Journal of the House - 99th Day - Friday, April 29, 2022

A quorum was present.

Miller was excused.

Masin was excused until 11:20 a.m. Demuth was excused until 2:50 p.m. Boldon was excused until 11:15 p.m.

The Chief Clerk proceeded to read the Journal of the preceding day. There being no objection, further reading of the Journal was dispensed with and the Journal was approved as corrected by the Chief Clerk.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12424

REPORTS OF STANDING COMMITTEES AND DIVISIONS

Moran from the Committee on Ways and Means to which was referred:

H. F. No. 778, A bill for an act relating to gambling; authorizing and providing for sports betting; establishing licenses; prohibiting local restrictions; providing for taxation of sports betting; providing civil and criminal penalties; providing for amateur sports grants; requiring reports; appropriating money; amending Minnesota Statutes 2020, sections 260B.007, subdivision 16; 609.75, subdivisions 3, 4, 7, by adding a subdivision; 609.755; 609.76, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 240A; 299L; 609; proposing coding for new law as Minnesota Statutes, chapter 297J.

Reported the same back with the following amendments:

Page 16, delete lines 2 to 4 and insert:

"Application, license, and renewal fees shall be deposited in the sports betting revenue account in the special revenue fund."

Page 26, delete lines 1 to 21 and insert:

"Subd. 7. Distribution of funds. (a) The sports betting revenue account is established in the special revenue fund. All amounts collected by the commissioner under this chapter must be deposited in the account and distributed as provided in this subdivision. Any money remaining in the account at the end of each fiscal year does not cancel. Interest and income earned on money in the account, after deducting any applicable charges, shall be credited to the account. After deducting any amounts necessary to pay the refunds under subdivision 5, the money shall be distributed as provided in paragraphs (b) to (d).

(b) $2,700,000 is appropriated from the sports betting revenue account to the commissioner of public safety to regulate mobile sports betting under sections 299L.10 to 299L.80.

(c) $1,353,000 is appropriated from the sports betting revenue account to the commissioner of revenue to administer the tax established in this chapter.

(d) Of the amount remaining in the sports betting revenue account after the appropriations in paragraphs (b) and (c) have been made:

(1) 50 percent is appropriated to the commissioner of human services of which half is for the compulsive gambling treatment program established under section 245.98, and half is for a grant to the state affiliate recognized by the National Council on Problem Gambling to be used to increase public awareness of problem gambling, provide education and training for individuals and organizations providing effective treatment services to problem gamblers and their families, and research relating to problem gambling. Money appropriated by this clause must supplement and must not replace existing state funding for these programs; and

(2) 50 percent shall be transferred to the amateur sports integrity and participation account established pursuant to section 240A.15, subdivision 1."

Page 26, line 23, before the period, insert ", except that subdivision 7 is effective July 1, 2022, and applies to license and renewal fees received after June 30, 2022, and sports betting net revenue received after June 30, 2023"

Page 27, line 12, delete "......." and insert "June 30, 2023."

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12425

Page 37, delete lines 5 to 7 and insert:

"Subdivision 1. Appropriation. Notwithstanding any law to the contrary, before the distribution required under Minnesota Statutes, section 297J.02, subdivision 7, paragraph (d), $150,000 in fiscal year 2023 is appropriated from the sports betting revenue account in the special revenue fund to the commissioner of public safety for a grant to a nonprofit organization to conduct a study on the gambling motivations and beliefs of young adult gamblers. The commissioner may not use any amount of this appropriation to administer the grant. This is a onetime appropriation."

Page 38, line 2, delete "$......." and insert "$1,301,000" and delete "general" and insert "sports betting revenue account in the special revenue"

Page 38, line 4, delete everything after the period and insert "Notwithstanding any law to the contrary, this appropriation must be made before the distribution required under Minnesota Statutes, section 297J.02, subdivision 7, paragraph (d). This is a onetime appropriation."

Page 38, delete line 5

Page 38, line 7, delete "$......." and insert "$328,000" and delete "general" and insert "sports betting revenue account in the special revenue"

Page 38, line 9, delete everything after the first period and insert "Notwithstanding any law to the contrary, this appropriation must be made before the distribution required under Minnesota Statutes, section 297J.02, subdivision 7, paragraph (d). This is a onetime appropriation."

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Moran from the Committee on Ways and Means to which was referred:

H. F. No. 2767, A bill for an act relating to liquor; modifying various provisions regulating the sale and production of intoxicating liquor; modifying various licensing provisions; establishing a liquor regulation advisory council; providing for tax on certain malt beverages; providing for direct shipments of wine; authorizing local licenses; appropriating money; amending Minnesota Statutes 2020, sections 13.6905, by adding a subdivision; 295.75, subdivision 4; 297A.83, subdivision 1; 297G.07, subdivision 1; 299A.706; 340A.101, subdivision 16; 340A.22, subdivisions 1, 2, 4; 340A.28, subdivision 2; 340A.301, subdivision 8; 340A.304; 340A.307, subdivisions 1, 2, 4; 340A.404, subdivisions 1, 1a, 6, 10; 340A.410, subdivision 10; 340A.412, subdivision 14; 340A.417; 340A.504, by adding a subdivision; proposing coding for new law in Minnesota Statutes, chapter 340A.

Reported the same back with the following amendments:

Page 1, after line 15, insert:

"Section 1. Minnesota Statutes 2020, section 340A.101, is amended by adding a subdivision to read:

Subd. 9a. Distilled spirits manufacturer. "Distilled spirits manufacturer" means a distillery operated within the state producing distilled spirits in a total quantity exceeding the proof gallons limit for a microdistillery in a calendar year.

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

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12426

Page 1, line 20, delete "carbohydrate" and insert "malt substitute"

Page 2, delete sections 2 and 3

Page 3, delete section 4 and insert:

"Sec. 3. Minnesota Statutes 2020, section 340A.22, is amended to read:

340A.22 MICRODISTILLERIES; DISTILLED SPIRIT MANUFACTURERS.

Subdivision 1. Activities. (a) A microdistillery licensed under this chapter may provide on its premises samples of distilled spirits manufactured on its premises, in an amount not to exceed 15 milliliters per variety per person. No more than 45 milliliters may be sampled under this paragraph by any person on any day.

(b) A microdistillery or distilled spirits manufacturer can sell cocktails to the public, pursuant to subdivision 2.

(c) A microdistillery or distilled spirits manufacturer may not operate a cocktail room under subdivision 2 or conduct sales at off-sale under subdivision 4 unless at least 50 percent of the annual production of the licensee is processed and distilled on premises.

(d) For purposes of calculating annual production under paragraph (c), distilled spirits that are bottled by the licensee under a contract bottling agreement with a third party are excluded from the licensee's annual production if the:

(1) third-party contractor is an independent entity that is not owned or controlled by the licensee;

(2) distilled spirits bottled under a third-party contract are not available for sale or marketed by the licensee or the third party at any location licensed under subdivision 2 or 4; and

(3) distilled spirits bottled under a third-party contract are available for distribution by wholesalers.

~~(d)~~ (e) Distilled spirits produced or in production prior to July 1, 2017, are not counted as part of the calculations under paragraph (c).

Subd. 2. Cocktail room license. (a) A municipality, including a city with a municipal liquor store, may issue the holder of a microdistillery license or distilled spirits manufacturer license under this chapter a microdistillery or distilled spirits manufacturer cocktail room license. A microdistillery cocktail room license authorizes on-sale of distilled liquor produced by the distiller for consumption on the premises of or adjacent to one distillery location owned by the distiller. Notwithstanding section 340A.504, subdivision 3, a cocktail room may be open and may conduct on-sale business on Sundays if authorized by the municipality. Nothing in this subdivision precludes the holder of a microdistillery or distilled spirits manufacturer cocktail room license from also holding a license to operate a restaurant at the distillery. Section 340A.409 shall apply to a license issued under this subdivision. All provisions of this chapter that apply to a retail liquor license shall apply to a license issued under this subdivision unless the provision is explicitly inconsistent with this subdivision.

(b) A distiller may only have one cocktail room license under this subdivision~~, and may not have an ownership interest in a distillery licensed under section 340A.301, subdivision 6, clause (a)~~.

(c) The municipality shall impose a licensing fee on a distiller holding a microdistillery or distilled spirits manufacturer cocktail room license under this subdivision, subject to limitations applicable to license fees under section 340A.408, subdivision 2, paragraph (a).

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12427

(d) A municipality shall, within ten days of the issuance of a license under this subdivision, inform the commissioner of the licensee's name and address and trade name, and the effective date and expiration date of the license. The municipality shall also inform the commissioner of a license transfer, cancellation, suspension, or revocation during the license period.

(e) No single entity may hold both a cocktail room and taproom license, and a cocktail room and taproom may not be colocated.

Subd. 3. License; fee. The commissioner shall establish a fee for licensing microdistilleries that adequately covers the cost of issuing the license and other inspection requirements. The fees shall be deposited in an account in the special revenue fund and are appropriated to the commissioner for the purposes of this subdivision. All other requirements of section 340A.301 apply to a license under this section.

Subd. 4. Off-sale license. (a) A microdistillery may be issued a license by the local licensing authority for off‑sale of distilled spirits, with the approval of the commissioner. The license may allow ~~the sale of one 375 milliliter bottle per customer per day of product manufactured on site~~ sales as provided in paragraph (b), subject to the following requirements:

(1) off-sale hours of sale must conform to hours of sale for retail off-sale licensees in the licensing municipality; and

(2) no brand may be sold at the microdistillery unless it is also available for distribution by wholesalers.

(b) The license allows a microdistillery to sell product manufactured on site to each customer per day under either one of the following amount and container size limitations:

(1) up to a total of 750 milliliters, in any size container approved under paragraph (c); or

(2) up to a total of 1.125 liters, in any size container approved under paragraph (c) that does not exceed 375 milliliters.

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

Page 10, strike lines 7 to 11

Page 10, line 12, strike the old language and delete the new language

Page 10, strike line 13

Page 10, line 14, strike "(c)" and insert "(b)"

Page 10, line 15, strike "paragraphs" and insert "paragraph" and strike "and (b)"

Page 10, line 17, delete "(d)" and insert "(c)"

Page 12, line 9, delete "nine" and insert "12"

Page 12, line 11, delete "three" and insert "four"

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12428

Page 12, line 14, delete "and"

Page 12, line 17, after the semicolon, insert "and"

Page 12, after line 17, insert:

"(iv) one member must represent or be employed by a food retailer or convenience store;"

Page 12, line 18, delete "three" and insert "four"

Page 12, line 21, delete "and"

Page 12, after line 23, insert:

"(iv) one member must represent or be employed by any wholesaler of alcoholic beverages; and"

Page 12, line 24, delete "three" and insert "four"

Page 12, delete line 29 and insert:

"(iii) one member must represent or be employed by a farm winery licensed under section 340A.315; and"

Page 12, line 30, delete "(iii)" and insert "(iv)"

Page 12, line 31, delete "item" and insert "items" and delete "or (ii)" and insert "to (iii)"

Page 21, after line 17, insert:

"Sec. 10. APPROPRIATIONS.

(a) $568,000 in fiscal year 2023 is appropriated from the general fund to the commissioner of public safety for the Division of Alcohol and Gambling Enforcement to implement and administer this article. The base for this appropriation is $441,000 in fiscal year 2024 and $441,000 in fiscal year 2025.

(b) $166,000 in fiscal year 2023 is appropriated from the general fund to the commissioner of revenue to administer the tax provisions of this article. The base for this appropriation is $130,000 in fiscal year 2024 and $130,000 in fiscal year 2025."

Page 23, after line 6, insert:

"Sec. 5. CITY OF ANOKA; SPECIAL LICENSE.

Subdivision 1. Social district; consumption allowed. The city of Anoka may issue a social district license to any holder of an on-sale license whose on-sale premises is contiguous with the premises of the social district designated in subdivision 2. The license authorizes consumption, but not sales or service, of alcoholic beverages sold by the on-sale licensee within the social district.

Subd. 2. Designation of social district. (a) Prior to issuing the license in subdivision 1, the city of Anoka must designate and describe the premises of the social district. The district may not include any area under the ownership or control of a person that objects to the extension of the social district to that area.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12429

(b) The designation must include the specific premises where consumption of alcoholic beverages is allowed and also include the proposed hours and days in which consumption of alcoholic beverages is allowed in the social district. The city of Anoka must adopt the designation by ordinance prior to issuing the license in subdivision 1.

Subd. 3. Boundaries clearly defined. The social district must be clearly defined with signs posted in a conspicuous location indicating the area included in the social district and the days and hours during which alcoholic beverages may be consumed in the district. In addition, signs must include:

(1) the local law enforcement agency with jurisdiction over the area comprising the social district; and

(2) a clear statement that an alcoholic beverage purchased for consumption in the social district shall:

(i) only be consumed in the social district; and

(ii) be disposed of before the person in possession of the alcoholic beverage exits the social district unless the person is reentering the licensed premises where the alcoholic beverage was purchased.

Subd. 4. Management and maintenance. The city of Anoka must establish management and maintenance plans for the social district and post these plans, along with a rendering of the boundaries of the social district and days and hours during which alcoholic beverages may be consumed in the district, on the website for the city of Anoka. The social district must be maintained in a manner that protects the health and safety of the general public.

Subd. 5. Requirements for on-sale licensees. An on-sale licensee holding a social district license may only sell and serve alcoholic beverages on the premises specified in the licensee's on-sale license. The licensee must not allow a person to enter or reenter its on-sale licensed premises with an alcoholic beverage not sold by the on-sale licensee. Sales for consumption in the social district must meet the following container requirements:

(1) the container clearly identifies the on-sale licensee from which the alcoholic beverage was purchased;

(2) the container clearly displays a logo or some other mark that is unique to the social district in which it will be consumed;

(3) the container is not comprised of glass;

(4) the container displays, in no less than 12-point font, the statement, "Drink Responsibly – Be 21."; and

(5) the container shall not hold more than 16 fluid ounces.

Subd. 6. Additional social district requirements. The possession and consumption of an alcoholic beverage in a social district is subject to all of the following requirements:

(1) only alcoholic beverages purchased from an on sale-licensee holding a social district license located in or contiguous to the social district may be possessed and consumed in the district;

(2) alcoholic beverages shall only be in containers meeting the requirements set forth in subdivision 5;

(3) alcoholic beverages shall only be possessed and consumed during the days and hours set by the city of Anoka as specified in subdivision 2; and

(4) a person shall dispose of any alcoholic beverage in the person's possession prior to exiting the social district unless the person is reentering the on-sale licensed premises where the alcoholic beverage was purchased.

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

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12430

Sec. 6. CITY OF ROCHESTER; ON-SALE LICENSE.

Notwithstanding any law or ordinance to the contrary, in addition to the number of licenses authorized, the city of Rochester may issue an on-sale wine license and an on-sale malt liquor license to a nonprofit association comprised of members participating in adult athletic competitions and related events at the McQuillan Park Softball Complex. The licenses must authorize the dispensing of wine or malt liquor only to persons attending events at the complex for consumption on the premises. A license issued under this section authorizes sales on all days of the week to persons attending adult events at the complex.

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

Renumber the sections in sequence

Correct the title numbers accordingly

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Moran from the Committee on Ways and Means to which was referred:

H. F. No. 3768, A bill for an act relating to civil law; amending process for and approval of transfer of structured settlement; providing for enforcement of violations of prohibited practices; amending Minnesota Statutes 2020, sections 549.30, subdivisions 3, 6, 15, 19, by adding subdivisions; 549.31; 549.32; 549.34; proposing coding for new law in Minnesota Statutes, chapter 549.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2020, section 549.30, subdivision 1, is amended to read:

Subdivision 1. Application. For purposes of sections 549.30 to ~~549.34~~ 549.41, the terms defined in this section have the meanings given them.

Sec. 2. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 3a. Assignee. "Assignee" means a person acquiring or proposing to acquire structured settlement payments from a structured settlement purchase company or transferee after, or concurrently with, the transfer of the structured settlement payment rights by the payee to the structured settlement purchase company or transferee.

Sec. 3. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 3b. Secretary. "Secretary" means the secretary of state.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12431

Sec. 4. Minnesota Statutes 2020, section 549.30, subdivision 5, is amended to read:

Subd. 5. Discounted present value. "Discounted present value" means~~, with respect to a proposed transfer of structured settlement payment rights,~~ the ~~fair~~ present value of future payments, as determined by discounting the payments to the present using the most recently published applicable federal rate for determining the present value of an annuity, as issued by the United States Internal Revenue Service.

Sec. 5. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 5a. Effective annual interest rate. "Effective annual interest rate" means the effective rate of interest per year the payee will be paying the transferee based on the net advance amount that a payee will receive from the transferee and the amounts and timing of the structured settlement payments that the payee is transferring to the transferee.

Sec. 6. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 5b. Gross advance amount. "Gross advance amount" means the sum payable to the payee or for the payee's account as consideration for a transfer of structured settlement payment rights before any reductions for transfer expenses or other deductions to be made from such consideration.

Sec. 7. Minnesota Statutes 2020, section 549.30, subdivision 6, is amended to read:

Subd. 6. Independent professional advice. "Independent professional advice" means advice of an attorney, certified public accountant, actuary, or other licensed professional adviser: (1) who is engaged by a payee to render advice concerning the legal, tax, and financial implications of a transfer of structured settlement payment rights; (2) who is not in any manner affiliated with or compensated by the transferee of the transfer; and (3) whose compensation for providing the advice is not affected by whether a transfer occurs or does not occur.

Sec. 8. Minnesota Statutes 2020, section 549.30, subdivision 7, is amended to read:

Subd. 7. Interested parties. "Interested parties" means the payee, a beneficiary irrevocably designated under the annuity contract to receive payments following the payee's death or, if the designated beneficiary is a minor, the designated beneficiary's parent or guardian, the annuity issuer, the structured settlement obligor, and any other party to the structured settlement that has continuing rights or obligations to receive or make payments under the structured settlement.

Sec. 9. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 7a. Net advance amount. "Net advance amount" means the gross advance amount, less the aggregate amount of the actual and estimated transfer expenses.

Sec. 10. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 8a. Periodic payments. "Periodic payments" includes both recurring payments and scheduled future lump-sum payments.

Sec. 11. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 8b. Prospective payee. "Prospective payee" means an individual who is receiving tax-free payments under a structured settlement pursuant to United States Code, title 26, section 130, and who has been personally and individually solicited by and has not yet proposed to transfer all or a portion of the structured settlement payment rights to a structured settlement purchase company.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12432

Sec. 12. Minnesota Statutes 2020, section 549.30, subdivision 9, is amended to read:

Subd. 9. Qualified assignment agreement. "Qualified assignment agreement" means an agreement providing for a qualified assignment as provided by the United States Internal Revenue Code, title 26, section 130, as amended ~~through December 31, 1998~~.

Sec. 13. Minnesota Statutes 2020, section 549.30, subdivision 13, is amended to read:

Subd. 13. Structured settlement agreement. "Structured settlement agreement" means the agreement, judgment, stipulation, or release embodying the terms of a structured settlement~~, including the rights of the payee to receive periodic payments~~.

Sec. 14. Minnesota Statutes 2020, section 549.30, subdivision 15, is amended to read:

Subd. 15. Structured settlement payment rights. "Structured settlement payment rights" means rights to receive periodic payments~~, including lump-sum payments,~~ under a structured settlement, whether from the settlement obligor or the annuity issuer, where: (1) the payee or any other interested party is domiciled in the state; or (2) the structured settlement agreement was approved by a court or responsible administrative authority in the state~~; or (3) the settled claim was pending before the courts of this state when the parties entered into the structured settlement agreement~~.

Sec. 15. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 15a. Structured settlement purchase company. "Structured settlement purchase company" means a person that acts as a transferee in the state and who is registered with the secretary pursuant to section 549.35.

Sec. 16. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 15b. Structured settlement transfer proceeding. "Structured settlement transfer proceeding" means a court proceeding initiated by the filing of an application by a structured settlement purchase company seeking court approval of a transfer in accordance with sections 549.30 to 549.41.

Sec. 17. Minnesota Statutes 2020, section 549.30, subdivision 17, is amended to read:

Subd. 17. Transfer. "Transfer" means a sale, assignment, pledge, hypothecation, or other form of alienation or encumbrance made by a payee for consideration. A transfer does not include the creation or perfection of a security interest in structured settlement payment rights under a blanket security agreement entered into with an insured depository institution, in the absence of any action to redirect the structured settlement payments to such insured depository institution, or an agent or successor in interest thereof, or otherwise to enforce such blanket security interest against the structured settlement payment rights.

Sec. 18. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 18a. Transfer expense. "Transfer expense" means all expenses of a transfer that are required under the transfer agreement to be paid by the payee or deducted from the gross advance amount, including, without limitation, court filing fees, attorney fees, escrow fees, lien recordation fees, and judgment and lien search fees. Transfer expense does not include preexisting obligations of the payee payable for the payee's account from the proceeds of the transfer.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12433

Sec. 19. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to read:

Subd. 18b. Transfer order. "Transfer order" means an order approving a transfer in accordance with sections 549.30 to 549.41.

Sec. 20. Minnesota Statutes 2020, section 549.30, subdivision 19, is amended to read:

Subd. 19. Transferee. "Transferee" means a person ~~who is receiving or will receive structured settlement payment rights resulting from a transfer~~ acquiring or proposing to acquire structured settlement payment rights through a transfer.

Sec. 21. [549.35] REGISTRATION; SURETY BOND.

Subdivision 1. Registration required. A person shall not act as a transferee, attempt to acquire structured settlement payment rights through a transfer from a payee who resides in this state, or file a structured settlement transfer proceeding unless the person is registered with the secretary to do business in this state as a structured settlement purchase company.

Subd. 2. Forms; process. A person may apply pursuant to this section with the secretary for a registration to do business in this state as a structured settlement purchase company. An application for an initial or renewed registration must be submitted on a form prescribed by the secretary. An initial or renewed registration is valid for one year from the date it is issued, expires one year after it is issued, and may be renewed annually by the registrant on or before the expiration date.

