1.1                          A bill for an act 
  1.2             relating to employment; making technical and 
  1.3             administrative changes in the department of employee 
  1.4             relations; modifying provisions governing state 
  1.5             employment; amending Minnesota Statutes 1996, sections 
  1.6             13.67; 15.059, subdivision 5; 15.53, subdivision 2; 
  1.7             43A.04, subdivision 1; 43A.07, subdivision 5; 43A.08, 
  1.8             subdivision 1; 43A.15, subdivision 3; 43A.27, 
  1.9             subdivision 3; 43A.30, subdivisions 4 and 5; and 
  1.10            43A.38, subdivision 6; Laws 1995, chapter 248, article 
  1.11            13, sections 2, subdivisions 2, 5, and 6; and 3, 
  1.12            subdivisions 1 and 2; proposing coding for new law in 
  1.13            Minnesota Statutes, chapters 15; and 43A; repealing 
  1.14            Minnesota Statutes 1996, section 43A.182; Laws 1995, 
  1.15            chapter 248, article 10, section 12. 
  1.16  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.17     Section 1.  Minnesota Statutes 1996, section 13.67, is 
  1.18  amended to read: 
  1.19     13.67 [EMPLOYEE RELATIONS DATA.] 
  1.20     The following data collected, created, or maintained by the 
  1.21  department of employee relations are classified as nonpublic 
  1.22  data pursuant to section 13.02, subdivision 9:  
  1.23     (a) The commissioner's plan prepared by the department, 
  1.24  pursuant to section 3.855, which governs the compensation and 
  1.25  terms and conditions of employment for employees not covered by 
  1.26  collective bargaining agreements until the plan is submitted to 
  1.27  the legislative commission on employee relations; 
  1.28     (b) Data pertaining to grievance or interest arbitration 
  1.29  that has not been presented to the arbitrator or other party 
  1.30  during the arbitration process; 
  2.1      (c) Notes and preliminary drafts of reports prepared during 
  2.2   personnel investigations and personnel management reviews of 
  2.3   state departments and agencies; 
  2.4      (d) The managerial plan prepared by the department pursuant 
  2.5   to section 43A.18 that governs the compensation and terms and 
  2.6   conditions of employment for employees in managerial positions, 
  2.7   as specified in section 43A.18, subdivision 3, until the plan is 
  2.8   submitted to the legislative commission on employee relations; 
  2.9   and 
  2.10     (e) Claims experience and all related information received 
  2.11  from carriers and claims administrators participating in either 
  2.12  the state group insurance plan, the Minnesota employee insurance 
  2.13  program, the state workers' compensation program, or the public 
  2.14  employees insurance program as defined in chapter 43A, and 
  2.15  survey information collected from employees and employers 
  2.16  participating in these plans and programs, except when the 
  2.17  department determines that release of the data will not be 
  2.18  detrimental to the plan or program. 
  2.19     Sec. 2.  Minnesota Statutes 1996, section 15.059, 
  2.20  subdivision 5, is amended to read: 
  2.21     Subd. 5.  [EXPIRATION DATE.] Unless a different date is 
  2.22  specified by law, the existence of each advisory council and 
  2.23  committee created before January 1, 1993, and governed by this 
  2.24  section shall terminate on June 30, 1993 1997.  An advisory 
  2.25  council or committee whose expiration is not governed by this 
  2.26  section does not terminate June 30, 1993 1997, unless specified 
  2.27  by other law.  An advisory council or committee created by law 
  2.28  and in existence after June 30, 1993 1997, expires on the date 
  2.29  specified in the law creating the group or on June 30, 1997 
  2.30  2001, whichever is sooner.  This expiration provision applies 
  2.31  whether or not the law creating the group provides that the 
  2.32  group is governed by this section. 
  2.33     Sec. 3.  Minnesota Statutes 1996, section 15.53, 
  2.34  subdivision 2, is amended to read: 
  2.35     Subd. 2.  [PERIOD OF ASSIGNMENT.] The period of individual 
  2.36  assignment or detail under an interchange program shall not 
  3.1   exceed 24 months, nor shall any person be assigned or detailed 
  3.2   for more than 24 months during any 36-month period, except when 
  3.3   the assignment or detail is made to coincide with an 
  3.4   unclassified appointment under section 15.06.  However, the head 
  3.5   of an agency may extend the period of assignment for not more 
  3.6   than two additional years.  Details relating to any matter 
  3.7   covered in sections 15.51 to 15.57 may be the subject of an 
  3.8   agreement between the sending and receiving agencies.  Elected 
  3.9   officials shall not be assigned from a sending agency nor 
  3.10  detailed to a receiving agency. 
