STATE OF
MINNESOTA
NINETY-THIRD
SESSION - 2023
_____________________
FORTY-SEVENTH
DAY
Saint Paul, Minnesota, Wednesday, April 12, 2023
The House of Representatives convened at
12:30 p.m. and was called to order by Dan Wolgamott, Speaker pro tempore.
Prayer was offered by the Reverend Pepe
Demarest, The Recovery Church, St. Paul, Minnesota.
The members of the House gave the pledge
of allegiance to the flag of the United States of America.
The roll was called and the following
members were present:
Acomb
Agbaje
Altendorf
Anderson, P. H.
Backer
Bahner
Bakeberg
Baker
Becker-Finn
Bennett
Berg
Bierman
Bliss
Brand
Burkel
Carroll
Cha
Clardy
Coulter
Curran
Daniels
Davids
Davis
Demuth
Dotseth
Edelson
Elkins
Engen
Feist
Finke
Fischer
Fogelman
Franson
Frazier
Frederick
Freiberg
Garofalo
Gillman
Gomez
Greenman
Grossell
Hansen, R.
Hanson, J.
Harder
Hassan
Heintzeman
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Hudella
Hudson
Huot
Hussein
Igo
Jacob
Johnson
Jordan
Joy
Keeler
Klevorn
Knudsen
Koegel
Kotyza-Witthuhn
Koznick
Kraft
Kresha
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
McDonald
Mekeland
Moller
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, M.
Nelson, N.
Neu Brindley
Newton
Niska
Noor
Norris
Novotny
O'Driscoll
Olson, L.
O'Neill
Pelowski
Pérez-Vega
Perryman
Petersburg
Pfarr
Pinto
Pryor
Pursell
Quam
Rehm
Reyer
Richardson
Robbins
Schomacker
Schultz
Scott
Sencer-Mura
Skraba
Smith
Stephenson
Swedzinski
Tabke
Torkelson
Urdahl
Vang
West
Wiener
Wiens
Witte
Wolgamott
Xiong
Youakim
Zeleznikar
Spk. Hortman
A quorum was present.
Anderson, P. E.; Daudt; Kiel; Kozlowski
and Olson, B., were excused.
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.
PETITIONS AND COMMUNICATIONS
The following communications were
received:
STATE OF MINNESOTA
OFFICE OF THE GOVERNOR
SAINT PAUL 55155
March 30, 2023
The
Honorable Melissa Hortman
Speaker
of the House of Representatives
The State
of Minnesota
Dear Speaker Hortman:
Please be advised that I have received,
approved, signed, and deposited in the Office of the Secretary of State the
following House Files:
H. F. No. 1440, relating to housing; appropriating money for the family homeless prevention and assistance program; requiring a report.
H. F. No. 244, relating
to uniform laws; adopting the Uniform Electronic Wills Act; making technical,
clarifying, and conforming changes.
Sincerely,
Tim
Walz
Governor
STATE OF
MINNESOTA
OFFICE OF
THE SECRETARY OF STATE
ST. PAUL
55155
The Honorable Melissa Hortman
Speaker of the House of
Representatives
The Honorable Bobby Joe Champion
President of the Senate
I have the honor to inform you that the
following enrolled Acts of the 2023 Session of the State Legislature have been
received from the Office of the Governor and are deposited in the Office of the
Secretary of State for preservation, pursuant to the State Constitution,
Article IV, Section 23:
|
S. F. No. |
H. F. No. |
Session Laws Chapter No. |
Time and Date Approved 2023 |
Date Filed 2023 |
1440 20 7:39
p.m. March 30 March 30
244 21 7:40
p.m. March 30 March 30
2265 22 7:41 p.m. March 30 March
30
1816 23 2:37
p.m. April 5 April 5
Sincerely,
Steve
Simon
Secretary
of State
REPORTS OF STANDING COMMITTEES AND
DIVISIONS
Stephenson from the Committee on Commerce Finance and Policy to which was referred:
H. F. No. 2, A bill for an act relating to employment; providing for paid family, pregnancy, bonding, and applicant's serious medical condition benefits; regulating and requiring certain employment leaves; classifying certain data; authorizing rulemaking; appropriating money; amending Minnesota Statutes 2022, sections 13.719, by adding a subdivision; 177.27, subdivision 4; 181.032; 256J.561, by adding a subdivision; 256J.95, subdivisions 3, 11; 256P.01, subdivision 3; 268.19, subdivision 1; proposing coding for new law as Minnesota Statutes, chapter 268B.
Reported the same back with the following amendments:
Page 1, after line 24, insert:
"Sec. 2. Minnesota Statutes 2022, section 62A.01, subdivision 1, is amended to read:
Subdivision 1. Definition. The term "policy of accident and sickness insurance" as used herein includes any policy covering the kind of insurance described in section 60A.06, subdivision 1, clause (5)(a), or the paid family and medical leave benefits as described in section 268B.10."
Page 4, after line 20, insert:
"Sec. 4. Minnesota Statutes 2022, section 256B.0659, subdivision 18, is amended to read:
Subd. 18. Personal care assistance choice option; generally. (a) The commissioner may allow a recipient of personal care assistance services to use a fiscal intermediary to assist the recipient in paying and accounting for medically necessary covered personal care assistance services. Unless otherwise provided in this section, all other statutory and regulatory provisions relating to personal care assistance services apply to a recipient using the personal care assistance choice option.
(b) Personal care assistance choice is an option of the personal care assistance program that allows the recipient who receives personal care assistance services to be responsible for the hiring, training, scheduling, and firing of personal care assistants according to the terms of the written agreement with the personal care assistance choice agency required under subdivision 20, paragraph (a). This program offers greater control and choice for the recipient in who provides the personal care assistance service and when the service is scheduled. The recipient or the recipient's responsible party must choose a personal care assistance choice provider agency as a fiscal intermediary. This personal care assistance choice provider agency manages payroll, invoices the state, is responsible for all payroll-related taxes and insurance, including premiums for family and medical benefit insurance, and is responsible for providing the consumer training and support in managing the recipient's personal care assistance services.
Sec. 5. Minnesota Statutes 2022, section 256B.85, subdivision 13, is amended to read:
Subd. 13. Budget model. (a) Under the budget model participants exercise responsibility and control over the services and supports described and budgeted within the CFSS service delivery plan. Participants must use services specified in subdivision 13a provided by an FMS provider. Under this model, participants may use their approved service budget allocation to:
(1) directly employ support workers, and pay wages, federal and state payroll taxes, and premiums for workers' compensation, liability, family and medical benefit insurance, and health insurance coverage; and
(2) obtain supports and goods as defined in subdivision 7.
(b) Participants who are unable to fulfill any of the functions listed in paragraph (a) may authorize a legal representative or participant's representative to do so on their behalf.
(c) If two or more participants using the budget model live in the same household and have the same support worker, the participants must use the same FMS provider.
(d) If the FMS provider advises that there is a joint employer in the budget model, all participants associated with that joint employer must use the same FMS provider.
(e) The commissioner shall disenroll or exclude participants from the budget model and transfer them to the agency-provider model under, but not limited to, the following circumstances:
(1) when a participant has been restricted by the Minnesota restricted recipient program, in which case the participant may be excluded for a specified time period under Minnesota Rules, parts 9505.2160 to 9505.2245;
(2) when a participant exits the budget model during the participant's service plan year. Upon transfer, the participant shall not access the budget model for the remainder of that service plan year; or
(3) when the department determines that the participant or participant's representative or legal representative is unable to fulfill the responsibilities under the budget model, as specified in subdivision 14.
(f) A participant may appeal in writing to the department under section 256.045, subdivision 3, to contest the department's decision under paragraph (e), clause (3), to disenroll or exclude the participant from the budget model.
Sec. 6. Minnesota Statutes 2022, section 256B.85, subdivision 13a, is amended to read:
Subd. 13a. Financial management services. (a) Services provided by an FMS provider include but are not limited to: filing and payment of federal and state payroll taxes and premiums on behalf of the participant; initiating and complying with background study requirements under chapter 245C and maintaining documentation of background study requests and results; billing for approved CFSS services with authorized funds; monitoring expenditures; accounting for and disbursing CFSS funds; providing assistance in obtaining and filing for liability, workers' compensation, family and medical benefit insurance, and unemployment coverage; and providing participant instruction and technical assistance to the participant in fulfilling employer-related requirements in accordance with section 3504 of the Internal Revenue Code and related regulations and interpretations, including Code of Federal Regulations, title 26, section 31.3504-1.
(b) Agency-provider services shall not be provided by the FMS provider.
(c) The FMS provider shall provide service functions as determined by the commissioner for budget model participants that include but are not limited to:
(1) assistance with the development of the detailed budget for expenditures portion of the CFSS service delivery plan as requested by the consultation services provider or participant;
(2) data recording and reporting of participant spending;
(3) other duties established by the department, including with respect to providing assistance to the participant, participant's representative, or legal representative in performing employer responsibilities regarding support workers. The support worker shall not be considered the employee of the FMS provider; and
(4) billing, payment, and accounting of approved expenditures for goods.
(d) The FMS provider shall obtain an assurance statement from the participant employer agreeing to follow state and federal regulations and CFSS policies regarding employment of support workers.
(e) The FMS provider shall:
(1) not limit or restrict the participant's choice of service or support providers or service delivery models consistent with any applicable state and federal requirements;
(2) provide the participant, consultation services provider, and case manager or care coordinator, if applicable, with a monthly written summary of the spending for services and supports that were billed against the spending budget;
(3) be knowledgeable of state and federal employment regulations, including those under the Fair Labor Standards Act of 1938, and comply with the requirements under chapter 268B and section 3504 of the Internal Revenue Code and related regulations and interpretations, including Code of Federal Regulations, title 26, section 31.3504-1, regarding agency employer tax liability for vendor fiscal/employer agent, and any requirements necessary to process employer and employee deductions, provide appropriate and timely submission of employer tax liabilities, and maintain documentation to support medical assistance claims;
(4) have current and adequate liability insurance and bonding and sufficient cash flow as determined by the commissioner and have on staff or under contract a certified public accountant or an individual with a baccalaureate degree in accounting;
(5) assume fiscal accountability for state funds designated for the program and be held liable for any overpayments or violations of applicable statutes or rules, including but not limited to the Minnesota False Claims Act, chapter 15C;
(6) maintain documentation of receipts, invoices, and bills to track all services and supports expenditures for any goods purchased and maintain time records of support workers. The documentation and time records must be maintained for a minimum of five years from the claim date and be available for audit or review upon request by the commissioner. Claims submitted by the FMS provider to the commissioner for payment must correspond with services, amounts, and time periods as authorized in the participant's service budget and service plan and must contain specific identifying information as determined by the commissioner; and
(7) provide written notice to the participant or the participant's representative at least 30 calendar days before a proposed service termination becomes effective.
(f) The commissioner shall:
(1) establish rates and payment methodology for the FMS provider;
(2) identify a process to ensure quality and performance standards for the FMS provider and ensure statewide access to FMS providers; and
(3) establish a uniform protocol for delivering and administering CFSS services to be used by eligible FMS providers."
Page 8, after line 16, insert:
"(e) For an applicant under a private plan as provided in section 268B.10, the base period is those most recent four quarters in which wage credits were earned with the current employer as provided by the current employer. If an employer does not have four quarters of wage detail information, the employer must accept an employee's certification of wage credits, based on the employee's records. If the employee does not provide certification of additional wage credits, the employer may use a base period that consists of all available quarters."
Page 8, line 22, delete ""Benefit year"" and insert "(a) Except as provided in paragraph (b), "benefit year""
Page 8, after line 25, insert:
"(b) For a private plan under
section 268B.10, "benefit year" means:
(1) a calendar year;
(2) any fixed 12-month period, such as a
fiscal year or a 12-month period measured forward from an employee's first date
of employment;
(3) a 12-month period measured forward
from an employee's first day of leave taken; or
(4) a rolling 12-month period measured
backward from an employee's first day of leave taken.
Employers are required to notify employees of their benefit year within 30 days of the private plan approval and first day of employment."
Page 9, after line 4, insert:
"Subd. 13. Construction
industry. "Construction
industry" means any construction, reconstruction, building erection,
alteration, remodel, repair, renovation, rehabilitation, excavation, or
demolition of any building, structure, facility utility, power plant, sewer,
dam, highway, road, street, airport, bridge, or other improvement.
Subd. 14. Covered active duty. "Covered active duty" has the meaning given in United States Code, title 29, section 2611(14)."
Renumber the subdivisions in sequence and correct the internal references
Page 11, line 7, delete "and"
Page 11, line 8, delete "affinity and" and after "whose" insert "close"
Page 11, line 13, delete the period and insert "; and"
Page 11, after line 13, insert:
"(7) up to one person designated by the applicant."
Page 11, line 26, after "surgeon," insert "podiatrist,"
Page 11, delete line 27 and insert "advanced practice registered nurse, alcohol and drug counselor, as defined in section 148F.01, subdivision 5, or mental health professional, as defined in section 245I.02, subdivision 27; or"
Page 12, line 24, delete "still birth" and insert "stillbirth"
Page 12, line 26, after "member's" insert "covered" and after "to" insert "covered"
Page 13, line 29, delete "at-home care or"
Page 14, line 5, after "times" insert ", within 30 days of the first day of incapacity, unless extenuating circumstances beyond the applicant's control prevent a follow-up visit from occurring as planned,"
Page 15, line 23, delete "hours" and delete "hours"
Page 19, line 31, after the period, insert "Appropriations and transfers to the account are credited to the account. Earnings, such as interest, dividends, and any other earnings arising from assets of the account, are credited to the account. Money remaining in the account at the end of a fiscal year are not canceled to the general fund but remain in the account until expended."
Page 21, line 3, after "filed" insert "up to 60 days before leave taken under section 268B.085"
Page 21, line 5, delete "at the time"
Page 21, line 6, delete "the application is filed"
Page 21, line 7, delete "does not meet eligibility at the time of the application or"
Page 22, line 27, delete "37" and insert "41"
Page 22, delete subdivision 5 and insert:
"Subd. 5. Maximum
length of benefits. (a) In a
single benefit year, an applicant may receive:
(1)
up to 12 weeks of benefits under this chapter related to the applicant's
serious health condition or pregnancy; and
(2) up to 12 weeks of benefits under
this chapter:
(i) for bonding, safety leave, or family
care; or
(ii) for leave related to one or more qualifying exigencies."
Page 24, line 13, delete "(a)"
Page 24, line 27, after "clause" insert "(3) or"
Page 24, line 31, delete "need not" and insert "must" and after "consecutive" insert ", unless the leave is intermittent"
Page 25, line 22, before the period, insert "or estimated due date"
Page 26, line 19, before the period, insert "from the employer from whom the applicant is taking leave under this chapter"
Page 26, delete subdivision 5 and insert:
"Subd. 5. Vacation,
sick leave, paid time off, and disability insurance payments. (a) An employee may use vacation pay,
sick pay, paid time off pay, or disability insurance payments, in lieu of
family or medical leave program benefits under this chapter, provided the
employee is concurrently eligible. Subject
to the limitations of section 268B.09, subdivision 1, an employee is entitled
to the employment protections under section 268B.09 for those workdays during
which this option is exercised. This
subdivision applies to private plans under section 268B.10.
(b) An employer may offer a supplemental benefit payment, as defined in section 268B.01, subdivision 41, to an employee on family or medical leave in addition to any paid family or medical leave benefits the employee is receiving. The choice to receive a supplemental benefit payment lies with the employee. Nothing in this section shall be construed as requiring an employee to receive, or an employer to provide, a supplemental benefit payment."
Page 27, line 3, delete "and disability insurance"
Page 27, line 7, after the semicolon, insert "or"
Page 27, line 8, delete "; or" and insert a period
Page 27, delete line 9
Page 28, line 14, after "(1)" insert "or (2)"
Page 29, line 4, after "weeks" insert ", unless the application is incomplete due to outstanding requests for information including clerical or other errors. Nothing prohibits the commissioner from requesting additional information or the applicant from supplementing their initial application before a determination of eligibility. The commissioner may extend the deadline for a determination under this subdivision due to extenuating circumstances"
Page 30, line 28, before "Ninety" insert "(a)"
Page 30, line 29, delete "which the employee" and insert "which: (1) the employee meets the eligibility criteria under section 268B.06, subdivision 1, clause (2); or"
Page 30 delete line 30
Page 31, delete lines 1 and 2 and insert:
"(2) the employee has applied for
benefits in good faith under this chapter.
For the purposes of this subdivision, good faith is defined as anything
that is not knowingly false or in reckless disregard of the truth.
(b) Notwithstanding paragraph (a), an employee no longer has a right to leave following a denial of benefits by a benefit judge. The employee's right to leave under this section is not to exceed the maximum length of benefits under section 268B.04, subdivision 5."
Page 31, after line 29, insert:
"(e) An employer may require that an employee taking leave under this chapter provide a copy of the certification under section 268B.06, subdivision 3. Upon a written request from the employer, the employee shall provide a copy of the certification as soon as practicable given all of the facts and circumstances in the individual situation. Providing certification at or around the time the employee provides a certification to the department is considered practicable. In addition to any prohibition imposed under section 268B.09, an employer must not discharge, discipline, penalize, interfere with, threaten, restrain, coerce, or otherwise retaliate or discriminate against an employee for providing this certification."
Page 31, line 30, delete "(e)" and insert "(f)"
Page 32, line 3, after the period, insert "Employees may also use bonding leave under this chapter before the actual placement or adoption of a child in situations that include but are not limited to an employee's requirement to: attend counseling sessions; appear in court; consult with any attorney or doctor representing the birth parent; submit to a physical examination; or travel to another country to complete an adoption."
Page 32, after line 13, insert:
"(c) For applicants who take leave on an intermittent or reduced leave schedule, the weekly benefit amount is prorated."
Page 33, line 1, before "Any" insert "(a)"
Page 33, line 2, before the period, insert ", except for a voluntary settlement agreement resolving disputed claims or a valid separation agreement releasing putative claims"
Page 33, after line 2, insert:
"(b) Any provision, whether oral
or written, of a lease, contract, or other agreement or instrument that
purports to be a waiver by an individual of any right or remedy provided in
this chapter is contrary to public policy and void if the waiver or release
purports to waive claims arising out of acts or practices that occur after the
execution of the waiver or release.
(c) A waiver or release of rights or
remedies secured by this chapter that purports to apply to claims arising out
of acts or practices prior to, or concurrent with, the execution of the waiver
or release may be rescinded within 15 calendar days of its execution,
except that a waiver or release given in settlement of a claim filed with the
department or with another administrative agency or judicial body is valid and
final upon execution. A waiving or
releasing party must be informed in writing of the right to rescind the waiver
or release. To be effective, the
rescission must be in writing and delivered to the waived or released party by
hand, electronically with the receiving party's consent, or by mail within the
15-day period. If delivered by mail, the
rescission must be:
(1) postmarked within the 15-day
period;
(2) properly addressed to the waived or
released party; and
(3) sent by certified mail, return receipt requested."
Page 33, line 4, before the period, insert ", except as provided under section 268B.10, subdivision 7"
Page 33, line 6, before "During" insert "(a)"
Page 33, line 7, after "benefits" insert "or leave"
Page 33, after line 10, insert:
"(b) This subdivision may be waived for employees who are working in the construction industry under a bona fide collective bargaining agreement that requires employer contributions to a multiemployer health plan pursuant to United States Code, title 29, section 186(c)(5), but only if the waiver is set forth in clear and unambiguous terms in the collective bargaining agreement and explicitly cites this subdivision."
Page 35, after line 16, insert:
"(g) Nothing in this section shall
be deemed to affect the Americans with Disabilities Act, United States Code,
title 42, chapter 126.
(h) This subdivision and subdivision 7 may be waived for employees who are working in the construction industry under a bona fide collective bargaining agreement with a construction trade union that maintains a referral‑to-work procedure for employees to obtain employment with multiple signatory employers, but only if the waiver is set forth in clear and unambiguous terms in the collective bargaining agreement and explicitly cites this subdivision and subdivision 7."
Page 36, delete lines 8 to 11 and insert:
"(i) any and all damages recoverable by law;"
Page 36, line 12, delete everything after "amount" and insert "of damages awarded; and"
Page 36, line 20, after "such" insert "injunctive and other" and delete "may be appropriate" and insert "determined by a court or jury"
Page 36, after line 26, insert:
"Rule 23 of the Rules of Civil Procedure applies to this section."
Page 37, line 10, after the period, insert "Employers may apply for approval of private plans that exceed the benefits provided to employees under this chapter."
Page 37, line 12, after "commissioner" insert ", in consultation with the commissioner of commerce,"
Page 38, line 9, after "commissioner" insert ", in consultation with the commissioner of commerce,"
Page 39, line 2, delete "medical" and insert "family" and delete "medical" and insert "family"
Page 39, after line 5, insert:
"Subd. 4. Surety
bond requirement. If the
private plan is in the form of self-insurance, the employer shall file with its
application for private provision of the medical benefit or family benefit
program a surety bond in an amount equal to the employer's annual premium that
it would otherwise be required to pay to the family and medical benefit
insurance account. The surety bond must
be in a form approved by the commissioner and issued by a surety company
authorized to transact business in Minnesota.
Subd. 5. Private
plan requirements; timing of payment; intermittent leave increments; and weekly
benefit determination. (a)
Private plan benefits under this section may be paid to align with the
employer's payroll cycle or according to the terms of the approved private
plan.
(b) Intermittent leave under a private
plan may be taken in the minimum increment the employer offers to employees for
other types of leave, not to exceed the eight-hour minimum increment under
section 268B.04, subdivision 6.
(c) For purposes of determining the family and medical benefit amount and duration under a private plan, the weekly benefit amount and duration must be based on the employee's typical workweek and wages earned with the employer at the time of an application for benefits or over the past 52-week calendar year, whichever calculation results in the highest benefit amount for the employee. If an employer does not have complete wage information for the full calendar year, the employer must accept an employee's certification of wage credits, based upon the employee's records."
Page 39, line 8, delete the third "product" and insert "product's policy form must be approved by the commissioner of commerce and issued by an insurance company authorized to transact insurance in this state."
Page 39, delete line 9
Page 39, line 25, delete "amended to conform" and insert "administered"
Page 39, after line 26, insert:
"Subd. 7. Employer reimbursement. If an employer meeting the requirements of a private plan through an insurance product under subdivision 6 has made advance payments of benefits due under this chapter or has made payments to an employee in like manner as wages during any period of family or medical leave for which the employee is entitled to the benefits provided by this chapter, the employer is entitled to be reimbursed by the carrier or third party administrator out of any benefits due or to become due for the family or medical leave, if the claim for reimbursement is filed with the carrier prior to payment of the benefits by the carrier."
