STATE OF MINNESOTA
EIGHTY-THIRD SESSION - 2003
_____________________
FORTY-SEVENTH DAY
Saint Paul, Minnesota, Thursday, May 1, 2003
The House of Representatives convened at 10:00 a.m. and was
called to order by Ron Abrams, Speaker pro tempore.
Prayer was offered by Chuck Knapp, Morning Host of KTIS FM, St.
Paul and Minneapolis.
The members of the House gave the pledge of allegiance to the
flag of the United States of America.
The roll was called and the following members were present:
Abeler
Abrams
Adolphson
Anderson, B.
Anderson, I.
Anderson, J.
Atkins
Beard
Bernardy
Biernat
Blaine
Borrell
Boudreau
Bradley
Brod
Buesgens
Carlson
Clark
Cornish
Cox
Davids
Davnie
DeLaForest
Demmer
Dempsey
Dill
Dorman
Dorn
Eastlund
Eken
Ellison
Entenza
Erhardt
Erickson
Finstad
Fuller
Gerlach
Goodwin
Greiling
Gunther
Haas
Hackbarth
Harder
Hausman
Heidgerken
Hilstrom
Hilty
Holberg
Hoppe
Hornstein
Howes
Huntley
Jacobson
Jaros
Johnson, J.
Johnson, S.
Juhnke
Kahn
Kelliher
Kielkucki
Klinzing
Knoblach
Koenen
Kohls
Krinkie
Kuisle
Lanning
Larson
Latz
Lenczewski
Lesch
Lieder
Lindgren
Lindner
Lipman
Magnus
Mahoney
Mariani
Marquart
McNamara
Mullery
Murphy
Nelson, C.
Nelson, M.
Nelson, P.
Nornes
Olsen, S.
Olson, M.
Opatz
Osterman
Otremba
Otto
Ozment
Paulsen
Paymar
Pelowski
Penas
Peterson
Powell
Pugh
Rhodes
Rukavina
Ruth
Samuelson
Seagren
Seifert
Sertich
Severson
Sieben
Simpson
Slawik
Smith
Soderstrom
Solberg
Stang
Strachan
Swenson
Sykora
Thao
Thissen
Tingelstad
Urdahl
Vandeveer
Wagenius
Walker
Walz
Wardlow
Wasiluk
Westerberg
Westrom
Wilkin
Zellers
Spk. Sviggum
A quorum was present.
Meslow was excused.
The Chief Clerk proceeded to read the Journal of the preceding
day. Olsen, S., moved that further
reading of the Journal be suspended and that the Journal be approved as corrected
by the Chief Clerk. The motion
prevailed.
REPORTS OF CHIEF CLERK
S. F. No. 1524 and H. F. No. 749,
which had been referred to the Chief Clerk for comparison, were examined and
found to be identical with certain exceptions.
SUSPENSION
OF RULES
Haas moved that the rules be so far suspended that
S. F. No. 1524 be substituted for H. F. No. 749
and that the House File be indefinitely postponed. The motion prevailed.
PETITIONS AND COMMUNICATIONS
The following communications were received:
STATE
OF MINNESOTA
OFFICE
OF THE GOVERNOR
SAINT
PAUL 55155
April
28, 2003
The Honorable Steve Sviggum
Speaker of the House of
Representatives
The State of Minnesota
Dear Speaker Sviggum:
It is my honor to inform you that I have received, approved,
signed, and deposited in the Office of the Secretary of State the following
House Files:
H. F. No. 536, relating to insurance; regulating
the joint underwriting association; modifying coverage; modifying the market
assistance responsibilities of the association.
H. F. No. 268, relating to peace officers;
authorizing the state fair police department to employ more part-time
peace officers.
Sincerely,
Tim
Pawlenty
Governor
STATE OF MINNESOTA
OFFICE
OF THE SECRETARY OF STATE
ST.
PAUL 55155
The Honorable Steve Sviggum
Speaker of the House of
Representatives
The Honorable James P.
Metzen
President of the Senate
I have the honor to inform you that the following enrolled Acts
of the 2003 Session of the State Legislature have been received from the Office
of the Governor and are deposited in the Office of the Secretary of State for
preservation, pursuant to the State Constitution, Article IV, Section 23:
S. F. No. |
H. F. No. |
Session Laws Chapter No. |
Time and Date Approved 2003 |
Date Filed 2003 |
536 21 12:45
p.m. April 28 April
28
578 22 12:50
p.m. April 28 April
28
268 23 12:55
p.m. April 28 April
28
Sincerely,
Mary
Kiffmeyer
Secretary
of State
REPORTS OF STANDING COMMITTEES
Paulsen from the Committee on Rules and Legislative Administration
to which was referred:
House Resolution No. 9, A House resolution recognizing May 1,
2003, as a Day of Prayer in Minnesota.
Reported the same back with the recommendation that the
resolution be adopted.
The report was adopted.
House Resolution No. 9 was reported to the House.
HOUSE
RESOLUTION NO. 9
A House resolution recognizing May 1, 2003, as a Day of Prayer
in Minnesota.
Whereas, the citizens of the state of Minnesota are a
diverse group of people, with nearly every nationality and a variety of
religious traditions being represented; and
Whereas, the history of our state is replete with
leaders who voluntarily called upon their God, whether the need was great or
small; and
Whereas, civic and national days of prayer have a long
and venerable history in our constitutional republic, dating back to the First
Continental Congress in 1775; and
Whereas, the Declaration of Independence, our first
statement as Americans of national purpose and identity, made "the laws of
Nature and of Nature's God" the foundation of our United States of America
and asserted that people have inalienable rights that are God-given; and
Whereas, in 1988, legislation setting aside the first
Thursday in May in each year as a National Day of Prayer was passed unanimously
by both houses of Congress and signed by President Ronald Reagan; and
Whereas, the National Day of Prayer is an opportunity
for Americans of all faiths to join in united prayer to acknowledge our
dependence on God, to give thanks for blessings received, to request healing
for wounds endured, and to ask God to guide our leaders, bless our troops, and
bring wholeness to the United States and its citizens; and
Whereas, May 1, 2003, marks the fifty-second consecutive
observance of the National Day of Prayer in cities and towns throughout the
United States; and
Whereas, this year it is fitting that we pray especially
for American armed services members serving in Iraq or supporting those who
serve there; and
Whereas, the citizens of Minnesota should gather
together on this day in their homes, churches, meeting places, and chosen
places of worship to pray in their own way for unity of the hearts of all
humankind and for strong moral character in the lives of the people of all
nations, as well as peace and understanding throughout the world; Now,
Therefore,
Be It Resolved by the House of Representatives of the
State of Minnesota that it recognizes May 1, 2003, as a Day of Prayer in the
state of Minnesota and commends this observance to all citizens.
Be It Further Resolved that the Chief Clerk of the House
of Representatives is directed to prepare an enrolled copy of this resolution,
to be authenticated by his signature and that of the Speaker, and transmit it
to the National Prayer Committee.
Boudreau moved that House Resolution No. 9 be now adopted. The motion prevailed and House Resolution
No. 9 was adopted.
CERTIFICATION
PURSUANT TO RULE 4.03
ON
FINANCE AND REVENUE BILLS
May 1,
2003
Edward A. Burdick
Chief Clerk of the House of
Representatives
The State of Minnesota
Dear Mr. Burdick:
House Rule 4.03 requires the Chair of the Committee on Ways and
Means to certify to the House of Representatives that the Committee has
reconciled any finance and revenue bills with the budget resolution and
targets.
Please accept this letter as certification that H. F. No.
749/S. F. No. 1524, State Government
Finance appropriations bill, and H. F. No. 437, Health and Human Services
appropriations bill, reconcile with the budget resolution and targets.
Sincerely,
Representative
Jim Knoblach
Chair,
House Ways and Means Committee
Paulsen moved that the House recess subject to the call of the
Chair. The motion prevailed.
RECESS
RECONVENED
The House reconvened and was called to order by the Speaker.
SECOND READING OF SENATE BILLS
S. F. No. 1524 was read for the second time.
SUSPENSION
OF RULES
Pursuant to Article IV, Section 19, of the Constitution of the
state of Minnesota, Paulsen moved that the rule therein be suspended and an
urgency be declared so that S. F. No. 1524 be given its third
reading and be placed upon its final passage.
The motion prevailed.
Paulsen moved that the Rules of the House be so far suspended
that S. F. No. 1524 be given its third reading and be placed
upon its final passage. The motion
prevailed.
S. F. No. 1524 was reported to the House.
Haas moved to amend S. F. No. 1524 as follows:
Delete everything after the enacting clause and insert the
following language of H. F. No. 749, the third engrossment:
"ARTICLE
1
APPROPRIATIONS
Section 1. [STATE
GOVERNMENT APPROPRIATIONS.]
The sums shown in the columns marked "APPROPRIATIONS"
are appropriated from the general fund, or another named fund, to the agencies
and for the purposes specified in this act, to be available for the fiscal
years indicated for each purpose. The
figures "2004" and "2005," where used in this act, mean
that the appropriation or appropriations listed under them are available for
the year ending June 30, 2004, or June 30, 2005, respectively. The term "first year" means the
fiscal year ending June 30, 2004, and the term "second year" means
the fiscal year ending June 30, 2005.
SUMMARY
BY FUND
2004
2005
TOTAL
General
$261,933,000 $258,258,000 $520,191,000
Health Care Access
1,782,000 1,782,000 3,564,000
State Government Special
Revenue
24,653,000 28,033,000 52,686,000
Environmental
520,000 436,000 956,000
Remediation
484,000 484,000 968,000
Solid Waste
672,000 672,000 1,344,000
Special Revenue
2,947,000 2,947,000 5,894,000
Highway User Tax
Distribution
2,097,000 2,097,000 4,194,000
Workers' Compensation
7,286,000 7,349,000 14,635,000
TOTAL
$301,702,000 $301,386,000 $603,088,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
Sec. 2. LEGISLATURE
Subdivision 1. Total
Appropriation
$56,426,000 $56,427,000
Summary by Fund
General 56,298,000 56,299,000
Health Care Access 128,000 128,000
The amounts that may be spent from this
appropriation for each program are specified in the following subdivisions.
Subd. 2. Senate
19,107,000 19,107,000
Subd. 3. House of
Representatives
26,135,000 26,136,000
Subd. 4. Limit on
Expenses
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
Notwithstanding any law to the contrary, during the
biennium ending June 30, 2005:
(1) the house of representatives and the senate may
not pay per diem living expenses to a member in an amount more than $56; and
(2) the house of representatives and the senate may
not reimburse a member for monthly housing expenses incurred for more than six
months in a calendar year.
Subd. 5. Legislative
Coordinating Commission
11,184,000 11,184,000
Summary by Fund
General 11,056,000 11,056,000
Health Care Access 128,000 128,000
During the biennium ending June 30, 2005, the
legislative coordinating commission, the office of the legislative auditor, and
the office of the revisor of statutes are not subject to the limitations in
uses of funds provided under Minnesota Statutes, section 16A.281.
During the biennium ending June 30, 2005, a
legislative commission or subcommittee of the legislative coordinating
commission may by resolution adopt per diem payments for members attending
commission meetings that are less than the payments permitted by rules of the
house of representatives and the senate.
Sec. 3. GOVERNOR AND
LIEUTENANT GOVERNOR
3,586,000 3,586,000
This appropriation is to fund the office of the
governor and lieutenant governor.
$19,000 the first year and $19,000 the second year
are for necessary expenses in the normal performance of the governor's and
lieutenant governor's duties for which no other reimbursement is provided.
Sec. 4. ATTORNEY
GENERAL
21,816,000 21,795,000
Summary by Fund
General 20,059,000 20,059,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
State Government
Special Revenue
1,612,000
1,591,000
Environmental 145,000 145,000
Remediation 484,000 484,000
Sec. 5. STATE AUDITOR
8,376,000 8,376,000
Sec. 6. SECRETARY OF
STATE
5,912,000 6,032,000
Sec. 7. CAMPAIGN
FINANCE AND PUBLIC DISCLOSURE BOARD
712,000 712,000
Sec. 8. INVESTMENT
BOARD
2,167,000 2,167,000
Sec. 9. ADMINISTRATIVE
HEARINGS
7,186,000 7,249,000
This appropriation is from the workers'
compensation fund.
Fee rates charged during fiscal years 2004
and 2005 by the Administrative Law Division of the Office of Administrative
Hearings must be reduced by ten percent from fiscal year 2003 levels.
Sec. 10. OFFICE OF
STRATEGIC AND LONG-RANGE PLANNING
3,264,00 3,264,000
$100,000 the first year and $100,000 the
second year are for a grant to the Northern Counties Land Use Coordinating
Board for purposes of the pilot project established in Laws 2002, chapter 373,
section 33. The pilot project is
extended until June 30, 2005.
Sec. 11. ADMINISTRATION
Subdivision 1. Total
Appropriation
44,553,000 47,454,000
Summary
by Fund
General 21,912,000 21,412,000
State Government
Special Revenue
22,641,000
26,042,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
The amounts that may be spent from this
appropriation for each program are specified in the following subdivisions.
Subd. 2. Operations
Management
2,669,000
2,669,000
Subd. 3. Office of
Technology
2,479,000
2,479,000
Subd. 4.
Intertechnologies Group
22,641,000
26,042,000
This appropriation is from the state government
special revenue fund for recurring costs of 911 emergency telephone service.
Subd. 5. Facilities
Management
11,803,000
11,303,000
$7,888,000 the first year and $7,888,000 the second
year are for office space costs of the legislature and veterans organizations,
for ceremonial space, and for statutorily free space.
$500,000 the first year is for onetime funding of
agency relocation expenses.
$262,000 the first year and $262,000 the second year
are for administration of the Capitol Area Architectural and Planning Board.
$1,225,000 in the first year and $1,225,000 in the
second year of the balance in the facility repair and replacement account in
the state government special revenue fund is canceled to the general fund. This amount is in addition to amounts
transferred under Minnesota Statutes, section 16B.24, subdivision 5.
Subd. 6. Management
Services
2,830,000
2,830,000
$196,000 the first year and $196,000 the second year
are for the office of the state archaeologist.
$74,000 the first year and $74,000 the second year
are for the developmental disabilities council.
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
Subd. 7. Public
Broadcasting
2,131,000
2,131,000
$1,378,000 the first year and $1,378,000 the
second year are for public television.
$423,000 the first year and $423,000 the
second year are for grants and contracts with the senate and house of
representatives for public information television, Internet, Intranet, and
other transmission of legislative activities.
At least one-half must go for programming to be broadcast and
transmitted to rural Minnesota.
$17,000 the first year and $17,000 the second
year are for grants to the Twin Cities regional cable channel.
$313,000 the first year and $313,000 the
second year are for grants to public educational radio stations affiliated with
the Association of Minnesota Public Educational Radio Stations.
Sec. 12. FINANCE
Subdivision 1. Total
Appropriation
15,216,000 15,216,000
The amounts that may be spent from this
appropriation for each program are specified in the following subdivisions.
Subd. 2. State
Financial Management
8,711,000 8,711,000
Subd. 3. Information
and Management Services
6,505,000
6,505,000
Sec. 13. EMPLOYEE
RELATIONS
Subdivision 1. Total
Appropriation
6,118,000 6,118,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
The amounts that may be spent from this
appropriation for each program are specified in the following subdivisions.
Subd. 2. Employee
Insurance
63,000
63,000
Subd. 3. Human
Resources Management
6,055,000
6,055,000
Sec. 14. REVENUE
Subdivision 1. Total
Appropriation
90,942,000 92,658,000
Summary by Fund
General 86,816,000 88,616,000
Health Care
Access 1,654,000 1,654,000
Highway User Tax
Distribution
2,097,000
2,097,000
Environmental 375,000 291,000
The amounts that may be spent from this appropriation
for each program are specified in the following subdivisions.
Subd. 2. Tax System
Management
77,038,000
78,254,000
Summary by Fund
General 72,912,000 74,212,000
Health Care Access 1,654,000 1,654,000
Highway User Tax
Distribution
2,097,000
2,097,000
Environmental 375,000 291,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
$938,000 the first year and $2,238,000 the
second year are for additional activities to identify and collect tax
liabilities from individuals and businesses that currently do not pay all taxes
owed. This initiative is expected to
result in new general fund revenues of $32,400,000 for the biennium ending June
30, 2005.
The department must report to the chairs of
the house ways and means and senate finance committees by March 1, 2004, and
January 15, 2005, on the following performance indicators:
(1) the number of corporations noncompliant
with the corporate tax system each year and the percentage and dollar amounts
of valid tax liabilities collected;
(2) the number of businesses noncompliant
with the sales and use tax system and the percentage and dollar amounts of the
valid tax liabilities collected; and
(3) the number of individual noncompliant
cases resolved and the percentage and dollar amounts of valid tax liabilities
collected.
The reports must also identify base level
expenditures and staff positions related to compliance and audit activities,
including baseline information as of January 1, 2002. The information must be provided at the budget activity level.
Subd. 3. Accounts
Receivable Management
13,904,000
14,404,000
$862,000 the first year and $1,362,000 the
second year are for additional activities to identify and collect tax liabilities
from individuals and businesses that currently do not pay all taxes owed.
Sec. 15. MILITARY
AFFAIRS
Subdivision 1. Total
Appropriation
12,279,000 12,279,000
The amounts that may be spent from this
appropriation for each program are specified in the following subdivisions.
Subd. 2. Maintenance of
Training Facilities
5,590,000
5,590,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
Subd. 3. General
Support
1,757,000
1,757,000
Subd. 4. Enlistment
Incentives
4,857,000
4,857,000
If appropriations for either year of the
biennium are insufficient, the appropriation from the other year is
available. The appropriations for
enlistment incentives are available until expended.
Subd. 5. Emergency
Services
75,000 75,000
These appropriations are for expenses of
military forces ordered to active duty under Minnesota Statutes, chapter
192. If the appropriation for either
year is insufficient, the appropriation for the other year is available for it.
Sec. 16. VETERANS
AFFAIRS
3,988,000 3,988,000
Sec. 17. VETERANS OF
FOREIGN WARS 55,000
55,000
For carrying out the provisions of Laws 1945,
chapter 455.
Sec. 18. MILITARY ORDER
OF THE PURPLE HEART
20,000 20,000
Sec. 19. DISABLED
AMERICAN VETERANS
13,000 13,000
For carrying out the provisions of Laws 1941,
chapter 425.
Sec. 20. GAMBLING
CONTROL
2,728,000 2,526,000
Summary by Fund
General 202,000 -0-
Special Revenue 2,526,000 2,526,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
The general fund appropriation in fiscal year
2004 is intended to assist with the transition to fee-based funding. The commissioner of finance must approve the
use of this onetime appropriation and may require that it be reimbursed to the
general fund if sufficient resources are available in the special revenue fund.
The special revenue fund appropriation is
made from the lawful gambling regulation account.
Sec. 21. RACING COMMISSION
525,000 421,000
Summary by Fund
General 104,000 -0-
Special Revenue 421,000 421,000
The general fund appropriation in fiscal year
2004 is intended to assist with the transition to fee-based funding. The commissioner of finance must approve the
use of this onetime appropriation and may require that it be reimbursed to the
general fund if sufficient resources are available in the special revenue fund.
The special revenue fund appropriation is
made from the racing and card playing regulation account.
Sec. 22. TORT CLAIMS
161,000 161,000
To be spent by the commissioner of finance.
If the appropriation for either year is
insufficient, the appropriation for the other year is available for it.
Sec. 23. MINNESOTA
STATE RETIREMENT SYSTEM
2,518,000 2,727,000
The amounts estimated to be needed for each
program are as follows:
(a) Legislators 2,150,000 2,300,000
(b) Constitutional Officers
368,000
427,000
APPROPRIATIONS
Available for the Year
Ending June 30
2004 2005
Sec.
24. MINNEAPOLIS EMPLOYEES
RETIREMENT FUND 6,632,000
6,632,000
Sec. 25. AMATEUR SPORTS
COMMISSION
525,000 525,000
The appropriations in this section may only be spent
up to the amount of offsetting fee revenue generated by the commission under
Minnesota Statutes, section 240A.03.
Sec. 26. GENERAL
CONTINGENT ACCOUNTS
5,500,000
500,000
Summary by Fund
General 5,000,000 -0-
State Government
Special Revenue
400,000
400,000
Workers'
Compensation
100,000
100,000
The appropriations in this section may only be spent
with the approval of the governor in accordance with the rules of the
legislative advisory commission pursuant to Minnesota Statutes, section 3.30.
If an appropriation in this section for either year
is insufficient, the appropriation for the other year is available for it.
Sec. 27. [GOVERNMENT
EFFICIENCIES.]
Subdivision 1.
[TELECOMMUNICATION DEVICES.] The commissioner of
administration, in consultation with heads of other executive agencies,
must issue policies to reduce telecommunication device usage and
expenditures by executive agencies other than the Minnesota state
colleges and universities.
Subd. 2.
[VEHICLES.] (a) The commissioner of administration, in
consultation with heads of other executive agencies, must issue policies
to reduce ownership and use of passenger vehicles and light duty trucks
by executive agencies other than the Minnesota state colleges and
universities.
(b) The commissioner may sell vehicles owned by the state
motor pool and may order the sale of passenger vehicles and light
duty trucks owned by other executive agencies other than the Minnesota
state colleges and universities. The
net proceeds of these sales must be deposited in the general fund,
unless provided otherwise by the commissioner of finance.
Subd. 3.
[TRANSFERS.] The commissioner of finance may authorize the
transfer to and deposit in the general fund of money saved under
subdivisions 1 and 2 from funds other than the general fund.
Subd. 4. [SAVINGS.] (a) It is anticipated that the
efficiencies and deposits under subdivisions 1 to 3 will result in
general fund savings or revenues of at least $10,000,000 during the
biennium ending June 30, 2005. General
fund savings and revenues that are achieved through actions taken under
section 28 may be applied to the savings requirements estimated to be
achieved under this section. The
commissioner of finance, in consultation with the commissioner of
administration, must reduce general fund appropriations to executive
agencies other than the Minnesota state colleges and universities by the
amount of savings estimated to be achieved under this section.
(b) If the commissioner of finance, in consultation with
the commissioner of administration, estimates that the efficiencies
and deposits achieved under this section will result in general fund
savings and revenues totaling less than $10,000,000 during the biennium
ending June 30, 2005, the commissioner of finance must report to the
legislature by January 15, 2004, with proposed allocations of the amount
of the difference as reductions to general fund operating budgets of
executive agencies other than the Minnesota state colleges and universities
for fiscal year 2005. The
commissioner must implement the proposed fiscal year 2005 executive
agency operating budget reductions unless the 2004 legislature enacts a
law providing otherwise.
Sec. 28. [PURCHASING
SAVINGS.]
Subdivision 1.
[POLICIES AND PROCEDURES.] The commissioner of administration,
in consultation with heads of other executive agencies, must implement
policies and procedures to reduce expenditures on purchases of goods and
services by executive agencies other than the Minnesota state colleges
and universities. These policies
and procedures may include increased use of reverse auctions and other
electronic purchasing initiatives and use of authority under Minnesota
Statutes, section 16E.09, to pay initial costs associated with certain
initiatives, and may include reductions in specified categories of
purchases.
Subd. 2.
[TRANSFERS.] The commissioner of finance may authorize the
transfer to and deposit in the general fund of money saved under
subdivision 1 from funds other than the general fund.
Subd. 3.
[SAVINGS.] (a) It is anticipated that actions taken under
subdivisions 1 and 2 will result in general fund savings or revenues of
at least $4,000,000 during the biennium ending June 30, 2005. General fund savings and revenues that are
achieved through actions taken under section 27 may be applied to the
savings requirements estimated to be achieved under this section. The commissioner of finance, in consultation
with the commissioner of administration, must reduce general fund
appropriations to executive agencies other than the Minnesota state
colleges and universities by the amount of savings estimated to be
achieved under this section.
(b) If the commissioner of finance, in consultation with
the commissioner of administration, estimates that the actions taken
under this section will result in general fund savings and revenues
totaling less than $4,000,000 during the biennium ending June 30, 2005,
the commissioner of finance must report to the legislature by January
15, 2004, with proposed allocations of the amount of the difference as
reductions to general fund operating budgets of executive agencies other
than the Minnesota state colleges and universities for fiscal year
2005. The commissioner must
implement the proposed fiscal year 2005 executive agency operating
budget reductions unless the 2004 legislature enacts a law providing
otherwise.
Sec. 29. [PROCUREMENT
EFFICIENCY REVOLVING LOAN FUND.]
$4,000,000 is appropriated as a loan from the general fund
in fiscal year 2004 to the commissioner of administration for purposes
of making investments related to achieving efficiencies in purchases of
state goods and services. This
appropriation is available only:
(1) to the extent the necessary funds are not available from the
technology enterprise fund created in Minnesota Statutes, section
16E.09; and (2) if the commissioners of finance and administration
determine that the loan can be repaid to the general fund before June
30, 2005, through savings in state purchases of goods and services, and
the reductions in general fund expenditures associated with these
savings as required by section 28.
Sec. 30. [INSURANCE.]
Subdivision 1.
[CONTRIBUTION LIMIT.] Total employer contributions for medical
and dental coverage for eligible state employees and dependents and for
constitutional officers, legislators, and dependents in each year of the
biennium ending June 30, 2005, shall not exceed the total amount
contributed by the state for that purpose in the fiscal year ending June
30, 2003. This section does not
apply to the Minnesota state colleges and universities.
Subd. 2.
[SAVINGS.] It is anticipated that entities in the executive,
legislative, and judicial branches of state government, not including
the Minnesota state colleges and universities, will realize general fund
operational savings of at least $46,240,000 during the biennium ending
June 30, 2005, as a result of the insurance contribution freeze in
subdivision 1. The commissioner
of finance must reduce general fund appropriations to executive,
legislative, and judicial entities, not including the Minnesota state
colleges and universities, for the biennium ending June 30, 2005, by a
proportional amount of the $46,240,000 general fund savings.
Sec. 31. [SALE OF STATE
LAND.]
Subdivision 1.