  3.11     Sec. 4.  [15.094] [COMMISSIONER'S APPROVAL REQUIRED.] 
  3.12     No person may be employed or consultant retained by an 
  3.13  entity created under section 15.0593 without written approval of 
  3.14  the commissioner of the department of employee relations. 
  3.15     Sec. 5.  Minnesota Statutes 1996, section 43A.04, 
  3.16  subdivision 1, is amended to read: 
  3.17     Subdivision 1.  [STATEWIDE LEADERSHIP.] (a) The 
  3.18  commissioner is the chief personnel and labor relations manager 
  3.19  of the civil service in the executive branch.  
  3.20     Whenever any power or responsibility is given to the 
  3.21  commissioner by any provision of Laws 1981, chapter 210, unless 
  3.22  otherwise expressly provided, the power or authority applies to 
  3.23  all employees of agencies in the executive branch and to 
  3.24  employees in classified positions in the office of the 
  3.25  legislative auditor, the Minnesota state retirement system, the 
  3.26  public employees retirement association, and the teacher's 
  3.27  retirement association.  Unless otherwise provided by law, the 
  3.28  power or authority does not apply to unclassified employees in 
  3.29  the legislative and judicial branches.  
  3.30     (b) The commissioner shall operate an information system 
  3.31  from which personnel data, as defined in section 13.43, 
  3.32  concerning employees and applicants for positions in the 
  3.33  classified service can be retrieved.  
  3.34     The commissioner has access to all public and private 
  3.35  personnel data kept by appointing authorities that will aid in 
  3.36  the discharge of the commissioner's duties.  
  4.1      (c) The commissioner may consider and investigate any 
  4.2   matters concerned with the administration of provisions of Laws 
  4.3   1981, chapter 210, and may order any remedial actions consistent 
  4.4   with law.  The commissioner, at the request of an agency, shall 
  4.5   provide assistance in employee misconduct investigations.  The 
  4.6   commissioner shall have the right to assess from the requesting 
  4.7   agency, any costs incurred while assisting the agency in the 
  4.8   employee misconduct investigation. 
  4.9      (d) The commissioner has sole authority to settle state 
  4.10  employee workers' compensation claims. 
  4.11     (e) The commissioner may assess or establish and collect 
  4.12  premiums from all state entities to cover the costs of programs 
  4.13  under sections 15.46 and 176.603. 
  4.14     Sec. 6.  [43A.044] [HAZARD IDENTIFICATION AND ACCIDENT 
  4.15  PREVENTION.] 
  4.16     (a) The commissioner of the department of employee 
  4.17  relations must operate a program of occupational hazard 
  4.18  identification and accident prevention for state agencies and 
  4.19  state employees, and shall provide the staff, equipment, and 
  4.20  facilities needed for the program.  The program must be offered 
  4.21  to all state agencies through the agency safety contact or other 
  4.22  designee; is consultative in nature; and must assist state 
  4.23  agencies with the goal of providing a safe work environment, 
  4.24  safe work methods, and hazard identification. 
  4.25     (b) The commissioner must cooperate with the department of 
  4.26  labor and industry, department of health, and department of 
  4.27  administration as well as other private and public community 
  4.28  agencies to assist in the objective of hazard identification and 
  4.29  accident prevention. 
  4.30     Sec. 7.  Minnesota Statutes 1996, section 43A.07, 
  4.31  subdivision 5, is amended to read: 
  4.32     Subd. 5.  [LEAVES TO ACCEPT UNCLASSIFIED APPOINTMENTS.] An 
  4.33  employee who is may be granted a leave of absence from a 
  4.34  position in the classified service to accept a position in the 
  4.35  unclassified service shall retain an inactive classified service 
  4.36  status.  Upon request, during the unclassified appointment or 
  5.1   within 60 days of the end of the unclassified appointment, the 
  5.2   employee shall be reappointed in the agency from which the 
  5.3   employee was granted the leave, to a classified position 
  5.4   comparable to that held immediately prior to being appointed to 
  5.5   the unclassified position.  