Renumber the subdivisions in sequence and correct the internal references
Page 39, line 27, before "An" insert "(a)"
Page 39, line 28, delete everything before the comma and insert "application for private provision of the medical benefit or family benefit program" and after the period, insert "(b)"
Page 39, line 30, after the period, insert "An employee covered under a private plan has the right to request reconsideration of a decision under a private plan made by an insurer, private plan administrator, or employer prior to exercising appeal rights under section 268B.04."
Page 45, line 7, after "employer" insert ", except for an employer with an approved private plan under section 268B.10"
Page 45, line 15, after the first "employer" insert ", except for an employer with an approved private plan under section 268B.10,"
Page 46, line 2, delete everything after "employers" and insert "must pay a minimum of 50 percent"
Page 46, line 3, after "of" insert "the" and delete "from employee wages" and after the period, insert "Employees, through a deduction in their wages to the employer, must pay the remaining portion, if any, of the premium not paid by the employer."
Page 46, line 13, delete "employer"
Page 46, line 15, delete "employers participating in"
Page 46, line 16, delete "an employer participating in"
Page 46, line 18, delete "an employer participating in"
Page 46, line 20, after "and" insert "by July 31 of"
Page 52, line 13, delete "without" and insert "with"
Page 62, line 24, delete the second "and"
Page 62, after line 24, insert:
"(2) an explanation of the availability of family and medical leave benefits provided under this chapter for independent contractors; and"
Page 62, line 25, delete "(2)" and insert "(3)"
Page 63, line 15, delete everything before "prohibit" and insert "(2)"
Page 63, line 17, delete "under this chapter" and before the semicolon, insert "including through a supplemental benefit payment, as defined under section 268B.01, subdivision 41"
Page 63, line 18, delete "or"
Page 63, line 22, delete the period and insert "; or"
Page 63, after line 22, insert:
"(4) applied so as to create any power or duty in conflict with federal law."
Page 68, line 5, delete "January 1, 2024" and insert "July 1, 2025"
Page 68, after line 5, insert:
"ARTICLE 3
FAMILY AND MEDICAL LEAVE ACTUARIAL STUDY
Section 1.
ACTUARIAL STUDY REQUIREMENT.
(a) The commissioner of employment and
economic development must contract with a qualified independent actuarial
consultant to conduct an actuarial study of the family and medical leave
premium rate, premium structure, weekly benefit formula, duration of benefit
weeks, fund reserve, and other components as necessary to determine the
financial soundness of the family and medical benefit insurance program created
in this act. A qualified independent
actuarial consultant is one who is a Fellow of the Society of Actuaries, Member
of the American Academy of Actuaries (FSA MAAA), and who has experience
directly relevant to the analysis required under this paragraph. The commissioner must issue a request for
proposal to satisfy the requirements of this section no later than 30 days
following enactment.
(b) A copy of the actuarial study must be provided to the majority and minority leaders in the senate and house of representatives no later than October 31, 2023."
Renumber the sections in sequence and correct the internal references
Amend the title as follows:
Page 1, line 2, delete everything after "to" and insert "employment; creating a family and medical benefit insurance program; requiring leave from employment under certain circumstances; allowing substitution of a private plan; prohibiting retaliation; classifying data; authorizing expedited rulemaking; appropriating money;"
Page 1, delete lines 3 to 4
Page 1, line 5, delete "money;"
Correct the title numbers accordingly
With the recommendation that when so amended the bill be re-referred to the Committee on Workforce Development Finance and Policy.
The
report was adopted.
Pursuant to Joint Rule 2.03 and in
accordance with Senate Concurrent Resolution No. 3, H. F. No. 2 was re‑referred
to the Committee on Rules and Legislative Administration.
Olson, L., from the Committee on Ways and Means to which was referred:
H. F. No. 2105, A bill for an act relating to state lands; modifying requirements for conveying easements; adding to state parks and state forest; authorizing sales of certain state lands; amending Minnesota Statutes 2022, section 84.66, subdivision 7.
Reported the same back with the following amendments:
Page 13, after line 6, insert:
"Sec. 21. LAND
TRANSFER; CITY OF DULUTH.
Subdivision 1. Acquisition. (a) Notwithstanding the requirements
or limitations in Minnesota Statutes, section 161.20, or any other law to the
contrary, the commissioner of transportation may acquire, by deed or other
means, the land described in paragraph (c) from the city of Duluth for the fair
market value as determined by an appraisal of the property.
(b) The conveyance must be in a form
approved by the attorney general. The
attorney general may make changes to the land description to correct errors and
ensure accuracy.
(c) The land to be acquired is described
as:
(1) the North 52 feet of Lots 41, 43,
45, and 47 on Glass Street (formerly Fourth Street) in Fond du Lac (part of
parcel number 010-1620-00285); and
(2) those portions of Lots 49 and 51 on
said Glass Street lying North of a straight line extending from a point on the
west line of said Lot 49, distant 52 feet South measured along said west line
from the northwest corner thereof, to a point on the east line of said Lot 51,
distant 38.1 feet South measured along the east line of said Lot 51 from the
northeast corner thereof, all in Fond du Lac (part of parcel number
010-1620-00285).
(d) The interests of the state and the
city of Duluth would best be served if the land was purchased for fair market
value by the commissioner of transportation in satisfaction of a State of
Minnesota General Obligation Bond Financed Declaration under Minnesota
Statutes, section 16A.695, and returned to the Fond du Lac Band of the Lake
Superior Chippewa, also known as the Fond du Lac Band of the Minnesota Chippewa
Tribe, for the Mission Creek Cemetery.
Subd. 2. Reconveyance. (a) Upon acquiring the land described
in subdivision 1, the commissioner of transportation must convey the land
according to this subdivision. Notwithstanding
Minnesota Statutes, section 161.44, or any other law to the contrary, the
commissioner of transportation must convey the land described in subdivision 1
for no consideration to the Fond du Lac Band of the Lake Superior Chippewa,
also known as Fond du Lac Band of the Minnesota Chippewa Tribe, for the public
purpose of the Mission Creek Cemetery.
(b) The conveyance must be in accordance with the state standard conveyance form and may incorporate the use restrictions contained in Term 1, paragraphs (a) and (b), of the current vesting deed."
Page 13, line 8, delete "20" and insert "21"
Renumber the sections in sequence
Amend the title as follows:
Page 1, line 3, after "sales" insert ", purchases, and transfers"
With the recommendation that when so amended the bill be placed on the General Register.
The
report was adopted.
Xiong from the Committee on Workforce Development Finance and Policy to which was referred:
H. F. No. 2233, A bill for an act relating to economic development; Department of Employment and Economic Development policy provisions; amending Minnesota Statutes 2022, sections 116J.552, subdivisions 4, 6; 116L.04, subdivision 1a; 116L.17, subdivision 1; proposing coding for new law in Minnesota Statutes, chapter 116J.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
APPROPRIATIONS
|
Section 1. APPROPRIATIONS. |
(a) The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second
year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
(b) If an appropriation in
this article is enacted more than once in the 2023 regular or special
legislative session, the appropriation must be given effect only once.
|
|
|
|
APPROPRIATIONS
|
|
|
|
|
|
Available
for the Year |
|
|
|
|
|
Ending
June 30 |
|
|
|
|
|
2024
|
2025
|
|
Sec. 2. DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT |
|
|
|
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Business
and Community Development |
|
12,500,000 |
|
12,500,000 |
(a)(1) $5,000,000 each year
is for grants to local communities to increase the number of quality child care
providers to support economic development.
This is a onetime appropriation and is available through June 30, 2025. Fifty percent of grant money must go to
communities located outside the seven-county metropolitan area as defined in
Minnesota Statutes, section 473.121, subdivision 2.
(2) Grant recipients must
obtain a 50 percent nonstate match to grant money in either cash or in-kind
contribution, unless the commissioner waives the requirement. Grant money available under this subdivision
must be used to implement projects to reduce the child care shortage in the
state, including but not limited to funding for child care business start-ups
or expansion, training, facility modifications, direct subsidies or incentives
to retain employees, or improvements required for licensing, and assistance
with licensing and other regulatory requirements. In awarding grants, the commissioner must
give priority to communities that have demonstrated a shortage of child care
providers.
(3) Within one year of
receiving grant money, grant recipients must report to the commissioner on the
outcomes of the grant program, including but not limited to the number of new
providers, the number of additional child care provider jobs created, the number
of additional child care slots, and the amount of cash and in-kind local money
invested. Within one month of all grant
recipients reporting on program outcomes, the commissioner must report the
grant recipients' outcomes to the chairs and ranking members of the legislative
committees with jurisdiction over early learning and child care and economic
development.
(b) $2,500,000 each year is
for a grant to the Minnesota Initiative Foundations. This is a onetime appropriation and is
available until June 30, 2027. The
Minnesota Initiative Foundations must use grant money under this section to:
(1) facilitate planning
processes for rural communities resulting in a community solution action plan
that guides decision making to sustain and increase the supply of quality child
care in the region to support economic development;
(2) engage the private sector
to invest local resources to support the community solution action plan and
ensure quality child care is a vital component of additional regional economic
development planning processes;
(3) provide locally based
training and technical assistance to rural child care business owners
individually or through a learning cohort.
Access to financial and business development assistance must prepare
child care businesses for quality engagement and improvement by stabilizing
operations, leveraging funding from other sources, and fostering business
acumen that allows child care businesses to plan for and afford the cost of
providing quality child care; and
(4) recruit child care
programs to participate in quality rating and improvement measurement programs. The Minnesota Initiative Foundations must
work with local partners to provide low-cost training, professional development
opportunities, and continuing education curricula. The Minnesota Initiative Foundations must
fund, through local partners, an enhanced level of coaching to rural child care
providers to obtain a quality rating through measurement programs.
(c) $5,000,000 each year is
for the community energy transition grant program under Minnesota Statutes,
section 116J.55. This is a onetime
appropriation and is available until expended.
|
Subd. 3. Employment
and Training Programs |
|
102,798,000 |
|
102,698,000 |
|
Appropriations by Fund |
||
|
General |
88,096,000 |
88,696,000 |
|
Workforce Development |
14,702,000 |
14,002,000 |
(a) $500,000 each year from
the general fund and $500,000 each year from the workforce development fund are
for rural career counseling coordinators in the workforce service areas and for
the purposes specified under Minnesota Statutes, section 116L.667.
(b) $750,000 each year is
for the women and high-wage, high‑demand, nontraditional jobs grant
program under Minnesota Statutes, section 116L.99. Of this amount, up to five percent is for administration
and monitoring of the program.
(c) $2,546,000 each year
from the general fund and $4,604,000 each year from the workforce development
fund are for the pathways to prosperity competitive grant program. Of this amount, up to five percent is for
administration and monitoring of the program.
(d) $500,000 each year is from
the workforce development fund for current Minnesota affiliates of OIC of
America, Inc. This appropriation shall
be divided equally among the eligible centers.
(e) $1,000,000 each year is
for competitive grants to organizations providing services to relieve economic
disparities in the Southeast Asian community through workforce recruitment,
development, job creation, assistance of smaller organizations to increase
capacity, and outreach. Of this amount,
up to five percent is for administration and monitoring of the program.
(f) $1,000,000 each year is
for a competitive grant program to provide grants to organizations that provide
support services for individuals, such as job training, employment preparation,
internships, job assistance to parents, financial literacy, academic and
behavioral interventions for low-performing students, and youth intervention. Grants made under this section must focus on
low-income communities, young adults from families with a history of
intergenerational poverty, and communities of color. Of this amount, up to five percent is for
administration and monitoring of the program.
(g) $1,750,000 each year is
for a grant to Propel Nonprofits to provide capacity-building grants and
related technical assistance to small, culturally specific organizations that
primarily serve historically underserved cultural communities. Propel Nonprofits may only award grants to
nonprofit organizations that have an annual organizational budget of less than
$1,000,000. These grants may be used
for:
(1) organizational
infrastructure improvements, including developing database management systems
and financial systems, or other administrative needs that increase the
organization's ability to access new funding sources;
(2) organizational
workforce development, including hiring culturally competent staff, training
and skills development, and other methods of increasing staff capacity; or
(3) creating or expanding
partnerships with existing organizations that have specialized expertise in
order to increase capacity of the grantee organization to improve services to
the community.
Of this amount, up to ten
percent may be used by Propel Nonprofits for administrative costs. This is a onetime appropriation.
(h) $5,230,000 each year
from the general fund and $3,348,000 each year from the workforce development
fund are for the youth‑at-work competitive grant program under Minnesota
Statutes, section 116L.562. Of this
amount, up to five percent is
for administration and monitoring of the youth workforce development competitive grant program. All grant awards shall be for two consecutive years. Grants shall be awarded in the first year. In fiscal year 2026 and beyond, the base amount from the general fund is $750,000.
(i) $1,093,000 each year from the general fund and $1,000,000 each year from the workforce development fund are for the youthbuild program under Minnesota Statutes, sections 116L.361 to 116L.366. In fiscal year 2026 and beyond, the base amount from the general fund is $0.
(j) $4,427,000 each year
from the general fund and $4,050,000 each year from the workforce development
fund are for the Minnesota youth program under Minnesota Statutes, sections
116L.56 and 116L.561. In fiscal year
2026 and beyond, the base amount from the general fund is $0.
(k) $1,000,000 each year is
for a grant to the Minnesota Technology Association to support the SciTech
Internship Program, a program that supports science, technology, engineering,
and math (STEM) internship opportunities for two‑ and four-year college
students and graduate students in their fields of study. The internship opportunities must match
students with paid internships within STEM disciplines at small, for-profit
companies located in Minnesota having fewer than 250 employees worldwide. At least 250 students must be matched each
year. No more than 15 percent of the
hires may be graduate students. Selected
hiring companies shall receive from the grant 50 percent of the wages paid to
the intern, capped at $3,000 per intern.
The program must work toward increasing the participation among women or
other underserved populations. This is a
onetime appropriation.
(l) $7,500,000 each year is
for the Drive for Five Initiative to conduct outreach and provide job skills
training, career counseling, case management, and supportive services for
careers in (1) technology, (2) labor, (3) the caring professions, (4) manufacturing,
and (5) educational and professional services.
These are onetime appropriations.
(m) Of the amounts
appropriated in paragraph (l), the commissioner must make $5,000,000 each year
available through a competitive request for proposal process. The grant awards must be used to provide
education and training in the five industries identified in paragraph (l). Education and training may include:
(1) student tutoring and
testing support services;
(2) training and employment
placement in high wage and high growth employment;
(3) assistance in obtaining
industry-specific certifications;
(4) remedial training
leading to enrollment;
(5) real-time work
experience in information;
(6) career and educational
counseling;
(7) work experience and
internships; and
(8) supportive services.
(n) Of the amount
appropriated in paragraph (l), $1,625,000 each year must be awarded through
competitive grants made to trade associations or chambers of commerce for job
placement services. Grant awards must be
used to encourage workforce training efforts to ensure that efforts are aligned
with employer demands and that graduates are connected with employers that are
hiring. Trade associations or chambers
must partner with employers with current or anticipated employment
opportunities and nonprofit workforce training partners participating in this
program. The trade associations or
chambers must work closely with the industry sector training providers in the
five industries identified in paragraph (l).
Grant awards may be used for:
(1) employer engagement
strategies to align employment opportunities for individuals exiting workforce
development training programs. These
strategies may include business recruitment, job opening development, employee
recruitment, and job matching. Trade
associations must utilize the state's labor exchange system;
(2) diversity, inclusion,
and retention training for members to increase the business understanding of
welcoming and retaining a diverse workforce; and
(3) industry-specific
training.
(o) Of the amount
appropriated in paragraph (l), $875,000 each year is to hire, train, and deploy
business services representatives in local workforce development areas
throughout the state. Business services
representatives must work with an assigned local workforce development area to
address the hiring needs of Minnesota's businesses by connecting job seekers
and program participants in the CareerForce system. Business services representatives serve in
the classified service of the state and operate as part of the agency's
Employment and Training Office. The
commissioner shall develop and implement training materials and reporting and
evaluation procedures for the activities of the business services
representatives. The business services
representatives must:
(1) serve as the primary contact for businesses in that area;
(2) actively engage
employers by assisting with matching employers to job seekers by referring
candidates, convening job fairs, and assisting with job announcements; and
(3) work with the local area
board and the board's partners to identify candidates for openings in small and
midsize companies in the local area.
(p) $30,000,000 each year is
for the targeted population workforce grants under Minnesota Statutes, section
116L.43. The department may use up to
ten percent of this appropriation for administration, monitoring, and oversight
of the program. Of this amount:
(1) $22,000,000 each year is
for job and entrepreneurial skills training grants under Minnesota Statutes,
section 116L.43, subdivision 2;
(2) $2,000,000 each year is for diversity and inclusion training for small employers under Minnesota Statutes, section 116L.43, subdivision 3; and
(3) $6,000,000 each year is
for capacity building grants under Minnesota Statutes, section 116L.43,
subdivision 4.
Beginning in fiscal year
2026, the base amount is $2,500,000.
(q) $1,500,000 each year is
to establish an Office of New Americans.
This is a onetime appropriation.
(r) $400,000 each year is
for a grant to the nonprofit 30,000 Feet to fund youth apprenticeship jobs,
wraparound services, after-school programming, and summer learning loss
prevention targeted at African American youth.
This is a onetime appropriation.
(s) $700,000 each year is
for a grant to Avivo to provide low‑income individuals with career
education and job skills training that is fully integrated with chemical and
mental health services. This is a
onetime appropriation.
(t)(1) $450,000 each year is
for a grant to Better Futures Minnesota to provide job skills training to
individuals who have been released from incarceration for a felony-level
offense and are no more than 12 months from the date of release. This is a onetime appropriation.
(2) Better Futures Minnesota
shall annually report to the commissioner on how the money was spent and what
results were achieved. The report must
include, at a minimum, information and data about the number of participants;
participant homelessness, employment, recidivism, and child support compliance;
and job skills training provided to program participants.
(u) $600,000 each year is for a
grant to East Side Neighborhood Services.
This is a onetime appropriation of which:
(1) $300,000 each year is
for the senior community service employment program, which provides work
readiness training to low-income adults ages 55 and older to provide ongoing
support and mentoring services to the program participants as well as the transition period from subsidized wages to
unsubsidized wages; and
(2) $300,000 each year is
for the nursing assistant plus program to serve the increased need for growth
of medical talent pipelines through expansion of the existing program and
development of in‑house training.
The amounts specified in
clauses (1) and (2) may also be used to enhance employment programming for
youth and young adults, ages 14 to 24, to introduce them to work culture,
develop essential work readiness skills, and make career plans through paid
internship experiences and work readiness training.
(v) $250,000 each year is
for Minnesota Family Resiliency Partnership programs under Minnesota Statutes,
section 116L.96. The commissioner,
through the adult career pathways program, shall distribute the money to
existing nonprofit and state displaced homemaker programs. This is a onetime appropriation.
(w) $550,000 each year is
for a grant to the International Institute of Minnesota for workforce training
for new Americans in industries in need of a trained workforce. This is a onetime appropriation.
(x) $1,500,000 each year is
for a grant to Summit Academy OIC to expand employment placement, GED
preparation and administration, and STEM programming in the Twin Cities, Saint
Cloud, and Bemidji. This is a onetime
appropriation.
(y) $500,000 each year is
for a grant to Big Brothers Big Sisters of the Greater Twin Cities to provide
disadvantaged youth ages 12 to 21 with job-seeking skills, connections to job
training and education opportunities, and mentorship while exploring careers. The grant must serve youth in the Big
Brothers Big Sisters chapters in the Twin Cities, central Minnesota, and
southern Minnesota. This is a onetime
appropriation.
(z) $400,000 each year is
for a grant to the White Bear Center for the Arts for establishing a paid
internship program for high school students to learn professional development
skills through an arts perspective. This
is a onetime appropriation.
(aa) $750,000 each year is
for a grant to Bridges to Healthcare to provide career education, wraparound
support services, and job skills training in high-demand health care fields to
low-income parents, nonnative speakers of English, and other hard-to-train
individuals, and to help
families build secure pathways out of poverty and address worker shortages in
one of Minnesota's most innovative industries.
Money may be used for program expenses, including but not limited to
hiring instructors and navigators; space rental; and supportive services to
help participants attend classes, including assistance with course fees, child
care, transportation, and safe and stable housing. Up to five percent of grant money may be used
for Bridges to Healthcare's administrative costs. This is a onetime appropriation.
(bb) $400,000 each year is
for a grant to Hired to expand their career pathway job training and placement
program that connects lower-skilled job seekers to entry-level and gateway jobs
in high‑growth sectors. This is a
onetime appropriation.
(cc) $1,000,000 each year
is for a grant to the Minnesota Alliance of Boys and Girls Clubs to administer
a statewide project of youth job skills and career development. This project, which may have career guidance
components including health and life skills, must be designed to encourage,
train, and assist youth in early access to education and job-seeking skills;
work-based learning experience, including career pathways in STEM learning,
career exploration, and matching; and first job placement through local
community partnerships and on-site job opportunities. This grant requires a 25 percent match from
nonstate sources. This is a onetime
appropriation.
(dd) $300,000 each year is
for a grant to Southeast Minnesota Workforce Development Area 8 and Workforce
Development, Inc., to provide career planning, career pathway training and
education, wraparound support services, and job skills advancement in high-demand
careers to individuals with barriers to employment in Steele County, and to
help families build secure pathways out of poverty and address worker shortages
in the Owatonna and Steele County area, as well as supporting Employer Outreach
Services that provide solutions to workforce challenges and direct connections
to workforce programming. Money may be
used for program expenses, including but not limited to hiring instructors and
navigators; space rental; and supportive services to help participants attend
classes, including assistance with course fees, child care, transportation, and
safe and stable housing. Up to five
percent of grant money may be used for Workforce Development, Inc.'s
administrative costs. This is a onetime
appropriation and is available until June 30, 2025.
(ee) $1,250,000 each year
is for a grant to Ujamaa Place to assist primarily African American men with
job training, employment preparation, internships, education, vocational
housing, and organizational capacity building.
This is a onetime appropriation.