Subd. 3. Application; surety bond. (a) Each initial or renewal application must contain a sworn certification by an owner; officer; director or manager of the applicant, if the applicant is not a natural person; or by the applicant if the applicant is a natural person, certifying that:

(1) the applicant has secured a surety bond payable to the state, has been issued a letter of credit, or has posted a cash bond in the amount of $50,000. The security device must be in a form satisfactory to the secretary and must run to the state for the benefit of any payee claimant to secure the faithful performance of the obligation of the structured settlement purchase company under the law, and the secretary shall have no other duty than to receive the sworn certification of surety bond; and

(2) the applicant shall comply with sections 549.30 to 549.41 when acting as a structured settlement purchase company and filing structured settlement transfer proceedings.

(b) A surety bond, letter of credit, or cash bond obtained under this section must be effective concurrently with the registration of the applicant and must remain in effect for not less than three years after the expiration or termination of the registration. The surety bond, letter of credit, or cash bond must be renewed each year as needed to keep it continuously in effect when the registration of the applicant is renewed.

Subd. 4. Postjudgment notice. No later than ten days after a judgment is obtained against a structured settlement purchase company by a payee, the structured settlement purchase company shall file a notice with the secretary and, if applicable, the surety which issued the surety bond used by the structured settlement purchase company to satisfy the requirements under subdivision 3. The notice must contain:

(1) a copy of the judgment;

(2) the name and address of the judgment creditor; and

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12434

(3) the status of the matter, including whether the judgment will be appealed or has been paid or satisfied.

Subd. 5. Effect on liability and transfer orders. (a) The liability of the surety which issued a surety bond used by a structured settlement purchase company to satisfy the requirements under subdivision 3 must not be affected by a:

(1) breach of contract, breach of warranty, failure to pay a premium, or other act or omission of the structured settlement purchase company; or

(2) insolvency or bankruptcy of the structured settlement purchase company.

(b) Except as otherwise provided in section 549.36, a transfer order signed by a court of competent jurisdiction pursuant to section 549.40 constitutes a qualified order under United States Code, title 26, section 5891. If a transferee to which the transfer order applies is not registered as a structured settlement purchase company pursuant to this section at the time the transfer order is signed, the transfer order does not constitute a qualified order under United States Code, title 26, section 5891.

Subd. 6. Cancellation or modification. (a) A surety which issued a surety bond used by a structured settlement purchase company to satisfy the requirements under subdivision 3 and the structured settlement purchase company which obtained the surety bond shall not cancel or modify the surety bond during the term for which it is issued unless the surety or the structured settlement purchase company provides written notice to the secretary at least 20 days before the effective date of the cancellation or modification.

(b) If a surety bond used by a structured settlement purchase company to satisfy the requirements of subdivision 3 is modified so as to make the surety bond not comply with any provision of sections 549.30 to 549.41, or the surety bond is canceled, the registration of the structured settlement purchase company expires on the effective date of the modification or cancellation unless a new surety bond, letter of credit, or cash bond which complies with sections 549.30 to 549.41, is filed with the secretary on or before the effective date of the modification or cancellation.

(c) A modification or cancellation of a surety bond used by a structured settlement purchase company to satisfy the requirements of subdivision 3 does not affect any liability of the bonded surety company incurred before the modification or cancellation of the surety bond.

Subd. 7. Exemptions. (a) An assignee is not required to register as a structured settlement purchase company to acquire structured settlement payment rights or to take security interest in structured settlement payment rights that were transferred by the payee to a structured settlement purchase company.

(b) An employee of a structured settlement purchase company, if acting on behalf of the structured settlement purchase company in connection with a transfer, is not required to be registered.

Subd. 8. Fee. $700 shall be paid to the secretary of state at the time of making an initial registration application and $200 shall be paid for a renewal under this section.

EFFECTIVE DATE. This section is effective January 1, 2023.

Sec. 22. [549.36] PROHIBITED PRACTICES; PENALTIES.

Subdivision 1. Prohibited practices. A transferee or structured settlement purchase company and an employee or other representative of a transferee or structured settlement purchase company shall not engage in the following actions:

(1) pursue or complete a transfer with a payee without complying with all applicable provisions of sections 549.30 to 549.41;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12435

(2) refuse or fail to fund a transfer after court approval of the transfer;

(3) acquire structured settlement payment rights from a payee without complying with all applicable provisions of sections 549.30 to 549.41, including obtaining court approval of the transfer;

(4) intentionally file a structured settlement transfer proceeding in any court other than the court specified in section 549.40, unless the transferee is required to file in a different court by applicable law;

(5) except as otherwise provided in this clause, pay a commission or finder's fee to any person for facilitating or arranging a structured settlement transfer with a payee. The provisions of this clause do not prevent a structured settlement purchase company from paying:

(i) a salary, commission, or other compensation to a person who is an employee of a structured settlement purchase company; or

(ii) routine transfer expenses to third parties, including, without limitation, court filing fees, escrow fees, lien recordation fees, judgment and lien search fees, attorney fees, and other similar fees relating to a transfer;

(6) attempt to coerce, bribe, or intimidate a payee seeking to transfer structured settlement payment rights, including providing any gift, loan, extension of credit, advance, or other forms of consideration paid to or given to the payee as an inducement to enter a transfer agreement;

(7) attempt to defraud a payee or any party to a structured settlement transfer or any interested party in a structured settlement transfer proceeding by any means, including but not limited to forgery or false identification;

(8) except as otherwise provided in this clause, intervene in a pending structured settlement transfer proceeding if the transferee or structured settlement purchase company is not a party to the proceeding or an interested party relative to the proposed transfer which is the subject of the pending structured settlement transfer proceeding. The provisions of this clause do not prevent a structured settlement purchase company from intervening in a pending structured settlement transfer proceeding if the payee has signed a transfer agreement with the structured settlement purchase company within 60 days before the filing of the pending structured settlement transfer proceeding and the structured settlement purchase company which filed the pending structured settlement transfer proceeding violated any provision in sections 549.30 to 549.41 in connection with the proposed transfer that is the subject of the pending structured settlement transfer proceeding;

(9) except as otherwise provided in this clause, knowingly contact a payee who has signed a transfer agreement and is pursuing a proposed transfer with another structured settlement purchase company for the purpose of inducing the payee into canceling the proposed transfer or transfer agreement with the other structured settlement purchase company if a structured settlement transfer proceeding has been filed by the other structured settlement purchase company and is pending. The provisions of this clause do not apply if no hearing has been held in the pending structured settlement transfer proceeding within 90 days after the filing of the pending structured settlement transfer proceeding;

(10) fail to dismiss a pending structured settlement transfer proceeding at the request of the payee. A dismissal of a structured settlement proceeding after a structured settlement purchase company has violated the provisions of this clause does not exempt the structured settlement purchase company from any liability under this section;

(11) solicit a payee or prospective payee through the conveyance of a document that resembles a check or other form of payment;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12436

(12) provide a transfer agreement or related document that purports to give the transferee the first choice or option to purchase any remaining structured settlement payment rights belonging to the payee that are not subject to the structured settlement transfer proceeding; or

(13) communicate with a payee, a prospective payee, or a person associated with the payee:

(i) after the payee, prospective payee, or person associated with the payee has informed the structured settlement purchase company to cease further communication;

(ii) at any unusual time or at a time that the structured settlement purchase company knows is inconvenient to the consumer. In the absence of the structured settlement purchase company's knowledge of circumstances to the contrary, a time at the consumer's location before 8:00 a.m. and after 9:00 p.m. is inconvenient. This clause shall not apply to a payee, prospective payee, or person associated with the payee who has opted in and agreed to allow the structured settlement purchase company to contact the person when necessary; or

(iii) repeatedly or continuously with intent to annoy, abuse, or harass a payee, prospective payee, or person associated with the payee.

Subd. 2. Prohibitions regarding provision of independent professional advice. (a) A transferee or structured settlement purchase company and an employee or other representative of a transferee or structured settlement purchase company shall not instruct a payee to hire or directly refer a payee or prospective payee to seek independent professional advice from a specific person, except that a structured settlement purchase company may refer a payee to a state or local referral service, bar association, legal aid, or any other entity unrelated to the structured settlement purchase company.

(b) A person rendering independent professional advice to a payee or prospective payee is not to be affected by whether a transfer occurs or does not occur and must not in any manner be affiliated with or compensated by the transferee or a structured settlement purchase company unless ordered by the court.

Subd. 3. Enforcement; remedies. (a) A violation of this section is a deceptive practice in violation of section 325F.69.

(b) A payee may file a motion in the district court in which the structured settlement transfer proceeding was pending alleging a violation of subdivision 1 and may pursue all rights and remedies to which the payee may be entitled pursuant to sections 549.30 to 549.41, or any other applicable law.

(c) A structured settlement purchase company may file a motion in district court in which the structured settlement transfer proceeding was pending to enforce subdivision 1, clauses (4), (7), and (9) to (11), and may pursue all remedies to which the structured settlement purchase company may be entitled pursuant to sections 549.30 to 549.41, or any other applicable law.

(d) If a court finds that a structured settlement purchase company or transferee is in violation of subdivision 1, the court may:

(1) revoke the registration of the structured settlement purchase company;

(2) suspend the registration of the structured settlement purchase company for a period to be determined at the discretion of the court;

(3) enjoin the structured settlement purchase company or transferee from filing new structured settlement transfer proceedings in this state or otherwise pursuing transfers in this state; and

(4) order other equitable relief as determined by the court.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12437

Sec. 23. [549.37] REQUIRED DISCLOSURES TO PAYEE.

Not less than ten days before the date on which a payee signs a transfer agreement, the transferee shall provide to the payee a separate disclosure statement, in bold type no smaller than 14-point font, setting forth the following:

(1) the amounts and due dates of the structured settlement payments to be transferred;

(2) the aggregate amount of such payments;

(3) the discounted present value of the payments to be transferred, which must be identified as the "calculation of current value of the transferred structured settlement payments under federal standards for valuing annuities," and the amount of the applicable federal rate used in calculating such discounted present value;

(4) the gross advance amount;

(5) an itemized list of all applicable transfer expenses, other than attorney fees and related disbursements, payable in connection with the transferee's application for approval of the transfer, and the transferee's best estimate of the amount of any such attorney fees and related disbursements;

(6) the effective annual interest rate, which must be disclosed in a statement in the following form: "On the basis of the net amount that you will receive from us and the amounts and timing of the structured settlement payments that you are transferring to us, you will, in effect be paying interest to us at a rate of ....... percent per year.";

(7) the net advance amount;

(8) the quotient, expressed as a percentage, obtained by dividing the net payment amount by the discounted present value of the payments;

(9) the amount of any penalties or liquidated damages payable by the payee in the event of any breach of the transfer agreement by the payee;

(10) that the payee has the right to cancel the transfer agreement, without penalty or further obligation, until the transfer is approved by the court;

(11) that the payee has the right to seek and receive independent professional advice from an attorney, certified public accountant, actuary, or other licensed professional adviser regarding the proposed transfer and should consider doing so before agreeing to the transfer of any structured settlement payment rights. It is prohibited for us to refer you to a specific independent professional adviser. We may refer you to a state or local referral service, bar association, legal aid, or any other entity unrelated to us which assists people with locating independent professional advice, if requested; and

(12) that the payee has the right to seek out and consider additional offers for transferring the structured settlement payment rights and should do so.

Sec. 24. [549.38] CONDITIONS AND APPROVAL OF TRANSFERS OF STRUCTURED SETTLEMENT PAYMENT RIGHTS AND STRUCTURED SETTLEMENT AGREEMENTS.

Subdivision 1. Conditions; approval. (a) No direct or indirect transfer of structured settlement payment rights shall be effective and no structured settlement obligor or annuity issuer shall be required to make any payment directly or indirectly to a transferee or assignee of structured settlement payment rights unless the transfer has been approved in advance in a final court order based on express findings by the court that:

(1) the transfer is in the best interests of the payee, taking into account the welfare and support of the payee's dependents, if any;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12438

(2) the payee has been advised in writing by the transferee to seek independent professional advice regarding the legal, tax, and financial implications of the transfer and if the payee has knowingly declined advice; and

(3) the transfer does not contravene an applicable statute or order of a court or other governmental authority.

(b) In determining whether a proposed transfer is in the best interests of the payee, taking into consideration the payee's dependents, if any, the court shall, among other things, consider the following:

(1) the reasonable preference of the payee, in light of the payee's age, mental capacity, maturity level, understanding of the terms of the agreement, and stated purpose for the transfer;

(2) if the periodic payments were intended to cover future income or losses or future medical expenses, whether the payee has means of support aside from the structured settlement to meet those obligations;

(3) whether the payee can meet the financial needs of, and obligations to, the payee's dependents if the transfer is allowed to proceed, including child support and spousal maintenance;

(4) whether the payee completed previous transactions involving the payee's structured settlement payment rights and the timing, size, stated purpose, and actual use of the proceeds;

(5) the impact of the proposed transfer on current or future eligibility of the payee or the payee's dependents for public benefits; and

(6) any other factors or facts the court determines are relevant and should be considered.

Subd. 2. Additional conditions for transfer of minor's structured settlement payment rights. No direct or indirect transfer of a minor's structured settlement payment rights by a parent, conservator, or guardian shall be effective and no structured settlement obligor or annuity issuer shall be required to make a payment directly or indirectly to a transferee or assignee of structured settlement payment rights unless, in addition to the findings required under subdivision 1, the court also finds that:

(1) the proceeds of the proposed transfer would be applied solely for support, care, education, health, and welfare of the minor payee; and

(2) any excess proceeds would be preserved for the future support, care, education, health, and welfare of the minor payee and transferred to the minor payee upon emancipation.

Sec. 25. [549.39] EFFECTS OF TRANSFER OF STRUCTURED SETTLEMENT PAYMENT RIGHTS.

Following a transfer of structured settlement payment rights:

(1) the structured settlement obligor and the annuity issuer may rely on the court order approving the transfer in redirecting periodic payments to an assignee or transferee in accordance with the order approving the transfer and shall, as to all parties except the transferee or an assignee designated by the transferee, be discharged and released from any and all liability for the redirected payments and such discharge and release shall not be affected by the failure of any party to the transfer to comply with this chapter or with the court order approving the transfer;

(2) the transferee is liable to the structured settlement obligor and the annuity issuer:

(i) if the transfer contravenes the terms of the structured settlement, for any taxes incurred by the structured settlement obligor or annuity issuer as a consequence of the transfer; and

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12439

(ii) for any other liabilities or costs, including reasonable costs and attorney fees, arising from compliance by the structured settlement obligor or annuity issuer with the court order or order of the responsible administrative authority approving the transfer or from the failure of any party to the transfer to comply with sections 549.30 to 549.41;

(3) neither the annuity issuer nor the structured settlement obligor may be required to divide any periodic payment between the payee and any transferee or assignee or between two or more transferees or assignees; and

(4) any further transfer of structured settlement payment rights by the payee may be made only after compliance with all of the requirements of sections 549.30 to 549.41.

Sec. 26. [549.40] PROCEDURE FOR APPROVAL OF TRANSFERS.

Subdivision 1. Application; proof of registration. An application under sections 549.30 to 549.41 for approval of a transfer of structured settlement payment rights must be made by the transferee. The application must be brought in the district court of the county in which the payee is domiciled, except that the application may be brought in the court in the state that approved the structured settlement agreement if the structured settlement agreement requires the application be brought in that court. For applications made under this section on or after January 1, 2023, the application of the transferee must include evidence that the transferee is registered to do business in this state as a structured settlement purchase company pursuant to section 549.35.

Subd. 2. Hearing. A timely hearing must be held on an application for approval of a transfer of structured settlement payment rights. The payee must appear in person at the hearing, unless the court determines that good cause exists to excuse the payee from appearing in person.

Subd. 3. Notice. Not less than 20 days before the scheduled hearing on any application for approval of a transfer of structured settlement payment rights pursuant to sections 549.30 to 549.41, the transferee shall file with the court and serve on all interested parties a notice of the proposed transfer and application for authorization, including with such notice:

(1) a copy of the transferee's application;

(2) a copy of the transfer agreement;

(3) a copy of the disclosure statement required by section 549.37;

(4) the payee's name, age, county of domicile, and the number and ages of each of the payee's dependents;

(5) a summary of:

(i) any prior transfers by the payee to the transferee or an affiliate, or through the transferee or an affiliate to an assignee, and any proposed transfers by the payee to the transferee or an affiliate, or through the transferee or an affiliate, applications for approval of which were denied; and

(ii) any prior transfers by the payee to any person or entity other than the transferee or an affiliate or an assignee of the transferee or an affiliate and any prior proposed transfers by the payee to any person or entity other than the transferee or an affiliate or an assignee of a transferee or affiliate, applications for approval of which were denied, following a reasonable search including the measures taken to identify all prior transfers to the extent that the transfers or proposed transfers have been disclosed to the transferee by the payee in a sworn affidavit or otherwise are actually known to the transferee;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12440

(6) notification that any interested party is entitled to support, oppose, or otherwise respond to the transferee's application, either in person or by counsel, by submitting written comments to the court or by participating in the hearing; and

(7) notification of the time and place of the hearing and notification of the manner in which and the date by which written responses to the application must be filed to be considered by the court, which must not be less than five days before the hearing.

Subd. 4. Dismissal. If the payee cancels a transfer agreement or if the transfer agreement otherwise terminates, after an application for approval of a transfer of structured settlement payment rights has been filed and before it has been granted or denied, the transferee must promptly request the dismissal of the application.

Sec. 27. [549.405] APPOINTMENT OF ATTORNEY ADVISER.

Subdivision 1. Discretionary appointment. The court is authorized and may, in its discretion, appoint an attorney to make an independent assessment and advise the court whether the proposed transfer is in the best interest of the payee, taking into consideration the payee's dependents, if any. The attorney may consult with a certified public accountant, actuary, or other licensed professional adviser, if necessary. All costs and reasonable fees for the appointed attorney shall be borne by the transferee, not to exceed $2,000. The fee shall be deposited with and disbursed by the court to the attorney adviser.

Subd. 2. Mandatory appointment. The court shall appoint an attorney in any case involving:

(1) a proposed transfer of a minor's structured settlement payment rights by a parent or guardian where the attorney must advise the court on whether the proposed transfer is of direct benefit to the minor; or

(2) a proposed transfer of structured settlement payment rights involving a payee if it appears to the court that the payee may suffer from a mental or cognitive impairment.

Subd. 3. Required motion; mental or cognitive impairment of payee. (a) The transferee shall file a motion for the appointment of an attorney prior to a hearing on the proposed transfer if the transferee:

(1) is aware that the underlying structured settlement arose from a case in which a finding was made in a court record of a mental or cognitive impairment on the part of the payee; or

(2) is aware of any other case in which a finding was made in a court record of a mental or cognitive impairment on the part of the payee.

(b) In conjunction with the motion, the transferee shall provide to the court, either in camera or as directed by the court in a way to protect the privacy of the payee, any such findings known to the transferee that describe the nature, extent, or consequences of the payee's mental or cognitive impairment.

Subd. 4. Attorney adviser report. The attorney appointed by the court must report to the court the attorney's assessment and advice at the hearing required under section 549.40, subdivision 2, or at another time as directed by the court.

Subd. 5. Applicability of other law. Nothing in sections 549.30 to 549.41 affects the applicability of sections 524.5-101 to 524.5-903 or the rights and protections of persons subject to guardianship or conservatorship under those sections.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12441

Sec. 28. [549.41] GENERAL PROVISIONS; CONSTRUCTION.

Subdivision 1. Waiver prohibited. The provisions of sections 549.30 to 549.41 may not be waived by a payee.

Subd. 2. Choice of law; venue. Any transfer agreement entered into by a payee who is domiciled in this state must provide that dispute under the transfer agreement, including any claims that the payee has breached the agreement, and must be determined in and under the laws of this state. No such transfer agreement shall authorize the transferee or any other party to confess judgment or consent to entry of judgment against the payee.

Subd. 3. Life-contingent payments. No transfer of structured settlement payment rights shall extend to any payments that are life contingent unless, prior to the date on which the payee signs the transfer agreement, the transferee has established and has agreed to maintain procedures reasonably satisfactory to the annuity issuer and the structured settlement obligor (1) periodically confirms the payee's survival, and (2) gives the annuity issuer and the structured settlement obligor prompt written notice in the event of the payee's death.

Subd. 4. Liability. (a) No payee who proposes to make a transfer of structured settlement payment rights shall incur any penalty, forfeit any application fee or other payment, or otherwise incur any liability to the proposed transferee or any assignee based on any failure of such transfer to satisfy the conditions of sections 549.30 to 549.41.

(b) Compliance with the requirements set forth in sections 549.30 to 549.41 are solely the responsibility of the transferee in any transfer of structured settlement payment rights and neither the structured settlement obligor nor the annuity issuer, if any, has any responsibility for, or any liability arising from, noncompliance with such requirements or failure to fulfill such conditions.

Subd. 5. Construction. (a) Nothing contained in sections 549.30 to 549.41 shall be construed to authorize the transfer of workers' compensation payment rights in contravention of applicable law or to give effect to the transfer of workers' compensation payment rights that is invalid under applicable law.

(b) Nothing contained in sections 549.30 to 549.41 shall:

(1) be construed to authorize any transfer of structured settlement payment rights in contravention of any applicable law or to imply that any transfer under a transfer agreement entered into before August 1, 2022, is valid or invalid; or

(2) affect the validity of any transfer of structured settlement payment rights, whether under a transfer agreement entered into or filed before August 1, 2022, in which the structured settlement obligor and annuity issuer waived or has not asserted their rights under terms of the structured settlement prohibiting or restricting the sale, assignment, or encumbrance of the structured settlement payment rights.

