protect against any anticipated threats or hazards to the security or integrity of 
26.24 	customer information; and
26.25 	(3) protect against unauthorized access to or use of customer information that might 
26.26 	result in substantial harm or inconvenience to a customer.

26.27 	Sec. 3. [46A.03] ELEMENTS.
26.28 		Subdivision 1.Generally. In order to develop, implement, and maintain an information 
26.29 	security program, a financial institution must comply with this section.
26.30 		Subd. 2.Qualified individual. (a) A financial institution must designate a qualified 
26.31 	individual responsible for overseeing, implementing, and enforcing the financial institution's 
27.1 	information security program. The qualified individual may be employed by the financial 
27.2 	institution, an affiliate, or a service provider.
27.3 	(b) If a financial institution designates an individual employed by an affiliate or service 
27.4 	provider as the financial institution's qualified individual, the financial institution must:
27.5 	(1) retain responsibility for complying with this chapter;
27.6 	(2) designate a senior member of the financial institution's personnel to be responsible 
27.7 	for directing and overseeing the qualified individual's activities; and
27.8 	(3) require the service provider or affiliate to maintain an information security program 
27.9 	that protects the financial institution in a manner that complies with the requirements of 
27.10 	this chapter.
27.11 		Subd. 3.Security risk assessment. (a) A financial institution must base the financial 
27.12 	institution's information security program on a risk assessment that:
27.13 	(1) identifies reasonably foreseeable internal and external risks to the security, 
27.14 	confidentiality, and integrity of customer information that might result in the unauthorized 
27.15 	disclosure, misuse, alteration, destruction, or other compromise of customer information; 
27.16 	and
27.17 	(2) assesses the sufficiency of any safeguards in place to control the risks identified 
27.18 	under clause (1).
27.19 	(b) The risk assessment must be made in writing and must include:
27.20 	(1) criteria to evaluate and categorize identified security risks or threats the financial 
27.21 	institution faces;
27.22 	(2) criteria to assess the confidentiality, integrity, and availability of the financial 
27.23 	institution's information systems and customer information, including the adequacy of 
27.24 	existing controls in the context of the identified risks or threats the financial institution 
27.25 	faces; and
27.26 	(3) requirements describing how:
27.27 	(i) identified risks are mitigated or accepted based on the risk assessment; and
27.28 	(ii) the information security program addresses the risks.
27.29 	(c) A financial institution must periodically perform additional risk assessments that:
27.30 	(1) reexamine the reasonably foreseeable internal and external risks to the security, 
27.31 	confidentiality, and integrity of customer information that might result in the unauthorized 
28.1 	disclosure, misuse, alteration, destruction, or other compromise of customer information; 
28.2 	and
28.3 	(2) reassess the sufficiency of any safeguards in place to control the risks identified 
28.4 	under clause (1).
28.5 		Subd. 4.Risk control. A financial institution must design and implement safeguards to 
28.6 	control the risks the financial institution identifies through the risk assessment under 
28.7 	subdivision 3, including by:
28.8 	(1) implementing and periodically reviewing access controls, including technical and, 
28.9 	as appropriate, physical controls to:
28.10 	(i) authenticate and permit access only to authorized users to protect against the 
28.11 	unauthorized acquisition of customer information; and
28.12 	(ii) limit an authorized user's access to only customer information that the authorized 
28.13 	user needs to perform the authorized user's duties and functions or, in the case of a customer, 
28.14 	to limit access to the customer's own information;
28.15 	(2) identifying and managing the data, personnel, devices, systems, and facilities that 
28.16 	enable the financial institution to achieve business purposes in accordance with the business 
28.17 	purpose's relative importance to business objectives and the financial institution's risk 
28.18 	strategy;
28.19 	(3) protecting by encryption all customer information held or transmitted by the financial 
28.20 	institution both in transit over external networks and at rest. To the extent a financial 
28.21 	institution determines that encryption of customer information either in transit over external 
28.22 	networks or at rest is infeasible, the financial institution may secure the customer information 
28.23 	using effective alternative compensating controls that have been reviewed and approved by 
28.24 	the financial institution's qualified individual;
28.25 	(4) adopting: (i) secure development practices for in-house developed applications 
28.26 	utilized by the financial institution to transmit, access, or store customer information; and 
28.27 	(ii) procedures to evaluate, assess, or test the security of externally developed applications 
28.28 	the financial institution uses to transmit, access, or store customer information;
28.29 	(5) implementing multifactor authentication for any individual that accesses any 
28.30 	information system, unless the financial institution's qualified individual has approved in 
28.31 	writing the use of a reasonably equivalent or more secure access control;
28.32 	(6) developing, implementing, and maintaining procedures to securely dispose of 
28.33 	customer information in any format no later than two years after the last date the information 
29.1 	is used in connection with providing a product or service to the customer to whom the 
29.2 	information relates, unless: (i) the information is necessary for business operations or for 
29.3 	other legitimate business purposes; (ii) the information is otherwise required to be retained 
29.4 	by law or regulation; or (iii) targeted disposal of the information is not reasonably feasible 
29.5 	due to the manner in which the information is maintained;
29.6 	(7) periodically reviewing the financial institution's data retention policy to minimize 
29.7 	the unnecessary retention of data;
29.8 	(8) adopting procedures for change management; and
29.9 	(9) implementing policies, procedures, and controls designed to: (i) monitor and log the 
29.10 	activity of authorized users; and (ii) detect unauthorized access to, use of, or tampering with 
29.11 	customer information by authorized users.
29.12 		Subd. 5.Testing and monitoring. (a) A financial institution must regularly test or 
29.13 	otherwise monitor the effectiveness of the safeguards' key controls, systems, and procedures, 
29.14 	including the controls, systems, and procedures that detect actual and attempted attacks on, 
29.15 	or intrusions into, information systems.
29.16 	(b) For information systems, monitoring and testing must include continuous monitoring 
29.17 	or periodic penetration testing and vulnerability assessments. Absent effective continuous 
29.18 	monitoring or other systems to detect on an ongoing basis any changes in information 
29.19 	systems that may create vulnerabilities, a financial institution must conduct:
29.20 	(1) annual penetration testing of the financial institution's information systems, based 
29.21 	on relevant identified risks in accordance with the risk assessment; and
29.22 	(2) vulnerability assessments, including systemic scans or information systems reviews 
29.23 	that are reasonably designed to identify publicly known security vulnerabilities in the 
29.24 	financial institution's information systems based on the risk assessment, at least every six 
29.25 	months, whenever a material change to the financial institution's operations or business 
29.26 	arrangements occurs, and whenever the financial institution knows or has reason to know 
29.27 	circumstances exist that may have a material impact on the financial institution's information 
29.28 	security program.
29.29 		Subd. 6.Internal policies and procedures. A financial institution must implement 
29.30 	policies and procedures to ensure that the financial institution's personnel are able to enact 
29.31 	the financial institution's information security program by:
29.32 	(1) providing the financial institution's personnel with security awareness training that 
29.33 	is updated as necessary to reflect risks identified by the risk assessment;
30.1 	(2) utilizing qualified information security personnel employed by the financial institution, 
30.2 	an affiliate, or a service provider sufficient to manage the financial institution's information 
30.3 	security risks and to perform or oversee the information security program;
30.4 	(3) providing information security personnel with security updates and training sufficient 
30.5 	to address relevant security risks; and
30.6 	(4) verifying that key information security personnel take steps to maintain current 
30.7 	knowledge of changing information security threats and countermeasures.
30.8 		Subd. 7.Provider oversight. A financial institution must oversee service providers by:
30.9 	(1) taking reasonable steps to select and retain service providers that are capable of 
30.10 	maintaining appropriate safeguards for the customer information at issue;
30.11 	(2) requiring by contract the financial institution's service providers to implement and 
30.12 	maintain appropriate safeguards; and
30.13 	(3) periodically assessing the financial institution's service providers based on the risk 
30.14 	the service providers present and the continued adequacy of the service providers' safeguards.
30.15 		Subd. 8.Information security program; evaluation; adjustment. A financial institution 
30.16 	must evaluate and adjust the financial institution's information security program to reflect: 
30.17 	(1) the results of the testing and monitoring required under subdivision 5; (2) any material 
30.18 	changes to the financial institution's operations or business arrangements; (3) the results of 
30.19 	risk assessments performed under subdivision 3, paragraph (c); or (4) any other circumstances 
30.20 	that the financial institution knows or has reason to know may have a material impact on 
30.21 	the financial institution's information security program.
30.22 		Subd. 9.Incident response plan. A financial institution must establish a written incident 
30.23 	response plan designed to promptly respond to and recover from any security event materially 
30.24 	affecting the confidentiality, integrity, or availability of customer information the financial 
30.25 	institution controls. An incident response plan must address:
30.26 	(1) the goals of the incident response plan;
30.27 	(2) the internal processes to respond to a security event;
30.28 	(3) clear roles, responsibilities, and levels of decision making authority;
30.29 	(4) external and internal communications and information sharing;
30.30 	(5) requirements to remediate any identified weaknesses in information systems and 
30.31 	associated controls;
31.1 	(6) documentation and reporting regarding security events and related incident response 
31.2 	activities; and
31.3 	(7) evaluation and revision of the incident response plan as necessary after a security 
31.4 	event.
31.5 		Subd. 10.Annual report. (a) A financial institution must require the financial institution's 
31.6 	qualified individual to report at least annually in writing to the financial institution's board 
31.7 	of directors or equivalent governing body. If a board of directors or equivalent governing 
31.8 	body does not exist, the report under this subdivision must be timely presented to a senior 
31.9 	officer responsible for the financial institution's information security program.
31.10 	(b) The report made under this subdivision must include the following information:
31.11 	(1) the overall status of the financial institution's information security program, including 
31.12 	compliance with this chapter and associated administrative rules; and
31.13 	(2) material matters related to the financial institution's information security program, 
31.14 	including but not limited to addressing issues pertaining to: (i) the risk assessment; (ii) risk 
31.15 	management and control decisions; (iii) service provider arrangements; (iv) testing results; 
31.16 	(v) security events or violations and management's responses to the security event or 
31.17 	violation; and (vi) recommendations for changes in the information security program.
31.18 		Subd. 11.Business continuity; disaster recovery. A financial institution must establish 
31.19 	a written plan addressing business continuity and disaster recovery.

31.20 	Sec. 4. [46A.04] EXCEPTIONS AND EXEMPTIONS.
31.21 	(a) The requirements under section 46A.03, subdivisions 3; 5, paragraph (a); 9; and 10, 
31.22 	do not apply to financial institutions that maintain customer information concerning fewer 
31.23 	than 5,000 consumers.
31.24 	(b) This chapter does not apply to credit unions or federally insured depository 
31.25 	institutions.

31.26 	Sec. 5. [46A.05] ALTERATION OF FEDERAL REGULATION.
31.27 	(a) If an amendment to Code of Federal Regulations, title 16, part 314, results in a 
31.28 	complete lack of federal regulations in the area, the version of the state requirements in 
31.29 	effect at the time of the amendment remain in effect for two years from the date the 
31.30 	amendment becomes effective.
32.1 	(b) During the time period under paragraph (a), the department must adopt replacement 
32.2 	administrative rules as necessary and appropriate.

32.3 	Sec. 6. [46A.06] NOTIFICATION EVENT.
32.4 		Subdivision 1.Notification requirement. (a) Upon discovering a notification event as 
32.5 	described in subdivision 2, if the notification event involves the information of at least 500 
32.6 	consumers, a financial institution must notify the commissioner without undue delay, but 
32.7 	no later than 45 days after the date the event is discovered. The notice must be made (1) in 
32.8 	a format specified by the commissioner, and (2) electronically on a form located on the 
32.9 	department's website.
32.10 	(b) The notice must include:
32.11 	(1) the name and contact information of the reporting financial institution;
32.12 	(2) a description of the types of information involved in the notification event;
32.13 	(3) if possible to determine, the date or date range of the notification event;
32.14 	(4) the number of consumers affected or potentially affected by the notification event;
32.15 	(5) a general description of the notification event; and
32.16 	(6) a statement (i) disclosing whether a law enforcement official has provided the financial 
32.17 	institution with a written determination indicating that providing notice to the public regarding 
32.18 	the breach would impede a criminal investigation or cause damage to national security, and 
32.19 	(ii) if a written determination described under item (i) was provided to the financial 
32.20 	institution, providing contact information that enables the commissioner to contact the law 
32.21 	enforcement official. A law enforcement official may request an initial delay of up to 45 
32.22 	days following the date that notice was provided to the commissioner. The delay may be 
32.23 	extended for an additional period of up to 60 days if the law enforcement official seeks an 
32.24 	extension in writing. An additional delay may be permitted only if the commissioner 
32.25 	determines that public disclosure of a security event continues to impede a criminal 
32.26 	investigation or cause damage to national security.
32.27 		Subd. 2.Notification event treated as discovered. A notification event must be treated 
32.28 	as discovered on the first day when the event is known to a financial institution. A financial 
32.29 	institution is deemed to have knowledge of a notification event if the event is known to any 
32.30 	person, other than the person committing the breach, who is the financial institution's 
32.31 	employee, officer, or other agent.

33.1 	Sec. 7. [46A.07] COMMISSIONER'S POWERS.
33.2 	(a) The commissioner has the power to examine and investigate the affairs of any covered 
33.3 	financial institution to determine whether the financial institution has been or is engaged in 
33.4 	any conduct that violates this chapter. This power is in addition to the powers granted to 
33.5 	the commissioner under section 46.01.
33.6 	(b) If the commissioner has reason to believe that a financial institution has been or is 
33.7 	engaged in conduct in Minnesota that violates this chapter, the commissioner may take 
33.8 	action necessary or appropriate to enforce this chapter.

33.9 	Sec. 8. [46A.08] CONFIDENTIALITY.
33.10 		Subdivision 1.Financial institution information. (a) Any documents, materials, or 
33.11 	other information in the control or possession of the department that are furnished by a 
33.12 	licensee or a licensee's employee or agent acting on behalf of a financial institution pursuant 
33.13 	to section 46A.06 or that are obtained by the commissioner in an investigation or examination 
33.14 	pursuant to section 46A.07: (1) are classified as confidential, protected nonpublic, or both; 
33.15 	(2) are not subject to subpoena; and (3) are not subject to discovery or admissible in evidence 
33.16 	in any private civil action.
33.17 	(b) Notwithstanding paragraph (a), clauses (1) to (3), the commissioner is authorized to 
33.18 	use the documents, materials, or other information in the furtherance of any regulatory or 
33.19 	legal action brought as a part of the commissioner's duties.
33.20 		Subd. 2.Certain testimony prohibited. Neither the commissioner nor any person who 
33.21 	received documents, materials, or other information while acting under the authority of the 
33.22 	commissioner is permitted or required to testify in a private civil action concerning 
33.23 	confidential documents, materials, or information subject to subdivision 1.
33.24 		Subd. 3.Information sharing. In order to assist in the performance of the commissioner's 
33.25 	duties under sections 46A.01 to 46A.08, the commissioner may:
33.26 	(1) share documents, materials, or other information, including the confidential and 
33.27 	privileged documents, materials, or information subject to subdivision 1, with other state, 
33.28 	federal, and international regulatory agencies, with the Conference of State Bank Supervisors, 
33.29 	the Conference of State Bank Supervisors' affiliates or subsidiaries, and with state, federal, 
33.30 	and international law enforcement authorities, provided that the recipient agrees in writing 
33.31 	to maintain the confidentiality and privileged status of the document, material, or other 
33.32 	information;
34.1 	(2) receive documents, materials, or information, including otherwise confidential and 
34.2 	privileged documents, materials, or information, from the Conference of State Bank 
34.3 	Supervisors, the Conference of State Bank Supervisors' affiliates or subsidiaries, and from 
34.4 	regulatory and law enforcement officials of other foreign or domestic jurisdictions, and 
34.5 	must maintain as confidential or privileged any document, material, or information received 
34.6 	with notice or the understanding that the document, material, or information is confidential 
34.7 	or privileged under the laws of the jurisdiction that is the source of the document, material, 
34.8 	or information;
34.9 	(3) share documents, materials, or other information subject to subdivision 1 with a 
34.10 	third-party consultant or vendor, provided the consultant agrees in writing to maintain the 
34.11 	confidentiality and privileged status of the document, material, or other information; and
34.12 	(4) enter into agreements governing the sharing and use of information that are consistent 
34.13 	with this subdivision.
34.14 		Subd. 4.No waiver of privilege or confidentiality; information retention. (a) The 
34.15 	disclosure of documents, materials, or information to the commissioner under this section 
34.16 	or as a result of sharing as authorized in subdivision 3 does not result in a waiver of any 
34.17 	applicable privilege or claim of confidentiality in the documents, materials, or information.
34.18 	(b) A document, material, or information disclosed to the commissioner under this section 
34.19 	about a cybersecurity event must be retained and preserved by the financial institution for 
34.20 	five years.
34.21 		Subd. 5.Certain actions public. Nothing in sections 46A.01 to 46A.08 prohibits the 
34.22 	commissioner from releasing final, adjudicated actions that are open to public inspection 
34.23 	pursuant to chapter 13 to a database or other clearinghouse service maintained by the 
34.24 	Conference of State Bank Supervisors, the Conference of State Bank Supervisors' affiliates, 
34.25 	or the Conference of State Bank Supervisors' subsidiaries.
34.26 		Subd. 6.Classification, protection, and use of information by others. Documents, 
34.27 	materials, or other information in the possession or control of the Conference of State Bank 
34.28 	Supervisors or a third-party consultant pursuant to sections 46A.01 to 46A.08: (1) are 
34.29 	classified as confidential, protected nonpublic, and privileged; (2) are not subject to subpoena; 
34.30 	and (3) are not subject to discovery or admissible in evidence in a private civil action.

34.31 	Sec. 9. Minnesota Statutes 2022, section 47.20, subdivision 2, is amended to read:
34.32 		Subd. 2.Definitions. For the purposes of this section the terms defined in this subdivision 
34.33 	have the meanings given them:
35.1 	(1) "Actual closing costs" mean reasonable charges for or sums paid for the following, 
35.2 	whether or not retained by the mortgagee or lender:
35.3 	(a) Any insurance premiums including but not limited to premiums for title insurance, 
35.4 	fire and extended coverage insurance, flood insurance, and private mortgage insurance, but 
35.5 	excluding any charges or sums retained by the mortgagee or lender as self-insured retention.
35.6 	(b) Abstracting, title examination and search, and examination of public records.
35.7 	(c) The preparation and recording of any or all documents required by law or custom 
35.8 	for closing a conventional or cooperative apartment loan.
35.9 	(d) Appraisal and survey of real property securing a conventional loan or real property 
35.10 	owned by a cooperative apartment corporation of which a share or shares of stock or a 
35.11 	membership certificate or certificates are to secure a cooperative apartment loan.
35.12 	(e) A single service charge, which includes any consideration, not otherwise specified 
35.13 	herein as an "actual closing cost" paid by the borrower and received and retained by the 
35.14 	lender for or related to the acquisition, making, refinancing or modification of a conventional 
35.15 	or cooperative apartment loan, and also includes any consideration received by the lender 
35.16 	for making a borrower's interest rate commitment or for making a borrower's loan 
35.17 	commitment, whether or not an actual loan follows the commitment. The term service charge 
35.18 	does not include forward commitment fees. The service charge shall not exceed one percent 
35.19 	of the original bona fide principal amount of the conventional or cooperative apartment 
35.20 	loan, except that in the case of a construction loan, the service charge shall not exceed two 
35.21 	percent of the original bona fide principal amount of the loan. That portion of the service 
35.22 	charge imposed because the loan is a construction loan shall be itemized and a copy of the 
35.23 	itemization furnished the borrower. A lender shall not collect from a borrower the additional 
35.24 	one percent service charge permitted for a construction loan if it does not perform the service 
35.25 	for which the charge is imposed or if third parties perform and charge the borrower for the 
35.26 	service for which the lender has imposed the charge.
35.27 	(f) Charges and fees necessary for or related to the transfer of real or personal property 
35.28 	securing a conventional or cooperative apartment loan or the closing of a conventional or 
35.29 	cooperative apartment loan paid by the borrower and received by any party other than the 
35.30 	lender.
35.31 	(2) "Contract for deed" means an executory contract for the conveyance of real estate, 
35.32 	the original principal amount of which is less than $300,000. A commitment for a contract 
35.33 	for deed shall include an executed purchase agreement or earnest money contract wherein 
35.34 	the seller agrees to finance any part or all of the purchase price by a contract for deed.
36.1 	(3) "Conventional loan" means a loan or advance of credit, other than a loan or advance 
36.2 	of credit made by a credit union or made pursuant to section 334.011, to a noncorporate 
36.3 	borrower in an original principal amount of less than $100,000 or equal to the conforming 
36.4 	loan limit established by the Federal Housing Finance Agency under the Housing and 
36.5 	Recovery Act of 2018, Public Law 110-289, secured by a mortgage upon real property 
36.6 	containing one or more residential units or upon which at the time the loan is made it is 
36.7 	intended that one or more residential units are to be constructed, and which is not insured 
36.8 	or guaranteed by the secretary of housing and urban development, by the administrator of 
36.9 	veterans affairs, or by the administrator of the Farmers Home Administration, and which 
36.10 	is not made pursuant to the authority granted in subdivision 1, clause (3) or (4). The term 
36.11 	mortgage does not include contracts for deed or installment land contracts.
36.12 	(4) "Cooperative apartment loan" means a loan or advance of credit, other than a loan 
36.13 	or advance of credit made by a credit union or made pursuant to section 334.011, to a 
36.14 	noncorporate borrower in an original principal amount of less than $100,000, secured by a 
36.15 	security interest on a share or shares of stock or a membership certificate or certificates 
36.16 	issued to a stockholder or member by a cooperative apartment corporation, which may be 
36.17 	accompanied by an assignment by way of security of the borrower's interest in the proprietary 
36.18 	lease or occupancy agreement in property issued by the cooperative apartment corporation 
36.19 	and which is not insured or guaranteed by the secretary of housing and urban development, 
36.20 	by the administrator of veterans affairs, or by the administrator of the Farmers Home 
36.21 	Administration.
36.22 	(5) "Cooperative apartment corporation" means a corporation or cooperative organized 
36.23 	under chapter 308A or 317A, the shareholders or members of which are entitled, solely by 
36.24 	reason of their ownership of stock or membership certificates in the corporation or 
36.25 	association, to occupy one or more residential units in a building owned or leased by the 
36.26 	corporation or association.
36.27 	(6) "Forward commitment fee" means a fee or other consideration paid to a lender for 
36.28 	the purpose of securing a binding forward commitment by or through the lender to make 
36.29 	conventional loans to two or more credit worthy purchasers, including future purchasers, 
36.30 	of residential units, or a fee or other consideration paid to a lender for the purpose of securing 
36.31 	a binding forward commitment by or through the lender to make conventional loans to two 
36.32 	or more credit worthy purchasers, including future purchasers, of units to be created out of 
36.33 	existing structures pursuant to chapter 515B, or a fee or other consideration paid to a lender 
36.34 	for the purpose of securing a binding forward commitment by or through the lender to make 
36.35 	cooperative apartment loans to two or more credit worthy purchasers, including future 
37.1 	purchasers, of a share or shares of stock or a membership certificate or certificates in a 
37.2 	cooperative apartment corporation; provided, that the forward commitment rate of interest 
37.3 	does not exceed the maximum lawful rate of interest effective as of the date the forward 
37.4 	commitment is issued by the lender.
37.5 	(7) "Borrower's interest rate commitment" means a binding commitment made by a 
37.6 	lender to a borrower wherein the lender agrees that, if a conventional or cooperative 
37.7 	apartment loan is made following issuance of and pursuant to the commitment, the 
37.8 	conventional or cooperative apartment loan shall be made at a rate of interest not in excess 
37.9 	of the rate of interest agreed to in the commitment, provided that the rate of interest agreed 
37.10 	to in the commitment is not in excess of the maximum lawful rate of interest effective as 
37.11 	of the date the commitment is issued by the lender to the borrower.
37.12 	(8) "Borrower's loan commitment" means a binding commitment made by a lender to a 
37.13 	borrower wherein the lender agrees to make a conventional or cooperative apartment loan 
37.14 	pursuant to the provisions, including the interest rate, of the commitment, provided that the 
37.15 	commitment rate of interest does not exceed the maximum lawful rate of interest effective 
37.16 	as of the date the commitment is issued and the commitment when issued and agreed to 
37.17 	shall constitute a legally binding obligation on the part of the mortgagee or lender to make 
37.18 	a conventional or cooperative apartment loan within a specified time period in the future at 
37.19 	a rate of interest not exceeding the maximum lawful rate of interest effective as of the date 
37.20 	the commitment is issued by the lender to the borrower; provided that a lender who issues 
37.21 	a borrower's loan commitment pursuant to the provisions of a forward commitment is 
37.22 	authorized to issue the borrower's loan commitment at a rate of interest not to exceed the 
37.23 	maximum lawful rate of interest effective as of the date the forward commitment is issued 
37.24 	by the lender.
37.25 	(9) "Finance charge" means the total cost of a conventional or cooperative apartment 
37.26 	loan including extensions or grant of credit regardless of the characterization of the same 
37.27 	and includes interest, finders fees, and other charges levied by a lender directly or indirectly 
37.28 	against the person obtaining the conventional or cooperative apartment loan or against a 
37.29 	seller of real property securing a conventional loan or a seller of a share or shares of stock 
37.30 	or a membership certificate or certificates in a cooperative apartment corporation securing 
37.31 	a cooperative apartment loan, or any other party to the transaction except any actual closing 
37.32 	costs and any forward commitment fee. The finance charges plus the actual closing costs 
37.33 	and any forward commitment fee, charged by a lender shall include all charges made by a 
37.34 	lender other than the principal of the conventional or cooperative apartment loan. The finance 
37.35 	charge, with respect to wraparound mortgages, shall be computed based upon the face 
38.1 	amount of the wraparound mortgage note, which face amount shall consist of the aggregate 
38.2 	of those funds actually advanced by the wraparound lender and the total outstanding principal 
38.3 	balances of the prior note or notes which have been made a part of the wraparound mortgage 
38.4 	note.
38.5 	(10) "Lender" means any person making a conventional or cooperative apartment loan, 
38.6 	or any person arranging financing for a conventional or cooperative apartment loan. The 
38.7 	term also includes the holder or assignee at any time of a conventional or cooperative 
38.8 	apartment loan.
38.9 	(11) "Loan yield" means the annual rate of return obtained by a lender over the term of 
38.10 	a conventional or cooperative apartment loan and shall be computed as the annual percentage 
38.11 	rate as computed in accordance with sections 226.5 (b), (c), and (d) of Regulation Z, Code 
38.12 	of Federal Regulations, title 12, part 226, but using the definition of finance charge provided 
38.13 	for in this subdivision. For purposes of this section, with respect to wraparound mortgages, 
38.14 	the rate of interest or loan yield shall be based upon the principal balance set forth in the 
38.15 	wraparound note and mortgage and shall not include any interest differential or yield 
38.16 	differential between the stated interest rate on the wraparound mortgage and the stated 
38.17 	interest rate on the one or more prior mortgages included in the stated loan amount on a 
38.18 	wraparound note and mortgage.
38.19 	(12) "Person" means an individual, corporation, business trust, partnership or association 
38.20 	or any other legal entity.
38.21 	(13) "Residential unit" means any structure used principally for residential purposes or 
38.22 	any portion thereof, and includes a unit in a common interest community, a nonowner 
38.23 	occupied residence, and any other type of residence regardless of whether the unit is used 
38.24 	as a principal residence, secondary residence, vacation residence, or residence of some other 
38.25 	denomination.
38.26 	(14) "Vendor" means any person or persons who agree to sell real estate and finance 
38.27 	any part or all of the purchase price by a contract for deed. The term also includes the holder 
38.28 	or assignee at any time of the vendor's interest in a contract for deed.

38.29 	Sec. 10. Minnesota Statutes 2022, section 47.54, subdivision 2, is amended to read:
38.30 		Subd. 2.Approval order. (a) If no objection is received by the commissioner within 
38.31 	15 days after the publication of the notice, the commissioner shall issue an order must 
38.32 	provide written consent approving the application without a hearing if it is found the 
38.33 	commissioner finds that (a): (1) the applicant bank meets current industry standards of 
39.1 	capital adequacy, management quality, and asset condition, (b); (2) the establishment of the 
39.2 	proposed detached facility will improve improves the quality or increase the availability of 
39.3 	banking services in the community to be served,; and (c) (3) the establishment of the proposed 
39.4 	detached facility will does not have an undue adverse effect upon the solvency of existing 
39.5 	financial institutions in the community to be served.
39.6 	Otherwise, (b) The commissioner shall must deny the an application that does not meet 
39.7 	the criteria under paragraph (a), clauses (1) to (3).
39.8 	(c) Any proceedings for judicial review of an order of written consent provided by the 
39.9 	commissioner issued under this subdivision without a contested case hearing shall be 
39.10 	conducted pursuant to the provisions of the Administrative Procedure Act relating to judicial 
39.11 	review of agency decisions, sections 14.63 to 14.69, and the scope of judicial review in 
39.12 	such proceedings shall be as provided therein. Nothing herein shall be construed as requiring 
39.13 	the commissioner to conduct a contested case hearing if no written objection is timely 
39.14 	received by the commissioner from a bank within three miles of the proposed location of 
39.15 	the detached facility.

39.16 	Sec. 11. Minnesota Statutes 2022, section 47.54, subdivision 6, is amended to read:
39.17 		Subd. 6.Expiration and extension of order approval. If a facility is not activated 
39.18 	within 18 months from the date of the order approval is granted under subdivision 2, the 
39.19 	approval order automatically expires. Upon a request of made by the applicant prior to
39.20 	before the automatic expiration date of the order approval expires, the commissioner may 
39.21 	grant reasonable extensions of time to the applicant to activate the facility as the 
39.22 	commissioner deems necessary. The extensions of time shall not exceed a total of an 
39.23 	additional 12 months. If the commissioner's order approval is the subject of an appeal in 
39.24 	accordance with chapter 14, the time period referred to in this section for activation of to 
39.25 	activate the facility and any extensions shall begin begins when all appeals or rights of 
39.26 	appeal from the commissioner's order approval have concluded or expired.

39.27 	Sec. 12. Minnesota Statutes 2022, section 48.24, subdivision 2, is amended to read:
39.28 		Subd. 2.Loan liabilities. Loans not exceeding 25 percent of such capital and surplus 
39.29 	made upon first mortgage security on improved real estate in any state in which the bank 
39.30 	or a branch established under section 49.411 detached facility of the bank is located, or in 
39.31 	any state adjoining a state in which the bank or a branch established under section 49.411
39.32 	detached facility of the bank is located, shall not constitute a liability of the maker of the 
39.33 	notes secured by such mortgages within the meaning of the foregoing provision limiting 
40.1 	liability, but shall be an actual liability of the maker. These mortgage loans shall be limited 
40.2 	to, and in no case exceed, 50 percent of the cash value of the security covered by the 
40.3 	mortgage, except mortgage loans guaranteed as provided by the Servicemen's Readjustment 
40.4 	Act of 1944, as now or hereafter amended, or for which there is a commitment to so guarantee 
40.5 	or for which a conditional guarantee has been issued, which loans shall in no case exceed 
40.6 	60 percent of the cash value of the security covered by such mortgage. For the purposes of 
40.7 	this subdivision, real estate is improved when substantial and permanent development or 
40.8 	construction has contributed substantially to its value, and agricultural land is improved 
40.9 	when farm crops are regularly raised on such land without further substantial improvements.

40.10 	Sec. 13. Minnesota Statutes 2023 Supplement, section 53B.28, subdivision 18, is amended 
40.11 	to read:
40.12 		Subd. 18.Money transmission. (a) "Money transmission" means:
40.13 	(1) selling or issuing payment instruments to a person located in this state;
40.14 	(2) selling or issuing stored value to a person located in this state; or
40.15 	(3) receiving money for transmission from a person located in this state.
40.16 	(b) Money includes payroll processing services. Money transmission does not include 
40.17 	the provision solely of online or telecommunications services or network access.

40.18 	Sec. 14. Minnesota Statutes 2023 Supplement, section 53B.28, subdivision 25, is amended 
40.19 	to read:
40.20 		Subd. 25.Payroll processing services. "Payroll processing services" means receiving 
40.21 	money for transmission pursuant to a contract with a person to deliver delivering wages or 
40.22 	salaries, make making payment of payroll taxes to state and federal agencies, make making
40.23 	payments relating to employee benefit plans, or make making distributions of other authorized 
40.24 	deductions from wages or salaries, or transmitting money on behalf of an employer in 
40.25 	connection with transactions related to employees. The term payroll processing services 
40.26 	does not include includes an employer performing payroll processing services on the 
40.27 	employer's own behalf or on behalf of the employer's affiliate, or a and professional 
40.28 	employment organization subject to regulation under other applicable state law organizations.

40.29 	Sec. 15. Minnesota Statutes 2023 Supplement, section 53B.29, is amended to read:
40.30 	53B.29 EXEMPTIONS.
40.31 	This chapter does not apply to:
41.1 	(1) an operator of a payment system, to the extent the operator of a payment system 
41.2 	provides processing, clearing, or settlement services between or among persons exempted 
41.3 	by this section or licensees in connection with wire transfers, credit card transactions, debit 
41.4 	card transactions, stored-value transactions, automated clearing house transfers, or similar 
41.5 	funds transfers;
41.6 	(2) a person appointed as an agent of a payee to collect and process a payment from a 
41.7 	payor to the payee for goods or services, other than money transmission itself, provided to 
41.8 	the payor by the payee, provided that:
41.9 	(i) there exists a written agreement between the payee and the agent directing the agent 
41.10 	to collect and process payments from payors on the payee's behalf;
41.11 	(ii) the payee holds the agent out to the public as accepting payments for goods or services 
41.12 	on the payee's behalf; and
41.13 	(iii) payment for the goods and services is treated as received by the payee upon receipt 
41.14 	by the agent so that the payor's obligation is extinguished and there is no risk of loss to the 
41.15 	payor if the agent fails to remit the funds to the payee;
41.16 	(3) a person that acts as an intermediary by processing payments between an entity that 
41.17 	has directly incurred an outstanding money transmission obligation to a sender, and the 
41.18 	sender's designated recipient, provided that the entity:
41.19 	(i) is properly licensed or exempt from licensing requirements under this chapter;
41.20 	(ii) provides a receipt, electronic record, or other written confirmation to the sender 
41.21 	identifying the entity as the provider of money transmission in the transaction; and
41.22 	(iii) bears sole responsibility to satisfy the outstanding money transmission obligation 
41.23 	to the sender, including the obligation to make the sender whole in connection with any 
41.24 	failure to transmit the funds to the sender's designated recipient;
41.25 	(4) the United States; a department, agency, or instrumentality of the United States; or 
41.26 	an agent of the United States;
41.27 	(5) money transmission by the United States Postal Service or by an agent of the United 
41.28 	States Postal Service;
41.29 	(6) a state; county; city; any other governmental agency, governmental subdivision, or 
41.30 	instrumentality of a state; or the state's agent;
41.31 	(7) a federally insured depository financial institution; bank holding company; office of 
41.32 	an international banking corporation; foreign bank that establishes a federal branch pursuant 
42.1 	to the International Bank Act, United States Code, title 12, section 3102, as amended or 
42.2 	recodified from time to time; corporation organized pursuant to the Bank Service Corporation 
42.3 	Act, United States Code, title 12, sections 1861 to 1867, as amended or recodified from 
42.4 	time to time; or corporation organized under the Edge Act, United States Code, title 12, 
42.5 	sections 611 to 633, as amended or recodified from time to time;
42.6 	(8) electronic funds transfer of governmental benefits for a federal, state, county, or 
42.7 	governmental agency by a contractor on behalf of the United States or a department, agency, 
42.8 	or instrumentality thereof, or on behalf of a state or governmental subdivision, agency, or 
42.9 	instrumentality thereof;
42.10 	(9) a board of trade designated as a contract market under the federal Commodity 
42.11 	Exchange Act, United States Code, title 7, sections 1 to 25, as amended or recodified from 
42.12 	time to time; or a person that in the ordinary course of business provides clearance and 
42.13 	settlement services for a board of trade to the extent of its operation as or for a board;
42.14 	(10) a registered futures commission merchant under the federal commodities laws, to 
42.15 	the extent of the registered futures commission merchant's operation as a merchant;
42.16 	(11) a person registered as a securities broker-dealer under federal or state securities 
42.17 	laws, to the extent of the person's operation as a securities broker-dealer;
42.18 	(12) an individual employed by a licensee, authorized delegate, or any person exempted 
42.19 	from the licensing requirements under this chapter when acting within the scope of 
42.20 	employment and under the supervision of the licensee, authorized delegate, or exempted 
42.21 	person as an employee and not as an independent contractor;
42.22 	(13) a person expressly appointed as a third-party service provider to or agent of an 
42.23 	entity exempt under clause (7), solely to the extent that:
42.24 	(i) the service provider or agent is engaging in money transmission on behalf of and 
42.25 	pursuant to a written agreement with the exempt entity that sets forth the specific functions 
42.26 	that the service provider or agent is to perform; and
42.27 	(ii) the exempt entity assumes all risk of loss and all legal responsibility for satisfying 
42.28 	the outstanding money transmission obligations owed to purchasers and holders of the 
42.29 	outstanding money transmission obligations upon receipt of the purchaser's or holder's 
42.30 	money or monetary value by the service provider or agent; or
42.31 	(14) a payroll processing services provider; or
43.1 	(14) (15) a person exempt by regulation or order if the commissioner finds that (i) the 
43.2 	exemption is in the public interest, and (ii) the regulation of the person is not necessary for 
43.3 	the purposes of this chapter.

43.4 	Sec. 16. Minnesota Statutes 2022, section 58.02, is amended by adding a subdivision to 
43.5 	read:
43.6 		Subd. 15a.Nationwide Multistate Licensing System and Registry. "Nationwide 
43.7 	Multistate Licensing System and Registry" has the meaning given in section 58A.02, 
43.8 	subdivision 8.

43.9 	Sec. 17. Minnesota Statutes 2022, section 58.02, subdivision 18, is amended to read:
43.10 		Subd. 18.Residential mortgage loan. "Residential mortgage loan" means a loan secured 
43.11 	primarily by either: (1) a mortgage, deed of trust, or other equivalent security interest on 
43.12 	residential real property estate; or (2) certificates of stock or other evidence of ownership 
43.13 	interest in and proprietary lease from corporations, partnerships, or other forms of business 
43.14 	organizations formed for the purpose of cooperative ownership of residential real property
43.15 	estate.