  5.6      Sec. 8.  Minnesota Statutes 1996, section 43A.08, 
  5.7   subdivision 1, is amended to read: 
  5.8      Subdivision 1.  [UNCLASSIFIED POSITIONS.] Unclassified 
  5.9   positions are held by employees who are: 
  5.10     (1) chosen by election or appointed to fill an elective 
  5.11  office; 
  5.12     (2) heads of agencies required by law to be appointed by 
  5.13  the governor or other elective officers, and the executive or 
  5.14  administrative heads of departments, bureaus, divisions, and 
  5.15  institutions specifically established by law in the unclassified 
  5.16  service; 
  5.17     (3) deputy and assistant agency heads and one confidential 
  5.18  secretary in the agencies listed in subdivision 1a and in the 
  5.19  office of strategic and long-range planning; 
  5.20     (4) the confidential secretary to each of the elective 
  5.21  officers of this state and, for the secretary of state, state 
  5.22  auditor, and state treasurer, an additional deputy, clerk, or 
  5.23  employee; 
  5.24     (5) intermittent help employed by the commissioner of 
  5.25  public safety to assist in the issuance of vehicle licenses; 
  5.26     (6) employees in the offices of the governor and of the 
  5.27  lieutenant governor and one confidential employee for the 
  5.28  governor in the office of the adjutant general; 
  5.29     (7) employees of the Washington, D.C., office of the state 
  5.30  of Minnesota; 
  5.31     (8) employees of the legislature and of legislative 
  5.32  committees or commissions; provided that employees of the 
  5.33  legislative audit commission, except for the legislative 
  5.34  auditor, the deputy legislative auditors, and their confidential 
  5.35  secretaries, shall be employees in the classified service; 
  5.36     (9) presidents, vice-presidents, deans, other managers and 
  6.1   professionals in academic and academic support programs, 
  6.2   administrative or service faculty, teachers, research 
  6.3   assistants, and student employees eligible under terms of the 
  6.4   federal economic opportunity act work study program in the 
  6.5   school and resource center for the arts, state universities and 
  6.6   community colleges, and the board of trustees of the Minnesota 
  6.7   state colleges and universities, but not the custodial, 
  6.8   clerical, or maintenance employees, or any professional or 
  6.9   managerial employee performing duties in connection with the 
  6.10  business administration of these institutions; 
  6.11     (10) officers and enlisted persons in the national guard; 
  6.12     (11) attorneys, legal assistants, and three confidential 
  6.13  employees appointed by the attorney general or employed with the 
  6.14  attorney general's authorization; 
  6.15     (12) judges and all employees of the judicial branch, 
  6.16  referees, receivers, jurors, and notaries public, except 
  6.17  referees and adjusters employed by the department of labor and 
  6.18  industry; 
  6.19     (13) members of the state patrol; provided that selection 
  6.20  and appointment of state patrol troopers must be made in 
  6.21  accordance with applicable laws governing the classified 
  6.22  service; 
  6.23     (14) chaplains employed by the state; 
  6.24     (15) examination monitors and intermittent training 
  6.25  instructors employed by the departments of employee relations 
  6.26  and commerce and by professional examining boards and 
  6.27  intermittent staff employed by the technical colleges for the 
  6.28  administration of practical skills tests and for the staging of 
  6.29  instructional demonstrations; 
  6.30     (16) student workers; 
  6.31     (17) executive directors or executive secretaries appointed 
  6.32  by and reporting to any policy-making board or commission 
  6.33  established by statute; 
  6.34     (18) employees unclassified pursuant to other statutory 
  6.35  authority; 
  6.36     (19) intermittent help employed by the commissioner of 
  7.1   agriculture to perform duties relating to pesticides, 
  7.2   fertilizer, and seed regulation; and 
  7.3      (20) the administrators and the deputy administrators at 
  7.4   the state academies for the deaf and the blind; and 
  7.5      (21) medical specialists and other physicians. 