Subd. 6. Application. Sections 549.30 to 549.41 apply to any transfer of structured settlement payment rights filed on or after August 1, 2022.

Sec. 29. APPROPRIATION.

$19,000 in fiscal year 2023 is appropriated from the general fund to the secretary of state for the purposes outlined in section 549.35. The base in fiscal years 2024 and 2025 is $3,000.

Sec. 30. REPEALER.

Minnesota Statutes 2020, sections 549.30, subdivision 3; 549.31; 549.32; 549.33; and 549.34, are repealed.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12442

Sec. 31. EFFECTIVE DATE.

Sections 1 to 20 and 22 to 30 are effective August 1, 2022, and apply to transfers of structured settlement payment rights filed on or after that date."

Amend the title accordingly

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Moran from the Committee on Ways and Means to which was referred:

H. F. No. 3845, A bill for an act relating to children and families; establishing the Office of the Foster Youth Ombudsperson and Board of the Foster Youth Ombudsperson; appropriating money for the Office of the Foster Youth Ombudsperson and Board of the Foster Youth Ombudsperson; proposing coding for new law in Minnesota Statutes, chapters 13; 260C.

Reported the same back with the following amendments:

Page 1, line 15, after "proceedings" insert "that do not pertain to juveniles certified as adults, that are"

Page 1, line 16, delete "and"

Page 1, line 17, delete the period and insert "; and"

Page 1, after line 17, insert:

"(5) data on individuals who are juveniles that are contained within an inactive investigative file maintained by the ombudsperson."

Page 1, line 18, delete "The written summary of the investigation maintained by" and insert "Data contained within an active investigative file maintained by the ombudsperson are"

Page 1, line 19, delete everything before "classified"

Page 2, after line 21, insert:

"(4) one guardian ad litem who is currently appointed to protect the interests of minors in cases in the juvenile court system;"

Page 2, line 22, delete "(4)" and insert "(5)"

Page 2, line 23, delete "(5)" and insert "(6)"

Page 3, lines 5, 19, and 21, delete "administrative"

Page 3, line 8, after the period, insert "The Office of the Foster Youth Ombudsperson shall receive administrative support from the commissioner of administration under section 16B.371."

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12443

Page 3, after line 32, insert:

"(c) For purposes of this section, "agency" means the divisions, officials, or employees of the Department of Human Services, the responsible social services agency, or a licensed child-placing agency."

Page 4, lines 8, 14, and 26, delete "administrative"

Page 5, line 12, after "courts" insert "may"

Page 5, after line 16, insert:

"Sec. 5. [260C.83] FOSTER YOUTH OMBUDSPERSON; RECOMMENDATIONS AND REPORTS TO GOVERNOR.

Subdivision 1. Specific reports. The ombudsperson may send conclusions and suggestions concerning any matter reviewed to the governor. Before finalizing a conclusion or recommendation that expressly or implicitly criticizes an agency, facility, program, or any person, the ombudsperson shall consult with the governor and the agency, facility, program, or person concerning the conclusion or recommendation. When sending a conclusion or recommendation to the governor that is adverse to an agency, facility, program, or any person, the ombudsperson shall include any statement of reasonable length made by that agency, facility, program, or person in defense or mitigation of the office's conclusion or recommendation.

Subd. 2. General reports. In addition to whatever conclusions or recommendations the ombudsperson may make to the governor on an ad hoc basis, the ombudsperson shall, at the end of each biennium, report to the governor concerning the exercise of the ombudsperson's functions during the preceding biennium."

Page 5, line 18, delete "$650,000" and insert "$775,000" and delete "governor's" and insert "Office of the Foster Youth Ombudsperson"

Page 5, line 19, delete "office"

Page 5, line 20, after the period, insert "The base for this appropriation is $726,000 in fiscal year 2024 and $726,000 in fiscal year 2025."

Renumber the sections in sequence

Amend the title as follows:

Page 1, line 3, after the semicolon, insert "requiring a report;"

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

SECOND READING OF HOUSE BILLS

H. F. Nos. 778, 2767, 3768 and 3845 were read for the second time.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12444

INTRODUCTION AND FIRST READING OF HOUSE BILLS

The following House Files were introduced:

Agbaje introduced:

H. F. No. 4849, A bill for an act relating to civil law; requiring landlords to provide just cause for terminating tenancy; proposing coding for new law in Minnesota Statutes, chapter 504B.

The bill was read for the first time and referred to the Committee on Judiciary Finance and Civil Law.

Hansen, R., introduced:

H. F. No. 4850, A bill for an act relating to natural resources; modifying the Legislative-Citizen Commission on Minnesota Resources membership and terms; modifying availability of fund disbursements; providing appointments; amending Minnesota Statutes 2020, sections 116P.05, subdivisions 1, 1a, 2; 116P.09, subdivision 6; 116P.11.

The bill was read for the first time and referred to the Committee on Environment and Natural Resources Finance and Policy.

Edelson introduced:

H. F. No. 4851, A bill for an act relating to public safety; appropriating money for fire department personal protective equipment grants.

The bill was read for the first time and referred to the Committee on Public Safety and Criminal Justice Reform Finance and Policy.

Swedzinski introduced:

H. F. No. 4852, A bill for an act relating to capital investment; appropriating money for improvements at Southwest Minnesota State University; authorizing the sale and issuance of state bonds.

The bill was read for the first time and referred to the Committee on Capital Investment.

Winkler 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 Speaker pro tempore Vang.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12445

REPORTS FROM THE COMMITTEE ON RULES

AND LEGISLATIVE ADMINISTRATION

Winkler from the Committee on Rules and Legislative Administration, pursuant to rules 1.21 and 3.33, designated the following bill to be placed on the Calendar for the Day for Tuesday, May 3, 2022 and established a prefiling requirement for amendments offered to the following bill:

S. F. No. 4410.

Winkler from the Committee on Rules and Legislative Administration, pursuant to rules 1.21 and 3.33, designated the following bills to be placed on the Calendar for the Day for Wednesday, May 4, 2022 and established a prefiling requirement for amendments offered to the following bills:

S. F. No. 4091; and H. F. No. 3669.

Poston was excused between the hours of 11:05 a.m. and 2:50 p.m.

CALENDAR FOR THE DAY

H. F. No. 3872 was reported to the House.

Keeler moved to amend H. F. No. 3872, the second engrossment, as follows:

Page 2, after line 28, insert:

"(c) By September 30, 2023, each Tribal college receiving a transfer under this subdivision must submit a report to the commissioner of the Office of Higher Education and to the chairs and ranking minority members of the legislative committees with jurisdiction over higher education finance and policy. The report must include an accurate and detailed account of how the transferred funds were spent, and a copy of the college's most recent audit report."

The motion prevailed and the amendment was adopted.

Kresha was excused between the hours of 12:35 p.m. and 4:40 p.m.

H. F. No. 3872, A bill for an act relating to higher education; providing for funding and policy changes for the Office of Higher Education, the University of Minnesota, and the Minnesota State Colleges and Universities system; creating and modifying certain student aid programs; creating and modifying certain grants to institutions; modifying certain institutional licensure provisions; creating the Inclusive Higher Education Technical Assistance Center; modifying Board of Regents provisions; requiring reports; appropriating money; amending Minnesota

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12446

Statutes 2020, sections 135A.15, subdivision 8, by adding a subdivision; 136A.121, subdivisions 5, 18; 136A.1701, subdivision 11; 136A.833; 137.023; 137.024; 137.0245, subdivisions 2, 3; 137.0246; Minnesota Statutes 2021 Supplement, sections 135A.137, subdivision 3; 136A.126, subdivisions 1, 4; 136A.1791, subdivision 5; 136A.91, subdivisions 1, 2; 136F.20, subdivision 4; 136F.202, subdivision 1; Laws 2021, First Special Session chapter 2, article 1, section 2, subdivisions 35, 36; article 2, section 45, by adding a subdivision; proposing coding for new law in Minnesota Statutes, chapters 135A; 136A; 137; repealing Minnesota Rules, part 4880.2500.

The bill was read for the third time, as amended, and placed upon its final passage.

The question was taken on the passage of the bill and the roll was called. There were 69 yeas and 59 nays as follows:

Those who voted in the affirmative were:

The bill was repassed, as amended by Conference, and its title agreed to.

There being no objection, the order of business reverted to Calendar for the Day.

CALENDAR FOR THE DAY

S. F. No. 2673 was reported to the House.

Mariani moved to amend S. F. No. 2673, the third engrossment, as follows:

Delete everything after the enacting clause and insert the following language of H. F. No. 4608, the second engrossment:

"ARTICLE 1

APPROPRIATIONS

Section 1. APPROPRIATIONS.

The sums shown in the columns marked "Appropriations" are added to or, if shown in parentheses, subtracted from the appropriations in Laws 2021, First Special Session chapter 11, article 1, to the agencies and for the

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12456

purposes specified in this article. The appropriations are from the general fund, or another named fund, and are available for the fiscal years indicated for each purpose. The figures "2022" and "2023" used in this article mean that the addition to or subtraction from the appropriation listed under them is available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively. "The first year" is fiscal year 2022. "The second year" is fiscal year 2023. Supplemental appropriations and reductions to appropriations for the fiscal year ending June 30, 2022, are effective the day following final enactment.

			APPROPRIATIONS
			Available for the Year
			Ending June 30
			2022	2023

Sec. 2. PUBLIC SAFETY

Subdivision 1. Total Appropriation

$15,000,000

$148,543,000

Appropriations by Fund
	2022	2023
Trunk Highway	-0-	252,000
Special Revenue	-0-	4,050,000
General	15,000,000	144,241,000

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

Subd. 2. Emergency Management

-0-

4,225,000

(a) Local Government Emergency Management

$1,500,000 in fiscal year 2023 is for grants in equal amounts to the emergency management organizations of the 87 counties, 11 federally recognized Tribes, and four cities of the first class for planning and preparedness activities, including capital purchases. Local emergency management organizations must make a request to the Homeland Security and Emergency Management Division for these grants. Current local funding for emergency management and preparedness activities may not be supplanted by these additional state funds. The commissioner may use up to one percent of the appropriation received under this paragraph to pay costs incurred by the department in administering the local government emergency management grant program.

By March 15, 2023, the commissioner of public safety must submit a report on the grant awards to the chairs and ranking minority members of the legislative committees with jurisdiction over emergency management and preparedness activities. At a minimum, the report must identify grant recipients and summarize grantee activities.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12457

(b) First Responder Wellness Office

$2,000,000 in fiscal year 2023 is to establish an office that will provide leadership and resources for improving the mental health of first responders statewide. The base is $1,000,000 in fiscal year 2024 and thereafter.

$500,000 in fiscal year 2023 is for mutual aid response training. This appropriation is onetime.

(d) Supplemental Nonprofit Security Grants

$225,000 in fiscal year 2023 is for supplemental nonprofit security grants under this paragraph.

Nonprofit organizations whose applications for funding through the Federal Emergency Management Agency's nonprofit security grant program that have been approved by the Division of Homeland Security and Emergency Management are eligible for grants under this paragraph. No additional application shall be required for grants under this paragraph, and an application for a grant from the federal program is also an application for funding from the state supplemental program.

Eligible organizations may receive grants of up to $75,000, except that the total received by any individual from both the federal nonprofit security grant program and the state supplemental nonprofit security grant program shall not exceed $75,000. Grants shall be awarded in an order consistent with the ranking given to applicants for the federal nonprofit security grant program. No grants under the state supplemental nonprofit security grant program shall be awarded until the announcement of the recipients and the amount of the grants awarded under the federal nonprofit security grant program.

The commissioner may use up to one percent of the appropriation received under this paragraph to pay costs incurred by the department in administering the supplemental nonprofit security grant program. This is a onetime appropriation.

Subd. 3. Criminal Apprehension

-0-

5,664,000

(a) Violent Crime Reduction Support

$1,779,000 in fiscal year 2023 is to support violent crime reduction strategies. This includes funding for staff and supplies to enhance forensic and analytical capacity.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12458

(b) BCA Accreditation

$186,000 in fiscal year 2023 is to support the Bureau of Criminal Apprehension to achieve and maintain law enforcement accreditation from an accreditation body. This includes funding for staff, accreditation costs, and supplies. The base is $170,000 in fiscal year 2024 and thereafter.

$2,391,000 in fiscal year 2023 is for identity and access management, critical infrastructure upgrades, and Federal Bureau of Investigation audit compliance. This appropriation is available through June 30, 2024. The base is $900,000 in fiscal year 2024 and thereafter.

(d) Marijuana Penalties Modified

$208,000 in fiscal year 2023 is for computer programming, forensic testing, and supplies related to changes in criminal penalties for marijuana. The base is $191,000 in fiscal year 2024 and thereafter.

(e) Expungements

$1,100,000 in fiscal year 2023 is for costs related to expungements of criminal records. The base is $520,000 in fiscal year 2024 and $0 for fiscal year 2025.

Subd. 4. Office of Justice Programs; Total Appropriation

15,000,000

119,936,000

Appropriations by Fund

Special Revenue

-0-

2,600,000

General

15,000,000

117,336,000

(a) Minnesota Heals

$1,000,000 in fiscal year 2023 is for a statewide community healing program; for statewide critical incident stress management services for first responders; and grants for trauma services and burial costs following officer-involved deaths. This appropriation may be used for new staff to support these programs. From this amount, the director may award a grant to a nonprofit that provides equine experiential mental health therapy to first responders suffering from job-related trauma and post-traumatic stress disorder. For purposes of this paragraph, "first responder" means a peace officer as defined in Minnesota Statutes, section 626.84, subdivision 1, paragraph (c); a full-time firefighter as defined in Minnesota Statutes, section 299N.03, subdivision 5; or a volunteer firefighter as defined in Minnesota Statutes, section 299N.03,

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12459

subdivision 7. If the commissioner issues a grant for equine experiential mental health therapy, the grant recipient must report to the commissioner of public safety and the chairs and ranking minority members of the legislative committees with jurisdiction over public safety policy and finance on the therapy provided to first responders. The report must include an overview of the program's budget, a detailed explanation of program expenditures, the number of first responders served by the program, and a list and explanation of the services provided to, and benefits received by, program participants. An initial report is due by January 15, 2023, and a final report is due by January 15, 2024.

(b) General Crime and Trauma Recovery Grants Funding

$1,000,000 in fiscal year 2023 is for programs supporting victims of general crime. These funds may also be used to establish trauma recovery centers in the state to support victims of violent crime who experience trauma and are in need of services and provide new staff to support these programs.

$500,000 in fiscal year 2023 is to provide grants to programs serving youth and for youth violence intervention and prevention programs. Priority for these funds must be given to programs that employ or utilize trauma-informed therapists to support the youth the programs serve. These funds may be used to administer these grants.

(d) Crossover and Dual-Status Youth Model Grants

$1,000,000 in fiscal year 2023 from the prevention services account in the special revenue fund is to provide grants to local units of government and federally recognized Indian Tribes to initiate or expand crossover youth practice model and dual-status youth programs that provide services for youth who are in both the child welfare and juvenile justice systems, in accordance with the Robert F. Kennedy National Resource Center for Juvenile Justice model.

(e) Staffing and Board Expenses

$3,639,000 in fiscal year 2023 is to increase staffing in the Office of Justice Programs for grant management and compliance; build capacity and provide technical assistance to applicants; provide training to individuals and entities seeking to become applicants; perform community outreach and engagement to improve the experiences and outcomes of applicants, grant recipients, and crime victims throughout Minnesota; establish and support a final review panel; and maintain a Minnesota Statistical Analysis Center

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12460

to create ongoing grant evaluation programs and other research and data analysis. These funds may also be used for the per diem and other costs necessary to establish and support the Public Safety Innovation Board.

(f) Community-Based Public Safety Grants

$1,968,000 in fiscal year 2023 is for community-based public safety grants. The base is $75,000 in fiscal year 2024 and thereafter.

(g) Prosecutor Training

$25,000 in fiscal year 2023 is for prosecutor training.

(h) Alternatives to Juvenile Detention - Youth Conflict Resolution Centers Grants

$1,400,000 in fiscal year 2023 is to establish and maintain youth conflict resolution centers as alternatives to juvenile detention.

(i) Direct Assistance to Crime Victim Survivors

$4,000,000 in fiscal year 2023 is for an increase in base funding for crime victim services for the Office of Justice Programs to provide grants for direct services and advocacy for victims of sexual assault, general crime, domestic violence, and child abuse. Funding must support the direct needs of organizations serving victims of crime by providing: direct client assistance to crime victims; competitive wages for direct service staff; hotel stays and other housing-related supports and services; culturally responsive programming; prevention programming, including domestic abuse transformation and restorative justice programming; and other needs of organizations and crime victim survivors. Services funded must include services for victims of crime in underserved communities most impacted by violence and reflect the ethnic, racial, economic, cultural, and geographic diversity of the state. The Office of Justice Programs shall prioritize culturally specific programs, or organizations led and staffed by persons of color that primarily serve communities of color, in funding allocation. The base is $2,000,000 in fiscal year 2024 and thereafter.

(j) Combatting Sex Trafficking

$1,500,000 in fiscal year 2023 is for grants to state and local units of government for the following purposes:

(1) to support new or existing multijurisdictional entities to investigate sex trafficking crimes; and

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12461

(2) to provide technical assistance for sex trafficking crimes, including case consultation, to law enforcement agencies statewide.

(k) Epinephrine Auto-Injector Reimbursement Grants

$1,000,000 in fiscal year 2023 is for grants to local law enforcement agencies to reimburse the costs of obtaining epinephrine auto-injectors and replacing epinephrine auto-injectors that have expired.

(l) Office of Missing and Murdered Black Women and Girls

$500,000 in fiscal year 2023 is to establish and operate the Office of Missing and Murdered Black Women and Girls.

(m) Reward Fund for Missing and Murdered Indigenous Relatives

$110,000 in fiscal year 2023 is to pay rewards for information related to investigations of missing and murdered Indigenous relatives under Minnesota Statutes, section 299A.86.

(n) Youth Intervention Program

$1,000,000 in fiscal year 2023 is for the youth intervention grants program under Minnesota statutes, section 299A.73. Money appropriated under this section is available to programs that are currently supported by youth intervention program grants. This is a onetime appropriation.

(o) Task Force on the Statewide Response to Substance Abuse

$144,000 in fiscal year 2023 is to implement the Task Force on the Statewide Response to Substance Abuse. The base is $154,000 in fiscal year 2024 and $66,000 in fiscal year 2025. The base is $0 in fiscal year 2026 and thereafter.

(p) Task Force on a Coordinated Approach to Juvenile Wellness and Justice

$150,000 in fiscal year 2023 is to implement the Task Force on a Coordinated Approach to Juvenile Wellness and Justice. This is a onetime appropriation.

(q) Juvenile Prevention Services

In fiscal year 2023, $150,000 from the general fund and $1,600,000 from the prevention services account in the special revenue fund are appropriated for grants to provide prevention services. Grant recipients may be local units of government,

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12462

federally recognized Indian Tribes, or nonprofit organizations. Recipients must use funds to establish or support programs designed to prevent juveniles from entering the criminal or juvenile justice systems through approaches that encourage a youth's involvement in the community, provide wrap-around services for at-risk youth, or include culturally appropriate behavioral health interventions for youth. Specific programs may include but are not limited to after-school programs, mentorship programs, tutoring programs, programs that employ restorative justice techniques such as peacemaking circles, or programs based on the Developmental Assets Framework of the Search Institute.

(r) Juvenile Intervention Services

$2,500,000 in fiscal year 2023 is to provide intervention and healing services. Grant recipients may be local units of government, federally recognized Indian Tribes, or nonprofit organizations. Recipients must use funds to provide intervention services to youth involved in the juvenile or criminal justice systems. Intervention services must engage youth who have been involved in the justice system with the aim to create community connections between the youth and their community, promote community healing, and employ restorative justice techniques such as circles, panels, or victim-offender mediation.

(s) Mental Health Services and Wellness Support for Juveniles and Families

$1,750,000 in fiscal year 2023 is for grants to organizations to provide mental health and wellness support services for youth involved in the juvenile justice system and their families. Funding for mental health services is for individuals or organizations that provide mental health services for youth involved in the juvenile justice system, including residential settings or community-based treatment. Funds must be used to support programs designed with input from youth with lived experience, as well as individuals with professional expertise. Wellness support services for families of young people placed out of home following a juvenile delinquency adjudication must create family support groups, provide resources to support families during out-of-home placements, or support the family through the period of post-placement reentry.

(t) Local Community Innovation Grants

$55,000,000 in fiscal year 2023 is for local community innovation grants. The base is $30,000,000 in fiscal year 2024 and beyond. Any unencumbered grant balances at the end of the fiscal year do not cancel but are available for grants in the following year.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12463

(u) Emergency Community Safety Grants

$15,000,000 in fiscal year 2022 is for grants to crime prevention programs for the purpose of providing public safety. Any unencumbered balance at the end of fiscal year 2023 does not cancel but is available for the purposes of this section until spent. This is a onetime appropriation.

(v) Local Co-Responder Grants

$10,000,000 in fiscal year 2023 is for grants to establish, maintain, or expand the use of co-responder programs that work with law enforcement agencies. Any unencumbered balance at the end of the fiscal year does not cancel but is available for the purposes of this section until spent.

(w) Local Community Policing Grants

$15,000,000 in fiscal year 2023 is for local community policing grants. The base is $10,000,000 in each of fiscal years 2024 and 2025. The base is $0 in fiscal year 2026 and thereafter. Any unencumbered grant balances at the end of the fiscal year do not cancel but are available for grants in the following year.

(x) Local Investigation Grants

$15,000,000 in fiscal year 2023 is for local investigation grants. The base is $10,000,000 in each of fiscal years 2024 and 2025. The base is $0 in fiscal year 2026 and thereafter. Any unencumbered grant balances at the end of the fiscal year do not cancel but are available for grants in the following year.