[STATE LAND SALES.] The commissioner of administration shall
coordinate with the head of each department or agency having control of
state-owned land to identify and sell at least $5,505,000 of state-owned
land. Sales should be completed
according to law and as provided in this section as soon as practicable
but no later than June 30, 2005. Notwithstanding Minnesota Statutes,
sections 94.09 and 94.10, or any other law to the contrary, the
commissioner may offer land for public sale by only providing notice of
lands or an offer of sale of lands to state departments or agencies, the
University of Minnesota, cities, counties, towns, school districts, or
other public entities.
Subd. 2.
[ANTICIPATED SAVINGS.] Notwithstanding Minnesota Statutes,
section 94.16, subdivision 3, or other law to the contrary, the amount
of the proceeds from the sale of land under this section that exceeds
the actual expenses of selling the land must be deposited in the general
fund, except as otherwise provided by the commissioner of finance. Notwithstanding Minnesota Statutes,
section 94.11, the commissioner of finance may establish the timing of
payments for land purchased under this section. If the total of all money deposited into the
general fund from the proceeds of the sale of land under this section
is anticipated to be less than $5,505,000, the governor must allocate
the amount of the difference as reductions to general fund operating
expenditures for other executive agencies for the biennium ending June
30, 2005.
Subd. 3. [STATE
LAND SALES FOR CONSIDERATION.] Based on the inventory of state-owned
land under Laws 2002, chapter 393, section 36, the commissioner of
administration with the cooperation of the responsible agency head may
consider the following for sale under this section:
(1) the BCA property at 1246 University Avenue in St. Paul
with a public use classification of "to be determined"; and
(2) other land identified as surplus in the inventory of
state-owned land.
Subd. 4. [SALE
OF STATE LANDS REVOLVING LOAN FUND.] $180,075 is appropriated from the
general fund in fiscal year 2004 to the commissioner of administration
for purposes of paying the actual expenses of selling state-owned lands
to achieve the anticipated savings required in this section. From the gross proceeds of land sales
under this section, the commissioner of administration must cancel the
amount of the appropriation in this subdivision to the general fund by
June 30, 2005.
Sec. 32. [SECRETARY OF STATE APPROPRIATION.]
$369,000 is appropriated in fiscal year 2003 from the general
fund to the secretary of state for payment of the attorney fees awarded
by court order in Zachman et al. vs. Kiffmeyer et al. This is a onetime appropriation and is not
added to the secretary of state's base budget.
Sec. 33. [REAL ESTATE
FILING SURCHARGE.]
All funds collected during the fiscal year ending June 30,
2004, and funds collected in the fiscal year ending June 30, 2003,
that carry forward into the fiscal year ending June 30, 2004, pursuant
to the additional 50 cent surcharges imposed by Laws 2001, First Special
Session chapter 10, article 2, section 77, and Laws 2002,
chapter 365, are appropriated to the legislative coordinating
commission for the real estate task force established by Laws 2000, chapter
391, for the purposes set forth in Laws 2001, First Special Session
chapter 10, article 2, sections 98 to 101. $25,000 from those funds are to be retained by the
legislative coordinating commission for the services described in Laws
2001, First Special Session chapter 10, article 2, section 99.
Sec. 34. [LOTTERY.]
The director of the state lottery shall implement an international
game and a new lotto game, or take other steps necessary to raise
general fund revenue during the biennium ending June 30, 2005, of at
least $5,880,000 more than the general fund revenue forecast in the
governor's budget proposal for the biennium ending June 30, 2005.
Sec. 35. [EFFECTIVE
DATE.]
Sections 26 and 32 are effective the day following final
enactment.
ARTICLE
2
STATE
GOVERNMENT OPERATIONS
Section 1. Minnesota
Statutes 2002, section 3.885, subdivision 1, is amended to read:
Subdivision 1.
[MEMBERSHIP.] The legislative commission on planning and fiscal policy
consists of 18 nine members of the senate appointed by the
subcommittee on committees of the committee on rules and administration
and nine members of the house of representatives appointed by the legislative
coordinating commission speaker.
Vacancies on the commission are filled in the same manner as original
appointments. The commission shall
elect a chair and a vice-chair from among its members. The chair alternates between a member of the
senate and a member of the house in January of each odd-numbered year.
Sec. 2. Minnesota Statutes
2002, section 3.971, subdivision 2, is amended to read:
Subd. 2. [STAFF;
COMPENSATION.] The legislative auditor shall establish a financial audits
division and a program evaluation division to fulfill the duties prescribed in
this section. Each division must
may be supervised by a deputy auditor, appointed by the legislative
auditor, with the approval of the commission, for a term coterminous with the
legislative auditor's term. The deputy
auditors may be removed before the expiration of their terms only for
cause. The legislative auditor and
deputy auditors may each appoint a confidential secretary to serve at
pleasure. The salaries and benefits of
the legislative auditor, deputy auditors and confidential secretaries shall be
determined by the compensation plan approved by the legislative coordinating
commission. The deputy auditors may
perform and exercise the powers, duties and responsibilities imposed by law on
the legislative auditor when authorized by the legislative auditor. The deputy auditors and the confidential
secretaries serve in the unclassified civil service, but all other employees of
the legislative auditor are in the classified civil service. While in office, a person appointed deputy for
the financial audit division must hold an active license as a certified public
accountant.
Sec. 3. [3A.115]
The amount necessary to fund the retirement allowance granted
under this chapter to a former legislator upon retirement is
appropriated from the general fund to the director to pay pension
obligations due to the retiree.
Retirement allowances payable to retired legislators and their
survivors under this chapter must be adjusted in the same manner, at the
same times, and in the same amounts as are benefits payable from the
Minnesota postretirement investment fund to retirees of a participating
public pension fund.
Sec. 4. Minnesota
Statutes 2002, section 6.48, is amended to read:
6.48 [EXAMINATION OF COUNTIES; COST, FEES.]
All the powers and duties conferred and imposed upon the state
auditor shall be exercised and performed by the state auditor in respect to the
offices, institutions, public property, and improvements of several counties of
the state. At least once in each year,
if funds and personnel permit, the state auditor shall may visit,
without previous notice, each county and make a thorough examination of all
accounts and records relating to the receipt and disbursement of the public
funds and the custody of the public funds and other property. If the audit is performed by a private
certified public accountant, the state auditor may require additional
information from the private certified public accountant as the state
auditor deems in the public interest.
The state auditor may accept the audit or make additional
examinations as the state auditor deems to be in the public interest. The state auditor shall prescribe and
install systems of accounts and financial reports that shall be uniform, so far
as practicable, for the same class of offices.
A copy of the report of such examination shall be filed and be subject
to public inspection in the office of the state auditor and another copy in the
office of the auditor of the county thus examined. The state auditor may accept the records and audit, or any part
thereof, of the department of human services in lieu of examination of the
county social welfare funds, if such audit has been made within any period
covered by the state auditor's audit of the other records of the county. If any such examination shall disclose malfeasance,
misfeasance, or nonfeasance in any office of such county, such report shall be
filed with the county attorney of the county, and the county attorney shall
institute such civil and criminal proceedings as the law and the protection of
the public interests shall require.
The county receiving such any examination shall
pay to the state general fund, notwithstanding the provisions of section
16A.125, the total cost and expenses of such examinations, including the
salaries paid to the examiners while actually engaged in making such
examination. The state auditor on
deeming it advisable may bill counties, having a population of 200,000 or over,
monthly for services rendered and the officials responsible for approving and
paying claims shall cause said bill to be promptly paid. The general fund shall be credited with all
collections made for any such examinations.
Sec. 5. Minnesota
Statutes 2002, section 6.49, is amended to read:
6.49 [CITIES OF FIRST CLASS.]
All powers and duties conferred and imposed upon the state
auditor with respect to state and county officers, institutions, property, and
improvements are hereby extended to cities of the first class. Copies of the written report of the state auditor
on the financial condition and accounts of such city shall be filed in the
state auditor's office, with the mayor, city council, and city comptroller
thereof, and with the city commissioners, if such city have such officers. If such report disclose malfeasance,
misfeasance, or nonfeasance in office, copies thereof shall be filed with the
city attorney thereof and with the county attorney of the county in which such
city is located, and these officials of the law shall institute such
proceedings, civil or criminal, as the law and the public interest require.
The state auditor may shall bill said cities
monthly for services rendered, including any examination, and the
officials responsible for approving and paying claims shall cause said bill to
be promptly paid.
Sec. 6. Minnesota
Statutes 2002, section 6.54, is amended to read:
6.54 [EXAMINATION OF COUNTY AND MUNICIPAL RECORDS
PURSUANT TO PETITION.]
The registered voters in a county or home rule charter
or statutory city or the electors at an annual or special town meeting of a town
may petition the state auditor to examine the books, records, accounts, and
affairs of the county, home rule charter or statutory city, town, or of
any organizational unit, activity, project, enterprise, or fund thereof; and
the scope of the examination may be limited by the petition, but the
examination shall cover, at least, all cash received and disbursed and the
transactions relating thereto, provided that the state auditor shall not
examine more than the six latest years preceding the circulation of the
petition, unless it appears to the state auditor during the examination that
the audit period should be extended to permit a full recovery under bonds
furnished by public officers or employees, and may if it appears to the auditor
in the public interest confine the period or the scope of audit or both period
and scope of audit, to less than that requested by the petition. In the case of a county or home rule
charter or statutory city, the petition shall be signed by a number of
registered voters at least equal to 20 percent of those voting in the last
presidential election. The eligible
voters of any school district may petition the state auditor, who shall be
subject to the same restrictions regarding the scope and period of audit,
provided that the petition shall be signed by at least ten eligible voters for
each 50 resident pupils in average daily membership during the preceding school
year as shown on the records in the office of the commissioner of children,
families, and learning. In the case of
school districts, the petition shall be signed by at least ten eligible
voters. At the time it is circulated,
every petition shall contain a statement that the cost of the audit will be
borne by the county, city, or school district as provided by
law. Thirty days before the petition is
delivered to the state auditor it shall be presented to the appropriate city or
school district clerk and the county auditor.
The county auditor shall determine and certify whether the petition is
signed by the required number of registered voters or eligible voters as the
case may be. The certificate shall be
conclusive evidence thereof in any action or proceeding for the recovery of the
costs, charges, and expenses of any examination made pursuant to the petition.
Sec. 7. Minnesota
Statutes 2002, section 6.55, is amended to read:
6.55 [EXAMINATION OF RECORDS PURSUANT TO RESOLUTION OF
GOVERNING BODY.]
The governing body of any city, town, county or school
district, by appropriate resolution may ask the state auditor to examine the
books, records, accounts and affairs of their government, or of any
organizational unit, activity, project, enterprise, or fund thereof; and the
state auditor shall examine the same upon receiving, pursuant to said
resolution, a written request signed by a majority of the members of the
governing body; and the governing body of any public utility commission, or of
any public corporation having a body politic and corporate, or of any
instrumentality joint or several of any city, town, county, or school district,
may request an audit of its books, records, accounts and affairs in the same
manner; provided that the scope of the examination may be limited by the
request, but such examination shall cover, at least, all cash received and disbursed
and the transactions relating thereto. Such written request shall be presented
to the clerk, or recording officer of such city, town, county, school district,
public utility commission, public corporation, or instrumentality, before being
presented to the state auditor, who shall determine whether the same is signed
by a majority of the members of such governing body and, if found to be so
signed, shall certify such fact, and the fact that such resolution was passed,
which certificate shall be conclusive evidence thereof in any action or
proceedings for the recovery of the costs, charges and expenses of any
examination made pursuant to such request.
Nothing contained in any of the laws of the state relating to the state
auditor, shall be so construed as to prevent any county, city, town,
or school district from employing a certified public accountant to examine its
books, records, accounts, and affairs.
For the purposes of this section, the governing body of a town is the
town board.
Sec. 8. Minnesota
Statutes 2002, section 6.64, is amended to read:
6.64 [COOPERATION WITH PUBLIC ACCOUNTANTS; PUBLIC ACCOUNTANT
DEFINED.]
There shall be mutual cooperation between the state auditor and
public accountants in the performance of auditing, accounting, and other
related services for counties, cities, towns, school districts, and
other public corporations. For the
purposes of sections 6.64 to 6.71 the term public accountant shall have the
meaning ascribed to it in section 412.222.
Sec. 9. Minnesota Statutes
2002, section 6.65, is amended to read:
6.65 [MINIMUM PROCEDURES FOR AUDITORS, PRESCRIBED.]
The state auditor shall prescribe minimum procedures and the
audit scope for auditing the books, records, accounts, and affairs of counties
and local governments in Minnesota.
The minimum scope for audits of all local governments must include
financial and legal compliance audits.
Audits of all school districts must include a determination of
compliance with uniform financial accounting and reporting standards. The state auditor shall promulgate an audit
guide for legal compliance audits, in consultation with representatives of the
state auditor, the attorney general, towns, cities, counties, school districts,
and private sector public accountants.
Sec. 10. Minnesota
Statutes 2002, section 6.66, is amended to read:
6.66 [CERTAIN PRACTICES OF PUBLIC ACCOUNTANTS AUTHORIZED.]
Any public accountant may engage in the practice of auditing
the books, records, accounts, and affairs of counties, cities, towns,
school districts, and other public corporations which are not otherwise
required by law to be audited exclusively by the state auditor.
Sec. 11. Minnesota
Statutes 2002, section 6.67, is amended to read:
6.67 [PUBLIC ACCOUNTANTS; REPORT OF EVIDENCE POINTING TO
MISCONDUCT.]
Whenever a public accountant in the course of auditing the
books and affairs of a county, city, town, school district, or other
public corporations, shall discover evidence pointing to nonfeasance,
misfeasance, or malfeasance, on the part of an officer or employee in the
conduct of duties and affairs, the public accountant shall promptly make a
report of such discovery to the state auditor and the county attorney of the
county in which the governmental unit is situated and the public accountant
shall also furnish a copy of the report of audit upon completion to said
officers. The county attorney shall act
on such report in the same manner as required by law for reports made to the
county attorney by the state auditor.
Sec. 12. Minnesota
Statutes 2002, section 6.68, subdivision 1, is amended to read:
Subdivision 1. [REQUEST
TO GOVERNING BODY.] If in an audit of a county, city, town, school
district, or other public corporation, a public accountant has need of the assistance
of the state auditor, the accountant may obtain such assistance by requesting
the governing body of the governmental unit being examined to request the state
auditor to perform such auditing or investigative services, or both, as the
matter and the public interest require.
Sec. 13. Minnesota
Statutes 2002, section 6.70, is amended to read:
6.70 [ACCESS TO REPORTS.]
The state auditor and the public accountants shall have
reasonable access to each other's audit reports, working papers, and audit
programs concerning audits made by each of counties, cities, towns,
school districts, and other public corporations.
Sec. 14. Minnesota
Statutes 2002, section 6.71, is amended to read:
6.71 [SCOPE OF AUDITOR'S INVESTIGATION.]
Whenever the governing body of a county, city, town, or
school district shall have requested a public accountant to make an audit of
its books and affairs, and such audit is in progress or has been completed, and
freeholders registered voters or electors petition or the
governing body requests or both the state auditor to make an examination
covering the same, or part of the same, period, the state auditor may, in the
public interest, limit the scope of the examination to less than that specified
in section 6.54, but the scope shall cover, at least, an investigation of those
complaints which are within the state auditor's powers and duties to
investigate.
Sec. 15. Minnesota
Statutes 2002, section 6.74, is amended to read:
6.74 [INFORMATION COLLECTED FROM LOCAL GOVERNMENTS.]
The state auditor, or a designated agent, shall collect
annually from all city, county, and other local units of government,
information as to the assessment of property, collection of taxes, receipts
from licenses and other sources, the expenditure of public funds for all
purposes, borrowing, debts, principal and interest payments on debts, and such
other information as may be needful.
The data shall be supplied upon blanks forms prescribed by
the state auditor, and all public officials so called upon shall fill out
properly and return promptly all blanks forms so
transmitted. The state auditor or
assistants, may examine local records in order to complete or verify the
information.
Sec. 16. [6.78] [BEST
PRACTICES REVIEWS.]
The state auditor shall conduct best practices reviews that
examine the procedures and practices used to deliver local government
services, determine the methods of local government service delivery,
identify variations in cost and effectiveness, and identify practices to
save money or provide more effective service delivery. The state auditor shall recommend to local
governments service delivery methods and practices to improve the
cost-effectiveness of services. The
state auditor shall determine the local government services to be
reviewed in consultation with representatives of the Association of Minnesota
Counties, the League of Minnesota Cities, the Association of
Metropolitan Municipalities, the Minnesota Association of Townships, the
Minnesota Municipal Utilities Association, and the Minnesota Association
of School Administrators.
[EFFECTIVE DATE.] This
section is effective July 1, 2004.
Sec. 17. [6.79]
[EQUITABLE COMPENSATION COMPLIANCE.]
The state auditor may adopt rules under the Administrative
Procedure Act to ensure compliance with sections 471.991 to 471.999.
Sec. 18. Minnesota
Statutes 2002, section 8.06, is amended to read:
8.06 [ATTORNEY FOR STATE OFFICERS, BOARDS, OR COMMISSIONS;
EMPLOY COUNSEL.]
The attorney general shall act as the attorney for all state
officers and all boards or commissions created by law in all matters pertaining
to their official duties. When
requested by the attorney general, it shall be the duty of any county attorney
of the state to appear within the county and act as attorney for any such
board, commission, or officer in any court of such county. The attorney general may, upon request in
writing, employ, and fix the compensation of, a special attorney for any such board,
commission, or officer when, in the attorney general's judgment, the public
welfare will be promoted thereby. Such
special attorney's fees or salary shall be paid from the appropriation made for
such board, commission, or officer.
Except as herein provided, no board, commission, or officer shall
hereafter employ any attorney at the expense of the state.
Whenever the attorney general, the governor, and or
the chief justice of the supreme court shall certify, in writing, filed in the
office of the secretary of state, that it is necessary, in the proper conduct
of the legal business of the state, either civil or criminal, that the state
employ additional counsel, the attorney general, the governor, or the chief
justice of the supreme court shall thereupon be authorized to employ
authorize the employment of such counsel and, with the governor and
the chief justice, fix the additional counsel's compensation. Except as herein stated, no additional
counsel shall be employed and the legal business of the state shall be
performed exclusively by the attorney general and the attorney general's
assistants.
Sec. 19. Minnesota
Statutes 2002, section 10A.02, is amended by adding a subdivision to read:
Subd. 15.
[DISPOSITION OF FEES.] The board must deposit all fees
collected under this chapter into the general fund in the state
treasury.
Sec. 20. Minnesota
Statutes 2002, section 10A.02, is amended by adding a subdivision to read:
Subd. 16.
[PROPOSED FEE CHANGES.] As part of its submission of its
biennial budget request, the board must propose changes to the fees
required in this chapter that will be sufficient to recover the direct
appropriation to the board. The
board must include in its recovery calculation seven percent of the
amounts designated by individuals for the state elections campaign fund
under section 10A.31, subdivision 4.
Sec. 21. Minnesota
Statutes 2002, section 10A.04, subdivision 2, is amended to read:
Subd. 2. [TIME OF
REPORTS.] Each report must cover the time from the last day of the period
covered by the last report to 15 days before the current filing date. The reports must be filed with the board by
the following dates:
(1) January 15; and
(2) April 15; and
(3) July 15 June 15.
Sec. 22. Minnesota
Statutes 2002, section 10A.04, subdivision 4, is amended to read:
Subd. 4. [CONTENT.] (a)
A report under this section must include information the board requires from
the registration form and the information required by this subdivision for the
reporting period.
(b) A lobbyist must report the lobbyist's total disbursements
on lobbying, separately listing lobbying to influence legislative action,
lobbying to influence administrative action, and lobbying to influence the
official actions of a metropolitan governmental unit, and a breakdown of disbursements
for each of those kinds of lobbying into categories specified by the board,
including but not limited to the cost of publication and distribution of each
publication used in lobbying; other printing; media, including the cost of
production; postage; travel; fees, including allowances; entertainment;
telephone and telegraph; and other expenses.
(c) A lobbyist must report the amount and nature of each gift,
item, or benefit, excluding contributions to a candidate, equal in value to $5
or more, given or paid to any official, as defined in section 10A.071,
subdivision 1, by the lobbyist or an employer or employee of the lobbyist. The list must include the name and address
of each official to whom the gift, item, or benefit was given or paid and the
date it was given or paid.
(d) A lobbyist must report each
original source of money in excess of $500 in any year used for the purpose of
lobbying to influence legislative action, administrative action, or the
official action of a metropolitan governmental unit. The list must include the name, address, and employer, or, if
self-employed, the occupation and principal place of business, of each payer of
money in excess of $500.
(e) On the report due April 15 June 15, the
lobbyist must provide a general description of the subjects lobbied in the
previous 12 months.
Sec. 23. Minnesota
Statutes 2002, section 10A.04, is amended by adding a subdivision to read:
Subd. 9.
[ELECTRONIC REPORTS.] Effective January 1, 2005, a lobbyist
may file a report required under this section electronically with the
board.
Sec. 24. [10A.045]
[LOBBYIST AND PRINCIPAL REPORT FEES.]
Subdivision 1.
[PURPOSE.] The purpose of this section is to pay for the cost
of administering sections 10A.03 to 10A.06 with fees collected from
lobbyists to be used only for that purpose.
Subd. 2. [FEE;
USE; PROHIBITION.] Each lobbyist and principal must pay a biennial
fee of $400 by January 15 of every odd-numbered year. Authorized unpaid volunteers of an organization
recognized as a 501(c)(3) charity by the Internal Revenue Service are
not required to pay this fee. The fees
collected under this section must not be more than the amount necessary
to administer the lobbyist registration and regulation provisions of
this chapter. A person who has not paid
the fee required by this section is prohibited from acting as a
lobbyist.
Sec. 25. Minnesota
Statutes 2002, section 10A.09, subdivision 6, is amended to read:
Subd. 6. [SUPPLEMENTARY
STATEMENT.] Each individual who is required to file a statement of economic
interest must file a supplementary statement on April 15 of each year that the
individual remains in office if information on the most recently filed
statement has changed. The
supplementary statement, if required, must include the amount of each
honorarium in excess of $50 received since the previous statement and the name
and address of the source of the honorarium.
The board must maintain a statement of economic interest submitted by an
officeholder in the same file with the statement submitted as a candidate.
Sec. 26. Minnesota
Statutes 2002, section 10A.09, is amended by adding a subdivision to read:
Subd. 9. [FILING
FEE.] A public official required to file a statement of economic
interest or an annual supplementary statement with the board under this
section must accompany the statement with a $65 filing fee. A public official listed in section
10A.01, subdivision 35, clause (2), is not required to pay this fee.
Sec. 27. [10A.145]
[REGISTRATION FEES.]
Subdivision 1.
[REQUIREMENT.] Each principal campaign committee must pay to
the board a registration fee when it originally registers with the board
and each time a nonjudicial candidate for whom a committee is registered
files for office. The office with which the candidate files must collect
the fee when the candidate files and must deposit it into the general
fund in the state treasury.
Subd. 2. [AMOUNT
OF FEE.] The registration fees are as follows:
(1) principal campaign committee for candidate for nonjudicial
statewide office, $1,000;
(2) principal campaign committee
for candidate for state senate, $600;
(3) principal campaign committee for candidate for state
house of representatives, $300;
(4) principal campaign committee for judicial candidate,
$250.
Subd. 3.
[TRANSITION.] Lobbyists, principals, and principal campaign
committees that are registered on the effective date of this section
must pay the fee for initial registration required by this section or
section 10A.045 within 60 days after the effective date of this
section. This subdivision
expires August 1, 2004.
Sec. 28. Minnesota
Statutes 2002, section 10A.31, subdivision 4, is amended to read:
Subd. 4.
[APPROPRIATION.] (a) The amounts designated by individuals for
the state elections campaign fund, less three ten percent, are
appropriated from the general fund, must be transferred and credited to the
appropriate account in the state elections campaign fund, and are annually
appropriated for distribution as set forth in subdivisions 5, 5a, 6,
and 7. The remaining three ten
percent must be kept in the general fund for administrative costs.
(b) In addition to the amounts in paragraph (a), $1,500,000
for each general election is appropriated from the general fund for transfer to
the general account of the state elections campaign fund.
Sec. 29. Minnesota
Statutes 2002, section 14.091, is amended to read:
14.091 [PETITION; UNIT OF LOCAL GOVERNMENT.]
(a) The elected governing body of a statutory or home rule
city, a county, or a sanitary district may petition for amendment or repeal of
a rule or a specified portion of a rule.
The petition must be adopted by resolution of the elected governing body
and must be submitted in writing to the agency and to the office of administrative
hearings, must specify what amendment or repeal is requested, and must
demonstrate that one of the following has become available since the adoption
of the rule in question:
(1) significant new evidence relating to the need for or
reasonableness of the rule; or
(2) less costly or intrusive methods of achieving the purpose
of the rule.
(b) Within 30 days of receiving a petition, an agency shall
reply to the petitioner in writing stating either that the agency, within 90
days of the date of the reply, will give notice under section 14.389 of intent
to adopt the amendment or repeal requested by the petitioner or that the agency
does not intend to amend or repeal the rule and has requested the office of
administrative hearings to review the petition. If the agency intends to amend or repeal the rule in the manner
requested by the petitioner, the agency must use the process under section
14.389 to amend or repeal the rule.
Section 14.389, subdivision 5, applies.
(c) Upon receipt of an agency request under paragraph (b), the
chief administrative law judge shall assign an administrative law judge, who
was not involved when the rule or portion of a rule that is the subject of the
petition was adopted or amended, to review the petition to determine whether
the petitioner has complied with the requirements of paragraph (a). The petitioner, the agency, or any
interested person, at the option of any of them, may submit written material
for the assigned administrative law judge's consideration within ten days of
the chief administrative law judge's receipt of the agency request. The administrative law judge shall dismiss
the petition if the judge determines that:
(1) the petitioner has not complied with the requirements of
paragraph (a);
(2) the rule is required to comply
with a court order; or
(3) the rule is required by federal law or is required to
maintain authority to administer a federal program.