  7.6      Sec. 9.  Minnesota Statutes 1996, section 43A.15, 
  7.7   subdivision 3, is amended to read: 
  7.8      Subd. 3.  [TEMPORARY APPOINTMENTS.] The commissioner may 
  7.9   authorize an appointing authority to make a temporary 
  7.10  appointment of up to six months.  The commissioner may, in the 
  7.11  best interest of the state, grant an extension of a temporary 
  7.12  appointment or approve a temporary appointment to fill a vacancy 
  7.13  created by an approved leave of absence to a maximum period of 
  7.14  one year.  When practicable, the commissioner may certify any 
  7.15  qualified eligible from an eligible list for the temporary 
  7.16  appointment, but may authorize the appointment of any person 
  7.17  deemed qualified by the appointing authority.  
  7.18     No person shall be employed on a temporary basis in any one 
  7.19  agency for more than 12 months in any 24-month period except for 
  7.20  persons appointed by a department of human services facility to 
  7.21  temporarily perform the duties of a permanent position which is 
  7.22  being held vacant until a permanent employee facing job loss due 
  7.23  to downsizing and closure becomes available.  
  7.24     Sec. 10.  Minnesota Statutes 1996, section 43A.27, 
  7.25  subdivision 3, is amended to read: 
  7.26     Subd. 3.  [RETIRED EMPLOYEES.] A person who is: 
  7.27     (1) a retired employee of the state or an organization 
  7.28  listed in subdivision 2 or section 43A.24, subdivision 2, who 
  7.29  receives, at separation of service: 
  7.30     (i) is immediately eligible to receive an annuity under a 
  7.31  state retirement program sponsored by the state or such 
  7.32  organization of the state and immediately meets the age and 
  7.33  service requirements in section 352.115, subdivision 1; and 
  7.34     (ii) has five years of service or meets the service 
  7.35  requirement of the collective bargaining agreement or plan, 
  7.36  whichever is greater; or 
  8.1      (2) a retired employee of the state who is at least 50 
  8.2   years of age and has at least 15 years of state service may 
  8.3   elect to purchase at personal expense individual and dependent 
  8.4   hospital, medical, and dental coverages that are.  The 
  8.5   commissioner shall offer at least one plan which is actuarially 
  8.6   equivalent to those made available through collective bargaining 
  8.7   agreements or plans established pursuant to section 43A.18 to 
  8.8   employees in positions equivalent to that from which retired.  A 
  8.9   spouse of a deceased retired employee who received an annuity 
  8.10  under a state retirement program may purchase the coverage 
  8.11  listed in this subdivision if the spouse was a dependent under 
  8.12  the retired employee's coverage at the time of the employee's 
  8.13  death.  Coverages must be coordinated with relevant health 
  8.14  insurance benefits provided through the federally sponsored 
  8.15  Medicare program.  Until the retired employee reaches age 65, 
  8.16  the retired employee and dependents must be pooled in the same 
  8.17  group as active employees for purposes of establishing premiums 
  8.18  and coverage for hospital, medical, and dental insurance.  
  8.19  Coverage for retired employees and their dependents may not 
  8.20  discriminate on the basis of evidence of insurability or 
  8.21  preexisting conditions unless identical conditions are imposed 
  8.22  on active employees in the group that the employee left.  
  8.23  Appointing authorities shall provide notice to employees no 
  8.24  later than the effective date of their retirement of the right 
  8.25  to exercise the option provided in this subdivision.  The 
  8.26  retired employee must notify the commissioner or designee of the 
  8.27  commissioner within 30 days after the effective date of the 
  8.28  retirement of intent to exercise this option. 
  8.29     Sec. 11.  Minnesota Statutes 1996, section 43A.30, 
  8.30  subdivision 4, is amended to read: 
  8.31     Subd. 4.  [EMPLOYEE INSURANCE TRUST FUND.] The commissioner 
  8.32  of employee relations may direct that all or a part of the 
  8.33  amounts paid for life insurance, hospital, medical, and dental 
  8.34  benefits, and optional coverages authorized for eligible 
  8.35  employees and other eligible persons be deposited by the state 
  8.36  in an employee insurance trust fund in the state treasury, from 
  9.1   which the approved claims of eligibles are to be paid.  