43.16 	Sec. 18. Minnesota Statutes 2022, section 58.02, subdivision 21, is amended to read:
43.17 		Subd. 21.Residential real estate. "Residential real estate" means real property located 
43.18 	in Minnesota upon which a dwelling, as defined in United States Code, title 15, section 
43.19 	1602(w), is constructed or is intended to be constructed, whether or not the owner occupies 
43.20 	the real property.

43.21 	Sec. 19. Minnesota Statutes 2022, section 58.04, subdivision 1, is amended to read:
43.22 		Subdivision 1.Residential mortgage originator licensing requirements. (a) No person 
43.23 	shall act as a residential mortgage originator, or make residential mortgage loans without 
43.24 	first obtaining a license from the commissioner according to the licensing procedures 
43.25 	provided in this chapter.
43.26 	(b) A licensee must be either a partnership, limited liability partnership, association, 
43.27 	limited liability company, corporation, or other form of business organization, and must 
43.28 	have and maintain a surety bond in the amounts prescribed under section 58.08.
43.29 	(c) The following persons are exempt from the residential mortgage originator licensing 
43.30 	requirements:
44.1 	(1) a person who is not in the business of making residential mortgage loans and who 
44.2 	makes no more than three such loans, with its own funds, during any 12-month period;
44.3 	(2) a financial institution as defined in section 58.02, subdivision 10;
44.4 	(3) an agency of the federal government, or of a state or municipal government;
44.5 	(4) an employee or employer pension plan making loans only to its participants;
44.6 	(5) a person acting in a fiduciary capacity, such as a trustee or receiver, as a result of a 
44.7 	specific order issued by a court of competent jurisdiction;
44.8 	(6) a person who is a bona fide nonprofit organization that meets all the criteria required 
44.9 	by the federal Secure and Fair Enforcement Licensing Act in Regulation H, adopted pursuant 
44.10 	to Code of Federal Regulations, title 12, part 1008, subpart B, section 1008.103 (e)(7)(ii);
44.11 	(6) (7) a person exempted by order of the commissioner; or
44.12 	(7) (8) a manufactured home dealer, as defined in section 327B.01, subdivision 7 or 11b, 
44.13 	or a manufactured home salesperson, as defined in section 327B.01, subdivision 19, that:
44.14 	(i) performs only clerical or support duties in connection with assisting a consumer in 
44.15 	filling out a residential mortgage loan application but does not in any way offer or negotiate 
44.16 	loan terms, or hold themselves out as a housing counselor;
44.17 	(ii) does not receive any direct or indirect compensation or gain from any individual or 
44.18 	company for assisting consumers with a residential mortgage loan application, in excess of 
44.19 	the customary salary or commission from the employer in connection with the sales 
44.20 	transaction; and
44.21 	(iii) discloses to the borrower in writing:
44.22 	(A) if a corporate affiliation with a lender exists;
44.23 	(B) if a corporate affiliation with a lender exists, that the lender cannot guarantee the 
44.24 	lowest or best terms available and the consumer has the right to choose their lender; and
44.25 	(C) if a corporate affiliation with a lender exists, the name of at least one unaffiliated 
44.26 	lender.
44.27 	(d) For the purposes of this subdivision, "housing counselor" means an individual who 
44.28 	provides assistance and guidance about residential mortgage loan terms including rates, 
44.29 	fees, or other costs.
44.30 	(e) The disclosures required under paragraph (c), clause (7) (8), item (iii), must be made 
44.31 	on a one-page form prescribed by the commissioner and developed in consultation with the 
45.1 	Manufactured and Modular Home Association. The form must be posted on the department's 
45.2 	website.

45.3 	Sec. 20. Minnesota Statutes 2022, section 58.04, subdivision 2, is amended to read:
45.4 		Subd. 2.Residential mortgage servicer licensing requirements. (a) Beginning August 
45.5 	1, 1999, no person shall engage in activities or practices that fall within the definition of 
45.6 	"servicing a residential mortgage loan" under section 58.02, subdivision 22, without first 
45.7 	obtaining a license from the commissioner according to the licensing procedures provided 
45.8 	in this chapter.
45.9 	(b) The following persons are exempt from the residential mortgage servicer licensing 
45.10 	requirements:
45.11 	(1) a person licensed as a residential mortgage originator;
45.12 	(2) an employee of one licensee or one person holding a certificate of exemption based 
45.13 	on an exemption under this subdivision;
45.14 	(3) a person servicing loans made with its own funds, if no more than three such loans 
45.15 	are made in any 12-month period;
45.16 	(4) a financial institution as defined in section 58.02, subdivision 10;
45.17 	(5) an agency of the federal government, or of a state or municipal government;
45.18 	(6) an employee or employer pension plan making loans only to its participants;
45.19 	(7) a person acting in a fiduciary capacity, such as a trustee or receiver, as a result of a 
45.20 	specific order issued by a court of competent jurisdiction; or
45.21 	(8) a person who is a bona fide nonprofit organization that meets all the criteria required 
45.22 	by the federal Secure and Fair Enforcement Licensing Act in Regulation H, Code of Federal 
45.23 	Regulations, title 12, part 1008, subpart B, section 1008.103 (e)(7)(ii); or
45.24 	(8) (9) a person exempted by order of the commissioner.

45.25 	Sec. 21. Minnesota Statutes 2022, section 58.05, subdivision 1, is amended to read:
45.26 		Subdivision 1.Exempt person. (a) An exempt person, as defined by section 58.04, 
45.27 	subdivision 1, paragraph (c), and subdivision 2, paragraph (b), is exempt from the licensing 
45.28 	requirements of this chapter, but is subject to all other provisions of this chapter.
45.29 	(b) Paragraph (a) does not apply to an institution covered under section 58.04, subdivision 
45.30 	4, even if the institution is otherwise an exempt person.

46.1 	Sec. 22. Minnesota Statutes 2022, section 58.05, subdivision 3, is amended to read:
46.2 		Subd. 3.Certificate of exemption. A person (a) The following persons must obtain a 
46.3 	certificate of exemption from the commissioner to qualify as an exempt person under section 
46.4 	58.04, subdivision 1, paragraph (c), a financial institution under clause (2),:
46.5 	(1) a bona fide nonprofit organization under section 58.04, subdivision 1, paragraph (c), 
46.6 	clause (6); or
46.7 	(2) a person exempted by order of the commissioner under section 58.04, subdivision 
46.8 	1, paragraph (c), clause (6); or (7).
46.9 	(b) The following persons must obtain a certificate of exemption from the commissioner 
46.10 	to qualify as an exempt person under section 58.04, subdivision 2, paragraph (b), as a 
46.11 	financial institution under clause (4),:
46.12 	(1) a bona fide nonprofit organization under section 58.04, subdivision 2, paragraph (b), 
46.13 	clause (8); or
46.14 	(2) a person exempted by order of the commissioner under section 58.04, subdivision 
46.15 	2, paragraph (b), clause (8) (9).

46.16 	Sec. 23. Minnesota Statutes 2022, section 58.06, is amended by adding a subdivision to 
46.17 	read:
46.18 		Subd. 5.Background checks. In connection with an application for a residential mortgage 
46.19 	loan originator or servicer license, any person in control of an applicant must, at a minimum, 
46.20 	provide the Nationwide Multistate Licensing System and Registry information concerning 
46.21 	the person's identity, including:
46.22 	(1) fingerprints for submission to the Federal Bureau of Investigation and a governmental 
46.23 	agency or entity authorized to receive the information for a state, national, and international 
46.24 	criminal history background check; and
46.25 	(2) personal history and experience in a form prescribed by the Nationwide Multistate 
46.26 	Licensing System and Registry, including the submission of authorization for the Nationwide 
46.27 	Multistate Licensing System and Registry and the commissioner to obtain:
46.28 	(i) an independent credit report obtained from a consumer reporting agency described 
46.29 	in United States Code, title 15, section 1681a(p); and
46.30 	(ii) information related to administrative, civil, or criminal findings by a governmental 
46.31 	jurisdiction.

47.1 	Sec. 24. Minnesota Statutes 2022, section 58.06, is amended by adding a subdivision to 
47.2 	read:
47.3 		Subd. 6.Requesting and distributing criminal information; agency. For the purposes 
47.4 	of this section and in order to reduce the points of contact the Federal Bureau of Investigation 
47.5 	may have to maintain for purposes of subdivision 5, clauses (1) and (2), the commissioner 
47.6 	may use the Nationwide Multistate Licensing System and Registry as a channeling agent 
47.7 	to request information from and distribute information to the United States Department of 
47.8 	Justice or any governmental agency.

47.9 	Sec. 25. Minnesota Statutes 2022, section 58.06, is amended by adding a subdivision to 
47.10 	read:
47.11 		Subd. 7.Requesting and distributing noncriminal information; agency. For the 
47.12 	purposes of this section and in order to reduce the points of contact the commissioner may 
47.13 	have to maintain for purposes of subdivision 5, clause (2), the commissioner may use the 
47.14 	Nationwide Multistate Licensing System and Registry as a channeling agent to request and 
47.15 	distribute information from and to any source, as directed by the commissioner.

47.16 	Sec. 26. Minnesota Statutes 2022, section 58.08, subdivision 1a, is amended to read:
47.17 		Subd. 1a.Residential mortgage originators. (a) An applicant for a residential mortgage 
47.18 	originator license must file with the department a surety bond in the amount of $100,000
47.19 	$125,000, issued by an insurance company authorized to do so in this state. The bond must 
47.20 	cover all mortgage loan originators who are employees or independent agents of the applicant. 
47.21 	The bond must be available for the recovery of expenses, fines, and fees levied by the 
47.22 	commissioner under this chapter and for losses incurred by borrowers as a result of a 
47.23 	licensee's noncompliance with the requirements of this chapter, sections 325D.43 to 325D.48, 
47.24 	and 325F.67 to 325F.69, or breach of contract relating to activities regulated by this chapter.
47.25 	(b) The bond must be submitted with the originator's license application and evidence 
47.26 	of continued coverage must be submitted with each renewal. Any change in the bond must 
47.27 	be submitted for approval by the commissioner, within ten days of its execution. The bond 
47.28 	or a substitute bond shall remain in effect during all periods of licensing.
47.29 	(c) Upon filing of the mortgage call report as required by section 58A.17 58.141, a 
47.30 	licensee shall maintain or increase its the licensee's surety bond to reflect the total dollar 
47.31 	amount of the closed residential mortgage loans originated in this state in the preceding 
47.32 	year according to the table in this paragraph. A licensee may decrease its the licensee's
48.1 	surety bond according to the table in this paragraph if the surety bond required is less than 
48.2 	the amount of the surety bond on file with the department.

48.3
48.4	Dollar Amount of Closed Residential 
Mortgage Loans
	Surety Bond Required
	
48.5	$0 to $5,000,000 $10,000,000
	$100,000 $125,000
	
48.6
48.7	$5,000,000.01 $10,000,000.01 to $10,000,000
$25,000,000
	$125,000 $150,000
	
48.8
48.9	$10,000,000.01 $25,000,000.01 to 
$25,000,000 $100,000,000
	$150,000 $200,000
	
48.10	Over $25,000,000 $100,000,000
	$200,000 $300,000
	
48.11 	For purposes of this subdivision, "mortgage loan originator" has the meaning given the 
48.12 	term in section 58A.02, subdivision 7.

48.13 	Sec. 27. Minnesota Statutes 2022, section 58.08, subdivision 2, is amended to read:
48.14 		Subd. 2.Residential mortgage servicers. (a) A residential mortgage servicer licensee 
48.15 	shall continuously maintain a surety bond or irrevocable letter of credit in an amount not 
48.16 	less than $100,000 $125,000 in a form approved by the commissioner, issued by an insurance 
48.17 	company or bank authorized to do so in this state. The bond or irrevocable letter of credit 
48.18 	must be available for the recovery of expenses, fines, and fees levied by the commissioner 
48.19 	under this chapter, and for losses or damages incurred by borrowers or other aggrieved 
48.20 	parties as the result of a licensee's noncompliance with the requirements of this chapter, 
48.21 	sections 325D.43 to 325D.48, and 325F.67 to 325F.69, or breach of contract relating to 
48.22 	activities regulated by this chapter.
48.23 	(b) The bond or irrevocable letter of credit must be submitted with the servicer's license 
48.24 	application and evidence of continued coverage must be submitted with each renewal. Any 
48.25 	change in the bond or letter of credit must be submitted for approval by the commissioner, 
48.26 	within ten days of its execution. The bond or a substitute bond must remain in effect during 
48.27 	all periods of a license.
48.28 	(c) Upon filing the mortgage call report under section 58.141, a licensee must maintain 
48.29 	or increase the licensee's surety bond to reflect the total dollar amount of unpaid principal 
48.30 	balance for residential mortgage loans serviced in Minnesota during the preceding quarter 
48.31 	according to the table in this paragraph. A licensee may decrease the licensee's surety bond 
48.32 	according to the table in this paragraph if the surety bond required is less than the amount 
48.33 	of the surety bond on file with the department.

49.1
49.2	Dollar Amount of Unpaid Principal Balance 
for Serviced Residential Mortgage Loans
	Surety Bond Required
	
49.3	$0 to $10,000,000
	$125,000
	
49.4	$10,000,000.01 to $50,000,000
	$200,000
	
49.5	Over $50,000,000
	$300,000

49.6 	Sec. 28. Minnesota Statutes 2022, section 58.10, subdivision 3, is amended to read:
49.7 		Subd. 3.Consumer education account; money credited and appropriated. (a) The 
49.8 	consumer education account is created in the special revenue fund. Money credited to this 
49.9 	account may be appropriated to the commissioner for the purpose of making to: (1) make
49.10 	grants to programs and campaigns designed to help consumers avoid being victimized by 
49.11 	unscrupulous lenders and mortgage brokers; and (2) pay for expenses the commissioner 
49.12 	incurs to provide outreach and education related to affordable housing and home ownership 
49.13 	education. The commissioner must give preference shall be given for grants to programs 
49.14 	and campaigns designed by coalitions of public sector, private sector, and nonprofit agencies, 
49.15 	institutions, companies, and organizations.
49.16 	(b) A sum sufficient is appropriated annually from the consumer education account to 
49.17 	the commissioner to make the grants described in paragraph (a).

49.18 	Sec. 29. Minnesota Statutes 2022, section 58.115, is amended to read:
49.19 	58.115 EXAMINATIONS.
49.20 	The commissioner has under this chapter the same powers with respect to examinations 
49.21 	that the commissioner has under section 46.04. In addition to the powers under section 
49.22 	46.04, the commissioner may accept examination reports prepared by a state agency that 
49.23 	has comparable supervisory powers and examination procedures. The authority under section 
49.24 	49.411, subdivision 7, applies to examinations of institutions under this chapter.

49.25 	Sec. 30. Minnesota Statutes 2022, section 58.13, subdivision 1, is amended to read:
49.26 		Subdivision 1.Generally. (a) No person acting as a residential mortgage originator or 
49.27 	servicer, including a person required to be licensed under this chapter, and no person exempt 
49.28 	from the licensing requirements of this chapter under section 58.04, except as otherwise 
49.29 	provided in paragraph (b), shall:
49.30 	(1) fail to maintain a trust account to hold trust funds received in connection with a 
49.31 	residential mortgage loan;
50.1 	(2) fail to deposit all trust funds into a trust account within three business days of receipt; 
50.2 	commingle trust funds with funds belonging to the licensee or exempt person; or use trust 
50.3 	account funds for any purpose other than that for which they are received;
50.4 	(3) unreasonably delay the processing of a residential mortgage loan application, or the 
50.5 	closing of a residential mortgage loan. For purposes of this clause, evidence of unreasonable 
50.6 	delay includes but is not limited to those factors identified in section 47.206, subdivision 
50.7 	7, paragraph (d);
50.8 	(4) fail to disburse funds according to its contractual or statutory obligations;
50.9 	(5) fail to perform in conformance with its written agreements with borrowers, investors, 
50.10 	other licensees, or exempt persons;
50.11 	(6) charge a fee for a product or service where the product or service is not actually 
50.12 	provided, or misrepresent the amount charged by or paid to a third party for a product or 
50.13 	service;
50.14 	(7) fail to comply with sections 345.31 to 345.60, the Minnesota unclaimed property 
50.15 	law;
50.16 	(8) violate any provision of any other applicable state or federal law regulating residential 
50.17 	mortgage loans including, without limitation, sections 47.20 to 47.208 and 47.58;
50.18 	(9) make or cause to be made, directly or indirectly, any false, deceptive, or misleading 
50.19 	statement or representation in connection with a residential loan transaction including, 
50.20 	without limitation, a false, deceptive, or misleading statement or representation regarding 
50.21 	the borrower's ability to qualify for any mortgage product;
50.22 	(10) conduct residential mortgage loan business under any name other than that under 
50.23 	which the license or certificate of exemption was issued;
50.24 	(11) compensate, whether directly or indirectly, coerce or intimidate an appraiser for 
50.25 	the purpose of influencing the independent judgment of the appraiser with respect to the 
50.26 	value of real estate that is to be covered by a residential mortgage or is being offered as 
50.27 	security according to an application for a residential mortgage loan;
50.28 	(12) issue any document indicating conditional qualification or conditional approval for 
50.29 	a residential mortgage loan, unless the document also clearly indicates that final qualification 
50.30 	or approval is not guaranteed, and may be subject to additional review;
51.1 	(13) make or assist in making any residential mortgage loan with the intent that the loan 
51.2 	will not be repaid and that the residential mortgage originator will obtain title to the property 
51.3 	through foreclosure;
51.4 	(14) provide or offer to provide for a borrower, any brokering or lending services under 
51.5 	an arrangement with a person other than a licensee or exempt person, provided that a person 
51.6 	may rely upon a written representation by the residential mortgage originator that it is in 
51.7 	compliance with the licensing requirements of this chapter;
51.8 	(15) claim to represent a licensee or exempt person, unless the person is an employee 
51.9 	of the licensee or exempt person or unless the person has entered into a written agency 
51.10 	agreement with the licensee or exempt person;
51.11 	(16) fail to comply with the record keeping and notification requirements identified in 
51.12 	section 58.14 or fail to abide by the affirmations made on the application for licensure;
51.13 	(17) represent that the licensee or exempt person is acting as the borrower's agent after 
51.14 	providing the nonagency disclosure required by section 58.15, unless the disclosure is 
51.15 	retracted and the licensee or exempt person complies with all of the requirements of section 
51.16 	58.16;
51.17 	(18) make, provide, or arrange for a residential mortgage loan that is of a lower investment 
51.18 	grade if the borrower's credit score or, if the originator does not utilize credit scoring or if 
51.19 	a credit score is unavailable, then comparable underwriting data, indicates that the borrower 
51.20 	may qualify for a residential mortgage loan, available from or through the originator, that 
51.21 	is of a higher investment grade, unless the borrower is informed that the borrower may 
51.22 	qualify for a higher investment grade loan with a lower interest rate and/or lower discount 
51.23 	points, and consents in writing to receipt of the lower investment grade loan;
51.24 	For purposes of this section, "investment grade" refers to a system of categorizing 
51.25 	residential mortgage loans in which the loans are distinguished by interest rate or discount 
51.26 	points or both charged to the borrower, which vary according to the degree of perceived 
51.27 	risk of default based on factors such as the borrower's credit, including credit score and 
51.28 	credit patterns, income and employment history, debt ratio, loan-to-value ratio, and prior 
51.29 	bankruptcy or foreclosure;
51.30 	(19) make, publish, disseminate, circulate, place before the public, or cause to be made, 
51.31 	directly or indirectly, any advertisement or marketing materials of any type, or any statement 
51.32 	or representation relating to the business of residential mortgage loans that is false, deceptive, 
51.33 	or misleading;
52.1 	(20) advertise loan types or terms that are not available from or through the licensee or 
52.2 	exempt person on the date advertised, or on the date specified in the advertisement. For 
52.3 	purposes of this clause, advertisement includes, but is not limited to, a list of sample mortgage 
52.4 	terms, including interest rates, discount points, and closing costs provided by licensees or 
52.5 	exempt persons to a print or electronic medium that presents the information to the public;
52.6 	(21) use or employ phrases, pictures, return addresses, geographic designations, or other 
52.7 	means that create the impression, directly or indirectly, that a licensee or other person is a 
52.8 	governmental agency, or is associated with, sponsored by, or in any manner connected to, 
52.9 	related to, or endorsed by a governmental agency, if that is not the case;
52.10 	(22) violate section 82.77, relating to table funding;
52.11 	(23) make, provide, or arrange for a residential mortgage loan all or a portion of the 
52.12 	proceeds of which are used to fully or partially pay off a "special mortgage" unless the 
52.13 	borrower has obtained a written certification from an authorized independent loan counselor 
52.14 	that the borrower has received counseling on the advisability of the loan transaction. For 
52.15 	purposes of this section, "special mortgage" means a residential mortgage loan originated, 
52.16 	subsidized, or guaranteed by or through a state, tribal, or local government, or nonprofit 
52.17 	organization, that bears one or more of the following nonstandard payment terms which 
52.18 	substantially benefit the borrower: (i) payments vary with income; (ii) payments of principal 
52.19 	or interest are not required or can be deferred under specified conditions; (iii) principal or 
52.20 	interest is forgivable under specified conditions; or (iv) where no interest or an annual 
52.21 	interest rate of two percent or less is charged in connection with the loan. For purposes of 
52.22 	this section, "authorized independent loan counselor" means a nonprofit, third-party 
52.23 	individual or organization providing home buyer education programs, foreclosure prevention 
52.24 	services, mortgage loan counseling, or credit counseling certified by the United States 
52.25 	Department of Housing and Urban Development, the Minnesota Home Ownership Center, 
52.26 	the Minnesota Mortgage Foreclosure Prevention Association, AARP, or NeighborWorks 
52.27 	America;
52.28 	(24) make, provide, or arrange for a residential mortgage loan without verifying the 
52.29 	borrower's reasonable ability to pay the scheduled payments of the following, as applicable: 
52.30 	principal; interest; real estate taxes; homeowner's insurance, assessments, and mortgage 
52.31 	insurance premiums. For loans in which the interest rate may vary, the reasonable ability 
52.32 	to pay shall be determined based on a fully indexed rate and a repayment schedule which 
52.33 	achieves full amortization over the life of the loan. For all residential mortgage loans, the 
52.34 	borrower's income and financial resources must be verified by tax returns, payroll receipts, 
52.35 	bank records, or other similarly reliable documents.
53.1 	Nothing in this section shall be construed to limit a mortgage originator's or exempt 
53.2 	person's ability to rely on criteria other than the borrower's income and financial resources 
53.3 	to establish the borrower's reasonable ability to repay the residential mortgage loan, including 
53.4 	criteria established by the United States Department of Veterans Affairs or the United States 
53.5 	Department of Housing and Urban Development for interest rate reduction refinancing loans 
53.6 	or streamline loans, or criteria authorized or promulgated by the Federal National Mortgage 
53.7 	Association or Federal Home Loan Mortgage Corporation; however, such other criteria 
53.8 	must be verified through reasonably reliable methods and documentation. The mortgage 
53.9 	originator's analysis of the borrower's reasonable ability to repay may include, but is not 
53.10 	limited to, consideration of the following items, if verified: (1) the borrower's current and 
53.11 	expected income; (2) current and expected cash flow; (3) net worth and other financial 
53.12 	resources other than the consumer's equity in the dwelling that secures the loan; (4) current 
53.13 	financial obligations; (5) property taxes and insurance; (6) assessments on the property; (7) 
53.14 	employment status; (8) credit history; (9) debt-to-income ratio; (10) credit scores; (11) tax 
53.15 	returns; (12) pension statements; and (13) employment payment records, provided that no 
53.16 	mortgage originator shall disregard facts and circumstances that indicate that the financial 
53.17 	or other information submitted by the consumer is inaccurate or incomplete. A statement 
53.18 	by the borrower to the residential mortgage originator or exempt person of the borrower's 
53.19 	income and resources or sole reliance on any single item listed above is not sufficient to 
53.20 	establish the existence of the income or resources when verifying the reasonable ability to 
53.21 	pay;
53.22 	(25) engage in "churning." As used in this section, "churning" means knowingly or 
53.23 	intentionally making, providing, or arranging for a residential mortgage loan when the new 
53.24 	residential mortgage loan does not provide a reasonable, tangible net benefit to the borrower 
53.25 	considering all of the circumstances, including the terms of both the new and refinanced 
53.26 	loans, the cost of the new loan, and the borrower's circumstances;. In order to demonstrate 
53.27 	a reasonable, tangible net benefit to the borrower, the circumstances at the time of the 
53.28 	application must be documented in writing and must be signed by the borrower prior to the 
53.29 	closing date;
53.30 	(26) the first time a residential mortgage originator orally informs a borrower of the 
53.31 	anticipated or actual periodic payment amount for a first-lien residential mortgage loan 
53.32 	which does not include an amount for payment of property taxes and hazard insurance, the 
53.33 	residential mortgage originator must inform the borrower that an additional amount will be 
53.34 	due for taxes and insurance and, if known, disclose to the borrower the amount of the 
53.35 	anticipated or actual periodic payments for property taxes and hazard insurance. This same 
54.1 	oral disclosure must be made each time the residential mortgage originator orally informs 
54.2 	the borrower of a different anticipated or actual periodic payment amount change from the 
54.3 	amount previously disclosed. A residential mortgage originator need not make this disclosure 
54.4 	concerning a refinancing loan if the residential mortgage originator knows that the borrower's 
54.5 	existing loan that is anticipated to be refinanced does not have an escrow account; or
54.6 	(27) make, provide, or arrange for a residential mortgage loan, other than a reverse 
54.7 	mortgage pursuant to United States Code, title 15, chapter 41, if the borrower's compliance 
54.8 	with any repayment option offered pursuant to the terms of the loan will result in negative 
54.9 	amortization during any six-month period.
54.10 	(b) Paragraph (a), clauses (24) through (27), do not apply to a state or federally chartered 
54.11 	bank, savings bank, or credit union, an institution chartered by Congress under the Farm 
54.12 	Credit Act, or to a person making, providing, or arranging a residential mortgage loan 
54.13 	originated or purchased by a state agency or a tribal or local unit of government. This 
54.14 	paragraph supersedes any inconsistent provision of this chapter.

54.15 	Sec. 31. [58.141] REPORTS AND UNIQUE IDENTIFIER.
54.16 		Subdivision 1.Mortgage call reports. A residential mortgage originator or servicer 
54.17 	must submit reports of condition to the Nationwide Multistate Licensing System and Registry. 
54.18 	Reports submitted under this subdivision must be in the form and contain the information 
54.19 	required by the Nationwide Multistate Licensing System and Registry.
54.20 		Subd. 2.Report to Nationwide Multistate Licensing System and Registry. Subject 
54.21 	to section 58A.14, the commissioner must regularly report violations of this chapter, as well 
54.22 	as enforcement actions and other relevant information, to the Nationwide Multistate Licensing 
54.23 	System and Registry.
54.24 		Subd. 3.Unique identifier; display. The unique identifier of any person originating a 
54.25 	residential mortgage loan must be clearly displayed on all residential mortgage loan 
54.26 	application forms, solicitations, or advertisements, including business cards or websites, 
54.27 	and any other documents the commissioner establishes by rule or order.

54.28 	Sec. 32. [60M.01] DEFINITIONS.
54.29 		Subdivision 1.Terms.  For the purposes of this chapter, the terms defined in this section 
54.30 	have the meanings given.
54.31 		Subd. 2.Bail bond. "Bail bond" means a three-party contract between the state, the 
54.32 	accused, and the surety whereby an individual is released to the custody of the surety, and 
55.1 	the surety guarantees to the state the appearance of the individual at all criminal proceedings 
55.2 	for which the surety bond is posted.
55.3 		Subd. 3.Bail bond agency. "Bail bond agency" means an agency contracted by a surety 
55.4 	to supervise or otherwise manage the bail bond business written in Minnesota by producers 
55.5 	appointed by the surety.
55.6 		Subd. 4.Commissioner. "Commissioner" means the commissioner of commerce.
55.7 		Subd. 5.Department. "Department" means the Department of Commerce.
55.8 		Subd. 6.Depositor. "Depositor" means:
55.9 	(1) an individual that has paid money to a surety, bail bond agency, or producer as 
55.10 	premium or premium toward a bail bond product transaction, as defined in section 60M.02; 
55.11 	or
55.12 	(2) an individual that deposited money, property, or assets with a surety, bail bond 
55.13 	agency, or producer to be held as collateral or used toward the liability of a bail bond product 
55.14 	transaction, as defined in section 60M.03.
55.15 		Subd. 7.Negotiate. "Negotiate" means the act of conferring directly with or offering 
55.16 	advice directly to a purchaser or prospective purchaser of a particular insurance contract 
55.17 	concerning any of the substantive benefits, terms, or conditions of the contract, if the person 
55.18 	engaged in the act either sells insurance or obtains insurance from insurers for purchasers.
55.19 		Subd. 8.Net premium. "Net premium" means a bond's premium, less any commission 
55.20 	agreed to in advance and in writing between a producer and the surety or bail bond agency.
55.21 		Subd. 9.Personal information. "Personal information" has the meaning given in section 
55.22 	72A.491, subdivision 17.
55.23 		Subd. 10.Principal. "Principal" is an individual who has engaged with a bail bond 
55.24 	agency or producer to arrange for the individual's bail bond to be posted on the individual's 
55.25 	behalf, securing the individual's release pretrial on a bail bond.
55.26 		Subd. 11.Privileged information. "Privileged information" has the meaning given in 
55.27 	section 72A.491, subdivision 19.
55.28 		Subd. 12.Producer. "Producer" means a person that is licensed to write bail bonds, has 
55.29 	been approved by the state court administrator's office, is a contractor or employee for a 
55.30 	bail bond agency, and is appointed by a surety to execute or countersign bail bonds for the 
55.31 	surety in connection with judicial proceedings.
56.1 		Subd. 13.Sell. "Sell" means to exchange a bail bond product for money on behalf of a 
56.2 	surety company.
56.3 		Subd. 14.Surety. "Surety" means a domestic, foreign, or alien insurance company that 
56.4 	is licensed to transact surety business in Minnesota under section 60A.06.

56.5 	Sec. 33. [60M.02] PREMIUMS.
56.6 		Subdivision 1.Premiums; generally. (a) Regardless of whether a producer is an 
56.7 	employee or an independent contractor, a producer must charge the approved, filed rate of 
56.8 	the surety being used to post a bail bond. Except as provided in subdivision 2 or in a situation 
56.9 	where cash bail is set by the court under subdivision 5, the rate charged must not be less 
56.10 	than the surety's filed rate.
56.11 	(b) A producer is prohibited from providing a premium rebate.
56.12 	(c) A producer may charge travel or other related fees, provided the producer complies 
56.13 	with section 60K.46, subdivision 2.
56.14 		Subd. 2.Minimum premium. A producer must charge a minimum premium of $100. 
56.15 	Any premium amount must be included in the surety's rate filing with the commissioner.
56.16 		Subd. 3.Bail bonds less than $10,000. (a) A producer is prohibited from posting a bail 
56.17 	bond with a penal sum of $10,000 or less unless the producer has:
56.18 	(1) received at least 50 percent of the total premium owed under the surety's rate filing;
56.19 	(2) provided the depositor with a receipt that indicates the premium paid; and
56.20 	(3) if the full premium is not collected before posting the bond, a signed promissory 
56.21 	note must be obtained requiring the unpaid premium in full within four months of the date 
56.22 	the bond is posted.
56.23 	(b) A promissory note issued under paragraph (a), clause (3), must be made on a surety 
56.24 	or bail bond agency form as approved by the commissioner. The maximum annual interest 
56.25 	rate allowed on a promissory note under this subdivision is six percent. A promissory note 
56.26 	may authorize collection of the actual costs incurred to collect the premium, including 
56.27 	reasonable attorney fees, in the event of a default.
56.28 		Subd. 4.Bail bonds greater than $10,000. (a) A producer is prohibited from posting 
56.29 	a bail bond with a penal sum greater than $10,000 unless the producer has:
56.30 	(1) received at least 30 percent of the total premium owed under the surety's rate filing;
56.31 	(2) provided the depositor with a receipt that indicates the premium paid; and
57.1 	(3) if the full premium is not collected before posting the bond, a signed promissory 
57.2 	note must be obtained requiring the unpaid premium in full within 12 months of the date 
57.3 	the bond is posted.
57.4 	(b) A promissory note issued under paragraph (a), clause (3), must be made on a surety 
57.5 	or bail bond agency form as approved by the commissioner. The maximum annual interest 
57.6 	rate allowed on a promissory note under this subdivision is six percent. A promissory note 
57.7 	may authorize collection of the actual costs incurred to collect the premium, including 
57.8 	reasonable attorney fees, in the event of a default.
57.9 		Subd. 5.Alternative premium structure. (a) A bail bond agency or producer may 
57.10 	include an alternative premium structure as part of the bail bond agency or producer's surety 
57.11 	rate filing submitted to the commissioner.
57.12 	(b) If a court sets cash bail at 15 percent or less of the bond's penal amount, a surety, 
57.13 	bail bond agency, or producer may charge an alternative premium that is as low as one-half 
57.14 	of the cash bail amount set by the court. An alternative premium charged under this 
57.15 	subdivision is subject to the minimum premium requirement under subdivision 2.
57.16 	(c) A bail bond agency or producer is required to obtain from the court documentation 
57.17 	indicating the cash bail amount set by the court and must maintain the documentation in 
57.18 	the bond file.
57.19 	(d) A bail bond agency and producer must maintain a log of all bonds where an alternative 
57.20 	premium was charged under this subdivision.
57.21 	(e) Subdivisions 3 and 4 apply to the payment of an alternative premium structure under 
57.22 	this subdivision.
57.23 		Subd. 6.Late payments. If a payment, including a minimum monthly payment, that is 
57.24 	required under a promissory note executed pursuant to subdivision 3 or 4 is more than 90 
57.25 	days late, the bail bond agency or producer must, within 20 days of the date a payment 
57.26 	becomes 90 days late:
57.27 	(1) for amounts owed that are $2,500 or less, assign the debt to a Minnesota-licensed 
57.28 	debt collector; or
57.29 	(2) for amounts owed that are greater than $2,500:
57.30 	(i) file a civil action against the delinquent premium payer; and
57.31 	(ii) make all reasonable efforts to:
57.32 	(A) serve a summons and complaint;
58.1 	(B) enter judgment, unless the matter is settled while the action is pending; and
58.2 	(C) enforce the judgment, which may be satisfied by assigning the debt to a licensed 
58.3 	debt collector.
58.4 		Subd. 7.Form of payment. A surety, bail bond agency, or producer may only accept 
58.5 	cash, money orders, checks, wire transfers, electronic funds transfers, debit cards, prepaid 
58.6 	cash cards, or credit cards as a premium payment method. Any balance owed must be 
58.7 	evidenced by a promissory note, as provided under subdivision 3 or 4.
58.8 		Subd. 8.Premium trust account. (a) A payment made to or received by the producer, 
58.9 	bail bond agency, or surety must be deposited into a premium trust account that is maintained 
58.10 	by the producer, bail bond agency, or surety within seven business days.
58.11 	(b) A premium trust account must be used only for premium payments and travel or 
58.12 	other related fees authorized under subdivision 1, paragraph (c). A producer, bail bond 
58.13 	agency, or surety is prohibited from depositing any other money into a premium trust 
58.14 	account.
58.15 	(c) A deposit into a premium trust account must be accompanied by a deposit slip that:
58.16 	(1) separately designates the principal; and
58.17 	(2) lists the power of attorney number of the bond for which the payment is being 
58.18 	collected.
58.19 	(d) Money may be withdrawn from a premium trust account only to:
58.20 	(1) pay the net premium to the surety or bail bond agency;
58.21 	(2) pay a surety or bail bond agency any build-up fund or escrow account required by 
58.22 	a contract executed by the producer and the surety or bail bond agency;
58.23 	(3) pay or reimburse travel or other related fees authorized under subdivision 1, paragraph 
58.24 	(c);
58.25 	(4) pay or reimburse the producer any fees or charges deducted electronically by credit 
58.26 	card processing vendors, provided the fees and charges comply with section 60K.46, 
58.27 	subdivision 2; and
58.28 	(5) distribute any excess amounts to the operating account.