Subd. 5. State Patrol

-0-

252,000

(a) Criminal Record Expungement

$84,000 in fiscal year 2023 from the trunk highway fund is for costs related to criminal record expungement. The base is $168,000 in fiscal year 2024 and thereafter.

(b) Marijuana Penalties Modified

$168,000 in fiscal year 2023 from the trunk highway fund is for costs related to changes in marijuana criminal penalties.

Subd. 6. Administrative Services

-0-

16,016,000

(a) Public Safety Officer Soft Body Armor

$1,000,000 in fiscal year 2023 is for public safety officer soft body armor reimbursements under Minnesota Statutes, section 299A.381. Of this amount, the commissioner may use up to $60,000 to staff and administer the program.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12464

(b) Body Camera Grants

$9,000,000 in fiscal year 2023 is for grants to local law enforcement agencies for portable recording systems. The commissioner shall award grants to local law enforcement agencies for the purchase and maintenance of portable recording systems and portable recording system data. The base is $4,500,000 in fiscal year 2024 and thereafter.

$6,016,000 in fiscal year 2023 is to develop and administer a statewide cloud-based body camera data storage program. Of this amount, the commissioner may use up to $1,000,000 for staff and operating costs to administer this program and the body camera grants program in the preceding section. The base is $6,036,000 in fiscal year 2024 and $6,057,000 in fiscal year 2025.

Subd. 7. Emergency Communication Networks

-0-

2,450,000

Appropriations by Fund

Special Revenue

-0-

1,450,000

General

-0-

1,000,000

(a) Local Grants

$1,000,000 in fiscal year 2023 is for grants to local government units participating in the statewide public safety radio communication system established under Minnesota Statutes, section 403.36. The grants must be used to purchase portable radios and related equipment that is interoperable with the Allied Radio Matrix for Emergency Response (ARMER) system. Each local government unit may receive only one grant. The grant is contingent upon a match of at least five percent from nonstate funds. The director of the Emergency Communication Networks division, in consultation with the Statewide Emergency Communications Board, must administer the grant program. This is a onetime appropriation.

(b) Public Safety Telecommunicator Certification and Training Reimbursement Grants

$1,450,000 in fiscal year 2023 is appropriated from the nondedicated 911 emergency special revenue account for administrative and software costs and rulemaking to establish and review 911 public safety telecommunicator certification and continuing education standards as described in Minnesota Statutes, section 403.051. The base is $1,000,000 in each of fiscal years 2024 and 2025.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12465

Sec. 3. PEACE OFFICER STANDARDS AND TRAINING (POST) BOARD

$165,000

$1,550,000

(a) Database for Public Records

$165,000 in fiscal year 2023 is for a database for public records. This is a onetime appropriation.

(b) Task Force on Alternative Courses to Peace Officer Licensure

$50,000 in fiscal year 2023 is for a task force on alternative courses to peace officer licensure. This is a onetime appropriation.

$1,250,000 in fiscal year 2023 is to hire investigators and additional staff to perform compliance reviews and investigate alleged code of conduct violations and to obtain or improve equipment for that purpose.

(d) Strength and Agility Testing

$250,000 in fiscal year 2023 is to reimburse law enforcement agencies for funding scientifically content-validated and job‑related physical strength and agility examinations to screen applicants as required under Minnesota Statutes, section 626.843, subdivision 1c. The board must establish guidelines for the administration of reimbursement payments under this section.

Sec. 4. PRIVATE DETECTIVE BOARD

$80,000

$518,000

(a) Record Management System and Background Checks

$80,000 in fiscal year 2022 and $18,000 in fiscal year 2023 are to purchase and implement a record management system.

(b) Investigations and Field Audits

$430,000 is for additional staffing to conduct investigations and field audits.

$70,000 in fiscal year 2023 is for an annual review of training curriculum.

Sec. 5. CORRECTIONS

Subdivision 1. Total Appropriation

$1,000,000

$29,272,000

Subd. 2. Incarceration and Prerelease Services

-0-

5,252,000

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12466

(a) Base Adjustment

The general fund base, as a result of new appropriations and bed impact changes, shall result in a net increase of $6,204,000 in fiscal year 2024 and $6,186,000 in fiscal year 2025 for all provisions in this subdivision.

(b) Body-Worn Camera Program

$1,500,000 in fiscal year 2023 is to implement a body-worn camera program for uniformed correctional security personnel and community-based supervision agents. The base is $1,000,000 in fiscal year 2024 and thereafter.

$280,000 in fiscal year 2023 is to create a family support unit that focuses on family support and engagement for incarcerated individuals and their families.

(d) Higher Education

$2,000,000 in fiscal year 2023 is to contract with Minnesota's institutions of higher education to provide instruction to incarcerated individuals in state correctional facilities and to support partnerships with public and private employers, trades programs, and community colleges in providing employment opportunities for individuals after their term of incarceration. Funding must be used for contracts with institutions of higher education and other training providers, and associated reentry and operational support services provided by the agency. The base is $3,500,000 in fiscal year 2024 and thereafter.

(e) Family Communication and Support Services

$1,500,000 in fiscal year 2023 is to provide communications and related supportive services for incarcerated individuals to connect with family members and other approved support persons or service providers through video visits and phone calls during an individual's incarceration.

Subd. 3. Community Supervision and Postrelease Services

-0-

12,050,000

(a) Grants Management System

$450,000 in fiscal year 2023 is for a grants management system and to increase capacity for grants management, including compliance and internal controls. The base is $489,000 in fiscal year 2024 and thereafter.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12467

(b) Supervision Services

$10,450,000 in fiscal year 2023 is for services provided by the Department of Corrections Field Services, County Probation Officers, and Community Corrections Act counties. The base is $25,750,000 in fiscal year 2024 and $38,300,000 in fiscal year 2025 and shall be distributed based on the formula established in article 7, section 16, subdivision 3.

$1,000,000 in fiscal year 2023 is to expand the use of the existing Department of Corrections work release program to increase the availability of educational programming for incarcerated individuals who are eligible and approved for work release.

(d) Healing House

$150,000 in fiscal year 2023 is to provide project management services in support of the Healing House model. The Healing House provides support and assistance to Native American women who have been victims of trauma. The base is $0 in fiscal year 2026 and thereafter.

Subd. 4. Organizational, Regulatory, and Administrative Services

1,000,000

11,970,000

(a) Technology

$1,000,000 in fiscal year 2022 and $11,000,000 in fiscal year 2023 are to replace or improve existing corrections data management systems that have significant deficiencies, create a statewide public safety information sharing infrastructure, and improve data collection and reportability. The base is $17,500,000 in fiscal year 2024 and thereafter.

In the development, design, and implementation of the statewide public safety data information sharing infrastructure, the department shall, at a minimum, consult with county correctional supervision providers, the judicial branch, the Minnesota Sheriffs' Association, the Minnesota Chiefs of Police Association, and the Bureau of Criminal Apprehension.

(b) Property Insurance Premiums

$650,000 in fiscal year 2023 is to fund cost increases for property insurance premiums at state correctional facilities.

$230,000 in fiscal year 2023 is to expand the Department of Corrections project management office, including the addition of two project manager full-time-equivalent positions.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12468

(d) Indeterminate Sentence Release Board

$40,000 in fiscal year 2023 is to fund the establishment of an Indeterminate Sentence Release Board (ISRB) to review eligible cases and make release decisions for persons serving indeterminate sentences under the authority of the commissioner of corrections. The ISRB must consist of five members, including four persons appointed by the governor from two recommendations of each of the majority and minority leaders of the house of representatives and the senate and the commissioner of corrections who shall serve as chair.

(e) Task Force on Felony Murder

$50,000 in fiscal year 2023 is to implement the Task Force on Felony Murder. This is a onetime appropriation.

Sec. 6. OMBUDSPERSON FOR CORRECTIONS

$21,000

$12,000

Sec. 7. OFFICE OF HIGHER EDUCATION

$-0-

$2,500,000

$2,500,000 in fiscal year 2023 is to provide reimbursement grants to postsecondary schools certified to provide programs of professional peace officer education for providing in-service training programs for peace officers on the proper use of force, including deadly force, the duty to intercede, and conflict de‑escalation. Of this amount, up to 2.5 percent is for administration and monitoring of the program.

To be eligible for reimbursement, training offered by a postsecondary school must consist of no less than eight hours of instruction and:

(1) satisfy the requirements of Minnesota Statutes, section 626.8452, and be approved by the Peace Officer Standards and Training Board, for use of force training;

(2) utilize scenario-based training that simulates real-world situations and involves the use of real firearms that fire nonlethal ammunition when appropriate;

(3) include a block of instruction on the physical and psychological effects of stress before, during, and after a high risk or traumatic incident and the cumulative impact of stress on the health of officers;

(4) include blocks of instruction on de-escalation methods and tactics, bias motivation, unknown risk training, defensive tactics, and force-on-force training; and

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12469

(5) be offered to peace officers at no charge to the peace officer or an officer's law enforcement agency.

A postsecondary school that offers training consistent with the above requirements may apply for reimbursement for the costs of offering the training. Reimbursement shall be made at a rate of $450 for each officer who participates in the training. The postsecondary school must submit the name and peace officer license number of the peace officer who received the training.

As used in this section, "law enforcement agency" has the meaning given in Minnesota Statutes, section 626.84, subdivision 1, paragraph (f), and "peace officer" has the meaning given in Minnesota Statutes, section 626.84, subdivision 1, paragraph (c).

Sec. 8. CLEMENCY REVIEW COMMISSION

$-0-

$705,000

Sec. 9. OFFICE OF THE ATTORNEY GENERAL

$-0-

$1,821,000

$1,821,000 in fiscal year 2023 is for enhanced criminal enforcement.

Sec. 10. SENTENCING GUIDELINES COMMISSION

$-0-

$117,000

$117,000 in fiscal year 2023 is for providing meeting space and administrative assistance for the Task Force on Collection of Charging and Related Data. The base is $121,000 in fiscal year 2024 and $0 for fiscal year 2025.

Sec. 11. TRANSFERS; MINNCOR.

$7,000,000 in fiscal year 2023 is transferred from the MINNCOR fund to the general fund.

Sec. 12. TRANSFER; OPIATE EPIDEMIC RESPONSE.

$10,000,000 in fiscal year 2023 is transferred from the general fund to the opiate epidemic response fund established pursuant to Minnesota Statutes, section 256.043. Grants issued from this amount are for prevention and education as described in Minnesota Statutes, section 256.042, subdivision 1, paragraph (a), clause (1). Grant recipients must be located outside the seven-county metropolitan area.

Sec. 13. FUND TRANSFER; HOMETOWN HEROES ASSISTANCE PROGRAM.

The commissioner of public safety shall transfer any amounts remaining in the appropriation under Laws 2021, First Special Session chapter 11, article 1, section 14, subdivision 7, paragraph (k), from the Office of Justice Programs to the state fire marshal for grants to the Minnesota Firefighter Initiative to fund the hometown heroes assistance program under Minnesota Statutes, section 299A.477.

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

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12470

ARTICLE 2

GENERAL CRIMES AND PUBLIC SAFETY POLICY

Section 1. Minnesota Statutes 2020, section 13.6905, is amended by adding a subdivision to read:

Subd. 36. Direct wine shipments. Data obtained and shared by the commissioner of public safety relating to direct shipments of wine are governed by sections 340A.550 and 340A.555.

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

Sec. 2. Minnesota Statutes 2020, section 13.825, subdivision 2, is amended to read:

Subd. 2. Data classification; court-authorized disclosure. (a) Data collected by a portable recording system are private data on individuals or nonpublic data, subject to the following:

(1) data that document the discharge of a firearm by a peace officer in the course of duty, if a notice is required under section 626.553, subdivision 2, or the use of force by a peace officer that results in substantial bodily harm, as defined in section 609.02, subdivision 7a, are public;

(2) data are public if a subject of the data requests it be made accessible to the public, except that, if practicable, (i) data on a subject who is not a peace officer and who does not consent to the release must be redacted, and (ii) data on a peace officer whose identity is protected under section 13.82, subdivision 17, clause (a), must be redacted;

(3) portable recording system data that are active criminal investigative data are governed by section 13.82, subdivision 7, and portable recording system data that are inactive criminal investigative data are governed by this section;

(4) portable recording system data that are public personnel data under section 13.43, subdivision 2, clause (5), are public; and

(5) data that are not public data under other provisions of this chapter retain that classification.

(b) Notwithstanding section 13.82, subdivision 7, a deceased individual's next of kin, legal representative of the next of kin, or other parent of the deceased individual's children is entitled to view any and all recordings from a peace officer's portable recording system, redacted no more than what is required by law, of an officer's use of deadly force no later than five business days following an incident where deadly force used by a peace officer results in the death of an individual, except that a chief law enforcement officer may deny a request if the investigating agency requests and can articulate a compelling reason as to why allowing the deceased individual's next of kin, legal representative of next of kin, or other parent of the deceased individual's children to review the recordings would interfere with a thorough investigation. If the chief law enforcement officer denies a request under this paragraph, the involved officer's agency must issue a prompt, written denial and provide notice to the deceased individual's next of kin, legal representative of the next of kin, or other parent of the deceased individual's children that relief may be sought from the district court.

(c) Notwithstanding section 13.82, subdivision 7, an involved officer's agency shall release to the public no later than 14 business days after an incident all body-worn camera recordings of the incident where a peace officer used deadly force and an individual died, except that a chief law enforcement officer shall not release the video if the investigating agency asserts in writing that allowing the public to view the recordings would interfere with the ongoing investigation.

~~Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12471~~

~~(b)~~ (d) A law enforcement agency may redact or withhold access to portions of data that are public under this subdivision if those portions of data are clearly offensive to common sensibilities.

~~(c)~~ (e) Section 13.04, subdivision 2, does not apply to collection of data classified by this subdivision.

~~(d)~~ (f) Any person may bring an action in the district court located in the county where portable recording system data are being maintained to authorize disclosure of data that are private or nonpublic under this section or to challenge a determination under paragraph (b) to redact or withhold access to portions of data because the data are clearly offensive to common sensibilities. The person bringing the action must give notice of the action to the law enforcement agency and subjects of the data, if known. The law enforcement agency must give notice to other subjects of the data, if known, who did not receive the notice from the person bringing the action. The court may order that all or part of the data be released to the public or to the person bringing the action. In making this determination, the court shall consider whether the benefit to the person bringing the action or to the public outweighs any harm to the public, to the law enforcement agency, or to a subject of the data and, if the action is challenging a determination under paragraph (b), whether the data are clearly offensive to common sensibilities. The data in dispute must be examined by the court in camera. This paragraph does not affect the right of a defendant in a criminal proceeding to obtain access to portable recording system data under the Rules of Criminal Procedure.

Sec. 3. Minnesota Statutes 2020, section 241.01, subdivision 3a, is amended to read:

Subd. 3a. Commissioner, powers and duties. The commissioner of corrections has the following powers and duties:

(a) To accept persons committed to the commissioner by the courts of this state for care, custody, and rehabilitation.

(b) To determine the place of confinement of committed persons in a correctional facility or other facility of the Department of Corrections and to prescribe reasonable conditions and rules for their employment, conduct, instruction, and discipline within or outside the facility. Inmates shall not exercise custodial functions or have authority over other inmates.

(d) To administer, maintain, and inspect all state correctional facilities.

(e) To transfer authorized positions and personnel between state correctional facilities as necessary to properly staff facilities and programs.

(f) To utilize state correctional facilities in the manner deemed to be most efficient and beneficial to accomplish the purposes of this section, but not to close the Minnesota Correctional Facility-Stillwater or the Minnesota Correctional Facility-St. Cloud without legislative approval. The commissioner may place juveniles and adults at the same state minimum security correctional facilities, if there is total separation of and no regular contact between juveniles and adults, except contact incidental to admission, classification, and mental and physical health care.

(g) To organize the department and employ personnel the commissioner deems necessary to discharge the functions of the department, including a chief executive officer for each facility under the commissioner's control who shall serve in the unclassified civil service and may, under the provisions of section 43A.33, be removed only for cause.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12472

(h) To define the duties of these employees and to delegate to them any of the commissioner's powers, duties and responsibilities, subject to the commissioner's control and the conditions the commissioner prescribes.

(i) To annually develop a comprehensive set of goals and objectives designed to clearly establish the priorities of the Department of Corrections. This report shall be submitted to the governor commencing January 1, 1976. The commissioner may establish ad hoc advisory committees.

(j) To perform these duties with the goal of promoting public safety. Promoting public safety includes the promotion of human rights. "Public safety" means reducing or preventing crime while maintaining the basic rights, freedoms, and privileges that belong to every person, including the right to dignity, fairness, equality, respect, and freedom from discrimination, and is achieved by diverting people away from the criminal justice system whenever possible, imposing sanctions that are the least restrictive necessary to achieve accountability for the offense, preferring the use of community services to imprisonment or other confinement unless confinement is necessary to protect the public, and promoting the rehabilitation of those convicted through the provision of evidence-based programming and services.

Sec. 4. Minnesota Statutes 2020, section 244.09, subdivision 5, is amended to read:

Subd. 5. Promulgation of Sentencing Guidelines. The commission shall promulgate Sentencing Guidelines for the district court. The guidelines shall be based on reasonable offense and offender characteristics. The guidelines promulgated by the commission shall be advisory to the district court and shall establish:

(1) the circumstances under which imprisonment of an offender is proper; and

(2) a presumptive, fixed sentence for offenders for whom imprisonment is proper, based on each appropriate combination of reasonable offense and offender characteristics. The guidelines shall provide for an increase of 20 percent and a decrease of 15 percent in the presumptive, fixed sentence.

The Sentencing Guidelines promulgated by the commission may also establish appropriate sanctions for offenders for whom imprisonment is not proper. Any guidelines promulgated by the commission establishing sanctions for offenders for whom imprisonment is not proper shall make specific reference to noninstitutional sanctions, including but not limited to the following: payment of fines, day fines, restitution, community work orders, work release programs in local facilities, community based residential and nonresidential programs, incarceration in a local correctional facility, and probation and the conditions thereof.

Although the Sentencing Guidelines are advisory to the district court, the court shall follow the procedures of the guidelines when it pronounces sentence in a proceeding to which the guidelines apply by operation of statute. Sentencing pursuant to the Sentencing Guidelines is not a right that accrues to a person convicted of a felony; it is a procedure based on state public policy to maintain uniformity, proportionality, rationality, and predictability in sentencing.

In establishing and modifying the Sentencing Guidelines, the primary consideration of the commission shall be public safety. "Public safety" means reducing or preventing crime while maintaining the basic rights, freedoms, and privileges that belong to every person, including the right to dignity, fairness, equality, respect, and freedom from discrimination, and is achieved by diverting people away from the criminal justice system whenever possible, imposing sanctions that are the least restrictive necessary to achieve accountability for the offense, preferring the use of community services to imprisonment or other confinement unless confinement is necessary to protect the public, and promoting the rehabilitation of those convicted through the provision of evidence-based programming and services. Promoting public safety includes the promotion of human rights. The commission shall also consider current sentencing and release practices; correctional resources, including but not limited to the capacities of local and state correctional facilities; and the long-term negative impact of the crime on the community.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12473

The provisions of sections 14.001 to 14.69 do not apply to the promulgation of the Sentencing Guidelines, and the Sentencing Guidelines, including severity levels and criminal history scores, are not subject to review by the legislative commission to review administrative rules. However, the commission shall adopt rules pursuant to sections 14.001 to 14.69 which establish procedures for the promulgation of the Sentencing Guidelines, including procedures for the promulgation of severity levels and criminal history scores, and these rules shall be subject to review by the Legislative Coordinating Commission.

Sec. 5. Minnesota Statutes 2021 Supplement, section 253B.18, subdivision 5a, is amended to read:

Subd. 5a. Victim notification of petition and release; right to submit statement. (a) As used in this subdivision:

(1) "crime" has the meaning given to "violent crime" in section 609.1095, and includes criminal sexual conduct in the fifth degree and offenses within the definition of "crime against the person" in section 253B.02, subdivision 4e, and also includes offenses listed in section 253D.02, subdivision 8, paragraph (b), regardless of whether they are sexually motivated;

(2) "victim" means a person who has incurred loss or harm as a result of a crime the behavior for which forms the basis for a commitment under this section or chapter 253D; and

(3) "convicted" and "conviction" have the meanings given in section 609.02, subdivision 5, and also include juvenile court adjudications, findings under Minnesota Rules of Criminal Procedure, rule 20.02, that the elements of a crime have been proved, and findings in commitment cases under this section or chapter 253D that an act or acts constituting a crime occurred or were part of their course of harmful sexual conduct.

(b) A county attorney who files a petition to commit a person under this section or chapter 253D shall make a reasonable effort to provide prompt notice of filing the petition to any victim of a crime for which the person was convicted. In addition, the county attorney shall make a reasonable effort to promptly notify the victim of the resolution of the petition and the process for requesting notification of an individual's change in status as provided in paragraph (c). A notice shall only be provided to a victim who has submitted a written request for notification to the prosecutor.

(c) A victim may request notification of an individual's discharge or release as provided in paragraph (d) by submitting a written request for notification to the executive director of the facility in which the individual is confined. The Department of Corrections or a county attorney who receives a request for notification from a victim under this section shall promptly forward the request to the executive director of the treatment facility in which the individual is confined.

(d) Before provisionally discharging, discharging, granting pass-eligible status, approving a pass plan, or otherwise permanently or temporarily releasing a person committed under this section from a state-operated treatment program or treatment facility, the head of the state-operated treatment program or head of the treatment facility shall make a reasonable effort to notify any victim of a crime for which the person was convicted that the person may be discharged or released and that the victim has a right to submit a written statement regarding decisions of the medical director, special review board, or commissioner with respect to the person. To the extent possible, the notice must be provided at least 14 days before any special review board hearing or before a determination on a pass plan. Notwithstanding section 611A.06, subdivision 4, the commissioner shall provide the judicial appeal panel with victim information in order to comply with the provisions of this section. The judicial appeal panel shall ensure that the data on victims remains private as provided for in section 611A.06, subdivision 4. These notices shall only be provided to victims who have submitted a written request for notification as provided in paragraph (c).