  9.2   Investment income and investment losses attributable to the 
  9.3   investment of the fund shall be credited to the fund.  There is 
  9.4   appropriated from the fund to the commissioner amounts needed to 
  9.5   pay the approved claims of eligibles, related service charges, 
  9.6   insurance premiums, and refunds.  The commissioner shall not 
  9.7   market or self-insure life insurance or optional coverages.  The 
  9.8   commissioner may market and self-insure dental and optional 
  9.9   coverages.  Nothing in this subdivision precludes the 
  9.10  commissioner from determining plan design, providing 
  9.11  informational materials, or communicating with employees about 
  9.12  coverages. 
  9.13     Sec. 12.  Minnesota Statutes 1996, section 43A.30, 
  9.14  subdivision 5, is amended to read: 
  9.15     Subd. 5.  [ADMINISTRATION.] The commissioner of employee 
  9.16  relations may administer the employee insurance program.  The 
  9.17  commissioner may assess agencies, and employers of persons 
  9.18  eligible for state-paid insurance and benefits under section 
  9.19  43A.24, the cost of these administrative services and include it 
  9.20  in the amounts billed for life insurance, hospital, medical, and 
  9.21  dental benefits, and optional coverages authorized.  Receipts 
  9.22  from the assessments must be deposited in the state treasury and 
  9.23  credited to a special account in the employee insurance trust 
  9.24  fund and are appropriated to the commissioner to pay these 
  9.25  administrative costs. 
  9.26     Sec. 13.  Minnesota Statutes 1996, section 43A.38, 
  9.27  subdivision 6, is amended to read: 
  9.28     Subd. 6.  [DETERMINATION OF CONFLICTS OF INTEREST.] When an 
  9.29  employee believes the potential for a conflict of interest 
  9.30  exists, it is the employee's duty to avoid the situation.  A 
  9.31  conflict of interest shall be deemed to exist when a review of 
  9.32  the situation by the employee, the appointing authority or the 
  9.33  commissioner determines any one of the following conditions to 
  9.34  be present: 
  9.35     (a) the use for private gain or advantage of state time, 
  9.36  facilities, equipment or supplies or badge, uniform, prestige or 
 10.1   influence of state office or employment; 
 10.2      (b) receipt or acceptance by the employee of any money or 
 10.3   other thing of value from anyone other than the state for the 
 10.4   performance of an act which the employee would be required or 
 10.5   expected to perform in the regular course or hours of state 
 10.6   employment or as part of the duties as an employee; 
 10.7      (c) employment by a business which is subject to the direct 
 10.8   or indirect control, inspection, review, audit or enforcement by 
 10.9   the employee; 
 10.10     (d) the performance of an act in other than the employee's 
 10.11  official capacity which may later be subject directly or 
 10.12  indirectly to the control, inspection, review, audit or 
 10.13  enforcement by the employee; or 
 10.14     (e) if expenses are reimbursed to an employee by the 
 10.15  employer under circumstances of fraud or mistake, such expenses 
 10.16  may be deducted from wages earned by or due the employee.  
 10.17     Sec. 14.  Laws 1995, chapter 248, article 13, section 2, 
 10.18  subdivision 2, is amended to read: 
 10.19     Subd. 2.  [PILOT PROJECT.] During the biennium ending June 
 10.20  30, 1997 2001, the governor shall designate an executive agency 
 10.21  that will conduct a pilot civil service project.  The pilot 
 10.22  program must adhere to the policies expressed in subdivision 1 
 10.23  and in Minnesota Statutes, section 43A.01.  For the purposes of 
 10.24  conducting the pilot project, the commissioner of the designated 
 10.25  agency is exempt from the provisions that relate to employment 
 10.26  in Minnesota Statutes, chapter 43A, Minnesota Rules, chapter 
 10.27  3900, and administrative procedures and policies of the 
 10.28  department of employee relations.  If a proposed exemption from 
 10.29  the provisions that relate to employment in Minnesota Statutes, 
 10.30  chapter 43A, Minnesota Rules, chapter 3900, and administrative 
 10.31  procedures and policies of the department of employee relations 
 10.32  would violate the terms of a collective bargaining agreement 
 10.33  effective under Minnesota Statutes, chapter 179A, the exemption 
 10.34  is not effective without the consent of the exclusive 
 10.35  representative that is a party to the agreement.  Upon request 
 10.36  of the commissioner carrying out the pilot project, the 
 11.1   commissioner of employee relations shall provide technical 
 11.2   assistance in support of the pilot project.  This section does 
 11.3   not exempt an agency from compliance with Minnesota Statutes, 
 11.4   sections 43A.19 and 43A.191, or from rules adopted to implement 
 11.5   those sections. 