(ff) $500,000 each year is for
grants to Minnesota Diversified Industries, Inc., to provide inclusive
employment opportunities and services for people with disabilities. This is a onetime appropriation.
(gg) $1,000,000 each year is
for performance grants under Minnesota Statutes, section 116J.8747, to Twin
Cities R!SE to provide training to individuals facing barriers to employment. This is a onetime appropriation and is
available until June 30, 2026.
(hh) $500,000 each year is
for the getting to work grant program under Minnesota Statutes, section
116J.545. Of this amount, up to five
percent is for administration and monitoring of the program. This is a onetime appropriation.
(ii) $400,000 the first year
is for a grant to the ProStart and Hospitality Tourism Management Program for a
well-established, proven, and successful education program that helps young
people advance careers in the hospitality industry and addresses critical
long-term workforce shortages in the tourism industry.
(jj) $1,500,000 each year is
for a grant to Comunidades Latinas Unidas En Servicio-Latino Communities United
in Service (CLUES) to address employment, economic, and technology access
disparities for low-income, unemployed, or underemployed individuals. Money must be used to support short-term
certifications and transferable skills in high-demand fields, workforce
readiness, customized financial capability, and employment supports. At least 50 percent of this amount must be
used for programming targeted at greater Minnesota. This is a onetime appropriation.
(kk) $500,000 each year is for a grant to the American Indian Opportunities and Industrialization Center for workforce development programming, including reducing academic disparities for American Indian students and adults. This is a onetime appropriation.
(ll) $300,000 each year is
for a grant to YMCA of the North to provide career exploration, job training,
and workforce development services for underserved youth and young adults. This is a onetime appropriation.
(mm) $750,000 each year is
for grants to the Minneapolis Park and Recreation Board's Teen Teamworks youth
employment and training programs. This
is a onetime appropriation and is available in either year of the biennium and
is available until spent.
(nn) $700,000 each year is
for grants to support competitive robotics teams that prepare youth for careers
in STEM fields, by creating internships for high school students to work at
private companies in STEM fields, including the payment of student stipends. This is a onetime appropriation.
(oo) $1,000,000 in the first
year and $2,000,000 in the second year are for a clean economy equitable
workforce grant program. Money must be
used for grants to support partnership development, planning, and
implementation of workforce readiness programs aimed at workers who are Black,
Indigenous, and People of Color. Programs
may include workforce training, career development, workers' rights training,
employment placement, and culturally appropriate job readiness and must prepare
workers for careers in the high-demand fields of construction, clean energy,
and energy efficiency. Grants must be
given to nonprofit organizations that serve historically disenfranchised
communities, including new Americans, with preference for organizations that
are new providers of workforce programming or which have partnership agreements
with registered apprenticeship programs.
This is a onetime appropriation.
(pp) $500,000 each year is
for a grant to Emerge Community Development to support and reinforce critical
workforce training at the Emerge Career and Technical Center, Cedar-Riverside
Opportunity Center, and Emerge Second Chance programs in Minneapolis. This is a onetime appropriation.
(qq) $500,000 each year is
for a grant to Project for Pride in Living to provide job training and
workforce development services for underserved communities. This is a onetime appropriation.
(rr) $500,000 each year is
for a grant to Pillsbury United Communities to provide job training and
workforce development services for underserved communities. This is a onetime appropriation.
(ss) $1,000,000 each year
is for a grant to the Redemption Project to provide employment services to
adults leaving incarceration, including recruiting, educating, training, and
retaining employment mentors and partners.
This is a onetime appropriation.
(tt) $350,000 each year is
for a grant to the YWCA of Minneapolis to provide training to eligible
individuals, including job skills training, career counseling, and job
placement assistance necessary to secure a child development associate
credential and to have a career path in early childhood education. This is a onetime appropriation.
(uu) $500,000 each year is
for a grant to Greater Twin Cities United Way to make grants to partner
organizations to provide workforce training using the career pathways model
that helps students gain work experience, earn experience in high-demand fields,
and transition into family-sustaining careers.
This is a onetime appropriation.
(vv) $1,500,000 each year is
for a grant to the nonprofit Sanneh Foundation to fund out-of-school summer
programs focused on mentoring and behavioral, social, and emotional learning
interventions and enrichment activities directed toward low‑income
students of color. This is a onetime
appropriation and is available until spent.
(ww) $3,000,000 each year
is for a grant to Youthprise to provide economic development services designed
to enhance long-term economic self-sufficiency in communities with concentrated
African populations statewide. Of these
amounts, 50 percent is for subgrants to Ka Joog and 50 percent is for
competitive subgrants to community organizations. This is a onetime appropriation.
(xx) $1,000,000 each year
is for performance grants under Minnesota Statutes, section 116J.8747, to
Goodwill-Easter Seals Minnesota and its partners. The grant shall be used to continue the
FATHER Project in Rochester, St. Cloud, St. Paul, Minneapolis, and
the surrounding areas to assist fathers in overcoming barriers that prevent
fathers from supporting their children economically and emotionally, including
with community re-entry following confinement.
This is a onetime appropriation.
(yy) $1,000,000 each year
is for a grant to the Hmong American Partnership to expand job training and
placement programs primarily serving the Southeast Asian community. This is a onetime appropriation.
(zz) $400,000 each year is
for a grant to Project Restore Minnesota for the Social Kitchen project, a
pathway program for careers in the culinary arts. This is a onetime appropriation.
(aaa) $1,000,000 each year
is for competitive grants to organizations providing services to relieve
economic disparities in the African immigrant community through workforce
recruitment, development, job creation, assistance of smaller organizations to
increase capacity, and outreach. Of this
amount, up to five percent is for administration and monitoring of the program. Beginning in fiscal year 2026, the base
amount is $200,000.
(bbb) $500,000 each year is
for a grant to the Hmong Chamber of Commerce to train ethnically Southeast
Asian business owners and operators in better business practices. Of this amount, up to $5,000 may be used for
administrative costs. This is a onetime
appropriation.
(ccc) $250,000 each year is
for a grant to the Center for Economic Inclusion for a strategic intervention
program designed to target and connect program participants to meaningful,
sustainable living-wage employment. This
is a onetime appropriation.
(ddd) $100,000 each year is for
grants to the Minnesota Grocers Association Foundation for Carts to Careers, a
statewide initiative to promote careers, conduct outreach, provide job skills
training, and award scholarships for students pursuing careers in the food
industry. This is a onetime
appropriation.
(eee) $500,000 each year is
for a grant to Minnesota Independence College and Community to provide
employment preparation, job placement, job retention, and service coordination
services to adults with autism and learning differences. This is a onetime appropriation.
(fff) $500,000 each year is
for a grant to Ramsey County to provide job training and workforce development
for underserved communities. Grant money
may be subgranted to Milestone Community Development for the Milestone Tech
program. This is a onetime
appropriation.
(ggg) $500,000 each year is
for a grant to Ramsey County for a technology training pathway program focused
on intergenerational community tech work for residents who are at least 18
years old and no more than 24 years old and who live in a census tract that has
a poverty rate of at least 20 percent as reported in the most recently
completed decennial census published by the United States Bureau of the Census. Grant money may be used for program
administration, training, training stipends, wages, and support services. This is a onetime appropriation.
(hhh) $700,000 in the first
year is from the workforce development fund for a grant to the Southwest
Initiative Foundation for the southwestern Minnesota workforce development
scholarship pilot program. This is a
onetime appropriation and is available until June 30, 2028.
|
Subd. 4. General
Support Services |
|
17,505,000 |
|
7,505,000 |
|
Appropriations by Fund |
||
|
General Fund |
17,450,000 |
7,450,000 |
|
Workforce Development |
55,000 |
55,000 |
(a) $1,269,000 each year is
for transfer to the Minnesota Housing Finance Agency for operating the Olmstead
Compliance Office.
(b) $10,000,000 in the first
year is for the workforce digital transformation projects. This appropriation is available until June 30,
2027.
|
Subd. 5. Vocational
Rehabilitation |
|
42,341,000 |
|
42,341,000 |
|
Appropriations by Fund |
||
|
General |
34,511,000 |
34,511,000 |
|
Workforce Development |
7,830,000 |
7,830,000
|
(a) $14,300,000 each year is
for the state's vocational rehabilitation program under Minnesota Statutes,
chapter 268A.
(b) $11,495,000 each year
from the general fund and $6,830,000 each year from the workforce development
fund are for extended employment services for persons with severe disabilities
under Minnesota Statutes, section 268A.15.
Of the amounts appropriated from the general fund, $4,500,000 each year
is for new rate increases and maintaining prior rate increases to providers of
extended employment services.
(c) $4,805,000 each year is
for grants to programs that provide employment support services to persons with
mental illness under Minnesota Statutes, sections 268A.13 and 268A.14. Beginning in fiscal year 2026, the base
amount is $2,555,000.
(d) $3,911,000 each year is
for grants to centers for independent living under Minnesota Statutes, section
268A.11. Beginning in fiscal year 2026,
the base amount is $3,011,000.
(e) $1,000,000 each year is
from the workforce development fund for grants under Minnesota Statutes,
section 268A.16, for employment services for persons, including transition-age
youth, who are deaf, deafblind, or hard-of-hearing. If the amount in the first year is
insufficient, the amount in the second year is available in the first year.
|
Subd. 6. Services
for the Blind |
|
11,425,000 |
|
11,425,000 |
(a) $500,000 each year is
for senior citizens who are becoming blind.
At least one-half of the money for this purpose must be used to provide
training services for seniors who are becoming blind. Training services must provide independent
living skills to seniors who are becoming blind to allow them to continue to
live independently in their homes.
(b) $2,500,000 each year is
for the employer reasonable accommodation fund.
This is a onetime appropriation.
|
Sec. 3. DEPARTMENT
OF CORRECTIONS |
|
$3,500,000 |
|
$3,500,000 |
(a) $2,250,000 each year is
for contracts 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
incarceration. Funding must be used for
contracts with institutions of higher education and other training providers
and associated re-entry and operational support services provided by the agency. Beginning in fiscal year 2026, the base
amount is $200,000.
(b) $1,250,000 each year is to
expand the use of the existing work release program at the Department of
Corrections to increase the availability of educational programming for
incarcerated individuals who are eligible and approved for work release. Beginning in fiscal year 2026, the base
amount is $100,000.
ARTICLE 2
WORKFORCE DEVELOPMENT
Section 1. [116J.545]
GETTING TO WORK GRANT PROGRAM.
Subdivision 1. Creation. The commissioner of employment and
economic development shall make grants to nonprofit organizations to establish
and operate programs under this section that provide, repair, or maintain motor
vehicles to assist eligible individuals to obtain or maintain employment. All grants shall be for two years.
Subd. 2. Qualified
grantee. A grantee must:
(1) qualify under
section 501(c)(3) of the Internal Revenue Code; and
(2) at the time of
application, offer or have the demonstrated capacity to offer a motor vehicle
program that provides the services required under subdivision 3.
Subd. 3. Program
requirements. (a) A program
must offer one or more of the following services:
(1) provision of new or
used motor vehicles by gift, sale, or lease;
(2) motor vehicle repair
and maintenance services; or
(3) motor vehicle loans.
(b) In addition to the
requirements of paragraph (a), a program must offer one or more of the
following services:
(1) financial literacy
education;
(2) education on
budgeting for vehicle ownership;
(3) car maintenance and
repair instruction;
(4) credit counseling; or
(5) job training related
to motor vehicle maintenance and repair.
Subd. 4. Application. Applications for a grant must be on a
form provided by the commissioner and on a schedule set by the commissioner. Applications must, in addition to any other
information required by the commissioner, include the following:
(1) a detailed
description of all services to be offered;
(2) the area to be
served;
(3) the estimated number
of program participants to be served by the grant; and
(4) a plan for leveraging
resources from partners that may include but are not limited to:
(i) automobile dealers;
(ii) automobile parts
dealers;
(iii) independent local
mechanics and automobile repair facilities;
(iv) banks and credit
unions;
(v) employers;
(vi) employment and
training agencies;
(vii) insurance companies
and agents;
(viii) local workforce
centers; and
(ix) educational institutions,
including vocational institutions and jobs or skills training programs.
Subd. 5. Participant
eligibility. (a) To be
eligible to receive program services, a person must:
(1) have a household
income at or below 200 percent of the federal poverty level;
(2) be at least 18 years
of age;
(3) have a valid driver's
license;
(4) provide the grantee
with proof of motor vehicle insurance; and
(5) demonstrate to the
grantee that a motor vehicle is required by the person to obtain or maintain
employment.
(b) This subdivision does
not preclude a grantee from imposing additional requirements, not inconsistent
with paragraph (a), for the receipt of program services.
Subd. 6. Report
to legislature. By January
15, 2026, and each January 15 in an even-numbered year thereafter, the
commissioner shall submit a report to the chairs of the house of
representatives and senate committees with jurisdiction over workforce and
economic development on program outcomes.
At a minimum, the report must include:
(1) the total number of
program participants;
(2) the number of program
participants who received each of the following:
(i) provision of a motor
vehicle;
(ii) motor vehicle repair
services; and
(iii) motor vehicle
loans;
(3) the number of program
participants who report that they or their children were able to increase their
participation in community activities such as after school programs, other
youth programs, church or civic groups, or library services as a result of
participation in the program; and
(4) an analysis of the impact
of the getting to work grant program on the employment rate and wages of
program participants.
Sec. 2. Minnesota Statutes 2022, section 116J.5492, subdivision 8, is amended to read:
Subd. 8. Meetings. The advisory committee must meet monthly
until the energy transition plan is submitted quarterly and submit an
updated energy transition plan annually to the governor and the legislature. Once submitted, the committee shall
develop a regular meeting schedule as needed. The chair may call additional meetings as
necessary.
Sec. 3. Minnesota Statutes 2022, section 116J.5492, subdivision 10, is amended to read:
Subd. 10. Expiration. This section expires the day after the
Minnesota energy transition plan required under section 116J.5493 is submitted
to the legislature and the governor on June 30, 2027.
Sec. 4. Minnesota Statutes 2022, section 116J.55, subdivision 1, is amended to read:
Subdivision 1. Definitions. For the purposes of this section, "eligible community" means a county, municipality, or tribal government located in Minnesota in which an electric generating plant owned by a public utility, as defined in section 216B.02, that is powered by coal, nuclear energy, or natural gas:
(1) is currently operating
and (i) is scheduled to cease operations or, (ii) whose
cessation of operations has been proposed in an integrated resource plan filed
with the commission under section 216B.2422, or (iii) whose current
operating license expires within 15 years of the effective date of this section;
or
(2) ceased operations or was removed from the local property tax base no earlier than five years before the date an application is made for a grant under this section.
Sec. 5. Minnesota Statutes 2022, section 116J.55, subdivision 5, is amended to read:
Subd. 5. Grant
awards; limitations. (a) The
commissioner must award grants under this section to eligible communities
through a competitive grant process.
(b) (a) A
grant awarded to an eligible community under this section must not exceed $500,000
$1,000,000 in any calendar year. The
commissioner may accept grant applications on an ongoing or rolling basis.
(c) (b) Grants
funded with revenues from the renewable development account established in
section 116C.779 must be awarded to an eligible community located within the
retail electric service territory of the public utility that is subject to
section 116C.779 or to an eligible community in which an electric generating
plant owned by that public utility is located.
Sec. 6. Minnesota Statutes 2022, section 116J.55, subdivision 6, is amended to read:
Subd. 6. Eligible expenditures. (a) Money in the account established in subdivision 3 must be used only to:
(1) award grants to eligible communities under this section; and
(2) reimburse the
department's reasonable costs to administer this section, up to a maximum of
five percent of the appropriation made to the commissioner under this section. The commissioner may transfer part of the
allowable administrative portion of this appropriation to the Environmental
Quality Board to assist communities with regulatory coordination and dedicated
technical assistance on conversion for these communities.
(b) An eligible community awarded a grant under this section may use the grant to plan for or address the economic and social impacts on the eligible community of the electric generating plant's cessation of operations, including but not limited to land use studies, economic planning, researching, planning, and implementing activities, capital costs of public infrastructure necessary for economic development, and impact studies and other planning activities enabling communities to become shovel-ready and support the transition from power plants to other economic activities to minimize the negative impacts of power plant closures on tax revenues and jobs designed to:
(1) assist workers at the plant find new employment, including worker retraining and developing small business start-up skills;
(2) increase the eligible community's property tax base; and
(3) develop alternative economic development strategies to attract new employers to the eligible community.
Sec. 7. [116J.659]
OFFICE OF NEW AMERICANS.
Subdivision 1. Office
established; purpose. (a) The
Office of New Americans is established within the Department of Employment and
Economic Development. The governor must
appoint an assistant commissioner who serves in the unclassified service. The assistant commissioner must hire a
program manager and an office assistant, as well as any staff necessary to
carry out the office's duties under subdivision 2.
(b) The purpose of the
office is to serve immigrants and refugees in Minnesota by:
(1) addressing challenges
that face immigrants and refugees in Minnesota, and creating access in economic
development and workforce programs and services; and
(2) providing interstate
agency coordination, policy reviews, and guidance that assist in creating
access to immigrants and refugees.
Subd. 2. Duties. (a) The office has the duty to:
(1) create and implement
a statewide strategy to support immigrant and refugee integration into
Minnesota communities;
(2) address the state's
workforce needs by connecting employers and job seekers within the immigrant
and refugee community;
(3) identify strategies
to reduce employment barriers, including the creation of alternative pathways
for immigrants and refugees;
(4) support programs and
activities designed to ensure equitable access to the workforce for immigrants
and refugees, including those who are disabled;
(5) support equitable
opportunities for immigrants and refugees to access state government services
and grants;
(6) work with state
agencies and community and foundation partners to undertake studies and
research and analyze economic and demographic trends to better understand and
serve the state's immigrant and refugee communities;
(7) coordinate and
establish best practices for language access initiatives to all state agencies;
(8) convene stakeholders
and provide assistance and recommendations to the governor on issues impacting
immigrants and refugees;
(9) make policy recommendations
to the governor on issues impacting immigrants and refugees;
(10) develop systems of
communication and collaboration with local offices and service providers to
ensure that immigrants and refugees can access support available to them to
address multisectoral barriers to success, including in the areas of employment,
housing, legal services, health care, and education;
(11) collaborate with
existing immigrant and refugee inclusion positions and offices at the city and
county level statewide;
(12) encourage and
support the creation of new immigrant and refugee inclusion positions and
offices at the city and county level statewide;
(13) serve as the point
of contact for immigrants and refugees accessing resources both within the
department and with boards charged with oversight of a profession;
(14) promulgate rules
necessary to implement and effectuate this section;
(15) provide an annual
report, as required by subdivision 3; and
(16) perform any other
activities consistent with the office's purpose.
Subd. 3. Reporting. (a) Beginning January 15, 2024, and
each year thereafter, the Office of New Americans shall report to the
legislative committees with jurisdiction over the office's activities during
the previous year.
(b) The report shall contain,
at a minimum:
(1) a summary of the
office's activities;
(2) suggested policies,
incentives, and legislation designed to accelerate the achievement of the
duties under subdivision 2;
(3) any proposed
legislative and policy initiatives;
(4) the amount and types
of grants awarded under subdivision 6; and
(5) any other
information deemed necessary and requested by the legislative committees with
jurisdiction over the office.
(c) The report may be
submitted electronically and is subject to section 3.195, subdivision 1.
Subd. 4. Interdepartmental
Coordinating Council on Immigrant and Refugee Affairs. (a) An interdepartmental Coordinating
Council on Immigrant and Refugee Affairs is established to advise the Office of
New Americans.
(b) The purpose of the
council is to identify and establish ways in which state departments and
agencies can work together to deliver state programs and services effectively
and efficiently to Minnesota's immigrant and refugee populations. The council shall implement policies,
procedures, and programs requested by the governor through the state
departments and offices.
(c) The council shall be
chaired by the assistant commissioner of the Office of New Americans and shall
be comprised of the commissioners, department directors, or senior leadership
designees, from the following state departments and offices:
(1) the governor's
office;
(2) the Department of
Administration;
(3) the Department of
Employment and Economic Development;
(4) the Department of
Human Services;
(5) the Department of
Human Services Resettlement Program Office;
(6) the Department of
Labor and Industry;
(7) the Department of
Health;
(8) the Department of
Education;
(9) the Office of Higher
Education;
(10) the Department of Public Safety;
(11) the Department of
Corrections;
(12) the Council for
Minnesotans of African Heritage;
(13) the Minnesota
Council on Latino Affairs; and
(14) the Council on Asian
Pacific Minnesotans.
(d) Each department or
office serving as a member of the council shall designate one staff member as
an immigrant and refugee services liaison.
The liaisons' responsibilities shall include:
(1) preparation and
dissemination of information and services available to immigrants and refugees;
and
(2) interfacing with the
Office of New Americans on issues that impact immigrants and refugees and their
communities.
Subd. 5. No
right of action. Nothing in
this section shall be construed to create any right or benefit, substantive or
procedural, enforceable at law or in equity by any party against the state; its
departments, agencies, or entities; its officers, employees, or agents; or any
other person.
Subd. 6. Grants. The office may apply for grants for
interested state agencies, community partners, and stakeholders under this
section to carry out the duties under subdivision 2. In awarding grants, the commissioner must
allocate grants as evenly as practicable among interested parties.
Sec. 8. Minnesota Statutes 2022, section 116L.361, subdivision 7, is amended to read:
Subd. 7. Very
Low income. "Very Low
income" means incomes that are at or less than 50 80 percent
of the area median income, adjusted for family size, as estimated by the
Department of Housing and Urban Development.
Sec. 9. Minnesota Statutes 2022, section 116L.362, subdivision 1, is amended to read:
Subdivision 1. Generally. (a) The commissioner shall make grants to eligible organizations for programs to provide education and training services to targeted youth. The purpose of these programs is to provide specialized training and work experience for targeted youth who have not been served effectively by the current educational system. The programs are to include a work experience component with work projects that result in the rehabilitation, improvement, or construction of (1) residential units for the homeless; (2) improvements to the energy efficiency and environmental health of residential units and other green jobs purposes; (3) facilities to support community garden projects; or (4) education, social service, or health facilities which are owned by a public agency or a private nonprofit organization.
(b) Eligible facilities must
principally provide services to homeless or very low income individuals
and families, and include the following:
(1) Head Start or day care centers, including playhouses or similar incidental structures;
(2) homeless, battered women, or other shelters;
(3) transitional housing and tiny houses;
(4) youth or senior citizen centers;
(5) community health centers; and
(6) community garden facilities.