(d) If the administrative law judge assigned by the chief
administrative law judge determines that the petitioner has complied with the
requirements of paragraph (a), the administrative law judge shall conduct a
hearing and issue a decision on the petition within 120 days of its receipt by
the office of administrative hearings.
The agency shall give notice of the hearing in the same manner required
for notice of a proposed rule hearing under section 14.14, subdivision 1a. At the public hearing, the agency shall make
an affirmative presentation of facts establishing the need for and reasonableness
of the rule or portion of the rule in question. If the administrative law judge determines that the agency has
not established the continued need for and reasonableness of the rule or
portion of the rule, the rule or portion of the rule does not have the force of
law, effective 90 days after the administrative law judge's decision, unless
the agency has before then published notice in the State Register of intent to
amend or repeal the rule in accordance with paragraph (e).
(e) The agency may amend or repeal the rule in the manner
requested by the petitioner, or in another manner that the administrative law
judge has determined is needed and reasonable. Amendments under this paragraph
may be adopted under the expedited process in section 14.389. Section 14.389, subdivision 5, applies to
this adoption. If the agency uses the
expedited process and no public hearing is required, the agency must complete
the amendment or repeal of the rule within 90 days of the administrative law
judge's decision under paragraph (d). If a public hearing is required, the
agency must complete the amendment or repeal of the rule within 180 days of the
administrative law judge's decision under paragraph (d). A rule or portion of a rule that is not
amended or repealed in the time prescribed by this paragraph does not have the
force of law upon expiration of the deadline.
A rule that is amended within the time prescribed in this paragraph has
the force of law, as amended.
(f) The chief administrative law judge shall report the
decision under paragraph (d) within 30 days to the chairs of the house and
senate committees having jurisdiction over governmental operations and the
chairs of the house and senate committees having jurisdiction over the agency
whose rule or portion of a rule was the subject of the petition.
(g) The chief administrative law judge shall assess a
petitioner half the cost of processing a petition and conducting a public
hearing under paragraph (d).
(h) This section expires July 31, 2006.
Sec. 30. Minnesota
Statutes 2002, section 14.48, is amended by adding a subdivision to read:
Subd. 4.
[MANDATORY RETIREMENT.] An administrative law judge and
compensation judge must retire upon attaining age 70. The chief administrative law judge may appoint
a retired administrative law judge or compensation judge to hear any
proceeding that is properly assignable to an administrative law judge
or compensation judge. When a retired
administrative law judge or compensation judge undertakes this service, the
retired judge shall receive pay and expenses in the amount payable to
temporary administrative law judges or compensation judges serving
under section 14.49.
[EFFECTIVE DATE.] This
section is effective June 30, 2003.
An administrative law judge or compensation judge who has attained
the age of 70 on or before that date must retire by June 30, 2003.
Sec. 31. Minnesota Statutes 2002, section 15.50, subdivision 1, as amended
by Laws 2003, chapter 17, section 1, subdivision 2, is amended to read:
Subd. 2. [MEMBERSHIP,
APPOINTERS; OATH QUALIFIES.] (a) The capitol area architectural and planning
board, called the board or the CAAPB in this chapter, is established within
the department of administration.
The board has ten members.
(b) The lieutenant governor is a member.
(c) The governor must appoint four members.
(d) The mayor of St. Paul must appoint three members with the
advice and consent of the city council.
One of the mayor's appointees must be a resident of the planning council
district that includes the capitol area.
(e) The speaker of the house must appoint a member of the house
of representatives and the president of the senate must appoint a senator.
(f) Each appointee must qualify by taking the oath of office.
Sec. 32. Minnesota
Statutes 2002, section 15.50, subdivision 1, as amended by Laws 2003, chapter
17, section 1, subdivision 4, is amended to read:
Subd. 4. [EXECUTIVE
SECRETARY, CLASSIFIED PERSONNEL, CONTRACTORS.] (a) The commissioner of
administration, after consulting with the board, must appoint
an executive secretary to serve the board.
(b) The board commissioner may employ any other
officers and employees it the commissioner considers
necessary. Those employed under this
paragraph are in the state classified civil service.
(c) The board may contract for professional and other similar
services on the terms it considers desirable.
(d) The commissioner must provide administrative support to
the board.
Sec. 33. [15A.23]
[POLITICAL SUBDIVISION COMPENSATION LIMIT.]
(a) The salary and the value of all other forms of compensation
of a person employed by a political subdivision of this state excluding
a school district, or employed under section 422A.03, may not exceed 95
percent of the salary of the governor as set under section 15A.082,
except as provided in this section.
For purposes of this subdivision, "political subdivision of
this state" includes a statutory or home rule charter city, county,
town, metropolitan or regional agency, or other political subdivision,
but does not include a hospital, clinic, or health maintenance
organization owned by such a governmental unit.
(b) Deferred compensation and payroll allocations to purchase
an individual annuity contract for an employee are included in
determining the employee's salary.
Other forms of compensation which shall be included to determine
an employee's total compensation are all other direct and indirect items
of compensation which are not specifically excluded by this section. Other forms of compensation which shall not
be included in a determination of an employee's total compensation for
the purposes of this section are:
(1) employee benefits that are also provided for the
majority of all other full-time employees of the political subdivision,
vacation and sick leave allowances, health and dental insurance,
disability insurance, term life insurance, and pension benefits or like
benefits the cost of which is borne by the employee or which is not
subject to tax as income under the Internal Revenue Code of 1986;
(2) dues paid to organizations that are of a civic, professional,
educational, or governmental nature; and
(3) reimbursement for actual expenses incurred by the employee
which the governing body determines to be directly related to the
performance of job responsibilities, including any relocation expenses
paid during the initial year of employment.
The value of other forms of compensation shall be the annual
cost to the political subdivision for the provision of the compensation.
(c) The salary of a medical doctor or doctor of osteopathy
occupying a position that the governing body of the political subdivision
has determined requires an M.D. or D.O. degree is excluded from the
limitation in this section.
(d) The state auditor may increase the limitation in this
section for a position that the state auditor has determined requires
special expertise necessitating a higher salary to attract or retain a
qualified person. The state auditor
shall review each proposed increase giving due consideration to salary
rates paid to other persons with similar responsibilities in the state
and nation.
Before granting an increase in the limitation, the state
auditor must submit the proposed increase to the legislative coordinating
commission for its review and recommendation.
The recommendation is advisory only. If the commission fails to make a recommendation with 30
days from its receipt of the proposal, it is deemed to have made no
recommendation. The state
auditor may charge and collect, pursuant to section 6.56, a fee from
political subdivisions proposing a limitation increase to cover the cost
incurred by the state auditor under this subdivision.
Sec. 34. Minnesota
Statutes 2002, section 16A.102, subdivision 1, is amended to read:
Subdivision 1.
[GOVERNOR'S RECOMMENDATION.] By the fourth Tuesday in January of each
odd-numbered year date specified in section 16A.11, subdivision
1, for submission of parts one and two of the governor's budget, the
governor shall submit to the legislature a recommended revenue target for the
next two bienniums. The recommended
revenue target must specify:
(1) the maximum share of Minnesota personal income to be
collected in taxes and other revenues to pay for state and local government services;
(2) the division of the share between state and local
government revenues; and
(3) the mix and rates of income, sales, and other state and
local taxes including property taxes and other revenues.
The recommendations must be
based on the November forecast prepared under section 16A.103.
Sec. 35. Minnesota
Statutes 2002, section 16A.11, subdivision 3, is amended to read:
Subd. 3. [PART
TWO: DETAILED BUDGET.] (a) Part two of
the budget, the detailed budget estimates both of expenditures and revenues,
must contain any statements on the financial plan which the governor believes
desirable or which may be required by the legislature. The detailed estimates shall include the
governor's budget arranged in tabular form.
(b) The detailed estimates must include a separate line
listing the total number of professional or technical service contracts and
the total cost of those professional and technical service
contracts for the prior biennium and the projected number of professional or
technical service contracts and the projected costs of those contracts for
the current and upcoming biennium. They
must also include a summary of the personnel employed by the agency, reflected
as full-time equivalent positions, and the number of professional or
technical service consultants for the current biennium.
(c) The detailed estimates for internal service funds must
include the number of full-time equivalents by program; detail on any loans
from the general fund, including dollar amounts by program; proposed
investments in technology or equipment of $100,000 or more; an explanation of
any operating losses or increases in retained earnings; and a history of the
rates that have been charged, with an explanation of any rate changes and the
impact of the rate changes on affected agencies.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 36. Minnesota
Statutes 2002, section 16A.17, is amended by adding a subdivision to read:
Subd. 10.
[DIRECT DEPOSIT.] Notwithstanding section 177.23, the
commissioner may require direct deposit for all state employees that are
being paid by the state payroll system.
Sec. 37. Minnesota
Statutes 2002, section 16A.40, is amended to read:
16A.40 [WARRANTS AND ELECTRONIC FUND TRANSFERS.]
Money must not be paid out of the state treasury except upon
the warrant of the commissioner or an electronic fund transfer approved by the
commissioner. Warrants must be drawn on
printed blanks that are in numerical order.
The commissioner shall enter, in numerical order in a warrant register,
the number, amount, date, and payee for every warrant issued.
The commissioner may require payees receiving more
than ten payments or $10,000 per year must to supply the
commissioner with their bank routing information to enable the payments to
be made through an electronic fund transfer.
Sec. 38. Minnesota
Statutes 2002, section 16A.501, is amended to read:
16A.501 [REPORT ON EXPENDITURE OF BOND PROCEEDS.]
The commissioner of finance must report annually to the
legislature on the degree to which entities receiving appropriations for
capital projects in previous omnibus capital improvement acts have encumbered
or expended that money. The report must
be submitted to the chairs of the house of representatives ways and means
committee and the senate finance committee by February January 1
of each year.
Sec. 39. Minnesota
Statutes 2002, section 16A.642, subdivision 1, is amended to read:
Subdivision 1.
[REPORTS.] (a) The commissioner of finance shall report to the chairs of
the senate committee on finance and the house of representatives committees on
ways and means and on capital investment by February January 1 of
each odd-numbered year on the following:
(1) all laws authorizing the issuance of state bonds or
appropriating general fund money for state or local government capital
investment projects enacted more than four years before authorized total cost has been
expended, encumbered, or otherwise obligated; the cost of contracts to be let
in accordance with existing plans and specifications shall be considered
expended for this report; and the amount of general fund money appropriated but
not spent or otherwise obligated, and the amount of bonds not issued and bond
proceeds held but not previously expended, encumbered, or otherwise obligated
for these projects; and February January
1 of that odd-numbered year; the projects authorized to be acquired and
constructed for which less than 100 percent of the
(2) all laws authorizing the issuance of state bonds or
appropriating general fund money for state or local government capital programs
or projects other than those described in clause (1), enacted more than four
years before February January 1 of that odd-numbered year; and
the amount of general fund money appropriated but not spent or otherwise
obligated, and the amount of bonds not issued and bond proceeds held but not
previously expended, encumbered, or otherwise obligated for these programs and
projects.
(b) The commissioner shall also report on general fund
appropriations for capital projects, bond authorizations or bond proceed
balances that may be canceled because projects have been canceled, completed,
or otherwise concluded, or because the purposes for which the money was appropriated
or bonds were authorized or issued have been canceled, completed, or otherwise
concluded. The general fund
appropriations, bond authorizations or bond proceed balances that are
unencumbered or otherwise not obligated that are reported by the commissioner
under this subdivision are canceled, effective July 1 of the year of the
report, unless specifically reauthorized by act of the legislature.
Sec. 40. Minnesota
Statutes 2002, section 16B.054, is amended to read:
16B.054 [DEVELOPMENTAL DISABILITIES.]
The department of administration is designated as the
responsible agency to assist the Minnesota governor's council on developmental
disabilities in carrying out all responsibilities under United States Code,
title 42, section 6021 et seq. the Developmental Disabilities
Assistance and Bill of Rights Act of 2000, also known as United States
Code, title 42, sections 15001 to 15115, and Public Law 106-402 (October
30, 2000, 106th Congress), as well as those responsibilities
relating to the program which are not delegated to the council.
Sec. 41. Minnesota
Statutes 2002, section 16B.24, subdivision 1, is amended to read:
Subdivision 1.
[OPERATION AND MAINTENANCE OF BUILDINGS.] The commissioner is authorized
to maintain and operate the state capitol building and grounds, subject to
whatever standards and policies are set for its appearance and cleanliness by
the capitol area architectural and planning board and the commissioner under
section 15.50, subdivision 2, clause (j), and all other buildings, cafeterias,
and grounds in state-owned buildings in the capitol area under section 15.50,
subdivision 2, clause (a), the state department of public safety, bureau of
criminal apprehension building in St. Paul, the state department of health building
in Minneapolis, the Duluth government services center in Duluth, 321
Grove Street buildings in St. Paul, any other properties acquired by the
department of administration, and, when the commissioner considers it advisable
and practicable, any other building or premises owned or rented by the state
for the use of a state agency. The
commissioner shall assign and reassign office space in the capitol and state
buildings to make an equitable division of available space among agencies. The commissioner shall regularly update the
long-range strategic plan for locating agencies and shall follow the plan in
assigning and reassigning space to agencies.
The plan must include locational and urban design criteria, a cost-analysis
method to be used in weighing state ownership against leasing of space in
specific instances, and a transportation management plan. If the commissioner determines that a
deviation from the plan is necessary or desirable in a specific instance, the
commissioner shall provide the legislature with a timely written explanation of
the reasons for the deviation. The
power granted in this subdivision does not apply to state hospitals or to
educational, penal, correctional, or other institutions not enumerated in this
subdivision the control of which is vested by law in some other agency.
Sec. 42. Minnesota
Statutes 2002, section 16B.24, subdivision 5, is amended to read:
Subd. 5. [RENTING OUT
STATE PROPERTY.] (a) [AUTHORITY.] The commissioner may rent out state property,
real or personal, that is not needed for public use, if the rental is not
otherwise provided for or prohibited by law.
The property may not be rented out for more than five years at a time
without the approval of the state executive council and may never be rented out
for more than 25 years. A rental
agreement may provide that the state will reimburse a tenant for a portion of
capital improvements that the tenant makes to state real property if the state
does not permit the tenant to renew the lease at the end of the rental
agreement.
(b) [RESTRICTIONS.] Paragraph (a) does not apply to state trust
fund lands, other state lands under the jurisdiction of the department of
natural resources, lands forfeited for delinquent taxes, lands acquired under
section 298.22, or lands acquired under section 41.56 which are under the
jurisdiction of the department of agriculture.
(c) [FORT SNELLING CHAPEL; RENTAL.] The Fort Snelling Chapel,
located within the boundaries of Fort Snelling State Park, is available for use
only on payment of a rental fee. The
commissioner shall establish rental fees for both public and private use. The rental fee for private use by an
organization or individual must reflect the reasonable value of equivalent
rental space. Rental fees collected
under this section must be deposited in the general fund.
(d) [RENTAL OF LIVING
ACCOMMODATIONS.] The commissioner shall establish rental rates for all living
accommodations provided by the state for its employees. Money collected as rent by state agencies pursuant
to this paragraph must be deposited in the state treasury and credited to the
general fund.
(e) [LEASE OF SPACE IN
CERTAIN STATE BUILDINGS TO STATE AGENCIES.] The commissioner may lease portions
of the state-owned buildings in the capitol complex, the capitol square
building, the health building, the Duluth government center, and the
building at 1246 University Avenue, St. Paul, Minnesota, to state agencies and
the court administrator on behalf of the judicial branch of state government
and charge rent on the basis of space occupied. Notwithstanding any law to the contrary, all money collected as
rent pursuant to the terms of this section shall be deposited in the state
treasury. Money collected as rent to
recover the bond interest costs of a building funded from the state bond
proceeds fund shall be credited to the general fund. Money collected as rent to recover the depreciation costs of a
building funded from the state bond proceeds fund and money collected as rent
to recover capital expenditures from capital asset preservation and replacement
appropriations and statewide building access appropriations shall be credited
to a segregated account in a special revenue fund. Fifty percent of the money credited to the account each fiscal
year must be transferred to the general fund.
The remaining money in the account is appropriated to the
commissioner to be expended for asset preservation projects as determined by
the commissioner. Money collected as
rent to recover the depreciation and interest costs of a building built with
other state dedicated funds shall be credited to the dedicated fund which
funded the original acquisition or construction. All other money received shall be credited to the general services
revolving fund.
Sec. 43. Minnesota
Statutes 2002, section 16B.33, subdivision 3, is amended to read:
Subd. 3. [AGENCIES MUST
REQUEST DESIGNER.] (a) [APPLICATION.] Upon undertaking a project with an
estimated cost greater than $750,000 $2,000,000 or a planning
project with estimated fees greater than $60,000 $200,000, every
user agency, except the capitol area architectural and planning board, shall
submit a written request for a primary designer for its project to the
commissioner, who shall forward the request to the board. The University of Minnesota and the
Minnesota state colleges and universities shall follow the process in
subdivision 3a to select designers for their projects. The written request must include a
description of the project, the estimated cost of completing the project, a
description of any special requirements or unique features of the proposed
project, and other information which will assist the board in carrying out its
duties and responsibilities set forth in this section.
(b) [REACTIVATED
PROJECT.] If a project for which a designer has been selected by the board
becomes inactive, lapses, or changes as a result of project phasing,
insufficient appropriations, or other reasons, the commissioner, the Minnesota
state colleges and universities, or the University of Minnesota may, if the
project is reactivated, retain the same designer to complete the project.
(c) [FEE LIMIT REACHED
AFTER DESIGNER SELECTED.] If a project initially estimated to be below the cost
and planning fee limits of this subdivision has its cost or planning fees
revised so that the limits are exceeded, the project must be referred to the
board for designer selection even if a primary designer has already been
selected. In this event, the board may,
without conducting interviews, elect to retain the previously selected designer
if it determines that the interests of the state are best served by that
decision and shall notify the commissioner of its determination.
Sec. 44. Minnesota
Statutes 2002, section 16B.35, subdivision 1, is amended to read:
Subdivision 1. [PERCENT
OF APPROPRIATIONS FOR ART.] An appropriation for the construction or alteration
of any state building may contain an amount not to exceed the lesser of $100,000
or one percent of the total appropriation for the building for the
acquisition of works of art, excluding landscaping, which may be an integral
part of the building or its grounds, attached to the building or grounds or
capable of being displayed in other state buildings. If the appropriation for works of art is limited by the
$100,000 cap in this section, the appropriation for the construction or
alteration of the building must be reduced to reflect the reduced amount
that will be spent on works of art.
Money used for this purpose is available only for the acquisition of
works of art to be exhibited in areas of a building or its grounds accessible,
on a regular basis, to members of the public.
No more than ten percent of the total amount available each
fiscal year under this subdivision may be used for administrative
expenses, either by the commissioner of administration or by any other
entity to whom the commissioner delegates administrative authority. For the purposes of this section "state
building" means a building the construction or alteration of which is paid
for wholly or in part by the state.
Sec. 45. Minnesota
Statutes 2002, section 16B.465, subdivision 1a, is amended to read:
Subd. 1a. [CREATION.]
Except as provided in subdivision 4, the commissioner, through the state
information infrastructure, shall arrange for the provision of voice, data,
video, and other telecommunications transmission services to state
agencies. The state information
infrastructure may also serve educational institutions, including public
schools as defined in section 120A.05, subdivisions 9, 11, 13, and 17,
nonpublic, church or religious organization schools that provide instruction in
compliance with sections 120A.22, 120A.24, and 120A.41, and private colleges;
public corporations; Indian tribal governments; and state political
subdivisions; and public noncommercial educational television
broadcast stations as defined in section 129D.12, subdivision 2. It is not a telephone company for purposes
of chapter 237. The commissioner may
purchase, own, or lease any telecommunications network facilities or equipment
after first seeking bids or proposals and having determined that the private
sector cannot, will not, or is unable to provide these services, facilities, or
equipment as bid or proposed in a reasonable or timely fashion consistent with
policy set forth in this section. The
commissioner shall not resell or sublease any services or facilities to
nonpublic entities except to serve private schools and colleges. The commissioner has the responsibility for
planning, development, and operations of the state information infrastructure
in order to provide cost-effective telecommunications transmission services to
state information infrastructure users consistent with the policy set forth in
this section.
Sec. 46. Minnesota
Statutes 2002, section 16B.465, subdivision 7, is amended to read:
Subd. 7. [EXEMPTION.]
The system is exempt from the five-year limitation on contracts set by sections
16C.05, subdivision 2, paragraph (a), clause (5) (b), 16C.08,
subdivision 3, clause (7) (5), and 16C.09, clause (6) (5).
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 47. Minnesota Statutes 2002, section 16B.47, is amended to read:
16B.47 [MICROGRAPHICS.]
The commissioner shall may provide micrographics
services and products to meet agency needs.
Within available resources, the commissioner may also provide
micrographic services to political subdivisions. Agency plans and programs for micrographics must be submitted to
and receive the approval of the commissioner prior to implementation. Upon the commissioner's approval, subsidiary
or independent microfilm operations may be implemented in other state agencies. The commissioner may direct that copies of
official state documents be distributed to official state depositories on
microfilm.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 48. Minnesota
Statutes 2002, section 16B.48, subdivision 2, is amended to read:
Subd. 2. [PURPOSE OF FUNDS.]
Money in the state treasury credited to the general services revolving fund and
money that is deposited in the fund is appropriated annually to the
commissioner for the following purposes:
(1) to operate a central store and equipment service;
(2) to operate a central duplication and printing service;
(3) to operate the central mailing service, including
purchasing postage and related items and refunding postage deposits;
(4) (3) to operate a documents service as
prescribed by section 16B.51;
(5) (4) to provide services for the maintenance,
operation, and upkeep of buildings and grounds managed by the commissioner of
administration;
(6) (5) to operate a materials handling service,
including interagency mail and product delivery, solid waste removal, courier
service, equipment rental, and vehicle and equipment maintenance;
(7) (6) to provide analytical, statistical, and
organizational development services to state agencies, local units of
government, metropolitan and regional agencies, and school districts;
(8) (7) to operate a records center and provide
micrographics products and services; and
(9) (8) to perform services for any other
agency. Money may be expended for this
purpose only when directed by the governor. The agency receiving the services
shall reimburse the fund for their cost, and the commissioner shall make the
appropriate transfers when requested.
The term "services" as used in this clause means compensation
paid officers and employees of the state government; supplies, materials,
equipment, and other articles and things used by or furnished to an agency; and
utility services and other services for the maintenance, operation, and upkeep
of buildings and offices of the state government.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 49. Minnesota Statutes 2002, section 16B.49, is amended to read:
16B.49 [CENTRAL MAILING SYSTEM.]
The commissioner shall may maintain and operate
for state agencies, departments, institutions, and offices a central mail
handling unit. Official, outgoing mail
for units in St. Paul must may be required to be delivered
unstamped to the unit. The unit shall
may also operate an interoffice mail distribution system. The department may add personnel and acquire
equipment that may be necessary to operate the unit efficiently and
cost-effectively. Account must be kept
of the postage required on that mail, which is then a proper charge against the
agency delivering the mail. To provide
funds for the payment of postage, each agency shall may be required
to make advance payments to the commissioner sufficient to cover its
postage obligations for at least 60 days.
For purposes of this section, the Minnesota state colleges and
universities is a state agency.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 50. Minnesota
Statutes 2002, section 16B.58, is amended by adding a subdivision to read:
Subd. 6a.
[PARKING RESTRICTIONS.] Notwithstanding any law to the
contrary:
(1) parking is prohibited in the terraces adjacent to the
carriage entrance on the south side of the capitol building;
(2) the ten parking spaces on Aurora Avenue closest to the
main entrance of the capitol building must be reserved for parking by
physically disabled persons displaying a certificate issued under
section 169.345; and
(3) the remainder of the parking spaces on Aurora Avenue
must be reserved for the general public during legislative session.
Sec. 51. Minnesota
Statutes 2002, section 16B.61, subdivision 1a, is amended to read:
Subd. 1a.
[ADMINISTRATION BY COMMISSIONER.] The commissioner shall administer and
enforce the State Building Code as a municipality with respect to public
buildings and state licensed facilities in the state. The commissioner shall establish appropriate permit, plan review,
and inspection fees for public buildings and state licensed facilities. Fees and surcharges for public buildings and
state licensed facilities must be remitted to the commissioner, who shall
deposit them in the state treasury for credit to the special revenue fund.
Municipalities other than the state having a contractual
an agreement with the commissioner for code administration and
enforcement service for public buildings and state licensed facilities shall
charge their customary fees, including surcharge, to be paid directly to the contractual
jurisdiction by the applicant seeking authorization to construct a public
building or a state licensed facility.
The commissioner shall contract sign an agreement with a
municipality other than the state for plan review, code administration, and
code enforcement service for public buildings and state licensed facilities in
the contractual jurisdiction if the building officials of the
municipality meet the requirements of section 16B.65 and wish to provide those
services and if the commissioner determines that the municipality has enough
adequately trained and qualified building inspectors to provide those services
for the construction project.
The commissioner may direct the state building official to
assist a community that has been affected by a natural disaster with
building evaluation and other activities related to building codes.
Administration and enforcement in a municipality under this
section must apply any optional provisions of the State Building Code adopted
by the municipality. A municipality
adopting any optional code provision shall notify the state building official
within 30 days of its adoption.
The commissioner shall administer and enforce the provisions of
the code relating to elevators statewide, except as provided for under section
16B.747, subdivision 3.
Sec. 52. Minnesota Statutes 2002, section 16B.62, subdivision 1, is
amended to read:
Subdivision 1.
[MUNICIPAL ENFORCEMENT.] The State Building Code applies statewide and
supersedes the building code of any municipality. A municipality must not by ordinance or through development
agreement require building code provisions regulating components or systems of
any residential structure that are different from any provision of the State
Building Code. A municipality may, with
the approval of the state building official, adopt an ordinance that is more
restrictive than the State Building Code where geological conditions warrant a
more restrictive ordinance. A
municipality may appeal the disapproval of a more restrictive ordinance to the
commissioner. An appeal under this
subdivision is subject to the schedule, fee, procedures, cost provisions, and appeal
rights set out in section 16B.67. The
State Building Code does not apply to agricultural buildings except with
respect to state inspections required or rulemaking authorized by sections
103F.141, 216C.19, subdivision 8, and 326.244.