 11.6      Sec. 15.  Laws 1995, chapter 248, article 13, section 2, 
 11.7   subdivision 5, is amended to read: 
 11.8      Subd. 5.  [PILOT PROJECT.] During the biennium ending June 
 11.9   30, 1997, the human resources innovation committee established 
 11.10  under Laws 1993, chapter 301, section 1, subdivision 6, 1999, 
 11.11  the department of employee relations in conjunction with union 
 11.12  representatives shall designate state job classifications to be 
 11.13  included in a one or more pilot project projects through June 
 11.14  30, 1998.  Under this pilot project:  (1) resumes of applicants 
 11.15  for positions to be filled through a competitive open this 
 11.16  process will be evaluated through an objective computerized 
 11.17  system that will identify which applicants have the required 
 11.18  skills; and (2)  information on applicants determined to have 
 11.19  required skills will be forwarded to the agency seeking to fill 
 11.20  a vacancy, without ranking these applicants, and without a limit 
 11.21  on the number of applicants that may be forwarded to the hiring 
 11.22  agency.  Laws or rules that govern examination, ranking of 
 11.23  eligibles, and certification of eligibles for competitive open 
 11.24  positions do not apply to those job classifications included in 
 11.25  the pilot project.  This process is in lieu of the procedures 
 11.26  provided in Minnesota Statutes, sections 43A.10 to 43A.13, and 
 11.27  related rules and procedures adopted under Minnesota Statutes, 
 11.28  section 43A.04, subdivision 4, except that applicants who are 
 11.29  being referred and who qualify for veterans preference under 
 11.30  Minnesota Statutes, section 43A.11, will be placed ahead of 
 11.31  referrals who meet the required skills of the vacant position 
 11.32  and who do not qualify for veterans preference.  Before 
 11.33  designating a job classification under this subdivision, 
 11.34  the committee department must assure that the hiring process for 
 11.35  those job classifications complies with the policies in 
 11.36  subdivision 1.  
 12.1      Sec. 16.  Laws 1995, chapter 248, article 13, section 2, 
 12.2   subdivision 6, is amended to read: 
 12.3      Subd. 6.  [EVALUATION.] The commissioner of employee 
 12.4   relations, in consultation with the human resources innovation 
 12.5   committee union representatives, shall design and implement a 
 12.6   system for evaluating the success of the pilot project in 
 12.7   subdivision 5.  By October 1, 1996 1997, and October 1, 1997 
 12.8   1998, the commissioner must report to the legislature on the 
 12.9   pilot project.  The report must:  
 12.10     (1) list job classifications subject to the each pilot 
 12.11  project, and the number of positions filled under in these job 
 12.12  classes under the pilot; 
 12.13     (2) evaluate the extent to which the project has been 
 12.14  successful in maintaining a merit-based system in the absence of 
 12.15  traditional civil service laws and rules; 
 12.16     (3) quantify time and money saved in the hiring process 
 12.17  under the these pilot project projects, as compared to hiring 
 12.18  under the traditional laws and rules; 
 12.19     (4) document the extent of complaints or problems arising 
 12.20  under the new system; and 
 12.21     (5) recommend any changes in laws or rules needed to make 
 12.22  permanent the successes of the pilot project projects. 
 12.23     Sec. 17.  Laws 1995, chapter 248, article 13, section 3, 
 12.24  subdivision 1, is amended to read: 
 12.25     Subdivision 1.  [FINDINGS.] The legislature recognizes 
 12.26  state employees as crucial resources in providing effective and 
 12.27  efficient government services to the people of Minnesota.  The 
 12.28  legislature believes that state employees should benefit from 
 12.29  successful efforts they make to improve government efficiency 
 12.30  and effectiveness.  Efforts to improve government efficiency and 
 12.31  effectiveness include, but are not limited to, reductions in 
 12.32  unnecessary paperwork, repeal of unnecessary state mandates and 
 12.33  reports, federal, and local regulations, and reductions in 
 12.34  unnecessary staff.  