59.1 	Sec. 34. [60M.03] COLLATERAL.
59.2 		Subdivision 1.Collateral generally. When collateral is accepted, the producer, surety, 
59.3 	or bail bond agency must provide a written and numbered receipt to the depositor. The 
59.4 	receipt must:
59.5 	(1) contain the date; depositor's name and address; bail bond agency's name and address; 
59.6 	surety's name and address; defendant's name; bond amount; and cash amount or a detailed 
59.7 	description of the collateral, if the collateral is not cash; and
59.8 	(2) be signed by:
59.9 	(i) the producer, surety, or bail bond agency; and
59.10 	(ii) the depositor.
59.11 		Subd. 2.Collateral received; transfer; control. (a) Except as otherwise provided under 
59.12 	paragraph (b), a producer or bail bond agency must transfer all cash and noncash collateral 
59.13 	that the producer or bail bond agency receives to the surety.
59.14 	(b) A surety may, at the surety's discretion, permit: (1) a producer to transfer all cash 
59.15 	and noncash collateral that the producer receives to the bail bond agency; and (2) the bail 
59.16 	bond agency to retain possession and control over the cash and noncash collateral without 
59.17 	transferring the cash and noncash collateral to the surety. If a surety exercises the surety's 
59.18 	discretion under this paragraph, the bail bond agency assumes the surety's responsibilities 
59.19 	and responsibilities under this section. A producer is prohibited from retaining possession 
59.20 	or control of cash or noncash collateral beyond the time periods established in this section.
59.21 		Subd. 3.Cash collateral trust account. (a) All cash collateral must be deposited into 
59.22 	a cash collateral account maintained by a surety or bail bond agency as provided in 
59.23 	subdivision 2, paragraph (b), within seven business days of the date the cash collateral is 
59.24 	received.
59.25 	(b) All checks, money orders, wire transfers, or similar money transfer for collateral 
59.26 	must be made payable to the bail bond agency and deposited into the surety's or bail bond 
59.27 	agency's collateral account within ten business days of the date the payment was received.
59.28 	(c) When required by law, a bail bond agency or producer must: (1) file an IRS Form 
59.29 	8300 and informational notice; and (2) retain a copy of the filed IRS Form 8300 and 
59.30 	informational notice in the bail bond agency's or producer's files.
59.31 		Subd. 4.Separate cash collateral account. At the surety's discretion, the surety or a 
59.32 	bail bond agency may maintain a separate cash collateral trust account. A cash collateral 
60.1 	trust account may be an interest-bearing account or a noninterest-bearing account. If the 
60.2 	separate cash collateral trust account is an interest-bearing account, the interest earned is 
60.3 	for the benefit of the depositor.
60.4 		Subd. 5.Surety liable. The surety is liable to return any cash or noncash collateral that 
60.5 	a producer or bail bond agency collects, less any amounts owed under subdivision 9, 
60.6 	paragraph (b), even if the collected collateral is not transferred to the surety.
60.7 		Subd. 6.Prohibitions. (a) A surety, bail bond agency, or producer is prohibited from 
60.8 	collecting cash collateral in excess of the bond's penal sum.
60.9 	(b) A surety, bail bond agency, or producer is prohibited from using collateral for personal 
60.10 	benefit or gain.
60.11 	(c) A surety, bail bond agency, or producer is prohibited from taking a quitclaim deed 
60.12 	on real property as collateral for a bond.
60.13 		Subd. 7.Collateral log. (a) A bail bond agency or producer must maintain a collateral 
60.14 	log that includes:
60.15 	(1) the power of attorney number;
60.16 	(2) the principal's name;
60.17 	(3) the depositor's name;
60.18 	(4) the cash collateral amount, including whether the cash collateral is being held in an 
60.19 	interest-bearing account;
60.20 	(5) if the collateral is noncash collateral, a detailed description of the collateral;
60.21 	(6) the date the collateral was taken; and
60.22 	(7) the dates the collateral was sent to the surety, returned to the depositor, liquidated, 
60.23 	or applied to a loss or cost incurred by the producer, bail bond agency, or surety.
60.24 	(b) For purposes of paragraph (a), an indemnity agreement does not constitute collateral 
60.25 	and is not required to be included in the collateral log. For purposes of paragraph (a), clause 
60.26 	(7), the amount of a loss incurred must be listed separately from other costs in the collateral 
60.27 	log.
60.28 		Subd. 8.Mortgages and deeds of trust. (a) A mortgage or deed of trust taken as 
60.29 	collateral for a bond must name the surety as a mortgagee. At the discretion of the surety, 
60.30 	a bail bond agency may be named as the mortgagee in lieu of the surety being named as the 
60.31 	mortgagee.
61.1 	(b) A producer is prohibited from being named as a mortgagee for a mortgage or deed 
61.2 	of trust taken as collateral for a bond.
61.3 		Subd. 9.Return of collateral. (a) A surety or bail bond agency that controls the collateral 
61.4 	must return cash and noncash collateral to the depositor named in the collateral receipt 
61.5 	within 21 days of the date the depositor provides the surety or bail bond agency with written 
61.6 	proof that the bond has been discharged.
61.7 	(b) If the depositor owes the surety, bail bond agency, or producer a premium; is liable 
61.8 	for a loss or expense related to a breach of the bond; or is liable pursuant to the terms of an 
61.9 	indemnity or other agreement, the surety or bail bond agency may retain from the collateral 
61.10 	all money required to satisfy the depositor's debts.
61.11 	(c) If all of the depositor's debts secured by collateral are satisfied, the surety or bail 
61.12 	bond agency must provide documentation to release any liens, security interests, mortgages, 
61.13 	or other security interests that were filed or obtained in relation to the collateral. The 
61.14 	documentation must be provided within 21 days of the date the depositor provides the surety 
61.15 	or bail bond agency with written proof that the bond has been discharged.
61.16 		Subd. 10.Bond or indemnity agreement; breach. If a bond or indemnity agreement 
61.17 	is breached and the surety, bail bond agency, or producer suffers a loss, the surety or bail 
61.18 	bond agency that controls the collateral must send to the depositor written notice that notifies 
61.19 	the depositor that the surety or bail bond agency intends to liquidate noncash collateral. The 
61.20 	written notice must be sent by certified mail to the depositor's last known address at least 
61.21 	30 days before the date the surety or bail bond agency liquidates the noncash collateral.
61.22 		Subd. 11.Compliance with Minnesota law. Any action taken to enforce or foreclose 
61.23 	on cash or noncash collateral must comply with Minnesota law.
61.24 		Subd. 12.Collateral documentation; audit and inspection. (a) All collateral and related 
61.25 	documentation held in trust by the surety or bail bond agency must be made available for 
61.26 	immediate audit and inspection by the department.
61.27 	(b) All collateral and related documentation held in trust by the bail bond agency must 
61.28 	be made available for immediate audit and inspection by the surety.

61.29 	Sec. 35. [60M.04] PRODUCER AUDITS.
61.30 		Subdivision 1.Premium audits. (a) By April 30 each year, a surety must audit each 
61.31 	licensed bail bond producer's bonds written during the previous calendar year to ensure the 
61.32 	licensed bail bond producer has complied with this subdivision.
62.1 	(b) The premium audits must include a review of an adequate sample of bonds written 
62.2 	by each bail bond producer. A review sample is adequate if it consists of the lesser of: (1) 
62.3 	20 percent of the bonds written by the bail bond producer; (2) 24 bonds; or (3) all of the 
62.4 	bonds written by the bail bond producer, if the bail bond producer wrote fewer than 12 
62.5 	bonds during the previous calendar year. The audit sample must include the four largest 
62.6 	bonds written by the bail bond producer and four bonds that charged an alternative premium 
62.7 	under section 60M.02, subdivision 5, if applicable. Of the remaining bonds audited and to 
62.8 	the extent the quantity of bonds supports the percentages, 50 percent must be randomly 
62.9 	selected bonds with a penal sum that is $10,000 or less, and 50 percent must be randomly 
62.10 	selected bonds with a penal sum that is greater than $10,000.
62.11 	(c) The premium audit must be conducted at the producer's office or the bail bond 
62.12 	agency's office, depending on which entity maintains the physical records. The surety must 
62.13 	not disclose to the producer or bail bond agency, or anyone affiliated with the surety or bail 
62.14 	bond agency, which files the surety intends to audit until the surety's on-site audit of the 
62.15 	producer begins.
62.16 	(d) For each bond audited, the surety must confirm that:
62.17 	(1) the proper premium was charged and collected, including a review of the premium 
62.18 	account statements and deposit slips;
62.19 	(2) a proper premium receipt is in the producer's file;
62.20 	(3) if the full premium was not paid before the bond was posted, a proper promissory 
62.21 	note was executed; and
62.22 	(4) if the premium was not paid as required, the producer complied with section 60M.02, 
62.23 	subdivision 6.
62.24 	(e) An annual premium audit under this section must also include a follow-up review 
62.25 	of each bond audited the previous year for which full premium had not yet been collected 
62.26 	at the time the audit occurred. For each bond subject to a follow-up review, the surety must:
62.27 	(1) review the premium account and deposit slips to confirm that the full premium was 
62.28 	collected; or
62.29 	(2) if full payment of the premium was not received, confirm that the producer complied 
62.30 	with section 60M.02, subdivision 6.
62.31 	(f) A bail bond agency or producer is prohibited from acting on behalf of the surety to 
62.32 	conduct the bail bond agency's or producer's own bail bond agency or producer audits.
63.1 		Subd. 2.Collateral audits. (a) By April 30 each year, a surety must audit each licensed 
63.2 	bail bond producer's bonds written during the previous calendar year to ensure the licensed 
63.3 	bail bond producer has complied with this subdivision.
63.4 	(b) A collateral audit under this subdivision must include confirmation that:
63.5 	(1) a collateral log was maintained;
63.6 	(2) a cash collateral account exists;
63.7 	(3) the balance of the cash collateral indicated on the collateral log is identical to the 
63.8 	amount held in the collateral trust account; and
63.9 	(4) a collateral receipt exists for collateral collected, as represented by a sampling of the 
63.10 	lesser of: (i) 20 percent of all bonds secured by collateral; or (ii) 12 bonds that were secured 
63.11 	by collateral.
63.12 		Subd. 3.Audits report. (a) By May 31 each year, a surety must prepare a report of the 
63.13 	audits conducted under this section during that year. The report must include:
63.14 	(1) a list of the bonds audited under subdivision 1 for each producer, including the power 
63.15 	of attorney number used for each audited bond and whether full premium payment was 
63.16 	made by the date the audit occurred;
63.17 	(2) a list of the bonds included in a follow-up review of the previous year's audit, 
63.18 	including whether full premium payment was collected by the date the audit occurred;
63.19 	(3) the compliance certifications required under section 60M.07, subdivision 4; and
63.20 	(4) details regarding any violations discovered during the audit or a statement that no 
63.21 	violations were discovered, as applicable.
63.22 	(b) The annual report under this subdivision must be maintained for a period of at least 
63.23 	36 months from the date the report is complete. Annual reports must be submitted to the 
63.24 	commissioner by June 30 each year.

63.25 	Sec. 36. [60M.05] SOLICITATION.
63.26 		Subdivision 1.Solicitation generally. (a) A producer is prohibited from, in or on the 
63.27 	grounds of a jail, prison, or other location where an incarcerated person is confined, or in 
63.28 	or on the grounds of a court unless requested by the principal, a potential indemnitor, or the 
63.29 	legal counsel of a principal:
63.30 	(1) approaching, enticing, inviting, or soliciting a person to use a bail bond agency's 
63.31 	services;
64.1 	(2) distributing, displaying, or wearing an item that advertises a bail bond agency's 
64.2 	services;
64.3 	(3) no producer or bail bond agency is permitted to solicit by calling or leaving messages 
64.4 	for principals on jail phones or any other messaging devices available to principals, while 
64.5 	in custody; or
64.6 	(4) no producer or bail bond agency is permitted to place money on the canteen or books 
64.7 	of any individual held in custody.
64.8 	(b) Notwithstanding paragraph (a), clause (3), permissible print advertising in a jail is 
64.9 	limited to:
64.10 	(1) a listing in a telephone directory; and
64.11 	(2) posting the producer's or bail bond agency's name, address, and telephone number 
64.12 	in a designated location within the jail, as approved by the jail.
64.13 		Subd. 2.Identification; marketing material. A producer is prohibited from wearing 
64.14 	or displaying any information, other than identification approved by the surety or bail bond 
64.15 	agency, which constitutes marketing material that a surety or bail bond agency must approve 
64.16 	and maintain under Minnesota Rules, chapter 2790. A producer is prohibited from displaying 
64.17 	any information constituting marketing material in or on the property or grounds of: (1) a 
64.18 	jail, prison, or other location where incarcerated people are confined; or (2) a court.
64.19 		Subd. 3.Other prohibited conduct. (a) A producer is prohibited from loitering in or 
64.20 	about the courthouse, jail, or any other place where individuals are held in custody.
64.21 	(b) A producer is prohibited from making unauthorized and unsolicited cold calls without 
64.22 	having first spoken with the principal.
64.23 	(c) A producer is prohibited from soliciting a bond to a person by recorded or electronic 
64.24 	communication, or by live telephone contact, unless the producer otherwise complies with 
64.25 	applicable state and federal law, including but not limited to:
64.26 	(1) the National Do Not Call Registry under Code of Federal Regulations, title 16, part 
64.27 	310; and
64.28 	(2) the Telephone Consumer Protection Act of 1991, Code of Federal Regulations, title 
64.29 	47, part 64.1200.
64.30 	(d) A surety, bail bond agency, or producer is prohibited from obtaining a credit check 
64.31 	on a person unless the person has authorized the surety, bail bond agency, or producer to 
65.1 	do so in writing. The surety, bail bond agency, or producer must retain the written 
65.2 	authorization provided by the person subject to the credit check.
65.3 		Subd. 4.Compliance with other law. (a) A surety, bail bond agency, and producer 
65.4 	must comply with all federal and state privacy laws related to information provided to a 
65.5 	producer during the application process and during bond underwriting by a bond principal, 
65.6 	indemnitor, or other person.
65.7 	(b) A surety, bail bond agency, and producer must comply with sections 60K.46, 
65.8 	subdivision 6; 72A.494; 72A.496, subdivision 1; 72A.501; and 72A.502, subdivision 1.
65.9 	(c) A surety, bail bond agency, and producer must receive preauthorization before 
65.10 	collecting and disclosing personal or privileged information about an applicant or proposed 
65.11 	insured, and must provide all notices otherwise required by Minnesota law.
65.12 	(d) A surety, bail bond agency, and producer must otherwise comply with all applicable 
65.13 	Minnesota law.
65.14 		Subd. 5.Insurance transaction. The act of soliciting, underwriting, negotiating, or 
65.15 	selling a bail bond constitutes an insurance transaction.

65.16 	Sec. 37. [60M.06] UNLICENSED INDIVIDUALS; NO REBATES OR PAYMENT.
65.17 	(a) With the exception of a contracted bail enforcement agent offering a reward for 
65.18 	information that assists in the location and apprehension of a principal under section 629.63, 
65.19 	a surety, bail bond agency, or producer is prohibited from paying a fee or commission, or 
65.20 	otherwise giving or promising anything of value, to: (1) a jailer, police officer, peace officer, 
65.21 	or any other person who has the power to arrest or hold an individual in custody; or (2) a 
65.22 	judge, public official, or public employee.
65.23 	(b) A surety, bail bond agency, or producer is prohibited from paying a fee or rebate, or 
65.24 	otherwise giving or promising anything of value, to the individual seeking the producer's 
65.25 	services or the individual seeking the producer's services on another individual's behalf.
65.26 	(c) A surety, bail bond agency, or producer is prohibited from paying a fee or commission, 
65.27 	or otherwise giving or promising anything of value, to a person for selling, soliciting, or 
65.28 	negotiating a bail bond if the person is not properly licensed as a producer.
65.29 	(d) A surety, bail bond agency, or producer is prohibited from paying a fee, rebate, or 
65.30 	commission, or otherwise giving or promising anything of value, to an inmate for referring 
65.31 	business or for any other reason related to soliciting, negotiating, or selling a bail bond.

66.1 	Sec. 38. [60M.07] OTHER PROVISIONS.
66.2 		Subdivision 1.Compliance with standards of conduct. A producer must comply with 
66.3 	the Minnesota Court Administrator's Office's bail bond procedures and standards of conduct, 
66.4 	including but not limited to while in or on the property of courts, jails, or other detention 
66.5 	facilities in Minnesota. A surety or bail bond agency must require the surety or bail bond 
66.6 	agency's producers to affirm that the producer complies with any changes to the bail bond 
66.7 	procedures and standards of conduct as the changes are posted to the Minnesota state court 
66.8 	website or the Minnesota Court Administrator's Office's website.
66.9 		Subd. 2.No waiver. A producer is prohibited from soliciting or accepting a waiver of 
66.10 	any requirement under this chapter.
66.11 		Subd. 3.Record maintenance. (a) A bail bond agency and producer must maintain the 
66.12 	following records on each bond for at least seven years after the date the bond is terminated:
66.13 	(1) power of attorney;
66.14 	(2) premium receipts;
66.15 	(3) the promissory note for unpaid premium, if any;
66.16 	(4) the cash bond amount set by the court, if an amount less than the filed rate is accepted 
66.17 	for the premium;
66.18 	(5) all documents related to any lawsuit filed to collect the premium;
66.19 	(6) indemnity agreements;
66.20 	(7) collateral receipts, if any;
66.21 	(8) proof that collateral was returned, if any;
66.22 	(9) proof of bond exoneration or forfeiture payment;
66.23 	(10) all records relating to liquidating and converting collateral, including fees or costs; 
66.24 	and
66.25 	(11) proof of any expenses incurred or losses paid by the surety, bail bond agency, or 
66.26 	producer.
66.27 	(b) A bail bond agency and producer must maintain all premium account, collateral 
66.28 	account, and operating account bank records, including deposit slips, for at least seven years 
66.29 	after the records are made available.
66.30 	(c) All records that a bail bond agency or producer maintain under this chapter must be 
66.31 	kept in the bail bond agency or producer's office or storage location, as applicable. If a bail 
67.1 	bond agency or producer's relationship with a surety is terminated, the information and 
67.2 	documentation must be immediately transferred to:
67.3 	(1) the bail bond agency, if the producer is terminated; or
67.4 	(2) the surety, if the bail bond agency is terminated.
67.5 	(d) A bail bond agency and producer's records must be available for the commissioner 
67.6 	or the surety to inspect, with or without notice.
67.7 		Subd. 4.Compliance certification. (a) During the surety's annual audit of a producer, 
67.8 	the producer must sign a compliance certification form that attests to the producer's 
67.9 	compliance with this chapter during the previous calendar year.
67.10 	(b) Before a producer is appointed by a surety and at each license renewal thereafter, a 
67.11 	producer must sign an affidavit of compliance form in which the producer acknowledges 
67.12 	the producer is familiar and continually complies with the requirements under this chapter. 
67.13 	The surety must retain completed affidavits and send requested affidavits to the commissioner 
67.14 	within ten days of the date an affidavit is requested.
67.15 	(c) The commissioner must establish the compliance certification and affidavit of 
67.16 	compliance forms for use under this subdivision.
67.17 		Subd. 5.Producer termination; notice. (a) If a producer's relationship with a surety is 
67.18 	voluntarily or involuntarily terminated due to a violation of this chapter or because the 
67.19 	surety determined the producer violated this chapter during an annual audit, the surety must, 
67.20 	within 30 days of the date the producer is terminated, provide the commissioner with the 
67.21 	terminated producer's name and the reason the producer was terminated.
67.22 	(b) Another surety is prohibited from appointing a producer subject to a termination 
67.23 	under paragraph (a) unless the department approves the appointment.
67.24 		Subd. 6.Access to information. A surety, bail bonds agency, and producer are considered 
67.25 	a government associated entity and are allowed to apply and be granted access to the 
67.26 	Minnesota Government Access system under the Court Access Rules.
67.27 		Subd. 7.Surrender of a principal for bail revocation. The courts, jails, and sheriff 
67.28 	offices in Minnesota must comply with section 629.63, allowing for a principal to be 
67.29 	surrendered and received by the jail of the county that the bail bond was originated from 
67.30 	and to be held in custody until the principal can have a court hearing where the surety, bail 
67.31 	bond agency, or producer can give evidence and make motion for the revocation and 
67.32 	discharge of the bail bond.
68.1 		Subd. 8.Forfeiture timing requirement. The court must order a bail bond forfeited 
68.2 	and send notice to the surety, bail bond agency, or producer no later than 30 days from the 
68.3 	date of a principal failing to appear at a scheduled hearing. If a court fails to forfeit a bail 
68.4 	bond within 30 days of a principal failing to appear or fail to send notice within seven days 
68.5 	of the forfeiture to the surety, bail bond agency, or producer, the court must allow for a 
68.6 	reinstatement and discharge of the bail bond without penalty. If a court fails to take action 
68.7 	against the bail bond within 30 days of a principal failing to appear at a hearing, the court 
68.8 	must allow for revocation and discharge without penalty.

68.9 	Sec. 39. Minnesota Statutes 2023 Supplement, section 80A.50, is amended to read:
68.10 	80A.50 SECTION 302; FEDERAL COVERED SECURITIES; SMALL 
68.11 	CORPORATE OFFERING REGISTRATION.
68.12 	(a) Federal covered securities.
68.13 	(1) Required filing of records. With respect to a federal covered security, as defined 
68.14 	in Section 18(b)(2) of the Securities Act of 1933 (15 U.S.C. Section 77r(b)(2)), that is not 
68.15 	otherwise exempt under sections 80A.45 through 80A.47, a rule adopted or order issued 
68.16 	under this chapter may require the filing of any or all of the following records:
68.17 	(A) before the initial offer of a federal covered security in this state, all records that are 
68.18 	part of a federal registration statement filed with the Securities and Exchange Commission 
68.19 	under the Securities Act of 1933 and a consent to service of process complying with section 
68.20 	80A.88 signed by the issuer;
68.21 	(B) after the initial offer of the federal covered security in this state, all records that are 
68.22 	part of an amendment to a federal registration statement filed with the Securities and 
68.23 	Exchange Commission under the Securities Act of 1933; and
68.24 	(C) to the extent necessary or appropriate to compute fees, a report of the value of the 
68.25 	federal covered securities sold or offered to persons present in this state, if the sales data 
68.26 	are not included in records filed with the Securities and Exchange Commission.
68.27 	(2) Notice filing effectiveness and renewal. A notice filing under subsection (a) is 
68.28 	effective for one year commencing on the later of the notice filing or the effectiveness of 
68.29 	the offering filed with the Securities and Exchange Commission. On or before expiration, 
68.30 	the issuer may renew a notice filing by filing a copy of those records filed by the issuer with 
68.31 	the Securities and Exchange Commission that are required by rule or order under this chapter 
68.32 	to be filed. A previously filed consent to service of process complying with section 80A.88 
69.1 	may be incorporated by reference in a renewal. A renewed notice filing becomes effective 
69.2 	upon the expiration of the filing being renewed.
69.3 	(3) Notice filings for federal covered securities under section 18(b)(4)(D). With 
69.4 	respect to a security that is a federal covered security under Section 18(b)(4)(D) of the 
69.5 	Securities Act of 1933 (15 U.S.C. Section 77r(b)(4)(D)), a rule under this chapter may 
69.6 	require a notice filing by or on behalf of an issuer to include a copy of Form D, including 
69.7 	the Appendix, as promulgated by the Securities and Exchange Commission, and a consent 
69.8 	to service of process complying with section 80A.88 signed by the issuer not later than 15 
69.9 	days after the first sale of the federal covered security in this state.
69.10 	(4) Stop orders. Except with respect to a federal security under Section 18(b)(1) of the 
69.11 	Securities Act of 1933 (15 U.S.C. Section 77r(b)(1)), if the administrator finds that there is 
69.12 	a failure to comply with a notice or fee requirement of this section, the administrator may 
69.13 	issue a stop order suspending the offer and sale of a federal covered security in this state. 
69.14 	If the deficiency is corrected, the stop order is void as of the time of its issuance and no 
69.15 	penalty may be imposed by the administrator.
69.16 	(b) Small corporation offering registration.
69.17 	(1) Registration required. A security meeting the conditions set forth in this section 
69.18 	may be registered as set forth in this section.
69.19 	(2) Availability. Registration under this section is available only to the issuer of securities 
69.20 	and not to an affiliate of the issuer or to any other person for resale of the issuer's securities. 
69.21 	The issuer must be organized under the laws of one of the states or possessions of the United 
69.22 	States. The securities offered must be exempt from registration under the Securities Act of 
69.23 	1933 pursuant to Rule 504 of Regulation D (15 U.S.C. Section 77c).
69.24 	(3) Disqualification. Registration under this section is not available to any of the 
69.25 	following issuers:
69.26 	(A) an issuer subject to the reporting requirements of Section 13 or 15(d) of the Securities 
69.27 	Exchange Act of 1934;
69.28 	(B) an investment company;
69.29 	(C) a development stage company that either has no specific business plan or purpose 
69.30 	or has indicated that its business plan is to engage in a merger or acquisition with an 
69.31 	unidentified company or companies or other entity or person;
70.1 	(D) an issuer if the issuer or any of its predecessors, officers, directors, governors, 
70.2 	partners, ten percent stock or equity holders, promoters, or any selling agents of the securities 
70.3 	to be offered, or any officer, director, governor, or partner of the selling agent:
70.4 	(i) has filed a registration statement that is the subject of a currently effective registration 
70.5 	stop order entered under a federal or state securities law within five years before the filing 
70.6 	of the small corporate offering registration application;
70.7 	(ii) has been convicted within five years before the filing of the small corporate offering 
70.8 	registration application of a felony or misdemeanor in connection with the offer, purchase, 
70.9 	or sale of a security or a felony involving fraud or deceit, including, but not limited to, 
70.10 	forgery, embezzlement, obtaining money under false pretenses, larceny, or conspiracy to 
70.11 	defraud;
70.12 	(iii) is currently subject to a state administrative enforcement order or judgment entered 
70.13 	by a state securities administrator or the Securities and Exchange Commission within five 
70.14 	years before the filing of the small corporate offering registration application, or is subject 
70.15 	to a federal or state administrative enforcement order or judgment in which fraud or deceit, 
70.16 	including, but not limited to, making untrue statements of material facts or omitting to state 
70.17 	material facts, was found and the order or judgment was entered within five years before 
70.18 	the filing of the small corporate offering registration application;
70.19 	(iv) is currently subject to an order, judgment, or decree of a court of competent 
70.20 	jurisdiction temporarily restraining or enjoining, or is subject to an order, judgment, or 
70.21 	decree of a court of competent jurisdiction permanently restraining or enjoining the party 
70.22 	from engaging in or continuing any conduct or practice in connection with the purchase or 
70.23 	sale of any security or involving the making of a false filing with a state or with the Securities 
70.24 	and Exchange Commission entered within five years before the filing of the small corporate 
70.25 	offering registration application; or
70.26 	(v) is subject to a state's administrative enforcement order, or judgment that prohibits, 
70.27 	denies, or revokes the use of an exemption for registration in connection with the offer, 
70.28 	purchase, or sale of securities,
70.29 	(I) except that clauses (i) to (iv) do not apply if the person subject to the disqualification 
70.30 	is duly licensed or registered to conduct securities-related business in the state in which the 
70.31 	administrative order or judgment was entered against the person or if the dealer employing 
70.32 	the party is licensed or registered in this state and the form BD filed in this state discloses 
70.33 	the order, conviction, judgment, or decree relating to the person, and
71.1 	(II) except that the disqualification under this subdivision is automatically waived if the 
71.2 	state securities administrator or federal agency that created the basis for disqualification 
71.3 	determines upon a showing of good cause that it is not necessary under the circumstances 
71.4 	to deny the registration.
71.5 	(4) Filing and effectiveness of registration statement. A small corporate offering 
71.6 	registration statement must be filed with the administrator. If no stop order is in effect and 
71.7 	no proceeding is pending under section 80A.54, such registration statement shall become 
71.8 	effective automatically at the close of business on the 20th day after filing of the registration 
71.9 	statement or the last amendment of the registration statement or at such earlier time as the 
71.10 	administrator may designate by rule or order. For the purposes of a nonissuer transaction, 
71.11 	other than by an affiliate of the issuer, all outstanding securities of the same class identified 
71.12 	in the small corporate offering registration statement as a security registered under this 
71.13 	chapter are considered to be registered while the small corporate offering registration 
71.14 	statement is effective. A small corporate offering registration statement is effective for one 
71.15 	year after its effective date or for any longer period designated in an order under this chapter. 
71.16 	A small corporate offering registration statement may be withdrawn only with the approval 
71.17 	of the administrator.
71.18 	(5) Contents of registration statement. A small corporate offering registration statement 
71.19 	under this section shall be on Form U-7, including exhibits required by the instructions 
71.20 	thereto, as adopted by the North American Securities Administrators Association, or such 
71.21 	alternative form as may be designated by the administrator by rule or order and must include:
71.22 	(A) a consent to service of process complying with section 80A.88;
71.23 	(B) a statement of the type and amount of securities to be offered and the amount of 
71.24 	securities to be offered in this state;
71.25 	(C) a specimen or copy of the security being registered, unless the security is 
71.26 	uncertificated, a copy of the issuer's articles of incorporation and bylaws or their substantial 
71.27 	equivalents in effect, and a copy of any indenture or other instrument covering the security 
71.28 	to be registered;
71.29 	(D) a signed or conformed copy of an opinion of counsel concerning the legality of the 
71.30 	securities being registered which states whether the securities, when sold, will be validly 
71.31 	issued, fully paid, and nonassessable and, if debt securities, binding obligations of the issuer;
71.32 	(E) the states (i) in which the securities are proposed to be offered; (ii) in which a 
71.33 	registration statement or similar filing has been made in connection with the offering 
71.34 	including information as to effectiveness of each such filing; and (iii) in which a stop order 
72.1 	or similar proceeding has been entered or in which proceedings or actions seeking such an 
72.2 	order are pending;
72.3 	(F) a copy of the offering document proposed to be delivered to offerees; and
72.4 	(G) a copy of any other pamphlet, circular, form letter, advertisement, or other sales 
72.5 	literature intended as of the effective date to be used in connection with the offering and 
72.6 	any solicitation of interest used in compliance with section 80A.46(17)(B).
72.7 	(6) Copy to purchaser. A copy of the offering document as filed with the administrator 
72.8 	must be delivered to each person purchasing the securities prior to sale of the securities to 
72.9 	such person.
72.10 	(c) Offering limit. Offers and sales of securities under a small corporate offering 
72.11 	registration as set forth in this section are allowed up to the limit prescribed by Code of 
72.12 	Federal Regulations, title 17, part 230.504 (b)(2), as amended.
72.13 	(d) Regulation A - Tier 2 filing requirements.
72.14 	(1) Initial filing. An issuer planning to offer and sell securities in Minnesota in an 
72.15 	offering exempt under Tier 2 of federal Regulation A must, at least 21 calendar days before 
72.16 	the date of the initial sale of securities in Minnesota, submit to the administrator:
72.17 	(A) a completed Regulation A - Tier 2 offering notice filing form or copies of all the 
72.18 	documents filed with the Securities Exchange Commission; and
72.19 	(B) a consent to service of process on Form U-2, if consent to service of process is not 
72.20 	provided in the Regulation A - Tier 2 offering notice filing form.
72.21 	The initial notice filing made in Minnesota is effective for 12 months after the date the 
72.22 	filing is made.
72.23 	(2) Renewal. For each additional 12-month period in which the same offering is 
72.24 	continued, an issuer conducting a Tier 2 offering under federal Regulation A may renew 
72.25 	the notice filing by filing (i) the Regulation A - Tier 2 offering notice filing form marked 
72.26 	"renewal," or (ii) a cover letter or other document requesting renewal. The renewal filing 
72.27 	must be made on or before the date notice filing expires.
72.28 	(3) Amendment. An issuer may increase the amount of securities offered in Minnesota 
72.29 	by submitting a Regulation A - Tier 2 offering notice filing form or other document 
72.30 	describing the transaction.

73.1 	Sec. 40. Minnesota Statutes 2022, section 80A.61, is amended to read:
73.2 	80A.61 SECTION 406; REGISTRATION BY BROKER-DEALER, AGENT, 
73.3 	FUNDING PORTAL, INVESTMENT ADVISER, AND INVESTMENT ADVISER 
73.4 	REPRESENTATIVE.
73.5 	(a) Application for initial registration by broker-dealer, agent, investment adviser, 
73.6 	or investment adviser representative. A person shall register as a broker-dealer, agent, 
73.7 	investment adviser, or investment adviser representative by filing an application and a 
73.8 	consent to service of process complying with section 80A.88, and paying the fee specified 
73.9 	in section 80A.65 and any reasonable fees charged by the designee of the administrator for 
73.10 	processing the filing. The application must contain:
73.11 	(1) the information or record required for the filing of a uniform application; and
73.12 	(2) upon request by the administrator, any other financial or other information or record 
73.13 	that the administrator determines is appropriate.
73.14 	(b) Amendment. If the information or record contained in an application filed under 
73.15 	subsection (a) is or becomes inaccurate or incomplete in a material respect, the registrant 
73.16 	shall promptly file a correcting amendment.
73.17 	(c) Effectiveness of registration. If an order is not in effect and a proceeding is not 
73.18 	pending under section 80A.67, registration becomes effective at noon on the 45th day after 
73.19 	a completed application is filed, unless the registration is denied. A rule adopted or order 
73.20 	issued under this chapter may set an earlier effective date or may defer the effective date 
73.21 	until noon on the 45th day after the filing of any amendment completing the application.
73.22 	(d) Registration renewal. A registration is effective until midnight on December 31 of 
73.23 	the year for which the application for registration is filed. Unless an order is in effect under 
73.24 	section 80A.67, a registration may be automatically renewed each year by filing such records 
73.25 	as are required by rule adopted or order issued under this chapter, by paying the fee specified 
73.26 	in section 80A.65, and by paying costs charged by the designee of the administrator for 
73.27 	processing the filings.
73.28 	(e) Additional conditions or waivers. A rule adopted or order issued under this chapter 
73.29 	may impose such other conditions, not inconsistent with the National Securities Markets 
73.30 	Improvement Act of 1996. An order issued under this chapter may waive, in whole or in 
73.31 	part, specific requirements in connection with registration as are in the public interest and 
73.32 	for the protection of investors.
74.1 	(f) Funding portal registration. A funding portal that has its principal place of business 
74.2 	in the state of Minnesota shall register with the state of Minnesota by filing with the 
74.3 	administrator a copy of the information or record required for the filing of an application 
74.4 	for registration as a funding portal in the manner established by the Securities and Exchange 
74.5 	Commission and/or the Financial Institutions Regulatory Authority (FINRA), along with 
74.6 	any rule adopted or order issued, and any amendments thereto.
74.7 	(g) Application for investment adviser representative registration.
74.8 	(1) The application for initial registration as an investment adviser representative pursuant 
74.9 	to section 80A.58 is made by completing Form U-4 (Uniform Application for Securities 
74.10 	Industry Registration or Transfer) in accordance with the form instructions and by filing 
74.11 	the form U-4 with the IARD. The application for initial registration must also include the 
74.12 	following:
74.13 	(i) proof of compliance by the investment adviser representative with the examination 
74.14 	requirements of:
74.15 	(A) the Uniform Investment Adviser Law Examination (Series 65); or
74.16 	(B) the General Securities Representative Examination (Series 7) and the Uniform 
74.17 	Combined State Law Examination (Series 66);
74.18 	(ii) any other information the administrator may reasonably require.
74.19 	(2) The application for the annual renewal registration as an investment adviser 
74.20 	representative shall be filed with the IARD.
74.21 	(3)(i) The investment adviser representative is under a continuing obligation to update 
74.22 	information required by Form U-4 as changes occur;
74.23 	(ii) An investment adviser representative and the investment adviser must file promptly 
74.24 	with the IARD any amendments to the representative's Form U-4; and
74.25 	(iii) An amendment will be considered to be filed promptly if the amendment is filed 
74.26 	within 30 days of the event that requires the filing of the amendment.
74.27 	(4) An application for initial or renewal of registration is not considered filed for purposes 
74.28 	of section 80A.58 until the required fee and all required submissions have been received 
74.29 	by the administrator.
74.30 	(5) The application for withdrawal of registration as an investment adviser representative 
74.31 	pursuant to section 80A.58 shall be completed by following the instructions on Form U-5 
75.1 	(Uniform Termination Notice for Securities Industry Registration) and filed upon Form U-5 
75.2 	with the IARD.

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

75.4 	Sec. 41. Minnesota Statutes 2022, section 80A.66, is amended to read:
75.5 	80A.66 SECTION 411; POSTREGISTRATION REQUIREMENTS.
75.6 	(a) Financial requirements. Subject to Section 15(h) of the Securities Exchange Act 
75.7 	of 1934 (15 U.S.C. Section 78o(h)) or Section 222 of the Investment Advisers Act of 1940 
75.8 	(15 U.S.C. Section 80b-22), a rule adopted or order issued under this chapter may establish 
75.9 	minimum financial requirements for broker-dealers registered or required to be registered 
75.10 	under this chapter and investment advisers registered or required to be registered under this 
75.11 	chapter.
75.12 	(b) Financial reports. Subject to Section 15(h) of the Securities Exchange Act of 1934 
75.13 	(15 U.S.C. Section 78o(h)) or Section 222(b) of the Investment Advisers Act of 1940 (15 
75.14 	U.S.C. Section 80b-22), a broker-dealer registered or required to be registered under this 
75.15 	chapter and an investment adviser registered or required to be registered under this chapter 
75.16 	shall file such financial reports as are required by a rule adopted or order issued under this 
75.17 	chapter. If the information contained in a record filed under this subsection is or becomes 
75.18 	inaccurate or incomplete in a material respect, the registrant shall promptly file a correcting 
75.19 	amendment.
75.20 	(c) Record keeping. Subject to Section 15(h) of the Securities Exchange Act of 1934 
75.21 	(15 U.S.C. Section 78o(h)) or Section 222 of the Investment Advisers Act of 1940 (15 
75.22 	U.S.C. Section 80b-22):
75.23 	(1) a broker-dealer registered or required to be registered under this chapter and an 
75.24 	investment adviser registered or required to be registered under this chapter shall make and 
75.25 	maintain the accounts, correspondence, memoranda, papers, books, and other records 
75.26 	required by rule adopted or order issued under this chapter;
75.27 	(2) broker-dealer records required to be maintained under paragraph (1) may be 
75.28 	maintained in any form of data storage acceptable under Section 17(a) of the Securities 
75.29 	Exchange Act of 1934 (15 U.S.C. Section 78q(a)) if they are readily accessible to the 
75.30 	administrator; and
75.31 	(3) investment adviser records required to be maintained under paragraph (d)(1) may 
75.32 	be maintained in any form of data storage required by rule adopted or order issued under 
75.33 	this chapter.
76.1 	(d) Records and reports of private funds.
76.2 	(1) In general. An investment adviser to a private fund shall maintain such records of, 
76.3 	and file with the administrator such reports and amendments thereto, that an exempt reporting 
76.4 	adviser is required to file with the Securities and Exchange Commission pursuant to SEC 
76.5 	Rule 204-4, Code of Federal Regulations, title 17, section 275.204-4.
76.6 	(2) Treatment of records. The records and reports of any private fund to which an 
76.7 	investment adviser provides investment advice shall be deemed to be the records and reports 
76.8 	of the investment adviser.
76.9 	(3) Required information. The records and reports required to be maintained by an 
76.10 	investment adviser, which are subject to inspection by a representative of the administrator 
76.11 	at any time, shall include for each private fund advised by the investment adviser, a 
76.12 	description of:
76.13 	(A) the amount of assets under management;
76.14 	(B) the use of leverage, including off-balance-sheet leverage, as to the assets under 
76.15 	management;
76.16 	(C) counterparty credit risk exposure;
76.17 	(D) trading and investment positions;
76.18 	(E) valuation policies and practices of the fund;
76.19 	(F) types of assets held;
76.20 	(G) side arrangements or side letters, whereby certain investors in a fund obtain more 
76.21 	favorable rights or entitlements than other investors;
76.22 	(H) trading practices; and
76.23 	(I) such other information as the administrator determines is necessary and appropriate 
76.24 	in the public interest and for the protection of investors, which may include the establishment 
76.25 	of different reporting requirements for different classes of fund advisers, based on the type 
76.26 	or size of the private fund being advised.
76.27 	(4) Filing of records. A rule or order under this chapter may require each investment 
76.28 	adviser to a private fund to file reports containing such information as the administrator 
76.29 	deems necessary and appropriate in the public interest and for the protection of investors.
76.30 	(e) Audits or inspections. The records of a broker-dealer registered or required to be 
76.31 	registered under this chapter and of an investment adviser registered or required to be 
77.1 	registered under this chapter, including the records of a private fund described in paragraph 
77.2 	(d) and the records of investment advisers to private funds, are subject to such reasonable 
77.3 	periodic, special, or other audits or inspections by a representative of the administrator, 
77.4 	within or without this state, as the administrator considers necessary or appropriate in the 
77.5 	public interest and for the protection of investors. An audit or inspection may be made at 
77.6 	any time and without prior notice. The administrator may copy, and remove for audit or 
77.7 	inspection copies of, all records the administrator reasonably considers necessary or 
77.8 	appropriate to conduct the audit or inspection. The administrator may assess a reasonable 
77.9 	charge for conducting an audit or inspection under this subsection.
77.10 	(f) Custody and discretionary authority bond or insurance. Subject to Section 15(h) 
77.11 	of the Securities Exchange Act of 1934 (15 U.S.C. Section 78o(h)) or Section 222 of the 
77.12 	Investment Advisers Act of 1940 (15 U.S.C. Section 80b-22), a rule adopted or order issued 
77.13 	under this chapter may require a broker-dealer or investment adviser that has custody of or 
77.14 	discretionary authority over funds or securities of a customer or client to obtain insurance 
77.15 	or post a bond or other satisfactory form of security in an amount of at least $25,000, but 
77.16 	not to exceed $100,000. The administrator may determine the requirements of the insurance, 
77.17 	bond, or other satisfactory form of security. Insurance or a bond or other satisfactory form 
77.18 	of security may not be required of a broker-dealer registered under this chapter whose net 
77.19 	capital exceeds, or of an investment adviser registered under this chapter whose minimum 
77.20 	financial requirements exceed, the amounts required by rule or order under this chapter. 
77.21 	The insurance, bond, or other satisfactory form of security must permit an action by a person 
77.22 	to enforce any liability on the insurance, bond, or other satisfactory form of security if 
77.23 	instituted within the time limitations in section 80A.76(j)(2).
77.24 	(g) Requirements for custody. Subject to Section 15(h) of the Securities Exchange Act 
77.25 	of 1934 (15 U.S.C. Section 78o(h)) or Section 222 of the Investment Advisers Act of 1940 
77.26 	(15 U.S.C. Section 80b-22), an agent may not have custody of funds or securities of a 
77.27 	customer except under the supervision of a broker-dealer and an investment adviser 
77.28 	representative may not have custody of funds or securities of a client except under the 
77.29 	supervision of an investment adviser or a federal covered investment adviser. A rule adopted 
77.30 	or order issued under this chapter may prohibit, limit, or impose conditions on a broker-dealer 
77.31 	regarding custody of funds or securities of a customer and on an investment adviser regarding 
77.32 	custody of securities or funds of a client.
77.33 	(h) Investment adviser brochure rule. With respect to an investment adviser registered 
77.34 	or required to be registered under this chapter, a rule adopted or order issued under this 
77.35 	chapter may require that information or other record be furnished or disseminated to clients 
78.1 	or prospective clients in this state as necessary or appropriate in the public interest and for 
78.2 	the protection of investors and advisory clients.
78.3 	(i) Continuing education. A rule adopted or order issued under this chapter may require 
78.4 	an individual registered under section 80A.57 or 80A.58 to participate in a continuing 
78.5 	education program approved by the Securities and Exchange Commission and administered 
78.6 	by a self-regulatory organization.