All municipalities shall adopt and enforce the State Building Code with
respect to new construction within their respective jurisdictions.
If a city has adopted or is enforcing the State Building Code
on June 3, 1977, or determines by ordinance after that date to undertake
enforcement, it shall enforce the code within the city. A city may by ordinance and with
permission of the township board extend the enforcement of the code
to contiguous unincorporated territory not more than two miles distant from its
corporate limits in any direction if the code is not in effect in the
territory. Where two or more
noncontiguous cities which have elected to enforce the code have boundaries
less than four miles apart, each is authorized to enforce the code on its side
of a line equidistant between them.
Once enforcement authority is extended extraterritorially by ordinance,
the authority may continue to be exercised in the designated territory even
though another city less than four miles distant later elects to enforce the
code. After the extension, the city may
enforce the code in the designated area to the same extent as if the property
were situated within its corporate limits.
Enforcement of the code in an extended area outside a city's
corporate limits includes all rules, laws, and ordinances associated
with administration of the code.
A city which, on June 3, 1977, had not adopted the code may not
commence enforcement of the code within or outside of its jurisdiction until it
has provided written notice to the commissioner, the county auditor, and the
town clerk of each town in which it intends to enforce the code. A public hearing on the proposed enforcement
must be held not less than 30 days after the notice has been provided. Enforcement of the code by the city outside
of its jurisdiction commences on the first day of January in the year following
the notice and hearing.
Municipalities may provide for the issuance of permits,
inspection, and enforcement within their jurisdictions by means which are
convenient, and lawful, including by means of contracts with other
municipalities pursuant to section 471.59, and with qualified individuals. The other municipalities or qualified
individuals may be reimbursed by retention or remission of some or all of the
building permit fee collected or by other means. In areas of the state where inspection and enforcement is
unavailable from qualified employees of municipalities, the commissioner shall
train and designate individuals available to carry out inspection and
enforcement on a fee basis. Nothing in
this section prohibits a municipality from adopting ordinances relating to
zoning, subdivision, or planning unless the ordinance conflicts with a
provision of the State Building Code that regulates components or systems of
any residential structure.
Sec. 53. [16C.045]
[REPORTING OF VIOLATIONS]
A state employee who discovers evidence of violation of laws
or rules governing state contracts is encouraged to report the violation
or suspected violation to the employee's supervisor, the commissioner or
the commissioner's designee, or the legislative auditor. The legislative auditor must report to the
legislative coordinating commission if there
are multiple complaints about the same agency. The auditor's report to the legislative coordinating
commission under this section must disclose only the number and type of
violations alleged. An employee
making a good faith report under this section is covered by section
181.932, prohibiting the employer from discriminating against the
employee.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 54. Minnesota
Statutes 2002, section 16C.05, subdivision 2, is amended to read:
Subd. 2. [CREATION AND
VALIDITY OF CONTRACTS.] (a) A contract is not valid and the state is not bound
by it and no agency, without the prior written approval of the
commissioner, may authorize work to begin on it unless:
(1) it has first been executed by the head of the agency or a
delegate who is a party to the contract;
(2) it has been approved by the commissioner; and
(3) it has been approved by the attorney general or a
delegate as to form and execution;
(4) the accounting system shows an obligation in an
expense budget or encumbrance for the amount of the contract liability;
and.
(5) (b) The combined contract and amendments shall
must not exceed five years without specific, written approval by the
commissioner according to established policy, procedures, and standards, or
unless otherwise provided for by law.
The term of the original contract must not exceed two years unless the
commissioner determines that a longer duration is in the best interest of the
state. Before approving a contract
amendment or extension, the commissioner must determine that: (1) the goods or services to be
obtained under the amendment or extension are substantially similar to
those in the original contract; and (2) the contracting agency has
demonstrated that the benefits to the agency of full and open
competition do not justify the time and expense of a separate
solicitation for the goods or services included in the contract
amendment or extension. When the commissioner
approves a contract amendment or extension, the commissioner must post a
summary of the approval on the department's Web site for at least 60
days. The summary must include
the contract number, agency name, vendor, and the dollar amount of the
contract amendment or extension.
(b) (c) Grants, interagency agreements, purchase
orders, work orders, and annual plans need not, in the discretion of the
commissioner and attorney general, require the signature of the commissioner
and/or the attorney general. A
signature is not required for work orders and amendments to work orders related
to department of transportation contracts.
Bond purchase agreements by the Minnesota public facilities authority do
not require the approval of the commissioner.
(c) (d) A fully executed copy of every contract,
amendments to the contract, and performance evaluations relating to the
contract must be kept on file at the contracting agency for a time
equal to that specified for contract vendors and other parties in
subdivision 5.
(e) No action may be maintained by a contractor against an
employee or agency who discloses information about a current or former
contractor in a performance evaluation, including performance
evaluations required under section 16C.08, subdivision 4a, unless the
contractor demonstrates by clear and convincing evidence that:
(1) the information was false and defamatory;
(2) the employee or agency knew or
should have known the information was false and acted with malicious
intent to injure the current or former contractor; and
(3) the information was acted upon in a manner that caused
harm to the current or former contractor.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 55. Minnesota
Statutes 2002, section 16C.08, subdivision 2, is amended to read:
Subd. 2. [DUTIES OF
CONTRACTING AGENCY.] (a) Before an agency may seek approval of a
professional or technical services contract valued in excess of $5,000, it must
certify to the commissioner that provide the following:
(1) a description of how the proposed contract or amendment
is necessary and reasonable to advance the statutory mission of the
agency;
(2) a description of the agency's plan to notify firms or
individuals who may be available to perform the services called for
in the solicitation; and
(3) a description of the performance measures or other tools
that will be used to monitor and evaluate contract performance.
(b) In addition to the information in paragraph (a), clauses
(1) to (3), the agency must certify that:
(1) no current state employee is able and available to
perform the services called for by the contract;
(2) the normal competitive bidding mechanisms will not
provide for adequate performance of the services;
(3) the contractor has certified that the product of the
services will be original in character;
(4) (2) reasonable efforts were will be
made to publicize the availability of the contract to the public;
(5) the agency has received, reviewed, and accepted a
detailed work plan from the contractor for performance under the contract, if
applicable;
(6) (3) the agency has developed, will
develop and fully intends to implement, a written plan
providing for the assignment of specific agency personnel to a monitoring and
liaison function, the periodic review of interim reports or other indications
of past performance, and the ultimate utilization of the final product of the
services; and
(7) (4) the agency will not allow the contractor
to begin work before the contract is fully executed unless an exception has
been approved by the commissioner and funds are fully encumbered.;
(5) the contract will not establish an employment relationship
between the state or the agency and any persons performing under the
contract; and
(6) in the event the results of the contract work will be
carried out or continued by state employees upon completion of the
contract, the contractor is required to include state employees in
development and training, to the extent necessary to ensure that after
completion of the contract, state employees can perform any ongoing work
related to the same function.
(c) A contract establishes an employment relationship
for purposes of paragraph (b), clause (5), if, under federal laws governing
the distinction between an employee and an independent contractor, a
person would be considered an employee.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 56. Minnesota
Statutes 2002, section 16C.08, subdivision 3, is amended to read:
Subd. 3. [PROCEDURE FOR
PROFESSIONAL OR TECHNICAL SERVICES CONTRACTS.] Before approving a proposed
contract for professional or technical services, the commissioner must
determine, at least, that:
(1) all provisions of subdivision 2 and section 16C.16 have
been verified or complied with;
(2) the agency has demonstrated that the work to be
performed under the contract is necessary to the agency's achievement of its
statutory responsibilities and there is statutory authority to enter into the
contract;
(3) the contract will not establish an employment
relationship between the state or the agency and any persons performing under
the contract;
(4) the contractor and agents are not employees of the
state;
(5) no agency has previously performed or contracted for the
performance of tasks which would be substantially duplicated under the proposed
contract;
(6) (4) the contracting agency has specified a
satisfactory method of evaluating and using the results of the work to be
performed; and
(7) (5) the combined contract and amendments will
not exceed five years, unless otherwise provided for by law. The term of the original contract must not
exceed two years unless the commissioner determines that a longer duration is
in the best interest of the state.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 57. Minnesota
Statutes 2002, section 16C.08, subdivision 4, is amended to read:
Subd. 4. [REPORTS.] (a)
The commissioner shall submit to the governor, the chairs of the house ways and
means and senate finance committees, and the legislative reference library a
yearly listing of all contracts for professional or technical services
executed. The report must identify the
contractor, contract amount, duration, and services to be provided. The commissioner shall also issue yearly
reports summarizing the contract review activities of the department by fiscal
year.
(b) The fiscal year report must be submitted by September 1 of
each year and must:
(1) be sorted by agency and by contractor;
(2) show the aggregate value of contracts issued by each agency
and issued to each contractor;
(3) distinguish between contracts that are being issued for the
first time and contracts that are being extended;
(4) state the termination date of each contract; and
(5) identify services by commodity code, including topics
such as contracts for training, contracts for research and opinions, and
contracts for computer systems; and
(6) identify which contracts were awarded without following
the solicitation process in this chapter because it was determined
that there was only a single source for the services.
(c) Within 30 days of final completion of a contract over $40,000
$50,000 covered by this subdivision, the head of the agency entering
into the contract must submit a one-page report to the commissioner who must
submit a copy to the legislative reference library. The report must:
(1) summarize the purpose of the contract, including why it was
necessary to enter into a contract;
(2) state the amount spent on the contract; and
(3) explain why this amount was a cost-effective way to
enable the agency to provide its services or products better or more
efficiently be accompanied by the performance evaluation prepared
in accordance with subdivision 4a; and
(4) if the contract was awarded without following the solicitation
process in this chapter because it was determined that there was only a
single source for the services, explain why the agency determined there
was only a single source for the services.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 58. Minnesota
Statutes 2002, section 16C.08, is amended by adding a subdivision to read:
Subd. 4a.
[PERFORMANCE EVALUATION.] Upon completion of a professional or
technical services contract, an agency entering into the contract must
complete a written performance evaluation of the work done under the
contract. The evaluation must include
an appraisal of the contractor's timeliness, quality, cost, and overall
performance in meeting the terms and objectives of the contract, and
evaluate the extent to which the contract was a cost-effective way to
enable the agency to provide its services or products better or more
efficiently. Contractors may request copies of evaluations prepared
under this subdivision and may respond in writing. Contractor responses must be
maintained with the contract file.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 59. Minnesota
Statutes 2002, section 16C.09, is amended to read:
16C.09 [PROCEDURE FOR SERVICE CONTRACTS.]
(a) Before entering into or approving a service
contract, the commissioner must determine, at least, that:
(1) no current state employee is able and available to
perform the services called for by the contract;
(2) the work to be performed under the contract is
necessary to the agency's achievement of its statutory responsibilities and
there is statutory authority to enter into the contract;
(3) (2) the contract will not establish an
employment relationship between the state or the agency and any persons
performing under the contract;
(4) (3) the contractor and agents are not
employees of the state;
(5) (4) the contracting agency has specified
a satisfactory method of evaluating and using the results of the work to be
performed; and
(6) (5) the combined contract and amendments will
not exceed five years without specific, written approval by the commissioner
according to established policy, procedures, and standards, or unless otherwise
provided for by law. The term of the
original contract must not exceed two years, unless the commissioner determines
that a longer duration is in the best interest of the state.
(b) For purposes of paragraph (a), clause (1), employees are
available if qualified and:
(1) are already doing the work in question; or
(2) are on layoff status in classes that can do the work in
question.
An employee is not available if the employee is doing other
work, is retired, or has decided not to do the work in question.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 60. Minnesota
Statutes 2002, section 16C.10, subdivision 1, is amended to read:
Subdivision 1. [SINGLE
SOURCE.] The solicitation process described in this chapter is not required
when there is clearly and legitimately only a single source for the goods and
services and the commissioner determines that the price has been fairly and
reasonably established. Authority
under this subdivision may not be used for a contract for public
relations or public education services.
A contract for these services may be entered into only after
issuing a request for proposals or a request for bids.
Sec. 61. Minnesota
Statutes 2002, section 16C.10, subdivision 5, is amended to read:
Subd. 5. [SPECIFIC
PURCHASES.] The solicitation process described in this chapter is not required
for acquisition of the following:
(1) merchandise for resale purchased under policies determined
by the commissioner;
(2) farm and garden products which, as determined by the
commissioner, may be purchased at the prevailing market price on the date of
sale;
(3) goods and services from the Minnesota correctional
facilities;
(4) goods and services from rehabilitation facilities and sheltered
workshops extended employment providers that are certified by the
commissioner of economic security;
(5) goods and services for use by a community-based facility
operated by the commissioner of human services;
(6) goods purchased at auction or when submitting a sealed bid
at auction provided that before authorizing such an action, the commissioner
consult with the requesting agency to determine a fair and reasonable value for
the goods considering factors including, but not limited to, costs associated
with submitting a bid, travel, transportation, and storage. This fair and reasonable value must
represent the limit of the state's bid; and
(7) utility services where no competition exists or where rates
are fixed by law or ordinance.
Sec. 62. Minnesota
Statutes 2002, section 16C.10, subdivision 7, is amended to read:
Subd. 7. [REVERSE
AUCTION.] (a) For the purpose of this subdivision, "reverse auction"
means a purchasing process in which vendors compete to provide goods or
services at the lowest selling price in an open and interactive
environment.
(b) The provisions of section 16C.06, subdivisions 2 and 3, do
not apply when the commissioner determines that a reverse auction is the
appropriate purchasing process. Notwithstanding
any contrary provision of sections 16C.26 to 16C.28, reverse auctions
are competitive bids and bid responses to reverse auctions may be
accepted instead of sealed bids, when the commissioner determines that a
reverse auction is the appropriate purchasing process.
Sec. 63. Minnesota
Statutes 2002, section 16C.15, is amended to read:
16C.15 [SHELTERED WORKSHOPS AND SERVICES WORK ACTIVITY
PROGRAMS REHABILITATION FACILITIES AND EXTENDED EMPLOYMENT PROVIDERS.]
The commissioner, in consultation with the commissioner of
economic security, shall prepare a list containing products and services of state-certified
certified rehabilitation facilities, sheltered workshops, and work
activity programs and extended employment providers as described
in chapter 268A for acquisition by state agencies and institutions.
Sec. 64. Minnesota
Statutes 2002, section 16C.16, subdivision 7, is amended to read:
Subd. 7. [ECONOMICALLY
DISADVANTAGED AREAS.] (a) Except as otherwise provided in paragraph (b), the
commissioner may award up to a six percent preference in the amount bid on
state procurement to small businesses located in an economically disadvantaged
area.
(b) The commissioner may award up to a four percent preference
in the amount bid on state construction to small businesses located in an
economically disadvantaged area.
(c) A business is located in an economically disadvantaged area
if:
(1) the owner resides in or the business is located in a county
in which the median income for married couples is less than 70 percent of the
state median income for married couples;
(2) the owner resides in or the business is located in an area
designated a labor surplus area by the United States Department of Labor; or
(3) the business is a certified rehabilitation facility
or work activity program extended employment provider as described
in chapter 268A.
(d) The commissioner may designate one or more areas designated
as targeted neighborhoods under section 469.202 or as enterprise zones under
section 469.167 as economically disadvantaged areas for purposes of this
subdivision if the commissioner determines that this designation would further
the purposes of this section. If the
owner of a small business resides or is employed in a designated area, the
small business is eligible for any preference provided under this subdivision.
(e) The department of revenue shall gather data necessary to
make the determinations required by paragraph (c), clause (1), and shall
annually certify counties that qualify under paragraph (c), clause (1). An area designated a labor surplus area
retains that status for 120 days after certified small businesses in the area
are notified of the termination of the designation by the United States Department
of Labor.
Sec. 65. Minnesota Statutes 2002, section 16D.08, subdivision 2, is
amended to read:
Subd. 2. [POWERS.] (a)
In addition to the collection remedies available to private collection agencies
in this state, the commissioner, with legal assistance from the attorney
general, may utilize any statutory authority granted to a referring agency for
purposes of collecting debt owed to that referring agency. The commissioner may also delegate to the
enterprise the tax collection remedies in sections 270.06, clauses (7) and
(17), excluding the power to subpoena witnesses; 270.66; 270.69, excluding
subdivisions 7 and 13; 270.70, excluding subdivision 14; 270.7001 to 270.72;
and 290.92, subdivision 23, except that a continuous wage levy under section
290.92, subdivision 23, is only effective for 70 days, unless no competing wage
garnishments, executions, or levies are served within the 70-day period, in
which case a wage levy is continuous until a competing garnishment, execution,
or levy is served in the second or a succeeding 70-day period, in which case a
continuous wage levy is effective for the remainder of that period. A debtor who qualifies for cancellation of
collection costs under section 16D.11, subdivision 3, clause (1), can apply to
the commissioner for reduction or release of a continuous wage levy, if the
debtor establishes that the debtor needs all or a portion of the wages being
levied upon to pay for essential living expenses, such as food, clothing,
shelter, medical care, or expenses necessary for maintaining employment. The commissioner's determination not to
reduce or release a continuous wage levy is appealable to district court. The word "tax" or
"taxes" when used in the tax collection statutes listed in this subdivision
also means debts referred under this chapter.
(b) For debts other than state taxes, and child
support, or student loans, before any of the tax collection remedies listed
in this subdivision can be used, except for the remedies in section 270.06,
clauses (7) and (17), if the referring agency has not already obtained a
judgment or filed a lien, the commissioner must first obtain a judgment
against the debtor. For student loans
when the referring agency has not obtained a judgment or filed a lien,
before using the tax collection remedies listed in this subdivision, except for
the remedies in section 270.06, clauses (7) and (17), the commissioner shall
give the debtor 30 90 days' notice in writing, which may shall
be served in any manner permitted in section 270.68 for service of a summons
and complaint by both first class mail and certified mail to the
debtor's address as provided by the referring agency. The notice must advise the debtor of the
debtor's right to request that the commissioner commence a court action, and
that if no such request is made within 30 90 days after service
of the notice, the commissioner may use these tax collection remedies. If a timely request is made, the
commissioner shall obtain a judgment before using these tax collection
remedies.
[EFFECTIVE DATE.] This
section is effective the day following final enactment for all debts
referred, whether referred prior to or on or after the day following
final enactment.
Sec. 66. Minnesota
Statutes 2002, section 16D.10, is amended to read:
16D.10 [CASE REVIEWER.]
Subdivision 1.
[DUTIES.] The commissioner shall make a case reviewer available to
debtors. The reviewer must be available
to answer a debtor's questions concerning the collection process and to review
the collection activity taken. If the
reviewer reasonably believes that the particular action being taken is
unreasonable or unfair, the reviewer may make recommendations to the
commissioner in regard to the collection action.
Subd. 2.
[AUTHORITY TO ISSUE DEBTOR ASSISTANCE ORDER.] On application
filed by a debtor with the case reviewer, in the form, manner, and in
the time prescribed by the commissioner, and after thorough
investigation, the case reviewer may issue a debtor assistance order if,
in the determination of the case reviewer, the manner in which the state
debt collection laws are being administered is creating or will create
an unjust and inequitable result for the debtor. Debtor assistance orders shall be
governed by the provisions relating to taxpayer assistance orders under
section 270.273.
Subd. 3. [TRANSFER OF DUTIES TO TAXPAYER RIGHTS
ADVOCATE.] All duties and authority of the case reviewer under subdivisions
1 and 2 are transferred to the taxpayer rights advocate.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 67. Minnesota
Statutes 2002, section 16E.01, subdivision 3, is amended to read:
Subd. 3. [DUTIES.] (a)
The office shall:
(1) coordinate the efficient and effective use of available
federal, state, local, and private resources to develop statewide information
and communications technology and its infrastructure;
(2) review state agency and intergovernmental information and
communications systems development efforts involving state or intergovernmental
funding, including federal funding, provide information to the
legislature regarding projects reviewed, and recommend projects for inclusion
in the governor's budget under section 16A.11;
(3) encourage cooperation and collaboration among state and
local governments in developing intergovernmental communication and information
systems, and define the structure and responsibilities of the information
policy council;
(4) cooperate and collaborate with the legislative and judicial
branches in the development of information and communications systems in those
branches;
(5) continue the development of North Star, the state's
official comprehensive online service and information initiative;
(6) promote and collaborate with the state's agencies in the
state's transition to an effectively competitive telecommunications market;
(7) collaborate with entities carrying out education and
lifelong learning initiatives to assist Minnesotans in developing technical
literacy and obtaining access to ongoing learning resources;
(8) promote and coordinate public information access and
network initiatives, consistent with chapter 13, to connect Minnesota's
citizens and communities to each other, to their governments, and to the world;
(9) promote and coordinate electronic commerce initiatives to
ensure that Minnesota businesses and citizens can successfully compete in the
global economy;
(10) promote and coordinate the regular and periodic
reinvestment in the core information and communications technology
infrastructure so that state and local government agencies can effectively and
efficiently serve their customers;
(11) facilitate the cooperative development of standards for
information systems, electronic data practices and privacy, and electronic
commerce among international, national, state, and local public and private
organizations; and
(12) work with others to avoid unnecessary duplication of
existing services provided by other public and private organizations while
building on the existing governmental, educational, business, health care, and
economic development infrastructures.
(b) The commissioner of
administration in consultation with the commissioner of finance may
determine that it is cost-effective for agencies to develop and use
shared information and communications technology systems for the delivery
of electronic government services. This
determination may be made if an agency proposes a new system that
duplicates an existing system, a system in development, or a system
being proposed by another agency.
The commissioner of administration shall establish reimbursement
rates in cooperation with the commissioner of finance to be billed to
agencies and other governmental entities sufficient to cover the actual
development, operating, maintenance, and administrative costs of the shared
systems. The methodology for billing
may include depositing such funds in the technology enterprise fund, the
use of interagency agreements, or other means as allowed by law.
Sec. 68. Minnesota
Statutes 2002, section 16E.07, subdivision 9, is amended to read:
Subd. 9. [AGGREGATION
OF SERVICE DEMAND.] The office shall identify opportunities to aggregate demand
for technical services required by government units for online activities and
may contract with governmental or nongovernmental entities to provide
services. These contracts are not
subject to the requirements of chapters 16B and 16C, except sections 16C.04, 16C.07,
16C.08, and 16C.09.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 69. Minnesota
Statutes 2002, section 16E.09, subdivision 1, is amended to read:
Subdivision 1. [FUND
ESTABLISHED.] A technology enterprise fund is established. Money deposited in the fund is appropriated
to the commissioner of administration for the purpose of funding technology
projects among government entities that promote cooperation, innovation, and
shared use of technology and technology standards, and electronic government
services. Savings generated by
information technology and communications projects or purchases, including
rebates, refunds, discounts, or other savings generated from aggregated
purchases of software, services, or technology products, may be
deposited in the fund upon agreement by the commissioner of administration and
the executive of the government entity generating the funds. The commissioner of administration may
apply for and accept grants, contributions, or other gifts from the
federal government and other public or private sources for deposit into
the fund. The commissioner may accept
paid advertising for departmental publications, media productions, state
Web pages, and other informational materials.
Unless otherwise provided in statute, advertising revenues
received shall first be used to defray costs associated with production
and promotion of advertising activities and the remaining balance
shall be deposited into the fund. The
commissioner may not accept paid advertising from an elected official or
candidate for elected office.
The transfer of funds between state agencies is subject to the approval
of the commissioner of finance. The
commissioner of finance shall notify the chairs of the committees funding the
affected state agencies of the transfers.
Funds are available until June 30, 2005.
Sec. 70. Minnesota
Statutes 2002, section 43A.047, is amended to read:
43A.047 [CONTRACTED SERVICES.]
(a) Executive agencies, including the Minnesota state
colleges and universities system, must demonstrate that they cannot use
available staff before hiring outside consultants or services. If use of consultants is necessary, agencies
are encouraged to negotiate contracts that will involve permanent staff, so as
to upgrade and maximize training of state employees.
(b) If agencies reduce operating budgets, agencies must
give priority to reducing spending on professional and technical service
contracts before laying off permanent employees.
Sec. 71. [43A.311] [DRUG PURCHASING PROGRAM.]
The commissioner of employee relations, in conjunction with
other state agencies, shall evaluate whether participation in a multistate
or multiagency drug purchasing program can reduce costs or improve the
operations of the drug benefit programs administered by the department
and other state agencies. The commissioner
and other state agencies may enter into a contract with a vendor or
other states for purposes of participating in a multistate or
multiagency drug purchasing program.
Sec. 72. Minnesota
Statutes 2002, section 69.772, subdivision 2, is amended to read:
Subd. 2. [DETERMINATION
OF ACCRUED LIABILITY.] Each firefighters' relief association which pays a
service pension when a retiring firefighter meets the minimum requirements for
entitlement to a service pension specified in section 424A.02 and which in its
articles of incorporation or bylaws requires service credit for a period of
service of at least 20 years of active service for a totally nonforfeitable
service pension shall determine the accrued liability of the special fund of
the firefighters' relief association relative to each active or deferred
member of the relief association, calculated individually using the following
table:
Cumulative
Accrued
Year
Liability
.............
.............
1
$60
2
124
3
190
4
260
5
334
6
410
7
492
8
576
9
666
10
760
11
858
12
962
13
1070
14
1184
15
1304
16
1428
17
1560
18
1698
19
1844
20
2000
21 and
thereafter
100 additional
per
year
As set forth in the table the accrued liability for each member
or deferred member of the relief association corresponds to the
cumulative years of active service to the credit of the member. The accrued liability of the special fund
for each active or deferred member is determined by multiplying the
accrued liability from the chart by the ratio of the lump sum service pension
amount currently provided for in the bylaws of the relief association to a
service pension of $100 per year of service.