 12.35     Sec. 18.  Laws 1995, chapter 248, article 13, section 3, 
 12.36  subdivision 2, is amended to read: 
 13.1      Subd. 2.  [PILOT PROJECT.] During the biennium ending June 
 13.2   30, 1997, the department of employee relations must implement a 
 13.3   system of incentives including economic incentives for 
 13.4   unrepresented employees for or groups of unrepresented employees 
 13.5   in the department.  The system must be approved by the 
 13.6   commissioner of finance before being implemented.  The system 
 13.7   must have the following characteristics: 
 13.8      (1) it must provide nonmanagerial unrepresented employees 
 13.9   or groups of employees within the agency the possibility of 
 13.10  earning economic rewards by suggesting changes in operation of 
 13.11  the department's programs; 
 13.12     (2) it must provide nonmanagerial represented employees 
 13.13  within the agency the possibility of receiving individual or 
 13.14  group economic rewards, if provided in a collective bargaining 
 13.15  agreement, for suggesting changes in the operation of the 
 13.16  department's programs; 
 13.17     (3) it must provide groups of nonmanagerial represented 
 13.18  employees within the agency the possibility of receiving group 
 13.19  rewards in the form of training opportunities, filling of 
 13.20  unfilled employee complement, or other resources that benefit 
 13.21  overall group performance; 
 13.22     (4) any economic awards must be based on changes in 
 13.23  operations suggested by nonmanagerial employees or groups of 
 13.24  employees that result in objectively measurable cost savings of 
 13.25  at least $25,000 or significant and objectively measurable 
 13.26  efficiencies in services that the agency provides to its 
 13.27  customers or clients, without decreasing the quality of these 
 13.28  services; 
 13.29     (5) awards must be a minimum of $500 up to a maximum of 
 13.30  $2,500 per year to unrepresented nonmanagerial employees or 
 13.31  groups of employees who were instrumental in identifying and or 
 13.32  implementing the efficiency and cost-saving measures; 
 13.33     (6) an "efficiency savings account" must be created within 
 13.34  each fund that is used to provide money for department 
 13.35  services.  Each account consists of money saved directly as a 
 13.36  result of initiatives under this section.  Any awards under this 
 14.1   article must be paid from money in an efficiency savings 
 14.2   account.  One-half of the money in the account may be used for 
 14.3   awards under this section, and the remainder must be returned to 
 14.4   the fund from which the money was appropriated; 
 14.5      (7) no award shall be given except upon approval of a team 
 14.6   comprised of equal numbers of management and nonmanagement 
 14.7   employees selected by the commissioner of employee relations 
 14.8   from state employees outside of the department; and 
 14.9      (8) the economic awards granted to unrepresented employees 
 14.10  must be one-time awards in the form of a lump sum award, and 
 14.11  must not add to the base salary of employees. 
 14.12     Sec. 19.  [AMERICANS WITH DISABILITIES ACT COORDINATOR.] 
 14.13     The commissioner shall designate a state ADA coordinator 
 14.14  who will have primary responsibility for providing training and 
 14.15  technical assistance to agencies on the provisions of titles I 
 14.16  and II of the Americans with Disability Act, Public Law Number 
 14.17  101-336, and Minnesota Statutes, chapter 363.  The ADA 
 14.18  coordinator will establish monitoring procedures and reports of 
 14.19  progress to the governor's office on no less than a biennial 
 14.20  basis. 
 14.21     The ADA coordinator will work with the state director of 
 14.22  equal employment opportunity on the establishment of affirmative 
 14.23  action goals for persons with disabilities in accordance with 
 14.24  Minnesota Statutes, section 43A.19, subdivision 1, paragraph 
 14.25  (b), and the review and approval of agency affirmative action 
 14.26  plans consistent with Minnesota Statutes, sections 43A.04, 
 14.27  subdivision 3, and 43A.191, subdivision 1. 
 14.28     Sec. 20.  [REPEALER.] 
 14.29     Minnesota Statutes 1996, section 43A.182, and Laws 1995, 
 14.30  chapter 248, article 10, section 12, are repealed.