78.7 	EFFECTIVE DATE. This section is effective January 1, 2025.

78.8 	Sec. 42. Minnesota Statutes 2022, section 80C.05, subdivision 3, is amended to read:
78.9 		Subd. 3.Escrow or impoundment of fees and other funds by commissioner. If the 
78.10 	commissioner finds that the applicant has failed to demonstrate that adequate financial 
78.11 	arrangements have been made to fulfill obligations to provide real estate, improvements, 
78.12 	equipment, inventory, training or other items included in the offering, the commissioner 
78.13 	may by rule or order require the escrow or, impoundment, or deferral of franchise fees and 
78.14 	other funds paid by the franchisee or subfranchisor until no later than the time of opening 
78.15 	of the franchise business.

78.16 	Sec. 43. Minnesota Statutes 2022, section 82B.021, subdivision 26, is amended to read:
78.17 		Subd. 26.Standards of professional practice. "Standards of professional practice" 
78.18 	means the version of the uniform standards of professional appraisal practice of the 
78.19 	Appraisers Appraisal Standards Board of the Appraisal Foundation in effect as of January 
78.20 	1, 1991, or other version of these standards the commissioner may by order designate on 
78.21 	the date the appraiser signs the appraisal report.

78.22 	Sec. 44. Minnesota Statutes 2022, section 82B.095, subdivision 3, is amended to read:
78.23 		Subd. 3.Conformance to Appraisal Qualifications Board criteria. (a) The 
78.24 	requirements to obtain and maintain a trainee real property appraiser, licensed real property 
78.25 	appraiser, certified residential real property appraiser, or certified general real property 
78.26 	appraiser license are the education, examination, and experience requirements established 
78.27 	by the Appraiser Qualifications Board of the Appraisal Foundation and published in the 
78.28 	most recent version of the Real Property Appraiser Qualification Criteria.
78.29 	(b) An applicant must complete the applicable education and experience requirements 
78.30 	before taking the required examination.

78.31 	EFFECTIVE DATE. This section is effective January 1, 2026.

79.1 	Sec. 45. Minnesota Statutes 2022, section 82B.19, subdivision 1, is amended to read:
79.2 		Subdivision 1.License renewals. (a) The commissioner must determine that a licensed 
79.3 	real estate appraiser has met the continuing education requirements of this chapter before 
79.4 	the commissioner renews a license. This determination must be based on, for a resident 
79.5 	appraiser, course completion records uploaded electronically in a manner prescribed by the 
79.6 	commissioner and, for a nonresident appraiser, course completion records presented by 
79.7 	electronic transmission or uploaded electronically in a manner prescribed by the 
79.8 	commissioner.
79.9 	The basic continuing education requirement for renewal of a license is the completion 
79.10 	by the applicant either as a student or as an instructor, during the immediately preceding 
79.11 	term of licensing, of at least 30 classroom hours of instruction in courses or seminars that 
79.12 	have received the approval of the commissioner. Classroom hour credit must not be accepted 
79.13 	for courses of less than two hours. As part of the continuing education requirements of this 
79.14 	section, the commissioner must require that all real estate appraisers successfully complete 
79.15 	the seven-hour national USPAP update course every two years. If the applicant's immediately 
79.16 	preceding term of licensing consisted of six or more months, but fewer than 24 months, the 
79.17 	applicant must provide evidence of completion of 15 hours of instruction during the license 
79.18 	period. The credit hours required under this section may be credited to a person for distance 
79.19 	education courses that meet Appraiser Qualifications Board criteria. An approved prelicense 
79.20 	education course may be taken for continuing education credit.
79.21 	(b) The 15-hour USPAP course cannot be used to satisfy the requirement to complete 
79.22 	the seven-hour national USPAP update course every two years.

79.23 	EFFECTIVE DATE. This section is effective January 1, 2026.

79.24 	Sec. 46. Minnesota Statutes 2022, section 115C.08, subdivision 2, is amended to read:
79.25 		Subd. 2.Imposing fee. The board shall notify the commissioner of revenue if the 
79.26 	unencumbered balance of the fund falls below $4,000,000, and within 60 90 days after 
79.27 	receiving notice from the board, the commissioner of revenue shall impose the fee established 
79.28 	in subdivision 3 on the use of a tank for four calendar months, with payment to be submitted 
79.29 	with each monthly distributor tax return.

79.30 	Sec. 47. RULEMAKING.
 79.31 	(a) The commissioner of commerce must adopt rules to conform with the changes made 
79.32 	to Minnesota Statutes, sections 80A.66 and 80C.05, subdivision 3, in this article with respect 
80.1 	to investment adviser registration continuing education and franchise fees deferral, 
80.2 	respectively. The commissioner of commerce may use the good cause exemption under 
80.3 	Minnesota Statutes, section 14.388, subdivision 1, clause (3), to amend the rule under this 
80.4 	section, and Minnesota Statutes, section 14.386, does not apply except as provided under 
80.5 	Minnesota Statutes, section 14.388.
80.6 	(b) The commissioner of commerce must amend Minnesota Rules, part 2675.2170, to 
80.7 	comply with the changes made and added in this article to Minnesota Statutes, sections 
80.8 	47.20, subdivision 2; 47.54, subdivisions 2 and 6; 48.24, subdivision 2; 58.02, subdivisions 
80.9 	15a, 18, and 21; 58.04, subdivisions 1 and 2; 58.05, subdivisions 1 and 3; 58.06, subdivisions 
80.10 	5, 6, and 7; 58.08, subdivisions 1a, 2, and 3; 58.10, subdivision 3; 58.115; 58.13, subdivision 
80.11 	1; and 58.141. The commissioner of commerce may use the good cause exemption under 
80.12 	Minnesota Statutes, section 14.388, subdivision 1, clause (3), to amend the rule under this 
80.13 	section. Minnesota Statutes, section 14.386, does not apply, except as provided under 
80.14 	Minnesota Statutes, section 14.388.

80.15 	Sec. 48. REPEALER.
 80.16 	Minnesota Statutes 2022, section 58.08, subdivision 3, is repealed.

80.17 	ARTICLE 3
80.18 	COMMERCIAL REGULATION AND CONSUMER PROTECTION

80.19 	Section 1. Minnesota Statutes 2022, section 45.011, subdivision 1, is amended to read:
80.20 		Subdivision 1.Scope. As used in chapters 45 to 80C, 80E to 83, 155A, 216C, 332, 332A, 
80.21 	332B, 345, and 359, and sections 81A.22 to 81A.37; 123A.21, subdivision 7, paragraph 
80.22 	(a), clause (23); 123A.25; 325D.30 to 325D.42; 326B.802 to 326B.885; 386.62 to 386.78; 
80.23 	471.617; and471.982,; and 513.80, unless the context indicates otherwise, the terms defined 
80.24 	in this section have the meanings given them.

80.25 	Sec. 2. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
80.26 	subdivision to read:
80.27 		Subd. 3a.Transaction hash. "Transaction hash" means a unique identifier made up of 
80.28 	a string of characters that act as a record of and provide proof that the transaction was 
80.29 	verified and added to the blockchain.

81.1 	Sec. 3. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
81.2 	subdivision to read:
81.3 		Subd. 3b.New customer. "New customer" means a consumer transacting at a kiosk in 
81.4 	Minnesota who has been a customer with a virtual currency kiosk operator for less than 72 
81.5 	hours. After a 72-hour period has elapsed from the day of first signing up as a customer 
81.6 	with a virtual currency kiosk operator, the customer will be considered an existing customer 
81.7 	and no longer subject to the new customer transaction limit described in this act.

81.8 	Sec. 4. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
81.9 	subdivision to read:
81.10 		Subd. 3c.Existing customer. "Existing customer" means a consumer transacting at a 
81.11 	kiosk in Minnesota who has been a customer with a virtual currency kiosk operator for more 
81.12 	than a 72-hour period. A new customer will automatically convert to an existing customer 
81.13 	after the 72-hour period of first becoming a new customer. An existing customer is subject 
81.14 	to the transaction limits described in this act.

81.15 	Sec. 5. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
81.16 	subdivision to read:
81.17 		Subd. 6a.Virtual currency address. "Virtual currency address" means an alphanumeric 
81.18 	identifier representing a destination for a virtual currency transfer that is associated with a 
81.19 	virtual currency wallet.

81.20 	Sec. 6. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
81.21 	subdivision to read:
81.22 		Subd. 10.Virtual currency kiosk. "Virtual currency kiosk" means an electronic terminal 
81.23 	acting as a mechanical agent of the virtual currency kiosk operator to enable the virtual 
81.24 	currency kiosk operator to facilitate the exchange of virtual currency for money, bank credit, 
81.25 	or other virtual currency, including but not limited to by (1) connecting directly to a separate 
81.26 	virtual currency exchanger that performs the actual virtual currency transmission, or (2) 
81.27 	drawing upon the virtual currency in the possession of the electronic terminal's operator.

81.28 	Sec. 7. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
81.29 	subdivision to read:
81.30 		Subd. 11.Virtual currency kiosk operator. "Virtual currency kiosk operator" means 
81.31 	a licensee that operates a virtual currency kiosk within Minnesota.

82.1 	Sec. 8. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
82.2 	subdivision to read:
82.3 		Subd. 12.Virtual currency kiosk transaction. "Virtual currency kiosk transaction" 
82.4 	means a transaction conducted or performed, in whole or in part, by electronic means via 
82.5 	a virtual currency kiosk. Virtual currency kiosk transaction also means a transaction made 
82.6 	at a virtual currency kiosk to purchase currency with fiat currency or to sell virtual currency 
82.7 	for fiat currency.

82.8 	Sec. 9. Minnesota Statutes 2023 Supplement, section 53B.69, is amended by adding a 
82.9 	subdivision to read:
82.10 		Subd. 13.Virtual currency wallet. "Virtual currency wallet" means a software 
82.11 	application or other mechanism providing a means to hold, store, or transfer virtual currency.

82.12 	Sec. 10. [53B.75] VIRTUAL CURRENCY KIOSKS.
82.13 		Subdivision 1.Disclosures on material risks. (a) Before entering into an initial virtual 
82.14 	currency transaction for, on behalf of, or with a person, the virtual currency kiosk operator 
82.15 	must disclose in a clear, conspicuous, and easily readable manner all material risks generally 
82.16 	associated with virtual currency. The disclosures must be displayed on the screen of the 
82.17 	virtual currency kiosk with the ability for a person to acknowledge the receipt of the 
82.18 	disclosures. The disclosures must include at least the following information:
82.19 	(1) virtual currency is not legal tender, backed or insured by the government, and accounts 
82.20 	and value balances are not subject to Federal Deposit Insurance Corporation, National Credit 
82.21 	Union Administration, or Securities Investor Protection Corporation protections;
82.22 	(2) some virtual currency transactions are deemed to be made when recorded on a public 
82.23 	ledger, which may not be the date or time when the person initiates the transaction;
82.24 	(3) virtual currency's value may be derived from market participants' continued 
82.25 	willingness to exchange fiat currency for virtual currency, which may result in the permanent 
82.26 	and total loss of a particular virtual currency's value if the market for virtual currency 
82.27 	disappears;
82.28 	(4) a person who accepts a virtual currency as payment today is not required to accept 
82.29 	and might not accept virtual currency in the future;
82.30 	(5) the volatility and unpredictability of the price of virtual currency relative to fiat 
82.31 	currency may result in a significant loss over a short period;
83.1 	(6) the nature of virtual currency means that any technological difficulties experienced 
83.2 	by virtual currency kiosk operators may prevent access to or use of a person's virtual 
83.3 	currency; and
83.4 	(7) any bond maintained by the virtual currency kiosk operator for the benefit of a person 
83.5 	may not cover all losses a person incurs.
83.6 	(b) The virtual currency kiosk operator must provide an additional disclosure, which 
83.7 	must be acknowledged by the person, written prominently and in bold type, and provided 
83.8 	separately from the disclosures above, stating: "WARNING: LOSSES DUE TO 
83.9 	FRAUDULENT OR ACCIDENTAL TRANSACTIONS ARE NOT RECOVERABLE 
83.10 	AND TRANSACTIONS IN VIRTUAL CURRENCY ARE IRREVERSIBLE. VIRTUAL 
83.11 	CURRENCY TRANSACTIONS MAY BE USED BY SCAMMERS IMPERSONATING 
83.12 	LOVED ONES, THREATENING JAIL TIME, AND INSISTING YOU WITHDRAW 
83.13 	MONEY FROM YOUR BANK ACCOUNT TO PURCHASE VIRTUAL CURRENCY."
83.14 		Subd. 2.Disclosures. (a) A virtual currency kiosk operator must disclose all relevant 
83.15 	terms and conditions generally associated with the products, services, and activities of the 
83.16 	virtual currency kiosk operator and virtual currency. A virtual currency kiosk operator must 
83.17 	make the disclosures in a clear, conspicuous, and easily readable manner. The disclosures 
83.18 	under this subdivision must address at least the following:
83.19 	(1) the person's liability for unauthorized virtual currency transactions;
83.20 	(2) the person's right to:
83.21 	(i) stop payment of a virtual currency transfer and the procedure to stop payment;
83.22 	(ii) receive a receipt, trade ticket, or other evidence of a transaction at the time of the 
83.23 	transaction; and
83.24 	(iii) prior notice of a change in the virtual currency kiosk operator's rules or policies;
83.25 	(3) under what circumstances the virtual currency kiosk operator, without a court or 
83.26 	government order, discloses a person's account information to third parties; and
83.27 	(4) other disclosures that are customarily provided in connection with opening a person's 
83.28 	account.
83.29 	(b) Before each virtual currency transaction for, on behalf of, or with a person, a virtual 
83.30 	currency kiosk operator must disclose the transaction's terms and conditions in a clear, 
83.31 	conspicuous, and easily readable manner. The disclosures under this subdivision must 
83.32 	address at least the following:
84.1 	(1) the amount of the transaction;
84.2 	(2) any fees, expenses, and charges, including applicable exchange rates;
84.3 	(3) the type and nature of the transaction;
84.4 	(4) a warning that once completed, the transaction may not be reversed;
84.5 	(5) a daily virtual currency transaction limit of no more than $2,000;
84.6 	(6) the difference in the virtual currency's sale price compared to the current market 
84.7 	price; and
84.8 	(7) other disclosures that are customarily given in connection with a virtual currency 
84.9 	transaction.
84.10 		Subd. 3.Acknowledgment of disclosures. Before completing a transaction, a virtual 
84.11 	currency kiosk operator must ensure that each person who engages in a virtual currency 
84.12 	transaction using the virtual currency operator's kiosk acknowledges receipt of all disclosures 
84.13 	required under this section via confirmation of consent. Additionally, upon a transaction's 
84.14 	completion, the virtual currency kiosk operator must provide a person with a physical receipt, 
84.15 	or a virtual receipt sent to the person's email address or SMS number, containing the 
84.16 	following information:
84.17 	(1) the virtual currency kiosk operator's name and contact information, including a 
84.18 	telephone number to answer questions and register complaints;
84.19 	(2) the type, value, date, and precise time of the transaction, transaction hash, and each 
84.20 	virtual currency address;
84.21 	(3) the fees charged;
84.22 	(4) the exchange rate;
84.23 	(5) a statement of the virtual currency kiosk operator's liability for nondelivery or delayed 
84.24 	delivery;
84.25 	(6) a statement of the virtual currency kiosk operator's refund policy; and
84.26 	(7) any additional information the commissioner of commerce may require.
84.27 		Subd. 4.Refunds for new customers. A virtual currency kiosk operator must issue a 
84.28 	refund to a new customer for the full amount of all transactions made within the 72-hour 
84.29 	new customer time period, as described in section 53B.69, subdivision 3b, upon request of 
84.30 	the customer. In order to receive a refund under this subdivision, a customer must:
84.31 	(1) have been fraudulently induced to engage in the virtual currency transactions; and
85.1 	(2) within 14 days of the last transaction to occur during the 72-hour new customer time 
85.2 	period, contact the virtual currency kiosk operator and a government or law enforcement 
85.3 	agency to inform them of the fraudulent nature of the transaction.
85.4 		Subd. 5.Transaction limits. (a) There is an established maximum daily transaction 
85.5 	limit of $2,000 for each new customer of a virtual currency kiosk.
85.6 	(b) The maximum daily transaction limit of an existing customer shall be decided by 
85.7 	each virtual currency kiosk operator in compliance with federal law.

85.8 	Sec. 11. Minnesota Statutes 2022, section 58B.02, subdivision 8, is amended to read:
85.9 		Subd. 8.Student loan. "Student loan" means a government, commercial, or foundation 
85.10 	loan extension of credit for actual costs paid for tuition and reasonable education and living 
85.11 	expenses.

85.12 	Sec. 12. Minnesota Statutes 2022, section 58B.02, is amended by adding a subdivision to 
85.13 	read:
85.14 		Subd. 8a.Lender. "Lender" means an entity engaged in the business of securing, making, 
85.15 	or extending student loans. Lender does not include, to the extent that state regulation is 
85.16 	preempted by federal law:
85.17 	(1) a bank, savings banks, savings and loan association, or credit union;
85.18 	(2) a wholly owned subsidiary of a bank or credit union;
85.19 	(3) an operating subsidiary where each owner is wholly owned by the same bank or 
85.20 	credit union;
85.21 	(4) the United States government, through Title IV of the Higher Education Act of 1965, 
85.22 	as amended, and administered by the United States Department of Education;
85.23 	(5) an agency, instrumentality, or political subdivision of Minnesota;
85.24 	(6) a regulated lender organized under chapter 56, except that a regulated lender must 
85.25 	file the annual report required for lenders under section 58B.03, subdivision 11; or
85.26 	(7) a person who is not in the business of making student loans and who makes no more 
85.27 	than three student loans, with the person's own funds, during any 12-month period.

86.1 	Sec. 13. Minnesota Statutes 2022, section 58B.03, is amended by adding a subdivision to 
86.2 	read:
86.3 		Subd. 10.Annual report. (a) Beginning March 15, 2025, a student loan lender that 
86.4 	secures, makes, or extends student loans in Minnesota must report to the commissioner on 
86.5 	the form the commissioner provides:
86.6 	(1) a list of all schools attended by borrowers who received a student loan from the 
86.7 	student loan lender and resided within Minnesota at the time of the transaction and whose 
86.8 	debt is still outstanding, including student loans used to refinance an existing debt;
86.9 	(2) the total outstanding dollar amount owed by borrowers residing in Minnesota who 
86.10 	received student loans from the student loan lender;
86.11 	(3) the total number of student loans owed by borrowers residing in Minnesota who 
86.12 	received student loans from the student loan lender;
86.13 	(4) the total outstanding dollar amount and number of student loans owed by borrowers 
86.14 	who reside in Minnesota, associated with each school identified under clause (1);
86.15 	(5) the total dollar amount of student loans provided by the student loan lender to 
86.16 	borrowers who resided in Minnesota in the prior calendar year;
86.17 	(6) the total outstanding dollar amount and number of student loans owed by borrowers 
86.18 	who resided in Minnesota, associated with each school identified under clause (1), that were 
86.19 	provided in the prior calendar year;
86.20 	(7) the rate of default for borrowers residing in Minnesota who obtained student loans 
86.21 	from the student loan lender, if applicable;
86.22 	(8) the rate of default for borrowers residing in Minnesota who obtained student loans 
86.23 	from the student loan lender associated with each school identified under clause (1), if 
86.24 	applicable;
86.25 	(9) the range of initial interest rates for student loans provided by the student loan lender 
86.26 	to borrowers who resided in Minnesota in the prior calendar year;
86.27 	(10) the total number of borrowers who received student loans identified under clause 
86.28 	(9), and the percentage of borrowers who received each rate identified under clause (9);
86.29 	(11) the total dollar amount and number of student loans provided in the prior calendar 
86.30 	year by the student loan lender to borrowers who resided in Minnesota at the time of the 
86.31 	transaction and had a cosigner for the student loans;
87.1 	(12) the total dollar amount and number of student loans provided by the student loan 
87.2 	lender to borrowers residing in Minnesota used to refinance a prior student loan or federal 
87.3 	student loan in the prior calendar year;
87.4 	(13) the total dollar amount and number of student loans for which the student loan 
87.5 	lender had sued to collect from a borrower residing in Minnesota in the prior calendar year;
87.6 	(14) a copy of any model promissory note, agreement, contract, or other instrument used 
87.7 	by the student loan lender in the previous year to substantiate that a borrower owes a new 
87.8 	debt to the student loan lender; and
87.9 	(15) any other information considered necessary by the commissioner to assess the total 
87.10 	size and status of the student loan market and well-being of borrowers in Minnesota.
87.11 	(b) In addition to annual reports, the commissioner may require additional regular or 
87.12 	special reports as the commissioner deems necessary to properly supervise student loan 
87.13 	lenders under this chapter.
87.14 	(c) The commissioner of commerce must share data collected under this subdivision 
87.15 	with the commissioner of higher education.

87.16 	Sec. 14. Minnesota Statutes 2022, section 58B.03, is amended by adding a subdivision to 
87.17 	read:
87.18 		Subd. 11.Annual report from student loan servicers. (a) Beginning March 15, 2025, 
87.19 	a student loan servicer that services student loans in Minnesota must report to the 
87.20 	commissioner on the form the commissioner provides. The report must include:
87.21 	(1) a list of any outstanding student loans owed by borrowers who reside in Minnesota 
87.22 	that are serviced by the student loan servicer;
87.23 	(2) the total outstanding dollar amount and number of student loans that are serviced by 
87.24 	the student loan servicer and owed by borrowers who reside in Minnesota;
87.25 	(3) the total dollar amount and number of student loans owed by borrowers who resided 
87.26 	in Minnesota that were serviced by the student loan servicer in the prior calendar year;
87.27 	(4) the rate of default for student loans owed by borrowers who reside in Minnesota that 
87.28 	are serviced by the student loan servicer, if applicable;
87.29 	(5) the range of interest rates for student loans serviced by the student loan servicers to 
87.30 	borrowers who resided in Minnesota in the prior calendar year;
88.1 	(6) the total outstanding dollar amount and number of student loans that were serviced 
88.2 	by the student loan servicer and owed by borrowers residing in Minnesota to refinance a 
88.3 	prior student loan or federal student loan; and
88.4 	(7) any other information considered necessary by the commissioner to assess the total 
88.5 	size and status of the student loan market and well-being of borrowers in Minnesota.
88.6 	(b) In addition to annual reports, the commissioner may require additional regular or 
88.7 	special reports as the commissioner deems necessary to properly supervise student loan 
88.8 	servicers under this chapter.
88.9 	(c) The commissioner of commerce must share data collected under this subdivision 
88.10 	with the commissioner of higher education.

88.11 	Sec. 15. Minnesota Statutes 2022, section 58B.06, subdivision 4, is amended to read:
88.12 		Subd. 4.Transfer of student loan. (a) If a borrower's student loan servicer changes 
88.13 	pursuant to the sale, assignment, or transfer of the servicing, the original student loan servicer 
88.14 	must:
88.15 	(1) require the new student loan servicer to honor all benefits that were made available, 
88.16 	or which may have become available, to a borrower from the original student loan servicer 
88.17 	or is authorized under the student loan contract, including any benefits for which the student 
88.18 	loan borrower has not yet qualified unless that benefit is no longer available under the federal 
88.19 	or state laws and regulations; and
88.20 	(2) transfer to the new student loan servicer all information regarding the borrower, the 
88.21 	account of the borrower, and the borrower's student loan, including but not limited to the 
88.22 	repayment status of the student loan and the benefits described in clause (1).
88.23 	(b) The student loan servicer must complete the transfer under paragraph (a), clause (2), 
88.24 	less than 45 days from the date of the sale, assignment, or transfer of the servicing.
88.25 	(c) A sale, assignment, or transfer of the servicing must be completed no less than seven 
88.26 	days from the date the next payment is due on the student loan.
88.27 	(d) A new student loan servicer must adopt policies and procedures to verify that the 
88.28 	original student loan servicer has met the requirements of paragraph (a).

89.1 	Sec. 16. Minnesota Statutes 2022, section 58B.06, subdivision 5, is amended to read:
89.2 		Subd. 5.Income-driven repayment. (a) A student loan servicer must evaluate a borrower 
89.3 	for eligibility for an income-driven repayment program before placing a borrower in 
89.4 	forbearance or default.
89.5 	(b) A student loan servicer must provide the following information on the student loan 
89.6 	servicer's website:
89.7 	(1) a description of any income-driven repayment programs available under the student 
89.8 	loan contract or federal or state laws and regulations; and
89.9 	(2) information on the policies and procedures the student loan servicer implements to 
89.10 	facilitate the evaluation of student loan income-driven repayment program requests, including 
89.11 	accurate information regarding any options that may be available to the borrower through 
89.12 	the promissory note or that may have been marketed to the borrower through marketing 
89.13 	materials.

89.14 	Sec. 17. Minnesota Statutes 2022, section 58B.07, subdivision 1, is amended to read:
89.15 		Subdivision 1.Misleading borrowers. A student loan servicer must not directly or 
89.16 	indirectly employ any scheme, device, or artifice to attempt to defraud or mislead a borrower.

89.17 	Sec. 18. Minnesota Statutes 2022, section 58B.07, subdivision 3, is amended to read:
89.18 		Subd. 3.Misapplication of payments. A student loan servicer must not knowingly or 
89.19 	negligently misapply student loan payments to the outstanding balance of a student loan.

89.20 	Sec. 19. Minnesota Statutes 2022, section 58B.07, subdivision 9, is amended to read:
89.21 		Subd. 9.Incorrect information regarding student loan forgiveness loans. (a) A 
89.22 	student loan servicer must not misrepresent the availability of student loan forgiveness for 
89.23 	which the servicer has reason to know the borrower is eligible. This includes but is not 
89.24 	limited to student loan forgiveness programs specific to military borrowers, borrowers 
89.25 	working in public service, or borrowers with disabilities.
89.26 	(b) A student loan servicer must not provide incorrect information related to forbearance. 
89.27 	If a student loan servicer suggests placing a borrower in forbearance in lieu of a repayment 
89.28 	program that would result in savings to the borrower and the borrower relies on this 
89.29 	information, the student loan servicer shall be subject to the penalties provided under section 
89.30 	58B.09.

90.1 	Sec. 20. Minnesota Statutes 2022, section 58B.07, is amended by adding a subdivision to 
90.2 	read:
90.3 		Subd. 11.Property. A student loan servicer must not obtain property by fraud or 
90.4 	misrepresentation.

90.5 	Sec. 21. Minnesota Statutes 2022, section 58B.07, is amended by adding a subdivision to 
90.6 	read:
90.7 		Subd. 12.Customer service. A student loan servicer must not allow a borrower to 
90.8 	remain on hold during an individual call for more than two hours unless the student loan 
90.9 	servicer returns the borrower's phone call within 24 hours of the two hours expiring. A 
90.10 	student loan servicer must not allow a call on hold to automatically lapse or end upon 
90.11 	reaching a duration of two hours to satisfy this requirement.

90.12 	Sec. 22. Minnesota Statutes 2022, section 58B.07, is amended by adding a subdivision to 
90.13 	read:
90.14 		Subd. 13.Abusive acts or practices. A student loan servicer must not engage in abusive 
90.15 	acts or practices when servicing a student loan in this state. An act or practice is abusive in 
90.16 	connection with the servicing of a student loan if that act or practice:
90.17 	(1) materially interferes with the ability of a borrower to understand a term or condition 
90.18 	of a student loan; or
90.19 	(2) takes unreasonable advantage of any of the following:
90.20 	(i) a lack of understanding on the part of a borrower of the material risks, costs, or 
90.21 	conditions of the student loan;
90.22 	(ii) the inability of a borrower to protect the interests of the borrower when selecting or 
90.23 	using a student loan or feature, term, or condition of a student loan; or
90.24 	(iii) the reasonable reliance by the borrower on a student loan servicer to act in the 
90.25 	interests of the borrower.

90.26 	Sec. 23. Minnesota Statutes 2022, section 58B.07, is amended by adding a subdivision to 
90.27 	read:
90.28 		Subd. 14.Violations. A violation of this section is an unlawful practice under section 
90.29 	325D.44.

91.1 	Sec. 24. Minnesota Statutes 2022, section 58B.09, is amended by adding a subdivision to 
91.2 	read:
91.3 		Subd. 4.Private right of action. (a) A borrower who suffers damage as a result of the 
91.4 	failure of a student loan servicer to comply with this chapter may bring an action on a 
91.5 	borrower's own behalf and on behalf of a similarly situated class of persons against that 
91.6 	student loan servicer to recover or obtain:
91.7 	(1) actual damages, except that the total award of damages must be at least $500 per 
91.8 	plaintiff, per violation;
91.9 	(2) an order enjoining the methods, acts, or practices;
91.10 	(3) restitution of property;
91.11 	(4) punitive damages;
91.12 	(5) reasonable attorney fees; and
91.13 	(6) any other relief that the court deems proper.
91.14 	(b) In addition to any other remedies provided by this subdivision or otherwise provided 
91.15 	by law, if a student loan servicer is shown, by a preponderance of the evidence, to have 
91.16 	engaged in conduct that substantially interferes with a borrower's right to an alternative 
91.17 	payment arrangement; loan forgiveness, cancellation, or discharge; or any other financial 
91.18 	benefit established under the terms of a borrower's promissory note or under the Higher 
91.19 	Education Act of 1965, United States Code, title 20, section 1070a, et seq., a borrower is 
91.20 	entitled to damages of at least $1,500 per plaintiff, per violation.
91.21 	(c) At least 45 days before bringing an action for damages or injunctive relief under this 
91.22 	chapter, a borrower must:
91.23 	(1) provide written notice to the student loan servicer alleged to have violated this chapter 
91.24 	regarding the nature of the alleged violations; and
91.25 	(2) demand that the student loan servicer correct and remedy the method, act, or practice 
91.26 	identified in the notice under clause (1).
91.27 	(d) The notice required by this subdivision must be sent by certified or registered mail, 
91.28 	return receipt requested, to the student loan servicer's address on file with the Department 
91.29 	of Commerce or to the student loan servicer's principal place of business in Minnesota.
91.30 	(e) An action for damages or injunctive relief brought by a borrower only on the 
91.31 	individual borrower's behalf must not be maintained under paragraph (a) upon a showing 
91.32 	by a student loan servicer that an appropriate correction and remedy is given, or is agreed 
92.1 	to be given within a reasonable time, to the borrower within 30 days after the notice is 
92.2 	received.
92.3 	(f) An action for damages brought by a borrower on both the borrower's behalf and on 
92.4 	behalf of a similarly situated class of persons must not be maintained under paragraph (a) 
92.5 	upon a showing by a student loan servicer alleged to have employed or committed a method, 
92.6 	act, or practice declared unlawful if:
92.7 	(1) all borrowers similarly situated have been identified or a reasonable effort to identify 
92.8 	other borrowers has been made;
92.9 	(2) all borrowers identified have been notified that, upon the borrower's request, the 
92.10 	student loan servicer must make the appropriate correction and remedy;
92.11 	(3) the correction and remedy requested by the borrower has been given or is given 
92.12 	within a reasonable amount of time; and
92.13 	(4) the student loan servicer has ceased from engaging, or if immediate cessation is 
92.14 	impossible or unreasonably expensive under the circumstances, the student loan servicer 
92.15 	ceases to engage within a reasonable amount of time, in the method, act, or practice.
92.16 	(g) An attempt to comply with a demand described in paragraph (c) by a student loan 
92.17 	servicer that receives the demand is construed as an offer to compromise and is inadmissible 
92.18 	as evidence under Minnesota Rules of Evidence, rule 408. An attempt to comply with a 
92.19 	demand is not an admission of engaging in an act or practice declared unlawful by paragraph 
92.20 	(a). Evidence of compliance or attempts to comply with this section may be introduced by 
92.21 	a defendant to establish good faith or to show compliance with paragraph (a).
92.22 	(h) An award of damages must not be given in an action based on a method, act, or 
92.23 	practice in violation of paragraph (a) if the student loan servicer alleged to have employed 
92.24 	or committed that method, act, or practice:
92.25 	(1) proves by a preponderance of the evidence that the violation was not intentional and 
92.26 	resulted from a bona fide error, notwithstanding the use of reasonable procedures adopted 
92.27 	to avoid that error; and
92.28 	(2) makes an appropriate correction, repair, replacement, or other remedy under 
92.29 	paragraphs (e) and (f).

92.30 	Sec. 25. [62J.805] DEFINITIONS.
92.31 		Subdivision 1.Application. For purposes of sections 62J.805 to 62J.808, the following 
92.32 	terms have the meanings given.
93.1 		Subd. 2.Billing error. "Billing error" means an error in a bill from a health care provider 
93.2 	to a patient for health treatment or services that affects the amount owed by the patient 
93.3 	according to that bill. Billing error includes but is not limited to (1) miscoding a health 
93.4 	treatment or service, (2) an error in determining whether a health treatment or service is 
93.5 	covered under the patient's health plan, or (3) an error in determining the cost-sharing owed 
93.6 	by the patient.
93.7 		Subd. 3.Group practice. "Group practice" has the meaning given to health care provider 
93.8 	group practice in section 145D.01, subdivision 1.
93.9 		Subd. 4.Health care provider. "Health care provider" means:
93.10 	(1) a health professional who is licensed or registered by the state to provide health 
93.11 	treatment and services within the professional's scope of practice and in accordance with 
93.12 	state law;
93.13 	(2) a group practice; or
93.14 	(3) a hospital.
93.15 		Subd. 5.Health plan. "Health plan" has the meaning given in section 62A.011, 
93.16 	subdivision 3.
93.17 		Subd. 6.Hospital. "Hospital" means a health care facility licensed as a hospital under 
93.18 	sections 144.50 to 144.56.
93.19 		Subd. 7.Medically necessary. "Medically necessary" means:
93.20 	(1) safe and effective;
93.21 	(2) not experimental or investigational, except as provided in Code of Federal Regulations, 
93.22 	title 42, section 411.15(o);
93.23 	(3) furnished in accordance with acceptable medical standards of medical practice to 
93.24 	diagnose or treat the patient's condition, or to improve the function of a malformed body 
93.25 	member;
93.26 	(4) furnished in a setting appropriate to the patient's medical need and condition;
93.27 	(5) ordered and furnished by qualified personnel;
93.28 	(6) meets, but does not exceed, the patient's medical need; and
93.29 	(7) is at least as beneficial as an existing and available medically appropriate alternative.
93.30 		Subd. 8.Payment. "Payment" includes co-payments and coinsurance and deductible 
93.31 	payments made by a patient.

94.1 	EFFECTIVE DATE. This section is effective October 1, 2024.

94.2 	Sec. 26. [62J.806] POLICY FOR COLLECTION OF MEDICAL DEBT.
94.3 		Subdivision 1.Requirement. A health care provider must make available to the public 
94.4 	the health care provider's policy for collecting medical debt from patients. The policy must 
94.5 	be made available by:
94.6 	(1) clearly posting the policy on the health care provider's website or, for health 
94.7 	professionals, on the website of the health clinic, group practice, or hospital at which the 
94.8 	health professional is employed or under contract; and
94.9 	(2) providing a copy of the policy to any individual who requests the policy.
94.10 		Subd. 2.Content. A policy made available under this section must at least specify the 
94.11 	procedures followed by the health care provider to:
94.12 	(1) communicate with patients about the medical debt owed and collecting medical debt;
94.13 	(2) refer medical debt to a collection agency or law firm for collection; and
94.14 	(3) identify medical debt as uncollectible or satisfied, and ending collection activities.