If a member has fractional service as of December 31, the figure for
service credit to be used for the determination of accrued liability pursuant
to this section shall be rounded to the nearest full year of service
credit. The total accrued liability of
the special fund as of December 31 shall be the sum of the accrued liability
attributable to each active or deferred member of the relief
association.
To the extent that the state auditor considers it to be necessary
or practical, the state auditor may specify and issue procedures, forms,
or mathematical tables for use in performing the calculations of the
accrued liability for deferred members pursuant to this subdivision.
Sec. 73. Minnesota
Statutes 2002, section 115A.929, is amended to read:
115A.929 [FEES; ACCOUNTING.]
Each political subdivision that provides for solid waste
management shall account for all revenue collected from waste management fees,
together with interest earned on revenue from the fees, separately from other
revenue collected by the political subdivision and shall report revenue collected
from the fees and use of the revenue separately from other revenue and use of
revenue in any required financial report or audit. Each political subdivision must file with the director, on or
before June 30 annually, the separate report of all revenue collected
from waste management fees, together with interest on revenue from the
fees, for the previous year. For
the purposes of this section, "waste management fees" means:
(1) all fees, charges, and surcharges collected under sections
115A.919, 115A.921, and 115A.923;
(2) all tipping fees collected at waste management facilities
owned or operated by the political subdivision;
(3) all charges imposed by the political subdivision for waste
collection and management services; and
(4) any other fees, charges, or surcharges imposed on waste or
for the purpose of waste management, whether collected directly from generators
or indirectly through property taxes or as part of utility or other charges for
services provided by the political subdivision.
Sec. 74. Minnesota
Statutes 2002, section 116J.8771, is amended to read:
116J.8771 [WAIVER.]
The capital access program is exempt from
section 16C.05, subdivision 2, paragraph (a), clause (5) (b).
[EFFECTIVE
DATE.] This section is effective the day following final
enactment.
Sec. 75.
Minnesota Statutes 2002, section 179A.03, subdivision 7, is amended to
read:
Subd. 7.
[ESSENTIAL EMPLOYEE.] "Essential employee" means firefighters,
peace officers subject to licensure under sections 626.84 to 626.863, 911
system and police and fire department public safety dispatchers, guards at
correctional facilities, confidential employees, supervisory employees,
assistant county attorneys, assistant city attorneys, principals, and assistant
principals. However, for state
employees, "essential employee" means all employees in law
enforcement, health care professionals, health care nonprofessionals,
correctional guards, professional engineering, and supervisory collective
bargaining units, irrespective of severance, and no other employees. For University of Minnesota employees,
"essential employee" means all employees in law enforcement, nursing
professional and supervisory units, irrespective of severance, and no other
employees. "Firefighters"
means salaried employees of a fire department whose duties include, directly or
indirectly, controlling, extinguishing, preventing, detecting, or investigating
fires. Employees for whom the state
court administrator is the negotiating employer are not essential employees.
[EFFECTIVE
DATE.] This section is effective July 1, 2003.
Sec. 76.
Minnesota Statutes 2002, section 192.501, subdivision 2, is amended to
read:
Subd. 2.
[TUITION AND TEXTBOOK REIMBURSEMENT GRANT PROGRAM.] (a) The adjutant
general shall establish a program to provide tuition and textbook reimbursement
grants to eligible members of the Minnesota national guard within the
limitations of this subdivision.
(b) Eligibility is limited to a member of
the national guard who:
(1) is serving satisfactorily as defined
by the adjutant general;
(2) is attending a post-secondary
educational institution, as defined by section 136A.15, subdivision 6,
including a vocational or technical school operated or regulated by this state
or another state or province; and
(3) provides proof of satisfactory
completion of coursework, as defined by the adjutant general.
In addition, if a member of the Minnesota
national guard is killed in the line of state active service or federally
funded state active service, as defined in section 190.05, subdivisions 5a and
5b, the member's surviving spouse, and any surviving dependent who has not yet
reached 24 years of age, is eligible for a tuition and textbook reimbursement
grant.
The adjutant general may, within the
limitations of this paragraph and other applicable laws, determine additional
eligibility criteria for the grant, and must specify the criteria in department
regulations and publish changes as necessary.
(c) The amount of a tuition and textbook reimbursement
grant must be specified on a schedule as determined and published in department
regulations by the adjutant general, but is limited to a maximum of an amount
equal to the greater of:
(1) 80 percent of the cost of tuition for lower division programs
in the college of liberal arts at the twin cities campus of the University of
Minnesota in the most recent academic year; or
(2) 80 percent of the cost of tuition for the program in which
the person is enrolled at that Minnesota public institution, or if that public
institution is outside the state of Minnesota, for the cost of a comparable
program at the University of Minnesota, except that in the case of a survivor
as defined in paragraph (b), the amount of the tuition and textbook reimbursement
grant for coursework satisfactorily completed by the person is limited to 100
percent of the cost of tuition for post-secondary courses at a Minnesota public
educational institution.
Paragraph (b) notwithstanding, a person is no longer eligible
for a grant under this subdivision once the person has received grants under
this subdivision for the equivalent of 208 quarter credits or 144 semester
credits of coursework.
(d) Tuition and textbook reimbursement grants received under
this subdivision may not be considered by the Minnesota higher education
services office or by any other state board, commission, or entity in
determining a person's eligibility for a scholarship or grant-in-aid under
sections 136A.095 to 136A.1311.
(e) If a member fails to complete a term of enlistment during
which a tuition and textbook reimbursement grant was paid, the adjutant general
may seek to recoup a prorated amount as determined by the adjutant general.
(f) The adjutant general shall maintain records and report any
findings to the legislature by March 1, 2003, on the impact of increasing the
reimbursement amounts under paragraph (c) during the period July 1, 2001,
through December 31, 2002.
(g) This paragraph, paragraph (f), and the amendments made
by Laws 2001, First Special Session chapter 10 to paragraph (c) expire June 30,
2003.
Sec. 77. Minnesota
Statutes 2002, section 197.608, is amended to read:
197.608 [VETERANS SERVICE OFFICE GRANT PROGRAM.]
Subdivision 1. [GRANT
PROGRAM.] A veterans service office grant program is established to be
administered by the commissioner of veterans affairs consisting of grants to
counties to enable them to enhance the effectiveness of their veterans service
offices.
Subd. 2. [RULE
DEVELOPMENT.] The commissioner of veterans affairs shall consult with
the Minnesota association of county veterans service officers in formulating
rules to implement the grant program.
Subd. 2a. [GRANT
CYCLE.] Counties may become eligible to receive grants on a
three-year rotating basis according to a schedule to be developed and
announced in advance by the commissioner. The schedule must list no more than one-third of the
counties in each year of the three-year cycle.
A county may be considered for a grant only in the year of its
listing in the schedule.
Subd. 3. [ELIGIBILITY.]
(a) To be eligible for a grant under this program, a county must:
(1) employ a county veterans service officer as
authorized by sections 197.60 and 197.606, who is certified to serve in this
position by the commissioner of veterans affairs;.
(2) submit a written plan for the proposed expenditures to
enhance the functioning of the county veterans service office in accordance
with the program rules; and
(3) apply for the grant according to procedures to be
established for this program by the commissioner and receive written approval
from the commissioner for the grant in advance of making the proposed
expenditures.
(b) A county that employs a newly hired county veterans service
officer who is serving an initial probationary period and who has not
been certified by the commissioner is eligible to receive a grant under
subdivision 2a.
(c) Except for the situation described in paragraph (b), a
county whose veterans service officer does not receive certification
during any year of the three-year cycle is not eligible to receive a
grant during the remainder of that cycle or the next three-year cycle.
Subd. 4. [GRANT APPLICATION
PROCESS.] (a) A grant application must be submitted to the department
of veterans affairs according to procedures to be established by the
commissioner. The grant application
must include a specific description of the plan for enhancing the operation of
the county veterans service office. The commissioner shall determine
the process for awarding grants. A
grant may be used only for the purpose of enhancing the operations of
the county veterans service office.
(b) The commissioner shall provide a list of qualifying uses
for grant expenditures as developed in subdivision 5 and shall
approve a grant application only if it meets the criteria for
eligibility as established and announced by the commissioner for a
qualifying use and if there are sufficient funds remaining in the
grant program to cover the full amount of the grant. The commissioner may request modification
of a plan. If the commissioner rejects
a grant application, written reasons for the rejection must be provided to the
applicant county and the county may modify the application and resubmit it.
Subd. 5. [QUALIFYING
USES.] The commissioner of veterans affairs shall determine whether
the plan specified in the grant application will enable the applicant county to
enhance the effectiveness of its county veterans office.
Notwithstanding subdivision 3, clause (1), a county may
apply for and use a grant for the training and education required by the
commissioner for a newly employed county veterans service officer's
certificate, or for the continuing education of other staff consult with
the Minnesota association of county veterans service officers in
developing a list of qualifying uses for grants awarded under this
program.
Subd. 6. [GRANT
AMOUNT.] The amount of each grant must be determined by the commissioner of
veterans affairs, and may not exceed the lesser of:
(1) the amount specified in the grant application to be
expended on the plan for enhancing the effectiveness of the county veterans
service office; or
(2) the county's share of the total funds available under
the program, determined in the following manner:
(i) $1,400, if the county's veteran population is less
than 1,000, the county's grant share shall be $2,000;
(ii) $2,800, if the county's veteran population is 1,000
or more but less than 3,000, the county's grant share shall be $4,000;
(iii) $4,200, if the county's veteran population is
3,000 or more but less then 10,000, the county's grant share shall be $6,000;
or
(iv) $5,600, if the county's veteran population is
10,000 or more, the county's grant share shall be $8,000.
In any year, only one-half of the counties in each of
the four veteran population categories (i) to (iv) may be awarded grants. Grants shall be awarded on a first-come
first-served basis to counties submitting applications which meet the
commissioner's criteria as established in the rules. Any county not receiving a grant in any given year shall receive
priority consideration for a grant the following year.
In any year, after a period of time to be determined by the
commissioner, any amounts remaining from undistributed county grant shares may
be reallocated to the other counties which have submitted qualifying
application.
The veteran population of each county shall be determined by
the figure supplied by the United States Department of Veterans Affairs, as
adopted by the commissioner.
Subd. 7.
[RECAPTURE.] If a county fails to use the grant for the
qualified use approved by the commissioner, the commissioner shall seek
recovery of the grant from the county and the county must repay the
grant amount.
Sec. 78. Minnesota
Statutes 2002, section 240.03, is amended to read:
240.03 [COMMISSION POWERS AND DUTIES.]
The commission has the following powers and duties:
(1) to regulate horse racing in Minnesota to ensure that it is
conducted in the public interest;
(2) to issue licenses as provided in this chapter;
(3) to enforce all laws and rules governing horse racing;
(4) to collect and distribute all taxes provided for in this
chapter;
(5) to conduct necessary investigations and inquiries and
compel the submission of information, documents, and records it deems necessary
to carry out its duties;
(6) to supervise the conduct of pari-mutuel betting on horse
racing;
(7) to employ and supervise personnel under this chapter;
(8) to determine the number of racing days to be held in the
state and at each licensed racetrack; and
(9) to take all necessary steps to ensure the integrity of
racing in Minnesota.; and
(10) to impose fees on the racing and card playing industries
sufficient to recover the operating costs of the commission with the
approval of the legislature according to section 16A.1283. Notwithstanding section 16A.1283, when the
legislature is not in session, the commissioner of finance may grant
interim approval for any new fees or adjustments to existing fees that
are not statutorily specified, until such time as the legislature
reconvenes and acts upon the new fees or adjustments. As part of its biennial budget request, the
commission must propose changes to its fees that will be sufficient
to recover the operating costs of the commission.
Sec. 79. Minnesota
Statutes 2002, section 240.10, is amended to read:
240.10 [LICENSE FEES.]
The fee for a class A license is $10,000 per year. The fee for a class B license is $100 for
each assigned racing day on which racing is actually conducted, and $50 for
each day on which simulcasting is authorized and actually takes place, plus
$10,000 per year if the class B license includes authorization to operate a
card club. The fee for a class D
license is $50 for each assigned racing day on which racing is actually
conducted. Fees imposed on class B and
class D licenses must be paid to the commission at a time and in a manner as
provided by rule of the commission.
The commission shall by rule establish an annual license fee
for each occupation it licenses under section 240.08 but no annual fee for a
class C license may exceed $100.
License fee payments received must be paid by the commission
to the state treasurer for deposit in the general fund.
Sec. 80. Minnesota
Statutes 2002, section 240.15, subdivision 6, is amended to read:
Subd. 6. [DISPOSITION
OF PROCEEDS; ACCOUNT.] The commission shall distribute all money
received under this section, and all money received from license fees and fines
it collects, as follows: according to this subdivision. All money designated for deposit in the
Minnesota breeders fund must be paid into that fund for distribution under
section 240.18 except that all money generated by full racing card simulcasts
must be distributed as provided in section 240.18, subdivisions 2, paragraph
(d), clauses (1), (2), and (3); and 3.
Revenue from an admissions tax imposed under subdivision 1 must be paid
to the local unit of government at whose request it was imposed, at times and
in a manner the commission determines. All
other revenues Taxes received under this section by the
commission, and all license fees, fines, and other revenue it receives, and
fines collected under section 240.22 must be paid to the state treasurer
for deposit in the general fund. All
revenues from licenses and other fees imposed by the commission must be
deposited in the state treasury and credited to a racing and card
playing regulation account in the special revenue fund. Receipts in this account are available
for the operations of the commission up to the amount authorized in
biennial appropriations from the legislature.
Sec. 81. Minnesota
Statutes 2002, section 240.155, subdivision 1, is amended to read:
Subdivision 1.
[REIMBURSEMENT ACCOUNT CREDIT.] Money received by the commission as
reimbursement for the costs of services provided by assistant
veterinarians, stewards, and medical testing of horses must be deposited in the
state treasury and credited to a racing reimbursement account, except as
provided under subdivision 2. Receipts
are appropriated to the commission to pay the costs of providing the services.
Sec. 82. Minnesota
Statutes 2002, section 240A.03, subdivision 10, is amended to read:
Subd. 10. [USE
AGREEMENTS AND FEES.] The commission may lease, license, or enter into
agreements and may fix, alter, charge, and collect rentals, fees, and charges
to persons for the use, occupation, and availability of part or all of any
premises, property, or facilities under its ownership, operation, or
control. Fees charged by the
commission are not subject to section 16A.1285. The commission may also impose other fees it deems
appropriate with the approval of the legislature according to section 16A.1283. Notwithstanding section 16A.1283,
when the legislature is not in session, the commissioner of finance may
grant interim approval of the fees, until such time as the legislature
reconvenes and acts upon the fees.
Revenues generated by the commission under this section must be
sufficient to offset the biennial appropriations it receives from the
legislature and must be deposited to the state treasury and credited to
the general fund. A use agreement
may provide that the other contracting party has exclusive use of the premises
at the times agreed upon. As part of
its biennial budget request, the commission must propose changes to its
fees that will be sufficient to recover the direct appropriation to the
commission.
Sec. 83. Minnesota Statutes 2002, section 240A.03, subdivision 15, is
amended to read:
Subd. 15.
[ADVERTISING.] The commission may accept paid advertising in its
publications. Funds received from
advertising are annually appropriated to the commission for its
publications. The commission must
annually report the amount of funds received under this subdivision to the
chair of the house of representatives ways and means and senate finance
committees must be deposited to the state treasury and credited to
the general fund.
Sec. 84. Minnesota
Statutes 2002, section 240A.04, is amended to read:
240A.04 [PROMOTION AND DEVELOPMENT OF AMATEUR SPORTS.]
In addition to the powers and duties granted under section
240A.03, the commission shall may:
(1) promote the development of olympic training centers;
(2) promote physical fitness by promoting participation in
sports;
(3) develop, foster, and coordinate physical fitness services
and programs;
(4) sponsor amateur sport workshops, clinics, and conferences;
(5) provide recognition for outstanding developments,
achievements, and contributions to amateur sports;
(6) stimulate and promote amateur sport research;
(7) collect, disseminate, and communicate amateur sport
information;
(8) promote amateur sport and physical fitness programs in
schools and local communities;
(9) develop programs to promote personal health and physical
fitness by participation in amateur sports in cooperation with medical, dental,
sports medicine, and similar professional societies;
(10) promote the development of recreational amateur sport
opportunities and activities in the state, including the means of facilitating
acquisition, financing, construction, and rehabilitation of sports facilities
for the holding of amateur sporting events;
(11) promote national and international amateur sport
competitions and events;
(12) sanction or sponsor amateur sport competition;
(13) take membership in regional or national amateur sports
associations or organizations; and
(14) promote the mainstreaming and normalization of people with
physical disabilities and visual and hearing impairments in amateur sports.
Sec. 85. Minnesota
Statutes 2002, section 240A.06, subdivision 1, is amended to read:
Subdivision 1.
[SPONSORSHIP REQUIRED.] The commission shall may sponsor
and sanction a series of statewide amateur athletic games patterned after the
winter and summer Olympic Games, with variations as required by facilities,
equipment, and expertise, and as necessary to include people with physical
disabilities and visual and hearing impairments. The games may be held annually beginning in 1989, if money and
facilities are available, unless the time of the games would conflict with
other sporting events as the commission determines.
Sec. 86. Minnesota Statutes 2002, section 256B.435, subdivision 2a, is
amended to read:
Subd. 2a. [DURATION AND
TERMINATION OF CONTRACTS.] (a) All contracts entered into under this section
are for a term of one year. Either
party may terminate this contract at any time without cause by providing 90
calendar days' advance written notice to the other party. Notwithstanding section 16C.05, subdivisions
2, paragraph (a) (b), and 5, if neither party provides written
notice of termination, the contract shall be renegotiated for additional
one-year terms or the terms of the existing contract will be extended for one
year. The provisions of the contract
shall be renegotiated annually by the parties prior to the expiration date of
the contract. The parties may voluntarily
renegotiate the terms of the contract at any time by mutual agreement.
(b) If a nursing facility fails to comply with the terms of a
contract, the commissioner shall provide reasonable notice regarding the breach
of contract and a reasonable opportunity for the facility to come into
compliance. If the facility fails to
come into compliance or to remain in compliance, the commissioner may terminate
the contract. If a contract is
terminated, provisions of section 256B.48, subdivision 1a, shall apply.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 87. Minnesota
Statutes 2002, section 268.186, is amended to read:
268.186 [RECORDS.]
(a) Each employer shall keep true and accurate records for the
periods of time and containing the information the commissioner may
require. For the purpose of
administering this chapter, the commissioner has the power to examine, or cause
to be supplied or copied, any books, correspondence, papers, records, or
memoranda that are relevant, whether the books, correspondence, papers,
records, or memoranda are the property of or in the possession of the employer
or any other person at any reasonable time and as often as may be necessary.
(b) The commissioner may make summaries, compilations,
photographs, duplications, or reproductions of any records, or reports that the
commissioner considers advisable for the preservation of the information
contained therein. Any summaries,
compilations, photographs, duplications, or reproductions shall be admissible
in any proceeding under this chapter. Regardless
of any restrictions contained in section 16B.50, The commissioner may
duplicate records, reports, summaries, compilations, instructions,
determinations, or any other written or recorded matter pertaining to the
administration of this chapter.
(c) Regardless of any law to the contrary, the commissioner may
provide for the destruction of any records, reports, or reproductions thereof,
or other papers, that are more than two years old, and that are no longer
necessary for determining employer liability or an applicant's unemployment
benefit rights or for the administration of this chapter, including any
required audit. The commissioner may
provide for the destruction or disposition of any record, report, or other
paper that has been photographed, duplicated, or reproduced.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 88. Minnesota
Statutes 2002, section 270.052, is amended to read:
270.052 [AGREEMENT WITH INTERNAL REVENUE SERVICE.]
Pursuant to section 270B.12, the commissioner may enter into an
agreement with the Internal Revenue Service to identify taxpayers who have
refunds due from the department of revenue and liabilities owing to the
Internal Revenue Service. In accordance
with the procedures established in the agreement, the Internal Revenue Service
may levy against the refunds to be paid by the department of revenue. For each refund levied upon, the commissioner
shall first deduct from the refund a fee of $20, and then remit the
refund or the amount of the levy, whichever is less, to the Internal
Revenue Service. The proceeds of fees
shall be deposited into the department of revenue recapture revolving
fund under section 270A.07, subdivision 1.
[EFFECTIVE DATE.] This
section is effective the day following final enactment.
Sec. 89. Minnesota
Statutes 2002, section 270.44, is amended to read:
270.44 [CHARGES FOR COURSES, EXAMINATIONS OR MATERIALS.]
The board may establish reasonable fees or charges for
courses, examinations or materials, the proceeds of which shall be used to
finance the activities and operation of the board.
The board shall charge the following fees:
(1) $105 for a senior accredited Minnesota assessor license;
(2) $80 for an accredited Minnesota assessor license;
(3) $65 for a certified Minnesota assessor specialist license;
(4) $55 for a certified Minnesota assessor license;
(5) $50 for a course challenge examination;
(6) $35 for grading a form appraisal;
(7) $60 for grading a narrative appraisal;
(8) $30 for a reinstatement fee;
(9) $25 for a record retention fee;
(10) $20 for an educational transcript; and
(11) $30 for all retests of board-sponsored educational courses.
[EFFECTIVE DATE.] This
section is effective for license terms beginning on or after July 1,
2004, and for all other fees imposed on or after July 1, 2004.
Sec. 90. Minnesota
Statutes 2002, section 270A.07, subdivision 1, is amended to read:
Subdivision 1.
[NOTIFICATION REQUIREMENT.] Any claimant agency, seeking collection of a
debt through setoff against a refund due, shall submit to the commissioner
information indicating the amount of each debt and information identifying the
debtor, as required by section 270A.04, subdivision 3.
For each setoff of a debt against a refund due, the
commissioner shall charge a fee of $10 $15. The proceeds of fees shall be allocated by
depositing $2.55 $4 of each $10 $15 fee collected
into a department of revenue recapture revolving fund and depositing the
remaining balance into the general fund.
The sums deposited into the revolving fund are appropriated to the
commissioner for the purpose of administering the Revenue Recapture Act.
The claimant agency shall notify the
commissioner when a debt has been satisfied or reduced by at least $200 within
30 days after satisfaction or reduction.
[EFFECTIVE DATE.] This
section is effective for refund setoffs after June 30, 2003.
Sec. 91. Minnesota Statutes
2002, section 306.95, is amended to read:
306.95 [DUTIES OF THE COUNTY AUDITOR.]
Subdivision 1.
[NOTIFICATION OF STATE AUDITOR.] Any county auditor finding
evidence of violations of this chapter when reviewing reports or bonds filed by
any person, firm, partnership, association, or corporation operating a
cemetery, mausoleum, or columbarium must notify the state auditor's office
county attorney in a timely manner of such finding.
Subd. 2. [ANNUAL
LETTER.] Every county auditor must file an annual letter by May 31 with the state
auditor's office county attorney disclosing whether the county
auditor has detected any indications of violations of this chapter in the
reports or bonds which were filed or should have been filed. If the county auditor has not detected from
the information supplied to the county auditor any such indications, that fact
must be reported to the state auditor county attorney in the
annual letter.
Sec. 92. [326.992]
[BOND REQUIREMENT; GAS, HEATING, VENTILATION, AIR CONDITIONING, REFRIGERATION
(G/HVACR) CONTRACTORS.]
(a) A person contracting to do gas, heating, ventilation,
cooling, air conditioning, fuel burning, or refrigeration work must
give bond to the state in the amount of $25,000 for all work entered
into within the state. The bond must be
for the benefit of persons suffering financial loss by reason of the
contractor's failure to comply with the requirements of the State
Mechanical Code. A bond given to the
state must be filed with the commissioner of administration and is in
lieu of all other bonds to any political subdivision required for work
covered by this section. The bond
must be written by a corporate surety licensed to do business in the
state.
(b) The commissioner of administration may charge each person
giving bond under this section an annual bond filing fee of $25. The money must be deposited in the state
government special revenue fund and is appropriated to the commissioner
to cover the cost of administering the bond program.
Sec. 93. Minnesota
Statutes 2002, section 327A.01, subdivision 2, is amended to read:
Subd. 2. [BUILDING
STANDARDS.] "Building standards" means the materials and
installation standards of the State Building Code, adopted by the
commissioner of administration pursuant to sections 16B.59 to 16B.75, that
is in effect at the time of the construction or remodeling.
Sec. 94. Minnesota
Statutes 2002, section 349.12, is amended by adding a subdivision to read:
Subd. 11a.
[DISTRIBUTOR SALESPERSON.] "Distributor salesperson"
means a person who in any manner receives orders for gambling equipment
or who solicits a licensed, exempt, or excluded organization to purchase
gambling equipment from a licensed distributor.