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12474

(e) The rights under this subdivision are in addition to rights available to a victim under chapter 611A. This provision does not give a victim all the rights of a "notified person" or a person "entitled to statutory notice" under subdivision 4a, 4b, or 5 or section 253D.14.

Sec. 6. Minnesota Statutes 2021 Supplement, section 253D.14, subdivision 2, is amended to read:

Subd. 2. Notice of filing petition. A county attorney who files a petition to commit a person under this chapter shall make a reasonable effort to provide prompt notice of filing the petition to any victim of a crime for which the person was convicted or was listed as a victim in the petition of commitment. In addition, the county attorney shall make a reasonable and good faith effort to promptly notify the victim of the resolution of the process for requesting the notification of an individual's change in status as provided in section 253D.14, subdivision 3. A notice shall only be provided to a victim who has submitted a written request for notification to the prosecutor.

Sec. 7. Minnesota Statutes 2020, section 256I.04, subdivision 2g, is amended to read:

Subd. 2g. ~~Crisis shelters~~ Domestic abuse programs. ~~Secure crisis shelters for battered women and their children designated by the Minnesota Department of Corrections~~ Programs that provide services to victims of domestic abuse designated by the Office of Justice Programs in the Department of Public Safety are not eligible for housing support under this chapter.

Sec. 8. Minnesota Statutes 2020, section 299A.01, is amended by adding a subdivision to read:

Subd. 1d. Mandated reports; annual audit. (a) Beginning February 15, 2023, and each year thereafter, the commissioner, as part of the department's mission and within the department's resources, shall report to the chairs and ranking minority members of the legislative committees having jurisdiction over public safety policy and finance a list of reports that the commissioner is obligated to submit to the legislature. For each reporting requirement listed, the commissioner must include a description of the applicable program, information required to be included in the report, the frequency that the report must be completed, and the statutory authority for the report.

(b) If the legislature does not repeal or otherwise modify by law a reporting requirement, the commissioner must continue to provide each mandated report as required by law.

Sec. 9. Minnesota Statutes 2020, section 299A.01, subdivision 2, is amended to read:

Subd. 2. Duties of commissioner. (a) The duties of the commissioner shall include the following:

(1) the coordination, development and maintenance of services contracts with existing state departments and agencies assuring the efficient and economic use of advanced business machinery including computers;

(2) the execution of contracts and agreements with existing state departments for the maintenance and servicing of vehicles and communications equipment, and the use of related buildings and grounds;

(3) the development of integrated fiscal services for all divisions, and the preparation of an integrated budget for the department;

(4) the publication and award of grant contracts with state agencies, local units of government, and other entities for programs that will benefit the safety of the public; and

(5) the establishment of a planning bureau within the department.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12475

(b) The commissioner shall exercise the duties under paragraph (a) with the goal of promoting public safety. Promoting public safety includes the promotion of human rights. "Public safety" means reducing or preventing crime by diverting people away from the criminal justice system whenever possible, effecting arrest or detention practices that are the least restrictive necessary to protect the public, and promoting the rehabilitation of those who engage in criminal activity by providing evidence-based programming and services, while still maintaining the basic rights, freedoms, and privileges that belong to every person, including the right to dignity, fairness, equality, respect, and freedom from discrimination.

Sec. 10. [299A.381] PUBLIC SAFETY OFFICER SOFT BODY ARMOR REIMBURSEMENT.

Subdivision 1. Definitions. As used in this section:

(1) "commissioner" means the commissioner of public safety;

(2) "firefighter" means a volunteer, paid on-call, part-time, or career firefighter serving a general population within the boundaries of the state;

(3) "public safety officer" means a firefighter or qualified emergency medical service provider;

(4) "qualified emergency medical service provider" means a person certified under section 144E.101 who is actively employed by a Minnesota licensed ambulance service; and

(5) "vest" has the meaning given in section 299A.38, subdivision 1, paragraph (c).

Subd. 2. State and local reimbursement. Public safety officers and heads of agencies and entities that buy vests for the use of public safety officer employees may apply to the commissioner for reimbursement of funds spent to buy vests. On approving an application for reimbursement, the commissioner shall pay the applicant an amount equal to the lesser of one-half of the vest's purchase price or the reimbursement amount set by the commissioner in section 299A.38, subdivision 2a. The political subdivision or entity that employs a public safety officer shall pay at least the lesser of one-half of the vest's purchase price or the reimbursement amount set by the commissioner in section 299A.38, subdivision 2a. The employer may not deduct or pay its share of the vest's cost from any clothing, maintenance, or similar allowance otherwise provided to the public safety officer by the employer.

Subd. 3. Eligibility requirements. The eligibility requirements in section 299A.38, subdivision 3, apply to applications for reimbursement under this section.

Subd. 4. Rules. The commissioner shall amend the rules adopted pursuant to section 299A.38, subdivision 4, to administer this section, as needed.

Subd. 5. Limitation of liability. A state agency, political subdivision of the state, state or local government employee, or other entity that provides reimbursement for purchase of a vest under this section is not liable to a public safety officer or the public safety officer's heirs for negligence in the death of or injury to the public safety officer because the vest was defective or deficient.

Subd. 6. Right to benefits unaffected. A public safety officer who is reimbursed for the purchase of a vest under this section and who suffers injury or death because the officer failed to wear the vest, or because the officer wore a vest that was defective or deficient, may not lose or be denied a benefit or right, including a benefit under section 299A.44, to which the officer, or the officer's heirs, is otherwise entitled.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12476

Sec. 11. Minnesota Statutes 2020, section 299A.49, subdivision 2, is amended to read:

Subd. 2. ~~Chemical assessment~~ Hazardous materials response team. "~~Chemical assessment~~ Hazardous materials response team" means a team (1) trained, equipped, and authorized to evaluate and, when ~~possible~~ feasible, provide ~~simple~~ mitigation to a hazardous materials incident or release and (2) required to recommend to the local incident manager the best means of controlling the hazard after consideration of life safety concerns, environmental effects, exposure hazards, quantity and type of hazardous material, availability of resources, or other relevant factors.

Sec. 12. Minnesota Statutes 2020, section 299A.50, subdivision 1, is amended to read:

Subdivision 1. Elements of plan; rules. After consultation with the commissioners of natural resources, agriculture, transportation, and the Pollution Control Agency, the ~~state fire marshal~~ Department of Public Safety, the Emergency Response Commission, appropriate technical emergency response representatives, and representatives of affected parties, the commissioner shall adopt rules to implement a statewide hazardous materials incident response plan. The plan must include:

(1) the locations of ~~up to five regional~~ hazardous materials response teams, based on the location of hazardous materials, response time, proximity to large population centers, and other factors;

(2) the number and qualifications of members on each team;

(3) the responsibilities of ~~regional~~ hazardous materials response teams;

(4) equipment needed for ~~regional~~ hazardous materials response teams;

(5) procedures for selecting and contracting with local governments or nonpublic persons to establish ~~regional~~ hazardous materials response teams;

(6) procedures for dispatching teams at the request of local governments;

(7) a fee schedule for reimbursing local governments or nonpublic persons responding to an incident; and

(8) coordination with other state departments and agencies, local units of government, other states, Indian tribes, the federal government, and other nonpublic persons.

Sec. 13. Minnesota Statutes 2020, section 299A.51, is amended to read:

299A.51 LIABILITY AND WORKERS' COMPENSATION.

Subdivision 1. Liability. During operations authorized under section 299A.50, members of a ~~regional~~ hazardous materials team operating outside their geographic jurisdiction are "employees of the state" as defined in section 3.736.

Subd. 2. Workers' compensation. During operations authorized under section 299A.50, members of a ~~regional~~ hazardous materials team operating outside their geographic jurisdiction are considered employees of the Department of Public Safety for purposes of chapter 176.

Subd. 3. Limitation. A person who provides personnel and equipment to assist at the scene of a hazardous materials response incident outside the person's geographic jurisdiction or property, at the request of the state or a local unit of government, is not liable for any civil damages resulting from acts or omissions in providing the assistance, unless the person acts in a willful and wanton or reckless manner in providing the assistance.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12477

Sec. 14. [299A.625] PUBLIC SAFETY INNOVATION BOARD.

Subdivision 1. Establishment. The Public Safety Innovation Board is established in the Office of Justice Programs within the Department of Public Safety. The board has the powers and duties described in this section.

Subd. 2. Membership. (a) The Public Safety Innovation Board is composed of the following members:

(1) three individuals with experience conducting research in the areas of crime, policing, or sociology while employed by an academic or nonprofit entity, appointed by the governor;

(2) five individuals appointed by the governor of whom:

(i) one shall be a victim of a crime or an advocate for victims of crime;

(ii) one shall be a person impacted by the criminal justice system or an advocate for defendants in criminal cases; and

(iii) one shall have a background in social work;

(3) four members representing the community-specific boards established under sections 3.922 and 15.0145, with one appointment made by each board; and

(4) three members representing law enforcement, with one appointment by the Minnesota Sheriffs' Association, one by the Minnesota Chiefs of Police Association, and one by the Minnesota Police and Peace Officers Association.

(b) The members of the board shall elect one member to serve as chair.

Subd. 3. Terms; removal; vacancy. (a) Members are appointed to serve three-year terms following the initial staggered-term lot determination and may be reappointed.

(b) Initial appointment of members must take place by August 1, 2022. The initial term of members appointed under paragraph (a) shall be determined by lot by the secretary of state and shall be as follows:

(1) five members shall serve one-year terms;

(2) five members shall serve two-year terms; and

(3) five members shall serve three-year terms.

(d) If a vacancy occurs, the appointing authority shall appoint a new qualifying member within 90 days.

(e) Compensation of board members is governed by section 15.0575.

Subd. 4. Powers and duties. The board shall improve public safety by increasing the efficiency, effectiveness, and capacity of public safety providers and has the following powers and duties:

(1) monitoring trends in crime within Minnesota;

(2) reviewing research on criminal justice and public safety issues;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12478

(3) providing information on criminal trends and research to the commissioner, municipalities, and the legislature;

(4) communicating with recipients of grant funds to learn from successful and innovative programs, develop procedures to simplify application and reporting requirements, and identify gaps in programs or services that could be filled to improve public safety;

(5) working with the commissioner to modify requests for proposals to better meet the needs of applicants and the community;

(6) working with the commissioner, community review panels, the final review panel, and Office of Justice Programs staff to establish policies, procedures, and priorities to best address public safety and community needs;

(7) working with grant recipients, applicants whose proposals were not approved, and individuals or entities interested in applying for grants to increase the understanding of the grant process and help improve applications that are submitted;

(8) analyzing the pool of applicants and public application materials to identify:

(i) barriers to successful applications;

(ii) eligible geographic, ethnic, or other communities that do not apply for grants;

(iii) the demographics of populations served by grant applicants, including identification of populations that are not receiving services and any disparities in services provided; and

(iv) the types of programs that receive awards;

(9) developing policies and procedures to support communities that are underserved by grant recipients, address imbalances in the pool of grant applicants or recipients, and expand the types of services provided by grant recipients to include effective programs that are underutilized;

(10) working with the Minnesota Statistical Analysis Center to identify appropriate outcomes to track on an annual basis for both programs receiving grants and local communities for the purpose of monitoring trends in public safety and the impact of specific programmatic models; and

(11) making recommendations to the legislature for changes in policy and funding to address existing and emerging needs related to public safety.

Subd. 5. Meetings. The board shall meet quarterly or at the call of the chair. At least two meetings in each fiscal year must take place outside of the metropolitan area as defined in section 473.121, subdivision 2. Meetings of the board are subject to chapter 13D.

Subd. 6. Report. By January 15 each year, the board shall report to the legislative committees and divisions with jurisdiction over public safety on the work of the board; the use and impact of grant programs to address public safety, including emergency community safety grants and local co-responder grants; grants issued by the Department of Public Safety to local law enforcement agencies for portable recording systems; the outcomes tracked on an annual basis by the Minnesota Statistical Analysis Center; and recommendations for changes in policy and funding to improve public safety.

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

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12479

Sec. 15. Minnesota Statutes 2020, section 299A.706, is amended to read:

299A.706 ALCOHOL ENFORCEMENT ACCOUNT; APPROPRIATION.

An alcohol enforcement account is created in the special revenue fund, consisting of money credited to the account by law. Money in the account may be appropriated by law for: (1) costs of the Alcohol and Gambling Division related to administration and enforcement of sections 340A.403, subdivision 4; 340A.414, subdivision 1a; ~~and~~ 340A.504, subdivision 7; and 340A.550, subdivisions 2, 4, 5, and 6; and (2) costs of the State Patrol.

EFFECTIVE DATE. This section is effective July 1, 2022.

Sec. 16. Minnesota Statutes 2020, section 299A.78, subdivision 1, is amended to read:

Subdivision 1. Definitions. For purposes of sections 299A.78 to 299A.795, the following definitions apply:

(a) "Commissioner" means the commissioner of the Department of Public Safety.

(b) "Nongovernmental organizations" means nonprofit, nongovernmental organizations that provide legal, social, or other community services.

~~(c) "Blackmail" has the meaning given in section 609.281, subdivision 2.~~

~~(d)~~ (c) "Debt bondage" has the meaning given in section 609.281, subdivision 3.

~~(e)~~ (d) "Forced labor or services" has the meaning given in section 609.281, subdivision 4.

~~(f)~~ (e) "Labor trafficking" has the meaning given in section 609.281, subdivision 5.

~~(g)~~ (f) "Labor trafficking victim" has the meaning given in section 609.281, subdivision 6.

~~(h)~~ (g) "Sex trafficking" has the meaning given in section 609.321, subdivision 7a.

~~(i)~~ (h) "Sex trafficking victim" has the meaning given in section 609.321, subdivision 7b.

~~(j)~~ (i) "Trafficking" includes "labor trafficking" and "sex trafficking."

~~(k)~~ (j) "Trafficking victim" includes "labor trafficking victim" and "sex trafficking victim."

EFFECTIVE DATE. This section is effective August 1, 2022.

Sec. 17. Minnesota Statutes 2020, section 299A.79, subdivision 3, is amended to read:

Subd. 3. Public awareness initiative. The public awareness initiative required in subdivision 1 must address, at a minimum, the following subjects:

(1) the risks of becoming a trafficking victim;

(2) common recruitment techniques; use of debt bondage, ~~blackmail,~~ forced labor and services, prostitution, and other coercive tactics; and risks of assault, criminal sexual conduct, exposure to sexually transmitted diseases, and psychological harm;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12480

(3) crime victims' rights; and

(4) reporting recruitment activities involved in trafficking.

EFFECTIVE DATE. This section is effective August 1, 2022.

Sec. 18. [299A.86] REWARD FUND FOR INFORMATION ON MISSING AND MURDERED INDIGENOUS RELATIVES.

Subdivision 1. Fund created. A reward fund for information on missing and murdered Indigenous relatives is created as an account in the state treasury. Money appropriated or otherwise deposited into the account is available to pay rewards and for other purposes as authorized under this section.

Subd. 2. Reward. The director of the Office for Missing and Murdered Indigenous Relatives, in consultation with the reward advisory group, is authorized to pay a reward to any person who provides relevant information relating to a missing and murdered Indigenous relative investigation.

Subd. 3. Reward advisory group. (a) The director of the Office for Missing and Murdered Indigenous Relatives, in consultation with the stakeholder groups described in section 299A.85, subdivision 5, shall appoint an advisory group to make recommendations on paying rewards under this section. The advisory group shall consist of the following individuals:

(1) a representative from the Office for Missing and Murdered Indigenous Relatives;

(2) a representative from a Tribal, statewide, or local organization that provides legal services to Indigenous women and girls;

(3) a representative from a Tribal, statewide, or local organization that provides advocacy or counseling for Indigenous women and girls who have been victims of violence;

(4) a representative from a Tribal, statewide, or local organization that provides services to Indigenous women and girls;

(5) a Tribal peace officer who works for or resides on a federally recognized American Indian reservation in Minnesota; and

(6) a representative from the Minnesota Human Trafficking Task Force.

(b) The advisory group shall meet as necessary but at a minimum twice per year to carry out its duties and shall elect a chair from among its members at its first meeting. The director shall convene the group's first meeting. The director shall provide necessary office space and administrative support to the group. Members of the group serve without compensation but shall receive expense reimbursement as provided in section 15.059.

(c) The representative from the Office for Missing and Murdered Indigenous Relatives may fully participate in the advisory group's activities but may not vote on issues before the group.

Subd. 4. Advertising. The director of the Office for Missing and Murdered Indigenous Relatives, in consultation with the reward advisory group, may spend up to four percent of available funds on an advertising or public relations campaign to increase public awareness on the availability of rewards under this section.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12481

Subd. 5. Grants; donations. The director of the Office for Missing and Murdered Indigenous Relatives, in consultation with the reward advisory group, may apply for and accept grants and donations from the public and from public and private entities to implement this section.

Subd. 6. Reward cap. A reward paid under this section may not exceed $1,000,000.

Subd. 7. Reward procedures and criteria. The director of the Office for Missing and Murdered Indigenous Relatives, in consultation with the reward advisory group, shall determine the eligibility criteria and procedures for granting rewards under this section.

Subd. 8. Definition. As used in this section, "missing and murdered Indigenous relatives" means missing and murdered Indigenous people from or descended from one of the United States' federally recognized American Indian Tribes.

Sec. 19. [299A.90] OFFICE FOR MISSING AND MURDERED BLACK WOMEN AND GIRLS.

Subdivision 1. Establishment. The commissioner shall establish and maintain an office dedicated to preventing and ending the targeting of Black women and girls within the Minnesota Office of Justice Programs.

Subd. 2. Director; staff. (a) The commissioner must appoint a director who is a person closely connected to the Black community and who is highly knowledgeable about criminal investigations. The commissioner is encouraged to consider candidates for appointment who are recommended by members of the Black community.

(b) The director may select, appoint, and compensate out of available funds assistants and employees as necessary to discharge the office's responsibilities.

Subd. 3. Duties. (a) The office has the following duties:

(1) advocate in the legislature for legislation that will facilitate the accomplishment of mandates identified in the report of the Task Force on Missing and Murdered African American Women;

(2) advocate for state agencies to take actions to facilitate the accomplishment of mandates identified in the report of the Task Force on Missing and Murdered African American Women;

(3) develop recommendations for legislative and agency actions to address injustice in the criminal justice system's response to cases of missing and murdered Black women and girls;

(4) facilitate research to refine the mandates in the report of the Task Force on Missing and Murdered African American Women and to assess the potential efficacy, feasibility, and impact of the recommendations;

(5) facilitate research and collect data on missing person and homicide cases involving Black women and girls, including the total number of cases, the rate at which the cases are solved, the length of time the cases remain open, and a comparison to similar cases involving different demographic groups;

(6) collect data on Amber Alerts, including the total number of Amber Alerts issued, the total number of Amber Alerts that involve Black girls, and the outcome of cases involving Amber Alerts disaggregated by the child's race and sex;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12482

(7) collect data on reports of missing Black girls, including the number classified as voluntary runaways, and a comparison to similar cases involving different demographic groups;

(8) facilitate research to assess the intersection between cases involving missing and murdered Black women and girls and labor trafficking and sex trafficking;

(9) develop recommendations for legislative, agency, and community actions to address the intersection between cases involving missing and murdered Black women and girls and labor trafficking and sex trafficking;

(10) facilitate research to assess the intersection between cases involving murdered Black women and girls and domestic violence, including prior instances of domestic violence within the family or relationship, whether an offender had prior convictions for domestic assault or related offenses, and whether the offender used a firearm in the murder or any prior instances of domestic assault;

(11) develop recommendations for legislative, agency, and community actions to address the intersection between cases involving murdered Black women and girls and domestic violence;

(12) develop tools and processes to evaluate the implementation and impact of the efforts of the office;

(13) track and collect Minnesota data on missing and murdered Black women and girls, and provide statistics upon public or legislative inquiry;

(14) facilitate technical assistance for local and Tribal law enforcement agencies during active cases involving missing and murdered Black women and girls;

(15) conduct case reviews and report on the results of case reviews for the following types of cases involving missing and murdered Black women and girls: (i) cold cases for missing Black women and girls; and (ii) death investigation review for cases of Black women and girls ruled as suicide or overdose under suspicious circumstances;

(16) conduct case reviews of the prosecution and sentencing for cases where a perpetrator committed a violent or exploitative crime against a Black woman or girl. These case reviews must identify those cases where the perpetrator is a repeat offender;

(17) prepare draft legislation as necessary to allow the office access to the data necessary for the office to conduct the reviews required in this section and advocate for passage of that legislation;

(18) review sentencing guidelines for crimes related to missing and murdered Black women and girls, recommend changes if needed, and advocate for consistent implementation of the guidelines across Minnesota courts;

(19) develop and maintain communication with relevant divisions in the Department of Public Safety regarding any cases involving missing and murdered Black women and girls and on procedures for investigating cases involving missing and murdered Black women and girls; and

(20) coordinate, as relevant, with federal efforts, and efforts in neighboring states and Canada.

(b) As used in this subdivision:

(1) "labor trafficking" has the meaning given in section 609.281, subdivision 5; and

(2) "sex trafficking" has the meaning given in section 609.321, subdivision 7a.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12483

Subd. 4. Coordination with other organizations. In fulfilling its duties, the office may coordinate with stakeholder groups that were represented on the Task Force on Missing and Murdered African American Women and state agencies that are responsible for the systems that play a role in investigating, prosecuting, and adjudicating cases involving violence committed against Black women and girls; those who have a role in supporting or advocating for missing or murdered Black women and girls and the people who seek justice for them; and those who represent the interests of Black people. This includes the following entities: Minnesota Chiefs of Police Association; Minnesota Sheriffs' Association; Bureau of Criminal Apprehension; Minnesota Police and Peace Officers Association; Tribal law enforcement; Minnesota County Attorneys Association; United States Attorney's Office; juvenile courts; Minnesota Coroners' and Medical Examiners' Association; United States Coast Guard; state agencies, including the Departments of Health, Human Services, Education, Corrections, and Public Safety; service providers who offer legal services, advocacy, and other services to Black women and girls; Black women and girls who are survivors; and organizations and leadership from urban and statewide Black communities.