94.15 	EFFECTIVE DATE. This section is effective October 1, 2024.

94.16 	Sec. 27. [62J.807] DENIAL OF HEALTH TREATMENT OR SERVICES DUE TO 
94.17 	OUTSTANDING MEDICAL DEBT.
94.18 	(a) A health care provider must not deny medically necessary health treatment or services 
94.19 	to a patient or any member of the patient's family or household because of current or previous 
94.20 	outstanding medical debt owed by the patient or any member of the patient's family or 
94.21 	household to the health care provider, regardless of whether the health treatment or service 
94.22 	may be available from another health care provider.
94.23 	(b) As a condition of providing medically necessary health treatment or services in the 
94.24 	circumstances described in paragraph (a), a health care provider may require the patient to 
94.25 	enroll in a payment plan for the outstanding medical debt owed to the health care provider. 
94.26 	The payment plan must be reasonable and must take into account any information disclosed 
94.27 	by the patient regarding the patient's ability to pay. Before entering into the payment plan, 
94.28 	a health care provider must notify the patient that if the patient is unable to make all or part 
94.29 	of the agreed-upon installment payments, the patient must communicate the patient's situation 
94.30 	to the health care provider and must pay an amount the patient can afford.

94.31 	EFFECTIVE DATE. This section is effective October 1, 2024.

95.1 	Sec. 28. [62J.808] BILLING ERRORS; HEALTH TREATMENT OR SERVICES.
95.2 		Subdivision 1.Billing and acceptance of payment. (a) If a health care provider or 
95.3 	health plan company determines or receives notice from a patient or other person that a bill 
95.4 	from the health care provider to a patient for health treatment or services may contain one 
95.5 	or more billing errors, the health care provider or health plan company must review the bill 
95.6 	and correct any billing errors found. While the review is being conducted, the health care 
95.7 	provider must not bill the patient for any health treatment or service subject to review for 
95.8 	potential billing errors. A health care provider may bill the patient for the health treatment 
95.9 	and services that were reviewed for potential billing errors under this subdivision only after 
95.10 	the review is complete, any billing errors are corrected, and a notice of completed review 
95.11 	required under subdivision 3 is transmitted to the patient.
95.12 	(b) If, after completing the review under paragraph (a) and correcting any billing errors, 
95.13 	a health care provider or health plan company determines the patient overpaid the health 
95.14 	care provider under the bill, the health care provider must, within 30 days after completing 
95.15 	the review, refund to the patient the amount the patient overpaid under the bill.
95.16 		Subd. 2.Notice to patient of potential billing error. (a) If a health care provider or 
95.17 	health plan company determines or receives notice from a patient or other person that a bill 
95.18 	from the health care provider to a patient for health treatment or services may contain one 
95.19 	or more billing errors, the health care provider or health plan company must notify the 
95.20 	patient:
95.21 	(1) of the potential billing error;
95.22 	(2) that the health care provider or health plan company must review the bill and correct 
95.23 	any billing errors found; and
95.24 	(3) that while the review is being conducted, the health care provider must not bill the 
95.25 	patient for any health treatment or service subject to review for potential billing errors.
95.26 	(b) The notice required under this subdivision must be transmitted to the patient within 
95.27 	30 days after the date the health care provider or health plan company determines or receives 
95.28 	notice that the patient's bill may contain one or more billing errors.
95.29 		Subd. 3.Notice to patient of completed review. When a health care provider or health 
95.30 	plan company completes a review of a bill for potential billing errors, the health care provider 
95.31 	or health plan company must (1) notify the patient that the review is complete, (2) explain 
95.32 	in detail how any identified billing errors were corrected or explain in detail why the health 
95.33 	care provider or health plan company did not modify the bill as requested by the patient or 
96.1 	other person, and (3) include applicable coding guidelines, references to health records, and 
96.2 	other relevant information. This notice must be transmitted to the patient within 30 days 
96.3 	after the date the health care provider or health plan company completes the review.

96.4 	EFFECTIVE DATE. This section is effective October 1, 2024.

96.5 	Sec. 29. Minnesota Statutes 2023 Supplement, section 144.587, subdivision 4, is amended 
96.6 	to read:
96.7 		Subd. 4.Prohibited actions. (a) A hospital must not initiate one or more of the following 
96.8 	actions until the hospital determines that the patient is ineligible for charity care or denies 
96.9 	an application for charity care:
96.10 	(1) offering to enroll or enrolling the patient in a payment plan;
96.11 	(2) changing the terms of a patient's payment plan;
96.12 	(3) offering the patient a loan or line of credit, application materials for a loan or line of 
96.13 	credit, or assistance with applying for a loan or line of credit, for the payment of medical 
96.14 	debt;
96.15 	(4) referring a patient's debt for collections, including in-house collections, third-party 
96.16 	collections, revenue recapture, or any other process for the collection of debt; or
96.17 	(5) denying health care services to the patient or any member of the patient's household 
96.18 	because of outstanding medical debt, regardless of whether the services are deemed necessary 
96.19 	or may be available from another provider; or
96.20 	(6) (5) accepting a credit card payment of over $500 for the medical debt owed to the 
96.21 	hospital.
96.22 	(b) A violation of section 62J.807 is a violation of this subdivision.

96.23 	EFFECTIVE DATE. This section is effective October 1, 2024.

96.24 	Sec. 30. Minnesota Statutes 2022, section 176.175, subdivision 2, is amended to read:
96.25 		Subd. 2.Nonassignability. No claim for compensation or settlement of a claim for 
96.26 	compensation owned by an injured employee or dependents is assignable. Except as otherwise 
96.27 	provided in this chapter, any claim for compensation owned by an injured employee or 
96.28 	dependents is exempt from seizure or sale for the payment of any debt or liability, up to a 
96.29 	total amount of $1,000,000 per claim and subsequent award.

96.30 	EFFECTIVE DATE. This section is effective October 1, 2024.

97.1 	Sec. 31. Minnesota Statutes 2023 Supplement, section 239.791, subdivision 8, is amended 
97.2 	to read:
97.3 		Subd. 8.Disclosure; reporting. (a) A refinery or terminal, shall provide, at the time 
97.4 	gasoline is sold or transferred from the refinery or terminal, a bill of lading or shipping 
97.5 	manifest to the person who receives the gasoline. For oxygenated gasoline, the bill of lading 
97.6 	or shipping manifest must include the identity and the volume percentage or gallons of 
97.7 	oxygenate included in the gasoline, and it must state: "This fuel contains an oxygenate. Do 
97.8 	not blend this fuel with ethanol or with any other oxygenate." For nonoxygenated gasoline
97.9 	not exempt under subdivisions 10 to 14, 16, and 17, the bill or manifest must state: "This 
97.10 	fuel is not oxygenated. It must not be sold at retail in Minnesota." This subdivision does 
97.11 	not apply to sales or transfers of gasoline between refineries, between terminals, or between 
97.12 	a refinery and a terminal.
97.13 	(b) A delivery ticket required under section 239.092 for biofuel blended with gasoline 
97.14 	must state the volume percentage of biofuel blended into gasoline delivered through a meter 
97.15 	into a storage tank used for dispensing by persons not exempt under subdivisions 10 to 14 
97.16 	and, 16, and 17.
97.17 	(c) On or before the 23rd day of each month, a person responsible for the product must 
97.18 	report to the department, in the form prescribed by the commissioner, the gross number of 
97.19 	gallons of intermediate blends sold at retail by the person during the preceding calendar 
97.20 	month. The report must identify the number of gallons by blend type. For purposes of this 
97.21 	subdivision, "intermediate blends" means blends of gasoline and biofuel in which the biofuel 
97.22 	content, exclusive of denaturants and other permitted components, is greater than ten percent 
97.23 	and no more than 50 percent by volume. This paragraph only applies to a person who is 
97.24 	responsible for selling intermediate blends at retail at more than ten locations. A person 
97.25 	responsible for the product at fewer than ten locations is not precluded from reporting the 
97.26 	gross number of intermediate blends if a report is available.
97.27 	(d) All reports provided pursuant to paragraph (c) are nonpublic data, as defined in 
97.28 	section 13.02, subdivision 9.

97.29 	Sec. 32. Minnesota Statutes 2022, section 239.791, is amended by adding a subdivision 
97.30 	to read:
97.31 		Subd. 17.Bulk delivery of premium grade gasoline; exemption. (a) A person 
97.32 	responsible for the product may offer for sale, sell, or deliver a bulk delivery of unleaded 
97.33 	premium grade gasoline, as defined in section 239.751, subdivision 4, that is not oxygenated 
97.34 	in accordance with subdivision 1 if the conditions in paragraphs (b) to (d) are met.
98.1 	(b) Nonoxygenated gas is only for use in vehicles that qualify for an exemption under 
98.2 	subdivision 12, paragraph (a).
98.3 	(c) No more than one bulk fuel storage tank on the premises may be used for storage of 
98.4 	the nonoxygenated gasoline.
98.5 	(d) The bulk fuel delivery is 500 gallons or less.

98.6 	Sec. 33. Minnesota Statutes 2022, section 270C.63, subdivision 8, is amended to read:
98.7 		Subd. 8.Exempt property. The lien imposed on personal property by this section, even 
98.8 	though properly filed, is not enforceable: (1) against a purchaser with respect to tangible 
98.9 	personal property purchased at retail in the ordinary course of the seller's trade or business, 
98.10 	unless at the time of purchase the purchaser intends the purchase to or knows the purchase 
98.11 	will hinder, evade, or defeat the collection of a tax; or (2) against the personal property 
98.12 	listed as exempt in sections (i) Minnesota Statutes 2022, section550.37, and (ii) sections 
98.13 	550.38, and 550.39.

98.14 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
98.15 	of action commenced on or after that date.

98.16 	Sec. 34. Minnesota Statutes 2022, section 270C.65, subdivision 1, is amended to read:
98.17 		Subdivision 1.Certification by commissioner. The commissioner of revenue is 
98.18 	authorized to certify to the commissioner of management and budget, or to any state agency 
98.19 	described in subdivision 3 which disburses its own funds, that a taxpayer has an uncontested 
98.20 	delinquent tax liability owed to the commissioner of revenue. The certification must be 
98.21 	made within ten years after the date of assessment of the tax. Once certification is made, 
98.22 	the commissioner of management and budget or the state agency shall apply to the delinquent 
98.23 	tax liability funds sufficient to satisfy the unpaid tax liability from funds appropriated for 
98.24 	payment of an obligation of the state or any of its agencies that are due and owing the 
98.25 	taxpayer. No setoff shall be made against any funds exempt under Minnesota Statutes 2022, 
98.26 	section 550.37, or those funds owed an individual taxpayer who receives assistance under 
98.27 	the provisions of chapter 256.

98.28 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
98.29 	of action commenced on or after that date.

98.30 	Sec. 35. Minnesota Statutes 2022, section 270C.67, subdivision 1a, is amended to read:
98.31 		Subd. 1a.Exempt property.  A levy under this section is not enforceable against:
99.1 	(1) a purchaser with respect to tangible personal property purchased at retail in the 
99.2 	ordinary course of the seller's trade or business, unless at the time of purchase the purchaser 
99.3 	intends the purchase to or knows the purchase will hinder, evade, or defeat the collection 
99.4 	of a tax; or
99.5 	(2) the personal property listed as exempt in sections (i) Minnesota Statutes 2022, section
99.6 	550.37, and (ii) sections 550.38, and 550.39.

99.7 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
99.8 	of action commenced on or after that date.

99.9 	Sec. 36. Minnesota Statutes 2022, section 270C.67, subdivision 11, is amended to read:
99.10 		Subd. 11.Levy and sale by sheriff. If any tax payable to the commissioner or to the 
99.11 	department is not paid as provided in subdivision 3, the commissioner may, within the time 
99.12 	periods provided in subdivision 1 for collection of taxes, delegate the authority granted by 
99.13 	subdivision 1, by means of issuing a warrant to the sheriff of any county of the state 
99.14 	commanding the sheriff, as agent for the commissioner, to levy upon and sell the real and 
99.15 	personal property of the person liable for the payment or collection of the tax and to levy 
99.16 	upon the rights to property of that person within the county, or to levy upon and seize any 
99.17 	property within the county on which there is a lien provided in section 270C.63, and to 
99.18 	return the warrant to the commissioner and pay to the commissioner the money collected 
99.19 	by virtue thereof by a time to be therein specified not less than 60 days from the date of the 
99.20 	warrant. The sheriff shall proceed thereunder to levy upon and seize any property of the 
99.21 	person and to levy upon the rights to property of the person within the county (except the 
99.22 	person's homestead or that property which is exempt from execution pursuant to Minnesota 
99.23 	Statutes 2022, section 550.37), or to levy upon and seize any property within the county on 
99.24 	which there is a lien provided in section 270C.63. For purposes of the preceding sentence, 
99.25 	"tax" includes any penalty, interest, and costs, properly payable. The sheriff shall then sell 
99.26 	so much of the property levied upon as is required to satisfy the taxes, interest, and penalties, 
99.27 	together with the sheriff's costs; but the sales, and the time and manner of redemption 
99.28 	therefrom, shall, to the extent not provided in sections 270C.7101 to 270C.7109, be governed 
99.29 	by Minnesota Statutes 2022, chapter 550. The proceeds of the sales, less the sheriff's costs, 
99.30 	shall be turned over to the commissioner, who shall then apply the proceeds as provided in 
99.31 	section 270C.7108.

99.32 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
99.33 	of action commenced on or after that date.

100.1 	Sec. 37. Minnesota Statutes 2022, section 270C.69, subdivision 1, is amended to read:
100.2 		Subdivision 1.Notice and procedures. (a) The commissioner may, within five years 
100.3 	after the date of assessment of the tax, or if a lien has been filed under section 270C.63, 
100.4 	within the statutory period for enforcement of the lien, give notice to any employer deriving 
100.5 	income which has a taxable situs in this state regardless of whether the income is exempt 
100.6 	from taxation, that an employee of that employer is delinquent in a certain amount with 
100.7 	respect to any taxes, including penalties, interest, and costs. The commissioner can proceed 
100.8 	under this section only if the tax is uncontested or if the time for appeal of the tax has 
100.9 	expired. The commissioner shall not proceed under this section until the expiration of 30 
100.10 	days after mailing to the taxpayer, at the taxpayer's last known address, a written notice of 
100.11 	(1) the amount of taxes, interest, and penalties due from the taxpayer and demand for their 
100.12 	payment, and (2) the commissioner's intention to require additional withholding by the 
100.13 	taxpayer's employer pursuant to this section. The effect of the notice shall expire one year 
100.14 	after it has been mailed to the taxpayer provided that the notice may be renewed by mailing 
100.15 	a new notice which is in accordance with this section. The renewed notice shall have the 
100.16 	effect of reinstating the priority of the original claim. The notice to the taxpayer shall be in 
100.17 	substantially the same form as that provided in Minnesota Statutes 2022, section 571.72. 
100.18 	The notice shall further inform the taxpayer of the wage exemptions contained in Minnesota 
100.19 	Statutes 2022, section 550.37, subdivision 14. If no statement of exemption is received by 
100.20 	the commissioner within 30 days from the mailing of the notice, the commissioner may 
100.21 	proceed under this section. The notice to the taxpayer's employer may be served by mail or 
100.22 	by delivery by an agent of the department and shall be in substantially the same form as 
100.23 	provided in Minnesota Statutes 2022, section 571.75. Upon receipt of notice, the employer 
100.24 	shall withhold from compensation due or to become due to the employee, the total amount 
100.25 	shown by the notice, subject to the provisions of Minnesota Statutes 2022, section 571.922. 
100.26 	The employer shall continue to withhold each pay period until the notice is released by the 
100.27 	commissioner under section 270C.7109. Upon receipt of notice by the employer, the claim 
100.28 	of the state of Minnesota shall have priority over any subsequent garnishments or wage 
100.29 	assignments. The commissioner may arrange between the employer and the employee for 
100.30 	withholding a portion of the total amount due the employee each pay period, until the total 
100.31 	amount shown by the notice plus accrued interest has been withheld.
100.32 	(b) The "compensation due" any employee is defined in accordance with the provisions 
100.33 	of Minnesota Statutes 2022, section 571.921. The maximum withholding allowed under 
100.34 	this section for any one pay period shall be decreased by any amounts payable pursuant to 
100.35 	a garnishment action with respect to which the employer was served prior to being served 
101.1 	with the notice of delinquency and any amounts covered by any irrevocable and previously 
101.2 	effective assignment of wages; the employer shall give notice to the commissioner of the 
101.3 	amounts and the facts relating to such assignments within ten days after the service of the 
101.4 	notice of delinquency on the form provided by the commissioner as noted in this section.
101.5 	(c) Within ten days after the expiration of such pay period, the employer shall remit to 
101.6 	the commissioner, in the manner prescribed by the commissioner, the amount withheld 
101.7 	during each pay period under this section. The employer must file all wage levy disclosure 
101.8 	forms and remit all wage levy payments by electronic means.

101.9 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
101.10 	of action commenced on or after that date.

101.11 	Sec. 38. Minnesota Statutes 2023 Supplement, section 325E.21, subdivision 1b, is amended 
101.12 	to read:
101.13 		Subd. 1b.Purchase or acquisition record required. (a) Every scrap metal dealer, 
101.14 	including an agent, employee, or representative of the dealer, shall create a permanent record 
101.15 	written in English, using an electronic record program at the time of each purchase or 
101.16 	acquisition of scrap metal or a motor vehicle. The record must include:
101.17 	(1) a complete and accurate account or description, including the weight if customarily 
101.18 	purchased by weight, of the scrap metal or motor vehicle purchased or acquired;
101.19 	(2) the date, time, and place of the receipt of the scrap metal or motor vehicle purchased 
101.20 	or acquired and a unique transaction identifier;
101.21 	(3) a photocopy or electronic scan of the seller's proof of identification including the 
101.22 	identification number;
101.23 	(4) the amount paid and the number of the check or electronic transfer used to purchase 
101.24 	or acquire the scrap metal or motor vehicle;
101.25 	(5) the license plate number and description of the vehicle used by the person when 
101.26 	delivering the scrap metal or motor vehicle, including the vehicle make and model, and any 
101.27 	identifying marks on the vehicle, such as a business name, decals, or markings, if applicable;
101.28 	(6) a statement signed by the seller, under penalty of perjury as provided in section 
101.29 	609.48, attesting that the scrap metal or motor vehicle is not stolen and is free of any liens 
101.30 	or encumbrances and the seller has the right to sell it;
101.31 	(7) a copy of the receipt, which must include at least the following information: the name 
101.32 	and address of the dealer, the date and time the scrap metal or motor vehicle was received 
102.1 	by the dealer, an accurate description of the scrap metal or motor vehicle, and the amount 
102.2 	paid for the scrap metal or motor vehicle; and
102.3 	(8) in order to purchase or acquire a detached catalytic converter, the vehicle identification 
102.4 	number of the car it was removed from or, as an alternative, any numbers, bar codes, stickers, 
102.5 	or other unique markings, whether resulting from the pilot project created under subdivision 
102.6 	2b or some other source. The alternative number must be under a numbering system that 
102.7 	can be immediately linked to the vehicle identification number by law enforcement; and
102.8 	(9) (8) the identity or identifier of the employee completing the transaction.
102.9 	(b) The record, as well as the scrap metal or motor vehicle purchased or acquired, shall 
102.10 	at all reasonable times be open to the inspection of any properly identified law enforcement 
102.11 	officer.
102.12 	(c) Except for the purchase or acquisition of detached catalytic converters or motor 
102.13 	vehicles, no record is required for property purchased or acquired from merchants, 
102.14 	manufacturers, salvage pools, insurance companies, rental car companies, financial 
102.15 	institutions, charities, dealers licensed under section 168.27, or wholesale dealers, having 
102.16 	an established place of business, or of any goods purchased or acquired at open sale from 
102.17 	any bankrupt stock, but a receipt as required under paragraph (a), clause (7), shall be obtained 
102.18 	and kept by the person, which must be shown upon demand to any properly identified law 
102.19 	enforcement officer.
102.20 	(d) The dealer must provide a copy of the receipt required under paragraph (a), clause 
102.21 	(7), to the seller in every transaction.
102.22 	(e) The commissioner of public safety and law enforcement agencies in the jurisdiction 
102.23 	where a dealer is located may conduct inspections and audits as necessary to ensure 
102.24 	compliance, refer violations to the city or county attorney for criminal prosecution, and 
102.25 	notify the registrar of motor vehicles.
102.26 	(f) Except as otherwise provided in this section, a scrap metal dealer or the dealer's agent, 
102.27 	employee, or representative may not disclose personal information concerning a customer 
102.28 	without the customer's consent unless the disclosure is required by law or made in response 
102.29 	to a request from a law enforcement agency. A scrap metal dealer must implement reasonable 
102.30 	safeguards to protect the security of the personal information and prevent unauthorized 
102.31 	access to or disclosure of the information. For purposes of this paragraph, "personal 
102.32 	information" is any individually identifiable information gathered in connection with a 
102.33 	record under paragraph (a).

103.1 	Sec. 39. Minnesota Statutes 2023 Supplement, section 325E.21, subdivision 11, is amended 
103.2 	to read:
103.3 		Subd. 11.Prohibition on possessing catalytic converters; exception. (a) It is unlawful 
103.4 	for a person to possess a used catalytic converter that is not attached to a motor vehicle 
103.5 	except when:
103.6 	(1) the converter is marked with the date the converter was removed from the vehicle 
103.7 	and the identification number of the vehicle from which the converter was removed or an 
103.8 	alternative number to the vehicle identification number, as an alternative to the vehicle 
103.9 	identification number, any numbers, bar codes, stickers, or other unique markings, whether 
103.10 	resulting from the pilot project created under subdivision 2b or some other source; or
103.11 	(2) the converter has been EPA certified for reuse as a replacement part.
103.12 	(b) If an alternative number to the vehicle identification number is used, it must be under 
103.13 	a numbering system that can be immediately linked to the vehicle identification number by 
103.14 	law enforcement. The marking of the vehicle identification or alternative number may be 
103.15 	made in any permanent manner, including but not limited to an engraving or use of permanent 
103.16 	ink. The marking must clearly and legibly indicate the date removed and the vehicle 
103.17 	identification number or the alternative number and the method by which law enforcement 
103.18 	can link the converter to the vehicle identification number.

103.19 	Sec. 40. Minnesota Statutes 2023 Supplement, section 325E.80, subdivision 1, is amended 
103.20 	to read:
103.21 		Subdivision 1.Definitions. (a) For purposes of this section, the terms in this subdivision 
103.22 	have the meanings given.
103.23 	(b) "Essential consumer good or service" means a good or service that is vital and 
103.24 	necessary for the health, safety, and welfare of the public, including without limitation: 
103.25 	food; water; fuel; gasoline; shelter; construction materials; transportation; health care 
103.26 	services; pharmaceuticals; and medical, personal hygiene, sanitation, and cleaning supplies.
103.27 	(c) "Restoration and mitigation services provider" means a person or business that 
103.28 	provides a service to prevent further damage to property following a fire, smoke, water, or 
103.29 	storm event. Services include but are not limited to boarding up property, water extraction, 
103.30 	drying, smoke or odor removal, cleaning, and personal property inventory, removal, and 
103.31 	storage.
103.32 	(d) "Seller" means a manufacturer, supplier, wholesaler, distributor, or retail seller of 
103.33 	goods and services.
104.1 	(e) "Tree trimmer" means a person registered under section 18G.07.
104.2 	(d) (f) "Unconscionably excessive price" means a price that represents a gross disparity 
104.3 	compared to the seller's average price of an essential good or service, offered for sale or 
104.4 	sold in the usual course of business, in the 60-day period before an abnormal market 
104.5 	disruption is declared under subdivision 2. None of the following is an unconscionably 
104.6 	excessive price:
104.7 	(1) a price that is substantially related to an increase in the cost of manufacturing, 
104.8 	obtaining, replacing, providing, or selling a good or service;
104.9 	(2) a price that is no more than 25 percent above the seller's average price during the 
104.10 	60-day period before an abnormal market disruption is declared under subdivision 2;
104.11 	(3) a price that is consistent with the fluctuations in applicable commodity markets or 
104.12 	seasonal fluctuations; or
104.13 	(4) a contract price, or the results of a price formula, that was established before an 
104.14 	abnormal market disruption is declared under subdivision 2.

104.15 	Sec. 41. Minnesota Statutes 2023 Supplement, section 325E.80, subdivision 5, is amended 
104.16 	to read:
104.17 		Subd. 5.Prices and rates. Upon the occurrence of a weather event classified as a severe 
104.18 	thunderstorm pursuant to the criteria established by the National Oceanic and Atmospheric 
104.19 	Administration, a residential building contractor, tree trimmer, or restoration and mitigation 
104.20 	services provider operating within the geographic region impacted by the weather event 
104.21 	and repairing damage caused by the weather event shall not:
104.22 	(1) charge an unconscionably excessive price for labor in comparison to the market price 
104.23 	charged for comparable services in the geographic region impacted by the weather event; 
104.24 	or
104.25 	(2) charge an insurance company a rate that exceeds what the residential building 
104.26 	contractor, tree trimmer, or restoration and mitigation services provider would otherwise 
104.27 	charges members charge a member of the general public.

104.28 	Sec. 42. Minnesota Statutes 2023 Supplement, section 325E.80, subdivision 6, is amended 
104.29 	to read:
104.30 		Subd. 6.Civil penalty. A person who is found to have violated this section subdivision 
104.31 	4 is subject to a civil penalty of not more than $1,000 per sale or transaction, with a maximum 
105.1 	penalty of $25,000 per day. No other penalties may be imposed for the same conduct 
105.2 	regulated under this section subdivision 4.

105.3 	Sec. 43. Minnesota Statutes 2023 Supplement, section 325E.80, subdivision 7, is amended 
105.4 	to read:
105.5 		Subd. 7.Enforcement authority. (a) The attorney general may investigate and bring 
105.6 	an action using the authority under section 8.31 against a seller or, residential building 
105.7 	contractor, tree trimmer, or restoration and mitigation services provider for an alleged 
105.8 	violation of this section.
105.9 	(b) Nothing in this section creates a private cause of action in favor of a person injured 
105.10 	by a violation of this section.

105.11 	Sec. 44. Minnesota Statutes 2022, section 325F.03, is amended to read:
105.12 	325F.03 FLAME RESISTANT PUBLIC ASSEMBLY TENTS.
105.13 	No person, firm or corporation shall establish, maintain or operate any circus, side show, 
105.14 	carnival, tent show, theater, skating rink, dance hall, or a similar exhibition, production, 
105.15 	engagement or offering or other place of assemblage in or under which ten 15 or more 
105.16 	persons may gather for any lawful purpose in any tent, awning or other fabric enclosure 
105.17 	unless such tent, awning or other fabric enclosure, and all auxiliary tents, curtains, drops, 
105.18 	awnings and all decorative materials, are made from a nonflammable material or are treated 
105.19 	and maintained in a flame resistant condition. This section shall does not apply to tents
105.20 	designed or manufactured for camping, backpacking, mountaineering, or children's play; 
105.21 	tents used to conduct committal services on the grounds of a cemetery,; nor to tents, awnings 
105.22 	or other fabric enclosures erected and used within a sound stage, or other similar structural 
105.23 	enclosure which is equipped with an overhead automatic sprinkler system.

105.24 	Sec. 45. Minnesota Statutes 2022, section 325F.04, is amended to read:
105.25 	325F.04 FLAME RESISTANT TENTS AND SLEEPING BAGS.
105.26 	No person, firm, or corporation may sell or offer for sale or manufacture for sale in this 
105.27 	state any tent subject to section 325F.03 unless all fabrics or pliable materials in the tent 
105.28 	are durably flame resistant. No person, firm or corporation may sell or offer for sale or 
105.29 	manufacture for sale in this state any sleeping bag unless it meets the standards of the 
105.30 	commissioner of public safety for flame resistancy. Tents and sleeping bags subject to 
105.31 	section 325F.03 shall be conspicuously labeled as being durably flame resistant.

106.1 	Sec. 46. Minnesota Statutes 2022, section 325F.05, is amended to read:
106.2 	325F.05 RULES.
106.3 	The commissioner of public safety shall act so as to have effective rules concerning 
106.4 	standards for nonflammable, flame resistant and durably flame resistant materials and for 
106.5 	labeling requirements by January 1, 1976 under sections 325F.03 and 325F.04. In order to 
106.6 	comply with sections 325F.03 and 325F.04 all materials and labels must comply with the 
106.7 	rules adopted by the commissioner. The commissioner has general rulemaking power to 
106.8 	otherwise implement sections 325F.03 to 325F.07.

106.9 	Sec. 47. [325F.078] SALES OF AEROSOL DUSTERS CONTAINING 1,1- 
106.10 	DIFLUOROETHANE (DFE).
106.11 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
106.12 	the meanings given.
106.13 	(b) "Aerosol duster" means a product used to clean electronics and other items by means 
106.14 	of an aerosol sprayed from a pressurized container.
106.15 	(c) "Behind-the-counter" means placement by a retailer of a product to ensure that 
106.16 	customers do not have direct access to the product before a sale is made, requiring the seller 
106.17 	to deliver the product directly to the buyer.
106.18 	(d) "DFE" or "1,1-difluoroethane" means a chemical with a Chemicals Abstract Service 
106.19 	Registry Number of 75-37-6.
106.20 		Subd. 2.Requirements for retail sale. A retailer must only sell an aerosol duster that 
106.21 	contains DFE:
106.22 	(1) from behind the counter;
106.23 	(2) to a purchaser who presents valid evidence that the purchaser is at least 21 years of 
106.24 	age; and
106.25 	(3) in a quantity that complies with the purchasing limit established in subdivision 3.
106.26 		Subd. 3.Purchasing limit. (a) A retailer is prohibited from selling more than three cans 
106.27 	of an aerosol duster containing DFE to a customer in a single transaction.
106.28 	(b) A retailer is prohibited from selling aerosol dusters containing DFE through same 
106.29 	day pick up services or same day delivery services.
106.30 		Subd. 4.Exemption. (a) Subdivisions 2 and 3 do not apply to a business purchasing 
106.31 	aerosol dusters online.
107.1 	(b) Office wholesalers can sell more than three cans of aerosol dusters containing DFE 
107.2 	to a business they have a contract with.
107.3 		Subd. 5.Labeling. (a) An aerosol duster manufactured after May 31, 2025, must not be 
107.4 	sold in this state unless the aerosol duster clearly warns against the dangers of intentionally 
107.5 	misusing duster aerosol products.
107.6 	(b) The font size of this warning shall be the same or larger than other warning language. 
107.7 	The font color and background of the label must be in contrasting colors.
107.8 	(c) The label on each can of aerosol duster containing DFE must contain the following:
107.9 	(1) the words "DANGER: DEATH! Breathing this product to get high can kill you!"; 
107.10 	and
107.11 	(2) the poison control phone number, 1-800-222-1222.
107.12 	(d) In order to comply with paragraph (a), a label may include, but is not limited to the 
107.13 	words:
107.14 	(1) "Deliberate misuse by concentrating and inhaling the contents can be harmful or 
107.15 	fatal!"; and
107.16 	(2) "Intentional misuse by deliberately concentrating and inhaling the vapors can be 
107.17 	harmful or fatal!".
107.18 	(e) The safety symbols and color standards of the label described in this section must 
107.19 	conform with the ANSI Z535 safety signage standards guidelines established by the American 
107.20 	National Standards Institute.
107.21 		Subd. 6.Violations. (a) A person who violates subdivision 2 or 3 is guilty of a 
107.22 	misdemeanor.
107.23 	(b) It is an affirmative defense to a charge under subdivision 2, clause (2), if the defendant 
107.24 	proves by a preponderance of the evidence that the defendant reasonably and in good faith 
107.25 	relied on proof of age as described in section 340A.503, subdivision 6.

107.26 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to purchases 
107.27 	of aerosol dusters made on or after that date.

107.28 	Sec. 48. Minnesota Statutes 2022, section 325F.56, subdivision 2, is amended to read:
107.29 		Subd. 2.Repairs. "Repairs" means work performed for a total price of more than $100 
107.30 	and less than $7,500, including the price of parts and materials, to restore a malfunctioning, 
107.31 	defective, or worn motor vehicle, appliance, or dwelling place used primarily for personal, 
108.1 	family, or household purposes and not primarily for business or agricultural purposes. 
108.2 	"Repairs" do not include service calls or estimates.

108.3 	Sec. 49. Minnesota Statutes 2022, section 325F.62, subdivision 3, is amended to read:
108.4 		Subd. 3.Required notice to be displayed. Each shop shall conspicuously display a 
108.5 	sign that states the following: "Upon a customer's request, this shop is required to provide 
108.6 	a written estimate for repairs costing more than $100 to $7,500 if the shop agrees to perform 
108.7 	the repairs. The shop's final price cannot exceed its written estimate by more than ten percent 
108.8 	without the prior authorization of the customer. You must request that the estimate be in 
108.9 	writing. An oral estimate is not subject to the above repair cost limitations." If the shop 
108.10 	charges a fee for the storage or care of repaired motor vehicles or appliances, the shop shall 
108.11 	conspicuously display a sign that states the amount assessed for storage or care, when the 
108.12 	charge begins to accrue, and the interval of time between assessments."

108.13 	Sec. 50. [325F.782] DEFINITIONS.
108.14 		Subdivision 1.Scope. For purposes of sections 325F.782 to 325F.7822, the following 
108.15 	terms have the meanings given.
108.16 		Subd. 2.Minor. "Minor" means an individual who is younger than 21 years of age.
108.17 		Subd. 3.Vapor product. "Vapor product" means a noncombustible product that employs 
108.18 	a heating element, power source, electronic circuit, or other electronic, chemical, or 
108.19 	mechanical means, regardless of shape or size, that can be used to produce vapor from 
108.20 	nicotine or any other substance, and the use or inhalation of which simulates smoking. Vapor 
108.21 	product includes an electronic cigarette, electronic cigar, electronic cigarillo, electronic 
108.22 	pipe, or similar product or device. Vapor product also includes a vapor cartridge or other 
108.23 	container of nicotine or other substance in a solution or other form that is intended to be 
108.24 	used with or in an electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe, 
108.25 	or similar product or device.

108.26 	Sec. 51. [325F.7821] PROHIBITION ON DECEPTIVE VAPOR PRODUCTS.
108.27 	A person or entity must not market, promote, label, brand, advertise, distribute, offer 
108.28 	for sale, or sell a vapor product by:
108.29 	(1) imitating a product that is not a vapor product, including but not limited to:
108.30 	(i) a food or brand of food commonly marketed to minors, including but not limited to 
108.31 	candy, desserts, and beverages;
109.1 	(ii) school supplies commonly used by minors, including but not limited to erasers, 
109.2 	highlighters, pens, and pencils; and
109.3 	(iii) a product based on or depicting a character, personality, or symbol known to appeal 
109.4 	to minors, including but not limited to a celebrity; a character in a comic book, movie, 
109.5 	television show, or video game; and a mythical creature;
109.6 	(2) attempting to conceal the nature of the vapor product from parents, teachers, or other 
109.7 	adults; or
109.8 	(3) using terms for, describing, or depicting any product described in clause (1).

109.9 	Sec. 52. [325F.812] CELLULAR TELEPHONE CASES.
109.10 		Subdivision 1.Certain cellular telephone cases; prohibition. A person is prohibited 
109.11 	from purchasing, possessing, importing, manufacturing, selling, holding for sale, or 
109.12 	distributing a cellular telephone case, stand, or cover that is a facsimile of or reasonably 
109.13 	appears to be a firearm, including but not limited to a pistol or revolver.
109.14 		Subd. 2.Enforcement. This section may be enforced by the attorney general under 
109.15 	section 8.31, but a court may not impose a civil penalty of more than $500 for a violation 
109.16 	of this section.

109.17 	Sec. 53. Minnesota Statutes 2022, section 325G.24, is amended to read:
109.18 	325G.24 RIGHT OF CANCELLATION.
109.19 		Subdivision 1.Right of cancellation. (a) Any person who has elected to become a 
109.20 	member of a club may unilaterally cancel such membership, in the person's exclusive 
109.21 	discretion, by giving written notice of cancellation at any time before midnight of the third 
109.22 	business day following the date on which membership was attained. Notice of cancellation 
109.23 	may be given personally or by mail.
109.24 	(b) If given by mail, the notice is effective upon deposit in a mailbox, properly addressed 
109.25 	and postage prepaid. Notice of cancellation need not take a particular form and is sufficient 
109.26 	if it indicates, by any form of written expression, the intention of the member not to be 
109.27 	bound by the contract.
109.28 	(c) Cancellation under this subdivision shall be without liability on the part of the member 
109.29 	and the member shall be entitled to a refund, within ten days after notice of cancellation is 
109.30 	given, of the entire consideration paid for the contract. Rights of cancellation may not be 
109.31 	waived or otherwise surrendered.
110.1 		Subd. 2.Right of member unilateral termination. (a) Any person who has elected to 
110.2 	become a member of a club may unilaterally terminate such membership, in the person's 
110.3 	exclusive discretion, by giving notice of termination at any time.
110.4 	(b) If given by mail, the notice is effective upon deposit in a mailbox, properly addressed, 
110.5 	and postage prepaid.
110.6 	(c) A club must not impose a termination fee or any other liability on the member for 
110.7 	termination under this subdivision.
110.8 	(d) Termination under this subdivision is effective at the end of the membership term 
110.9 	in which the member provides the notice of termination. If membership is at-will without 
110.10 	a defined membership term, then termination under this subdivision is effective immediately, 
110.11 	unless the member indicates a future effective date of termination, in which event the date 
110.12 	indicated by the member is the effective date of termination.
110.13 	(e) If a member provides notice of termination at any time before midnight of the third 
110.14 	business day following the date on which membership was attained, the club must treat the 
110.15 	notice as a notice of cancellation under subdivision 1, unless the member specifically 
110.16 	provides for a future termination effective date.
110.17 		Subd. 3.Notice requirements. (a) A club must accept a notice of cancellation or notice 
110.18 	of termination that has been given:
110.19 	(1) verbally, including but not limited to personally or over the telephone to customer 
110.20 	or account service members;
110.21 	(2) in writing, including but not limited to via mail, email, or an online message through 
110.22 	the club's website directed to customer or account service members;
110.23 	(3) through a termination election as described in section 325G.60; or
110.24 	(4) in any other manner or medium by which the member initially accepted membership 
110.25 	to the club and that is no more burdensome to the member than was the initial acceptance.
110.26 	(b) The process to cancel must be stated clearly and be easily accessible and completed 
110.27 	with ease.
110.28 		Subd. 4.No waiver. A right of cancellation or right of termination under this section 
110.29 	may not be waived or otherwise surrendered.