Sec. 95. Minnesota
Statutes 2002, section 349.12, subdivision 25, is amended to read:
Subd. 25. [LAWFUL
PURPOSE.] (a) "Lawful purpose" means one or more of the following:
(1) any expenditure by or contribution to a 501(c)(3) or
festival organization, as defined in subdivision 15a, provided that the
organization and expenditure or contribution are in conformity with standards
prescribed by the board under section 349.154, which standards must apply to
both types of organizations in the same manner and to the same extent;
(2) a contribution to an individual or family suffering from
poverty, homelessness, or physical or mental disability, which is used to
relieve the effects of that poverty, homelessness, or disability;
(3) a contribution to an individual for treatment for delayed
posttraumatic stress syndrome or a contribution to a program recognized by the
Minnesota department of human services for the education, prevention, or
treatment of compulsive gambling;
(4) a contribution to or expenditure on a public or private
nonprofit educational institution registered with or accredited by this state
or any other state;
(5) a contribution to a scholarship fund for defraying the cost
of education to individuals where the funds are awarded through an open and
fair selection process;
(6) activities by an organization or a government entity which
recognize humanitarian or military service to the United States, the state of
Minnesota, or a community, subject to rules of the board, provided that the
rules must not include mileage reimbursements in the computation of the per
occasion reimbursement limit and must impose no aggregate annual limit on the
amount of reasonable and necessary expenditures made to support:
(i) members of a military marching or color guard unit for
activities conducted within the state;
(ii) members of an organization solely for services performed
by the members at funeral services; or
(iii) members of military marching, color guard, or honor guard
units may be reimbursed for participating in color guard, honor guard, or
marching unit events within the state or states contiguous to Minnesota at a
per participant rate of up to $35 per occasion;
(7) recreational, community, and athletic facilities and
activities intended primarily for persons under age 21, provided that such
facilities and activities do not discriminate on the basis of gender and the
organization complies with section 349.154;
(8) payment of local taxes authorized under this chapter, taxes
imposed by the United States on receipts from lawful gambling, the taxes
imposed by section 297E.02, subdivisions 1, 4, 5, and 6, and the tax imposed on
unrelated business income by section 290.05, subdivision 3;
(9) payment of real estate taxes and assessments on permitted
gambling premises wholly owned by the licensed organization paying the taxes,
or wholly leased by a licensed veterans organization under a national charter
recognized under section 501(c)(19) of the Internal Revenue Code, not to
exceed:
(i) for premises used for bingo, the amount that an organization
may expend under board rules on rent for bingo; and
(ii) $35,000 per year for premises used for other forms of
lawful gambling;
(10) a contribution to the United States, this state or
any of its political subdivisions, or any agency or instrumentality thereof
other than a direct contribution to a law enforcement or prosecutorial agency;
(11) a contribution to or expenditure by a nonprofit
organization which is a church or body of communicants gathered in common
membership for mutual support and edification in piety, worship, or religious
observances;
(12) payment of the reasonable costs of an audit required in
section 297E.06, subdivision 4, provided the annual audit is filed in a timely
manner with the department of revenue;
(13) a contribution to or expenditure on a wildlife management
project that benefits the public at-large, provided that the state agency with
authority over that wildlife management project approves the project before the
contribution or expenditure is made;
(14) expenditures, approved by the commissioner of natural
resources, by an organization for grooming and maintaining snowmobile trails
and all-terrain vehicle trails that are (1) grant-in-aid trails established
under section 85.019, or (2) other trails open to public use, including
purchase or lease of equipment for this purpose; or
(15) conducting nutritional programs, food shelves, and
congregate dining programs primarily for persons who are age 62 or older or
disabled;
(16) a contribution to a community arts organization, or an
expenditure to sponsor arts programs in the community, including but not
limited to visual, literary, performing, or musical arts;
(17) payment of heat, water, sanitation, telephone, and other
utility bills for a building owned or leased by, and used as the primary
headquarters of, a veterans organization; or
(18) expenditure by a veterans organization of up to $5,000 in
a calendar year in net costs to the organization for meals and other membership
events, limited to members and spouses, held in recognition of military service;
or
(19) payment of fees authorized under this chapter imposed
by the state of Minnesota to conduct lawful gambling in Minnesota.
(b) Notwithstanding paragraph (a), "lawful purpose"
does not include:
(1) any expenditure made or incurred for the purpose of
influencing the nomination or election of a candidate for public office or for
the purpose of promoting or defeating a ballot question;
(2) any activity intended to influence an election or a
governmental decision-making process;
(3) the erection, acquisition, improvement, expansion, repair,
or maintenance of real property or capital assets owned or leased by an
organization, unless the board has first specifically authorized the expenditures
after finding that (i) the real property or capital assets will be used
exclusively for one or more of the purposes in paragraph (a); (ii) with respect
to expenditures for repair or maintenance only, that the property is or will be
used extensively as a meeting place or event location by other nonprofit
organizations or community or service groups and that no rental fee is charged
for the use; (iii) with respect to expenditures, including a mortgage payment
or other debt service payment, for erection or acquisition only, that the
erection or acquisition is necessary to replace with a comparable building, a
building owned by the organization and destroyed or made uninhabitable by fire
or natural disaster, provided that the expenditure may be only for that part of
the replacement cost not reimbursed by insurance; (iv) with respect to
expenditures, including a mortgage payment or other debt service payment, for
erection or acquisition only, that the erection or acquisition is necessary to
replace with a comparable building a building owned by the organization that
was acquired from the organization by eminent domain or sold by the
organization to a purchaser that the organization
reasonably believed would otherwise have acquired the building by eminent domain,
provided that the expenditure may be only for that part of the replacement cost
that exceeds the compensation received by the organization for the building
being replaced; or (v) with respect to an expenditure to bring an existing
building into compliance with the Americans with Disabilities Act under item
(ii), an organization has the option to apply the amount of the board-approved
expenditure to the erection or acquisition of a replacement building that is in
compliance with the Americans with Disabilities Act;
(4) an expenditure by an organization which is a contribution
to a parent organization, foundation, or affiliate of the contributing
organization, if the parent organization, foundation, or affiliate has provided
to the contributing organization within one year of the contribution any money,
grants, property, or other thing of value;
(5) a contribution by a licensed organization to another
licensed organization unless the board has specifically authorized the
contribution. The board must authorize
such a contribution when requested to do so by the contributing organization
unless it makes an affirmative finding that the contribution will not be used
by the recipient organization for one or more of the purposes in paragraph (a);
or
(6) a contribution to a statutory or home rule charter city,
county, or town by a licensed organization with the knowledge that the
governmental unit intends to use the contribution for a pension or retirement
fund.
Sec. 96. Minnesota
Statutes 2002, section 349.151, subdivision 4, is amended to read:
Subd. 4. [POWERS AND
DUTIES.] (a) The board has the following powers and duties:
(1) to regulate lawful gambling to ensure it is conducted in
the public interest;
(2) to issue licenses to organizations, distributors, distributor
salespersons, bingo halls, manufacturers, and gambling managers;
(3) to collect and deposit license, permit, and registration
fees due under this chapter;
(4) to receive reports required by this chapter and inspect all
premises, records, books, and other documents of organizations, distributors,
manufacturers, and bingo halls to insure compliance with all applicable laws
and rules;
(5) to make rules authorized by this chapter;
(6) to register gambling equipment and issue registration
stamps;
(7) to provide by rule for the mandatory posting by
organizations conducting lawful gambling of rules of play and the odds and/or
house percentage on each form of lawful gambling;
(8) to report annually to the governor and legislature on its
activities and on recommended changes in the laws governing gambling;
(9) to impose civil penalties of not more than $500 per
violation on organizations, distributors, employees eligible to make sales
on behalf of a distributor salespersons, manufacturers, bingo halls,
and gambling managers for failure to comply with any provision of this chapter
or any rule or order of the board;
(10) to issue premises permits to organizations licensed to
conduct lawful gambling;
(11) to delegate to the director the authority to issue or deny
license and premises permit applications and renewals under criteria
established by the board;
(12) to suspend or revoke licenses and premises permits of
organizations, distributors, distributor salespersons, manufacturers,
bingo halls, or gambling managers as provided in this chapter;
(13) to register employees of organizations licensed to conduct
lawful gambling;
(14) to require fingerprints from persons determined by board
rule to be subject to fingerprinting;
(15) to delegate to a compliance review group of the board the
authority to investigate alleged violations, issue consent orders, and initiate
contested cases on behalf of the board;
(16) to order organizations, distributors, distributor salespersons,
manufacturers, bingo halls, and gambling managers to take corrective actions;
and
(17) to take all necessary steps to ensure the integrity of and
public confidence in lawful gambling.
(b) The board, or director if authorized to act on behalf of
the board, may by citation assess any organization, distributor, employee
eligible to make sales on behalf of a distributor, manufacturer, bingo hall
licensee, or gambling manager a civil penalty of not more than $500 per
violation for a failure to comply with any provision of this chapter or any
rule adopted or order issued by the board.
Any organization, distributor, bingo hall licensee, gambling manager, or
manufacturer assessed a civil penalty under this paragraph may request a
hearing before the board. Appeals of
citations imposing a civil penalty are not subject to the provisions of the
Administrative Procedure Act.
(c) All fees and penalties received by the board must be
deposited in the general fund.
(d) All fees imposed by the board under sections 349.16 to
349.165 must be deposited in the state treasury and credited to a
lawful gambling regulation account in the special revenue fund. Receipts in this account are available
for the operations of the board up to the amount authorized in biennial
appropriations from the legislature.
Sec. 97. Minnesota
Statutes 2002, section 349.151, subdivision 4b, is amended to read:
Subd. 4b. [PULL-TAB
SALES FROM DISPENSING DEVICES.] (a) The board may by rule authorize but not
require the use of pull-tab dispensing devices.
(b) Rules adopted under paragraph (a):
(1) must limit the number of pull-tab dispensing devices on any
permitted premises to three; and
(2) must limit the use of pull-tab dispensing devices to a
permitted premises which is (i) a licensed premises for on-sales of
intoxicating liquor or 3.2 percent malt beverages; or (ii) a licensed bingo
hall that allows gambling only by persons 18 years or older.
(c) Notwithstanding rules adopted under paragraph (b), pull-tab
dispensing devices may be used in establishments licensed for the off-sale of
intoxicating liquor, other than drugstores and general food stores licensed
under section 340A.405, subdivision 1.
(d) The director may charge a manufacturer a fee of up to
$5,000 per pull-tab dispensing device to cover the costs of services provided
by an independent testing laboratory to perform testing and analysis of
pull-tab dispensing devices. The
director shall deposit in a separate account in the state treasury all money
the director receives as reimbursement for the costs of services provided by
independent testing laboratories that have entered into contracts with the
state to perform testing and analysis of pull-tab dispensing devices. Money in
the account is appropriated to the director to pay the costs of services under
those contracts.
Sec. 98. Minnesota
Statutes 2002, section 349.155, subdivision 3, is amended to read:
Subd. 3. [MANDATORY
DISQUALIFICATIONS.] (a) In the case of licenses for manufacturers, distributors,
distributor salespersons, bingo halls, and gambling managers, the
board may not issue or renew a license under this chapter, and shall revoke a
license under this chapter, if the applicant or licensee, or a director,
officer, partner, governor, or person in a supervisory or management
position of the applicant or licensee, or an employee eligible to make sales
on behalf of the applicant or licensee:
(1) has ever been convicted of a felony or a crime involving
gambling;
(2) has ever been convicted of (i) assault, (ii) a criminal
violation involving the use of a firearm, or (iii) making terroristic threats;
(3) is or has ever been connected with or engaged in an illegal
business;
(4) owes $500 or more in delinquent taxes as defined in section
270.72;
(5) had a sales and use tax permit revoked by the commissioner
of revenue within the past two years; or
(6) after demand, has not filed tax returns required by the
commissioner of revenue. The board may
deny or refuse to renew a license under this chapter, and may revoke a license
under this chapter, if any of the conditions in this paragraph are applicable
to an affiliate or direct or indirect holder of more than a five percent
financial interest in the applicant or licensee.
(b) In the case of licenses for organizations, the board may
not issue or renew a license under this chapter, and shall revoke a license
under this chapter, if the organization, or an officer or member of the
governing body of the organization:
(1) has been convicted of a felony or gross misdemeanor within
the five years before the issuance or renewal of the license;
(2) has ever been convicted of a crime involving gambling; or
(3) has had a license issued by the board or director
permanently revoked for violation of law or board rule.
Sec. 99. Minnesota
Statutes 2002, section 349.16, subdivision 6, is amended to read:
Subd. 6. [LICENSE CLASSIFICATIONS
FEES.] The board may issue four classes of organization
licenses: a class A license authorizing
all forms of lawful gambling; a class B license authorizing all forms of lawful
gambling except bingo; a class C license authorizing bingo only, or bingo and
pull-tabs if the gross receipts for any combination of bingo and pull-tabs does
not exceed $50,000 per year; and a class D license authorizing raffles only. The board shall not charge a fee for an
organization impose a fee of $100 for an organization's initial license
application. There is no charge for a
renewal license.
Sec. 100. Minnesota
Statutes 2002, section 349.161, subdivision 1, is amended to read:
Subdivision 1.
[PROHIBITED ACTS; LICENSES REQUIRED.] (a) No person may:
(1) sell, offer for sale, or furnish gambling equipment for use
within the state other than for lawful gambling exempt or excluded from
licensing, except to an organization licensed for lawful gambling;
(2) sell, offer for sale, or furnish
gambling equipment for use within the state without having obtained a
distributor license or a distributor salesperson license under this
section;
(3) sell, offer for sale, or furnish gambling equipment for use
within the state that is not purchased or obtained from a manufacturer or
distributor licensed under this chapter; or
(4) sell, offer for sale, or furnish gambling equipment for use
within the state that has the same serial number as another item of gambling
equipment of the same type sold or offered for sale or furnished for use in the
state by that distributor.
(b) No licensed distributor salesperson may sell, offer for
sale, or furnish gambling equipment for use within the state without
being employed by a licensed distributor or owning a distributor license.
Sec. 101. Minnesota
Statutes 2002, section 349.161, subdivision 4, is amended to read:
Subd. 4. [FEES.] (a)
The initial annual fee for a distributor's license is $3,500
$6,000. The initial term of a
distributor's license is one year.
Renewal licenses under this section are valid for two years and the fee
for the renewal license is $7,000.
(b) The annual fee for a distributor salesperson license is
$100.
Sec. 102. Minnesota
Statutes 2002, section 349.161, subdivision 5, is amended to read:
Subd. 5. [PROHIBITION.]
(a) No distributor, distributor salesperson, or other
employee of a distributor, may also be a wholesale distributor of alcoholic
beverages or an employee of a wholesale distributor of alcoholic beverages.
(b) No distributor, distributor salesperson, or any
representative, agent, affiliate, or other employee of a distributor,
may: (1) be involved in the conduct of
lawful gambling by an organization; (2) keep or assist in the keeping of an
organization's financial records, accounts, and inventories; or (3) prepare or
assist in the preparation of tax forms and other reporting forms required to be
submitted to the state by an organization.
(c) No distributor, distributor salesperson, or any
representative, agent, affiliate, or other employee of a distributor may
provide a lessor of gambling premises any compensation, gift, gratuity,
premium, or other thing of value.
(d) No distributor, distributor salesperson, or any
representative, agent, affiliate, or other employee of a distributor may
participate in any gambling activity at any gambling site or premises where
gambling equipment purchased from that distributor or distributor
salesperson is being used in the conduct of lawful gambling.
(e) No distributor, distributor salesperson, or any
representative, agent, affiliate, or other employee of a distributor may
alter or modify any gambling equipment, except to add a "last ticket
sold" prize sticker.
(f) No distributor, distributor salesperson, or any
representative, agent, affiliate, or other employee of a distributor
may: (1) recruit a person to become a
gambling manager of an organization or identify to an organization a person as
a candidate to become gambling manager for the organization; or (2) identify
for an organization a potential gambling location.
(g) No distributor or distributor salesperson may
purchase gambling equipment for resale to a person for use within the state
from any person not licensed as a manufacturer under section 349.163.
(h) No distributor or distributor
salesperson may sell gambling equipment to any person for use in Minnesota
other than (i) a licensed organization or organization excluded or exempt from
licensing, or (ii) the governing body of an Indian tribe.
(i) No distributor or distributor salesperson may sell
or otherwise provide a pull-tab or tipboard deal with the symbol required by section
349.163, subdivision 5, paragraph (h), visible on the flare to any person other
than in Minnesota to a licensed organization or organization exempt from
licensing.
Sec. 103. Minnesota
Statutes 2002, section 349.162, subdivision 1, is amended to read:
Subdivision 1. [STAMP
REQUIRED.] (a) A distributor may not sell, transfer, furnish, or otherwise
provide to a person, and no person may purchase, borrow, accept, or acquire
from a distributor gambling equipment for use within the state unless the
equipment has been registered with the board and has a registration stamp
affixed, except for gambling equipment not stamped by the manufacturer pursuant
to section 349.163, subdivision 5 or 8.
The board shall charge a fee of five cents for each stamp. Each stamp must bear a registration number
assigned by the board. A distributor
or manufacturer is entitled to a refund for unused registration stamps and
replacement for registration stamps which are defective or canceled by the
distributor or manufacturer.
(b) A manufacturer must return all unused registration stamps
in its possession to the board by February 1, 1995. No manufacturer may possess unaffixed registration stamps after
February 1, 1995.
(c) After February 1, 1996, no person may possess any unplayed
pull-tab or tipboard deals with a registration stamp affixed to the flare or
any unplayed paddleticket cards with a registration stamp affixed to the master
flare. This paragraph does not apply to
unplayed pull-tab or tipboard deals with a registration stamp affixed to the
flare, or to unplayed paddleticket cards with a registration stamp affixed to
the master flare, if the deals or cards are identified on a list of existing
inventory submitted by a licensed organization or a licensed distributor, in a
format prescribed by the commissioner of revenue, to the commissioner of
revenue on or before February 1, 1996.
Gambling equipment kept in violation of this paragraph is contraband
under section 349.2125.
Sec. 104. Minnesota
Statutes 2002, section 349.163, subdivision 2, is amended to read:
Subd. 2. [LICENSE;
FEE.] The initial license under this section is valid for one year. The fee for the initial license is
$5,000. Renewal licenses under this
section are valid for two years and the fee for the renewal license
is $10,000. The annual
fee for a manufacturer's license is $9,000.
Sec. 105. Minnesota
Statutes 2002, section 349.163, subdivision 6, is amended to read:
Subd. 6. [SAMPLES OF
GAMBLING EQUIPMENT.] The board shall require each licensed manufacturer to
submit to the board one or more samples of each item of gambling equipment the
manufacturer manufactures for use or resale in this state. The board shall inspect and test all the equipment
it deems necessary to determine the equipment's compliance with law and board
rules. Samples required under this subdivision must be approved by the board
before the equipment being sampled is shipped into or sold for use or resale in
this state. The board shall impose a
fee of $25 for each item of gambling equipment that the manufacturer
submits for approval or for which the manufacturer requests approval. The board shall impose a fee of $100 for
each sample of gambling equipment that it tests. The board may require samples of
gambling equipment to be tested by an independent testing laboratory
prior to submission to the board for approval. All costs of testing by an independent testing laboratory
must be borne by the manufacturer. An
independent testing laboratory used by a manufacturer to test samples of
gambling equipment must be approved by the board before the equipment
is submitted to the laboratory for testing. The board may request the assistance of the commissioner of
public safety and the director of the state lottery in performing the tests.
Sec. 106. Minnesota Statutes 2002, section 349.164, subdivision 4, is
amended to read:
Subd. 4. [FEES; TERM OF
LICENSE.] The initial annual fee for a bingo hall license is $2,500
$4,000. An initial license
under this section is valid for one year.
Renewal licenses under this section are valid for two years and the fee
for the renewal license is $5,000.
Sec. 107. Minnesota
Statutes 2002, section 349.165, subdivision 3, is amended to read:
Subd. 3. [FEES.] (a)
The board may issue four classes of premises permits corresponding to the
classes of licenses authorized under section 349.16, subdivision 6. The fee for each class of permit is:
(1) $400 for a class A permit;
(2) $250 for a class B permit;
(3) $200 for a class C permit; and
(4) $150 for a class D permit.
(b) If a premises permit is issued during the second year of
an organization's license, the fee for each class of permit is:
(1) $200 for a class A permit;
(2) $125 for a class B permit;
(3) $100 for a class C permit; and
(4) $75 for a class D permit.
The monthly fee for a premises permit is 0.18 percent of
the organization's gross receipts from lawful gambling conducted at
that site. The fee shall be reported
and paid on a monthly basis in a format as determined by the
commissioner of revenue, and remitted to the commissioner of revenue
along with the organization's monthly tax return for that premises. All premises permit fees received by
the commissioner of revenue pursuant to this subdivision must be
deposited in the lawful gambling regulation account of the special
revenue fund according to section 349.151. Failure to pay the monthly premises permit fees in a
timely manner may result in disciplinary action by the board.
Sec. 108. Minnesota
Statutes 2002, section 349.166, subdivision 1, is amended to read:
Subdivision 1.
[EXCLUSIONS.] (a) Bingo may be conducted without a license and without
complying with sections 349.168, subdivisions 1 and 2; 349.17, subdivisions 1,
4, and 5; 349.18, subdivision 1; and 349.19, if it is conducted:
(1) by an organization in connection with a county fair, the
state fair, or a civic celebration and is not conducted for more than 12
consecutive days and is limited to no more than four separate applications for
activities applied for and approved in a calendar year; or
(2) by an organization that conducts four or fewer bingo
occasions in a calendar year.
An organization that holds a license
to conduct lawful gambling under this chapter may not conduct bingo under this
subdivision.
(b) Bingo may be conducted within a nursing home or a senior
citizen housing project or by a senior citizen organization if the prizes for a
single bingo game do not exceed $10, total prizes awarded at a single bingo
occasion do not exceed $200, no more than two bingo occasions are held by the
organization or at the facility each week, only members of the organization or
residents of the nursing home or housing project are allowed to play in a bingo
game, no compensation is paid for any persons who conduct the bingo, and a
manager is appointed to supervise the bingo.
Bingo conducted under this paragraph is exempt from sections 349.11 to
349.23, and the board may not require an organization that conducts bingo under
this paragraph, or the manager who supervises the bingo, to register or file a
report with the board. The gross
receipts from bingo conducted under the limitations of this subdivision are
exempt from taxation under chapter 297A.
(c) Raffles may be conducted by an organization without a
license and without complying with sections 349.154 to 349.165 and 349.167 to
349.213 if the value of all raffle prizes awarded by the organization in a
calendar year does not exceed $750 $1,500.
(d) Except as provided in paragraph (b), the organization must
maintain all required records of excluded gambling activity for 3-1/2 years.
Sec. 109. Minnesota
Statutes 2002, section 349.166, subdivision 2, is amended to read:
Subd. 2. [EXEMPTIONS.]
(a) Lawful gambling may be conducted by an organization without a license and
without complying with sections 349.168, subdivisions 1 and 2; 349.17,
subdivisions 4 and 5; 349.18, subdivision 1; and 349.19 if:
(1) the organization conducts lawful gambling on five or fewer
days in a calendar year;
(2) the organization does not award more than $50,000 in prizes
for lawful gambling in a calendar year;
(3) the organization pays a fee of $25 $50 to the
board, notifies the board in writing not less than 30 days before each lawful
gambling occasion of the date and location of the occasion, or 60 days for an
occasion held in the case of a city of the first class, the types of lawful
gambling to be conducted, the prizes to be awarded, and receives an exemption
identification number;
(4) the organization notifies the local government unit 30 days
before the lawful gambling occasion, or 60 days for an occasion held in a city
of the first class;
(5) the organization purchases all gambling equipment and
supplies from a licensed distributor; and
(6) the organization reports to the board, on a single-page
form prescribed by the board, within 30 days of each gambling occasion, the
gross receipts, prizes, expenses, expenditures of net profits from the
occasion, and the identification of the licensed distributor from whom all
gambling equipment was purchased.
(b) If the organization fails to file a timely report as
required by paragraph (a), clause (3) or (6), the board shall not issue any
authorization, license, or permit to the organization to conduct lawful
gambling on an exempt, excluded, or licensed basis until the report has been
filed.
(c) Merchandise prizes must be valued at their fair market
value.
(d) Unused pull-tab and tipboard deals must be returned to
the distributor within seven working days after the end of the lawful gambling
occasion. The distributor must accept
and pay a refund for all returns of unopened and undamaged deals returned under
this paragraph.
(e) An organization that is exempt from taxation on purchases
of pull-tabs and tipboards under section 297E.02, subdivision 4, paragraph (b),
clause (4), must return to the distributor any tipboard or pull-tab deal no
part of which is used at the lawful gambling occasion for which it was
purchased by the organization.
(f) The organization must maintain all required records of
exempt gambling activity for 3-1/2 years.
Sec. 110. [349.2113]
On or after January 1, 2004, a licensed organization may
not put into play a pull-tab or tipboard deal that provides for a
prize payout of greater than 85 percent of the ideal gross of the deal.
Sec. 111. Minnesota
Statutes 2002, section 349A.08, subdivision 5, is amended to read:
Subd. 5. [PAYMENT;
UNCLAIMED PRIZES.] A prize in the state lottery must be claimed by the winner
within one year of the date of the drawing at which the prize was awarded or
the last day sales were authorized for a game where a prize was determined in a
manner other than by means of a drawing.
If a valid claim is not made for a prize payable directly by the lottery
by the end of this period, the prize money is considered unclaimed and the
winner of the prize shall have no further claim to the prize. A prize won by a person who purchased the
winning ticket in violation of section 349A.12, subdivision 1, or won by a
person ineligible to be awarded a prize under subdivision 7 must be treated as
an unclaimed prize under this section.
The director shall must transfer 70 percent of all
unclaimed prize money at the end of each fiscal year from the lottery cash flow
account as follows: of the 70
percent, 40 percent must be transferred to the Minnesota environment and
natural resources trust fund and 60 percent must be transferred to the
general fund. The remaining 30
percent of the unclaimed prize money must be added by the director to prize
pools of subsequent lottery games.
Sec. 112. Minnesota
Statutes 2002, section 352D.04, is amended by adding a subdivision to read:
Subd. 3.
[ADDITIONAL CONTRIBUTIONS.] The executive director of the
Minnesota state retirement system must allow a participant in the
unclassified program a onetime option, at the time of hire, under which
the employee contribution to the plan is ten percent of salary.
Sec. 113. Minnesota
Statutes 2002, section 356.611, subdivision 1, is amended to read:
Subdivision 1. [STATE
SALARY LIMITATIONS.] (a) Notwithstanding any provision of law, bylaws, articles
of incorporation, retirement and disability allowance plan agreements, or
retirement plan contracts to the contrary, the covered salary for pension
purposes for a plan participant of a covered retirement fund enumerated in
section 356.30, subdivision 3, may not exceed 95 percent of the salary
established for the governor under section 15A.082 at the time the person
received the salary.
(b) This section does not apply to a salary paid:
(1) to the governor;
(2) to an employee of a political subdivision in a position
that is excluded from the limit as specified under section 43A.17,
subdivision 9 15A.23; or
(3) to a state employee in a position for which the
commissioner of employee relations has approved a salary rate that exceeds 95
percent of the governor's salary.
(c) The limited covered salary determined under this section
must be used in determining employee and employer contributions and in
determining retirement annuities and other benefits under the respective
covered retirement fund and under this chapter.