Two or more eligible organizations may jointly apply for a grant. The commissioner shall administer the grant program.
Sec. 10. Minnesota Statutes 2022, section 116L.364, subdivision 3, is amended to read:
Subd. 3. Work
experience component. A work
experience component must be included in each program. The work experience component must provide
vocational skills training in an industry where there is a viable expectation
of job opportunities. A training
subsidy, living allowance, or stipend, not to exceed an amount equal to 100
percent of the poverty line for a family of two as defined in United States
Code, title 42, section 673, paragraph (2) the final rules and
regulations of the Workforce Innovation and Opportunity Act, may be
provided to program participants. The
wage or stipend must be provided to participants who are recipients of public
assistance in a manner or amount which will not reduce public assistance
benefits. The work experience component
must be designed so that work projects result in (1) the expansion or
improvement of residential units for homeless persons and very low
income families; (2) improvements to the energy efficiency and environmental
health of residential units; (3) facilities to support community garden
projects; or (4) rehabilitation, improvement, or construction of eligible
education, social service, or health facilities that principally serve homeless
or very low income individuals and families. Any work project must include direct
supervision by individuals skilled in each specific vocation. Program participants may earn credits toward
the completion of their secondary education from their participation in the
work experience component.
Sec. 11. Minnesota Statutes 2022, section 116L.365, subdivision 1, is amended to read:
Subdivision 1. Priority for housing. Any residential or transitional housing units that become available through a work project that is part of the program described in section 116L.364 must be allocated in the following order:
(1) homeless targeted youth who have participated in constructing, rehabilitating, or improving the unit;
(2) homeless families with at least one dependent;
(3) other homeless individuals;
(4) other very low
income families and individuals; and
(5) families or individuals that receive public assistance and that do not qualify in any other priority group.
Sec. 12. [116L.43]
TARGETED POPULATIONS WORKFORCE GRANTS.
Subdivision 1. Definitions. (a) For the purposes of this section, the following terms have the meanings given.
(b) "Community-based
organization" means a nonprofit organization that:
(1) provides workforce
development programming or services;
(2) has an annual
organizational budget of no more than $1,000,000;
(3) has its primary office located in a historically underserved
community of color or low-income community; and
(4) serves a population
that generally reflects the demographics of that local community.
(c) "Entry level
jobs" means part-time or full-time jobs that an individual can perform
without any prior education or experience.
(d) "High wage" means the income needed for a family to cover minimum necessary expenses in a given geographic area, including food, child care, health care, housing, and transportation.
(e) "Industry
specific certification" means a credential an individual can earn to show
proficiency in a particular area or skill.
(f) "Remedial
training" means additional training provided to staff following the
identification of a need and intended to increase proficiency in performing job
tasks.
(g) "Small
business" has the same meaning as section 645.445.
Subd. 2. Job
and entrepreneurial skills training grants.
(a) The commissioner shall establish a job and entrepreneurial
skills training grant program that must provide competitive funding to
community-based organizations to provide skills training that leads to
employment or business development in high-growth industries.
(b) Eligible forms of
skills training include:
(1) student tutoring and
testing support services;
(2) training and
employment placement in high-wage and high-growth employment;
(3) assistance in
obtaining industry specific certifications;
(4) remedial training
leading to enrollment in further training or education;
(5) real-time work
experience or on-the-job training;
(6) career and
educational counseling;
(7) work experience and
internships;
(8) supportive services;
(9) tuition
reimbursement for new entrants into public sector careers;
(10) career mentorship;
(11) postprogram case
management services;
(12) job placement
services; and
(13) the cost of
corporate board of director training for people of color.
(c) Grant awards must
not exceed $750,000 per year per organization and all funding awards must be
made for the duration of a biennium. An
organization may partner with another organization to utilize grant awards,
provided that the organizations must not be funded to deliver the same services. Grants awarded under this subdivision are not
subject to section 116L.98.
Subd. 3. Diversity
and inclusion training for small employers.
(a) The commissioner shall establish a diversity and inclusion
training grant program which shall provide competitive grants to small
businesses for diversity and inclusion training, including the creation and
implementation of a plan to actively engage, hire, and retain people of color
for both entry level and high-wage opportunities, including management and
board of director positions.
(b) Grant awards must
not exceed $300,000 per year per business.
A business may only receive one grant for diversity and inclusion
training per biennium.
(c) Applicants are
required to submit a plan for use of the funds.
Grant recipients are required to submit a diversity and inclusion
implementation plan after training is completed.
(d) Grants awarded under
this subdivision are not subject to section 116L.98.
(e) Sections 116J.993 to
116J.995 do not apply to assistance under this subdivision.
Subd. 4. Capacity
building. (a) The commissioner
shall establish a capacity building grant program to provide training services
and funding for capacity building to community-based organizations.
(b) Eligible uses of
grant awards include covering the cost of workforce program delivery staff,
program infrastructure costs, and workforce training related service model
development.
(c) Grant awards must
not exceed $50,000 per organization and are limited to one grant per
community-based organization.
(d) Grants awarded under this subdivision are not subject to section 116L.98.
(e) Grant recipients
must submit a report to the commissioner outlining the use of grant funds and
the impact of that funding on the community-based organization's future ability
to provide workforce development services.
Sec. 13. Minnesota Statutes 2022, section 116L.56, subdivision 2, is amended to read:
Subd. 2. Eligible
applicant. "Eligible
applicant" means an individual who is between the ages of 14 and 21
24 and economically disadvantaged.
An at-risk youth who is classified as a family of one is deemed economically disadvantaged. For purposes of eligibility determination the following individuals are considered at risk:
(1) a pregnant or parenting youth;
(2) a youth with limited English proficiency;
(3) a potential or actual school dropout;
(4) a youth in an offender or diversion program;
(5) a public assistance recipient or a recipient of group home services;
(6) a youth with disabilities including learning disabilities;
(7) a child of drug or alcohol abusers or a youth with substance use disorder;
(8) a homeless or runaway youth;
(9) a youth with basic skills deficiency;
(10) a youth with an educational attainment of one or more levels below grade level appropriate to age; or
(11) a foster child.
Sec. 14. Minnesota Statutes 2022, section 116L.561, subdivision 5, is amended to read:
Subd. 5. Allocation
formula. Seventy percent of
Minnesota youth program funds must be allocated based on the county's share of
economically disadvantaged youth. The
remaining 30 percent must be allocated based on the county's share of
population ages 14 to 21 24.
Sec. 15. Minnesota Statutes 2022, section 116L.562, subdivision 2, is amended to read:
Subd. 2. Definitions. For purposes of this section:
(1) "eligible organization" or "eligible applicant" means a local government unit, nonprofit organization, community action agency, or a public school district;
(2) "at-risk youth" means youth classified as at-risk under section 116L.56, subdivision 2; and
(3) "economically
disadvantaged" means youth who are economically disadvantaged as defined
in United States Code, title 29, section 1503 the rules and
regulations of the Workforce Innovation and Opportunity Act.
Sec. 16. Minnesota Statutes 2022, section 268.035, subdivision 20, is amended to read:
Subd. 20. Noncovered employment. "Noncovered employment" means:
(1) employment for the United States government or an instrumentality thereof, including military service;
(2) employment for a state, other than Minnesota, or a political subdivision or instrumentality thereof;
(3) employment for a foreign government;
(4) employment covered under the federal Railroad Unemployment Insurance Act;
(5) employment for a church or convention or association of churches, or a nonprofit organization operated primarily for religious purposes that is operated, supervised, controlled, or principally supported by a church or convention or association of churches;
(6) employment for an elementary or secondary school with a curriculum that includes religious education that is operated by a church, a convention or association of churches, or a nonprofit organization that is operated, supervised, controlled, or principally supported by a church or convention or association of churches;
(7) employment for Minnesota or a political subdivision, or a nonprofit organization, of a duly ordained or licensed minister of a church in the exercise of a ministry or by a member of a religious order in the exercise of duties required by the order;
(8) employment for Minnesota or a political subdivision, or a nonprofit organization, of an individual receiving rehabilitation of "sheltered" work in a facility conducted for the purpose of carrying out a program of rehabilitation for individuals whose earning capacity is impaired by age or physical or mental deficiency or injury or a program providing "sheltered" work for individuals who because of an impaired physical or mental capacity cannot be readily absorbed in the competitive labor market. This clause applies only to services performed in a facility certified by the Rehabilitation Services Branch of the department or in a day training or habilitation program licensed by the Department of Human Services;
(9) employment for Minnesota or a political subdivision, or a nonprofit organization, of an individual receiving work relief or work training as part of an unemployment work relief or work training program financed in whole or in part by any federal agency or an agency of a state or political subdivision thereof. This clause does not apply to programs that require unemployment benefit coverage for the participants;
(10) employment for Minnesota or a political subdivision, as an elected official, a member of a legislative body, or a member of the judiciary;
(11) employment as a member of the Minnesota National Guard or Air National Guard;
(12) employment for Minnesota or a political subdivision, or instrumentality thereof, of an individual serving on a temporary basis in case of fire, flood, tornado, or similar emergency;
(13) employment as an election official or election worker for Minnesota or a political subdivision, if the compensation for that employment was less than $1,000 in a calendar year;
(14) employment for Minnesota that is a major policy-making or advisory position in the unclassified service;
(15) employment for Minnesota in an unclassified position established under section 43A.08, subdivision 1a;
(16) employment for a political subdivision of Minnesota that is a nontenured major policy making or advisory position;
(17) domestic employment in a private household, local college club, or local chapter of a college fraternity or sorority, if the wages paid in any calendar quarter in either the current or prior calendar year to all individuals in domestic employment totaled less than $1,000.
"Domestic employment" includes all service in the operation and maintenance of a private household, for a local college club, or local chapter of a college fraternity or sorority as distinguished from service as an employee in the pursuit of an employer's trade or business;
(18) employment of an individual by a son, daughter, or spouse, and employment of a child under the age of 18 by the child's father or mother;
(19) employment of an inmate of a custodial or penal institution;
(20) employment for a school, college, or university, by a student who is enrolled and whose primary relation to the school, college, or university is as a student. This does not include an individual whose primary relation to the school, college, or university is as an employee who also takes courses;
(21) employment of an individual who is enrolled as a student in a full-time program at a nonprofit or public educational institution that maintains a regular faculty and curriculum and has a regularly organized body of students in attendance at the place where its educational activities are carried on, taken for credit at the institution, that combines academic instruction with work experience, if the employment is an integral part of the program, and the institution has so certified to the employer, except that this clause does not apply to employment in a program established for or on behalf of an employer or group of employers;
(22) employment of a foreign college or university student who works on a seasonal or temporary basis under the J-1 visa summer work travel program described in Code of Federal Regulations, title 22, section 62.32;
(23) employment of university, college, or professional school students in an internship or other training program with the city of St. Paul or the city of Minneapolis under Laws 1990, chapter 570, article 6, section 3;
(24) employment for a hospital by a patient of the hospital. "Hospital" means an institution that has been licensed by the Department of Health as a hospital;
(25) employment as a student nurse for a hospital or a nurses' training school by an individual who is enrolled and is regularly attending classes in an accredited nurses' training school;
(26) employment as an intern for a hospital by an individual who has completed a four-year course in an accredited medical school;
(27) employment as an insurance salesperson, by other than a corporate officer, if all the wages from the employment is solely by way of commission. The word "insurance" includes an annuity and an optional annuity;
(28) employment as an officer of a township mutual insurance company or farmer's mutual insurance company under chapter 67A;
(29) employment of a corporate officer, if the officer directly or indirectly, including through a subsidiary or holding company, owns 25 percent or more of the employer corporation, and employment of a member of a limited liability company, if the member directly or indirectly, including through a subsidiary or holding company, owns 25 percent or more of the employer limited liability company;
(30) employment as a real estate salesperson, other than a corporate officer, if all the wages from the employment is solely by way of commission;
(31) employment as a direct seller as defined in United States Code, title 26, section 3508;
(32) employment of an individual under the age of 18 in the delivery or distribution of newspapers or shopping news, not including delivery or distribution to any point for subsequent delivery or distribution;
(33) casual employment performed for an individual, other than domestic employment under clause (17), that does not promote or advance that employer's trade or business;
(34) employment in
"agricultural employment" unless it is "covered agricultural
employment" under subdivision 11; or
(35) if employment during
one-half or more of any pay period was covered employment, all the employment
for the pay period is covered employment; but if during more than one-half of
any pay period the employment was noncovered employment, then all of the
employment for the pay period is noncovered employment. "Pay period" means a period of not
more than a calendar month for which a payment or compensation is ordinarily
made to the employee by the employer.; or
(36) employment of a
foreign agricultural worker who works on a seasonal or temporary basis under
the H-2A visa temporary agricultural employment program described in Code of
Federal Regulations, title 20, section 655.
Sec. 17. Minnesota Statutes 2022, section 268A.15, is amended by adding a subdivision to read:
Subd. 8a. Provider
rate increases. (a) Effective
July 1, 2023, subject to the availability of additional funding, an annual
growth factor adjustment of no less than a three percent increase for providers
of extended employment services for persons with severe disabilities shall be
authorized. If there is sufficient
funding appropriated, the commissioner shall increase reimbursement rates by
the percentage of this adjustment.
(b) The commissioner of
management and budget must include an annual inflationary adjustment in
reimbursement rates for providers of extended employment services for persons
with severe disabilities as a budget change request in each biennial detailed
expenditure budget submitted to the legislature under section 16A.11.
Sec. 18. Minnesota Statutes 2022, section 469.40, subdivision 11, is amended to read:
Subd. 11. Public infrastructure project. (a) "Public infrastructure project" means a project financed in part or in whole with public money in order to support the medical business entity's development plans, as identified in the DMCC development plan. A public infrastructure project may:
(1) acquire real property and other assets associated with the real property;
(2) demolish, repair, or rehabilitate buildings;
(3) remediate land and buildings as required to prepare the property for acquisition or development;
(4) install, construct, or
reconstruct elements of public infrastructure required to support the overall
development of the destination medical center development district including,
but not limited to,: streets,
roadways, utilities systems and related facilities,; utility
relocations and replacements,; network and communication systems,;
streetscape improvements,; drainage systems,; sewer
and water systems,; subgrade structures and associated
improvements,; landscaping,; facade construction
and restoration,; design and predesign, including architectural,
engineering, and similar services; legal, regulatory, and other compliance
services; construction costs, including all materials
and supplies; wayfinding and
signage,; community engagement; transit costs incurred on or after
March 16, 2020; and other components of community infrastructure;
(5) acquire, construct or reconstruct, and equip parking facilities and other facilities to encourage intermodal transportation and public transit;
(6) install, construct or reconstruct, furnish, and equip parks, cultural, and recreational facilities, facilities to promote tourism and hospitality, conferencing and conventions, and broadcast and related multimedia infrastructure;
(7) make related site improvements including, without limitation, excavation, earth retention, soil stabilization and correction, and site improvements to support the destination medical center development district;
(8) prepare land for private development and to sell or lease land;
(9) provide costs of relocation benefits to occupants of acquired properties; and
(10) construct and equip all or a portion of one or more suitable structures on land owned by the city for sale or lease to private development; provided, however, that the portion of any structure directly financed by the city as a public infrastructure project must not be sold or leased to a medical business entity.
(b) A public infrastructure project is not a business subsidy under section 116J.993.
(c) Public infrastructure project includes the planning, preparation, and modification of the development plan under section 469.43. The cost of that planning, preparation, and any modification is a capital cost of the public infrastructure project.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 19. Minnesota Statutes 2022, section 469.47, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) For purposes of this section, the following terms have the meanings given them.
(b) "Commissioner" means the commissioner of employment and economic development.
(c) "Construction projects" means:
(1) for expenditures by a medical business entity, construction of buildings in the city for which the building permit was issued after June 30, 2013; and
(2) for any other expenditures, construction of privately owned buildings and other improvements that are undertaken pursuant to or as part of the development plan and are located within a medical center development district.
(d) "Expenditures"
means expenditures made by a medical business entity or by an individual or
private entity on construction projects for the capital cost of the project
including, but not limited to:
(1) design and predesign, including architectural, engineering, and similar services;
(2) legal, regulatory, and other compliance costs of the project;
(3) land acquisition, demolition of existing improvements, and other site preparation costs;
(4) construction costs, including all materials and supplies of the project; and
(5) equipment and furnishings that are attached to or become part of the real property.
Expenditures excludes supplies and other items with a useful life of less than a year that are not used or consumed in constructing improvements to real property or are otherwise chargeable to capital costs.
(e) "Qualified expenditures for the year" means the total certified expenditures since June 30, 2013, through the end of the preceding year, minus $200,000,000.
(f) "Transit
costs" means the portions of a public infrastructure project that are for
public transit intended primarily to serve the district, such as including
but not limited to buses and other means of transit, transit stations,
equipment, bus charging stations or bus charging equipment,
rights-of-way, and similar costs permitted under section 469.40,
subdivision 11. This provision includes
transit costs incurred on or after March 16, 2020.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 20. Minnesota Statutes 2022, section 469.47, subdivision 5, is amended to read:
Subd. 5. State transit aid. (a) The city qualifies for state transit aid under this section if the county contributes the required local matching contribution under subdivision 6 or the city or county has agreed to make an equivalent contribution out of other funds for the year.
(b) If the city qualifies
for aid under paragraph (a), the commissioner must pay the city the state
transit aid in the amount calculated under this paragraph. The amount of the state transit aid for a
year equals the qualified expenditures for the year, as certified by the
commissioner, multiplied by 0.75 percent, reduced by subject to
the amount of the required local contribution under subdivision 6. City or county contributions that are in
excess of this ratio carry forward and are credited toward subsequent years. The maximum amount of state transit aid
payable in any year is limited to no more than $7,500,000. If the commissioner determines that the city
or county has not made the full required matching local contribution for the
year, the commissioner must pay state transit aid only in proportion
to the amount of for the matching contribution made for the year
and any unpaid amount is a carryover aid.
The carryover aid must be paid in the first year after the required
matching contribution for that prior year is made and in which the aid
entitlement for the current year is less than the maximum annual limit, but
only to the extent the carryover, when added to the current year aid, is less
than the maximum annual limit.
(c) The commissioner, in consultation with the commissioner of management and budget, and representatives of the city and the corporation, must establish a total limit on the amount of state aid payable under this subdivision that will be adequate to finance, in combination with the local contribution, $116,000,000 of transit costs.
(d) The city must use state transit aid it receives under this subdivision for transit costs. The city must maintain appropriate records to document the use of the funds under this requirement.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 21. MINNESOTA
EMPLOYER REASONABLE ACCOMMODATION FUND.
Subdivision 1. Definitions. (a) For the purposes of this section,
the terms defined in this subdivision have the meanings given.
(b) "Applicant"
means any person, whether employed or unemployed, seeking or entering into any
arrangement for employment or change of employment with an eligible employer.
(c)
"Commissioner" means the commissioner of employment and economic
development.
(d) "Eligible
employer" means an employer domiciled within the legal boundaries of
Minnesota and having its principal place of business as identified in its
certificate of incorporation in the state of Minnesota who:
(1) employs not more than
500 employees on any business day during the preceding calendar year; and
(2) generates $5,000,000
or less in gross annual revenue.
(e) "Employee"
has the meaning given in Minnesota Statutes, section 363A.03, subdivision 15.
(f) "Individual with
a disability" has the meaning given to "qualified disabled
person" in Minnesota Statutes, section 363A.03, subdivision 36.
(g) "Reasonable
accommodation" has the meaning given in Minnesota Statutes, section
363A.08, subdivision 6.
Subd. 2. Reimbursement
grant program established. The
commissioner shall establish a reasonable accommodation reimbursement grant
program that reimburses eligible employers for the cost of expenses incurred in
providing reasonable accommodations for individuals with a disability who are
either applicants or employees of the eligible employer.
Subd. 3. Application. (a) The commissioner must develop forms and procedures for soliciting and reviewing applications for reimbursement under this section.
(b) The program shall
award reimbursements to eligible employers to the extent that funds are
available in the account established under subdivision 5 for this purpose.
(c) Applications shall be
processed on a first-received, first-processed basis within each fiscal year
until funding is exhausted. Applications
received after funding has been exhausted in a fiscal year are not eligible for
reimbursement.
(d) Documentation for
reimbursement shall be provided by eligible employers in a form approved by the
commissioner.
Subd. 4. Reimbursement
awards. The maximum total
reimbursement per eligible employer in a fiscal year is $30,000 and:
(1) submissions for
onetime reasonable accommodation expenses must be no less than $250 and no more
than $15,000 per individual with a disability; and
(2) submissions for
ongoing reasonable accommodation expenses have no minimum or maximum
requirements.
Subd. 5. Employer
reasonable accommodation fund account established. The employer reasonable accommodation
fund account is created as an account in the special revenue fund. Money in the account is appropriated to the
commissioner for the purposes of reimbursing eligible employers under this
section.
Subd. 6. Technical
assistance and consultation. The
commissioner may provide technical assistance regarding requests for reasonable
accommodations.
Subd. 7. Administration
and marketing costs. The
commissioner may use up to 20 percent of the biennial appropriation for
administration and marketing of this section.
Subd. 8. Notification. By September 1, 2023, or within 60 days following final enactment, whichever is later, and each year thereafter by June 30, the commissioner shall make publicly available information regarding the availability of funds for reasonable accommodation reimbursement and the procedure for requesting reimbursement under this section.
Subd. 9. Reports
to the legislature. By
January 15, 2024, and each January 15 thereafter until expiration, the
commissioner must submit a report to the chairs and ranking minority members of
the house of representatives and the senate committees with jurisdiction over
workforce development that details the use of grant funds. This report must include data on the number
of employer reimbursements the program made in the preceding calendar year. The report must include:
(1) the number and type
of accommodations requested;
(2) the cost of
accommodations requested;
(3) the employers from
which the requests were made;
(4) the number and type
of accommodations that were denied and why;
(5) any remaining balance
left in the account; and
(6) if the account was
depleted, the date on which funds were exhausted and the number, type, and cost
of accommodations that were not reimbursed to employers.
Subd. 10. Expiration. This section expires June 30, 2025, or
when money appropriated for its purpose expires, whichever is later.
Sec. 22. ENGAGEMENT
TO ADDRESS BARRIERS TO EMPLOYMENT.