Subd. 5. Reports. The office must report on measurable outcomes achieved to meet its statutory duties, along with specific objectives and outcome measures proposed for the following year. The report must include data and statistics on missing and murdered Black women and girls in Minnesota, including names, dates of disappearance, and dates of death, to the extent the data is publicly available. The office must submit the report by January 15 each year to the chairs and ranking minority members of the legislative committees with primary jurisdiction over public safety.

Subd. 6. Grants. The office may apply for and receive grants from public and private entities for the purposes of carrying out the office's duties under this section.

Subd. 7. Access to data. Notwithstanding section 13.384 or 13.85, the director has access to corrections and detention data and medical data maintained by an agency and classified as private data on individuals or confidential data on individuals to the extent the data is necessary for the office to perform its duties under this section.

Sec. 20. [299C.092] QUESTIONED IDENTITY PROCESS.

Subdivision 1. Definitions. (a) For the purposes of this section, the terms in this subdivision have the meanings given.

(b) "Questioned identity" means an individual's identity that is associated with another person's records when the individual's identity is used by an offender in interactions with law enforcement or that the offender has the same name. Questioned identity can lead to difficulties differentiating the individual from the offender.

Subd. 2. Process. (a) When an individual is the subject of questioned identity, the individual may request a review by the bureau through its questioned identity process. Individuals must contact the bureau and provide the following:

(1) documentation of the individual's identity through government-issued photo identification;

(2) documents or information that lead the individual to believe that the individual is the subject of questioned identity; and

(3) fingerprints for identification verification purposes.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12484

(b) If the bureau is able to confirm that the individual is the subject of questioned identity, the bureau shall provide documentation to the individual indicating that the individual has been through the bureau's questioned identity process.

(c) The bureau shall denote any aliases determined to be questioned identities in the Criminal History System under section 299C.09 and shall work with other state and local agencies to denote aliases in arrest warrants.

(d) The bureau shall attach a photo of the offender to arrest warrants in the bureau's warrant file if a photo is available.

(e) The bureau, in consultation with reporting criminal justice agencies, may remove an alias from a criminal history record when it determines doing so will not negatively impact a criminal justice agency's ability to identify the offender in the future. Some considerations in making the determination include but are not limited to time elapsed since the alias name was last used, frequency with which the alias was used, current incarceration status of the offender, whether it is or was the offender's name, and whether the offender is living or deceased.

(f) Law enforcement must take into account the presence of documentation from the bureau or another law enforcement agency confirming a questioned identity when considering whether an individual has a warrant under section 299C.115 and may contact the bureau or the issuing law enforcement agency to confirm authenticity of the documentation provided by an individual.

Sec. 21. Minnesota Statutes 2020, section 299C.46, subdivision 1, is amended to read:

Subdivision 1. Establishment. The commissioner of public safety shall establish a criminal justice data communications network that will provide secure access to systems and services available from or through the Bureau of Criminal Apprehension. The Bureau of Criminal Apprehension may approve additional criminal justice uses by authorized agencies to access necessary systems or services not from or through the bureau. The commissioner of public safety is authorized to lease or purchase facilities and equipment as may be necessary to establish and maintain the data communications network.

Sec. 22. Minnesota Statutes 2020, section 299C.65, subdivision 1a, is amended to read:

Subd. 1a. Membership; duties. (a) The Criminal and Juvenile Justice Information and Bureau of Criminal Apprehension Advisory Group consists of the following members:

(1) the commissioner of corrections or designee;

(2) the commissioner of public safety or designee;

(3) the state chief information officer or designee;

(4) three members of the judicial branch appointed by the chief justice of the supreme court;

(5) the commissioner of administration or designee;

(6) the state court administrator or designee;

(7) two members appointed by the Minnesota Sheriffs Association, at least one of whom must be a sheriff;

(8) two members appointed by the Minnesota Chiefs of Police Association, at least one of whom must be a chief of police;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12485

(9) two members appointed by the Minnesota County Attorneys Association, at least one of whom must be a county attorney;

(10) two members appointed by the League of Minnesota Cities representing the interests of city attorneys, at least one of whom must be a city attorney;

(11) two members appointed by the Board of Public Defense, at least one of whom must be a public defender;

(12) two corrections administrators appointed by the Association of Minnesota Counties representing the interests of local corrections, at least one of whom represents a Community Corrections Act county;

(13) two probation officers appointed by the commissioner of corrections in consultation with the president of the Minnesota Association of Community Corrections Act Counties and the president of the Minnesota Association of County Probation Officers;

(14) four public members appointed by the governor representing both metropolitan and greater Minnesota for a term of four years using the process described in section 15.059, one of whom represents the interests of victims, and one of whom represents the private business community who has expertise in integrated information systems and who, for the purposes of meetings of the advisory group, may be compensated pursuant to section 15.059;

(15) two members appointed by the Minnesota Association for Court Management, at least one of whom must be a court administrator;

(16) one member of the house of representatives appointed by the speaker of the house, or an alternate who is also a member of the house of representatives, appointed by the speaker of the house;

(17) one member of the senate appointed by the majority leader, or an alternate who is also a member of the senate, appointed by the majority leader of the senate;

(18) one member appointed by the attorney general;

(19) two members appointed by the League of Minnesota Cities, one of whom works or resides in greater Minnesota and one of whom works or resides in the seven-county metropolitan area, and at least one of whom is an elected official;

(20) two members appointed by the Association of Minnesota Counties, one of whom works or resides in greater Minnesota and one of whom works or resides in the seven-county metropolitan area, and at least one of whom is an elected official; and

(21) the director of the Sentencing Guidelines Commission or a designee.

(b) The chair, first vice-chair, and second vice-chair shall be elected by the advisory group.

(c) The advisory group shall serve as the state advisory group on statewide criminal justice information policy and funding issues. The advisory group shall study and make recommendations to the governor, the supreme court, and the legislature on criminal justice information funding and policy issues such as related data practices, individual privacy rights, and data on race and ethnicity; information-sharing at the local, state, and federal levels; technology education and innovation; the impact of proposed legislation on the criminal justice system related to information systems and business processes; and data and identification standards.

(d) The advisory group shall have the additional duties of reviewing and advising the bureau superintendent on:

(1) audits, accreditation reports, and internal reviews of bureau operations;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12486

(2) emerging technologies in the law enforcement and forensic science fields;

(3) policies and practices that impact individual privacy interests; and

(4) other programmatic and operational initiatives of the bureau at the request of the superintendent.

Sec. 23. Minnesota Statutes 2020, section 299C.65, subdivision 3a, is amended to read:

Subd. 3a. Report. The advisory group shall file a biennial report with the governor, supreme court, and chairs and ranking minority members of the senate and house of representatives committees and divisions with jurisdiction over criminal justice funding and policy by January 15 in each odd-numbered year. The report must provide the following:

(1) status and review of current statewide criminal justice information systems;

(2) recommendations concerning any legislative changes or appropriations that are needed to ensure that the criminal justice information systems operate accurately and efficiently; ~~and~~

(3) a summary of the activities of the advisory group, including any funding and grant requests.; and

(4) a summary of any reviews conducted by the advisory group of bureau audits, reports, policies, programs, and procedures and any recommendations provided to the bureau related to the reviews.

Sec. 24. Minnesota Statutes 2020, section 299F.362, is amended to read:

299F.362 SMOKE ~~DETECTOR~~ ALARM; INSTALLATION; RULES; PENALTY.

Subdivision 1. Definitions. For the purposes of this section, the following definitions shall apply:

(a) "Apartment house" is any building, or portion thereof, which is designed, built, rented, leased, let, or hired out to be occupied, or which is occupied as the home or residence of three or more families living independently of each other and doing their own cooking in the building, and shall include buildings containing three or more flats or apartments.

(b) "Dwelling" is any building, or any portion thereof, which is not an apartment house, lodging house, or a hotel and which contains one or two "dwelling units" which are, or are intended or designed to be, occupied for living purposes.

(c) "Dwelling unit" is a single unit providing complete, independent living facilities for one or more persons including permanent provisions for living, sleeping, eating, cooking, and sanitation, or a single unit used by one or more persons for sleeping and sanitation pursuant to a work practice or labor agreement.

(d) "Hotel" is any building, or portion thereof, containing six or more guest rooms intended or designed to be used, or which are used, rented, or hired out to be occupied, or which are occupied for sleeping purposes by guests.

(e) "Lodging house" is any building, or portion thereof, containing not more than five guest rooms which are used or are intended to be used for sleeping purposes by guests and where rent is paid in money, goods, labor, or otherwise.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12487

Subd. 2. Rules, smoke ~~detector~~ alarm location. The commissioner of public safety shall promulgate rules concerning the placement of smoke ~~detectors~~ alarms in dwellings, apartment houses, hotels, and lodging houses. The rules shall take into account designs of the guest rooms or dwelling units.

Subd. 3. Smoke ~~detector~~ alarm for any dwelling. Every dwelling unit within a dwelling must be provided with a smoke ~~detector~~ alarm meeting the requirements of the State Fire Code. The ~~detector~~ alarm must be mounted in accordance with the rules regarding smoke ~~detector~~ alarm location adopted under subdivision 2. When actuated, the ~~detector~~ alarm must provide an alarm in the dwelling unit.

Subd. 3a. Smoke ~~detector~~ alarm for new dwelling. In construction of a new dwelling, each smoke ~~detector~~ alarm must be attached to a centralized power source.

Subd. 4. Smoke ~~detector~~ alarm for apartment, lodging house, or hotel. Every dwelling unit within an apartment house and every guest room in a lodging house or hotel used for sleeping purposes must be provided with a smoke ~~detector~~ alarm conforming to the requirements of the State Fire Code. In dwelling units, ~~detectors~~ alarms must be mounted in accordance with the rules regarding smoke ~~detector~~ alarm location adopted under subdivision 2. When actuated, the ~~detector~~ alarm must provide an alarm in the dwelling unit or guest room.

Subd. 5. Maintenance responsibilities. For all occupancies covered by this section where the occupant is not the owner of the dwelling unit or the guest room, the owner is responsible for maintenance of the smoke ~~detectors~~ alarms. An owner may file inspection and maintenance reports with the local fire marshal for establishing evidence of inspection and maintenance of smoke ~~detectors~~ alarms.

Subd. 5a. Inform owner; no added liability. The occupant of a dwelling unit must inform the owner of the dwelling unit of a nonfunctioning smoke ~~detector~~ alarm within 24 hours of discovering that the smoke ~~detector~~ alarm in the dwelling unit is not functioning. If the occupant fails to inform the owner under this subdivision, the occupant's liability for damages is not greater than it otherwise would be.

Subd. 6. Penalties. (a) Any person who violates any provision of this section ~~shall be~~ is subject to the same penalty and the enforcement mechanism that is provided for violation of the State Fire Code, as specified in section 299F.011, subdivision 6.

(b) An occupant who willfully disables a smoke ~~detector~~ alarm or causes it to be nonfunctioning, resulting in damage or injury to persons or property, is guilty of a misdemeanor.

Subd. 7. Local government preempted. This section prohibits a local unit of government from adopting standards different from those provided in this section.

Subd. 9. Local government ordinance; installation in single-family residence. Notwithstanding subdivision 7, or other law, a local governing body may adopt, by ordinance, rules for the installation of a smoke ~~detector~~ alarm in single-family homes in the city that are more restrictive than the standards provided by this section. Rules adopted pursuant to this subdivision may be enforced through a truth-in-housing inspection.

Subd. 10. Public fire safety educator. The position of Minnesota public fire safety educator is established in the Department of Public Safety.

Subd. 11. Insurance claim. No insurer shall deny a claim for loss or damage by fire for failure of a person to comply with this section.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12488

Sec. 25. Minnesota Statutes 2020, section 326.3361, subdivision 2, is amended to read:

Subd. 2. Required contents. The rules adopted by the board must require:

(1) 12 hours of preassignment or on-the-job certified training within the first 21 days of employment, or evidence that the employee has successfully completed equivalent training before the start of employment. Notwithstanding any statute or rule to the contrary, this clause is satisfied if the employee provides a prospective employer with a certificate or a copy of a certificate demonstrating that the employee successfully completed this training prior to employment with a different Minnesota licensee and completed this training within three previous calendar years, or successfully completed this training with a Minnesota licensee while previously employed with a Minnesota licensee. The certificate or a copy of the certificate is the property of the employee who completed the training, regardless of who paid for the training or how training was provided. A current or former licensed employer must provide a copy of a certificate demonstrating the employee's successful completion of training to a current or former employee upon the current or former employee's request. For purposes of sections 181.960 to 181.966, the person who completed the training is entitled to access a copy of the certificate and a current or former employer is obligated to comply with the provisions thereunder;

(2) certification by the board of completion of certified training for a license holder, qualified representative, Minnesota manager, partner, and employee to carry or use a firearm, a weapon other than a firearm, or an immobilizing or restraint technique; and

(3) six hours a year of certified continuing training for all license holders, qualified representatives, Minnesota managers, partners, and employees, and an additional six hours a year for individuals who are armed with firearms or armed with weapons, which must include annual certification of the individual.

An individual may not carry or use a weapon while undergoing on-the-job training under this subdivision.

Sec. 26. Minnesota Statutes 2020, section 340A.304, is amended to read:

340A.304 LICENSE SUSPENSION AND REVOCATION.

The commissioner shall revoke, or suspend for up to 60 days, a license issued under section 340A.301 or, 340A.302, or 340A.550, or impose a fine of up to $2,000 for each violation, on a finding that the licensee has violated a state law or rule of the commissioner relating to the possession, sale, transportation, or importation of alcoholic beverages. A license revocation or suspension under this section is a contested case under sections 14.57 to 14.69 of the Administrative Procedure Act.

EFFECTIVE DATE. This section is effective July 1, 2022.

Sec. 27. Minnesota Statutes 2020, section 340A.417, is amended to read:

340A.417 WINE SHIPMENTS ~~INTO MINNESOTA~~.

(a) Notwithstanding section 297G.07, subdivision 2, or any provision of this chapter except for section 340A.550, a winery licensed in a state other than Minnesota, or a winery located in Minnesota, may ship, for personal use and not for resale, not more than ~~two~~ 12 cases of wine, containing a maximum of nine liters per case, in any calendar year to any resident of Minnesota age 21 or over. ~~Delivery of a shipment under this section may not be deemed a sale in this state.~~

(b) The shipping container of any wine sent under this section must be clearly marked "Alcoholic Beverages: adult signature (over 21 years of age) required."

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12489

(c) It is not the intent of this section to impair the distribution of wine through distributors or importing distributors, but only to permit shipments of wine for personal use.

(d) Except for a violation of section 295.75 or chapters 297A and 297G, no criminal penalty may be imposed on a person for a violation of this section or section 340A.550 other than a violation described in paragraph (e) or (f). Whenever it appears to the commissioner that any person has engaged in any act or practice constituting a violation of this section, or section 340A.550 and the violation is not within two years of any previous violation of this section, the commissioner shall issue and cause to be served upon the person an order requiring the person to cease and desist from violating this section. The order must give reasonable notice of the rights of the person to request a hearing and must state the reason for the entry of the order. Unless otherwise agreed between the parties, a hearing shall be held not later than ~~seven~~ 20 days after the request for the hearing is received by the commissioner after which and within 20 days after the receipt of the administrative law judge's report and subsequent exceptions and argument, the commissioner shall issue an order vacating the cease and desist order, modifying it, or making it permanent as the facts require. If no hearing is requested within 30 days of the service of the order, the order becomes final and remains in effect until modified or vacated by the commissioner. All hearings shall be conducted in accordance with the provisions of chapter 14. If the person to whom a cease and desist order is issued fails to appear at the hearing after being duly notified, the person shall be deemed in default, and the proceeding may be determined against the person upon consideration of the cease and desist order, the allegations of which may be deemed to be true.

(e) Any person who violates this section or section 340A.550 within two years of a violation for which a cease and desist order was issued under paragraph (d), is guilty of a misdemeanor.

(f) Any person who commits a third or subsequent violation of this section or section 340A.550 within any subsequent two-year period is guilty of a gross misdemeanor.

EFFECTIVE DATE. This section is effective July 1, 2022.

Sec. 28. [340A.550] DIRECT SHIPMENTS OF WINE; LICENSING, TAXATION, AND RESTRICTIONS.

Subdivision 1. Definitions. (a) "Direct ship purchaser" means a person who purchases wine for personal use and not for resale from a winery located in a state other than Minnesota for delivery to a Minnesota address.

(b) "Direct ship winery" means a winery licensed in a state other than Minnesota that manufactures and makes a retail sale of wine and ships the wine to a direct ship purchaser as authorized under section 340A.417.

Subd. 2. License requirements. (a) A direct ship winery must apply to the commissioner for a direct ship license. The commissioner must not issue a license under this section unless the applicant:

(1) is a licensed winery in a state other than Minnesota and provides a copy of its current license in any state in which it is licensed to manufacture wine;

(2) provides a shipping address list, including all addresses from which it intends to ship wine;

(3) agrees to comply with the requirements of subdivision 4; and

(4) consents to the jurisdiction of the Departments of Public Safety and Revenue, the courts of this state, and any statute, law, or rule in this state related to the administration or enforcement of this section, including any provision authorizing the commissioners of public safety and revenue to audit a direct ship winery for compliance with this and any related section.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12490

(b) A direct ship winery obtaining a license under this section must annually renew its license by January 1 of each year and must inform the commissioner at the time of renewal of any changes to the information previously provided in paragraph (a).

(c) The application fee for a license is $50. The fee for a license renewal is $50. The commissioner must deposit all fees received under this subdivision in the alcohol enforcement account in the special revenue fund established under section 299A.706.

Subd. 3. Direct ship wineries; restrictions. (a) A direct ship winery may only ship wine from an address provided to the commissioner as required in subdivision 2, paragraph (a), clause (2), or through a third-party provider whose name and address the licensee provided to the commissioner in the licensee's application for a license.

(b) A direct ship winery or its third-party provider may only ship wine from the direct ship winery's own production.

Subd. 4. Taxation. A direct ship winery must:

(1) collect and remit the liquor gross receipts tax as required in section 295.75;

(2) apply for a permit as required in section 297A.83 and collect and remit the sales and use tax imposed as required in chapter 297A;

(3) remit the tax as required in chapter 297G; and

(4) provide a statement to the commissioner, on a form prescribed by the commissioner, detailing each shipment of wine made to a resident of this state and any other information required by the commissioner.

Subd. 5. Private or nonpublic data; classification and sharing. (a) Data collected, created, or maintained by the commissioner as required under this section are classified as private data on individuals or nonpublic data, as defined in section 13.02, subdivisions 9 and 12.

(b) The commissioner must share data classified as private or nonpublic under this section with the commissioner of revenue for purposes of administering section 295.75 and chapters 289A, 297A, and 297G.

Subd. 6. Enforcement; penalties. Section 340A.417, paragraphs (d) to (f), apply to this section.

EFFECTIVE DATE. This section is effective July 1, 2022.

Sec. 29. [340A.555] COMMON CARRIER REGULATIONS FOR DIRECT SHIPMENTS OF WINE.

Subdivision 1. Monthly report required. Each common carrier that contracts with a winery under section 340A.417 for delivery of wine into this state must file with the commissioner a monthly report of known wine shipments made by the carrier. The report must be made in a form and manner as prescribed by the commissioner and must contain:

(1) the name of the common carrier making the report;

(2) the period of time covered by the report;

(3) the name and business address of the consignor;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12491

(4) the name and address of the consignee;

(5) the weight of the package delivered to the consignee;

(6) a unique tracking number; and

(7) the date of delivery.

Subd. 2. Record availability and retention. Upon written request by the commissioner, any records supporting the report in subdivision 1 must be made available to the commissioner within 30 days of the request. Any records containing information relating to a required report must be retained and preserved for a period of two years, unless destruction of the records prior to the end of the two-year period is authorized in writing by the commissioner. All retained records must be open and available for inspection by the commissioner upon written request. The commissioner must make the required reports available to any law enforcement agency or regulatory body of any local government in the state in which the common carrier making the report resides or does business.

Subd. 3. Penalty. If a common carrier willfully violates the requirement to report a delivery under this section or violates any rule related to the administration and enforcement of this section, the commissioner must notify the common carrier in writing of the violation. The commissioner may impose a fine in an amount not to exceed $500 for each subsequent violation.

Subd. 4. Exemptions. This section does not apply to common carriers regulated as provided by United States Code, title 49, section 10101, et. seq.; or to rail trailer-on-flatcar/container-on-flatcar (TOFC/COFC) service, as provided by Code of Federal Regulations, title 49, section 1090.1; or highway TOFC/COFC service provided by a rail carrier, either itself or jointly with a motor carrier, as part of continuous intermodal freight transportation, including but not limited to any other TOFC/COFC transportation as defined under federal law.

Subd. 5. Private or nonpublic data; classification and sharing. (a) Data collected, created, or maintained by the commissioner as required under subdivision 1, clauses (4) to (6), are classified as private data on individuals or nonpublic data, as defined in section 13.02, subdivisions 9 and 12.

EFFECTIVE DATE. This section is effective July 1, 2022.