Sec. 114. Minnesota
Statutes 2002, section 458D.17, subdivision 5, is amended to read:
Subd. 5. [AUDIT.] The
board shall provide for and pay the cost of an independent annual audit of its
official books and records by the state public examiner auditor
or a certified public accountant.
Sec. 115. Minnesota
Statutes 2002, section 471.696, is amended to read:
471.696 [FISCAL YEAR; DESIGNATION.]
Beginning in 1979, the fiscal year of a city and all of its
funds shall be the calendar year, except that a city may, by resolution,
provide that the fiscal year for city-owned nursing homes be the reporting year
designated by the commissioner of human services. Beginning in 1994, the fiscal year of a town and all of its funds
shall be the calendar year. The
state auditor may upon request of a town and a showing of inability to conform,
extend the deadline for compliance with this section for one year.
Sec. 116. Minnesota
Statutes 2002, section 471.999, is amended to read:
471.999 [MAINTAINING PAY EQUITY; REPORT TO LEGISLATURE.]
(a) The state auditor shall monitor compliance by political
subdivisions with section 471.992, subdivision 1. The state auditor may charge and collect a fee pursuant to
section 6.56.
(b) The commissioner of employee relations state
auditor shall report to the legislature by January 1 of each year on the
status of compliance with section 471.992, subdivision 1, by governmental
subdivisions.
The report must include a list of the political subdivisions in
compliance with section 471.992, subdivision 1, and the estimated cost of
compliance. The report must also
include a list of political subdivisions found by the commissioner state
auditor to be not in compliance, the basis for that finding, recommended
changes to achieve compliance, estimated cost of compliance, and recommended
penalties, if any. The commissioner's
auditor's report must include a list of subdivisions that did not comply
with the reporting requirements of this section. The commissioner state auditor may request, and a
subdivision shall provide, any additional information needed for the
preparation of a report under this subdivision.
(c) Notwithstanding any rule to the contrary, beginning in
2005, a political subdivision must report to the state auditor on its
compliance with the requirements of sections 471.991 to 471.999 no more frequently
than once every five years. No report
from a political subdivision is required for 2003 and 2004.
Sec. 117. Minnesota
Statutes 2002, section 474A.21, is amended to read:
474A.21 [APPROPRIATION; RECEIPTS.]
Any application fees collected by the department under
sections 474A.01 to 474A.21 must be deposited in deposits and any application
deposit not refunded as provided under section 474A.061, subdivision 4, or
474A.091, subdivision 5, or forfeited as provided under section 474A.131,
subdivision 2, must be deposited in the a separate account in
the general fund. The amount necessary
to refund application deposits is appropriated to the department from the
separate account in the general fund for that purpose. The interest accruing on application housing trust general
fund account under section 462A.201.
Sec. 118. Minnesota
Statutes 2002, section 477A.014, subdivision 4, is amended to read:
Subd. 4. [COSTS.] The
director of the office of strategic and long-range planning shall annually bill
the commissioner of revenue for one-half of the costs incurred by the state
demographer in the preparation of materials required by section 4A.02. The state auditor shall bill the
commissioner of revenue for the costs of best practices reviews and the
services provided by the government information division and the parts of the
constitutional office that are related to the government information function,
not to exceed $217,000 in fiscal year 1992 and $217,000 in fiscal year 1993 and
thereafter. The commissioner of
administration shall bill the commissioner of revenue for the costs of the
local government records program and the intergovernmental information systems
activity, not to exceed $201,100 in fiscal year 1992 and $205,800 in fiscal
year 1993 and thereafter. The
commissioner of employee relations shall bill the commissioner of revenue for
the costs of administering the local government pay equity function, not to
exceed $56,000 in fiscal year 1992 and $55,000 in fiscal year 1993 and thereafter.
[EFFECTIVE DATE.] The
requirement in this section for the state auditor to bill for costs of
best practices reviews is effective July 1, 2004. The remainder of the section is effective
July 1, 2003.
Sec. 119. Laws 1998,
chapter 366, section 80, as amended by Laws 2001, First Special Session chapter
10, article 2, section 86, is amended to read:
Sec. 80. [SETTLEMENT
DIVISION; TRANSFER OF JUDGES.]
The office of administrative hearings shall establish a
settlement division. The workers'
compensation judges at the department of labor and industry, together with
their support staff, offices, furnishings, equipment, and supplies, are
transferred to the settlement division of the office of administrative
hearings. Minnesota Statutes, section 15.039,
applies to the transfer of employees.
The settlement division of the office of administrative hearings shall
maintain offices in either Hennepin or Ramsey county and the cities city
of Duluth and Detroit Lakes. The
office of a judge in the settlement division of the office of administrative
hearings and the support staff of the judge may be located in a building that
contains offices of the department of labor and industry. The seniority of a workers' compensation
judge at the office of administrative hearings, after the transfer, shall be
based on the total length of service as a judge at either agency. For purposes of the commissioner's plan
under Minnesota Statutes, section 43A.18, subdivision 2, all compensation
judges at the office of administrative hearings shall be considered to be in
the same employment condition, the same organizational unit and qualified for
work in either division.
Sec. 120. [TRANSFER OF
DUTIES RELATING TO PAY EQUITY.]
The responsibilities relating to local government pay equity
under Minnesota Statutes, sections 471.991 to 471.999, and
Minnesota Rules, chapter 3920, are transferred from the department of
employee relations to the state auditor. Minnesota Statutes, section
15.039, applies to the transfer of responsibilities.
Sec. 121. [UNCLASSIFIED
PLAN.]
The executive director of the Minnesota state retirement
system must offer persons who are participants in the unclassified
plan on the effective date of this section a onetime option to choose
the ten percent contribution level specified in Minnesota Statutes,
section 352D.04.
Sec. 122. [SALARY
FREEZE.]
Subdivision 1.
[SALARY INCREASES PROHIBITED.] (a) From the effective date of
this section through June 30, 2005, a state employer must not
increase the rate of salary or wages for any employee. This section prohibits any increase
including, but not limited to, across-the-board increases,
cost-of-living adjustments, increases based on longevity, increases as a
result of step and lane changes, increases in the form of lump-sum payments,
increases in employer contributions to deferred compensation plans, or
any other pay grade adjustments of any kind. For purposes of this section, salary or wages does not include
employer contributions toward the cost of medical or dental insurance
premiums provided that employee contributions to the costs of medical or
dental insurance premiums are not decreased.
(b) This section does not prohibit an increase in the rate
of salary and wages for an employee who is promoted or transferred to
a position that the employer determines has greater job
responsibilities.
(c) Notwithstanding any law to the contrary, the terms of a
collective bargaining agreement in effect on June 30, 2003, may
not be extended after that date if the extension would increase a
salary in a manner prohibited by this section.
Subd. 2. [FUTURE
CONTRACTS.] A contract or collective bargaining agreement or
compensation plan entered into after June 30, 2005, must not provide a
retroactive salary, or wage increase that applies to a period before
June 30, 2005, if that increase would be prohibited by this section if
granted before June 30, 2005.
Subd. 3.
[ARBITRATION AND STRIKES.] Notwithstanding any law to the
contrary:
(1) an employee may not legally strike due to a state employer's
refusal to grant a salary or wage increase if the refusal is required to
comply with this section; and
(2) neither a state employer nor an exclusive representative
may request interest arbitration in relation to an increase in the rate
of salary or wages that is prohibited by this section, and an arbitrator
may not issue an award that would increase salary or wages in a manner
prohibited by this section.
Subd. 4.
[DEFINITIONS.] For purposes of this section:
(1) "state employer" means an appointing authority
in the executive, legislative, or judicial branches as defined in Minnesota
Statutes, section 43A.02, subdivisions 5, 22, 25, and 27; and
(2) "employee" has the meaning given in Minnesota
Statutes, section 43A.02, subdivision 21.
Subd. 5.
[RELATION TO OTHER LAW.] This section supersedes Minnesota
Statutes, chapter 179A, and any other law to the contrary. It is not an unfair labor practice under
Minnesota Statutes, chapter 179A, for a state employer to take any
action required to comply with this section.
[EFFECTIVE DATE.] This
section is effective July 1, 2003.
Sec. 123. [UNIVERSITY
OF MINNESOTA; SALARY AND WAGE RATE FREEZE RECOMMENDED.]
The legislature strongly recommends that the University of
Minnesota comply with section 122 as if it were defined as a state
employer under that section.
[EFFECTIVE DATE.] This
section is effective July 1, 2003.
Sec. 124.
[GAMBLING CONTROL; FEE TRANSITION.]
Effective July 1, 2003, all licensees regulated by the gambling
control board must begin paying the applicable fees under Minnesota
Statutes, sections 349.16 to 349.165.
The gambling control board shall provide a onetime, prorated
credit against these fees to licensees who paid for licenses before July
1, 2003, that were to extend beyond July 1, 2003.
Sec. 125.
[CARRYFORWARD.]
Notwithstanding Minnesota Statutes, section 16A.28, or other
law to the contrary, funds encumbered by the judicial or executive
branch for severance costs; unemployment compensation costs; and health,
dental, and life insurance continuation costs resulting from state
employee layoffs during the fiscal year ending June 30, 2003, may be
carried forward and may be spent until January 1, 2004.
Sec. 126. [VACATION LIMIT.]
A state employee who takes voluntary unpaid leave of absence
during the biennium ending June 30, 2005, must be allowed to accrue a
vacation leave balance up to at least 300 hours through June 30, 2005.
Sec. 127. [GAMING
STUDY.]
The director of the state lottery shall contract with an
independent entity to perform an analysis of the economic effects of
a gaming facility in the metropolitan area on existing tribal gaming
facilities located in or within 100 miles of the metropolitan area.
Sec. 128. [LCC; LEAVE
WITHOUT PAY.]
(a) If the legislative coordinating commission requires employees
under its jurisdiction to take temporary leave without pay during the
biennium ending June 30, 2005, the first 80 hours of leave without pay
in fiscal year 2004 and the first 80 hours of leave without pay in
fiscal year 2005 are governed by this section. The commission must permit employees taking this leave to
continue accruing vacation and sick leave, be eligible for paid holidays
and insurance benefits, accrue seniority, and accrue service credit and
credited salary in state retirement plans permitting service credits for
authorized leaves of absence as if the employee had actually been
employed during the time of the leave.
The commission may make the employer contribution to the
employee's retirement plan if the employee participates in a defined
contribution plan. If the leave without
pay is for one full pay period or longer, any holiday pay shall be
included in the first payroll warrant after return from the leave. Managers must attempt to schedule leaves to
meet the needs of employees and the need to continue efficient operation
of their offices.
(b) Notwithstanding Minnesota Statutes, section 43A.18, subdivisions
2 and 3, the legislative coordinating commission may require employees
in the office of the legislative auditor whose terms and conditions of
employment are determined through the commissioner and managerial
compensation plans to take leave without pay as described in paragraph
(a).
Sec. 129. [OFFICIAL
PUBLICATION STUDY.]
Representatives of local public corporations, as defined in
Minnesota Statutes, chapter 331A, must meet with representatives of
qualified newspapers and report to the legislature by January 15, 2004,
on alternative means of official publication for local public
corporations.
Sec. 130. [TRAINING SERVICES.]
During the biennium ending June 30, 2005, state executive
agencies must consider using services provided by the government training
service before contracting with other outside vendors for similar
services.
Sec. 131. [CRIMNET
FINANCIAL AUDIT.]
The legislative auditor must complete a financial audit of
all components and expenditures of the group of projects generally
referred to as CriMNet by January 31, 2004.
The audit must include a review of all contracts related to
CriMNet for compliance with state law, including the laws and guidelines
governing the issuance of contracts.
Sec. 132. [REVISOR'S
INSTRUCTIONS.]
(a) In the next and subsequent editions of Minnesota Statutes,
the revisor of statutes shall replace the terms "commissioner of
employee relations" and "commissioner" with "state
auditor" in sections 471.991 to 471.999.
In sections affected by this instruction, the revisor may make changes
necessary to correct the cross-references, punctuation, grammar, or
structure of the remaining text and preserve its meaning.
(b) In the next and subsequent editions of Minnesota Rules,
chapter 3920, the revisor of statutes shall replace the terms "department
of employee relations" and "department" with "state auditor." The revisor shall replace the address listed
in Minnesota Rules, part 3920.0100, subpart 11, with "525 Park Street,
Suite 400, Saint Paul, Minnesota 55103."
In parts affected by this instruction, the revisor may make
changes necessary to correct the cross-references, punctuation, grammar,
or structure of the remaining text and preserve its meaning.
Sec. 133. [REPEALER.]
(a) Minnesota Statutes 2002, sections 3.305, subdivision 5;
3.9222; 3A.11; 4A.055; 6.77; 16A.151, subdivision 5; 16A.87; 16C.18,
subdivision 1; 43A.04, subdivision 10; 43A.17, subdivision 9; 149A.97,
subdivision 8; 163.10; 240A.08; and 306.97, are repealed.
(b) Minnesota Rules, part 1950.1070, is repealed effective
July 1, 2004.
(c) Minnesota Statutes 2002, sections 12.221, subdivision
5; 16B.50; and 16C.07, are repealed effective the day following final
enactment.
(d) Minnesota Statutes 2002, section 3.971, subdivision 8,
is repealed effective July 1, 2004.
(e) Minnesota Statutes 2002, section 62J.07, is repealed
effective July 1, 2005.
ARTICLE
3
STATE
BOARD OF INVESTMENT
CHANGES
Section 1. Minnesota
Statutes 2002, section 11A.17, subdivision 2, is amended to read:
Subd. 2. [ASSETS.] The
assets of the supplemental investment fund shall consist of the money certified
and transmitted to the state board from the participating public retirement
plans and funds or from the board of the Minnesota state colleges and
universities under section 136F.45. The
assets must be used to purchase investment shares in the investment accounts
specified by the plan or fund. These
accounts must be valued at least on a monthly basis, but may be valued
more frequently as determined by the state board of investment.
Sec. 2. Minnesota Statutes 2002, section 352.96, subdivision 2, is
amended to read:
Subd. 2. [PURCHASE OF
SHARES.] The amount of compensation so deferred may be used to purchase:
(1) shares in the Minnesota supplemental investment fund established
in section 11A.17 that are selected to be offered under the plan by
the state board of investment;
(2) saving accounts in federally insured financial
institutions;
(3) life insurance contracts, fixed annuity and variable
annuity contracts from companies that are subject to regulation by the
commissioner of commerce;
(4) investment options from open-end investment companies
registered under the federal Investment Company Act of 1940, United States
Code, title 15, sections 80a-1 to 80a-64;
(5) investment options from a firm that is a registered
investment advisor under the Investment Advisers Act of 1940, United States
Code, title 15, section 80b-1 to 80b-21;
(6) investment options of a bank as defined in United States
Code, title 15, section 80b-2, subsection (a), paragraph (2), or a bank holding
company as defined in the Bank Holding Company Act of 1956, United States Code,
title 12, section 1841, subsection (a), paragraph (1); or
(7) a combination of clause (1), (2), (3), (4), (5), or (6), as
provided by the plan as specified by the participant.
All amounts contributed to the deferred compensation plan and
all earnings on those amounts will be held for the exclusive benefit of the
plan participants and beneficiaries.
These amounts will be held in trust, in custodial accounts, or in
qualifying annuity contracts as required by federal law and in accordance with
section 356A.06, subdivision 1. This
subdivision does not authorize an employer contribution, except as authorized
in section 356.24, subdivision 1, paragraph (a), clause (5). The state, political subdivision, or other
employing unit is not responsible for any loss that may result from investment
of the deferred compensation.
Sec. 3. [EFFECTIVE
DATE.]
Sections 1 and 2 are effective July 1, 2003.
ARTICLE
4
EARLY
RETIREMENT INCENTIVE PROGRAMS
Section 1.
[APPLICATION.]
Unless otherwise specified, this article applies to governmental
subdivisions as specified in Minnesota Statutes, section 353.01,
subdivision 6, and public employees providing service to the applicable
employer and covered by the public employees retirement association
general plan or police and fire plan under Minnesota Statutes, chapter
353, or the public employees retirement association local government
correctional service retirement plan under Minnesota Statutes, chapter
353E.
Sec. 2. [EMPLOYEE
EXCLUSION.]
This article does not apply to any employee who provides
service to more than one governmental subdivision, or who earns service
credit during the time period covered by this article in any Minnesota
public employee plan, other than a volunteer fire plan or a plan
administered by the public employees retirement association under
conditions specified in this article.
Sec. 3. [PHASED RETIREMENT.]
(a) This section applies to a public employee who:
(1) on the effective date of this section is regularly scheduled
to work 1,040 or more hours a year in a position covered by an
applicable retirement plan;
(2) enters into an agreement with the governmental subdivision
to work a reduced schedule that is both:
(i) a reduction of at least 25 percent from the number of
regularly scheduled work hours; and
(ii) 1,040 hours or less in the covered position; and
(3) at the time of entering into the agreement under clause
(2), meets the age and service requirements necessary to receive a
retirement benefit from the applicable plan.
(b) Notwithstanding any law to the contrary, for service
under an agreement entered into under paragraph (a), an employee agrees
to terminate public employment meeting the requirements of Minnesota
Statutes, section 353.01, subdivision 11a, except that the minimum
30-day break-in-service requirement under that subdivision shall not
apply, and agrees to reemployment with the applicable governmental
subdivision under terms and conditions specified in this section. If an eligible public employee commences
receipt of an annuity from a plan specified in section 1, the provisions
of Minnesota Statutes, section 353.37, governing annuities of reemployed
annuitants shall not apply for the duration of the agreement.
(c) The number of hours worked, the work schedule, and the
duration of the phased retirement employment must be mutually agreed
to by the employee and the governmental subdivision. The governmental subdivision may not require a person to
waive any rights under a collective bargaining agreement as a condition
of participation in this section.
The governmental subdivision has sole discretion to determine if,
and the extent to which, phased retirement under this section is
available to an employee.
(d) Notwithstanding any law to the contrary, a person may
not earn service credit in the public employees retirement association
for employment covered under this section, and employer contributions
and payroll deductions for the retirement fund must not be made based on
earnings of a person working under this section. No change shall be made to a monthly annuity
or retirement allowance based on employment under this section.
(e) A person who works under this section and meets the definition
of public employee under Minnesota Statutes, section 179A.03,
subdivision 14, is a member of the appropriate bargaining unit, is
covered by the appropriate collective bargaining contract or personnel
policy, and is eligible for health care coverage as provided in the
collective bargaining contract or personnel policy.
(f) An agreement under this section may apply only to work
through June 30, 2005.
Sec. 4. [VOLUNTARY HOUR
REDUCTION PLAN.]
(a) This section applies to a public employee who:
(1) on the effective date of this section is regularly scheduled
to work 1,040 or more hours a year in a position covered by a pension
plan administered by the public employees retirement association; and
(2) enters into an agreement with a governmental subdivision
to work a reduced schedule of 1,040 or less hours in the covered
position.
(b) Notwithstanding any law to the
contrary, for service under an agreement entered into under paragraph
(a), contributions may be made to the applicable plan of the public employees
retirement association as if the employee had not reduced hours. The employee must pay the employee
contributions and the employer must pay employer and additional employer
contributions necessary to bring the service credit and salary up to
the level prior to the voluntary reduction in hours. Contributions must
be made in a time and manner prescribed by the executive director of the
public employees retirement association.
(c) The number of hours worked, the work schedule, and the
duration of the voluntary hour reduction must be mutually agreed to
by the employee and the governmental subdivision. The governmental subdivision may not require a person to
waive any rights under a collective bargaining agreement as a condition
of participation under this section.
The governmental subdivision has sole discretion to determine if,
and the extent to which, voluntary hour reduction under this section is
available to an employee.
(d) A person who works under this section and meets the definition
of public employee under Minnesota Statutes, section 179A.03,
subdivision 14, is a member of an appropriate bargaining unit, is
covered by an appropriate collective bargaining contract or personnel
policy, and is eligible for health care coverage as provided in a
collective bargaining contract or personnel policy.
(e) An agreement under this section may apply only to work
through June 30, 2005.
Sec. 5. [VOLUNTARY
UNPAID LEAVE OF ABSENCE.]
(a) Governmental subdivisions may allow employees to take
unpaid leaves of absence between June 1, 2003, and June 30, 2005. Each governmental subdivision approving a
leave shall allow the employee to continue accruing vacation and sick
leave, be eligible for paid holidays and insurance benefits, accrue seniority,
and accrue service credit and credited salary in the public employees
retirement association as if the employee had actually been employed
during the time of leave. If the leave
of absence is for one full pay period or longer, any holiday pay shall
be included in the first payroll warrant after return from the leave of
absence. The governmental subdivision
shall attempt to grant requests for the unpaid leaves of absence consistent
with the need to continue efficient operation of the governmental
subdivision. However, each governmental
subdivision shall retain discretion to grant or refuse to grant requests
for leaves of absence and to schedule and cancel leaves, subject to the
applicable provisions of collective bargaining agreements and personnel
policy.
(b) To receive eligible service credit, the member shall
pay an amount equal to the applicable employee contribution rates. If an employee pays the employee contribution
for the period of the leave under this section, the governmental subdivision
must pay the employer contribution and the additional employer
contribution. The governmental
subdivision may, at its discretion, pay employee, employer, and
additional employer contributions to the public employees retirement
association for the period of leave under this section. Contributions
must be made in a time and manner prescribed by the executive director
of the public employees retirement association.
Sec. 6. [DESIGNATION OF
POSITIONS; EMPLOYER DISCRETION.]
Before agreeing to an option under this article, a governmental
subdivision must designate the job classifications or positions within
job classifications that qualify for each option. The governmental subdivision may modify this
designation at any time. Designation
of positions eligible for the options and participation of individual
employees under this article are at the sole discretion of the
governmental subdivision.
Implementation of this article by the employer is not an unfair
labor practice under Minnesota Statutes, chapter 179A, or an unfair
discriminatory practice under Minnesota Statutes, chapter 363.
Sec. 7. [PROGRAM
APPLICATION REQUIREMENTS.]
(a) No agreement between an eligible public employee and a
governmental subdivision under this article is effective unless the
employee acknowledges acceptance of the terms of the agreement in
writing on a form prescribed by the public employees retirement
association executive director.
(b) A copy of the signed agreement must be transmitted to
the public employees retirement association executive director within
30 days after the agreement is executed.
Sec. 8. [RELATIONSHIP
OF SECTIONS.]
(a) An employee covered by a phased retirement agreement
under section 3 may not be covered by the voluntary hour reduction
provisions of section 4 or by a voluntary unpaid leave of absence
agreement under section 5 during the same time period or any later time
period.
(b) An employee covered by the voluntary hour reduction provisions
of section 4:
(1) may not be covered by a phased retirement agreement under
section 3 during the same time period, but may be covered by a phased
retirement agreement under section 3 during a later time period; and
(2) may be covered by the voluntary leave of absence provision
of section 5 during an earlier or later time period.
Sec. 9. [GOVERNMENTAL
SUBDIVISION LIMITATION.]
Notwithstanding Minnesota Statutes, section 353.01, subdivision
6, paragraph (b), to the contrary, for purposes of this article, the
public employees retirement association is not a governmental
subdivision.
Sec. 10. [EFFECTIVE
DATE.]
Sections 1 to 9 are effective the day following final enactment.
ARTICLE
5
PUBLIC
EMPLOYEES RETIREMENT
ASSOCIATION
CHANGES
Section 1. Minnesota
Statutes 2002, section 353.01, subdivision 2d, is amended to read:
Subd. 2d. [OPTIONAL
MEMBERSHIP.] (a) Membership in the association is optional by action of the
individual employee for the following public employees who meet the conditions
set forth in subdivision 2a:
(1) members of the coordinated plan who are also employees of
labor organizations as defined in section 353.017, subdivision 1, for their
employment by the labor organization only if they elect to have membership
under section 353.017, subdivision 2;
(2) persons who are elected or persons who are appointed to
elected positions other than local governing body elected positions who elect
to participate by filing a written election for membership;
(3) members of the association who are appointed by the
governor to be a state department head and who elect not to be covered by the
general state employees retirement plan of the Minnesota state retirement
system under section 352.021; and
(4) city managers as defined in section 353.028, subdivision 1,
who do not elect to be excluded from membership in the association under
section 353.028, subdivision 2; and
(5) employees of the port authority of the city of St. Paul
who were at least age 45 on January 1, 2003, and who elect to participate
by filing a written election for membership.
(b) Membership in the association is optional by action of the
governmental subdivision for the employees of the following governmental
subdivisions under the conditions specified:
(1) the Minnesota association of townships if the board of the
association, at its option, certifies to the executive director that its
employees are to be included for purposes of retirement coverage, in which case
the status of the association as a participating employer is permanent; and
(2) a county historical society if the county in which the
historical society is located, at its option, certifies to the executive
director that the employees of the historical society are to be county
employees for purposes of retirement coverage under this chapter. The status as a county employee must be
accorded to all similarly situated county historical society employees and,
once established, must continue as long as a person is an employee of the
county historical society.
(c) For employees who are covered by paragraph (a), clause (1),
(2), or (3), or covered by paragraph (b), if the necessary membership election
is not made, the employee is excluded from retirement coverage under this
chapter. For employees who are covered
by paragraph (a), clause (4), if the necessary election is not made, the
employee must become a member and have retirement coverage under this chapter. The option to become a member, once
exercised under this subdivision, may not be withdrawn until termination of
public service as defined under subdivision 11a.
Sec. 2. Minnesota
Statutes 2002, section 353.01, subdivision 6, is amended to read:
Subd. 6. [GOVERNMENTAL
SUBDIVISION.] (a) "Governmental subdivision" means a county, city,
town, school district within this state, or a department or unit of state
government, or any public body whose revenues are derived from taxation, fees,
assessments or from other sources.