The commissioner of
employment and economic development shall engage stakeholders to identify
barriers that adults with mental illness face in obtaining and retaining
employment and recommend strategies to address those barriers. The commissioner shall solicit feedback from
advocacy organizations for people with mental illness, mental health providers,
people with mental illness, organizations that support people with mental
illness in obtaining employment, and employers.
The commissioner shall submit a plan to the legislative committees with
jurisdiction over employment and human services before February 1, 2024,
identifying the barriers to employment and making recommendations on how to
best improve the employment rate among people with mental illness.
Sec. 23. SOUTHWESTERN
MINNESOTA WORKFORCE DEVELOPMENT SCHOLARSHIP PILOT PROGRAM.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Southwest
Initiative Foundation" or "foundation" means a nonprofit
organization that provides services to the following counties in southwest
Minnesota: Big Stone, Chippewa,
Cottonwood, Jackson, Kandiyohi, Lac qui Parle, Lincoln, Lyon, McLeod, Meeker,
Murray, Nobles, Pipestone, Redwood, Renville, Rock, Swift, and Yellow Medicine,
and the Lower Sioux Indian Community and Upper Sioux Community.
(d)
"Employer-sponsored applicant" means a student applicant with a local
employer scholarship equal to or greater than 25 percent of the workforce
development scholarship.
(e) "Eligible
student" means a student applicant who:
(1) is eligible for
resident or nonresident tuition;
(2) is enrolling in an eligible program as determined by the regional workforce development board; and
(3) is enrolling at
least half-time at a Minnesota West college listed in subdivision 4.
(f) "Local
employer" means an employer with a physical location in a county within
the service area of the foundation listed in paragraph (c).
Subd. 2. Program
established. The commissioner
shall establish a southwestern Minnesota workforce development scholarship
pilot program administered by the foundation to assist in meeting the workforce
challenges in southwest Minnesota and enhance long-term economic
self-sufficiency by connecting students, higher education facilities,
employers, and communities.
Subd. 3. Grant
to the Southwest Initiative Foundation.
The commissioner shall award all grant funds to the foundation,
which shall administer the southwestern Minnesota workforce development
scholarship pilot program. The
foundation may use up to seven percent of grant funds for administrative costs.
Subd. 4. Scholarship
awards. (a) The foundation
shall coordinate available funds and award scholarships to the following
Minnesota West colleges:
(1) Canby;
(2) Granite Falls;
(3) Pipestone;
(4) Worthington;
(5) Jackson;
(6) Luverne; and
(7) Marshall.
(b) Scholarships shall be
coordinated by the individual colleges listed in paragraph (a) and applied only
after all other available grant funding through a last-dollar-in model.
(c) In awarding grants,
priority shall first be given to applicants that are program-continuing
applicants. Priority shall then be given
to employer-sponsored applicants.
(d) Scholarships are
intended to supplement all other grant opportunities and to cover the full cost
of attendance to the eligible students.
Subd. 5. Program
eligibility. Scholarships
shall be awarded to eligible students who are enrolled in or enrolling in a
high-demand occupation associate degree, diploma, or certificate or
industry-recognized credential program as defined annually by the applicable
regional workforce development board. Students
must complete the Free Application for Federal Student Aid if applicable to the
program to which they are applying.
Subd. 6. Renewal;
cap. A student who has been
awarded a scholarship may apply in subsequent academic years, but total
lifetime awards are not to exceed two full scholarships per student. Students may only be awarded a second
scholarship upon successful completion of the program and subsequent work
period requirement.
Subd. 7. Administration. (a) The foundation and Minnesota West
colleges shall establish an application process and other guidelines for
implementing the pilot program.
(b) Each college shall
receive from their respective workforce development board by December 1 of each
year, commencing in 2023, a list of eligible programs administered by the
college that are eligible for subsequent year scholarships. The applicable workforce development board
must consider data based on a workforce shortage for full-time employment
requiring postsecondary education that is unique to the specific region, as
reported in the most recent Department of Employment and Economic Development
job vacancy survey data for the economic development region in which the
college is located. A workforce shortage
area is one in which the job vacancy rate for full-time employment in a
specific occupation in a region is higher than the state average vacancy rate
for that same occupation.
Subd. 8. Scholarship
recipient requirements. (a) A
recipient of a scholarship awarded under the program established in this
section shall:
(1) be enrolled in a
high-demand occupation associate degree, diploma, or certificate or
industry-recognized credential program as defined by the regional workforce
development board and offered by a Minnesota West college;
(2) adhere to any
applicable participating local employer program requirements;
(3) commit to three years of
full-time employment with:
(i) a sponsoring local
employer; or
(ii) any qualified local
employer within the high-demand occupations as defined by the regional
workforce development board; and
(4) fulfill the
three-year full-time employment commitment in a county within the service area
of the foundation as listed in subdivision 1, paragraph (c).
(b) If a recipient of a
scholarship fails to fulfill the requirements of paragraph (a), the foundation
may convert the scholarship to a loan. Amounts
repaid from a loan shall be used to fund scholarship awards under this section.
Subd. 9. Employer
partnerships. The foundation
and Minnesota West colleges shall establish partnerships with qualified local
employers and work to ensure that a percentage of the state funds appropriated
to each college for the southwestern Minnesota workforce development
scholarship program are equally matched with employer funds.
Subd. 10. Report
required. The foundation must
submit an annual report by December 31 of each year regarding the scholarship
program to the chairs and ranking minority members of the legislative
committees with jurisdiction over employment and economic development policy. The first report is due no later than
December 31, 2023. The annual report
shall include:
(1) the number of students receiving a scholarship at each participating
college during the previous calendar year;
(2) the number of
scholarships awarded for each program and type of program during the previous
calendar year;
(3) the number of
scholarship recipients who completed a program of study or certification;
(4) the number of
scholarship recipients who secured employment by their graduation date and
those who secured employment within three months of their graduation date;
(5) a list of the
colleges that received funding, the amount of funding each institution
received, and whether all withheld funds were distributed;
(6) a list of
occupations scholarship recipients are entering;
(7) the number of
students who were denied a scholarship;
(8) a list of
participating local employers and amounts of any applicable employer
contributions; and
(9) a list of
recommendations to the legislature regarding potential program improvements.
Sec. 24. UNEMPLOYMENT
INSURANCE FINE REDUCTION AND INTEREST ELIMINATION.
By January 1, 2024, the commissioner of employment and economic development must make recommendations to the legislative committees with jurisdiction over workforce development for how the unemployment insurance system will reduce the fines and interest applied to misrepresentation overpayments. The commissioner must provide a timeline for implementing a reduction of the 40 percent fine to 15 percent and an elimination of the 12 percent interest rate."
Renumber the sections in sequence and correct the internal references
Delete the title and insert:
"A bill for an act relating to economic development; establishing a budget for workforce development efforts for the Department of Employment and Economic Development; appropriating money to the Department of Corrections for workforce training; modifying various workforce provisions; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 116J.5492, subdivisions 8, 10; 116J.55, subdivisions 1, 5, 6; 116L.361, subdivision 7; 116L.362, subdivision 1; 116L.364, subdivision 3; 116L.365, subdivision 1; 116L.56, subdivision 2; 116L.561, subdivision 5; 116L.562, subdivision 2; 268.035, subdivision 20; 268A.15, by adding a subdivision; 469.40, subdivision 11; 469.47, subdivisions 1, 5; proposing coding for new law in Minnesota Statutes, chapters 116J; 116L."
With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.
The
report was adopted.
Olson, L., from the Committee on Ways and Means to which was referred:
H. F. No. 2310, A bill for an act relating to state government; appropriating money for environment and natural resources; modifying prior appropriations; providing for and modifying disposition of certain receipts; modifying and establishing duties, authorities, and prohibitions regarding environment and natural resources; modifying and creating environment and natural resources programs; modifying and creating grant programs; reestablishing citizen board of Pollution Control Agency; reestablishing Legislative Water Commission; modifying Legislative-Citizen Commission on Minnesota Resources; modifying permit and environmental review requirements; modifying requirements for recreational vehicles; modifying state trail and state park provisions; establishing Lowland Conifer Carbon Reserve; modifying forestry provisions; modifying game and fish provisions; modifying regulation of farmed Cervidae; regulating certain seeds and pesticides; modifying Water Law; providing appointments; modifying and providing for fees; requiring reports; requiring rulemaking; amending Minnesota Statutes 2022, sections 13.643, subdivision 6; 16A.151, subdivision 2; 16A.152, subdivision 2; 17.118, subdivision 2; 18B.01, subdivision 31; 18B.09, subdivision 2, by adding a subdivision; 21.82, subdivision 3; 21.86, subdivision 2; 35.155, subdivisions 1, 4, 10, 11, 12, by adding subdivisions; 35.156, subdivision 2, by adding subdivisions; 84.02, by adding a subdivision; 84.0274, subdivision 6; 84.0276; 84.415, subdivisions 3, 6, 7, by adding a subdivision; 84.788, subdivision 5; 84.82, subdivision 2, by adding a subdivision; 84.821, subdivision 2; 84.84; 84.86, subdivision 1; 84.87, subdivision 1; 84.90, subdivision 7; 84.992, subdivisions 2, 5; 84D.02, subdivision 3; 84D.10, subdivision 3; 84D.15, subdivision 2; 85.015, subdivision 10; 85.052, subdivision 6; 85.055, subdivision 1; 85.536, subdivision 2; 85A.01, subdivision 1; 86B.005, by adding a subdivision; 86B.313, subdivision 4; 86B.415, subdivisions 1, 1a, 2, 3, 4, 5, 7; 89A.03, subdivision 5; 90.181, subdivision 2; 97A.015, by adding a subdivision; 97A.031; 97A.126; 97A.137, subdivision 3; 97A.315, subdivision 1; 97A.401, subdivision 1, by adding a subdivision; 97A.405, subdivision 5; 97A.421, subdivision 3; 97A.473, subdivisions 2, 2a, 2b, 5, 5a; 97A.474, subdivision 2; 97A.475, subdivisions 6, 7, 8, 10, 10a, 11, 12, 13, 41; 97B.071; 97B.301, subdivision 6; 97B.516; 97B.668; 97C.087, subdivision 2; 97C.315, subdivision 1; 97C.345, subdivision 1; 97C.355, by adding a subdivision; 97C.371, subdivisions 1, 2, 4; 97C.395, subdivision 1; 97C.601, subdivision 1; 97C.605, subdivisions 1, 2c, 3; 97C.611; 97C.836; 103B.101, subdivisions 2, 9, 16, by adding a subdivision; 103B.103; 103C.501, subdivisions 1, 4, 5, 6, by adding a subdivision; 103D.605, subdivision 5; 103F.505; 103F.511, by adding subdivisions; 103G.005, by adding subdivisions; 103G.2242, subdivision 1; 103G.271, subdivision 6; 103G.287, subdivisions 2, 3; 103G.299, subdivisions 1, 2, 5, 10; 103G.301, subdivisions 2, 6, 7; 115.01, by adding subdivisions; 115.03, subdivision 1, by adding a subdivision; 115.061; 115A.03, by adding a subdivision; 115A.1415; 115A.565, subdivisions 1, 3; 115B.17, subdivision 14; 115B.171, subdivision 3; 115B.52, subdivision 4; 116.02; 116.03, subdivisions 1, 2a; 116.06, subdivision 1, by adding
subdivisions; 116.07, subdivision 6, by adding subdivisions; 116C.03, subdivision 2a; 116P.05, subdivisions 1, 1a, 2; 116P.09, subdivision 6; 116P.11; 116P.15; 116P.16; 116P.18; 168.1295, subdivision 1; 171.07, by adding a subdivision; 297A.94; 325E.046; 325F.072, subdivisions 1, 3, by adding a subdivision; 373.475; Laws 2022, chapter 94, section 2, subdivisions 5, 8, 9; proposing coding for new law in Minnesota Statutes, chapters 3; 18B; 21; 84; 86B; 88; 97A; 97B; 97C; 103B; 103E; 103F; 103G; 115A; 116; 116P; 325E; 473; repealing Minnesota Statutes 2022, sections 84.033, subdivision 3; 84.944, subdivision 3; 86B.101; 86B.305; 86B.313, subdivisions 2, 3; 97A.145, subdivision 2; 97C.605, subdivisions 2, 2a, 2b, 5; 103C.501, subdivisions 2, 3; 115.44, subdivision 9; 116.011; 325E.389; 325E.3891; Minnesota Rules, parts 6100.5000, subparts 3, 4, 5; 6100.5700, subpart 4; 6115.1220, subpart 8; 6256.0500, subparts 2, 2a, 2b, 4, 5, 6, 7, 8; 8400.0500; 8400.0550; 8400.0600, subparts 4, 5; 8400.0900, subparts 1, 2, 4, 5; 8400.1650; 8400.1700; 8400.1750; 8400.1800; 8400.1900.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
ENVIRONMENT AND NATURAL RESOURCES APPROPRIATIONS
|
Section 1. ENVIRONMENT
AND NATURAL RESOURCES APPROPRIATIONS.
|
The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second
year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
Available for the
Year |
|
|
|
|
|
Ending June 30 |
|
|
|
|
|
2024 |
2025 |
|
Sec. 2. POLLUTION
CONTROL AGENCY |
|
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$276,096,000 |
|
$214,828,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
151,113,000 |
81,891,000 |
|
State Government
Special Revenue |
85,000 |
90,000 |
|
Environmental |
105,227,000 |
112,600,000 |
|
Remediation |
19,671,000 |
20,247,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
The commissioner must
present the agency's biennial budget for fiscal years 2026 and 2027 to the
legislature in a transparent way by agency division, including the proposed
budget bill and presentations of the budget to committees and divisions with
jurisdiction over the agency's budget.
|
Subd. 2.
Environmental Analysis and
Outcomes |
|
46,983,000 |
|
41,231,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
28,970,000 |
20,714,000 |
|
Environmental |
17,764,000 |
20,312,000 |
|
Remediation |
249,000 |
205,000 |
(a) $122,000 the first year
and $125,000 the second year are from the general fund for:
(1) a municipal liaison to
assist municipalities in implementing and participating in the rulemaking
process for water quality standards and navigating the NPDES/SDS permitting
process;
(2) enhanced economic
analysis in the rulemaking process for water quality standards, including
more-specific analysis and identification of cost-effective permitting;
(3) developing statewide
economic analyses and templates to reduce the amount of information and time
required for municipalities to apply for
variances from water quality standards; and
(4) coordinating with the
Public Facilities Authority to identify and advocate for the resources needed
for urban, suburban, and Greater Minnesota municipalities to achieve permit
requirements.
(b) $216,000 the first year
and $219,000 the second year are from the environmental fund for a monitoring
program under Minnesota Statutes, section 116.454.
(c) $132,000 the first year
and $137,000 the second year are for monitoring water quality and operating
assistance programs.
(d) $390,000 the first year
and $399,000 the second year are from the environmental fund for monitoring
ambient air for hazardous pollutants.
(e) $106,000 the first year
and $109,000 the second year are from the environmental fund for duties related
to harmful chemicals in children's products under Minnesota Statutes, sections
116.9401 to 116.9407. Of this amount,
$68,000 the first year and $70,000 the second year are transferred to the
commissioner of health.
(f) $128,000 the first year
and $132,000 the second year are from the environmental fund for registering
wastewater laboratories.
(g) $1,492,000 the first
year and $1,519,000 the second year are from the environmental fund to continue
perfluorochemical biomonitoring in eastern metropolitan communities, as
recommended by the Environmental Health Tracking and
Biomonitoring Advisory Panel,
and to address other environmental health risks, including air quality. The communities must include Hmong and other
immigrant farming communities. Of this
amount, up to $1,226,000 the first year and $1,248,000 the second year are for
transfer to the commissioner of health.
(h) $61,000 the first year
and $62,000 the second year are from the environmental fund for the listing
procedures for impaired waters required under this act.
(i) $72,000 the first year
and $74,000 the second year are from the remediation fund for the leaking
underground storage tank program to investigate, clean up, and prevent future
releases from underground petroleum storage tanks and for the petroleum remediation
program for vapor assessment and remediation.
These same annual amounts are transferred from the petroleum tank fund
to the remediation fund.
(j) $500,000 the first year
is to facilitate the collaboration and modeling of greenhouse gas impacts,
costs, and benefits of strategies to reduce statewide greenhouse gas emissions. This is a onetime appropriation.
(k) $20,266,000 the first
year and $20,270,000 the second year are to establish and implement a local
government water infrastructure grant program for local governmental units and
Tribal governments. Of this amount,
$19,720,000 each year is for grants to support communities in planning and
implementing projects that will allow for adaptation for a changing climate. At least 50 percent of the money granted
under this paragraph must be for projects in the seven-county metropolitan area. This appropriation is available until June
30, 2027. The base for this
appropriation in fiscal year 2026 and beyond is $270,000.
(l) $2,070,000 the first
year and $2,070,000 the second year are from the environmental fund to develop
and implement a drinking water protection and PFAS response program related to
emerging issues, including Minnesota's
PFAS Blueprint.
(m) $1,820,000 the second
year is from the environmental fund to support improved management of data
collected by the agency and its partners and regulated parties to facilitate
decision-making and public access.
(n) $500,000 the first year
is for developing and implementing firefighter biomonitoring protocols required
under this act. Of this amount, up to
$250,000 may be transferred to the commissioner of health for biomonitoring of
firefighters. This appropriation is
available until June 30, 2025.
(o) $2,000,000 the first year
is to develop protocols to be used by agencies and departments for sampling and
testing groundwater, surface water, public drinking water, and private wells
for microplastics and nanoplastics and to begin implementation. The commissioner of the Pollution Control
Agency may transfer money appropriated under this paragraph to the
commissioners of agriculture, natural resources, and health to implement the
protocols developed. This is a onetime
appropriation and is available until June 30, 2025.
(p) $50,000 the first year
is from the remediation fund for the work group
on PFAS manufacturer fees and report required under this act.
(q) $387,000 the first year
and $90,000 the second year are to develop and implement the requirements for
fish kills under Minnesota Statutes, sections 103G.216 and 103G.2165. Of this amount, up to $331,000 the first year
and $90,000 the second year may be transferred to the commissioners of health,
natural resources, agriculture, and public safety and to the Board of Regents
of the University of Minnesota as necessary to implement those sections. The base for this appropriation for fiscal
year 2026 and beyond is $7,000.
(r) $63,000 the first year
and $92,000 the second year are for transfer to the commissioner of health for
amending the health risk limit for PFOS.
This is a onetime appropriation and is available until June 30, 2026.
(s) $5,000,000 the first
year is for community air-monitoring grants as provided in this act. This is a onetime appropriation and is
available until June 30, 2025.
(t) $625,000 the first year
and $779,000 the second year are from the environmental fund to adopt rules and
implement air toxics emissions requirements under Minnesota Statutes, section
116.062. The base for this appropriation
is $669,000 in fiscal year 2026 and $1,400,000 in fiscal year 2027 and beyond.
|
Subd. 3. Industrial
|
|
54,056,000 |
|
34,308,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
34,980,000 |
14,577,000 |
|
Environmental |
17,355,000 |
17,958,000 |
|
Remediation |
1,721,000 |
1,773,000 |
(a) $1,621,000 the first
year and $1,670,000 the second year are from the remediation fund for the
leaking underground storage tank program to investigate, clean up, and prevent
future releases
from underground petroleum
storage tanks and for the petroleum remediation program for vapor assessment
and remediation. These same annual
amounts are transferred from the petroleum tank fund to the remediation fund.
(b) $448,000 the first year
and $457,000 the second year are from the environmental fund to further
evaluate the use and reduction of trichloroethylene around Minnesota and
identify its potential health effects on communities. Of this amount, $145,000 the first year and
$149,000 the second year are transferred to the commissioner of health.
(c) $4,000 the first year
and $4,000 the second year are from the environmental fund to purchase air
emissions monitoring equipment to support compliance and enforcement
activities.
(d) $3,200,000 the first
year and $3,200,000 the second year are to provide air emission reduction
grants. Of this amount, $2,800,000 each
year is for grants to reduce air pollution at regulated facilities within
environmental justice areas of concern. This
appropriation is available until June 30, 2027, and is a onetime appropriation.
(e) $40,000 the first year
and $40,000 the second year are for air compliance equipment maintenance. This is a onetime appropriation.
(f) $20,000,000 the first
year and $300,000 the second year are to support research on innovative
technologies to treat difficult‑to‑manage
pollutants and for implementation grants based on this research at
taconite facilities. Of this amount,
$2,100,000 is for the Board of Regents of the University of Minnesota for
academic and applied research through the MnDRIVE program at the Natural
Resources Research Institute for research to foster economic development of the
state's natural resources in an environmentally sound manner and $17,600,000 is
for grants. Of the $2,100,000, at least
$900,000 is to develop and demonstrate technologies that enhance the long-term
health and management of Minnesota's water and mineral resources. This appropriation is for continued
characterization of Minnesota's iron resources and development of
next-generation process technologies for iron products and reduced effluent. This research must be conducted in
consultation with the Mineral Coordinating Committee established under
Minnesota Statutes, section 93.0015. This
is a onetime appropriation and is available until June 30, 2027.
(g) $500,000 the first year
and $500,000 the second year are for the purposes of biofuel wastewater
monitoring requirements under Minnesota Statutes, section 115.03, subdivision
12.
(h) $250,000 the first year
is for a life cycle assessment of the presence of neonicotinoid pesticide in
the production of ethanol, biodiesel, and advanced biofuel, including
feedstocks, coproducts, air emissions, and the fuel itself. This is a onetime appropriation
and is available until June 30,
2025. No later than December 15, 2024,
the commissioner of the Pollution Control Agency must submit the assessment,
including recommendations, to the chairs and ranking minority members of the
legislative committees with jurisdiction over agriculture and environment.
(i) $670,000 the first year
and $522,000 the second year are from the general fund and $277,000 the first
year and $277,000 the second year are from the environmental fund for the
purposes of the nonexpiring state individual air quality permit requirements
under Minnesota Statutes, section 116.07, subdivision 4m. The base for this appropriation in fiscal
year 2026 and beyond is $277,000 from the environmental fund.
(j) $250,000 the first year
and $250,000 the second year are for rulemaking and implementation of the odor
management requirements under Minnesota Statutes, section 116.064. The base for this appropriation is $250,000
in fiscal year 2026 and $500,000 in fiscal year 2027 and beyond.