Sec. 30. Minnesota Statutes 2020, section 403.02, is amended by adding a subdivision to read:

Subd. 17d. Public safety telecommunicator. "Public safety telecommunicator" means a person who is employed by a primary, secondary, or Tribal public safety answering point, an emergency medical dispatch service provider, or both, and serves as an initial first responder to answer incoming emergency telephone calls or provide for the appropriate emergency response either directly or through communication with the appropriate public safety answering point. Public safety telecommunicator includes persons who supervise public safety telecommunicators. Pursuant to section 403.051, after August 1, 2024, public safety telecommunicators and those who directly manage or supervise public safety telecommunicators must be certified by the commissioner.

Sec. 31. [403.051] PUBLIC SAFETY TELECOMMUNICATORS; CERTIFICATION; TRAINING; CONTINUING EDUCATION.

Subdivision 1. Certification required. After August 1, 2024, a public safety telecommunicator must be certified by the commissioner to serve in that role.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12492

Subd. 2. Certification requirements; rulemaking. (a) The commissioner of public safety, in coordination with the Statewide Emergency Communications Board, must adopt rules for certification requirements for public safety telecommunicators and establish in rule criteria for training, certification, and continuing education that incorporate the requirements set forth in paragraph (b).

(b) The commissioner must require that candidates for public safety telecommunicator certification and recertification demonstrate, at a minimum, proficiency in the following areas:

(1) public safety telecommunicator roles and responsibilities;

(2) applicable legal concepts;

(3) interpersonal skills;

(4) emergency communications technology and information systems;

(5) 911 call processing;

(6) emergency management;

(7) radio communications for the public safety telecommunicator;

(8) stress management; and

(9) quality performance standards management.

Subd. 3. Continuing education. To maintain certification under this section, a public safety telecommunicator must complete 48 hours of approved continuing education coursework every two years.

Sec. 32. Minnesota Statutes 2021 Supplement, section 403.11, subdivision 1, is amended to read:

Subdivision 1. Emergency telecommunications service fee; account. (a) Each customer of a wireless or wire‑line switched or packet-based telecommunications service provider connected to the public switched telephone network that furnishes service capable of originating a 911 emergency telephone call is assessed a fee based upon the number of wired or wireless telephone lines, or their equivalent, to cover the costs of ongoing maintenance and related improvements for trunking and central office switching equipment for 911 emergency telecommunications service, to offset administrative and staffing costs of the commissioner related to managing the 911 emergency telecommunications service program, to make distributions provided for in section 403.113, and to offset the costs, including administrative and staffing costs, incurred by the State Patrol Division of the Department of Public Safety in handling 911 emergency calls made from wireless phones.

(b) Money remaining in the 911 emergency telecommunications service account after all other obligations are paid must not cancel and is carried forward to subsequent years and ~~may~~ must be appropriated ~~from time to time~~ to the commissioner to provide financial assistance to counties for the improvement of local emergency telecommunications services, including public safety telecommunicator training, certification, and continuing education.

(c) The fee may not be more than 95 cents a month on or after July 1, 2010, for each customer access line or other basic access service, including trunk equivalents as designated by the Public Utilities Commission for access charge purposes and including wireless telecommunications services. With the approval of the commissioner of management and budget, the commissioner of public safety shall establish the amount of the fee within the limits

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12493

specified and inform the companies and carriers of the amount to be collected. When the revenue bonds authorized under section 403.27, subdivision 1, have been fully paid or defeased, the commissioner shall reduce the fee to reflect that debt service on the bonds is no longer needed. The commissioner shall provide companies and carriers a minimum of 45 days' notice of each fee change. The fee must be the same for all customers, except that the fee imposed under this subdivision does not apply to prepaid wireless telecommunications service, which is instead subject to the fee imposed under section 403.161, subdivision 1, paragraph (a).

(d) The fee must be collected by each wireless or wire-line telecommunications service provider subject to the fee. Fees are payable to and must be submitted to the commissioner monthly before the 25th of each month following the month of collection, except that fees may be submitted quarterly if less than $250 a month is due, or annually if less than $25 a month is due. Receipts must be deposited in the state treasury and credited to a 911 emergency telecommunications service account in the special revenue fund. The money in the account may only be used for 911 telecommunications services.

(e) Competitive local exchanges carriers holding certificates of authority from the Public Utilities Commission are eligible to receive payment for recurring 911 services.

Sec. 33. Minnesota Statutes 2021 Supplement, section 609.02, subdivision 16, is amended to read:

Subd. 16. Qualified domestic violence-related offense. "Qualified domestic violence-related offense" includes a violation of or an attempt to violate sections 518B.01, subdivision 14 (violation of domestic abuse order for protection); 609.185 (first-degree murder); 609.19 (second-degree murder); 609.195 (third-degree murder); 609.20 (first-degree manslaughter); 609.205 (second-degree manslaughter); 609.221 (first-degree assault); 609.222 (second‑degree assault); 609.223 (third-degree assault); 609.2231 (fourth-degree assault); 609.224 (fifth-degree assault); 609.2242 (domestic assault); 609.2245 (female genital mutilation); 609.2247 (domestic assault by strangulation); 609.25 (kidnapping); 609.255 (false imprisonment); 609.342 (first-degree criminal sexual conduct); 609.343 (second-degree criminal sexual conduct); 609.344 (third-degree criminal sexual conduct); 609.345 (fourth‑degree criminal sexual conduct); 609.3458 (sexual extortion); 609.377 (malicious punishment of a child); 609.713 (terroristic threats); 609.748, subdivision 6 (violation of harassment restraining order); 609.749 (harassment or stalking); 609.78, subdivision 2 (interference with an emergency call); 617.261 (nonconsensual dissemination of private sexual images); and 629.75 (violation of domestic abuse no contact order); and similar laws of other states, the United States, the District of Columbia, Tribal lands, and United States territories.

EFFECTIVE DATE. This section is effective August 1, 2022.

Sec. 34. Minnesota Statutes 2020, section 609.281, subdivision 3, is amended to read:

Subd. 3. Debt bondage. "Debt bondage" ~~means the status or condition of a debtor arising from a pledge by the debtor of the debtor's personal~~ occurs when a person provides labor or services ~~or those~~ of any kind to pay a real or alleged debt of a the person ~~under the debtor's control as a security for debt~~ or another, if the value of ~~those~~ the labor or services as reasonably assessed is not applied toward the liquidation of the debt or the length and nature of ~~those~~ the labor or services are not respectively limited and defined.

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 35. Minnesota Statutes 2020, section 609.281, subdivision 4, is amended to read:

Subd. 4. Forced or coerced labor or services. "Forced or coerced labor or services" means labor or services of any kind that are performed or provided by another person and are obtained or maintained through an actor's:

(1) threat, either implicit or explicit, scheme, plan, or pattern, or other action or statement intended to cause a person to believe that, if the person did not perform or provide the labor or services, that person or another ~~person~~ would suffer ~~bodily harm or~~ physical restraint; sexual contact, as defined in section 609.341, subdivision 11, paragraph (b); or bodily, psychological, economic, or reputational harm;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12494

(2) ~~physically restraining or threatening to physically restrain~~ sexual contact, as defined in section 609.341, subdivision 11, paragraph (b), with a person;

(3) physical restraint of a person;

(4) infliction of bodily, psychological, economic, or reputational harm;

~~(3)~~ (5) abuse or threatened abuse of the legal process, including the use or threatened use of a law or legal process, whether administrative, civil, or criminal; or

~~(4) knowingly destroying, concealing, removing, confiscating, or possessing~~ (6) destruction, concealment, removal, confiscation, withholding, or possession of any actual or purported passport or other immigration document, or any other actual or purported government identification document, of another person~~; or~~.

~~(5) use of blackmail.~~

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 36. Minnesota Statutes 2020, section 609.281, subdivision 5, is amended to read:

Subd. 5. Labor trafficking. "Labor trafficking" means:

(1) the recruitment, transportation, transfer, harboring, enticement, provision, obtaining, or receipt of a person by any means, ~~for the purpose~~ in furtherance of:

(i) debt bondage or;

(ii) forced labor or services;

~~(ii)~~ (iii) slavery or practices similar to slavery; or

~~(iii)~~ (iv) the removal of organs through the use of coercion or intimidation; or

(2) receiving profit or anything of value, knowing or having reason to know it is derived from an act described in clause (1).

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 37. Minnesota Statutes 2020, section 609.282, subdivision 1, is amended to read:

Subdivision 1. ~~Individuals under age 18~~ Labor trafficking resulting in death. Whoever knowingly engages in the labor trafficking of an individual ~~who is under the age of 18~~ is guilty of a crime and may be sentenced to imprisonment for not more than 20 25 years or to payment of a fine of not more than $40,000, or both if the labor trafficking victim dies and the death arose out of and in the course of the labor trafficking or the labor and services related to the labor trafficking.

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12495

Sec. 38. Minnesota Statutes 2020, section 609.282, is amended by adding a subdivision to read:

Subd. 1a. Individuals under age 18; extended period of time; great bodily harm. Whoever knowingly engages in the labor trafficking of an individual is guilty of a crime and may be sentenced to imprisonment for not more than 20 years or to a payment of a fine of not more than $40,000, or both if any of the following circumstances exist:

(1) the labor trafficking victim is under the age of 18;

(2) the labor trafficking occurs over an extended period of time; or

(3) the labor trafficking victim suffers great bodily harm and the great bodily harm arose out of and in the course of the labor trafficking or the labor and services related to the labor trafficking.

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 39. Minnesota Statutes 2020, section 609.87, is amended by adding a subdivision to read:

Subd. 17. Data. "Data" means records or information in digital form on a computer or in software that can be stored, transmitted, or processed.

Sec. 40. Minnesota Statutes 2020, section 609.89, subdivision 1, is amended to read:

Subdivision 1. Acts. Whoever does any of the following is guilty of computer theft and may be sentenced as provided in subdivision 2:

(a) intentionally and without authorization or claim of right accesses or causes to be accessed any computer, computer system, computer network or any part thereof for the purpose of obtaining services or property; or

(b) intentionally and without claim of right, and with intent to deprive the owner of use or possession, takes, transfers, conceals or retains possession of any computer, computer system, or any computer software or data contained in a computer, computer system, or computer network.;

(c) intentionally and without authorization or claim of right accesses or copies any computer software or data and uses, alters, transfers, retains, or publishes the software or data; or

(d) intentionally retains copies of any computer software or data beyond the individual's authority.

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 41. Minnesota Statutes 2020, section 626.843, subdivision 1, is amended to read:

Subdivision 1. Rules required. (a) The board shall adopt rules with respect to:

(1) the certification of postsecondary schools to provide programs of professional peace officer education;

(2) minimum courses of study and equipment and facilities to be required at each certified school within the state;

(3) minimum qualifications for coordinators and instructors at certified schools offering a program of professional peace officer education located within this state;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12496

(4) minimum standards of physical, mental, and educational fitness which shall govern the admission to professional peace officer education programs and the licensing of peace officers within the state, by any state, county, municipality, or joint or contractual combination thereof, including members of the Minnesota State Patrol;

(5) board-approved continuing education courses that ensure professional competence of peace officers and part‑time peace officers;

(6) minimum standards of conduct which would affect the individual's performance of duties as a peace officer. These standards shall be established and published. The board shall review the minimum standards of conduct described in this clause for possible modification in 1998 and every three years after that time;

(7) a set of educational learning objectives that must be met within a certified school's professional peace officer education program. These learning objectives must concentrate on the knowledge, skills, and abilities deemed essential for a peace officer. Education in these learning objectives shall be deemed satisfactory for the completion of the minimum basic training requirement;

(8) the establishment and use by any political subdivision or state law enforcement agency that employs persons licensed by the board of procedures for investigation and resolution of allegations of misconduct by persons licensed by the board. The procedures shall be in writing and shall be established on or before October 1, 1984;

(9) the issues that must be considered by each political subdivision and state law enforcement agency that employs persons licensed by the board in establishing procedures under section 626.5532 to govern the conduct of peace officers who are in pursuit of a vehicle being operated in violation of section 609.487, and requirements for the training of peace officers in conducting pursuits. The adoption of specific procedures and requirements is within the authority of the political subdivision or agency;

(10) supervision of part-time peace officers and requirements for documentation of hours worked by a part-time peace officer who is on active duty. These rules shall be adopted by December 31, 1993;

(11) citizenship requirements for peace officers and part-time peace officers;

(12) driver's license requirements for peace officers and part-time peace officers; and

(13) such other matters as may be necessary consistent with sections 626.84 to 626.863. Rules promulgated by the attorney general with respect to these matters may be continued in force by resolution of the board if the board finds the rules to be consistent with sections 626.84 to 626.863.

(b) In adopting and enforcing the rules described under paragraph (a), the board shall prioritize the goal of promoting public safety. Promoting public safety includes the promotion of human rights. "Public safety" means reducing or preventing crime by diverting people away from the criminal justice system whenever possible, effecting arrest or detention practices that are the least restrictive necessary to protect the public, and promoting the rehabilitation of those who engage in criminal activity through the provision of evidence-based programming and services, while still maintaining the basic rights, freedoms, and privileges that belong to every person, including the right to dignity, fairness, equality, respect, and freedom from discrimination.

Sec. 42. Minnesota Statutes 2020, section 626A.35, is amended by adding a subdivision to read:

Subd. 2b. Exception; stolen motor vehicles. (a) The prohibition under subdivision 1 does not apply to the use of a mobile tracking device on a stolen motor vehicle when:

(1) the consent of the owner of the vehicle has been obtained; or

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12497

(2) the owner of the motor vehicle has reported to law enforcement that the vehicle is stolen, and the vehicle is occupied when the tracking device is installed.

(b) Within 24 hours of a tracking device being attached to a vehicle pursuant to the authority granted in paragraph (a), clause (2), an officer employed by the agency that attached the tracking device to the vehicle must remove the device, disable the device, or obtain a search warrant granting approval to continue to use the device in the investigation.

(c) A peace officer employed by the agency that attached a tracking device to a stolen motor vehicle must remove the tracking device if the vehicle is recovered and returned to the owner.

(d) Any tracking device evidence collected after the motor vehicle is returned to the owner is inadmissible.

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

Sec. 43. Minnesota Statutes 2021 Supplement, section 628.26, is amended to read:

628.26 LIMITATIONS.

(a) Indictments or complaints for any crime resulting in the death of the victim may be found or made at any time after the death of the person killed.

(b) Indictments or complaints for a violation of section 609.25 may be found or made at any time after the commission of the offense.

(c) Indictments or complaints for violation of section 609.282 may be found or made at any time after the commission of the offense if the victim was under the age of 18 at the time of the offense.

(d) Indictments or complaints for violation of section 609.282 where the victim was 18 years of age or older at the time of the offense, or 609.42, subdivision 1, clause (1) or (2), shall be found or made and filed in the proper court within six years after the commission of the offense.

(e) Indictments or complaints for violation of sections 609.322, 609.342 to 609.345, and 609.3458 may be found or made at any time after the commission of the offense.

(f) Indictments or complaints for violation of sections 609.466 and 609.52, subdivision 2, paragraph (a), clause (3), item (iii), shall be found or made and filed in the proper court within six years after the commission of the offense.

(g) Indictments or complaints for violation of section 609.2335, 609.52, subdivision 2, paragraph (a), clause (3), items (i) and (ii), (4), (15), or (16), 609.631, or 609.821, where the value of the property or services stolen is more than $35,000, or for violation of section 609.527 where the offense involves eight or more direct victims or the total combined loss to the direct and indirect victims is more than $35,000, shall be found or made and filed in the proper court within five years after the commission of the offense.

(h) Except for violations relating to false material statements, representations or omissions, indictments or complaints for violations of section 609.671 shall be found or made and filed in the proper court within five years after the commission of the offense.

(i) Indictments or complaints for violation of sections 609.561 to 609.563, shall be found or made and filed in the proper court within five years after the commission of the offense.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12498

(j) Indictments or complaints for violation of section 609.746 shall be found or made and filed in the proper court within the later of three years after the commission of the offense or three years after the offense was reported to law enforcement authorities.

~~(j)~~ (k) In all other cases, indictments or complaints shall be found or made and filed in the proper court within three years after the commission of the offense.

~~(k)~~ (l) The limitations periods contained in this section shall exclude any period of time during which the defendant was not an inhabitant of or usually resident within this state.

~~(l)~~ (m) The limitations periods contained in this section for an offense shall not include any period during which the alleged offender participated under a written agreement in a pretrial diversion program relating to that offense.

~~(m)~~ (n) The limitations periods contained in this section shall not include any period of time during which physical evidence relating to the offense was undergoing DNA analysis, as defined in section 299C.155, unless the defendant demonstrates that the prosecuting or law enforcement agency purposefully delayed the DNA analysis process in order to gain an unfair advantage.

EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes committed on or after that date.

Sec. 44. Minnesota Statutes 2020, section 629.341, subdivision 3, is amended to read:

Subd. 3. Notice of rights. The peace officer shall tell the victim whether a shelter or other services are available in the community and give the victim immediate notice of the legal rights and remedies available. The notice must include furnishing the victim a copy of the following statement:

"IF YOU ARE THE VICTIM OF DOMESTIC VIOLENCE, you can ask the city or county attorney to file a criminal complaint. You also have the right to go to court and file a petition requesting an order for protection from domestic abuse. The order could include the following:

(1) an order restraining the abuser from further acts of abuse;

(2) an order directing the abuser to leave your household;

(3) an order preventing the abuser from entering your residence, school, business, or place of employment;

(4) an order awarding you or the other parent custody of or parenting time with your minor child or children; or

(5) an order directing the abuser to pay support to you and the minor children if the abuser has a legal obligation to do so."

The notice must include the resource listing, including telephone number, for the area battered women's shelter, to be designated by the Office of Justice Programs in the Department of ~~Corrections~~ Public Safety.

Sec. 45. Minnesota Statutes 2020, section 629.341, subdivision 4, is amended to read:

Subd. 4. Report required. Whenever a peace officer investigates an allegation that an incident described in subdivision 1 has occurred, whether or not an arrest is made, the officer shall make a written police report of the alleged incident. The report must contain at least the following information: the name, address and telephone number of the victim, if provided by the victim, a statement as to whether an arrest occurred, the name of the arrested person, and a brief summary of the incident. Data that identify a victim who has made a request under

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12499

section 13.82, subdivision 17, paragraph (d), and that are private data under that subdivision, shall be private in the report required by this section. A copy of this report must be provided upon request, at no cost, to the victim of domestic abuse, the victim's attorney, or organizations designated by the Office of Justice Programs in the Department of Public Safety ~~or the commissioner of corrections~~ that are providing services to victims of domestic abuse. The officer shall submit the report to the officer's supervisor or other person to whom the employer's rules or policies require reports of similar allegations of criminal activity to be made.

Sec. 46. Minnesota Statutes 2020, section 629.72, subdivision 6, is amended to read:

Subd. 6. Notice; release of arrested person. (a) Immediately after issuance of a citation in lieu of continued detention under subdivision 1, or the entry of an order for release under subdivision 2, but before the arrested person is released, the agency having custody of the arrested person or its designee must make a reasonable and good faith effort to inform orally the alleged victim, local law enforcement agencies known to be involved in the case, if different from the agency having custody, and, at the victim's request any local battered women's and domestic abuse programs established under section 611A.32 or sexual assault programs of:

(1) the conditions of release, if any;

(2) the time of release;

(3) the time, date, and place of the next scheduled court appearance of the arrested person and the victim's right to be present at the court appearance; and

(4) if the arrested person is charged with domestic abuse, the location and telephone number of ~~the area battered women's shelter as~~ programs that provide services to victims of domestic abuse designated by the Office of Justice Programs in the Department of Public Safety.

(b) As soon as practicable after an order for conditional release is entered, the agency having custody of the arrested person or its designee must personally deliver or mail to the alleged victim a copy of the written order and written notice of the information in paragraph (a), clauses (2) and (3).

(c) Data on the victim and the notice provided by the custodial authority are private data on individuals as defined in section 13.02, subdivision 12, and are accessible only to the victim.

Sec. 47. Laws 2021, First Special Session chapter 11, article 2, section 12, is amended to read:

Sec. 12. 299A.477 HOMETOWN HEROES ASSISTANCE PROGRAM.

Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this section.

(b) "Critical illness" means cardiac disease and cancer as well as other illnesses covered by a policy of insurance issued by an insurer in compliance with chapter 60A.

~~(b)~~ (c) "Firefighter" means a volunteer, paid on-call, part-time, or career firefighter serving a general population within the boundaries of the state.

~~(c)~~ (d) "Minnesota Firefighter Initiative" means a collaborative that is established by major fire service organizations in Minnesota, is a nonprofit organization, and is tax exempt under section 501(c)(3) of the Internal Revenue Code.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12500

Subd. 2. Program established. The commissioner of public safety shall award a grant to the Minnesota Firefighter Initiative to administer a hometown heroes assistance program for Minnesota firefighters. The Minnesota Firefighter Initiative shall use the grant funds:

(1) to ~~provide a onetime~~ establish and fund critical illness coverage that provides monetary support ~~payment~~ payments to each firefighter who is diagnosed with ~~cancer or heart disease~~ a critical illness on or after August 1, 2021, and who applies for the payment. Monetary support shall be provided according to the requirements in subdivision 3;

(2) to develop a psychotherapy program customized to address emotional trauma experienced by firefighters and to offer all firefighters in the state up to five psychotherapy sessions per year under the customized program, provided by mental health professionals;

(3) to ~~offer~~ coordinate additional psychotherapy sessions to firefighters who need them;

(4) to develop, annually update, and annually provide to all firefighters in the state at least two hours of training on critical illnesses, such as cancer, and heart disease, and emotional trauma as causes of illness and death for firefighters; steps and best practices for firefighters to limit the occupational risks of cancer, heart disease, and emotional trauma; provide evidence-based suicide prevention strategies; and ways for firefighters to address occupation-related emotional trauma and promote emotional wellness. The training shall be presented by firefighters who attend an additional course to prepare them to serve as trainers; and

(5) for administrative and overhead costs of the Minnesota Firefighter Initiative associated with conducting the activities in clauses (1) to (4).