110.30 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
110.31 	entered into, modified, or renewed on or after that date.

111.1 	Sec. 54. Minnesota Statutes 2022, section 325G.25, subdivision 1, is amended to read:
111.2 		Subdivision 1.Form and content. A copy of every contract shall be delivered to the 
111.3 	member at the time the contract is signed. Every contract must be in writing, must be signed 
111.4 	by the member, must designate the date on which the member signed the contract and must 
111.5 	state, clearly and conspicuously in boldface type of a minimum size of 14 points, the 
111.6 	following:
111.7 	"MEMBERS' RIGHT TO CANCEL"
111.8 	"If you wish to cancel this contract, you may cancel in-person, over the phone, by 
111.9 	delivering or mailing a written notice to the club, via email or an online message through 
111.10 	the club's website, through the "termination election" provided on the club's website (if 
111.11 	applicable) and as described in Minnesota Statutes, section 325G.60, or in any other manner 
111.12 	or medium by which you initially accepted membership to the club. The notice must say 
111.13 	that you do not wish to be bound by the contract and must be delivered or mailed be provided 
111.14 	to the club before midnight of the third business day after you sign this contract. The notice 
111.15 	must be delivered or mailed to: (Insert name and mailing address of club). If you cancel, 
111.16 	the club will return, within ten days of the date on which you give notice of cancellation, 
111.17 	any payments you have made."
111.18 	"MEMBERS' RIGHT TO UNILATERAL TERMINATION"
111.19 	"You may unilaterally terminate this contract in your exclusive discretion at any time. 
111.20 	If you terminate, your membership will terminate at the end of the membership term in 
111.21 	which you provided the club with notice of termination. If your membership is at-will 
111.22 	without a defined membership term, then your membership will terminate immediately, 
111.23 	unless you indicate a future effective date of termination. If you wish to terminate this 
111.24 	contract, you may terminate in-person, over the phone, by delivering or mailing a written 
111.25 	notice to the club, via email or an online message through the club's website, through the 
111.26 	"termination election" provided on the club's website (if applicable) and as described in 
111.27 	Minnesota Statutes, section 325G.60, or in any other manner or medium by which you 
111.28 	initially accepted membership to the club. The club may not impose a termination fee or 
111.29 	any other liability on you for termination."
111.30 	"NOTICE INFORMATION"
111.31 	"If you wish to provide notice of cancellation or notice of termination to the club:
111.32 	In-person or by mail, the applicable address is: [Insert name and mailing address of 
111.33 	club];
112.1 	Over the phone, the applicable phone number is: [Insert phone number of club];
112.2 	Via email, the applicable email address is: [Insert email address of club];
112.3 	On the club's website, the applicable website address is: [Insert address, if applicable]."

112.4 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
112.5 	entered into, modified, or renewed on or after that date.

112.6 	Sec. 55. [325G.56] DEFINITIONS.
112.7 		Subdivision 1.Scope. For purposes of sections 325G.56 to 325G.62, the terms defined 
112.8 	in this section have the meanings given them.
112.9 		Subd. 2.Automatic renewal. "Automatic renewal" means a plan or arrangement in 
112.10 	which a subscription or purchasing agreement is automatically renewed at the end of a 
112.11 	definite term for a subsequent term.
112.12 		Subd. 3.Clear and conspicuous. "Clear and conspicuous" means in larger type than 
112.13 	the surrounding text, or in contrasting type, font, or color to the surrounding text of the same 
112.14 	size, or set off from the surrounding text of the same size by symbols or other marks, in a 
112.15 	manner that calls attention to the language. In the case of an audio disclosure, "clear and 
112.16 	conspicuous" means in a volume and cadence sufficient to be readily audible and 
112.17 	understandable.
112.18 		Subd. 4.Consumer. "Consumer" means any individual who seeks or acquires, by 
112.19 	purchase or lease, any goods, services, money, or credit for personal, family, or household 
112.20 	purposes. Consumer includes but is not limited to a member as defined in section 325G.23, 
112.21 	unless the context clearly indicates otherwise.
112.22 		Subd. 5.Continuous service. "Continuous service" means a plan or arrangement in 
112.23 	which a subscription or purchasing agreement continues until the consumer terminates the 
112.24 	agreement.
112.25 		Subd. 6.Indefinite subscription agreement. "Indefinite subscription agreement" means 
112.26 	a subscription or purchasing agreement:
112.27 	(1) between a seller and a consumer in Minnesota; and
112.28 	(2) subject to automatic renewal or continuous service.
112.29 	Indefinite subscription agreements include but are not limited to contracts, as defined in 
112.30 	section 325G.23, subject to automatic renewal or continuous service.
112.31 		Subd. 7.Offer terms. "Offer terms" means the following disclosures:
113.1 	(1) that the indefinite subscription agreement will continue until the consumer terminates 
113.2 	the agreement;
113.3 	(2) the description of the cancellation policy that applies to the indefinite subscription 
113.4 	agreement;
113.5 	(3) the recurring charges that will be charged to the consumer's credit or debit card or 
113.6 	payment account with a third party as part of the plan or arrangement and that the amount 
113.7 	of the charge may change, if that is the case, and the amount to which the charge will change, 
113.8 	if known;
113.9 	(4) the length of the automatic renewal term or that the service is continuous, unless the 
113.10 	length of the term is definite and chosen by the consumer; and
113.11 	(5) the minimum purchase obligation, if any.
113.12 		Subd. 8.Seller. "Seller" means a seller, lessor, licensor, or professional who advertises, 
113.13 	solicits, or engages in consumer transactions, or a manufacturer, distributor, or licensor who 
113.14 	advertises and sells, leases, or licenses goods or services to be resold, leased, or sublicensed 
113.15 	by other persons in consumer transactions. Seller includes but is not limited to a club as 
113.16 	defined in section 325G.23, unless the context clearly indicates otherwise.

113.17 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
113.18 	entered into, modified, or renewed on or after that date.

113.19 	Sec. 56. [325G.57] REQUIREMENTS FOR AUTOMATIC RENEWAL OR 
113.20 	CONTINUOUS SERVICE.
113.21 		Subdivision 1.Notices upon offer. A seller making an offer for an indefinite subscription 
113.22 	agreement must, before the consumer accepts the offer, present the offer terms in a clear 
113.23 	and conspicuous manner to the consumer and in visual proximity, or in the case of an offer 
113.24 	conveyed by voice, in temporal proximity, to the offer's proposal.
113.25 		Subd. 2.Confirmation upon consumer consent. A seller making an offer for an 
113.26 	indefinite subscription agreement must, in a timely manner after the consumer accepts the 
113.27 	offer, provide the consumer with confirmation of the consumer's acceptance of the offer, 
113.28 	in a manner that is capable of being retained by the consumer, that includes the following:
113.29 	(1) the offer terms;
113.30 	(2) if the offer includes a free trial, information on how to cancel the free trial before 
113.31 	the consumer pays or becomes obligated to pay for any goods or services in connection 
113.32 	with the free trial; and
114.1 	(3) options for termination of the indefinite subscription agreement, which options must 
114.2 	be easy to use, cost-effective, and timely for all consumers:
114.3 	(i) if a seller makes offers for an indefinite subscription agreement through an online 
114.4 	website, a termination election as set forth in section 325G.60; and
114.5 	(ii) if a consumer enters into the indefinite subscription agreement through any means 
114.6 	other than a toll-free telephone number, an email address, or a postal address, then an option 
114.7 	substantially similar to, as easy to use, and as accessible as the initial means of consumer 
114.8 	acceptance of the agreement.
114.9 	A communication of the required information through email is sufficient to meet the 
114.10 	requirements of this subdivision.
114.11 		Subd. 3.Material changes. Upon a material change in the terms of the indefinite 
114.12 	subscription agreement, the seller must provide to the consumer in a timely manner, and in 
114.13 	any case prior to the implementation of the material change, a clear and conspicuous notice 
114.14 	of the material change and provide information regarding how to terminate the agreement 
114.15 	in a manner that is capable of being retained by the consumer. A material change in the 
114.16 	terms of an indefinite subscription agreement in violation of this subdivision is void and 
114.17 	unenforceable.
114.18 		Subd. 4.Free trials. A seller making an offer for an indefinite subscription agreement 
114.19 	that includes a free trial lasting more than 30 days must, no fewer than five days and no 
114.20 	more than 30 days before the end of any such free trial, notify the consumer of the consumer's 
114.21 	option to cancel the free trial before the end of the trial period to avoid an obligation to pay 
114.22 	for the goods or services.
114.23 		Subd. 5.Periodic notice of continuous service. (a) If an indefinite subscription 
114.24 	agreement is subject to continuous service, the seller must give the consumer written notice 
114.25 	of the continuous service at least once per calendar year via mail or email.
114.26 	(b) The notice required under this subdivision must include the terms of the service and 
114.27 	how to terminate or manage the service.

114.28 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
114.29 	entered into, modified, or renewed on or after that date.

115.1 	Sec. 57. [325G.58] PROHIBITED CONDUCT.
115.2 		Subdivision 1.Definition; agreement. For purposes of this section, "agreement" means 
115.3 	an indefinite subscription agreement, as defined in section 325G.56, and a contract, as 
115.4 	defined in section 325G.23.
115.5 		Subd. 2.Charges prior to effective date. A seller must not charge the consumer's credit 
115.6 	or debit card or the consumer's account with a third party in connection with an agreement 
115.7 	before the agreement has been duly authorized by the seller and consumer and made effective.
115.8 		Subd. 3.Right of first refusal. An agreement must not require the consumer to permit 
115.9 	the seller to match any offer the consumer has received. A provision in an agreement that 
115.10 	violates this subdivision is void and unenforceable.
115.11 		Subd. 4.No abusive tactics or offers upon notice. (a) A seller that has received a notice 
115.12 	of cancellation or notice of termination of an agreement from a consumer cannot:
115.13 	(1) make any misrepresentation or undertake any unfair or abusive tactic to delay, 
115.14 	unreasonably delay, or avoid the cancellation or termination of the agreement; or
115.15 	(2) make or provide additional benefits, contract modifications, gifts, or similar offers 
115.16 	to the consumer until the seller has obtained permission from the consumer, granted by the 
115.17 	consumer after notice of cancellation or termination was given to the seller, for the seller 
115.18 	to engage in any such activity.
115.19 	(b) A seller can only seek a consumer's permission under this paragraph once per 
115.20 	cancellation or termination attempt. A consumer's grant of permission under this paragraph 
115.21 	is limited to the immediate cancellation or termination attempt and does not apply to 
115.22 	subsequent attempts.
115.23 		Subd. 5.Exceptions. This section does not prohibit a seller from:
115.24 	(1) asking the consumer the reasons for cancellation or termination, provided that a 
115.25 	consumer is not required to answer as a condition of cancellation or termination;
115.26 	(2) informing the consumer of any consequences of canceling or terminating the 
115.27 	subscription;
115.28 	(3) verifying the identity of the consumer; or
115.29 	(4) describing options to maintain an ongoing relationship with the seller, including but 
115.30 	not limited to for downgrading, pausing, or suspending the subscription.

115.31 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
115.32 	entered into, modified, or renewed on or after that date.

116.1 	Sec. 58. [325G.59] CONSUMER'S RIGHT TO TERMINATE.
116.2 		Subdivision 1.Termination of agreement subject to automatic renewal. A consumer 
116.3 	may terminate an indefinite subscription agreement subject to automatic renewal at any 
116.4 	time by following the procedure set forth in the confirmation described in section 325G.57, 
116.5 	subdivision 2. A termination under this subdivision is effective at the end of the term in 
116.6 	which notice of termination is provided by the consumer, unless the consumer specifies a 
116.7 	termination date occurring at the end of a subsequent term, in which event the termination 
116.8 	is effective as of the date specified by the consumer, if the option is available.
116.9 		Subd. 2.Termination of agreement subject to continuous service. (a) A consumer 
116.10 	may terminate an indefinite subscription agreement subject to continuous service at any 
116.11 	time by following the procedure set forth in the confirmation described in section 325G.57, 
116.12 	subdivision 2. A termination under this subdivision must take effect no later than 31 days 
116.13 	from the date of a verified consumer's notice of termination unless the consumer specifies 
116.14 	a future termination date, in which event the termination is effective as of such date.
116.15 	(b) This subdivision does not require a seller to provide an option to set a future 
116.16 	termination date.
116.17 		Subd. 3.Termination in absence of confirmation or notice. If the seller fails to provide 
116.18 	either the confirmation required under section 325G.57, subdivision 2, or a notice required 
116.19 	by section 325G.57, subdivision 5, the consumer may terminate the indefinite subscription 
116.20 	agreement by any reasonable means at any time, including but not limited to by mail, email, 
116.21 	telephone, an online option, a termination election under section 325G.60, or the means by 
116.22 	which the consumer entered into the agreement, at no cost to the consumer.

116.23 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
116.24 	entered into, modified, or renewed on or after that date.

116.25 	Sec. 59. [325G.60] TERMINATION ELECTION REQUIREMENT.
116.26 		Subdivision 1.Definition; agreement.  For purposes of this section, "agreement" means 
116.27 	an indefinite subscription agreement, as defined in section 325G.56, and a contract, as 
116.28 	defined in section 325G.23.
116.29 		Subd. 2.Termination election required. (a) If a seller has a website with profile or 
116.30 	subscription management capabilities, then such website must include a termination election 
116.31 	on the website. The termination election must be clear and conspicuous on the website and 
116.32 	must use plain language to convey that any consumer may use the termination election to 
116.33 	terminate the agreement at any time. The termination election must only require a consumer 
117.1 	to input information that is necessary to process the termination. The termination election 
117.2 	must include a checkbox, submission button, or similarly common and simple mechanism 
117.3 	for the member to indicate a desire to terminate the agreement.
117.4 	(b) For purposes of this section, "termination election" means a simple and easily 
117.5 	accessible means for a consumer to quickly provide notice of termination, and that does not 
117.6 	include undue complexity, confusion, or misrepresentation by the seller.

117.7 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
117.8 	entered into, modified, or renewed on or after that date.

117.9 	Sec. 60. [325G.61] UNCONDITIONAL GIFTS.
117.10 	Any good, including but not limited to any ware, merchandise, or product, is an 
117.11 	unconditional gift to the consumer if a seller sends the good under an indefinite subscription 
117.12 	agreement without first obtaining the consumer's affirmative consent to the agreement in 
117.13 	accordance with section 325G.57. The consumer may use or dispose of the good in any 
117.14 	manner without any obligation to the seller, including but not limited to any obligation 
117.15 	relating to shipping of the good.

117.16 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
117.17 	entered into, modified, or renewed on or after that date.

117.18 	Sec. 61. [325G.62] EXEMPTION.
117.19 	Sections 325G.56 to 325G.61 do not apply to:
117.20 	(1) contracts governed by another state or federal statute or regulation specifically 
117.21 	intended to regulate automatic renewal or continuous service;
117.22 	(2) any licensee as defined in section 60A.985, subdivision 8, and any affiliate of such 
117.23 	a licensee as defined in section 60D.15, subdivision 2;
117.24 	(3) an individual or business licensed by the Department of Labor and Industry as a 
117.25 	technology system contractor or power limited technician as defined in section 326B.31;
117.26 	(4) any service provided by a business or its affiliate where either the business or its 
117.27 	affiliate is licensed or regulated by the Public Utilities Commission, the Federal 
117.28 	Communications Commission, or the Federal Energy Regulatory Commission; or
117.29 	(5) any person or entity registered or licensed with the Financial Industry Regulatory 
117.30 	Authority, the Securities and Exchange Commission, or under the Minnesota Securities 
117.31 	Act.

118.1 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
118.2 	entered into, modified, or renewed on or after that date.

118.3 	Sec. 62. [325G.63] ENFORCEMENT.
118.4 	A seller is not subject to civil penalties if the seller has made a good faith effort to comply 
118.5 	with each applicable provision of sections 325G.56 to 325G.61.

118.6 	EFFECTIVE DATE. This section is effective January 1, 2025, and applies to contracts 
118.7 	entered into, modified, or renewed on or after that date.

118.8 	Sec. 63. [325O.01] CITATION.
118.9 	This chapter may be cited as the "Prohibiting Social Media Manipulation Act."

118.10 	EFFECTIVE DATE. This section is effective July 1, 2025.

118.11 	Sec. 64. [325O.02] DEFINITIONS.
118.12 	(a) For purposes of this chapter, the following terms have the meanings given.
118.13 	(b) "Accessible user interface" means a way for a user to input data, make a choice, or 
118.14 	take an action on a social media platform in two clicks or fewer.
118.15 	(c) "Account holder" means a natural person or legal person who holds an account or 
118.16 	profile with a social media platform.
118.17 	(d) "Account interactions" means any action that a user can make within a social media 
118.18 	platform that could have a negative impact on another account holder. Account interactions 
118.19 	include but are not limited to:
118.20 	(1) sending messages or invitations to users;
118.21 	(2) reporting users;
118.22 	(3) commenting on, resharing, liking, voting, or otherwise reacting to users' user-generated 
118.23 	content; and
118.24 	(4) posting user-generated content or disseminating user-generated content to users. 
118.25 	Actions that have no impact on other users, including viewing user-generated content or 
118.26 	public content, are not account interactions.
118.27 	(e) "Algorithmic ranking system" means a computational process, including one derived 
118.28 	from algorithmic decision making, machine learning, statistical analysis, or other data 
118.29 	processing or artificial intelligence techniques, used to determine the selection, order, relative 
119.1 	prioritization, or relative prominence of content from a set of information that is provided 
119.2 	to a user on a social media platform, including search results ranking, content 
119.3 	recommendations, content display, or any other automated content selection method.
119.4 	(f) "Conspicuously" means the information is presented in a manner, given the 
119.5 	information's size, color, contrast, location, and proximity to any related information, as to 
119.6 	be readily noticed and understood by a reasonable user.
119.7 	(g) "Content" means any media, including but not limited to written posts, images, visual 
119.8 	or audio recordings, notifications, and games, that a user views, reads, watches, listens to, 
119.9 	or otherwise interacts or engages with on a social media platform. Content includes other 
119.10 	account holders' accounts or profiles when recommended to a user by the social media 
119.11 	platform.
119.12 	(h) "Engage" or "engagement" means a user's utilization of the social media platform.
119.13 	(i) "Expressed preferences" means a freely given, considered, specific, and unambiguous 
119.14 	indication of a user's preferences regarding the user's engagement with a social media 
119.15 	platform. Expressed preferences must not be based on the user's time spent engaging with 
119.16 	content on the social media platform or on the use of features that do not indicate explicit 
119.17 	preference, including comments made, posts reshared, or similar actions that may be taken 
119.18 	on content the user perceives to be of low quality. Expressed preferences must not be 
119.19 	obtained through a user interface designed or manipulated with the substantial effect of 
119.20 	subverting or impairing a user's decision making.
119.21 	(j) "Social media platform" means an electronic medium, including a browser-based or 
119.22 	application-based interactive computer service, Internet website, telephone network, or data 
119.23 	network, that allows an account holder to create, share, and view user-generated content 
119.24 	for a substantial purpose of social interaction, sharing user-generated content, or personal 
119.25 	networking. Social media platform does not include:
119.26 	(1) an Internet search provider;
119.27 	(2) an Internet service provider;
119.28 	(3) an email service;
119.29 	(4) a streaming service, online video game, e-commerce, or other Internet website where 
119.30 	the content is not user generated but where interactive functions enable chat, comments, 
119.31 	reviews, or other interactive functionality that is incidental to, directly related to, or dependent 
119.32 	upon providing the content;
120.1 	(5) a communication service, including text, audio, or video communication technology, 
120.2 	provided by a business to the business's employees and clients for use in the course of 
120.3 	business activities and not for public distribution, except that social media platform includes 
120.4 	a communication service provided by a social media platform;
120.5 	(6) an advertising network with the sole function of delivering commercial content;
120.6 	(7) a telecommunications carrier, as defined in United States Code, title 47, section 153;
120.7 	(8) a broadband service, as defined in section 116J.39, subdivision 1;
120.8 	(9) single-purpose community groups for education or public safety;
120.9 	(10) teleconferencing or video-conferencing services that allow reception and transmission 
120.10 	of audio and video signals for real-time communication, except that social media platform 
120.11 	includes teleconferencing or video-conferencing services provided by a social media platform;
120.12 	(11) cloud computing services, which may include cloud storage and shared document 
120.13 	collaboration;
120.14 	(12) providing or obtaining technical support for a platform, product, or service; or
120.15 	(13) a platform designed primarily and specifically for creative professional users, as 
120.16 	distinct from the general public, to share their portfolio and creative content, engage in 
120.17 	professional networking, acquire clients, and market the creative professional user's creative 
120.18 	content and creative services through facilitated transactions.
120.19 	(k) "Time sensitive" means content that is welcomed under a user's expressed preferences 
120.20 	and that has significantly reduced value to the user with the passing of time.
120.21 	(l) "User" means a natural person who is located in Minnesota and who holds an account 
120.22 	or profile with a social media platform.
120.23 	(m) "User-generated content" means any content created by an account holder that is 
120.24 	uploaded, posted, shared, or disseminated on the social media platform.

120.25 	EFFECTIVE DATE. This section is effective July 1, 2025.

120.26 	Sec. 65. [325O.03] SCOPE; EXCLUSIONS.
120.27 	(a) A social media platform is subject to this chapter if the social media platform:
120.28 	(1) does business in Minnesota or provides products or services that are targeted to 
120.29 	residents of Minnesota; and
120.30 	(2) has more than 10,000 monthly active account holders located in Minnesota.
121.1 	(b) For purposes of this chapter, a social media platform may determine whether an 
121.2 	account holder is located in Minnesota based on:
121.3 	(1) the account holder's own supplied address or location;
121.4 	(2) global positioning system-level latitude, longitude, or altitude coordinates;
121.5 	(3) cellular phone system coordinates;
121.6 	(4) Internet protocol device address; or
121.7 	(5) other mechanisms that can be used to identify an account holder's location.

121.8 	EFFECTIVE DATE. This section is effective July 1, 2025.

121.9 	Sec. 66. [325O.04] TRANSPARENCY REQUIREMENTS FOR SOCIAL MEDIA 
121.10 	PLATFORMS.
121.11 	A social media platform must publicly and conspicuously post the following information 
121.12 	on the social media platform's website:
121.13 	(1) an explanation of how the social media platform limits excessive account interactions, 
121.14 	including:
121.15 	(i) the maximum limit on the number of times that a user can engage in each specific 
121.16 	kind of account interaction in an hour, day, week, and month; and
121.17 	(ii) whether and how the platform engages in any reduction in the ability of accounts to 
121.18 	affect other users when the user engages in a high number of account interactions that is 
121.19 	below the maximum limit;
121.20 	(2) an explanation detailing how the platform:
121.21 	(i) assesses the quality of content;
121.22 	(ii) assesses users' expressed preferences regarding content; and
121.23 	(iii) utilizes the assessments under items (i) and (ii) in each of the social media platform's 
121.24 	algorithmic ranking system, including how the assessments are weighted in relation to other 
121.25 	signals in the algorithmic ranking system;
121.26 	(3) statistics on the platform's use with respect to the tenth, 25th, 50th, 75th, 90th, 95th, 
121.27 	99th, and 99.9th percentile of all platform account holders for each distinct type of account 
121.28 	interaction or engagement, including but not limited to:
121.29 	(i) sending invitations or messages to other platform account holders;
121.30 	(ii) commenting on, resharing, liking, voting for, or otherwise reacting to content;
122.1 	(iii) posting new user-generated content;
122.2 	(iv) disseminating user-generated content to other platform account holders; and
122.3 	(v) time spent on the platform;
122.4 	(4) an explanation of how the platform determines whether a notification is time sensitive 
122.5 	and how many time-sensitive and non-time-sensitive notifications are sent to users including:
122.6 	(i) how many time-sensitive and non-time-sensitive notifications are sent with respect 
122.7 	to the tenth, 25th, 50th, 75th, 90th, 95th, 99th, and 99.9th percentile of all platform account 
122.8 	holders in a given day; and
122.9 	(ii) how many time-sensitive and non-time-sensitive notifications are sent with respect 
122.10 	to the tenth, 25th, 50th, 75th, 90th, 95th, 99th, and 99.9th percentile of all platform account 
122.11 	holders during each hour between the hours of 11:00 p.m. and 7:00 a.m.; and
122.12 	(5) a description of all product experiments that have been conducted on 1,000 or more 
122.13 	users, including a description of the experimental conditions and the results of the product 
122.14 	experiment for all experimental conditions on users' viewing or engaging with content that:
122.15 	(i) users indicate to be high or low quality;
122.16 	(ii) users indicate complies or does not comply with the users' expressed preferences; 
122.17 	or
122.18 	(iii) violates platform policies.

122.19 	EFFECTIVE DATE. This section is effective July 1, 2025.

122.20 	Sec. 67. [325O.05] ENFORCEMENT AUTHORITY.
122.21 	(a) The attorney general may investigate and bring an action against a social media 
122.22 	platform for an alleged violation of section 325O.04.
122.23 	(b) Nothing in this chapter creates a private cause of action in favor of a person injured 
122.24 	by a violation of section 325O.04.

122.25 	EFFECTIVE DATE. This section is effective July 1, 2025.

122.26 	Sec. 68. [332.3352] WAIVER OF LICENSING AND REGISTRATION.
122.27 	The commissioner of commerce may, by order, waive the licensing and registration 
122.28 	requirements of this chapter for a nonresident collection agency and the nonresident collection 
122.29 	agency's affiliated collectors if: (1) a written reciprocal licensing agreement is in effect 
122.30 	between the commissioner and the licensing officials of the nonresident collection agency's 
123.1 	home state; and (2) the nonresident collection agency is licensed in good standing in the 
123.2 	nonresident collection agency's home state.

123.3 	Sec. 69. Minnesota Statutes 2023 Supplement, section 332.71, subdivision 2, is amended 
123.4 	to read:
123.5 		Subd. 2.Coerced debt. (a) "Coerced debt" means all or a portion of debt in a debtor's 
123.6 	name that has been incurred as a result of:
123.7 	(1) the use of the debtor's personal information without the debtor's knowledge, 
123.8 	authorization, or consent;
123.9 	(2) the use or threat of force, intimidation, undue influence, harassment, fraud, deception, 
123.10 	coercion, or other similar means against the debtor; or
123.11 	(3) economic abuse perpetrated against the debtor.
123.12 	(b) Coerced debt does not include secured debt.

123.13 	EFFECTIVE DATE. This section is effective January 1, 2025.

123.14 	Sec. 70. Minnesota Statutes 2023 Supplement, section 332.71, subdivision 4, is amended 
123.15 	to read:
123.16 		Subd. 4.Debtor. "Debtor" means a person who (1) is a victim of domestic abuse, 
123.17 	harassment economic abuse, or sex or labor trafficking, and (2) owes coerced debt.

123.18 	EFFECTIVE DATE. This section is effective January 1, 2025.

123.19 	Sec. 71. Minnesota Statutes 2023 Supplement, section 332.71, subdivision 5, is amended 
123.20 	to read:
123.21 		Subd. 5.Documentation. "Documentation" means a writing that identifies a debt or a 
123.22 	portion of a debt as coerced debt, describes the circumstances under which the coerced debt 
123.23 	was incurred, and takes the form of:
123.24 	(1) a police report;
123.25 	(2) a Federal Trade Commission identity theft report;
123.26 	(3) an order in a dissolution proceeding under chapter 518 that declares that one or more 
123.27 	debts are coerced; or
123.28 	(4) a sworn written certification.

123.29 	EFFECTIVE DATE. This section is effective January 1, 2025.

124.1 	Sec. 72. Minnesota Statutes 2023 Supplement, section 332.71, subdivision 7, is amended 
124.2 	to read:
124.3 		Subd. 7.Economic abuse. "Economic abuse" means behavior in the context of a domestic 
124.4 	relationship that controls, restrains, restricts, impairs, or interferes with the ability of a victim 
124.5 	of domestic abuse, harassment, or sex or labor trafficking debtor to acquire, use, or maintain 
124.6 	economic resources, including but not limited to:
124.7 	(1) withholding or restricting access to, or the acquisition of, money, assets, credit, or 
124.8 	financial information;
124.9 	(2) interfering with the victim's ability to work and earn wages; or
124.10 	(3) exerting undue influence over a person's financial and economic behavior or decisions.

124.11 	EFFECTIVE DATE. This section is effective January 1, 2025.

124.12 	Sec. 73. Minnesota Statutes 2023 Supplement, section 332.72, is amended to read:
124.13 	332.72 COERCED DEBT PROHIBITED.
124.14 	(a) A person is prohibited from causing another person to incur coerced debt.
124.15 	(b) A person who causes another person to incur a coerced debt in violation of this 
124.16 	section is civilly liable to the creditor for the amount of the debt, or portion of the debt, 
124.17 	determined by a court to be coerced debt, plus the creditor's reasonable attorney fees and 
124.18 	costs, provided the creditor follows the procedures under section 332.74, subdivision 3, 
124.19 	paragraph (b).

124.20 	EFFECTIVE DATE. This section is effective January 1, 2025.

124.21 	Sec. 74. Minnesota Statutes 2023 Supplement, section 332.73, subdivision 1, is amended 
124.22 	to read:
124.23 		Subdivision 1.Notification. (a) Before taking an affirmative action under section 332.74, 
124.24 	a debtor must, by certified mail, notify a creditor that the debt or a portion of a debt on 
124.25 	which the creditor demands payment is coerced debt and request that the creditor cease all 
124.26 	collection activity on the coerced debt. The notification and request must be in writing and 
124.27 	include documentation. If not already included in documentation, the notification must 
124.28 	include a signed statement that includes:
124.29 	(1) an assertion that the debtor is a victim of domestic abuse, economic abuse, or sex or 
124.30 	labor trafficking;
125.1 	(2) a recitation of the facts supporting the claim that the debt is coerced; and
125.2 	(3) if only a portion of the debt is claimed to be coerced debt, an itemization of the 
125.3 	portion of the debt that is claimed to be coerced debt.
125.4 	(b) The creditor, within 30 days of the date the notification and request is received, must 
125.5 	notify the debtor in writing of the creditor's decision to either immediately cease all collection 
125.6 	activity or continue to pursue collection. If a creditor ceases collection but subsequently 
125.7 	decides to resume collection activity, the creditor must notify the debtor ten days prior to 
125.8 	the date the collection activity resumes.
125.9 	(b) If a creditor ceases collection but subsequently decides to resume collection activity, 
125.10 	the creditor must notify the debtor ten days prior to the date the collection activity resumes.
125.11 	(c) A debtor must not proceed with an action under section 332.74 until the 30-day 
125.12 	period provided under paragraph (a) has expired.

125.13 	EFFECTIVE DATE. This section is effective January 1, 2025.

125.14 	Sec. 75. Minnesota Statutes 2023 Supplement, section 332.74, subdivision 3, is amended 
125.15 	to read:
125.16 		Subd. 3.Relief. (a) If a debtor shows by a preponderance of the evidence that the debtor 
125.17 	has been aggrieved by a violation of section 332.72 and the debtor has incurred coerced 
125.18 	debt, the debtor is entitled to one or more of the following:
125.19 	(1) a declaratory judgment that the debt or portion of a debt is coerced debt;
125.20 	(2) an injunction prohibiting the creditor from (i) holding or attempting to hold the debtor 
125.21 	liable for the debt or portion of a debt, or (ii) enforcing a judgment related to the coerced 
125.22 	debt; and
125.23 	(3) an order dismissing any cause of action brought by the creditor to enforce or collect 
125.24 	the coerced debt from the debtor or, if only a portion of the debt is established as coerced 
125.25 	debt, an order directing that the judgment, if any, in the action be amended to reflect only 
125.26 	the portion of the debt that is not coerced debt.
125.27 	(b) If the court orders relief for the debtor under paragraph (a), the court, after the 
125.28 	creditor's motion has been personally served on the person who violated section 332.72, or 
125.29 	if personal service cannot be made, after service by United States mail to the last known 
125.30 	address of the person who violated section 332.72 and one-week published notice under 
125.31 	section 645.11, shall must issue a judgment in favor of the creditor against the person in 
125.32 	the amount of the debt or a portion thereof.
126.1 	(c) This subdivision applies regardless of the judicial district in which the creditor's 
126.2 	action or the debtor's petition was filed.

126.3 	EFFECTIVE DATE. This section is effective January 1, 2025.

126.4 	Sec. 76. Minnesota Statutes 2023 Supplement, section 332.74, subdivision 5, is amended 
126.5 	to read:
126.6 		Subd. 5.Burden. In any affirmative action taken under subdivision 1 or any affirmative 
126.7 	defense asserted in subdivision 4, the debtor bears the burden to show by a preponderance 
126.8 	of the evidence that the debtor incurred coerced debt. There is a presumption that the debtor 
126.9 	has incurred coerced debt if the person alleged to have caused the debtor to incur the coerced 
126.10 	debt has been criminally convicted, entered a guilty plea, or entered an Alford plea under
126.11 	of or received a stay of adjudication for a violation of section 609.27, 609.282, 609.322, or 
126.12 	609.527.

126.13 	EFFECTIVE DATE. This section is effective January 1, 2025.

126.14 	Sec. 77. [332C.01] DEFINITIONS.
126.15 		Subdivision 1.Application. For purposes of this chapter, the following terms have the 
126.16 	meanings given.
126.17 		Subd. 2.Collecting party. "Collecting party" means a party engaged in collecting 
126.18 	medical debt. Collecting party does not include parties when complying with a court order 
126.19 	or statutory obligation to garnish or levy a debtor's property, including banks, credit unions, 
126.20 	public officers, and garnishees.
126.21 		Subd. 3.Debtor. "Debtor" means a person obligated or alleged to be obligated to pay 
126.22 	any debt.
126.23 		Subd. 4.Medical debt. (a) "Medical debt" means debt incurred primarily for medically 
126.24 	necessary health treatment or services. Medical debt includes debt charged to a credit card 
126.25 	or other credit instrument, on or after October 1, 2024, under an open-end or closed-end 
126.26 	credit plan offered specifically to pay for health treatment or services.
126.27 	(b) Medical debt does not include:
126.28 	(1) debt charged to a credit card or other credit instrument, under an open-end or 
126.29 	closed-end credit plan, that is not offered specifically to pay for health treatment or services;
126.30 	(2) services provided by a veterinarian;
126.31 	(3) services provided by a dentist; or
127.1 	(4) debt charged to a home equity line of credit.
127.2 		Subd. 5.Medically necessary. "Medically necessary" has the meaning given in section 
127.3 	62J.805, subdivision 7.
127.4 		Subd. 6.Person. "Person" means any individual, partnership, association, or corporation.

127.5 	EFFECTIVE DATE. This section is effective October 1, 2024.

127.6 	Sec. 78. [332C.02] PROHIBITED PRACTICES.
127.7 	A collecting party must not:
127.8 	(1) in a collection letter, publication, invoice, or any oral or written communication, 
127.9 	threaten wage garnishment or legal suit by a particular lawyer, unless the collecting party 
127.10 	has actually retained the lawyer to do so;
127.11 	(2) use or employ sheriffs or any other officer authorized to serve legal papers in 
127.12 	connection with collecting a claim, except when performing the sheriff's or other officer's 
127.13 	legally authorized duties;
127.14 	(3) use or threaten to use methods of collection that violate Minnesota law;
127.15 	(4) furnish legal advice to debtors or represent that the collecting party is competent or 
127.16 	able to furnish legal advice to debtors;
127.17 	(5) communicate with debtors in a misleading or deceptive manner by falsely using the 
127.18 	stationery of a lawyer, forms or instruments which only lawyers are authorized to prepare, 
127.19 	or instruments which simulate the form and appearance of judicial process;
127.20 	(6) publish or cause to be published any list of debtors, use shame cards or shame 
127.21 	automobiles, advertise or threaten to advertise for sale any claim as a means of forcing 
127.22 	payment of the claim, or use similar devices or methods of intimidation;
127.23 	(7) operate under a name or in a manner which falsely implies the collecting party is a 
127.24 	branch of or associated with any department of federal, state, county, or local government 
127.25 	or an agency thereof;
127.26 	(8) transact business or hold the collecting party out as a debt settlement company, debt 
127.27 	management company, debt adjuster, or any person who settles, adjusts, prorates, pools, 
127.28 	liquidates, or pays the indebtedness of a debtor, unless there is no charge to the debtor, or 
127.29 	the pooling or liquidation is done pursuant to court order or under the supervision of a 
127.30 	creditor's committee;
128.1 	(9) unless an exemption in the law exists, violate Code of Federal Regulations, title 12, 
128.2 	part 1006, while attempting to collect on any account, bill, or other indebtedness. For 
128.3 	purposes of this section, Public Law 95-109 and Code of Federal Regulations, title 12, part 
128.4 	1006, apply to collecting parties other than health care providers collecting medical debt in 
128.5 	the health care provider's own name;
128.6 	(10) communicate with a debtor about medical debt by use of an automatic telephone 
128.7 	dialing system or an artificial or prerecorded voice after the debtor expressly informs the 
128.8 	collecting party to cease communication utilizing an automatic telephone dialing system or 
128.9 	an artificial or prerecorded voice. For purposes of this clause, an automatic telephone dialing 
128.10 	system or an artificial or prerecorded voice includes but is not limited to (i) artificial 
128.11 	intelligence chat bots, and (ii) the usage of the term under the Telephone Consumer Protection 
128.12 	Act, United States Code, title 47, section 227(b)(1)(A);
128.13 	(11) in collection letters or publications, or in any oral or written communication, imply 
128.14 	or suggest that medically necessary health treatment or services are denied as a result of a 
128.15 	medical debt;
128.16 	(12) when a debtor has a listed telephone number, enlist the aid of a neighbor or third 
128.17 	party to request that the debtor contact the collecting party, except a person who resides 
128.18 	with the debtor or a third party with whom the debtor has authorized with the collecting 
128.19 	party to place the request. This clause does not apply to a call-back message left at the 
128.20 	debtor's place of employment which is limited solely to the collecting party's telephone 
128.21 	number and name;
128.22 	(13) when attempting to collect a medical debt, fail to provide the debtor with the full 
128.23 	name of the collecting party, as registered with the secretary of state;
128.24 	(14) fail to return any amount of overpayment from a debtor to the debtor or to the state 
128.25 	of Minnesota pursuant to the requirements of chapter 345;
128.26 	(15) accept currency or coin as payment for a medical debt without issuing an original 
128.27 	receipt to the debtor and maintaining a duplicate receipt in the debtor's payment records;
128.28 	(16) except for court costs for filing a civil action with the court and service of process, 
128.29 	attempt to collect any interest, fee, charge, or expense incidental to the charge-off obligation 
128.30 	from a debtor unless the amount is expressly authorized by the agreement creating the 
128.31 	medical debt or is otherwise permitted by law;
128.32 	(17) falsify any documents with the intent to deceive;
129.1 	(18) when initially contacting a Minnesota debtor by mail to collect a medical debt, fail 
129.2 	to include a disclosure on the contact notice, in a type size or font which is equal to or larger 
129.3 	than the largest other type of type size or font used in the text of the notice, that includes 
129.4 	and identifies the Office of the Minnesota Attorney General's general telephone number, 
129.5 	and states: "You have the right to hire your own attorney to represent you in this matter.";
129.6 	(19) commence legal action to collect a medical debt outside the limitations period set 
129.7 	forth in section 541.053;
129.8 	(20) report to a credit reporting agency any medical debt that the collecting party knows 
129.9 	or should know is or was originally owed to a health care provider, as defined in section 
129.10 	62J.805, subdivision 4; or
129.11 	(21) challenge a debtor's claim of exemption to garnishment or levy in a manner that is 
129.12 	baseless, frivolous, or otherwise in bad faith.