(k) $9,526,000 the first
year and $9,221,000 the second year are from the general fund for
implementation of the environmental justice, cumulative impact analysis, and
demographic analysis requirements under this act. This is a onetime appropriation and is
available until June 30, 2028. The base
for this appropriation in fiscal year 2026 and beyond is $9,021,000 from the
environmental fund.
|
Subd. 4. Municipal
|
|
10,725,000 |
|
11,373,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
761,000 |
767,000 |
|
State Government
Special Revenue |
85,000 |
90,000 |
|
Environmental |
9,879,000 |
10,516,000 |
(a) $217,000 the first year
and $223,000 the second year are for:
(1) a municipal liaison to
assist municipalities in implementing and participating in the rulemaking
process for water quality standards and navigating the NPDES/SDS permitting
process;
(2) enhanced economic
analysis in the rulemaking process for water quality standards, including
more-specific analysis and identification of cost-effective permitting;
(3) developing statewide
economic analyses and templates to reduce the amount of information and time
required for municipalities to apply for
variances from water quality standards; and
(4) coordinating with the
Public Facilities Authority to identify and advocate for the resources needed
for municipalities to achieve permit requirements.
(b) $50,000 the first year
and $50,000 the second year are from the environmental fund for transfer to the
Office of Administrative Hearings to establish sanitary districts.
(c) $1,240,000 the first
year and $1,338,000 the second year are from the environmental fund for
subsurface sewage treatment system (SSTS) program administration and community
technical assistance and education, including grants and technical assistance to
communities for water-quality protection.
Of this amount, $350,000 each year is for assistance to counties through
grants for SSTS program administration. A
county receiving a grant from this appropriation must submit the results
achieved with the grant to the commissioner as part of its annual SSTS report. Any unexpended balance in the first year does
not cancel but is available in the second year.
(d) $994,000 the first year
and $1,094,000 the second year are from the environmental fund to address the
need for continued increased activity in new technology review, technical
assistance for local governments, and enforcement under Minnesota Statutes,
sections 115.55 to 115.58, and to complete the requirements of Laws 2003,
chapter 128, article 1, section 165.
(e) Notwithstanding
Minnesota Statutes, section 16A.28, the appropriations encumbered on or before
June 30, 2025, as grants or contracts for subsurface sewage treatment systems,
surface water and groundwater assessments, storm water, and water-quality protection
in this subdivision are available until June 30, 2028.
|
Subd. 5. Operations
|
|
34,236,000 |
|
32,836,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
|
|
|
|
General |
23,250,000 |
21,859,000 |
|
Environmental |
8,369,000 |
8,486,000 |
|
Remediation |
2,617,000 |
2,491,000 |
(a) $1,154,000 the first
year and $1,124,000 the second year are from the remediation fund for the leaking
underground storage tank program to investigate, clean up, and prevent future
releases from underground petroleum storage tanks and for the petroleum
remediation program for vapor assessment and remediation. These same annual amounts are transferred
from the petroleum tank fund to the remediation fund.
(b) $3,000,000 the first year
and $3,109,000 the second year are to support agency information technology
services provided at the enterprise and agency level to improve operations.
(c) $906,000 the first year
and $919,000 the second year are from the environmental fund to develop and
maintain systems to support agency permitting and regulatory business processes
and data.
(d) $2,000,000 the first
year and $2,000,000 the second year are to provide technical assistance to
Tribal governments. This is a onetime
appropriation.
(e) $18,250,000 the first
year and $16,750,000 the second year are to support modernizing and automating
agency environmental programs and data systems and how the agency provides
services to regulated parties, partners, and the public. This appropriation is available until June
30, 2027. This is a onetime
appropriation.
(f) $270,000 the first year
and $270,000 the second year are from the environmental fund to support current
and future career pathways for underrepresented students.
(g) $700,000 the first year
and $700,000 the second year are from the environmental fund to improve the
coordination, effectiveness, transparency, and accountability of the
environmental review and permitting process.
(h) $438,000 the first year
and $333,000 the second year are from the environmental fund for the Minnesota
Pollution Control Agency citizen members.
|
Subd. 6. Remediation
|
|
40,318,000 |
|
16,022,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
25,000,000 |
-0- |
|
Environmental |
607,000 |
628,000 |
|
Remediation |
14,711,000 |
15,394,000 |
(a) All money for
environmental response, compensation, and compliance in the remediation fund
not otherwise appropriated is appropriated to the commissioners of the
Pollution Control Agency and agriculture for purposes of Minnesota Statutes,
section 115B.20, subdivision 2, clauses (1), (2), (3), (6), and (7). At the beginning of each fiscal year, the two
commissioners must jointly submit to the commissioner of management and budget
an annual spending plan that maximizes resource use and appropriately allocates
the money between the two departments. This
appropriation is available until June 30, 2025.
(b) $415,000 the first year and
$426,000 the second year are from the environmental fund to manage contaminated
sediment projects at multiple sites identified in the St. Louis River
remedial action plan to restore water quality in the St. Louis River Area
of Concern.
(c) $4,476,000 the first
year and $4,622,000 the second year are from the remediation fund for the
leaking underground storage tank program to investigate, clean up, and prevent
future releases from underground petroleum storage tanks and for the petroleum
remediation program for vapor assessment and remediation. These same annual amounts are transferred
from the petroleum tank fund to the remediation fund.
(d) $308,000 the first year
and $316,000 the second year are from the remediation fund for transfer to the
commissioner of health for private water-supply monitoring and health
assessment costs in areas contaminated by unpermitted mixed municipal solid waste
disposal facilities and drinking water advisories and public information
activities for areas contaminated by hazardous releases.
(e) $25,000,000 the first
year is for grants to support planning, designing, and preparing for solutions
for public water treatment systems contaminated with PFAS. The grants are to reimburse local public
water supply operators for source investigations, sampling and treating private
drinking water wells, and evaluating solutions for treating private drinking
water wells. At least 50 percent of
the money appropriated under this paragraph must be for grants in the
seven-county metropolitan area. This
appropriation is available until June 30, 2027, and is a onetime appropriation.
(f) $76,000 the first year
is from the remediation fund for the petroleum tank release cleanup program
duties and report required under this act.
This is a onetime appropriation.
|
Subd. 7. Resource
Management and Assistance |
|
75,025,000 |
|
63,467,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
31,477,000 |
18,655,000 |
|
Environmental |
43,548,000 |
44,812,000 |
(a) Up to $150,000 the
first year and $150,000 the second year may be transferred from the
environmental fund to the small business environmental improvement loan account
under Minnesota Statutes, section 116.993.
(b) $1,000,000 the first year
and $1,000,000 the second year are for competitive recycling grants under
Minnesota Statutes, section 115A.565. Of
this amount, $300,000 the first year and $300,000 the second year are from the
general fund, and $700,000 the first year and $700,000 the second year are from
the environmental fund. This
appropriation is available until June 30, 2027.
(c) $694,000 the first year
and $694,000 the second year are from the environmental fund for
emission-reduction activities and grants to small businesses and other
nonpoint-emission-reduction efforts. Of
this amount, $100,000 the first year and $100,000 the second year are to
continue work with Clean Air Minnesota, and the commissioner may enter into an
agreement with Environmental Initiative to support this effort.
(d) $22,450,000 the first
year and $22,450,000 the second year are for SCORE block grants to counties. Of this amount, $4,000,000 the first year and
$4,000,000 the second year are from the general fund, and $18,450,000 the first
year and $18,450,000 the second year are from the environmental fund. The base in fiscal year 2026 and beyond is
$18,450,000 from the environmental fund.
For fiscal years 2024 and 2025, each county's allocation is based on
Minnesota Statutes, section 115A.557, and $2,000,000 must be used only for
waste prevention and reuse activities.
(e) $119,000 the first year
and $119,000 the second year are from the environmental fund for environmental
assistance grants or loans under Minnesota Statutes, section 115A.0716.
(f) $400,000 the first year
and $400,000 the second year are from the environmental fund for grants to
develop and expand recycling markets for Minnesota businesses.
(g) $767,000 the first year
and $770,000 the second year are from the environmental fund for reducing and
diverting food waste, redirecting edible food for consumption, and removing
barriers to collecting and recovering organic waste. Of this amount, $500,000 each year is for
grants to increase food rescue and waste prevention. This appropriation is available until June
30, 2027.
(h) $2,797,000 the first
year and $2,811,000 the second year are from the environmental fund for the
purposes of Minnesota Statutes, section 473.844.
(i) $318,000 the first year
and $474,000 the second year are from the environmental fund to address
chemicals in products, including to implement and enforce flame retardant
provisions under Minnesota Statutes, section 325F.071, and perfluoroalkyl and
polyfluoroalkyl substances in food packaging provisions under Minnesota
Statutes, section 325F.075. Of this
amount, $78,000 the first year and $80,000 the second year are transferred to
the commissioner of health.
(j) $180,000 the first year and
$140,000 the second year are for quantifying climate-related impacts from
projects for environmental review. This
is a onetime appropriation.
(k) $1,790,000 the first
year and $70,000 the second year are for accelerating pollution prevention at
small businesses. Of this amount,
$1,720,000 the first year is for zero-interest loans to phase out
high-polluting equipment, products, and processes and replace with new options. This appropriation is available until June
30, 2027. This is a onetime
appropriation.
(l) $190,000 the first year
and $190,000 the second year are to support the Greenstep Cities program. This is a onetime appropriation.
(m) $420,000 the first year
is to complete a study on the viability of recycling solar energy equipment. This is a onetime appropriation.
(n) $650,000 the first year
and $650,000 the second year are from the environmental fund for Minnesota
GreenCorps investment.
(o) $4,210,000 the first
year and $210,000 the second year are for PFAS reduction grants. Of this amount, $4,000,000 the first year is
for grants to industry and public entities to identify sources of PFAS entering
facilities and to develop pollution prevention and reduction initiatives to
reduce PFAS entering facilities, prevent releases, and monitor the
effectiveness of these projects. Priority
must be given to projects in underserved communities. This is a onetime appropriation and is
available until June 30, 2027.
(p) $12,940,000 the first
year and $12,940,000 the second year are for a waste prevention and reduction
grants and loan program. This is a onetime appropriation and is available
until June 30, 2027.
(q) $825,000 the first year
and $1,453,000 the second year are from the environmental fund for rulemaking
and implementation of the new PFAS requirements under Minnesota Statutes,
section 116.943. Of this amount,
$312,000 the first year and $468,000 the second year are for transfer to the
commissioner of health. The base for
this appropriation is $1,115,000 in fiscal year 2026 and beyond. The base for the transfer to the commissioner
of health in fiscal year 2026 and beyond is $468,000.
(r) $680,000 the first year
is for the zero-waste report required in this act. This is a onetime appropriation and is
available until June 30, 2026.
(s) $1,592,000 the first
year and $805,000 the second year are for zero-waste grants under Minnesota
Statutes, section 115A.566.
(t) $35,000 the second year
is from the environmental fund for the compostable labeling requirements under
Minnesota Statutes, section 325E.046. The
base for this appropriation in fiscal year 2026 and beyond is $68,000.
(u) $175,000 the first year is
for the rulemaking required under this act providing for the safe and lawful
disposal of waste treated seed. This
appropriation is available until June 30, 2025.
(v) $1,000,000 the first
year is for a lead tackle reduction program that provides outreach, education,
and opportunities to safely dispose of and exchange lead tackle throughout the
state. This is a onetime appropriation
and is available until June 30, 2025.
(w) $4,000,000 is for a
grant to the owner of a biomass energy generation plant in Shakopee that uses
waste heat from the generation of electricity in the malting process to
purchase a wood dehydrator to facilitate disposal of wood that is infested by
the emerald ash borer. By October 1,
2024, the commissioner of the Pollution Control Agency must report to the
chairs and ranking minority members of the legislative committees and divisions
with jurisdiction over environment and natural resources on the use of money
appropriated under this paragraph.
(x) Any unencumbered grant
and loan balances in the first year do not cancel but are available for grants
and loans in the second year. Notwithstanding
Minnesota Statutes, section 16A.28, the appropriations encumbered on or before
June 30, 2025, as contracts or grants for environmental assistance awarded
under Minnesota Statutes, section 115A.0716; technical and research assistance
under Minnesota Statutes, section 115A.152; technical assistance under
Minnesota Statutes, section 115A.52; and pollution prevention assistance under
Minnesota Statutes, section 115D.04, are available until June 30, 2027.
|
Subd. 8. Watershed
|
|
12,678,000 |
|
13,952,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
4,821,000 |
3,906,000 |
|
Environmental |
7,484,000 |
9,662,000 |
|
Remediation |
373,000 |
384,000 |
(a) $3,000,000 the first
year and $3,000,000 the second year are for grants to delegated counties to administer
the county feedlot program under Minnesota Statutes, section 116.0711,
subdivisions 2 and 3. Money remaining
after the first year is available for the second year. The base for this appropriation in fiscal
year 2026 and beyond is $1,959,000.
(b) $236,000 the first year
and $241,000 the second year are from the environmental fund for the costs of
implementing general operating permits for feedlots over 1,000 animal units.
(c) $125,000 the first year and
$129,000 the second year are from the remediation fund for the leaking
underground storage tank program to investigate, clean up, and prevent future
releases from underground petroleum storage tanks and for the petroleum remediation
program for vapor assessment and remediation.
These same annual amounts are transferred from the petroleum tank fund
to the remediation fund.
(d) $459,000 the first year
and $494,000 the second year are from the general fund and $1,680,000 the
second year is from the environmental fund to implement feedlot financial
assurance requirements and compile the annual feedlot and manure storage area
lists required under Minnesota Statutes, section 116.07, subdivisions 7f and 7g. The general fund base for this appropriation
in fiscal year 2026 and beyond is $315,000.
The environmental fund base in fiscal year 2026 and beyond is
$1,680,000.
(e) $700,000 the first year
is for distribution to delegated counties based on registered feedlots and
manure storage areas for inspections of manure storage areas and the abandoned
manure storage area reports required under this act. This appropriation is available until June
30, 2025.
(f) $250,000 the first year
is for a grant to the Minnesota Association of County Feedlot Officers to
provide training on state feedlot requirements, working efficiently and
effectively with producers, and reducing the incidence of manure or nutrients
entering surface water or groundwater.
(g) $140,000 the first year
and $140,000 the second year are for the Pig's Eye Landfill Task Force.
|
Subd. 9. Environmental
Quality Board |
|
2,075,000 |
|
1,639,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
1,854,000 |
1,413,000 |
|
Environmental |
221,000 |
226,000 |
$620,000 the first year and
$140,000 the second year are to develop a Minnesota-based greenhouse gas sector
and source‑specific guidance, including climate information, a greenhouse
gas calculator, and technical assistance for users. This is a onetime appropriation.
|
Subd. 10. Transfers
|
|
|
|
|
(a) The commissioner must
transfer up to $23,000,000 the first year and $24,000,000 the second year from
the environmental fund to the remediation fund for purposes of the remediation
fund under Minnesota Statutes, section 116.155, subdivision 2. The base for this transfer is $24,000,000 in
fiscal year 2026 and beyond.
(b) By June 30, 2024, the
commissioner of management and budget must transfer $29,055,000 from the
general fund to the metropolitan landfill contingency action trust account in
the remediation fund to restore the money transferred from the account as
intended under Laws 2003, chapter 128, article 1, section 10, paragraph (e),
and Laws 2005, First Special Session chapter 1, article 3, section 17, and to
compensate the account for the estimated lost investment income.
|
Sec. 3. NATURAL
RESOURCES |
|
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$569,950,000 |
|
$424,403,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
307,778,000 |
165,064,000 |
|
Natural
Resources |
125,611,000 |
124,456,000 |
|
Game and Fish |
129,903,000 |
131,814,000 |
|
Remediation |
117,000 |
117,000 |
|
Permanent
School |
791,000 |
702,000 |
|
Reinvest in
Minnesota Resources |
5,750,000 |
2,250,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Land
and Mineral Resources Management |
|
9,095,000 |
|
8,828,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
4,095,000 |
3,828,000 |
|
Natural
Resources |
4,438,000 |
4,438,000 |
|
Game and Fish |
344,000 |
344,000 |
|
Permanent
School |
218,000 |
218,000 |
(a) $319,000 the first year
and $319,000 the second year are for environmental research relating to mine
permitting, of which $200,000 each year is from the minerals management account
in the natural resources fund and $119,000 each year is from the general fund.
(b) $3,383,000 the first
year and $3,383,000 the second year are from the minerals management account in
the natural resources fund for use as provided under Minnesota Statutes,
section 93.2236, paragraph (c), for mineral resource management, projects to
enhance future mineral income, and projects to promote new mineral-resource
opportunities.
(c) $218,000 the first year and
$218,000 the second year are transferred from the forest suspense account to
the permanent school fund and are appropriated from the permanent school fund
to secure maximum long-term economic return from the school trust lands
consistent with fiduciary responsibilities and sound natural resources
conservation and management principles.
(d) $338,000 the first year
and $338,000 the second year are from the water management account in the
natural resources fund for mining hydrology.
(e) $1,052,000 the first
year and $242,000 the second year are for modernizing utility licensing for
state lands and public waters. The first
year appropriation is available through fiscal year 2026.
(f) $125,000 the first year
and $125,000 the second year are for conservation stewardship.
|
Subd. 3. Ecological
and Water Resources |
|
58,394,000 |
|
46,763,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
37,664,000 |
26,008,000 |
|
Natural
Resources |
15,006,000 |
15,031,000 |
|
Game and Fish |
5,724,000 |
5,724,000 |
(a) $5,397,000 the first
year and $5,422,000 the second year are from the invasive species account in
the natural resources fund and $2,831,000 the first year and $2,831,000 the
second year are from the general fund for management, public awareness,
assessment and monitoring research, and water access inspection to prevent the
spread of invasive species; management of invasive plants in public waters; and
management of terrestrial invasive species on state-administered lands.
(b) $6,056,000 the first
year and $6,056,000 the second year are from the water management account in
the natural resources fund for only the purposes specified in Minnesota
Statutes, section 103G.27, subdivision 2.
(c) $124,000 the first year
and $124,000 the second year are for a grant to the Mississippi Headwaters
Board for up to 50 percent of the cost of implementing the comprehensive plan
for the upper Mississippi within areas under the board's jurisdiction. By December 15, 2025, the board must submit a
report to the chairs and ranking minority members of the legislative committees
and divisions with jurisdiction over environment and natural resources on the
activities funded under this paragraph and the progress made in implementing
the comprehensive plan.
(d) $10,000 the first year and
$10,000 the second year are for payment to the Leech Lake Band of Chippewa
Indians to implement the band's portion of the comprehensive plan for the upper
Mississippi River.
(e) $300,000 the first year
and $300,000 the second year are for grants for up to 50 percent of the cost of
implementing the Red River mediation agreement.
The base for this appropriation in fiscal year 2026 and beyond is
$264,000.
(f) $2,498,000 the first
year and $2,498,000 the second year are from the heritage enhancement account
in the game and fish fund for only the purposes specified in Minnesota
Statutes, section 297A.94, paragraph (h), clause (1).
(g) $1,150,000 the first
year and $1,150,000 the second year are from the nongame wildlife management
account in the natural resources fund for nongame wildlife management. Notwithstanding Minnesota Statutes, section
290.431, $100,000 the first year and $100,000 the second year may be used for
nongame wildlife information, education, and promotion.
(h) Notwithstanding
Minnesota Statutes, section 84.943, $48,000 the first year and $48,000 the
second year from the critical habitat private sector matching account may be
used to publicize the critical habitat license plate match program.
(i) $5,700,000 the first
year and $6,000,000 the second year are for the following activities:
(1) financial reimbursement
and technical support to soil and water conservation districts or other local
units of government for groundwater-level monitoring;
(2) surface water
monitoring and analysis, including installing monitoring gauges;
(3) groundwater analysis to
assist with water-appropriation permitting decisions;
(4) permit application
review incorporating surface water and groundwater technical analysis;
(5) precipitation data and
analysis to improve irrigation use;
(6) information technology,
including electronic permitting and integrated data systems; and
(7) compliance and
monitoring.
(j) $410,000 the first year and
$410,000 the second year are from the heritage enhancement account in the game
and fish fund and $500,000 the first year and $500,000 the second year are from
the general fund for grants to the Minnesota Aquatic Invasive Species Research
Center at the University of Minnesota to prioritize, support, and develop
research-based solutions that can reduce the effects of aquatic invasive
species in Minnesota by preventing spread, controlling populations, and
managing ecosystems and to advance knowledge to inspire action by others.
(k) $134,000 the first year
and $134,000 the second year are for increased capacity for broadband utility
licensing for state lands and public waters.
(l) $998,000 the first year
and $568,000 the second year are for protecting and restoring carbon storage in
state-administered peatlands by reviewing and updating the state's peatland
inventory, piloting a restoration project, and piloting trust fund buyouts. This is a onetime appropriation and is
available until June 30, 2028.
(m) $900,000 the first year
is for a grant to the Minnesota Lakes and Rivers Advocates to work with civic
leaders to purchase, install, and operate waterless cleaning stations for
watercraft; conduct aquatic invasive species education; and implement education
upgrades at public accesses to prevent invasive starry stonewort spread beyond
the lakes already infested. This is a
onetime appropriation and is available until June 30, 2025.
(n) $300,000 the first year
is to prepare an analysis of alternative sources of water to resolve the
water-use conflict in the Little Rock Creek area and to protect the stream from
negative impacts due to groundwater use.
The analysis must be submitted to the legislative committees and
divisions with jurisdiction over environment and natural resources by June 30,
2027, and include:
(1) a conceptual
engineering plan;
(2) an estimate of
implementation costs and funding needs;
(3) governance and
operational considerations;
(4) a development schedule;
and
(5) an economic evaluation
of lost revenue if no action is taken.
(o) $6,000,000 the first
year is for land acquisition and maintenance and restoration at Grey Cloud
Dunes Scientific and Natural Area. This
is a onetime appropriation and is available until June 30, 2027.
(p) $6,000,000 the first year
is for improved maintenance at scientific and natural areas under Minnesota
Statutes, section 86A.05, subdivision 5, including additional natural resource
specialists and technicians, coordinators, seasonal crews, equipment, supplies,
and administrative support. This is a
onetime appropriation and is available until June 30, 2027.