Subd. 3. Critical illness monetary support program. (a) The Minnesota Firefighter Initiative shall establish and administer a critical illness monetary support program which shall provide ~~a onetime~~ support ~~payment~~ payments of up to $20,000 to each eligible firefighter diagnosed with cancer or heart disease. A firefighter may apply for monetary support from the program, in a form specified by the Minnesota Firefighter Initiative, if the firefighter has a current diagnosis of cancer or heart disease or was diagnosed with cancer or heart disease in the year preceding the firefighter's application. A firefighter who is diagnosed with a critical illness on or after August 1, 2021, is eligible to apply for benefits under the monetary support program and has 12 months from the diagnosis to submit an application. A firefighter's application for monetary support must include a certification from the firefighter's health care provider of the firefighter's diagnosis ~~with cancer or heart disease~~ of an eligible critical illness. The Minnesota Firefighter Initiative shall establish criteria to guide disbursement of monetary support payments under this program, and shall scale the amount of monetary support provided to each firefighter according to the severity of the firefighter's diagnosis.

(b) The commissioner of public safety may access the accounts of the critical illness monetary support program ~~and may~~ to conduct periodic audits of the program to ensure that payments are being made in compliance with this section and disbursement criteria established by the Minnesota Firefighter Initiative.

Subd. 4. Money from nonstate sources. The commissioner may accept contributions from nonstate sources to supplement state appropriations for the hometown heroes assistance program. Contributions received under this subdivision are appropriated to the commissioner for the grant to the Minnesota Firefighter Initiative for purposes of this section.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12501

Sec. 48. TASK FORCE ON A COORDINATED APPROACH TO JUVENILE WELLNESS AND JUSTICE.

Subdivision 1. Establishment. The Task Force on a Coordinated Approach to Juvenile Wellness and Justice is established to review the juvenile justice system in Minnesota, examine approaches taken in other jurisdictions, and make policy and funding recommendations to the legislature.

Subd. 2. Membership. (a) The task force consists of the following members:

(1) a district court judge serving as the presiding judge in a district juvenile court appointed by the governor;

(2) the state public defender or a designee;

(3) a county attorney appointed by the Minnesota County Attorneys Association;

(4) the warden of the Minnesota correctional facility for juveniles in Red Wing or a designee;

(5) a representative from a Tribal social services agency or a Tribal Council appointed by the Indian Affairs Council;

(6) a representative from an Ojibwe Indian Tribe and a representative from a Dakota Indian Tribe appointed by the Indian Affairs Council;

(7) a probation agent who supervises juveniles appointed by the Minnesota Association of Community Corrections Act Counties;

(8) a peace officer, as defined in Minnesota Statutes, section 626.84, subdivision 1, paragraph (c), appointed by the governor from a list of three candidates submitted jointly by the Minnesota Chiefs of Police Association, the Minnesota Sheriffs' Association, and the Minnesota Police and Peace Officers Association;

(9) a high school principal appointed by the governor from a list of two candidates submitted jointly by the commissioner of education and the executive director of Education Minnesota;

(10) a representative from a county social services agency that has responsibility for public child welfare and child protection services, appointed by the governor;

(11) an individual who was the victim of an offense committed by a juvenile, appointed by the governor;

(12) a representative from a community-driven nonprofit law firm that represents juveniles in delinquency matters, appointed by the governor;

(13) an individual who is a children's mental health professional appointed by AspireMN;

(14) an individual who is the family member of youth impacted by the juvenile justice system; and

(15) ten youths under age 25 with interest or experience in the juvenile justice, juvenile protection, and foster care systems.

(b) To the extent possible, the demographics of the public members identified in paragraph (a), clause (15), must be inclusive and represent the ethnic and racial diversity of the state, including gender and sexual orientation, immigrant status, and religious and linguistic background. At least two of those public members must be from outside the metropolitan area as defined in Minnesota Statutes, section 473.121, subdivision 2.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12502

(d) Public members identified in paragraph (a), clause (15), are eligible for compensation and expense reimbursement consistent with Minnesota Statutes, section 15.059, subdivision 3. All other members shall serve without compensation.

(e) Members of the task force serve at the pleasure of the appointing authority or until the task force expires. Vacancies shall be filled by the appointing authority consistent with the qualifications of the vacating member required by this subdivision.

Subd. 3. Officers; meetings. (a) At its first meeting, the members of the task force shall elect cochairs of the task force, at least one of whom must be a public member identified in subdivision 2, paragraph (a), clause (15). The task force may elect other officers as necessary.

(b) The executive director of the Office of Justice Programs shall convene the first meeting of the task force no later than October 15, 2022, and shall provide meeting space and administrative assistance through the Office of Justice Programs as necessary for the task force to conduct its work.

(c) The task force shall meet at least monthly or upon the call of a cochair. The task force shall meet sufficiently enough to accomplish the tasks identified in this section. Meetings of the task force are subject to Minnesota Statutes, chapter 13D.

Subd. 4. Duties. (a) The task force shall, at a minimum:

(1) review Minnesota's juvenile justice system;

(2) identify areas of overlap and conflict between Minnesota's juvenile justice and child protection systems, including areas of collaboration and coordination, provision of duplicated services, and any inconsistent expectations placed on juveniles;

(3) review alternative approaches to juvenile justice in Minnesota counties, Tribal communities, and other states or jurisdictions;

(4) identify social, emotional, and developmental factors that contribute to delinquent acts by juveniles;

(5) identify approaches to juvenile justice that involve the affected juvenile and address any underlying factors that contribute to delinquent acts by juveniles;

(6) identify approaches to juvenile justice that hold juvenile offenders accountable to victims and the community in ways that seek to strengthen the juvenile's connection to the community; and

(7) make recommendations for community and legislative action to address juvenile justice in Minnesota.

(b) At its discretion, the task force may examine other related issues consistent with this section.

Subd. 5. Report. By January 15, 2024, the task force shall submit a report to the chairs and ranking minority members of the legislative committees and divisions with jurisdiction over public safety finance and policy, judiciary finance and policy, human services finance and policy, and education finance and policy.

Subd. 6. Expiration. The task force expires the day after submitting its final report under subdivision 5.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12503

Sec. 49. EMERGENCY COMMUNITY SAFETY GRANTS.

Subdivision 1. Definition. "Re-entry program" means county remote monitoring, county dosage probation programs, county probation check-in stations, and any program primarily aimed at supporting individuals with a criminal record, including but not limited to employment programs, housing programs, and education programs.

Subd. 2. Expedited disbursement; distribution. (a) Application materials for grants issued under this section must be prepared and made available to the public by July 15, 2022.

(b) Applications must be reviewed and considered by the commissioner as they are received, and the commissioner shall approve applications when they are determined to meet eligibility requirements and all applicable grant standards.

(c) Half of the total amount awarded must be provided to programs that do not involve law enforcement agencies and are for the purposes identified in subdivision 3, paragraph (c), clauses (1) to (8).

Subd. 3. Eligible recipients. (a) A county; city; town; local law enforcement agency, including a law enforcement agency of a federally recognized Tribe, as defined in United States Code, title 25, section 450b(e); or a federally recognized Indian Tribe may apply for emergency community safety grants to support crime prevention programs.

(b) A county, city, town, or a federally recognized Indian Tribe may apply as part of a multijurisdictional collaboration with other counties, cities, towns, or federally recognized Indian Tribes.

(1) re-entry programs;

(2) victim services programs;

(3) homelessness assistance programs;

(4) mobile crisis teams and embedded social worker programs;

(5) restorative justice programs;

(6) co-responder programs;

(7) juvenile diversion programs;

(8) community violence interruption programs;

(9) increasing the recruitment of officers by utilizing advertisements, or bonuses or scholarships for peace officers who remain continuously employed as peace officers for at least 12 months and have not been subject to disciplinary action in the previous 12 months;

(10) increasing patrols outside of squad cars, on foot or in transportation options that provide more interaction between police and community members;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12504

(11) increasing, establishing, maintaining, or expanding crisis response teams in which social workers or mental health providers are sent as first responders when calls for service indicate that an individual is having a mental health crisis;

(12) establishing, maintaining, or expanding co-responder teams;

(13) purchasing equipment to perform patrols outside of squad cars on foot or in transportation options that provide more interaction between police and community members;

(14) hiring additional non-law-enforcement personnel to conduct functions typically performed by law enforcement with the intent of freeing up additional law enforcement to perform patrols or respond to service calls;

(15) increasing recruitment of additional detectives, investigators, or other individuals with a comparable rank or designation to investigate homicides, nonfatal shootings, or motor vehicle theft, including hiring, on a temporary or permanent basis, retired officers utilizing advertisements, or bonuses or scholarships for peace officers who remain continuously employed as peace officers for at least 12 months and have not been subject to disciplinary action in the previous 12 months;

(16) increasing recruitment of additional peace officers to replace officers transferred or promoted to detective, investigator, or a comparable rank and assigned to investigate homicides, nonfatal shootings, or motor vehicle theft;

(17) ensuring retention of peace officers identified as a detective, investigator, or a comparable rank and assigned to investigate homicides and nonfatal shootings;

(18) acquiring, upgrading, or replacing investigative or evidence-processing technology or equipment;

(19) hiring additional evidence-processing personnel;

(20) ensuring that personnel responsible for evidence processing have sufficient resources and training;

(21) hiring and training personnel to analyze violent crime, specifically with regards to the use of intelligence information of criminal networks and the potential for retaliation among gangs or groups, and the geographic trends among homicides, nonfatal shootings, and carjackings;

(22) ensuring that victim services and personnel are sufficiently funded, staffed, and trained;

(23) ensuring that victims and family members of homicides and nonfatal shootings have access to resources, including:

(i) convenient mental health treatment and grief counseling;

(ii) funeral and burial expenses;

(iii) relocation expenses;

(iv) emergency shelter;

(v) emergency transportation; and

(vi) lost wage assistance;

(24) developing competitive and evidence-based programs to improve homicide and nonfatal shooting clearance rates; or

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12505

(25) developing best practices for improving access to, and acceptance of, victim services, including those that promote medical and psychological wellness, ongoing counseling, legal advice, and financial compensation.

Subd. 4. Application for grants. (a) A crime prevention program may apply to the commissioner of public safety for a grant for any of the purposes described in subdivision 3. The application must be on forms and pursuant to procedures developed by the commissioner. The application must describe the type or types of intended emergency assistance, estimate the amount of money required, and include any other information deemed necessary by the commissioner.

(b) An applicant may not spend in any fiscal year more than ten percent of the grant awarded for administrative costs.

Subd. 5. Reporting by crime prevention programs required. The recipient of a grant under this section shall file a report with the commissioner of public safety by December 15 of each calendar year in which funds were received or used. Reports must itemize the expenditures made, indicate the purpose of those expenditures, and describe the ultimate disposition, if any, of each case. The report must be on forms and pursuant to procedures developed by the commissioner.

Sec. 50. LOCAL CO-RESPONDER GRANTS.

Subdivision 1. Expedited disbursement; distribution. (a) Application materials for grants issued under this section must be prepared and made available to the public by August 15.

(b) The commissioner must prioritize awarding grants to applicants who are not eligible to apply for local community innovation grants, local community policing grants, or local investigation grants.

(c) Half of the total amount awarded must be provided to programs that do not involve law enforcement agencies and are for the purposes identified in subdivision 3, paragraph (c), clauses (1) to (8).

Subd. 2. Eligible recipients. (a) A county; city; town; local law enforcement agency, including a law enforcement agency of a federally recognized Tribe, as defined in United States Code, title 25, section 450b(e); or a federally recognized Indian Tribe may apply for local co-responder grants for the purposes identified in this subdivision.

(b) A county, city, town, or a federally recognized Indian Tribe may apply as part of a multijurisdictional collaboration with other counties, cities, towns, or federally recognized Indian Tribes.

(1) embedded social workers;

(2) mobile crisis teams; or

(3) violence interrupters who work with law enforcement agencies.

Subd. 3. Application for grants. (a) A co-responder program may apply to the commissioner of public safety for a grant for any of the purposes described in subdivision 3. The application must be on forms and pursuant to procedures developed by the commissioner.

(b) An applicant may not spend in any fiscal year more than ten percent of the grant awarded for administrative costs.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12506

Subd. 4. Reporting by co-responder programs required. The recipient of a grant under this section shall file a report with the commissioner of public safety by December 15 of each calendar year in which funds were received or used. Reports must itemize the expenditures made, indicate the purpose of those expenditures, and describe the ultimate disposition, if any, of each case. The report must be on forms and pursuant to procedures developed by the commissioner.

Sec. 51. LOCAL COMMUNITY INNOVATION GRANTS.

Subdivision 1. Definitions. (a) As used in this section, the following terms have the meanings given.

(b) "Community violence interruption" means a program that works with other organizations and persons in the community to develop community-based responses to violence that use and adapt critical incident response methods, provide targeted interventions to prevent the escalation of violence after the occurrence of serious incidents, and de‑escalate violence with the use of community-based interventions. The programs may work with local prosecutorial offices to provide an alternative to adjudication through a restorative justice model.

(c) "Co-responder teams" means a partnership between a group or organization that provides mental health or crisis-intervention services and local units of government or Tribal governments that:

(1) provides crisis-response teams to de-escalate volatile situations;

(2) responds to situations involving a mental health crisis;

(3) promotes community-based efforts designed to enhance community safety and wellness; or

(4) supports community-based strategies to interrupt, intervene in, or respond to violence.

(d) "Qualified local government entity" means a city or town, or a federally recognized Indian Tribe with a law enforcement agency that reports statistics on crime rates.

(e) "Re-entry program" means county remote monitoring, county dosage probation programs, county probation check-in stations, and any program primarily aimed at supporting individuals with a criminal record, including but not limited to employment programs, housing programs, and education programs.

(f) "Restorative justice program" has the meaning given in Minnesota Statutes, section 611A.775, and includes Native American sentencing circles.

Subd. 2. Expedited disbursement. (a) Application materials for grants issued under this section must be prepared and made available to the public by September 1.

(b) Applications must be received and reviewed, and successful applicants must be notified of approval, within six months of an appropriation being made to fund the grants.

Subd. 3. Final review panel. (a) The Office of Justice Programs shall establish a final review panel of office staff to make final decisions on grants awarded under this section.

(b) Staff serving on the final review panel must represent the office's responsibility for community outreach, research and analysis, crime victim reparations, crime victim justice, financial compliance, or grant management. At a minimum, the final review panel shall include:

(1) three individuals with specialized knowledge of, or an advanced degree in, criminology, sociology, urban studies, or social work;

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12507

(2) an individual with professional duties that include research and analysis; and

(3) an individual with professional duties that include grant compliance or grant management.

(c) If the commissioner rejects or otherwise does not follow the final review panel's decisions or recommendations regarding awarding or not awarding a grant, the commissioner shall notify the chair and ranking minority members of the legislative committees with jurisdiction over public safety within three business days and must identify the reasons for the commissioner's decision.

Subd. 4. Eligible applicants; identification and notice. (a) The commissioner of public safety shall publish the following lists by August 1 of each year to determine eligibility for the formula grant:

(1) the qualified local government entities with at least three recorded violent crimes in the previous fiscal year and the 20 highest per capita crime rates in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System;

(2) the counties with the 20 highest per capita crime rates in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System;

(3) the qualified local government entities that are not included in the list generated pursuant to clause (1) and have experienced at least three recorded violent crimes in the previous fiscal year and the 20 fastest increases in the per capita rate of crime in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System; and

(4) the counties that are not included in the list generated pursuant to clause (2) and have experienced the 20 fastest increases in the per capita rate of crime in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System.

(b) A county or qualified local government entity identified in any list produced pursuant to paragraph (a), clauses (1) to (4), may apply for a grant under this section. A listed county or qualified local government entity that reports statistics on crime rates may apply as part of a multijurisdictional collaboration with counties or local government entities that are not listed provided the portion of programs or services provided through the grant funding that are performed in the listed county or qualified local government entity is at least equal to its proportion of the membership of the multijurisdictional collaboration.

(c) The commissioner of public safety shall post the lists described in paragraph (a), clauses (1) to (4), on a publicly facing website and shall work with the League of Minnesota Cities, Association of Minnesota Counties, the three ethnic councils established under Minnesota Statutes, section 15.0145, and the Indian Affairs Council established under Minnesota Statutes, section 3.922, to notify entities that are eligible to apply for grants under this section.

Subd. 5. Grant distribution. (a) Half of the total amount appropriated under this section must be awarded to counties or qualified local government entities identified in subdivision 4, paragraph (a), clause (1) or (2).

(b) Half the total amount appropriated under this section must be awarded to counties or qualified local government entities identified in subdivision 4, paragraph (a), clause (3) or (4).

Subd. 6. Application materials. (a) Applicants must submit an application in the form and manner established by the commissioner of public safety.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12508

(b) Applicants must describe the ways in which grant funds will be used to reduce crime in a specific subsection of the county or qualified local government entity through the creation or expansion of programs, including but not limited to the following:

(1) re-entry programs;

(2) victim services programs;

(3) homelessness assistance programs;

(4) mobile crisis teams and embedded social worker programs;

(5) restorative justice programs;

(6) co-responder programs;

(7) juvenile diversion programs;

(8) community violence interruption programs;

(9) blight elimination programs; or

(10) programs that provide technical assistance to service providers who are doing work that would promote public safety.

Subd. 7. Awards. (a) Preference in awarding grants should be given to applicants whose proposals are based on evidence-based practices, provide resources to geographic areas that have been historically underinvested, and incorporate input from community stakeholders.

(b) Grant recipients may use funds to partner with or support other programs.

(c) Grant funds may not be used to fund the activities of law enforcement agencies or offset the costs of counties or qualified local government entities.

(d) Any funds that are not encumbered or spent six years after being awarded must be returned to the commissioner of public safety and awarded as part of a local community innovation grant.

Subd. 8. Evaluation. Each grant recipient shall complete a standardized evaluation established by the Minnesota Statistical Analysis Center every two years.

Sec. 52. LOCAL COMMUNITY POLICING GRANTS.

Subdivision 1. Definition. As used in this section, "qualified local government entity" means a federally recognized Indian Tribe with a law enforcement agency that reports statistics on crime rates, or a city or town that has a local law enforcement agency.

Subd. 2. Expedited disbursement. (a) Application materials for grants issued under this section must be prepared and made available to the public by September 1.

(b) Applications must be received and reviewed, and successful applicants must be notified of approval, within six months of an appropriation being made to fund the grants.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12509

Subd. 3. Final review panel. (a) The Office of Justice Programs shall establish a final review panel of office staff to make final decisions on grants awarded under this section.

(1) three individuals with specialized knowledge of, or an advanced degree in, criminology, sociology, urban studies, or social work;

(2) an individual with professional duties that include research and analysis; and

(3) an individual with professional duties that include grant compliance or grant management.

Subd. 4. Eligible applicants; identification and notice. (a) The commissioner of public safety shall publish the following lists by August 1 of each year:

(1) the qualified local government entities that have recorded at least three violent crimes in the previous fiscal year and have the 20 highest per capita crime rates in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System;

(2) the counties with the 20 highest per capita crime rates in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System;

(3) the qualified local government entities that are not included in the list generated pursuant to clause (1), have recorded at least three violent crimes in the previous fiscal year, and have experienced the 20 fastest increases in the per capita rate of crime in the previous fiscal year based on the Uniform Crime Reports or National Incident Based Reporting System; and

(b) A county or qualified local government entity identified in any list produced pursuant to paragraph (a), clauses (1) to (4), may apply for a grant under this section. A listed county or qualified local government entity may apply as part of a multijurisdictional collaboration with counties and local government entities that are not listed provided the portion of programs or services provided through the grant funding that are performed in the listed county or qualified local government entity is at least equal to its proportion of the membership of the multijurisdictional collaboration.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12510

(b) Half the total amount appropriated under this section must be awarded to counties or qualified local government entities identified in subdivision 4, paragraph (a), clause (3) or (4).

Subd. 6. Application materials. (a) Applicants must submit an application in the form and manner established by the commissioner.

(b) Applicants must describe the ways in which grant funds will be used to reduce crime by increasing the capacity, efficiency, and effectiveness of law enforcement community policing efforts through approaches, including but not limited to the following:

(1) increasing the recruitment of officers by utilizing advertisements, or bonuses or scholarships for peace officers who remain continuously employed as a peace officer for at least 12 months and have not been subject to disciplinary action in the previous 12 months;

(2) increasing patrols outside of squad cars on foot or in transportation options that provide more interaction between police and community members;

(3) increasing, establishing, maintaining, or expanding crisis response teams in which social workers or mental health providers are sent as first responders when calls for service indicate that an individual is having a mental health crisis;

(4) establishing, maintaining, or expanding co-responder teams;

(5) purchasing equipment to perform patrols outside of squad cars on foot or in transportation options that provide more interaction between police and community members; or

(6) hiring additional non-law-enforcement personnel to conduct functions typically performed by law enforcement with the intent of freeing up additional law enforcement to perform patrols or respond to service calls.

Subd. 7. Awards. (a) Preference in awarding grants should be given to applicants whose proposals:

(1) involve community policing strategies;

(2) include collaboration with non-law-enforcement entities such as community-based violence prevention programs, social worker programs, or mental health specialists;

(3) are based on academic studies or based on evidence-based policing research or findings; or

(4) involve increased law enforcement accountability or transparency.

(b) Grant recipients may use funds to partner with or support other programs.

(c) Grant funds may not be used to offset the costs of law enforcement agencies, counties, or qualified local government entities.

(d) Any funds that are not encumbered or spent six years after being awarded must be returned to the commissioner of public safety and awarded as part of a local community innovation grant.

Subd. 8. Evaluation. Each grant recipient shall complete a standardized evaluation established by the Minnesota Statistical Analysis Center every two years.

Journal of the House - 99th Day - Friday, April 29, 2022 - Top of Page 12511

Sec. 53. LOCAL INVESTIGATION GRANTS.