(b) Governmental subdivision also means the public employees
retirement association, the league of Minnesota cities, the association of
metropolitan municipalities, public hospitals owned or operated by, or an
integral part of, a governmental subdivision or governmental subdivisions, the
association of Minnesota counties, the metropolitan intercounty association,
the Minnesota municipal utilities association, the metropolitan airports
commission, the Minneapolis employees retirement fund for employment initially
commenced after June 30, 1979, the range association of municipalities and
schools, soil and water conservation districts, economic development
authorities created or operating under sections 469.090 to 469.108, the port
authority of the city of St. Paul, the Spring Lake Park fire department,
incorporated, the Red Wing environmental learning center, and the
Dakota county agricultural society.
(c) Governmental subdivision does not mean any municipal
housing and redevelopment authority organized under the provisions of sections
469.001 to 469.047; or any port authority organized under sections 469.048 to
469.089 other than the port authority of the city of St. Paul; or
any hospital district organized or reorganized prior to July 1, 1975, under
sections 447.31 to 447.37 or the successor of the district, nor the Minneapolis
community development agency.
Sec. 3. Minnesota
Statutes 2002, section 353D.01, subdivision 2, is amended to read:
Subd. 2. [ELIGIBILITY.]
(a) Eligibility to participate in the defined contribution plan is available
to:
(1) elected local government officials of a governmental
subdivision who elect to participate in the plan under section 353D.02,
subdivision 1, and who, for the elected service rendered to a governmental
subdivision, are not members of the public employees retirement association
within the meaning of section 353.01, subdivision 7;
(2) physicians who, if they did not elect to participate in the
plan under section 353D.02, subdivision 2, would meet the definition of member
under section 353.01, subdivision 7;
(3) basic and advanced life support emergency medical service
personnel employed by or providing services for any public ambulance service or
privately operated ambulance service that receives an operating subsidy from a
governmental entity that elects to participate under section 353D.02,
subdivision 3; and
(4) members of a municipal rescue squad associated with
Litchfield in Meeker county, or of a county rescue squad associated with
Kandiyohi county, if an independent nonprofit rescue squad corporation,
incorporated under chapter 317A, performing emergency management services, and
if not affiliated with a fire department or ambulance service and if its
members are not eligible for membership in that fire department's or ambulance
service's relief association or comparable pension plan; and
(5) employees of the port authority of the city of St. Paul
who elect to participate in the plan under section 353D.02, subdivision
5, and who are not members of the public employees retirement
association under section 353.01, subdivision 7.
(b) For purposes of this chapter, an elected local government
official includes a person appointed to fill a vacancy in an elective
office. Service as an elected local
government official only includes service for the governmental subdivision for
which the official was elected by the public-at-large. Service as an elected local government
official ceases and eligibility to participate terminates when the person
ceases to be an elected official. An
elected local government official does not include an elected county sheriff.
(c) Elected local government officials, physicians, first
response personnel and emergency medical service personnel, and rescue squad
personnel Individuals otherwise eligible to participate in the
plan under this subdivision who are currently covered by a public or
private pension plan because of their employment or provision of services are
not eligible to participate in the public employees defined contribution plan.
(d) A former participant is a person who has terminated
eligible employment or service and has not withdrawn the value of the person's
individual account.
Sec. 4. Minnesota
Statutes 2002, section 353D.02, is amended by adding a subdivision to read:
Subd. 5. [ST.
PAUL PORT AUTHORITY PERSONNEL.] Employees of the port authority of
the city of St. Paul who do not elect to participate in the general
employees retirement plan may elect to participate in the plan by filing
a membership application on a form prescribed by the executive director
of the association authorizing contributions to be deducted from the
employee's salary. Participation
begins on the first day of the pay period for which the contributions
were deducted or, if pay period coverage dates are not provided, the
date on which the membership application or the contributions are
received in the office of the association, whichever is received first,
if the membership application is received by the association within 60
days of the receipt of the contributions.
An election to participate in the plan is irrevocable.
Sec. 5. [RED WING
ENVIRONMENTAL LEARNING CENTER.]
(a) The legislature finds that the Red Wing environmental
learning center has a long and very close relationship with independent
school district No. 256, Red Wing, that Red Wing environmental learning
center employees have been treated as independent school district No.
256, Red Wing, employees for retirement coverage purposes for 33 years,
and that the current learning center employees would suffer a
significant loss in their pension benefit coverage if their membership
in the general employees retirement plan of the public employees retirement
association was disrupted.
(b) Notwithstanding the provisions of any other law to the
contrary, independent school district No. 256, Red Wing, may certify
to the executive director of the public employees retirement association
that employees of the Red Wing environmental learning center are
considered school district employees solely for purposes of retirement
coverage by the general employees retirement plan under Minnesota
Statutes, chapter 353. This
status must be accorded to all similarly situated Red Wing environmental
learning center employees.
Sec. 6. [PERA-GENERAL;
PRIOR ST. PAUL PORT AUTHORITY SERVICE CREDIT PURCHASE.]
Subdivision 1.
[ELIGIBILITY.] A full-time salaried employee or a permanent
part-time salaried employee of the port authority of the city of St.
Paul who was employed by the port authority during all or part of the
period from July 1, 1993, to July 1, 2003, and who is a member of the
general employees retirement plan of the public employees retirement
association may purchase allowable service credit from the general
employees retirement plan.
Subd. 2.
[PURCHASABLE SERVICE; MAXIMUM.] (a) The service credit that is
purchasable under subdivision 1 is a period or periods of employment by
the port authority of the city of St. Paul that would have been eligible
service for coverage by the general employees retirement plan of the
public employees retirement association if the service had been rendered
after July 1, 2003.
(b) The maximum period of allowable service credit in the
general employees retirement plan of the public employees retirement
association for purchase under this section is ten years.
Subd. 3.
[PURCHASE PAYMENT REQUIREMENT.] (a) To purchase the service
credit, the payment amount must be calculated under Minnesota Statutes,
section 356.55.
(b) Notwithstanding any provision of Minnesota Statutes,
section 356.55, to the contrary, the prior service credit purchase
payment may be made in whole or in part on an institution-to-institution
basis from a plan qualified under the federal Internal Revenue Code,
section 401(a), 401(k), or 414(h), or from an annuity qualified under
the federal Internal Revenue Code, section 403, or from a deferred
compensation plan under the federal Internal Revenue Code, section 457,
to the extent permitted by the applicable federal law. In no event may a prior service
credit purchase transfer be paid directly to the person purchasing the
service.
Subd. 4.
[DOCUMENTATION; SERVICE CREDIT GRANT.] (a) An eligible person
described in subdivision 1 must provide any documentation related to
eligibility to make this service credit purchase required by the
executive director of the public employees retirement association.
(b) Allowable service credit for the purchase period or periods
must be granted by the general employees retirement plan of the public
employees retirement association on behalf of the eligible person upon
receipt of the prior service credit purchase payment amount.
Subd. 5.
[SUNSET.] Authority to purchase service credit under this
section expires on December 31, 2004.
Sec. 7. [PRIOR SERVICE;
VESTING.]
For purposes of vesting under Minnesota Statutes, section
353.29, subdivision 1, only, a full-time salaried employee or a permanent
part-time salaried employee of the port authority of the city of St.
Paul who was employed by the port authority on July 1, 2003, and who is
a member of the general employees retirement plan of the public
employees retirement association may use months of employment with the
port authority before that date.
This service may not be used to calculate a retirement annuity or
a disability benefit provided for under Minnesota Statutes, chapter 353.
Sec. 8. [DEFINED
CONTRIBUTION PLAN; ONETIME ELECTION.]
Employees of the port authority of the city of St. Paul who
do not exercise the right to become members of the general employees
retirement plan of the public employees retirement association under
section 1 may, by onetime election, choose to participate in the public
employees retirement association's defined contribution plan under
Minnesota Statutes, sections 353D.01 to 353D.12. The election is irrevocable.
Sec. 9. [EFFECTIVE
DATE.]
(a) Section 2 with respect to the Red Wing environmental
learning center, and section 5 are effective the day after the school
board of independent school district No. 256, Red Wing, and its chief
clerical officer timely complete their compliance with Minnesota
Statutes, section 645.021, subdivisions 2 and 3, and certification to
the executive director of the public employees retirement association.
(b) Section 2, with respect to the port authority of the
city of St. Paul, is effective the day following final enactment.
(c) Sections 1, 3, 4, 5, 7, and 8 are effective the day following
final enactment.
(d) Coverage by the general employees retirement plan of
the public employees retirement association under sections 1 and 2
commences July 1, 2003.
ARTICLE
6
PRIOR
SERVICE CREDIT
PURCHASE
PROVISIONS
Section 1. Minnesota
Statutes 2002, section 356.55, subdivision 7, is amended to read:
Subd. 7. [EXPIRATION OF
PURCHASE PAYMENT DETERMINATION PROCEDURE.] (a) This section expires and is
repealed on July 1, 2003 2004.
(b) Authority for any public pension plan to accept a prior
service credit payment that is calculated in a timely fashion under this
section expires on October 1, 2003 2004.
Sec. 2. Laws 1999,
chapter 222, article 16, section 16, as amended by Laws 2002, chapter 392,
article 7, section 1, is amended to read:
Sec. 16. [REPEALER.]
Sections 1 to 13 are repealed on May 16, 2003 2004.
Sec. 3. Laws 2000, chapter 461, article 4, section 4, is amended to read:
Sec. 4. [EFFECTIVE
DATE; SUNSET REPEALER.]
(a) Sections 1, 2, and 3 are effective on the day following
final enactment.
(b) Sections 1, 2, and 3 are repealed on May 16, 2003 2004.
Sec. 4. Laws 2000,
chapter 461, article 12, section 20, as amended by Laws 2002, chapter 392,
article 7, section 2, is amended to read:
Sec. 20. [EFFECTIVE
DATE.]
(a) Sections 4, 5, and 11 to 20 are effective on the day
following final enactment.
(b) Sections 1, 2, 3, and 6 to 10 are effective on the day
following final enactment and apply retroactively to a faculty member of the
Lake Superior College who was granted an extended leave of absence under
article 19, section 4, of the united technical college educators master
agreement for the 1999-2000 academic year prior to March 20, 2000.
(c) Sections 5, 11, and 14, paragraph (c), expire on May 16, 2003
2004.
Sec. 5. Laws 2001,
First Special Session chapter 10, article 6, section 21, as amended by Laws
2002, chapter 392, article 7, section 3, is amended to read:
Sec. 21. [EXPIRATION
DATE.]
(a) The amendments in sections 1, 2, 3, 4, 10, 12, 16, 17, 18,
19, and 20 expire May 16, 2003 2004.
(b) Sections 9 and 15 expire May 16, 2003 2004.
Sec. 6. [PERA-GENERAL;
SERVICE CREDIT PURCHASE AUTHORIZED.]
(a) Notwithstanding any provision of law to the contrary,
an eligible person described in paragraph (b), (c), or (d) is authorized
to purchase allowable service credit from the general employees
retirement plan of the public employees retirement association under
Minnesota Statutes, section 356.55 or 356.551, for the applicable period
of prior employment as a council member of the city of St. Louis Park
which was not credited by the general employees retirement plan of the
public employees retirement association as indicated in paragraph (e).
(b) An eligible person is a person who:
(1) is a current member of the St. Louis Park city council
and is a current member of the general employees retirement plan of
the public employees retirement association;
(2) was born on September 26, 1941;
(3) became a St. Louis Park city council member on January
1, 1996; and
(4) was not a member of the general employees retirement
plan of the public employees retirement association for the period
January 1, 1996, to January 29, 2000.
(c) An eligible person is a person
who:
(1) is a current member of the St. Louis Park city council
and is a current member of the general employees retirement plan of
the public employees retirement association;
(2) was born on October 8, 1949;
(3) became a St. Louis Park city council member on June 8,
1999; and
(4) was not a member of the general employees retirement
plan of the public employees retirement association for the period
June 8, 1999, to January 12, 2002.
(d) An eligible person is a person who:
(1) is a current member of the St. Louis Park city council
and is a current member of the general employees retirement plan of
the public employees retirement association;
(2) was born on June 4, 1964;
(3) became a St. Louis Park city council member on November
18, 1997; and
(4) was not a member of the general employees retirement
plan of the public employees retirement association for the period
November 18, 1997, to March 9, 2002.
(e) The allowable service credit purchase period is limited
to the period of St. Louis Park city council service that was not
covered by the general employees retirement plan of the public employees
retirement association.
(f) The eligible person must provide all relevant documentation
of the applicability of the requirements set forth in paragraph (b),
(c), or (d) and any other applicable information that the executive
director of the public employees retirement association may request.
(g) Allowable service credit for the purchase period must
be granted by the general employees retirement plan of the public
employees retirement association to the eligible person upon receipt of
the prior service credit purchase payment amount.
(h) Notwithstanding Minnesota Statutes, section 356.55, subdivision
5, or 356.551, subdivision 2, whichever applies, the city of St. Louis
Park is not permitted to pay any portion of the service credit purchase
payment amount.
(i) The prior service credit purchase authority expires on
July 1, 2004, or on the date of the termination of active St. Louis
Park city council service by the eligible person, whichever occurs
earlier.
Sec. 7. [REPEALER.]
Minnesota Statutes 2002, sections 354.541 and 354A.109, are
repealed May 16, 2004.
Sec. 8. [EFFECTIVE
DATE.]
Sections 1 to 7 are effective the day following final enactment.
ARTICLE
7
GENERAL
RETIREMENT CHANGES
Section 1. Minnesota
Statutes 2002, section 356B.05, is amended to read:
356B.05 [PUBLIC PENSION ADMINISTRATION LEGISLATION.]
(a) Proposed administrative legislation recommended by or on
behalf of the Minnesota state retirement system, the public employees
retirement association, the teachers retirement association, the Minneapolis
employees retirement fund, or a first class city teachers retirement
fund association, or the Minnesota state colleges and universities
system must be presented to the legislative commission on pensions and
retirement, the state and local governmental operations committee of the
senate, and the governmental operations and veterans affairs policy committee
of the house of representatives on or before October 1 of each year in order
for the proposed administrative legislation to be acted upon during the
upcoming legislative session. The
executive director or the deputy executive director of the legislative
commission on pensions and retirement shall provide written comments on the
proposed administrative provisions to the public pension plans by November 15
of each year.
(b) Proposed administrative legislation recommended by or on
behalf of a public employee pension plan or system under paragraph (a) must
address provisions:
(1) authorizing allowable service credit for leaves of absence
and related circumstances;
(2) governing offsets or deductions from the amount of
disability benefits;
(3) authorizing the purchase of allowable service credit for
prior uncredited periods;
(4) governing subsequent employment earnings by reemployed
annuitants; and
(5) authorizing retroactive effect for retirement annuity or
benefit applications.
(c) Where possible and desirable, taking into account the
differences among the public pension plans in existing law and the unique characteristics
of the individual public pension fund memberships, uniform provisions relating
to paragraph (b) for all applicable public pension plans must be presented for
consideration during the legislative session.
Supporting documentation setting forth the policy rationale for each set
of uniform provisions must accompany the proposed administrative legislation.
Sec. 2. [ACTUARIAL
STUDY OF COSTS TO RESTRUCTURE TEACHER PLANS.]
Subdivision 1.
[STUDY MANDATED.] The actuary retained by the legislative
commission on pensions and retirement shall prepare an additional
actuarial valuation report, using the results of the 2003 actuarial
valuation reports prepared under Minnesota Statutes, section 356.215,
that considers the feasibility of restructuring the Minnesota teachers
retirement association, the Minneapolis teachers retirement fund association,
the St. Paul teachers retirement fund association, and the Duluth
teachers retirement plan and fund association into a new restructured
fund.
Subd. 2.
[CONTENTS OF STUDY.] The actuarial valuation report must be
based on the proposals put forth in the report mandated by the
legislature in Laws 2001, First Special Session chapter 10, article 11,
section 20, and filed February 15, 2002, including changes to the
postretirement adjustment, benefits, and restructuring administrative
costs and including asset transfers.
Subd. 3. [INFORMATION PROVIDED.] The executive
director of the teachers retirement association, the executive secretary
of the Duluth teachers retirement fund association, the executive director
of the St. Paul teachers retirement fund association, and the executive
director of the Minneapolis teachers retirement fund association must
consult with the task force established under Laws 2001, First Special
Session chapter 10, article 11, section 20, and must provide the
commission-retained actuary with all necessary information requested for
the preparation of this report.
Subd. 4.
[COSTS.] The cost of the actuarial valuation report mandated
in this section will be paid by the pension funds named in this
legislation. The cost must be allocated
equally between the four pension funds.
The executive director of the Minneapolis teachers retirement
fund association shall serve as the fiscal agent for this study, shall
pay its cost, and shall be reimbursed by the other three retirement
funds for their appropriate share.
Subd. 5. [FILING
DATE.] The report must be filed by January 15, 2004, with the chair
of the legislative commission on pensions and retirement, the chair of
the senate committee on state and local government operations, and the
chair of the house committee on government operations and veterans
affairs policy.
Sec. 3. [EFFECTIVE
DATE.]
Sections 1 and 2 are effective the day following final enactment.
ARTICLE
8
MINNEAPOLIS
FIREFIGHTERS RELIEF
ASSOCIATION
CHANGES
Section 1. Minnesota
Statutes 2002, section 423C.08, is amended to read:
423C.08 [MEMBER CONTRIBUTION REFUND TO BENEFICIARY UPON DEATH.]
If an active, deferred, or retired member of the association
dies and no survivor benefit is payable, the designated beneficiary of the
decedent or, if none, the legal representative of the estate of the decedent is
entitled, upon application, to a refund.
The refund shall be an amount equal to the member contributions to the
credit of the decedent, plus interest on those contributions at an annual
compounded rate of five percent from the first day of the month following the
date of the contribution to the first day of the month following the
date of death of the decedent, reduced by the sum of any service pension or
disability benefit previously paid by the fund to the decedent.
Sec. 2. [INTENT.]
Section 1 is intended to bring the Minneapolis firefighters
relief association's statutory provision which provides for a refund
of member contributions where the decedent does not leave a surviving
spouse or children in conformance with Minnesota Statutes, section
423A.18.
Sec. 3. Minnesota
Statutes 2002, section 423C.03, subdivision 3, is amended to read:
Subd. 3. [COMPENSATION
OF OFFICERS AND BOARD MEMBERS.] Notwithstanding any other law to the contrary,
the association may provide for payment of the following salaries to its
officers and board members:
(1) the executive secretary may receive a salary not exceeding 30
50 percent of the maximum salary of a first grade firefighter;
(2) the president may receive a salary not exceeding ten
percent of the maximum salary of a first grade firefighter; and
(3) all other elected members of the board may receive a salary
not exceeding 2.5 percent of the maximum salary of a first grade firefighter.
[EFFECTIVE DATE.] (a)
The board of the Minneapolis firefighters relief association may
increase the salary of the executive secretary subject to the maximum
set forth in this section.
(b) Any salary increase under paragraph (a) may be effective
on September 1, 2002, or any time thereafter as designated by the relief
association board.
Sec. 4. [EFFECTIVE
DATE.]
Section 1 is effective retroactively from September 25, 2001. Section 2 is effective the day following
final enactment.
ARTICLE
9
PLYMOUTH
VOLUNTEER FIREFIGHTER RELIEF
ASSOCIATION
CHANGES
Section 1. Laws 1978,
chapter 685, section 1, as amended by Laws 1979, chapter 201, section 41, is
amended to read:
Section 1. [PLYMOUTH
VOLUNTEER FIREFIGHTERS' RELIEF ASSOCIATION.]
The bylaws of the Plymouth firefighter's relief association may
be amended to provide for payment of a disability pension in an amount equal
to $8.50 per month per year of service, to a maximum of $255 per month consistent
with the ancillary benefit requirements specified in Minnesota Statutes,
section 424A.02, subdivision 9, to a firefighter qualified
pursuant to determined to be disabled, as defined in the
bylaws of the association and under procedures specified in those
bylaws. No member shall be entitled
to draw both a disability pension and a service pension.
Sec. 2. Laws 1978,
chapter 685, section 2, is amended to read:
Sec. 2. The Plymouth
firefighter's relief association may provide for a benefit to the surviving
spouse of a volunteer firefighter who died, providing that the surviving
spouse qualifies under the terms of the bylaws, such benefit to be paid
as the bylaws of the association may provide, except that the bylaws may not
provide for a spouse's benefit of more than $127.50 per month, and provided the
benefit shall cease as of the date of the spouse's remarriage and the
benefit is consistent with ancillary benefit requirements specified in
Minnesota Statutes, section 424A.02, subdivision 9.
Sec. 3. Laws 1978,
chapter 685, section 3, is amended to read:
Sec. 3. The Plymouth
firefighter's relief association may pay a pension for the children of deceased
members, as the association's bylaws may provide, consistent with ancillary
benefit requirements specified in Minnesota Statutes, section 424A.02,
subdivision 9.
Sec. 4. Laws 1978,
chapter 685, section 6, is amended to read:
Sec. 6. (a) The
bylaws of the Plymouth firefighter's relief association may
further provide that when any active or deferred member of the
association or any pensioner who is a former member disabilitant or
service pension recipient dies, there may be paid a death or funeral benefit
to defray or assist the family of the deceased with funeral expenses.
(b) A benefit paid under this section due to the death of
an active or deferred member must conform to Minnesota Statutes, section
424A.02, subdivision 9.
(c) A death or funeral benefit may be paid under this section
to the family of a deceased disabilitant or service pensioner
notwithstanding Minnesota Statutes, section 424A.02, subdivision 9,
providing that liabilities relating to this benefit are recognized in
determinations of actuarial condition and funding costs, as determined
under section 69.772 or 69.773, whichever is applicable. Notwithstanding any law to the contrary,
the association is authorized to use a load factor or factors to
recognize liabilities relating to funeral or death benefits paid to the
family of a deceased disabilitant or service pensioner. Benefits are not payable under this paragraph
if the city council does not approve the load factor or factors used in
determinations of actuarial conditions and funding costs.
Sec. 5. [REPEALER.]
Laws 1978, chapter 685, section 5, is repealed.
Sec. 6. [EFFECTIVE
DATE.]
Sections 1 to 5 are effective on the day after the date on
which the Plymouth city council and the chief clerical officer of the
city of Plymouth complete in a timely manner their compliance with
Minnesota Statutes, section 645.021, subdivisions 2 and 3.
ARTICLE
10
VOLUNTEER
FIREFIGHTER RELIEF
ASSOCIATION
CHANGES
Section 1. Minnesota
Statutes 2002, section 424A.02, subdivision 3, is amended to read:
Subd. 3. [FLEXIBLE
SERVICE PENSION MAXIMUMS.] (a) Annually on or before August 1 of each
year as part of the certification of the financial requirements and minimum
municipal obligation made pursuant to determined under section 69.772,
subdivision 4, or 69.773, subdivision 5, as applicable, the secretary or
some other official of the relief association designated in the bylaws of each
relief association shall calculate and certify to the governing body of the
applicable qualified municipality the average amount of available financing per
active covered firefighter for the most recent three-year period. The amount of available financing shall
include any amounts of fire state aid received or receivable by the relief
association, any amounts of municipal contributions to the relief association
raised from levies on real estate or from other available revenue sources
exclusive of fire state aid, and one-tenth of the amount of assets in excess of
the accrued liabilities of the relief association calculated pursuant to
sections under section 69.772, subdivision 2; 69.773, subdivisions 2
and 4; or 69.774, subdivision 2, if any.
(b) The maximum service pension which the relief association
has authority to provide for in its bylaws for payment to a member retiring
after the calculation date when the minimum age and service requirements
specified in subdivision 1 are met must be determined using the table in
paragraph (c) or (d), whichever applies.
(c) For a relief association where the governing bylaws
provide for a monthly service pension to a retiring member, the maximum monthly
service pension amount per month for each year of service credited that may be
provided for in the bylaws is the maximum service pension figure corresponding
to the average amount of available financing per active covered firefighter:
Minimum Average Amount of Maximum Service Pension
Available Financing
per Amount Payable per
Month
Firefighter
for Each Year of Service
$...
$.25
42
.50
84
1.00
126
1.50
168
2.00
209
2.50
252
3.00
294
3.50
335
4.00
378
4.50
420
5.00
503
6.00
587
7.00
672
8.00
755
9.00
839
10.00
923
11.00
1007
12.00
1090
13.00
1175
14.00
1259
15.00
1342
16.00
1427
17.00
1510 18.00
1594
19.00
1677
20.00
1762
21.00
1845
22.00
1888
22.50
1929
23.00
2014
24.00
2098
25.00
2183
26.00
2267
27.00
2351
28.00
2436
29.00
2520
30.00
2604
31.00
2689
32.00
2773
33.00
2857
34.00
2942
35.00
3026
36.00
3110
37.00
3963 3194
38.00
4047 3278
39.00
4137 3362
40.00
Effective beginning December 31, 2000:
4227 3446
41.00
4317 3530
42.00
4407 3614
43.00
4497 3698
44.00
Effective beginning December 31, 2001:
4587 3782
45.00
4677 3866
46.00
4767 3950
47.00
4857 4034
48.00
Effective beginning December 31, 2002:
4947 4118
49.00
5037 4202
50.00
5127 4286
51.00
5217 4370
52.00
Effective beginning December 31, 2003:
5307 4454
53.00
5397 4538
54.00
5487 4622
55.00
5577 4706
56.00
(d) For a relief association in which the governing bylaws
provide for a lump sum service pension to a retiring member, the maximum lump
sum service pension amount for each year of service credited that may be
provided for in the bylaws is the maximum service pension figure corresponding
to the average amount of available financing per active covered firefighter for
the applicable specified period:
Minimum Average Amount Maximum Lump Sum Service
of Available
Financing Pension
Amount Payable
per Firefighter for Each Year of Service
$..
$10
11
20
16
30
23
40
27
50
32
60
43
80
54
100
65
120
77
140
86
160
97
180
108
200
131
240
151
280
173
320
194
360
216
400
239
440
259
480
281
520
302
560
324
600
347
640
367
680
389
720
410
760
432
800
486
900
540
1000
594
1100
648
1200
702
1300
756
1400
810
1500
864
1600
918
1700
972
1800
1026
1900
1080
2000
1134
2100
1188
2200
1242
2300
1296
2400
1350
2500