(q) The general fund base
for the Ecological and Water Resources Division in fiscal year 2026 and beyond
is $25,004,000.
|
Subd. 4. Forest
Management |
|
116,725,000 |
|
76,067,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
99,072,000 |
58,389,000 |
|
Natural
Resources |
16,161,000 |
16,161,000 |
|
Game and Fish |
1,492,000 |
1,517,000 |
(a) $7,521,000 the first
year and $7,521,000 the second year are for prevention, presuppression, and
suppression costs of emergency firefighting and other costs incurred under
Minnesota Statutes, section 88.12. The
amount necessary to pay for presuppression and suppression costs during the
biennium is appropriated from the general fund.
By January 15 each year, the commissioner of natural resources must
submit a report to the chairs and ranking minority members of the house and
senate committees and divisions having jurisdiction over environment and
natural resources finance that identifies all firefighting costs incurred and
reimbursements received in the prior fiscal year. These appropriations may not be transferred. Any reimbursement of firefighting
expenditures made to the commissioner from any source other than federal
mobilizations must be deposited into the general fund.
(b) $15,386,000 the first
year and $15,386,000 the second year are from the forest management investment
account in the natural resources fund for only the purposes specified in
Minnesota Statutes, section 89.039, subdivision 2.
(c) $1,492,000 the first
year and $1,517,000 the second year are from the heritage enhancement account
in the game and fish fund to advance ecological classification systems (ECS),
forest habitat, and invasive species management.
(d) $906,000 the first year
and $926,000 the second year are for the Forest Resources Council to implement
the Sustainable Forest Resources Act.
(e) $1,143,000 the first year
and $1,143,000 the second year are for the Next Generation Core Forestry data
system. Of this appropriation, $868,000
each year is from the general fund and $275,000 each year is from the forest
management investment account in the natural resources fund.
(f) $500,000 the first year
and $500,000 the second year are from the forest management investment account
in the natural resources fund for forest road maintenance on state forest
roads.
(g) $500,000 the first year
and $500,000 the second year are for forest road maintenance on county forest
roads.
(h) $2,086,000 the first
year and $2,086,000 the second year are to support forest management,
cost-share assistance, and inventory on private woodlands. This is a onetime appropriation.
(i) $800,000 the first year
and $800,000 the second year are to accelerate tree seed collection to support
a growing demand for tree planting on public and private lands. This is a onetime appropriation and is
available until June 30, 2027.
(j) $10,400,000 the first
year and $10,400,000 the second year are for grants to local and Tribal
governments and nonprofit organizations to enhance community forest ecosystem
health and sustainability under Minnesota Statutes, section 88.82, the Minnesota
ReLeaf program. This appropriation is
available until June 30, 2027. Money
appropriated for grants under this paragraph may be used to pay reasonable
costs incurred by the commissioner of natural resources to administer the
grants. The base is $400,000 beginning
in fiscal year 2026.
(k) $3,000,000 the first
year and $3,000,000 the second year are for forest stand improvement and to
meet the reforestation requirements of Minnesota Statutes, section 89.002,
subdivision 2. This is a onetime
appropriation.
(l) $5,000,000 is for
purposes of the Lowland Conifer Carbon Reserve under Minnesota Statutes,
section 88.85. This is a onetime
appropriation and is available until June 30, 2026.
(m) $37,000,000 the first
year is for emerald ash borer response grants under Minnesota Statutes, section
88.83. This is a onetime appropriation
and is available until June 30, 2030. The
commissioner may use up to two percent of this appropriation to administer the
grants. Of this amount:
(1) $9,000,000 is for grants
to local units of government responding or actively preparing to respond to an
emerald ash borer infestation; and
(2) $28,000,000 is for
grants to a Minnesota nonprofit corporation that owns a cogeneration facility
that serves a St. Paul district heating and cooling system.
(n) $1,000,000 the first year
is for grants to schools, including public and private schools, to plant trees
on school grounds while providing hands-on learning opportunities for students. A grant application under this section must
be prepared jointly with the parent-teacher organization or similar parent
organization for the school. This is a
onetime appropriation and is available until June 30, 2026.
|
Subd. 5. Parks
and Trails Management |
|
125,897,000 |
|
113,230,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
50,094,000 |
38,707,000 |
|
Natural
Resources |
73,503,000 |
72,223,000 |
|
Game and Fish |
2,300,000 |
2,300,000 |
(a) $7,985,000 the first
year and $7,985,000 the second year are from the natural resources fund for
state trail, park, and recreation area operations. This appropriation is from revenue deposited
in the natural resources fund under Minnesota Statutes, section 297A.94,
paragraph (h), clause (2).
(b) $23,828,000 the first
year and $23,828,000 the second year are from the state parks account in the
natural resources fund to operate and maintain state parks and state recreation
areas.
(c) $1,300,000 the first
year and $1,300,000 the second year are from the natural resources fund for
park and trail grants to local units of government on land to be maintained for
at least 20 years for parks or trails. Priority
must be given for projects that are in underserved communities or that increase
access to persons with disabilities. This
appropriation is from revenue deposited in the natural resources fund under
Minnesota Statutes, section 297A.94, paragraph (h), clause (4). Any unencumbered balance does not cancel at the end of the first year and is
available for the second year.
(d) $9,624,000 the first
year and $9,624,000 the second year are from the snowmobile trails and
enforcement account in the natural resources fund for the snowmobile
grants-in-aid program. Any unencumbered
balance does not cancel at the end of the first year and is available for the
second year.
(e) $2,435,000 the first
year and $2,435,000 the second year are from the natural resources fund for the
off-highway vehicle grants‑in-aid program. Of this amount, $1,960,000 each year is from
the all-terrain vehicle account; $150,000 each year is from the off-highway
motorcycle account; and $325,000 each year is from the off-road vehicle account. Any unencumbered balance does not cancel at the end of the first year and is
available for the second year.
(f) $2,250,000 the first year
and $2,250,000 the second year are from the state land and water conservation
account in the natural resources fund for priorities established by the
commissioner for eligible state projects and administrative and planning activities
consistent with Minnesota Statutes, section 84.0264, and the federal Land and
Water Conservation Fund Act. Any
unencumbered balance does not cancel at the end of the first year and is
available for the second year.
(g) $250,000 the first year
and $250,000 the second year are for matching grants for local parks and
outdoor recreation areas under Minnesota Statutes, section 85.019, subdivision
2.
(h) $250,000 the first year
and $250,000 the second year are for matching grants for local trail
connections under Minnesota Statutes, section 85.019, subdivision 4c.
(i) $750,000 the first year
is from the all-terrain vehicle account in the natural resources fund for a
grant to St. Louis County to match other funding sources for design,
right-of-way acquisition, permitting, and construction of trails within the
Voyageur Country ATV trail system. This
is a onetime appropriation and is available until June 30, 2026. This appropriation may be used as a local
match to a 2023 state bonding award.
(j) $700,000 the first year
is from the all-terrain vehicle account in the natural resources fund for a
grant to St. Louis County to match other funding sources for design,
right-of-way acquisition, permitting, and construction of a new trail within
the Prospector trail system. This is a
onetime appropriation and is available until June 30, 2026. This appropriation may be used as a local
match to a 2023 state bonding award.
(k) $5,000,000 the first
year is to facilitate the transfer of land within Upper Sioux Agency State Park
required under this act, including but not limited to the acquisition of any
land necessary to facilitate the transfer.
This is a onetime appropriation and is available until June 30, 2033.
(l) $10,000,000 the first
year is to remove hazardous trees and replace ash trees with more diverse,
climate-adapted species within the state park system. This is a onetime appropriation and is
available until June 30, 2027.
(m) $100,000 the first year
is for the report on state trails required under this act.
(n) $1,075,000 the first
year and $1,075,000 the second year are from the water recreation account in
the natural resources fund for maintaining and enhancing public water-access
facilities.
|
Subd. 6.
Fish and Wildlife Management
|
|
116,489,000 |
|
99,230,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
20,936,000 |
3,616,000 |
|
Natural
Resources |
2,082,000 |
2,082,000 |
|
Game and Fish |
87,721,000 |
91,282,000 |
|
Reinvest in
Minnesota Resources |
5,750,000 |
2,250,000 |
(a) $10,458,000 the first
year and $10,658,000 the second year are from the heritage enhancement account
in the game and fish fund only for activities specified under Minnesota
Statutes, section 297A.94, paragraph (h), clause (1). Notwithstanding Minnesota Statutes, section
297A.94, five percent of this appropriation may be used for expanding hunter
and angler recruitment and retention.
(b) $982,000 the first year
and $982,000 the second year are from the general fund and $1,675,000 the first
year and $1,675,000 the second year are from the game and fish fund for
statewide response and management of chronic wasting disease. The commissioner and the Board of Animal
Health must each submit annual reports on chronic wasting disease activities
funded in this biennium to the chairs and ranking minority members of the
legislative committees and divisions with jurisdiction over environment and natural
resources and agriculture. The general
fund base for this appropriation in fiscal year 2026 and beyond is $282,000.
(c) $484,000 of the general
fund appropriation for fiscal year 2023 in Laws 2021, First Special Session
chapter 6, article 1, section 3, subdivision 6, paragraph (b), for planning for
and emergency response to disease outbreaks in wildlife is canceled no later
than June 29, 2023.
(d) $8,546,000 the first
year and $8,546,000 the second year are from the deer management account for
the purposes identified in Minnesota Statutes, section 97A.075, subdivision 1.
(e) $134,000 the first year
and $134,000 the second year are for increased capacity for broadband utility
licensing for state lands and public waters.
(f) $15,000,000 the first
year is for enhancing prairies and grasslands and restoring wetlands on
state-owned wildlife management areas to sequester more carbon and enhance
climate resiliency. This is a onetime
appropriation and is available until June 30, 2027.
(g) $500,000 the first year and
$500,000 the second year are from the general fund and $500,000 the first year
and $500,000 the second year are from the heritage enhancement account in the
game and fish fund for grants for natural-resource-based education and
recreation programs serving youth under Minnesota Statutes, section 84.976, and
for grant administration. Priority must
be given to projects benefiting underserved communities. The base for this appropriation in fiscal
year 2026 and beyond is $500,000 from the heritage enhancement account in the
game and fish fund. The general fund
appropriation is onetime.
(h) $400,000 the first year
and $400,000 the second year are from the heritage enhancement account in the
game and fish fund for the walk-in access program under Minnesota Statutes,
section 97A.126.
(i) $1,000,000 the first
year and $1,000,000 the second year are from the game and fish fund for
investments in fish management activities.
(j) $2,000,000 the first
year and $2,000,000 the second year are for grants to the Fond du Lac Band of
Lake Superior Chippewa to expand Minnesota's wild elk population and range. Consideration must be given to moving elk
from existing herds in northwest Minnesota to the area of the Fond du Lac State
Forest and the Fond du Lac Reservation in Carlton and southern St. Louis
Counties. The Fond du Lac Band of Lake
Superior Chippewa's elk reintroduction efforts must undergo thorough planning
with the Department of Natural Resources to develop necessary capture and
handling protocols, including protocols related to cervid disease management,
and to produce postrelease state and Tribal elk comanagement plans. This is a onetime appropriation and is
available until June 30, 2026.
(k) $773,000 the first year
is to examine the impacts of neonicotinoid exposure on the reproduction and
survival of Minnesota's game species, including deer and prairie chicken. This is a
onetime appropriation and is available until June 30, 2027.
(l) $134,000 the first year
and $134,000 the second year are from the heritage enhancement account in the
game and fish fund for native fish conservation and classification.
(m) $1,400,000 the first
year is for designating swan protection areas under Minnesota Statutes, section
97A.096, and to provide increased education and outreach promoting the
protection of swans in the state, including education regarding the restrictions
on taking swans. This is a onetime
appropriation and is available until June 30, 2026.
(n) $65,000 the first year is
for preparing the report on feral pigs and mink required under this act and
holding at least one public meeting on the topic.
(o) Notwithstanding
Minnesota Statutes, section 84.943, subdivision 3, $5,750,000 the first year
and $2,250,000 the second year are transferred from the Minnesota critical
habitat private sector matching account to the reinvest in Minnesota resources
fund and are appropriated from the reinvest in Minnesota resources fund for
wildlife management area acquisition. This
appropriation is available until June 30, 2027.
(p) $82,000 the first year
is for the native fish reports required under this act. This is a onetime appropriation.
(q) Notwithstanding
Minnesota Statutes, section 297A.94, $300,000 the first year and $300,000 the
second year are from the heritage enhancement account in the game and fish fund
for shooting sports facility grants under Minnesota Statutes, section 87A.10,
including grants for archery facilities.
Grants must be matched with a nonstate match, which may include in-kind
contributions. Priority must be given to
facilities that prohibit the use of lead ammunition. Recipients of money appropriated under this
paragraph must provide information on the toxic effects of lead. This is a onetime appropriation and is
available until June 30, 2026. This
appropriation must be allocated as follows:
(1) $200,000 each fiscal
year is for grants of $25,000 or less; and
(2) $100,000 each fiscal
year is for grants in excess of $25,000.
|
Subd. 7. Enforcement
|
|
64,672,000 |
|
67,712,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
18,322,000 |
22,937,000 |
|
Natural
Resources |
13,911,000 |
14,011,000 |
|
Game and Fish |
32,322,000 |
30,647,000 |
|
Remediation |
117,000 |
117,000 |
(a) $1,718,000 the first
year and $1,718,000 the second year are from the general fund for enforcement
efforts to prevent the spread of aquatic invasive species.
(b) $2,080,000 the first
year and $1,892,000 the second year are from the heritage enhancement account
in the game and fish fund for only the purposes specified under Minnesota
Statutes, section 297A.94, paragraph (h), clause (1).
(c) $1,442,000 the first year
and $1,442,000 the second year are from the water recreation account in the
natural resources fund for grants to counties for boat and water safety. Any unencumbered balance does not cancel at
the end of the first year and is available for the second year.
(d) $315,000 the first year
and $315,000 the second year are from the snowmobile trails and enforcement
account in the natural resources fund for grants to local law enforcement
agencies for snowmobile enforcement activities.
Any unencumbered balance does not cancel at the end of the first year
and is available for the second year.
(e) $250,000 the first year
and $250,000 the second year are from the all-terrain vehicle account in the
natural resources fund for grants to qualifying organizations to assist in
safety and environmental education and monitoring trails on public lands under
Minnesota Statutes, section 84.9011. Grants
issued under this paragraph must be issued through a formal agreement with the
organization. By December 15 each year,
an organization receiving a grant under this paragraph must report to the
commissioner with details on expenditures and outcomes from the grant. Of this appropriation, $25,000 each year is
for administering these grants. Any
unencumbered balance does not cancel at the
end of the first year and is available for the second year.
(f) $510,000 the first year
and $510,000 the second year are from the natural resources fund for grants to
county law enforcement agencies for off-highway vehicle enforcement and public
education activities based on off-highway vehicle use in the county. Of this amount, $498,000 each year is from
the all-terrain vehicle account, $11,000 each year is from the off-highway
motorcycle account, and $1,000 each year is from the off-road vehicle account. The county enforcement agencies may use money
received under this appropriation to make grants to other local enforcement
agencies within the county that have a high concentration of off-highway vehicle
use. Of this appropriation, $25,000 each
year is for administering the grants. Any
unencumbered balance does not cancel at the end of the first year and is
available for the second year.
(g) $2,250,000 the first
year and $5,734,000 the second year are appropriated for inspections,
investigations, and enforcement activities taken in conjunction with the Board
of Animal Health for the white-tailed deer farm program and for statewide
response and management of chronic wasting disease. This appropriation is available until June
30, 2027. The base for fiscal year 2026
and beyond is $3,250,000.
(h) $3,000,000 of the
general fund appropriation for fiscal years 2022 and 2023 in Laws 2021, First
Special Session chapter 6, article 1, section 3, subdivision 7, paragraph (i),
for inspections, investigations, and enforcement activities taken in conjunction
with the Board of Animal Health for the white-tailed deer farm program is
canceled no later than June 29, 2023.
(i) $3,050,000 the first year
is for modernizing the enforcement aviation fleet. This appropriation is available until June
30, 2027.
(j) $360,000 the first year
and $360,000 the second year are for training department enforcement officers
and for maintaining and storing equipment for conservation officer public
safety responses. The training may not
include training for duties unrelated to enforcement of game and fish laws. This is a onetime appropriation.
|
Subd. 8. Operations
Support |
|
2,434,000 |
|
1,408,000 |
(a) $1,684,000 the first
year and $1,408,000 second year are for information technology security and
modernization. This is a onetime
appropriation.
(b) $750,000 the first year
is for legal costs. The unencumbered
amount of the general fund appropriation in Laws 2019, First Special Session
chapter 4, article 1, section 3, subdivision 8, for legal costs, estimated to
be $750,000, is canceled no later than June 29, 2023.
|
Subd. 9. Pass
Through Funds |
|
11,244,000 |
|
11,165,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
10,161,000 |
10,171,000 |
|
Natural
Resources |
510,000 |
510,000 |
|
Permanent School
|
573,000 |
484,000 |
(a) $510,000 the first year
and $510,000 the second year are from the natural resources fund for grants to
be divided equally between the city of St. Paul for the Como Park Zoo and
Conservatory and the city of Duluth for the Lake Superior Zoo. This appropriation is from revenue deposited
to the natural resources fund under Minnesota Statutes, section 297A.94,
paragraph (h), clause (5).
(b) $211,000 the first year
and $221,000 the second year are for the Office of School Trust Lands.
(c) $250,000 the first year
and $150,000 the second year are transferred from the forest suspense account
to the permanent school fund and are appropriated from the permanent school
fund for transaction and project management costs for divesting of school trust
lands within Boundary Waters Canoe Area Wilderness.
(d) $323,000 the first year
and $334,000 the second year are transferred from the forest suspense account
to the permanent school fund and are appropriated from the permanent school
fund for the Office of School Trust Lands.
(e) $9,950,000 the first year
and $9,950,000 the second year are to be added as a supplement to the 1854
Treaty Area agreement payment under Minnesota Statutes, section 97A.165. This is a onetime appropriation.
|
Subd. 10. Get Out MORE (Modernizing Outdoor Recreation Experiences) |
65,000,000 |
|
-0- |
(a) $65,000,000 the first
year is for modernizing Minnesota's state‑managed outdoor recreation
experiences. Of this amount:
(1) $25,000,000 is for
enhancing access and welcoming new users to public lands and outdoor recreation
facilities, including improvements to improve climate resiliency;
(2) $4,000,000 is for
modernizing camping and related infrastructure, including improvements to
improve climate resiliency;
(3) $25,000,000 is for
modernizing fish hatcheries and fishing infrastructure; and
(4) $11,000,000 is for
restoring streams and modernizing water‑related infrastructure with
priority given to fish habitat improvements, dam removal, and improvements to
improve climate resiliency.
(b) The commissioner may
reallocate money appropriated in paragraph (a) across those purposes based on
project readiness and priority. The
appropriations in paragraph (a) are available until June 30, 2029.
|
Subd. 11. Fiscal
Year 2023 Appropriation |
|
|
|
|
$1,000,000 in fiscal year
2023 is from the general fund to address safety concerns at the drill core
library. This is a onetime appropriation
and is available until June 30, 2026.
EFFECTIVE DATE. Subdivisions 6, 7, 8, and 11 are
effective the day following final enactment.
|
Sec. 4. BOARD
OF WATER AND SOIL RESOURCES |
$52,086,000 |
|
$46,574,000 |
(a) $3,116,000 the first year
and $3,116,000 the second year are for grants and payments to soil and water
conservation districts for accomplishing the purposes of Minnesota Statutes,
chapter 103C, and for other general purposes, nonpoint engineering, and
implementation and stewardship of the reinvest in Minnesota reserve program. Expenditures may be made from this
appropriation for supplies and services benefiting soil and water conservation
districts. Any district receiving a
payment under this paragraph must maintain a website that publishes, at a
minimum, the district's annual report, annual audit, annual budget, and meeting
notices.
(b) $761,000 the first year and
$761,000 the second year are to implement, enforce, and provide oversight for
the Wetland Conservation Act, including administering the wetland banking
program and in-lieu fee mechanism.
(c) $1,560,000 the first
year and $1,560,000 the second year are for the following:
(1) $1,460,000 each year is
for cost-sharing programs of soil and water conservation districts for
accomplishing projects and practices consistent with Minnesota Statutes,
section 103C.501, including perennially vegetated riparian buffers, erosion
control, water retention and treatment, water quality cost-sharing for feedlots
under 500 animal units and nutrient and manure management projects in
watersheds where there are impaired waters, and other high-priority
conservation practices; and
(2) $100,000 each year is
for county cooperative weed management programs and to restore native plants at
selected invasive species management sites.
(d) $166,000 the first year
and $166,000 the second year are to provide technical assistance to local
drainage management officials and for the costs of the Drainage Work Group. The board must coordinate the activities of
the Drainage Work Group according to Minnesota Statutes, section 103B.101,
subdivision 13. The Drainage Work Group
must review a drainage authority's power under Minnesota Statutes, chapter
103E, to consider the abandonment or dismantling of drainage systems; to
re-meander, restore, or reconstruct a natural waterway that has been modified
by drainage; or to deconstruct dikes, dams, or other water-control structures.
(e) $100,000 the first year
and $100,000 the second year are for a grant to the Red River Basin Commission
for water quality and floodplain management, including program administration. This appropriation must be matched by
nonstate funds.
(f) $140,000 the first year
and $140,000 the second year are for grants to Area II Minnesota River Basin
Projects for floodplain management.
(g) $125,000 the first year
and $125,000 the second year are for conservation easement stewardship.
(h) $240,000 the first year
and $240,000 the second year are for a grant to the Lower Minnesota River
Watershed District to defray the annual cost of operating and maintaining sites
for dredge spoil to sustain the state, national, and international commercial
and recreational navigation on the lower Minnesota River.
(i) $2,000,000 the first year
and $2,000,000 the second year are for the lawns to legumes program under
Minnesota Statutes, section 103B.104. The
board may enter into agreements with local governments, Metro Blooms, and other
organizations to support this effort. This
appropriation is available until June 30, 2029.
The base for fiscal year 2026 and each year thereafter is $250,000.
(j) $2,000,000 the first
year and $2,000,000 the second year are for the habitat enhancement landscape
program under Minnesota Statutes, section 103B.106. This is a onetime appropriation and is
available until June 30, 2029.
(k) $203,000 the first year
and $203,000 the second year are for soil health practice adoption purposes
consistent with the cost‑sharing provisions of Minnesota Statutes,
section 103C.501, and for soil health program responsibilities in consultation
with the University of Minnesota Office for Soil Health.