129.13 	EFFECTIVE DATE. This section is effective October 1, 2024.

129.14 	Sec. 79. [332C.03] MEDICAL DEBT REPORTING PROHIBITED.
129.15 	(a) A collecting party is prohibited from reporting medical debt to a consumer reporting 
129.16 	agency.
129.17 	(b) A consumer reporting agency is prohibited from making a consumer report containing 
129.18 	an item of information that the consumer reporting agency knows or should know concerns 
129.19 	medical debt.
129.20 	(c) For purposes of this section, "consumer report" and "consumer reporting agency" 
129.21 	have the meanings given in the Fair Credit Reporting Act, United States Code, title 15, 
129.22 	section 1681a.
129.23 	(d) This section also applies to collection agencies and debt buyers licensed under chapter 
129.24 	332.

129.25 	EFFECTIVE DATE. This section is effective October 1, 2024.

129.26 	Sec. 80. [332C.04] DEFENDING MEDICAL DEBT CASES.
129.27 	(a) A debtor who successfully defends against a claim for payment of medical debt that 
129.28 	is alleged by a collecting party must be awarded the debtor's costs and a reasonable attorney 
129.29 	fee, as determined by the court, incurred to defend against the collecting party's claim for 
129.30 	debt payment.
130.1 	(b) For purposes of this section, a resolution mutually agreed upon by the debtor and 
130.2 	collecting party is not a successful defense subject to an additional award of an attorney 
130.3 	fee.

130.4 	EFFECTIVE DATE. This section is effective October 1, 2024, for causes of action 
130.5 	commenced on or after that date.

130.6 	Sec. 81. [332C.05] ENFORCEMENT.
130.7 	(a) The attorney general may enforce this chapter under section 8.31.
130.8 	(b) A collecting party that violates this chapter is strictly liable to the debtor in question 
130.9 	for the sum of:
130.10 	(1) actual damage sustained by the debtor as a result of the violation;
130.11 	(2) additional damages as the court may allow, but not exceeding $1,000 per violation; 
130.12 	and
130.13 	(3) in the case of any successful action to enforce the foregoing, the costs of the action, 
130.14 	together with a reasonable attorney fee as determined by the court.
130.15 	(c) A collecting party that willfully and maliciously violates this chapter is strictly liable 
130.16 	to the debtor for three times the sums allowable under paragraph (b), clauses (1) and (2).
130.17 	(d) The dollar amount limit under paragraph (b), clause (2), changes on July 1 of each 
130.18 	even-numbered year in an amount equal to changes made in the Consumer Price Index, 
130.19 	compiled by the United States Bureau of Labor Statistics. The Consumer Price Index for 
130.20 	December 2024 is the reference base index. If the Consumer Price Index is revised, the 
130.21 	percentage of change made under this section must be calculated on the basis of the revised 
130.22 	Consumer Price Index. If a Consumer Price Index revision changes the reference base index, 
130.23 	a revised reference base index must be determined by multiplying the reference base index 
130.24 	that is effective at the time by the rebasing factor furnished by the Bureau of Labor Statistics.
130.25 	(e) If the Consumer Price Index is superseded, the Consumer Price Index referred to in 
130.26 	this section is the Consumer Price Index represented by the Bureau of Labor Statistics as 
130.27 	most accurately reflecting changes in the prices paid by consumers for consumer goods and 
130.28 	services.
130.29 	(f) The attorney general must publish the base reference index under paragraph (d) in 
130.30 	the State Register no later than September 1, 2024. The attorney general must calculate and 
130.31 	publish the revised Consumer Price Index under paragraph (d) in the State Register no later 
130.32 	than September 1 each even-numbered year.
131.1 	(g) A collecting party must not be held liable in any action brought under this section if 
131.2 	the collecting party shows by a preponderance of evidence that the violation:
131.3 	(1) was not intentional and resulted from a bona fide error made notwithstanding the 
131.4 	maintenance of procedures reasonably adopted to avoid any bona fide error; or
131.5 	(2) was the result of inaccurate or incorrect information provided to the collecting party 
131.6 	by a health care provider as defined in section 62J.805, subdivision 4; a health carrier as 
131.7 	defined in section 62A.011, subdivision 2; or another collecting party currently or previously 
131.8 	engaged in collection of the medical debt in question.

131.9 	EFFECTIVE DATE. This section is effective October 1, 2024.

131.10 	Sec. 82. [513.80] RESIDENTIAL REAL ESTATE SERVICE AGREEMENTS; 
131.11 	UNFAIR SERVICE AGREEMENTS.
131.12 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
131.13 	the meanings given.
131.14 	(b) "County recorder" has the meaning given in section 13.045, subdivision 1.
131.15 	(c) "Person" means natural persons, corporations both foreign and domestic, trusts, 
131.16 	partnerships both limited and general, incorporated or unincorporated associations, 
131.17 	companies, business entities, and any other legal entity or any other group associated in fact 
131.18 	although not a legal entity or any agent, assignee, heir, employee, representative, or servant 
131.19 	thereof.
131.20 	(d) "Record" or "recording" means placement of a document or instrument in the official 
131.21 	county public land records.
131.22 	(e) "Residential real property" means real property that is located in Minnesota occupied, 
131.23 	or intended to be occupied, by one to four families as their residence.
131.24 	(f) "Service agreement" means a contract under which a person agrees to provide real 
131.25 	estate broker services as defined in section 82.55, subdivision 19, in connection with the 
131.26 	purchase or sale of residential real property.
131.27 	(g) "Service provider" means an individual or entity that provides services to a person 
131.28 	pursuant to a service agreement.
131.29 		Subd. 2.Unfair service agreements; prohibition. (a) A service agreement subject to 
131.30 	this section is unfair and prohibited if any part of the agreement provides an exclusive right 
131.31 	to a service provider for a term in excess of one year after the time the service agreement 
131.32 	is entered into and:
132.1 	(1) purports to run with the land or to be binding on future owners of interests in the real 
132.2 	property;
132.3 	(2) allows for assignment of the right to provide service without notice to and consent 
132.4 	of the residential real property's owner, including a contract for deed vendee;
132.5 	(3) is recorded or purports to create a lien, encumbrance, or other real property security 
132.6 	interest; or
132.7 	(4) contains a provision that purports to automatically renew the agreement upon its 
132.8 	expiration.
132.9 	(b) The following are not unfair service agreements under this section:
132.10 	(1) a home warranty or similar product that covers the cost of maintaining a major home 
132.11 	system or appliance for a fixed period;
132.12 	(2) an insurance contract;
132.13 	(3) a mortgage loan or a commitment to make or receive a mortgage loan;
132.14 	(4) an option or right of refusal to purchase a residential real property;
132.15 	(5) a declaration of any covenants, conditions, or restrictions created in the formation 
132.16 	of a homeowners association, a group of condominium owners, or other common interest 
132.17 	community or an amendment to the covenants, conditions, or restrictions;
132.18 	(6) a maintenance or service agreement entered by a homeowners association in a 
132.19 	common interest community;
132.20 	(7) a security agreement governed by chapter 336 that relates to the sale or rental of 
132.21 	personal property or fixtures; or
132.22 	(8) a contract with a gas, water, sewer, electric, telephone, cable, or other utility service 
132.23 	provider.
132.24 	(c) This section does not impair any lien right granted under Minnesota law or that is 
132.25 	judicially imposed.
132.26 		Subd. 3.Recording prohibited. (a) A person is prohibited from:
132.27 	(1) presenting or sending an unfair service agreement or notice or memorandum of an 
132.28 	unfair service agreement to any county recorder to record; or
132.29 	(2) causing an unfair service agreement or notice or memorandum of an unfair service 
132.30 	agreement to be recorded by a county recorder.
133.1 	(b) If a county recorder records an unfair service agreement, the county recorder does 
133.2 	not incur liability.
133.3 	(c) If an unfair service agreement is recorded, the recording does not create a lien or 
133.4 	provide constructive notice to any third party, bona fide purchaser, or creditor.
133.5 		Subd. 4.Unfair service agreements unenforceable. A service agreement that is unfair 
133.6 	under this section is unenforceable and does not create a contractual obligation or relationship. 
133.7 	Any waiver of a consumer right, including a right to trial by jury, in an unfair service 
133.8 	agreement is void.
133.9 		Subd. 5.Unfair service agreements; solicitation. Encouraging any consumer to enter 
133.10 	into an unfair service agreement by any service provider constitutes:
133.11 	(1) an unfair method of competition; and
133.12 	(2) an unfair or deceptive act or practice under section 82.81, subdivision 12, paragraph 
133.13 	(c), and section 325F.69.
133.14 		Subd. 6.Enforcement authority. (a) This section may be enforced by the attorney 
133.15 	general under section 8.31, except that any private cause of action brought under subdivision 
133.16 	7 is subject to the limitation under subdivision 7, paragraph (d).
133.17 	(b) The commissioner of commerce may enforce this section with respect to a service 
133.18 	provider's real estate license.
133.19 		Subd. 7.Remedies. (a) A consumer that is party to an unfair service agreement related 
133.20 	to residential real property or a person with an interest in the property that is the subject of 
133.21 	that agreement may bring an action under section 8.31 or 325F.70 in district court in the 
133.22 	county where the property is located.
133.23 	(b) If an unfair service agreement or a notice or memorandum of an unfair service 
133.24 	agreement is recorded against any residential real property, any judgment obtained under 
133.25 	this section, after being certified by the clerk having custody of the unfair service agreement 
133.26 	or notice or memorandum of the unfair service agreement, may be recorded and indexed 
133.27 	against the real property encumbered or clouded by the unfair service agreement.
133.28 	(c) The remedies provided under this section are not exclusive and do not reduce any 
133.29 	other rights or remedies a party may have in equity or in law.
133.30 	(d) No private action may be brought under this section more than six years after the 
133.31 	date the term printed in the unfair service agreement expires.

134.1 	Sec. 83. Minnesota Statutes 2022, section 519.05, is amended to read:
134.2 	519.05 LIABILITY OF HUSBAND AND WIFE SPOUSES.
134.3 	(a) A spouse is not liable to a creditor for any debts of the other spouse. Where husband 
134.4 	and wife are living together, they shall be jointly and severally liable for necessary medical 
134.5 	services that have been furnished to either spouse, including any claims arising under section 
134.6 	246.53, 256B.15, 256D.16, or 261.04, and necessary household articles and supplies furnished 
134.7 	to and used by the family. Notwithstanding this paragraph, in a proceeding under chapter 
134.8 	518 the court may apportion such debt between the spouses.
134.9 	(b) Either spouse may close a credit card account or other unsecured consumer line of 
134.10 	credit on which both spouses are contractually liable, by giving written notice to the creditor.
134.11 	(c) Nothing in this section prevents a creditor's claim against a decedent's estate.

134.12 	EFFECTIVE DATE. This section is effective October 1, 2024.

134.13 	Sec. 84. Minnesota Statutes 2022, section 550.37, subdivision 2, is amended to read:
134.14 		Subd. 2.Bible and musical instrument Sacred possessions. The family Bible, library, 
134.15 	and musical instruments Torah, Qur'an, prayer rug, and other religious items in an aggregate 
134.16 	amount not exceeding $2,000.

134.17 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
134.18 	of action commenced on or after that date.

134.19 	Sec. 85. Minnesota Statutes 2022, section 550.37, is amended by adding a subdivision to 
134.20 	read:
134.21 		Subd. 2a.Library. A personal library in an aggregate amount not exceeding $750.

134.22 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
134.23 	of action commenced on or after that date.

134.24 	Sec. 86. Minnesota Statutes 2022, section 550.37, is amended by adding a subdivision to 
134.25 	read:
134.26 		Subd. 2b.Musical instruments. Musical instruments in an aggregate amount not 
134.27 	exceeding $2,000.

134.28 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
134.29 	of action commenced on or after that date.

135.1 	Sec. 87. Minnesota Statutes 2022, section 550.37, is amended by adding a subdivision to 
135.2 	read:
135.3 		Subd. 2c.Family pets. Family pets in an aggregate amount not exceeding $1,000.

135.4 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
135.5 	of action commenced on or after that date.

135.6 	Sec. 88. Minnesota Statutes 2022, section 550.37, subdivision 4, is amended to read:
135.7 		Subd. 4.Personal goods. (a) All wearing apparel, one watch, utensils, and foodstuffs 
135.8 	of the debtor and the debtor's family.
135.9 	(b) Household furniture, household appliances, phonographs, radio and television 
135.10 	receivers radios, computers, tablets, televisions, printers, cell phones, smart phones, and 
135.11 	other consumer electronics of the debtor and the debtor's family, not exceeding $11,250 in 
135.12 	value.
135.13 	(c) The debtor's aggregate interest, not exceeding $3,062.50 in value, in wedding rings 
135.14 	or other religious or culturally recognized symbols of marriage exchanged between the 
135.15 	debtor and spouse at the time of the marriage and in the debtor's possession jewelry.
135.16 	The exemption provided by this subdivision may not be waived except with regard to 
135.17 	purchase money security interests. Except for a pawnbroker's possessory lien, a nonpurchase 
135.18 	money security interest in the property exempt under this subdivision is void.
135.19 	If a debtor has property of the type which would qualify for the exemption under clause 
135.20 	(b), of a value in excess of $11,250 an itemized list of the exempt property, together with 
135.21 	the value of each item listed, shall be attached to the security agreement at the time a security 
135.22 	interest is taken, and a creditor may take a nonpurchase money security interest in the excess 
135.23 	over $11,250 by requiring the debtor to select the exemption in writing at the time the loan 
135.24 	is made.

135.25 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
135.26 	of action commenced on or after that date.

135.27 	Sec. 89. Minnesota Statutes 2022, section 550.37, subdivision 12a, is amended to read:
135.28 		Subd. 12a.Motor vehicles. One of the following: (1) one motor vehicle, to the extent 
135.29 	of a value not exceeding $5,000 $10,000; or (2) one motor vehicle that is regularly used by 
135.30 	or for the benefit of a physically disabled person, as defined under section 169.345, 
135.31 	subdivision 2, to the extent of a value not exceeding $25,000; (3) one motor vehicle, to the 
136.1 	extent of a value not exceeding $50,000 $100,000, that has been designed or modified, at 
136.2 	a cost of not less than $3,750, to accommodate the physical disability making a disabled 
136.3 	person eligible for a certificate authorized by section 169.345; or (4) one motor vehicle 
136.4 	reasonably necessary for use in the trade, business, or profession of the debtor, to the extent 
136.5 	of a value not to exceed $12,500.

136.6 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
136.7 	of action commenced on or after that date.

136.8 	Sec. 90. Minnesota Statutes 2022, section 550.37, subdivision 14, is amended to read:
136.9 		Subd. 14.Public assistance. All government assistance based on need, and the earnings 
136.10 	or salary of a person who is a recipient of government assistance based on need, shall be 
136.11 	exempt from all claims of creditors including any contractual setoff or security interest 
136.12 	asserted by a financial institution. For the purposes of this chapter, government assistance 
136.13 	based on need includes but is not limited to Minnesota family investment program,;
136.14 	Supplemental Security Income,; medical assistance,; MinnesotaCare, payment of Medicare 
136.15 	part B premiums or receipt of part D extra help,; MFIP diversionary work program,; work 
136.16 	participation cash benefit,; Minnesota supplemental assistance,; emergency Minnesota 
136.17 	supplemental assistance,; general assistance,; emergency general assistance,; emergency 
136.18 	assistance or county crisis funds,; energy or fuel assistance, and; Supplemental Nutrition 
136.19 	Assistance Program (SNAP); and any federal or state tax credit received by eligible 
136.20 	low-income taxpayers, including but not limited to the earned income tax credit, the 
136.21 	Minnesota working family credit, and renter's credit. The salary or earnings of any debtor 
136.22 	who is or has been an eligible recipient of government assistance based on need, or an 
136.23 	inmate of a correctional institution shall, upon the debtor's return to private employment or 
136.24 	farming after having been an eligible recipient of government assistance based on need, or 
136.25 	an inmate of a correctional institution, be exempt from attachment, garnishment, or levy of 
136.26 	execution for a period of six months after the debtor's return to employment or farming and 
136.27 	after all public assistance for which eligibility existed has been terminated. The exemption 
136.28 	provisions contained in this subdivision also apply for 60 days after deposit in any financial 
136.29 	institution, whether in a single or joint account. In tracing the funds, the first-in first-out 
136.30 	method of accounting shall be used. The burden of establishing that funds are exempt rests 
136.31 	upon the debtor. Agencies distributing government assistance and the correctional institutions 
136.32 	shall, at the request of creditors, inform them whether or not any debtor has been an eligible 
136.33 	recipient of government assistance based on need, or an inmate of a correctional institution, 
136.34 	within the preceding six months.

137.1 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
137.2 	of action commenced on or after that date.

137.3 	Sec. 91. Minnesota Statutes 2022, section 550.37, subdivision 22, is amended to read:
137.4 		Subd. 22.Rights of action. Rights of action or money received for injuries to the person 
137.5 	of the debtor or of a relative whether or not resulting in death. Injuries to the person include 
137.6 	physical, mental, and emotional injuries.

137.7 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
137.8 	of action commenced on or after that date.

137.9 	Sec. 92. Minnesota Statutes 2022, section 550.37, subdivision 23, is amended to read:
137.10 		Subd. 23.Life insurance aggregate interest. The debtor's aggregate interest not to 
137.11 	exceed in value $10,000 in any accrued dividend dividends or interest under or loan value 
137.12 	of any unmatured life insurance contract contracts owned by the debtor under which the 
137.13 	insured is the debtor or an individual of whom the debtor is a dependent.

137.14 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
137.15 	of action commenced on or after that date.

137.16 	Sec. 93. Minnesota Statutes 2022, section 550.37, is amended by adding a subdivision to 
137.17 	read:
137.18 		Subd. 27.Household tools and equipment. The debtor's aggregate interest, not to 
137.19 	exceed $3,000, in household tools and equipment, including but not limited to hand and 
137.20 	power tools, snow removal equipment, and lawnmowers.

137.21 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
137.22 	of action commenced on or after that date.

137.23 	Sec. 94. Minnesota Statutes 2022, section 550.37, is amended by adding a subdivision to 
137.24 	read:
137.25 		Subd. 28.Wild card exemption in bankruptcy. In a bankruptcy, a debtor may exempt 
137.26 	any property, including funds in a bank account, up to $1,500 in value.

137.27 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to exemptions 
137.28 	claimed on or after that date.

138.1 	Sec. 95. Minnesota Statutes 2022, section 550.39, is amended to read:
138.2 	550.39 EXEMPTION OF INSURANCE POLICIES.
138.3 	The net amount payable to any insured or to any beneficiary under any policy of accident 
138.4 	or disability insurance or under accident or disability clauses attached to any policy of life 
138.5 	insurance shall be exempt and free and clear from the claims of all creditors of such insured 
138.6 	or such beneficiary and from all legal and judicial processes of execution, attachment, 
138.7 	garnishment, or otherwise, up to a total amount of $1,000,000 per claim and subsequent 
138.8 	award.

138.9 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
138.10 	of action commenced on or after that date.

138.11 	Sec. 96. Minnesota Statutes 2022, section 571.72, subdivision 6, is amended to read:
138.12 		Subd. 6.Bad faith claim. If, in a proceeding brought under subdivision 9, section 571.91, 
138.13 	or a similar proceeding under this chapter to determine a claim of exemption, the claim of 
138.14 	exemption is not upheld, and the court finds that it was asserted in bad faith, the creditor 
138.15 	shall be awarded actual damages, costs, reasonable attorney fees resulting from the additional 
138.16 	proceedings, and an amount not to exceed $100. If the claim of exemption is upheld, and 
138.17 	the court finds that the creditor disregarded the claim of exemption in bad faith, the debtor 
138.18 	shall be awarded actual damages, costs, reasonable attorney fees resulting from the additional 
138.19 	proceedings, and an amount not to exceed $100. The underlying judgment shall be modified 
138.20 	to reflect assessment of damages, costs, and attorney fees. However, if the party in whose 
138.21 	favor a penalty assessment is made is not actually indebted to that party's attorney for fees, 
138.22 	the attorney's fee award shall be made directly to the attorney and if not paid an appropriate 
138.23 	judgment in favor of the attorney shall be entered.

138.24 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
138.25 	of action commenced on or after that date.

138.26 	Sec. 97. Minnesota Statutes 2022, section 571.72, subdivision 9, is amended to read:
138.27 		Subd. 9.Motion to determine objections. (a) This subdivision applies to all garnishment 
138.28 	proceedings governed by this chapter. An objection regarding a garnishment must be 
138.29 	interposed as provided in section 571.914, subdivision 1, in the form provided under section 
138.30 	571.914, subdivision 2.
139.1 	(b) Upon motion of any party in interest, on notice, the court shall determine the validity 
139.2 	of any claim of exemption and may make any order necessary to protect the rights of those 
139.3 	interested.
139.4 	(c) Upon receipt of a claim of exemption by the debtor, the creditor must, within six 
139.5 	business days of the receipt of the exemption claim, either return any of the debtor's funds 
139.6 	released by the garnishee and held by the creditor or interpose an objection. An objection 
139.7 	must be interposed by:
139.8 	(1) in the district court that issued the judgment, filing the Notice of Objection and 
139.9 	requesting a hearing; and
139.10 	(2) mailing or delivering one copy of the Notice of Objection and Notice of Hearing to 
139.11 	the garnishee and one copy of the Notice of Objection and Notice of Hearing to the debtor.

139.12 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
139.13 	of action commenced on or after that date.

139.14 	Sec. 98. Minnesota Statutes 2022, section 571.914, subdivision 1, is amended to read:
139.15 		Subdivision 1.Objections and request for hearing. An objection shall be interposed, 
139.16 	within six business days of receipt by the creditor of an exemption claim from the debtor, 
139.17 	by mailing or delivering one copy of the Notice of Objection and Notice of Hearing to the 
139.18 	financial institution and one copy of the Notice of Objection and Notice of Hearing to the 
139.19 	debtor.
139.20 	(a) The Notice of Objection and Notice of Hearing form must be substantially in the 
139.21 	form set out in subdivision 2.
139.22 	(b) The court administrator may charge a fee of $1 for the filing of a Notice of Objection 
139.23 	and Notice of Hearing. Upon the filing of a Notice of Objection and Notice of Hearing, the 
139.24 	court administrator shall schedule the matter for hearing no sooner than five business days 
139.25 	but no later than seven business days from the date of filing. A debtor may request 
139.26 	continuance of the hearing by notifying the creditor and the court. The court shall schedule 
139.27 	the continued hearing within seven days of the original hearing date.
139.28 	(c) An order stating whether the debtor's funds are exempt shall be issued by the court 
139.29 	within three days of the date of the hearing.

139.30 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
139.31 	of action commenced on or after that date.

140.1 	Sec. 99. Minnesota Statutes 2022, section 571.92, is amended to read:
140.2 	571.92 GARNISHMENT OF EARNINGS.
140.3 	Sections 571.921 to 571.926 relate to the garnishment of earnings. The exemptions 
140.4 	available under section 550.37 apply to the garnishment of earnings if the debtor is a resident 
140.5 	of Minnesota and the debtor's place of employment is in Minnesota, regardless of where 
140.6 	the employer is domiciled. For the purposes of this section, "place of employment" means 
140.7 	the location where an employee earns wages.

140.8 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
140.9 	of action commenced on or after that date.

140.10 	Sec. 100. Minnesota Statutes 2022, section 571.921, is amended to read:
140.11 	571.921 DEFINITIONS.
140.12 	For purposes of sections 571.921 to 571.926571.927, the following terms have the 
140.13 	meanings given them:
140.14 	(a) "Earnings" means:
140.15 	(1) compensation paid or payable to an employee, independent contractor, or 
140.16 	self-employed person for personal service whether denominated as wages, salary, 
140.17 	commissions, bonus, payments, profit-sharing distribution, severance payment, fees, or 
140.18 	otherwise, and includes periodic payments pursuant to a pension or retirement program;
140.19 	(2) compensation paid or payable to the producer for the sale of agricultural products; 
140.20 	livestock or livestock products; milk or milk products; or fruit or other horticultural products 
140.21 	produced when the producer is operating a family farm, a family farm corporation, or an 
140.22 	authorized farm corporation, as defined in section 500.24, subdivision 2; or
140.23 	(3) maintenance as defined in section 518.003, subdivision 3a.
140.24 	(b) "Disposable earnings" means that part of the earnings of an individual remaining 
140.25 	after the deduction from those earnings of amounts required by law to be withheld.
140.26 	(c) "Employee" means an individual who performs services subject to the right of the 
140.27 	employer to control both what is done and how it is done., whether currently or formerly 
140.28 	employed, who is owed earnings and who is treated by an employer as an employee for 
140.29 	federal employment tax purposes.
140.30 	(d) "Employer" means a person for whom an individual performs services as an employee
140.31 	who owes or will owe earnings to an employee or independent contractor.
141.1 	(e) "Independent contractor" means an individual who (1) receives or is owed earnings 
141.2 	from an employer through periodic payments, and (2) is not treated by the employer as an 
141.3 	employee for federal employment tax purposes.

141.4 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
141.5 	of action commenced on or after that date.

141.6 	Sec. 101. Minnesota Statutes 2022, section 571.922, is amended to read:
141.7 	571.922 LIMITATION ON WAGE GARNISHMENT.
141.8 	(a) Unless the judgment is for child support, the maximum part of the aggregate 
141.9 	disposable earnings of an individual for any pay period subjected to garnishment may not 
141.10 	exceed the lesser of:
141.11 	(1) 25 percent of the debtor's disposable earnings, if the debtor's weekly income exceeds 
141.12 	80 times the greater of the hourly wage described in paragraph (b); or
141.13 	(2) 15 percent of the debtor's disposable earnings, if the debtor's weekly income exceeds 
141.14 	60 times, but is less than or equal to 80 times, the greater of the hourly wages described in 
141.15 	paragraph (b); or
141.16 	(3) ten percent of the debtor's disposable earnings, if the debtor's weekly income exceeds 
141.17 	40 times, but is less than or equal to 60 times, the greater of the hourly wages described in 
141.18 	paragraph (b).
141.19 	(b) The amount by which the debtor's disposable earnings exceed the greater of:
141.20 	(i) 40 times the hourly wage described in section 177.24, subdivision 1, paragraph (b), 
141.21 	clause (1), item (iii); or
141.22 	(ii) 40 times the federal minimum hourly wages prescribed by section 6(a)(1) of the Fair 
141.23 	Labor Standards Act of 1938, United States Code, title 29, section 206(a)(1). The calculation 
141.24 	of the amount that is subject to garnishment must be based on the hourly wage in effect at 
141.25 	the time the earnings are payable, times the number of work weeks in the pay period. When 
141.26 	a pay period consists of other than a whole number of work weeks, each day of that pay 
141.27 	period in excess of the number of completed work weeks shall be counted as a fraction of 
141.28 	a work week equal to the number of excess workdays divided by the number of days in the 
141.29 	normal work week.
141.30 	(b) (c) If the judgment is for child support, the garnishment may not exceed:
142.1 	(1) 50 percent of the judgment debtor's disposable income, if the judgment debtor is 
142.2 	supporting a spouse or dependent child and the judgment is 12 weeks old or less (12 weeks 
142.3 	to be calculated to the beginning of the work week in which the execution levy is received);
142.4 	(2) 55 percent of the judgment debtor's disposable income, if the judgment debtor is 
142.5 	supporting a spouse or dependent child, and the judgment is over 12 weeks old (12 weeks 
142.6 	to be calculated to the beginning of the work week in which the garnishment summons is 
142.7 	received);
142.8 	(3) 60 percent of the judgment debtor's disposable income, if the judgment debtor is not 
142.9 	supporting a spouse or dependent child and the judgment is 12 weeks old or less (12 weeks 
142.10 	to be calculated to the beginning of the work week in which the execution levy is received); 
142.11 	or
142.12 	(4) 65 percent of the judgment debtor's disposable income, if the judgment debtor is not 
142.13 	supporting a spouse or dependent child, and the judgment is over 12 weeks old (12 weeks 
142.14 	to be calculated to the beginning of the work week in which the garnishment summons is 
142.15 	received).
142.16 	Wage garnishments on judgments for child support are effective until the judgments are 
142.17 	satisfied if the judgment creditor is a county and the employer is notified by the county 
142.18 	when the judgment is satisfied.
142.19 	(c) (d) No court may make, execute, or enforce an order or any process in violation of 
142.20 	this section.

142.21 	EFFECTIVE DATE. This section is effective April 1, 2025, and applies to causes of 
142.22 	action commenced on or after that date.

142.23 	Sec. 102. Minnesota Statutes 2022, section 571.927, is amended to read:
142.24 	571.927 PENALTY FOR RETALIATION FOR GARNISHMENT.
142.25 		Subdivision 1.Prohibition. An employer shall not discharge or otherwise discipline an 
142.26 	employee or independent contractor as a result of an earnings garnishment authorized by 
142.27 	this chapter.
142.28 		Subd. 2.Remedy. If an employer violates this section, a court may order the reinstatement 
142.29 	of an aggrieved party who demonstrates a violation of this section, and other relief the court 
142.30 	considers appropriate. The aggrieved party may bring a civil action within 90 days of the 
142.31 	date of the prohibited action. If an employer-employee or employer-independent contractor 
143.1 	relationship existed before the violation of this section, the employee or independent 
143.2 	contractor shall recover twice the wages earnings lost as a result of this violation.
143.3 		Subd. 3.Nonwaiver. The rights guaranteed by this section may not be waived or altered 
143.4 	by employment contract.

143.5 	EFFECTIVE DATE. This section is effective August 1, 2024, and applies to causes 
143.6 	of action commenced on or after that date.

143.7 	Sec. 103. GARNISHMENT FORMS REVISION.
 143.8 	(a) The attorney general must review and make recommendations to revise into plain 
143.9 	language, and ensure comportment with the law, the notices and forms found in Minnesota 
143.10 	Statutes, sections 571.72, subdivisions 8 and 10; 571.74; 571.75, subdivision 2; 571.912; 
143.11 	and 571.925.
143.12 	(b) The attorney general must review and determine whether the forms contained in 
143.13 	Minnesota Statutes, sections 571.711; 571.914, subdivision 2; 571.931, subdivision 6; and 
143.14 	571.932, subdivision 2, should be revised (1) into a more easily readable and understandable 
143.15 	format, and (2) to ensure comportment with law. If the attorney general determines the 
143.16 	forms should be revised, the attorney general must make recommendations for legislative 
143.17 	revisions to the forms.
143.18 	(c) The recommendations made under paragraphs (a) and (b) must include proposals to 
143.19 	(1) explain in simple terms the meaning of garnishment in any form that uses the term 
143.20 	garnishment, and (2) prominently place on forms the name, telephone number, and email 
143.21 	address of the creditor.
143.22 	(d) When developing the recommendations, the attorney general must consult with the 
143.23 	Center for Plain Language and other plain language experts the attorney general may identify, 
143.24 	and must obtain approval from affected business and consumer groups, including but not 
143.25 	limited to:
143.26 	(1) the Minnesota Creditors' Rights Association;
143.27 	(2) the Great Lakes Credit and Collections Association;
143.28 	(3) the Minnesota Bankers' Association;
143.29 	(4) the Minnesota Credit Union Network;
143.30 	(5) BankIn Minnesota;
143.31 	(6) Mid-Minnesota Legal Aid;
144.1 	(7) the Minnesota chapter of the National Association of Consumer Advocates;
144.2 	(8) the Minnesota chapter of the National Association of Consumer Bankruptcy Attorneys;
144.3 	(9) Lutheran Social Services; and
144.4 	(10) Family Means.
144.5 	(e) For the purposes of this section, "plain language" means communication in which 
144.6 	the wording, structure, and design are so clear that the intended reader can easily: (1) find 
144.7 	what the reader needs; (2) understand what the reader needs; and (3) use what the reader 
144.8 	finds to meet the reader's needs.

144.9 	EFFECTIVE DATE. This section is effective August 1, 2024.

144.10 	Sec. 104. REPEALER.
 144.11 	(a) Minnesota Statutes 2022, sections 45.014; 82B.25; 239.791, subdivision 3; and 
144.12 	325G.25, subdivision 1a, are repealed.
144.13 	(b) Minnesota Statutes 2023 Supplement, sections 53B.58; and 332.71, subdivision 8,
144.14 	are repealed.
144.15 	(c) Minnesota Statutes 2022, section 82B.25, is repealed.

144.16 	EFFECTIVE DATE. Paragraph (c) is effective January 1, 2026.

144.17 	ARTICLE 4
144.18 	TELECOMMUNICATIONS POLICY

144.19 	Section 1. Minnesota Statutes 2022, section 237.121, is amended to read:
144.20 	237.121 PROHIBITED PRACTICES.
144.21 	(a) A telephone company or telecommunications carrier may not do any of the following 
144.22 	with respect to services regulated by the commission:
144.23 	(1) upon request, fail to disclose in a timely and uniform manner information necessary 
144.24 	for the design of equipment and services that will meet the specifications for interconnection;
144.25 	(2) intentionally impair the speed, quality, or efficiency of services, products, or facilities 
144.26 	offered to a consumer under a tariff, contract, or price list;
144.27 	(3) fail to provide a service, product, or facility to a consumer other than a telephone 
144.28 	company or telecommunications carrier in accordance with its applicable tariffs, price lists, 
144.29 	or contracts and with the commission's rules and orders;
145.1 	(4) refuse to provide a service, product, or facility to a telephone company or 
145.2 	telecommunications carrier in accordance with its applicable tariffs, price lists, or contracts 
145.3 	and with the commission's rules and orders;
145.4 	(5) impose unreasonable or discriminatory restrictions on the resale of its services, 
145.5 	provided that:
145.6 	(i) it may require that residential service may not be resold as a different class of service; 
145.7 	and
145.8 	(ii) the commission may prohibit resale of services it has approved for provision for 
145.9 	not-for-profit entities at rates less than those offered to the general public; or
145.10 	(6) provide telephone service to a person acting as a telephone company or 
145.11 	telecommunications carrier if the commission has ordered the telephone company or 
145.12 	telecommunications carrier to discontinue service to that person.; or
145.13 	(7) upon cancellation of telecommunications service, refuse to provide a prorated refund 
145.14 	of payment made in advance by a customer.
145.15 	(b) A telephone company or telecommunications carrier may not violate a provision of 
145.16 	sections 325F.692 and 325F.693, with regard to any of the services provided by the company 
145.17 	or carrier.

145.18 	Sec. 2. Minnesota Statutes 2022, section 237.19, is amended to read:
145.19 	237.19 MUNICIPAL TELECOMMUNICATIONS SERVICES.
145.20 	(a) Any municipality shall have the right to own and operate a telephone exchange within 
145.21 	its own borders, subject to the provisions of this chapter. It may construct such plant, or 
145.22 	purchase an existing plant by agreement with the owner, or where it cannot agree with the 
145.23 	owner on price, it may acquire an existing plant by condemnation, as hereinafter provided, 
145.24 	but in no case shall a municipality construct or purchase such a plant or proceed to acquire 
145.25 	an existing plant by condemnation until such action by it is authorized by a majority of the 
145.26 	electors voting upon the proposition at a general election or a special election called for that 
145.27 	purpose, and if the proposal is to construct a new exchange where an exchange already 
145.28 	exists, it shall not be authorized to do so unless 65 percent of those voting thereon vote in 
145.29 	favor of the undertaking.
145.30 	(b) A municipality that owns and operates a telephone exchange may enter into a joint 
145.31 	venture as a partner or shareholder with a telecommunications organization to provide 
145.32 	telecommunications services within its service area.
146.1 	(c) A municipality may acquire an existing plant through condemnation only if:
146.2 	(1) a provider of telephone service ceases to offer telephone service and no other provider 
146.3 	offering telephone service is available; and
146.4 	(2) absent a condemnation process under this section, public safety would be negatively 
146.5 	impacted or 911 service would become unreliable, as determined by the commission.
146.6 	(d) A municipality is prohibited from using the municipality's condemnation authority 
146.7 	under this section to intervene in the transfer or sale of a telecommunications service 
146.8 	provider's assets.
146.9 	(e) A condemnation process undertaken under this section must apply to all customers 
146.10 	within the existing telephone exchange.

146.11 	Sec. 3. [325F.6945] INTERNET SERVICE PROVIDERS; PROHIBITED ACTIONS.
146.12 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
146.13 	the meanings given.
146.14 	(b) "Broadband Internet access service" means:
146.15 	(1) a mass-market retail service by wire or radio that provides the capability, including 
146.16 	any capability that is incidental to and enables the operation of the communications service, 
146.17 	to transmit data to and receive data from all or substantially all Internet endpoints;
146.18 	(2) any service that provides a functional equivalent of the service described in clause 
146.19 	(1); or
146.20 	(3) any service that is used to evade the protections established under this section.
146.21 	Broadband Internet access service includes a service that serves end users at fixed endpoints 
146.22 	using stationary equipment or end users using mobile stations, but does not include dial-up 
146.23 	Internet access service.
146.24 	(c) "Edge provider" means any person or entity that provides:
146.25 	(1) any content, application, or service over the Internet; or
146.26 	(2) a device used to access any content, application, or service over the Internet.
146.27 	Edge provider does not include a person or entity providing obscene material, as defined 
146.28 	in section 617.241.
147.1 	(d) "Impairing or degrading lawful Internet traffic on the basis of Internet content, 
147.2 	application, or service, or use of a nonharmful device" means impairing or degrading any 
147.3 	of the following:
147.4 	(1) particular content, applications, or services;
147.5 	(2) particular classes of content, applications, or services;
147.6 	(3) lawful Internet traffic to particular nonharmful devices; or
147.7 	(4) lawful Internet traffic to particular classes of nonharmful devices.
147.8 	Impairing or degrading lawful Internet traffic on the basis of Internet content, application, 
147.9 	or service, or use of a nonharmful device includes, without limitation, differentiating 
147.10 	positively or negatively between any of the following:
147.11 	(i) particular content, applications, or services;
147.12 	(ii) particular classes of content, applications, or services;
147.13 	(iii) lawful Internet traffic to particular nonharmful devices; or
147.14 	(iv) lawful Internet traffic to particular classes of nonharmful devices.
147.15 	(e) "Internet service provider" means a business that provides broadband Internet access 
147.16 	service to a customer in Minnesota.
147.17 	(f) "Paid prioritization" means the management of an Internet service provider's network 
147.18 	to directly or indirectly favor some traffic over other traffic:
147.19 	(1) in exchange for monetary or other consideration from a third party; or
147.20 	(2) to benefit an affiliated entity.
147.21 	(g) "Reasonable network management" means a network management practice that has 
147.22 	a primarily technical network-management justification, but does not include other business 
147.23 	practices, which is reasonable if the practice is primarily used for and tailored to achieving 
147.24 	a legitimate network-management purpose, taking into account the particular network 
147.25 	architecture and technology of the broadband Internet access service.
147.26 	(h) "Zero-rating" means exempting some Internet traffic from a customer's data usage 
147.27 	allowance.
147.28 		Subd. 2.Prohibited actions. An Internet service provider is prohibited from engaging 
147.29 	in any of the following activities with respect to any of the Internet service provider's 
147.30 	Minnesota customers:
148.1 	(1) subject to reasonable network management, blocking lawful content, applications, 
148.2 	services, or nonharmful devices;
148.3 	(2) subject to reasonable network management, impairing, impeding, or degrading lawful 
148.4 	Internet traffic on the basis of (i) Internet content, application, or service, or (ii) use of a 
148.5 	nonharmful device;
148.6 	(3) engaging in paid prioritization;
148.7 	(4) unreasonably interfering with or unreasonably disadvantaging:
148.8 	(i) a customer's ability to select, access, and use broadband Internet service or lawful 
148.9 	Internet content, applications, services, or devices of the customer's choice; or
148.10 	(ii) an edge provider's ability to provide lawful Internet content, applications, services, 
148.11 	or devices to a customer.
148.12 	Reasonable network management is not a violation of this clause;
148.13 	(5) engaging in deceptive or misleading marketing practices that misrepresent the 
148.14 	treatment of Internet traffic or content;
148.15 	(6) engaging in zero-rating in exchange for consideration, monetary or otherwise, from 
148.16 	a third party; or
148.17 	(7) zero-rating some Internet content, applications, services, or devices in a category of 
148.18 	Internet content, applications, services, or devices, but not the entire category.
148.19 		Subd. 3.Exceptions. This section does not apply to software or applications sponsored 
148.20 	by the federal government, a state government, or a federally recognized Tribal government 
148.21 	when the Internet service provider allows an advantage to customers for free or improved 
148.22 	access, or data for access to government services and programs.
148.23 		Subd. 4.Other laws. This section does not: (1) supersede any obligation or authorization 
148.24 	an Internet service provider may have to address the needs of emergency communications 
148.25 	or law enforcement, public safety, or national security authorities, consistent with or as 
148.26 	permitted by applicable law; or (2) limit the provider's ability to meet, address, or comply 
148.27 	with the needs identified in clause (1).
148.28 		Subd. 5.Enforcement.  A violation of subdivision 2 may be enforced by the commissioner 
148.29 	of commerce under section 45.027. The venue for enforcement proceedings is Ramsey 
148.30 	County.

148.31 	EFFECTIVE DATE. This section is effective July 1, 2025.

149.1 	Sec. 4. Minnesota Statutes 2022, section 429.021, subdivision 1, is amended to read:
149.2 		Subdivision 1.Improvements authorized. The council of a municipality shall have 
149.3 	power to make the following improvements:
149.4 	(1) To acquire, open, and widen any street, and to improve the same by constructing, 
149.5 	reconstructing, and maintaining sidewalks, pavement, gutters, curbs, and vehicle parking 
149.6 	strips of any material, or by grading, graveling, oiling, or otherwise improving the same, 
149.7 	including the beautification thereof and including storm sewers or other street drainage and 
149.8 	connections from sewer, water, or similar mains to curb lines.
149.9 	(2) To acquire, develop, construct, reconstruct, extend, and maintain storm and sanitary 
149.10 	sewers and systems, including outlets, holding areas and ponds, treatment plants, pumps, 
149.11 	lift stations, service connections, and other appurtenances of a sewer system, within and 
149.12 	without the corporate limits.
149.13 	(3) To construct, reconstruct, extend, and maintain steam heating mains.
149.14 	(4) To install, replace, extend, and maintain street lights and street lighting systems and 
149.15 	special lighting systems.
149.16 	(5) To acquire, improve, construct, reconstruct, extend, and maintain water works systems, 
149.17 	including mains, valves, hydrants, service connections, wells, pumps, reservoirs, tanks, 
149.18 	treatment plants, and other appurtenances of a water works system, within and without the 
149.19 	corporate limits.
149.20 	(6) To acquire, improve and equip parks, open space areas, playgrounds, and recreational 
149.21 	facilities within or without the corporate limits.
149.22 	(7) To plant trees on streets and provide for their trimming, care, and removal.
149.23 	(8) To abate nuisances and to drain swamps, marshes, and ponds on public or private 
149.24 	property and to fill the same.
149.25 	(9) To construct, reconstruct, extend, and maintain dikes and other flood control works.
149.26 	(10) To construct, reconstruct, extend, and maintain retaining walls and area walls.
149.27 	(11) To acquire, construct, reconstruct, improve, alter, extend, operate, maintain, and 
149.28 	promote a pedestrian skyway system. Such improvement may be made upon a petition 
149.29 	pursuant to section 429.031, subdivision 3.
149.30 	(12) To acquire, construct, reconstruct, extend, operate, maintain, and promote 
149.31 	underground pedestrian concourses.
150.1 	(13) To acquire, construct, improve, alter, extend, operate, maintain, and promote public 
150.2 	malls, plazas or courtyards.
150.3 	(14) To construct, reconstruct, extend, and maintain district heating systems.
150.4 	(15) To construct, reconstruct, alter, extend, operate, maintain, and promote fire protection 
150.5 	systems in existing buildings, but only upon a petition pursuant to section 429.031, 
150.6 	subdivision 3.
150.7 	(16) To acquire, construct, reconstruct, improve, alter, extend, and maintain highway 
150.8 	sound barriers.
150.9 	(17) To improve, construct, reconstruct, extend, and maintain gas and electric distribution 
150.10 	facilities owned by a municipal gas or electric utility.
150.11 	(18) To purchase, install, and maintain signs, posts, and other markers for addressing 
150.12 	related to the operation of enhanced 911 telephone service.
150.13 	(19) To improve, construct, extend, and maintain facilities for Internet access and other 
150.14 	communications purposes, if the council finds that: provided that the municipality must:
150.15 	(i) the facilities are necessary to make available Internet access or other communications 
150.16 	services that are not and will not be available through other providers or the private market 
150.17 	in the reasonably foreseeable future; and
150.18 	(ii) the service to be provided by the facilities will not compete with service provided 
150.19 	by private entities.
150.20 	(i) not discriminate in favor of the municipality's own communications facilities by 
150.21 	granting the municipality more favorable or less burdensome terms and conditions than a 
150.22 	nonmunicipal service provider with respect to: (A) access and use of public rights-of-way; 
150.23 	(B) access and use of municipally owned or controlled conduit, towers, and utility poles; 
150.24 	and (C) permitting fees charged to access municipally owned and managed facilities;
150.25 	(ii) maintain separation between the municipality's role as a regulator over firms that 
150.26 	offer services in competition with the services offered by the municipality over the 
150.27 	municipality's communications service facilities, and the municipality's role as a competitive 
150.28 	provider of services over the municipality's communications service facilities; and
150.29 	(iii) not share inside information between employees or contractors responsible for 
150.30 	executing the municipality's role as a regulator over firms that offer communications services 
150.31 	in competition with the communication services offered by the municipality, and employees 
151.1 	or contractors responsible for executing the municipality's role as a competitive 
151.2 	communications services provider.
151.3 	(20) To assess affected property owners for all or a portion of the costs agreed to with 
151.4 	an electric utility, telecommunications carrier, or cable system operator to bury or alter a 
151.5 	new or existing distribution system within the public right-of-way that exceeds the utility's 
151.6 	design and construction standards, or those set by law, tariff, or franchise, but only upon 
151.7 	petition under section 429.031, subdivision 3.
151.8 	(21) To assess affected property owners for repayment of voluntary energy improvement 
151.9 	financings under section 216C.436, subdivision 7, or 216C.437, subdivision 28.
151.10 	(22) To construct, reconstruct, alter, extend, operate, maintain, and promote energy 
151.11 	improvement projects in existing buildings, provided that:
151.12 	(i) a petition for the improvement is made by a property owner under section 429.031, 
151.13 	subdivision 3;
151.14 	(ii) the municipality funds and administers the energy improvement project;
151.15 	(iii) project funds are only used for the installation of improvements to heating, 
151.16 	ventilation, and air conditioning equipment and building envelope and for the installation 
151.17 	of renewable energy systems;
151.18 	(iv) each property owner petitioning for the improvement receives notice that free or 
151.19 	low-cost energy improvements may be available under federal, state, or utility programs;
151.20 	(v) for energy improvement projects on residential property, only residential property 
151.21 	having five or more units may obtain financing for projects under this clause; and
151.22 	(vi) prior to financing an energy improvement project or imposing an assessment for a 
151.23 	project, written notice is provided to the mortgage lender of any mortgage encumbering or 
151.24 	otherwise secured by the property proposed to be improved.

151.25 	ARTICLE 5
151.26 	LIQUOR

151.27 	Section 1. Minnesota Statutes 2022, section 340A.101, subdivision 13, is amended to 
151.28 	read:
151.29 		Subd. 13.Hotel. "Hotel" is an establishment where food and lodging are regularly 
151.30 	furnished to transients and which has:
152.1 	(1) a dining room serving the general public at tables and having facilities for seating 
152.2 	at least 30 guests at one time; and or
152.3 	(2) guest rooms in the following minimum numbers: in first class cities, 50; in second 
152.4 	class cities, 25 15; in all other cities and unincorporated areas, 10.

152.5 	Sec. 2. Minnesota Statutes 2022, section 340A.404, subdivision 1, is amended to read:
152.6 		Subdivision 1.Cities. (a) A city may issue an on-sale intoxicating liquor license to the 
152.7 	following establishments located within its jurisdiction:
152.8 	(1) hotels;
152.9 	(2) restaurants;
152.10 	(3) bowling centers;
152.11 	(4) clubs or congressionally chartered veterans organizations with the approval of the 
152.12 	commissioner, provided that the organization has been in existence for at least three years 
152.13 	and liquor sales will only be to members and bona fide guests, except that a club may permit 
152.14 	the general public to participate in a wine tasting conducted at the club under section 
152.15 	340A.419;
152.16 	(5) sports facilities, restaurants, clubs, or bars located on land owned or leased by the 
152.17 	Minnesota Sports Facilities Authority;
152.18 	(6) sports facilities located on land owned by the Metropolitan Sports Commission;
152.19 	(7) exclusive liquor stores; and
152.20 	(8) resorts as defined in section 157.15, subdivision 11.
152.21 	(b) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or 
152.22 	an on-sale malt liquor license to a theater within the city, notwithstanding any law, local 
152.23 	ordinance, or charter provision. A license issued under this paragraph authorizes sales on 
152.24 	all days of the week to persons attending events at the theater.
152.25 	(c) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or 
152.26 	an on-sale malt liquor license to a convention center within the city, notwithstanding any 
152.27 	law, local ordinance, or charter provision. A license issued under this paragraph authorizes 
152.28 	sales on all days of the week to persons attending events at the convention center. This 
152.29 	paragraph does not apply to convention centers located in the seven-county metropolitan 
152.30 	area.
153.1 	(d) A municipality may issue an on-sale wine license and an on-sale malt liquor license 
153.2 	to a person who is the owner of a summer collegiate league baseball team or baseball team 
153.3 	competing in a league established by the Minnesota Baseball Association, or to a person 
153.4 	holding a concessions or management contract with the owner, for beverage sales at a 
153.5 	ballpark or stadium located within the municipality for the purposes of summer collegiate 
153.6 	league baseball games, town ball games, and any other events at the ballpark or stadium, 
153.7 	notwithstanding any law, local ordinance, or charter provision. A license issued under this 
153.8 	paragraph authorizes sales on all days of the week to persons attending baseball games and 
153.9 	any other events at the ballpark or stadium.
153.10 	(e) A municipality may issue an on-sale malt liquor license to a resort as defined in 
153.11 	section 157.15, subdivision 11, notwithstanding any law, local ordinance, or charter provision. 
153.12 	A license issued under this paragraph authorizes sales on all days of the week to persons 
153.13 	staying at the resort and their guests.

153.14 	Sec. 3. Minnesota Statutes 2022, section 340A.404, subdivision 2, is amended to read:
153.15 		Subd. 2.Special provision; city of Minneapolis. (a) The city of Minneapolis may issue 
153.16 	an on-sale intoxicating liquor license to the Guthrie Theater, the Cricket Theatre, the 
153.17 	Orpheum Theatre, the State Theatre, and the Historic Pantages Theatre, notwithstanding 
153.18 	the limitations of law, or local ordinance, or charter provision relating to zoning or school 
153.19 	or church distances. The licenses authorize sales on all days of the week to holders of tickets 
153.20 	for performances presented by the theaters and to members of the nonprofit corporations 
153.21 	holding the licenses and to their guests.
153.22 	(b) The city of Minneapolis may issue an intoxicating liquor license to 510 Groveland 
153.23 	Associates, a Minnesota cooperative, for use by a restaurant on the premises owned by 510 
153.24 	Groveland Associates, notwithstanding limitations of law, or local ordinance, or charter 
153.25 	provision.
153.26 	(c) The city of Minneapolis may issue an on-sale intoxicating liquor license to Zuhrah 
153.27 	Shrine Temple for use on the premises owned by Zuhrah Shrine Temple at 2540 Park Avenue 
153.28 	South in Minneapolis, notwithstanding limitations of law, or local ordinances, or charter 
153.29 	provision relating to zoning or school or church distances.
153.30 	(d) The city of Minneapolis may issue an on-sale intoxicating liquor license to the 
153.31 	American Association of University Women, Minneapolis branch, for use on the premises 
153.32 	owned by the American Association of University Women, Minneapolis branch, at 2115 
153.33 	Stevens Avenue South in Minneapolis, notwithstanding limitations of law, or local 
153.34 	ordinances, or charter provisions relating to zoning or school or church distances.
154.1 	(e) The city of Minneapolis may issue an on-sale wine license and an on-sale 3.2 percent 
154.2 	malt liquor license to a restaurant located at 5000 Penn Avenue South, and an on-sale wine 
154.3 	license and an on-sale malt liquor license to a restaurant located at 1931 Nicollet Avenue 
154.4 	South, notwithstanding any law or local ordinance or charter provision.
154.5 	(f) The city of Minneapolis may issue an on-sale wine license and an on-sale malt liquor 
154.6 	license to the Brave New Workshop Theatre located at 3001 Hennepin Avenue South, the 
154.7 	Theatre de la Jeune Lune, the Illusion Theatre located at 528 Hennepin Avenue South, the 
154.8 	Hollywood Theatre located at 2815 Johnson Street Northeast, the Loring Playhouse located 
154.9 	at 1633 Hennepin Avenue South, the Jungle Theater located at 2951 Lyndale Avenue South, 
154.10 	Brave New Institute located at 2605 Hennepin Avenue South, the Guthrie Lab located at 
154.11 	700 North First Street, and the Southern Theatre located at 1420 Washington Avenue South, 
154.12 	notwithstanding any law or local ordinance or charter provision. The license authorizes 
154.13 	sales on all days of the week.
154.14 	(g) The city of Minneapolis may issue an on-sale intoxicating liquor license to University 
154.15 	Gateway Corporation, a Minnesota nonprofit corporation, for use by a restaurant or catering 
154.16 	operator at the building owned and operated by the University Gateway Corporation on the 
154.17 	University of Minnesota campus, notwithstanding limitations of law, or local ordinance or 
154.18 	charter provision. The license authorizes sales on all days of the week.
154.19 	(h) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Walker 
154.20 	Art Center's concessionaire or operator, for a restaurant and catering operator on the premises 
154.21 	of the Walker Art Center, notwithstanding limitations of law, or local ordinance or charter 
154.22 	provisions. The license authorizes sales on all days of the week.
154.23 	(i) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Guthrie 
154.24 	Theater's concessionaire or operator for a restaurant and catering operator on the premises 
154.25 	of the Guthrie Theater, notwithstanding limitations of law, local ordinance, or charter 
154.26 	provisions. The license authorizes sales on all days of the week.
154.27 	(j) The city of Minneapolis may issue an on-sale wine license and an on-sale malt liquor 
154.28 	license to the Minnesota Book and Literary Arts Building, Inc.'s concessionaire or operator 
154.29 	for a restaurant and catering operator on the premises of the Minnesota Book and Literary 
154.30 	Arts Building, Inc. (dba Open Book), notwithstanding limitations of law, or local ordinance 
154.31 	or charter provision. The license authorizes sales on all days of the week.
154.32 	(k) The city of Minneapolis may issue an on-sale intoxicating liquor license to a restaurant 
154.33 	located at 5411 Penn Avenue South, notwithstanding any law or local ordinance or charter 
154.34 	provision.
155.1 	(l) The city of Minneapolis may issue an on-sale intoxicating liquor license to the Museum 
155.2 	of Russian Art's concessionaire or operator for a restaurant and catering operator on the 
155.3 	premises of the Museum of Russian Art located at 5500 Stevens Avenue South, 
155.4 	notwithstanding any law or local ordinance or charter provision.
155.5 	(m) The city of Minneapolis may issue an on-sale intoxicating liquor license to the 
155.6 	American Swedish Institute or to its concessionaire or operator for use on the premises 
155.7 	owned by the American Swedish Institute at 2600 Park Avenue South, notwithstanding 
155.8 	limitations of law, or local ordinances, or charter provision relating to zoning or school or 
155.9 	church distances.
155.10 	(n) Notwithstanding any other law, local ordinance, or charter provision, the city of 
155.11 	Minneapolis may issue one or more on-sale intoxicating liquor licenses to the Minneapolis 
155.12 	Society of Fine Arts (dba Minneapolis Institute of Arts), or to an entity holding a concessions 
155.13 	or catering contract with the Minneapolis Institute of Arts for use on the premises of the 
155.14 	Minneapolis Institute of Arts. The licenses authorized by this subdivision may be issued 
155.15 	for space that is not compact and contiguous, provided that all such space is included in the 
155.16 	description of the licensed premises on the approved license application. The licenses 
155.17 	authorize sales on all days of the week.
155.18 	(o) The city of Minneapolis may issue an on-sale intoxicating liquor license to Norway 
155.19 	House or to its concessionaire or operator for use on the premises owned by Norway House 
155.20 	at 913 East Franklin Avenue, notwithstanding limitations of law, or local ordinances, or 
155.21 	charter provision relating to zoning or school or church distances.
155.22 	(p) Notwithstanding any other law, including section 340A.504, subdivision 3, relating 
155.23 	to seating requirements, local ordinance, or charter provision, the city of Minneapolis may 
155.24 	issue one or more on-sale intoxicating liquor licenses to any entity holding a concessions 
155.25 	or catering contract with the Minneapolis Park and Recreation Board for use on the
155.26 	Minneapolis Park and Recreation Board premises of the Downtown Commons Park, the 
155.27 	Minneapolis Sculpture Garden, or at Boom Island Park. The licenses authorized by this 
155.28 	subdivision may be used for space specified within the park property, provided all such 
155.29 	space is included in the description of the licensed premises on the approved license 
155.30 	application. The licenses authorize sales on the dates on the approved license application.

155.31 	EFFECTIVE DATE. This section is effective upon approval by the Minneapolis City 
155.32 	Council and compliance with Minnesota Statutes, section 645.021.

156.1 	Sec. 4. Minnesota Statutes 2022, section 340A.404, subdivision 6, is amended to read:
156.2 		Subd. 6.Counties. (a) A county board may issue an annual on-sale intoxicating liquor 
156.3 	license within the area of the county that is unorganized or unincorporated to a bowling 
156.4 	center, restaurant, club, hotel, or resort as defined in section 157.15, subdivision 11, with 
156.5 	the approval of the commissioner.
156.6 	(b) A county board may also with the approval of the commissioner issue up to ten 
156.7 	seasonal on-sale licenses to restaurants and clubs for the sale of intoxicating liquor within 
156.8 	the area of the county that is unorganized or unincorporated. Notwithstanding section 
156.9 	340A.412, subdivision 8, a seasonal license is valid for a period specified by the board, not 
156.10 	to exceed nine months. Not more than one license may be issued for any one premises 
156.11 	during any consecutive 12-month period.
156.12 	(c) A county board may issue an annual on-sale malt liquor license to a resort as defined 
156.13 	in section 157.15, subdivision 11, within the area of the county that is unorganized or 
156.14 	unincorporated, notwithstanding any law or local ordinance. A license issued under this 
156.15 	paragraph authorizes sales on all days of the week to persons staying at the resort and their 
156.16 	guests.

156.17 	Sec. 5. Laws 2022, chapter 86, article 2, section 3, is amended to read:
156.18 	Sec. 3. CITY OF ST. PAUL; LICENSE AUTHORIZED.
 156.19 	Notwithstanding Minnesota Statutes, section 340A.412, subdivision 4, the city of St. 
156.20 	Paul may issue a temporary on-sale malt liquor license to the Thai Cultural Council of 
156.21 	Minnesota or to a person or entity holding a concessions contract with the Thai Cultural 
156.22 	Council of Minnesota. The license may authorize the sale of malt liquor on the grounds of 
156.23 	the State Capitol for both days of the Minnesota Songkran Festival. All provisions of 
156.24 	Minnesota Statutes, section 340A.404, subdivision 10, not inconsistent with this section, 
156.25 	apply to the license authorized by this section.

156.26 	EFFECTIVE DATE. This section is effective upon approval by the St. Paul City 
156.27 	Council and compliance with Minnesota Statutes, section 645.021.

157.1 	Sec. 6. Laws 2022, chapter 86, article 2, section 5, is amended to read:
157.2 	Sec. 5. CITY OF ANOKA; SPECIAL LICENSE SOCIAL DISTRICT LICENSE; 
157.3 	CITIES OF ANOKA, SHAKOPEE, AND STILLWATER.
 157.4 		Subdivision 1.Social district; consumption allowed. The city of Anoka cities of Anoka, 
157.5 	Shakopee, and Stillwater may issue a social district license to any holder of an on-sale 
157.6 	license whose on-sale premises is contiguous with the premises of the social district 
157.7 	designated in subdivision 2. The license authorizes consumption, but not sales or service, 
157.8 	of alcoholic beverages sold by the on-sale licensee within the social district.
157.9 		Subd. 2.Designation of social district. (a) Prior to issuing the license in subdivision 1, 
157.10 	the city of Anoka must designate and describe the premises of the social district. The district 
157.11 	may not include any area under the ownership or control of a person that objects to the 
157.12 	extension of the social district to that area.
157.13 	(b) The designation must include the specific premises where consumption of alcoholic 
157.14 	beverages is allowed and also include the proposed hours and days in which consumption 
157.15 	of alcoholic beverages is allowed in the social district. The city of Anoka must adopt the 
157.16 	designation by ordinance prior to issuing the license in subdivision 1.
157.17 		Subd. 3.Boundaries clearly defined. The social district must be clearly defined with 
157.18 	signs posted in a conspicuous location indicating the area included in the social district and 
157.19 	the days and hours during which alcoholic beverages may be consumed in the district. In 
157.20 	addition, signs must include:
157.21 	(1) the local law enforcement agency with jurisdiction over the area comprising the 
157.22 	social district; and
157.23 	(2) a clear statement that an alcoholic beverage purchased for consumption in the social 
157.24 	district shall:
157.25 	(i) only be consumed in the social district; and
157.26 	(ii) be disposed of before the person in possession of the alcoholic beverage exits the 
157.27 	social district unless the person is reentering the licensed premises where the alcoholic 
157.28 	beverage was purchased.
157.29 		Subd. 4.Management and maintenance. The city of Anoka must establish management 
157.30 	and maintenance plans for the social district and post these plans, along with a rendering 
157.31 	of the boundaries of the social district and days and hours during which alcoholic beverages 
158.1 	may be consumed in the district, on the website for the city of Anoka. The social district 
158.2 	must be maintained in a manner that protects the health and safety of the general public.
158.3 		Subd. 5.Requirements for on-sale licensees. An on-sale licensee holding a social 
158.4 	district license may only sell and serve alcoholic beverages on the premises specified in the 
158.5 	licensee's on-sale license. The licensee must not allow a person to enter or reenter its on-sale 
158.6 	licensed premises with an alcoholic beverage not sold by the on-sale licensee. Sales for 
158.7 	consumption in the social district must meet the following container requirements:
158.8 	(1) the container clearly identifies the on-sale licensee from which the alcoholic beverage 
158.9 	was purchased;
158.10 	(2) the container clearly displays a logo or some other mark that is unique to the social 
158.11 	district in which it will be consumed;
158.12 	(3) the container is not comprised of glass;
158.13 	(4) the container displays, in no less than 12-point font, the statement, "Drink Responsibly 
158.14 	- Be 21."; and
158.15 	(5) the container shall not hold more than 16 fluid ounces.
158.16 		Subd. 6.Additional social district requirements. The possession and consumption of 
158.17 	an alcoholic beverage in a social district is subject to all of the following requirements:
158.18 	(1) only alcoholic beverages purchased from an on sale-licensee holding a social district 
158.19 	license located in or contiguous to the social district may be possessed and consumed in the 
158.20 	district;
158.21 	(2) alcoholic beverages shall only be in containers meeting the requirements set forth 
158.22 	in subdivision 5;
158.23 	(3) alcoholic beverages shall only be possessed and consumed during the days and hours 
158.24 	set by the city of Anoka as specified in subdivision 2; and
158.25 	(4) a person shall dispose of any alcoholic beverage in the person's possession prior to 
158.26 	exiting the social district unless the person is reentering the on-sale licensed premises where 
158.27 	the alcoholic beverage was purchased.
158.28 		Subd. 7.Report required. Within 24 months from the first issuance of a social district 
158.29 	license, the city of Anoka must provide a report to the chairs and ranking minority members 
158.30 	of the legislative committees with jurisdiction over liquor regulation. The report must include 
158.31 	a discussion of the following subjects:
158.32 	(1) the process used by the city in designating the social district;
159.1 	(2) the community response to the social district, with a concentration on residents living 
159.2 	and businesses operating within a one-mile radius of the district;
159.3 	(3) the response to the social district from both on-sale licensees holding a social district 
159.4 	license and not holding a social district license;
159.5 	(4) the problems or challenges encountered in establishing and overseeing the social 
159.6 	district and social district licenses;
159.7 	(5) any public safety concerns that arose due to the operation of the social district;
159.8 	(6) the benefits and drawbacks to the city of continuing the social district; and
159.9 	(7) recommendations for modifications to the social district special law established in 
159.10 	this section.

159.11 	EFFECTIVE DATE. This section is effective after August 31, 2025, for each of the 
159.12 	cities of Shakopee and Stillwater upon approval by each city council and compliance with 
159.13 	Minnesota Statutes, section 645.021.

159.14 	Sec. 7. SPECIAL LIQUOR LAW; CITY OF LITCHFIELD.
 159.15 	Notwithstanding Minnesota Statutes, section 624.701, the city of Litchfield may issue 
159.16 	an on-sale license under Minnesota Statutes, section 340A.404, subdivision 1, paragraph 
159.17 	(d), for sales at town ball games played at a ballpark on school grounds, provided that the 
159.18 	board of Independent School District No. 465, Litchfield, adopts a resolution approving the 
159.19 	issuance of the license. The provisions of Minnesota Statutes, section 624.701, do not apply 
159.20 	to the school grounds or buildings for a license issued under this section.

159.21 	EFFECTIVE DATE. This section is effective upon approval by the Litchfield City 
159.22 	Council and compliance with Minnesota Statutes, section 645.021.

159.23 	Sec. 8. SPECIAL LIQUOR LAW; CITY OF WATKINS.
 159.24 	Notwithstanding Minnesota Statutes, section 624.701, the city of Watkins may issue an 
159.25 	on-sale license under Minnesota Statutes, section 340A.404, subdivision 1, paragraph (d), 
159.26 	for sales at town ball games played at a ballpark on school grounds, provided the board of 
159.27 	Independent School District No. 463, Eden Valley-Watkins, adopts a resolution approving 
159.28 	the issuance of the license. The provisions of Minnesota Statutes, section 624.701, do not 
159.29 	apply to the school grounds or buildings for a license issued under this section.

159.30 	EFFECTIVE DATE. This section is effective upon approval by the Watkins City 
159.31 	Council and compliance with Minnesota Statutes, section 645.021.

160.1 	Sec. 9. SPORTS AND EVENT CENTER LICENSE; EAGAN.
 160.2 	Notwithstanding Minnesota Statutes, chapter 340A, or any other local law or ordinance 
160.3 	to the contrary, the city of Eagan may issue up to three on-sale intoxicating liquor licenses 
160.4 	to the owner of a multiuse sports and event center located on property in the city of Eagan, 
160.5 	legally described as Outlot A, Viking Lakes 3rd Addition, or as may be described hereafter 
160.6 	due to subdivision or replatting, or to any facility operator, concessionaire, catering operator, 
160.7 	or other third-party food and beverage vendor for the center under contract with the owner. 
160.8 	A license issued under this section may be issued for a space that is not compact and 
160.9 	contiguous, provided that the licensed premises shall only be the space described in the 
160.10 	approved license. A license issued under this section authorizes sales on all days of the 
160.11 	week. The provisions of Minnesota Statutes, chapter 340A, not inconsistent with this section, 
160.12 	apply to a license issued under this section.

160.13 	EFFECTIVE DATE. This section is effective upon approval by the Eagan City Council 
160.14 	and compliance with Minnesota Statutes, section 645.021.

160.15 	ARTICLE 6
160.16 	MEDICAL SUPPLEMENT IMPLEMENTATION DELAY

160.17 	Section 1. Laws 2023, chapter 57, article 2, section 7, the effective date, is amended to 
160.18 	read:

160.19 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
160.20 	policies offered, issued, or renewed on or after that date.

160.21 	Sec. 2. Laws 2023, chapter 57, article 2, section 8, the effective date, is amended to read:

160.22 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
160.23 	policies offered, issued, or renewed on or after that date.

160.24 	Sec. 3. Laws 2023, chapter 57, article 2, section 9, the effective date, is amended to read:

160.25 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
160.26 	policies offered, issued, or renewed on or after that date.

160.27 	Sec. 4. Laws 2023, chapter 57, article 2, section 10, the effective date, is amended to read:

160.28 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
160.29 	policies offered, issued, or renewed on or after that date.

161.1 	Sec. 5. Laws 2023, chapter 57, article 2, section 11, the effective date, is amended to read:

161.2 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
161.3 	policies offered, issued, or renewed on or after that date.

161.4 	Sec. 6. Laws 2023, chapter 57, article 2, section 12, the effective date, is amended to read:

161.5 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
161.6 	policies offered, issued, or renewed on or after that date.

161.7 	Sec. 7. Laws 2023, chapter 57, article 2, section 13, the effective date, is amended to read:

161.8 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
161.9 	policies offered, issued, or renewed on or after that date.

161.10 	Sec. 8. Laws 2023, chapter 57, article 2, section 14, the effective date, is amended to read:

161.11 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
161.12 	policies offered, issued, or renewed on or after that date.

161.13 	Sec. 9. Laws 2023, chapter 57, article 2, section 15, the effective date, is amended to read:

161.14 	EFFECTIVE DATE. This section is effective August 1, 2025 2026, and applies to 
161.15 	policies offered, issued, or renewed on or after that date.

APPENDIX 

Repealed Minnesota Statutes: S4097-3 

45.014 SEAL OF DEPARTMENT OF COMMERCE.
The commissioner of commerce shall devise a seal for official use as the seal of the Department of Commerce. The seal must be capable of being legibly reproduced under photographic methods. A description of the seal, and a copy of it, must be filed in the Office of the Secretary of State. 

53B.58 PAYROLL PROCESSING SERVICES; DISCLOSURES.
(a) A licensee that provides payroll processing services must: 

(1) issue reports to clients detailing client payroll obligations in advance of the payroll funds being deducted from an account; and 

(2) make available worker pay stubs or an equivalent statement to workers. 

(b) Paragraph (a) does not apply to a licensee providing payroll processing services if the licensee's client designates the intended recipients to the licensee and is responsible for providing the disclosures required by paragraph (a), clause (2). 

58.08 BONDS; LETTERS OF CREDIT.Subd. 3.Exemption. 
Subdivision 2 does not apply to mortgage originators or mortgage servicers who are approved as seller/servicers by the Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation. 

62Q.522 COVERAGE OF CONTRACEPTIVE METHODS AND SERVICES.Subd. 3.Exemption. 
(a) An exempt organization is not required to cover contraceptives or contraceptive services if the exempt organization has religious objections to the coverage. An exempt organization that chooses to not provide coverage for some or all contraceptives and contraceptive services must notify employees as part of the hiring process and to all employees at least 30 days before: 

(1) an employee enrolls in the health plan; or 

(2) the effective date of the health plan, whichever occurs first. 

(b) If the exempt organization provides coverage for some contraceptive methods or services, the notice required under paragraph (a) must provide a list of the contraceptive methods or services the organization refuses to cover. 

Subd. 4.Accommodation for eligible organizations. 
(a) A health plan established or maintained by an eligible organization complies with the requirements of subdivision 2 to provide coverage of contraceptive methods and services, with respect to the contraceptive methods or services identified in the notice under this paragraph, if the eligible organization provides notice to any health plan company the eligible organization contracts with that it is an eligible organization and that the eligible organization has a religious objection to coverage for all or a subset of contraceptive methods or services. 

(b) The notice from an eligible organization to a health plan company under paragraph (a) must include: (1) the name of the eligible organization; (2) a statement that it objects to coverage for some or all of contraceptive methods or services, including a list of the contraceptive methods or services the eligible organization objects to, if applicable; and (3) the health plan name. The notice must be executed by a person authorized to provide notice on behalf of the eligible organization. 

(c) An eligible organization must provide a copy of the notice under paragraph (a) to prospective employees as part of the hiring process and to all employees at least 30 days before: 

(1) an employee enrolls in the health plan; or 

(2) the effective date of the health plan, whichever occurs first. 

(d) A health plan company that receives a copy of the notice under paragraph (a) with respect to a health plan established or maintained by an eligible organization must, for all future enrollments in the health plan: 

(1) expressly exclude coverage for those contraceptive methods or services identified in the notice under paragraph (a) from the health plan; and 

(2) provide separate payments for any contraceptive methods or services required to be covered under subdivision 2 for enrollees as long as the enrollee remains enrolled in the health plan. 

(e) The health plan company must not impose any cost-sharing requirements, including co-pays, deductibles, or coinsurance, or directly or indirectly impose any premium, fee, or other charge for contraceptive services or methods on the eligible organization, health plan, or enrollee. 

(f) On January 1, 2024, and every year thereafter a health plan company must notify the commissioner, in a manner determined by the commissioner, of the number of eligible organizations granted an accommodation under this subdivision. 

82B.25 VALUATION BIAS.82B.25 VALUATION BIAS.Subdivision 1.Definition. 
For the purposes of this section, "valuation bias" means to explicitly, implicitly, or structurally select and apply data to an appraisal methodology or technique in a biased manner that harms a protected class, as defined by the Fair Housing Act of 1968, as amended. 

Subd. 2.Education. 
 A real property appraiser shall provide to the commissioner evidence of satisfactory completion of a continuing education course on the valuation bias of real property. An appraiser licensed after September 1, 2021, must complete the course required by this section prior to the appraiser's first license renewal. 

82B.25 VALUATION BIAS.Subdivision 1.Definition. 
For the purposes of this section, "valuation bias" means to explicitly, implicitly, or structurally select and apply data to an appraisal methodology or technique in a biased manner that harms a protected class, as defined by the Fair Housing Act of 1968, as amended. 

Subd. 2.Education. 
 A real property appraiser shall provide to the commissioner evidence of satisfactory completion of a continuing education course on the valuation bias of real property. An appraiser licensed after September 1, 2021, must complete the course required by this section prior to the appraiser's first license renewal. 

239.791 OXYGENATED GASOLINE.Subd. 3.Blending restriction. 
When gasoline contains an oxygenate, a person responsible for the product shall not blend the product with ethanol or with any other oxygenate after it is transferred or otherwise removed from a refinery or terminal. 

325G.25 CONTRACT REGULATION.Subd. 1a.Alternative cancellation notice. 
In lieu of the notice of cancellation required by subdivision 1, the seller may provide notice in a manner which conforms to applicable federal law or regulation or section 325G.08 so long as the notice provides the information required by subdivision 1. 

332.3351 EXEMPTION FROM LICENSURE.
A collection agency shall be exempt from the licensing and registration requirements of this chapter if all of the following conditions are met: 

(1) the agency is located in another state that regulates and licenses collection agencies, but does not require a Minnesota collection agency to obtain a license to collect debts in the agency's state if the agency's collection activities are limited in the same manner; 

(2) the agency's collection activities are limited to collecting debts not incurred in this state from consumers located in this state; and 

(3) the agency's collection activities in Minnesota are conducted by means of interstate communications, including telephone, mail, electronic mail, or facsimile transmission. 

332.71 DEFINITIONS.Subd. 8.Harassment. 
"Harassment" has the meaning given in section 609.748.