(l) $8,500,000 the first
year and $8,500,000 the second year are for conservation easements and to
restore and enhance grasslands and adjacent lands consistent with Minnesota
Statutes, sections 103F.501 to 103F.531, for the purposes of climate resiliency,
adaptation, carbon sequestration, and related benefits. Of this amount, up to $423,000 is for deposit
in the water and soil conservation easement stewardship account established
under Minnesota Statutes, section 103B.103.
This is a onetime appropriation and is available until June 30, 2029. The board must give priority to leveraging
nonstate funding, including practices, programs, and projects funded by the U.S.
Department of Agriculture via the Conservation Reserve Enhancement Program, the
Conservation Reserve Program, the Federal Inflation Reduction Act, the Federal
Farm Bill, or the Climate-Smart Commodities Program.
(m) $2,500,000 the first
year and $5,000,000 the second year are to acquire conservation easements and
to restore and enhance peatlands and adjacent lands consistent with Minnesota
Statutes, sections 103F.501 to 103F.531, for the purposes of climate resiliency,
adaptation, carbon sequestration, and related benefits. Of this amount, up to $299,000 is for deposit
in the water and soil conservation easement stewardship account established
under Minnesota Statutes, section 103B.103.
This is a onetime appropriation and is available until June 30, 2029. The board must give priority to leveraging
nonstate funding, including practices, programs, and projects funded by the U.S.
Department of Agriculture via the Conservation Reserve Enhancement Program, the
Conservation Reserve Program, the Federal Inflation Reduction Act, the Federal
Farm Bill, or the Climate-Smart Commodities Program.
(n) $3,550,000 the first year
and $3,550,000 the second year are to enhance existing easements established
under Minnesota Statutes, sections 103F.501 to 103F.531. Enhancements are for the purposes of climate
resiliency, adaptation, and carbon sequestration and include but are not
limited to increasing biodiversity and mitigating the effects of rainfall and
runoff events. This is a onetime
appropriation and is available until June 30, 2029. The board must give priority to leveraging
nonstate funding, including practices, programs, and projects funded by the U.S.
Department of Agriculture via the Conservation Reserve Enhancement Program, the
Conservation Reserve Program, the Federal Inflation Reduction Act, the Federal
Farm Bill, or the Climate-Smart Commodities Program.
(o) $8,500,000 the first
year and $8,500,000 the second year are for water quality and storage practices
and projects to protect infrastructure, improve water quality and related
public benefits, and mitigate climate change impacts consistent with Minnesota
Statutes, sections 103F.05 and 103F.06. This
is a onetime appropriation and is available until June 30, 2029. The board must give priority to leveraging
nonstate funding, including practices, programs, and projects funded by the U.S.
Department of Agriculture via the Conservation Reserve Enhancement Program, the
Conservation Reserve Program, the Federal Inflation Reduction Act, the Federal
Farm Bill, or the Climate-Smart Commodities Program.
(p) $4,673,000 the first
year and $4,673,000 the second year are for natural resources block grants to
local governments to implement the Wetland Conservation Act and shoreland
management program under Minnesota Statutes, chapter 103F, and local water management
responsibilities under Minnesota Statutes, chapter 103B. The board may reduce the amount of the
natural resources block grant to a county by an amount equal to any reduction
in the county's general services allocation to a soil and water conservation
district from the county's previous year allocation when the board determines
that the reduction was disproportionate.
The base for this appropriation in fiscal year 2026 and beyond is
$3,423,000.
(q) $129,000 the first year
and $136,000 the second year are to accomplish the objectives of Minnesota
Statutes, section 10.65, and related Tribal government coordination. The base for fiscal year 2026 and each year
thereafter is $144,000.
(r) $5,000,000 the first
year is to provide onetime state incentive payments to enrollees in the federal
Conservation Reserve Program (CRP) during the continuous enrollment period and
to enroll complementary areas in conservation easements consistent with
Minnesota Statutes, section 103F.515. The
board may establish payment rates based on land valuation and on environmental
benefit criteria, including but
not limited to surface water or groundwater pollution reduction, drinking water
protection, soil health, pollinator and wildlife habitat, and other
conservation enhancements. The board may
use state funds to implement the program and to provide technical assistance to
landowners or their agents to fulfill enrollment and contract provisions. The board must consult with the commissioners
of agriculture, health, natural resources, and the Pollution Control Agency and
the United States Department of Agriculture in establishing program criteria. This is a onetime appropriation and is
available until June 30, 2027.
(s) $3,000,000 the first
year is to acquire conservation easements from landowners to preserve, restore,
create, and enhance wetlands and associated uplands of prairie and grasslands
and to restore and enhance rivers and streams, riparian lands, and associated
uplands of prairie and grasslands, in order to protect soil and water quality,
support fish and wildlife habitat, reduce flood damage, and provide other
public benefits. Minnesota Statutes,
section 103F.515, applies to this program.
The board must give priority to leveraging federal money by enrolling
targeted new lands or enrolling environmentally sensitive lands that have
expiring federal conservation agreements.
The board is authorized to enter into new agreements and amend past
agreements with landowners as required by Minnesota Statutes, section 103F.515,
subdivision 5, to allow for restoration.
Up to five percent of this appropriation may be used for restoration and
enhancement.
(t) $200,000 the first year
is to establish the drainage registry information portal under Minnesota
Statutes, section 103E.122.
(u) $5,623,000 the first
year and $5,804,000 the second year are for agency administration and operation
of the Board of Water and Soil Resources.
(v) The board may shift
money in this section and may adjust the technical and administrative
assistance portion of the funds to leverage federal or other nonstate funds or
to address accountability, oversight, local government performance, or high‑priority
needs.
(w) Returned grants and
payments are available for two years after they are returned or regranted,
whichever is later. Funds must be
regranted consistent with the purposes of this section. If an appropriation for grants in either year
is insufficient, the appropriation in the other year is available for it.
(x) Notwithstanding
Minnesota Statutes, section 16B.97, grants awarded from appropriations in this
section are exempt from the Department of Administration, Office of Grants
Management Policy 08-08 Grant Payments and 08-10 Grant Monitoring.
|
Sec. 5. METROPOLITAN COUNCIL |
|
$47,490,000 |
|
$16,490,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
38,540,000 |
7,540,000 |
|
Natural
Resources |
8,950,000 |
8,950,000 |
(a) $7,540,000 the first
year and $7,540,000 the second year are for metropolitan-area regional parks
operation and maintenance according to Minnesota Statutes, section 473.351. The base for this appropriation in fiscal
year 2026 and beyond is $2,540,000.
(b) $8,950,000 the first
year and $8,950,000 the second year are from the natural resources fund for
metropolitan-area regional parks and trails maintenance and operations. This appropriation is from revenue deposited
in the natural resources fund under Minnesota Statutes, section 297A.94,
paragraph (h), clause (3).
(c) $5,000,000 the first
year is for developing a decision-making support tool set to help local
partners quantify the risks of a changing climate and prioritize strategies
that mitigate those risks. This is a onetime appropriation and is available
until June 30, 2027.
(d) $9,000,000 the first
year is to modernize regional parks and trails.
This is a onetime appropriation and is available until June 30,
2027.
(e) $5,000,000 the first
year is for reducing the amount of inflow and infiltration to the Metropolitan
Council's metropolitan sanitary sewer disposal system. Of this amount, $4,000,000 is for grants to
cities for capital improvements in municipal wastewater collection systems
under Minnesota Statutes, section 473.5491, and $1,000,000 is for grants and
loans to inspect, repair, and replace privately owned sewer service lines. Priority for grants and loans for privately
owned lines must be given to applicants with a household income at or below 80
percent of area median income. This is a onetime appropriation and is available
until June 30, 2026.
(f) $9,000,000 the first
year is for grants to implementing agencies to remove hazardous trees and
replace ash trees with more diverse, climate-adapted species within the
metropolitan regional park system. This
is a onetime appropriation.
(g) $3,000,000 the first
year is to develop a comprehensive plan to ensure communities in the White Bear
Lake area have access to sufficient safe drinking water to allow for municipal
growth while simultaneously ensuring the sustainability of surface water and
groundwater resources to supply the needs of future generations. The Metropolitan Council must establish a
work group consisting
of the commissioners of natural
resources, health, and the Pollution Control Agency or their designees and
representatives from the Metropolitan Area Water Supply Advisory Committee; the
St. Paul Regional Water Services; the cities of Stillwater, Mahtomedi,
Hugo, Lake Elmo, Lino Lakes, North St. Paul, Oakdale, Vadnais Heights,
Shoreview, Woodbury, New Brighton, and White Bear Lake; and the town of White
Bear to advise the council in developing the comprehensive plan. This is a onetime appropriation and is available
until June 30, 2027. The comprehensive
plan must:
(1) evaluate methods for
conserving and recharging groundwater in the area, including:
(i) converting water
supplies that are groundwater dependent to total or partial supplies from
surface water sources;
(ii) reusing water,
including water discharged from contaminated wells;
(iii) projects designed to
increase groundwater recharge; and
(iv) other methods for
reducing groundwater use;
(2) based on the evaluation
conducted under clause (1), determine which existing groundwater supply wells,
if converted to surface water sources, would be most effective and efficient in
ensuring future water sustainability in the area;
(3) identify a long-term
plan for converting groundwater supply wells identified in clause (2) to
surface water sources, including recommendations on water supply governance and
concept-level engineering that addresses preliminary design considerations, including
supply source, treatment, distribution, operation, and financing needed to
complete any changes to water supply infrastructure;
(4) include any policy and
funding recommendations for converting groundwater supply wells to surface
water sources, recommendations for treating and reusing wastewater, and any
other recommendations for additional measures that reduce groundwater use, promote
water reuse, and increase groundwater recharge;
(5) include any policy and
funding recommendations for local wastewater treatment and recharge; and
(6) be submitted to the
chairs and ranking minority members of the house of representatives and senate
committees and divisions with jurisdiction over environment and natural
resources finance and policy by June 30, 2027.
|
Sec. 6. CONSERVATION CORPS MINNESOTA |
|
$1,195,000 |
|
$1,195,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
705,000 |
705,000 |
|
Natural
Resources |
490,000 |
490,000 |
Conservation Corps Minnesota
may receive money appropriated from the natural resources fund under this
section only as provided in an agreement with the commissioner of natural
resources.
|
Sec. 7. ZOOLOGICAL
BOARD |
|
$14,494,000 |
|
$13,812,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
14,239,000 |
13,557,000 |
|
Natural
Resources |
255,000 |
255,000 |
(a) $255,000 the first year
and $255,000 the second year are from the natural resources fund from revenue
deposited under Minnesota Statutes, section 297A.94, paragraph (h), clause (5).
(b) $850,000 the first year
is to improve safety and security at the Minnesota Zoo. This is a onetime appropriation.
(c) $250,000 the first year
is for removing hazardous trees and replacing ash trees with more diverse,
climate-adapted species. This is a
onetime appropriation.
|
Sec. 8. SCIENCE
MUSEUM |
|
$10,200,000 |
|
$1,710,000 |
$9,000,000 the first year
and $450,000 the second year are for debt reduction, rehiring and retaining
employees, and reducing entrance fees for fiscal years 2024 and 2025.
|
Sec. 9. LEGISLATIVE
COORDINATING COMMISSION |
$52,000 |
|
$52,000 |
$52,000 the first year and
$52,000 the second year are for the Legislative Water Commission established in
this act.
|
Sec. 10. UNIVERSITY
OF MINNESOTA |
|
$8,433,000 |
|
$1,856,000 |
(a) $1,633,000 the first
year and $1,856,000 the second year are for chronic wasting disease contingency
plans developed by the Center for Infectious Disease Research and Policy. The center must develop, refine, and share
with relevant experts and stakeholders contingency plans regarding the
potential transmission of chronic wasting disease from Cervidae to humans,
livestock, and other
species. The contingency plans must provide a
blueprint for preparedness and response planning documents, including
authoritative risk communication, education, and outreach materials. This is a onetime appropriation and is
available until June 30, 2026.
(b) $200,000 the first year
is for the University of Minnesota Water Council to develop a scope of work,
timeline, and budget for the 50-year clean water plan as required under this
act.
(c) $6,600,000 the first
year is for the Minnesota Aquatic Invasive Species Research Center to enhance
and implement the center's aquatic invasive species research-based solutions
through:
(1) implementation of a
watershed-scale carp management plan and additional research focused on
site-specific method refinement and evaluation;
(2) creation of a long-term
monitoring program with state and local partners that evaluates the feasibility
of whole-lake zebra mussel control projects and the development of criteria for
selecting and managing lakes;
(3) refinement and
implementation of large-scale surveillance and early detection methods for
high-priority aquatic invasive species, including but not limited to zebra
mussels, spiny water flea, and starry stonewort; and
(4) development and sharing,
with relevant experts and stakeholders, contingency plans regarding the
potential risks of aquatic invasive species.
The contingency plans must provide a blueprint for preparedness and
response planning documents, including authoritative risk communication,
education, and outreach materials. The
communication, education, and outreach materials must be prepared in multiple
languages, including but not limited to Tribal languages.
(d) The board must ensure
that the Minnesota Aquatic Invasive Species Research Center coordinates
research activities funded under paragraph (c) with Tribal governments.
(e) The appropriation under paragraph (c) is onetime and available until June 30, 2027.
|
Sec. 11. PUBLIC
SAFETY |
|
$-0- |
|
$229,000 |
$229,000 the second year is
from the fire safety account in the special revenue fund for purposes of the
class B firefighting foam requirements under Minnesota Statutes, section
325F.072.
Sec. 12. APPROPRIATIONS
GIVEN EFFECT ONCE.
If an appropriation or
transfer in this article is enacted more than once during the 2023 regular
session, the appropriation or transfer must be given effect once.
ARTICLE 2
ENVIRONMENT AND NATURAL RESOURCES TRUST FUND
|
Section 1. APPROPRIATIONS. |
The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the purposes specified in this article.
The appropriations are from the environment and natural resources trust
fund, or another named fund, and are available for the fiscal years indicated
for each purpose. The figures
"2024" and "2025" used in this article mean that the
appropriations listed under them are available for the fiscal year ending June
30, 2024, or June 30, 2025, respectively.
"The first year" is fiscal year 2024. "The second year" is fiscal year
2025. "The biennium" is fiscal
years 2024 and 2025. Any unencumbered
balance remaining in the first year does not cancel and is available for the
second year or until the end of the appropriation. These are onetime appropriations.
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
Available for the
Year |
|
|
|
|
|
Ending June 30 |
|
|
|
|
|
2024 |
2025 |
|
Sec. 2. MINNESOTA
RESOURCES |
|
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$79,833,000 |
|
$-0- |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
Environment and Natural Resources Trust Fund |
79,644,000 |
-0- |
|
Great Lakes
Protection Account |
189,000 |
-0- |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Definitions
|
|
|
|
|
(a) "Trust fund"
means the Minnesota environment and natural resources trust fund established
under the Minnesota Constitution, article XI, section 14.
(b) "Great Lakes
protection account" means the account referred to in Minnesota Statutes,
section 116Q.02.
|
Subd. 3. Foundational Natural Resource Data and Information |
8,219,000 |
|
-0- |
|
(a) Assessing Restorations for Rusty-Patched and Other Bumblebee Habitat |
|
|
|
$75,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Friends of the Mississippi River to assess how prairie restoration and
different
restoration seeding methods
affect bumblebee abundance, diversity, and habitat and make recommendations to
improve restoration outcomes.
|
(b) Removing Barriers to Carbon Market
Entry |
|
|
|
|
$482,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
develop ground-tested carbon stock models of forest resources throughout
Minnesota to enable better resource management of public and private forests as
well as generate reliable tools for landowners seeking to enter carbon markets.
|
(c) Mapping Migratory Bird Pit Stops in
Minnesota |
|
|
|
|
$340,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the National Audubon Society, Minnesota office, to identify avian
migratory stopover sites, develop a shared decision-support tool, and publish
guidance for conserving migratory birds in Minnesota. This appropriation is available until June
30, 2027, by which time the project must be completed and final products
delivered.
|
(d) Enhancing Knowledge of Minnesota River Fish Ecology |
|
|
|
$199,000 the first year is
from the trust fund to the commissioner of natural resources to collect
baseline information about the diets, distribution, status, and movement
patterns of fish in the Minnesota River to inform management and conservation
decisions.
|
(e) Changing Distribution of Flying Squirrel Species in Minnesota |
|
|
|
$186,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the Natural Resources Research Institute in Duluth to determine current
distribution and habitat associations of northern and southern flying squirrels
to fill key knowledge gaps in flying squirrel status in Minnesota.
|
(f) Statewide Forest Carbon Inventory and Change Mapping |
|
|
|
$987,000 the first year is
from the trust fund to the commissioner of natural resources to work with
Minnesota Forest Resources Council, Minnesota Forestry Association, the Board
of Water and Soil Resources, and the University of Minnesota to develop a programmatic
approach and begin collecting plot-based inventories on private forestland for
use with remote sensing data to better assess changing forest conditions and
climate mitigation opportunities across all ownerships in the state.
|
(g) Predicting the Future of Aquatic Species by Understanding the Past |
|
|
|
$170,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
use past and present information to model future ranges of native aquatic
species in Minnesota to generate publicly available tools for species and
habitat management.
|
(h) Assessing Status of Common Tern Populations in Minnesota |
|
|
|
$199,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the Natural Resources Research Institute in Duluth to assess the population
status of Common Tern breeding colonies in Minnesota, implement management
activities, and develop a standardized monitoring protocol and online database
for accessing current and historic monitoring data to help prioritize
conservation and restoration actions for this state-threatened species.
|
(i) Salvaged Wildlife to Inform Environmental Health, Ecology, and Education |
|
|
|
$486,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota,
Bell Museum of Natural History, to establish a statewide network to collect,
analyze, and archive salvaged dead wildlife and build a foundation of
biodiversity resources to track ecosystem-wide changes, monitor environmental
health, and educate Minnesotans about the value of scientific specimens.
|
(j) Developing Conservation Priorities for Rare and Specialist Bees |
|
|
|
$619,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
collect data on rare and specialist bees and their habitat preferences,
determine their conservation status, and develop strategies to improve their
chances of survival.
|
(k) Efficacy of Urban Archery Hunting to
Manage Deer |
|
|
|
|
$393,000 the first year is
from the trust fund to the Board of Trustees of the Minnesota State Colleges
and Universities for Bemidji State University to conduct an analysis of deer
survival, habitat use, and hunter data in the city of Bemidji to improve
special archery hunt management practices in urban areas of the state.
|
(l) Mapping the Ecology of Urban and Rural
Canids |
|
|
|
|
$601,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
determine how disease prevalence, diet, habitat use, and interspecies
interactions of coyotes and foxes change from urban to rural areas along the
Mississippi River corridor.
|
(m) |
|
|
|
$482,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
continue monitoring forested peatland hydrology and wildlife, conduct new
wildlife and habitat surveys, and quantify carbon storage to provide support
for management decisions.
|
(n) Modernizing Minnesota's Wildlife (and Plant) Action Plan |
|
|
|
$889,000 the first year is
from the trust fund to the commissioner of natural resources to modernize the
Minnesota Wildlife Action Plan by filling critical data gaps, including adding
rare plants to the plan, and standardizing conservation status assessment
methods to ensure Minnesota's natural heritage is protected into the future.
|
(o) Linking Breeding and Migratory Bird Populations in Minnesota |
|
|
|
$199,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Hawk Ridge Bird Observatory to map year-round habitat use of understudied
bird species of special conservation concern and evaluate areas with the
greatest risk of contaminant exposure.
|
(p) Old Growth Forest Monitoring |
|
|
|
|
$441,000 the first year is
from the trust fund to the commissioner of natural resources to establish
baseline conditions and develop a cost-effective method to monitor
approximately 93,000 acres of old growth forest in Minnesota to ensure that
these rare and important forest resources are properly protected.
|
(q) Integrating Remotely Sensed Data with Traditional Forest Inventory |
|
|
|
$191,000 the first year is from
the trust fund to the Board of Regents of the University of Minnesota for the
Natural Resources Research Institute in Duluth to calibrate and optimize the
use of LiDAR for forest inventory purposes and estimate stand-level forest
resource metrics in northeastern Minnesota so ecosystem services can be better
considered in management decisions.
|
(r) Community Response Monitoring for Adaptive Management in Southeast Minnesota |
|
|
|
$483,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with The Nature Conservancy to assess community-level plant and animal
responses to past restoration efforts in select southeast Minnesota
conservation focus areas to determine if management outcomes are being
achieved.
|
(s) Minnesota Biodiversity Atlas - Phase III |
|
|
|
|
$797,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota,
Bell Museum of Natural History, to expand the Minnesota Biodiversity Atlas to include
more than 2,000,000 records and images of Minnesota wildlife, plants, and fungi
by adding insect specimens, collections from new partners, historical data, and
repatriating records of Minnesota's biodiversity that exist in various federal
institutions.
|
Subd. 4. Water
Resources |
|
8,328,000 |
|
-0- |
|
Appropriations by Fund |
||
|
Environment and
Natural Resources Trust Fund |
8,139,000 |
-0- |
|
Great Lakes
Protection Account |
189,000 |
-0- |
|
(a) Ditching Delinquent Ditches: Optimizing Wetland Restoration |
|
|
|
$199,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
use new techniques to identify and rank areas statewide where targeted removal
of poorly functioning drainage ditches and restoration to wetlands can provide
maximum human and ecological benefits, including aquifer recharge and flood
prevention.
|
(b) Assessment of Red River Basin Project
Outcomes |
|
|
|
|
$920,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Red River Watershed Management Board acting as fiscal agent for the Red
River Basin Flood Damage Reduction Work Group to plan and implement multiresource
monitoring at flood damage reduction and natural resource enhancement projects
across the Red River Basin to evaluate outcomes and improve design of future
projects at a regional scale. This
appropriation is available until June 30, 2028, by which time the project must
be completed and final products delivered.
|
(c) Wind Wave and Boating Impacts on
Inland Lakes |
|
|
|
|
$415,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the St. Anthony Falls Laboratory to conduct a field study to measure the
impacts of boat propeller wash and boat wakes on lake bottoms, shorelines, and
water quality compared to the impacts of wind-generated waves.
|
(d) Finding, Capturing, and Destroying PFAS in Minnesota Waters |
|
|
|
$478,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
develop novel methods for the detection, sequestration, and degradation of
poly- and perfluoroalkyl substances (PFAS) in Minnesota's lakes and rivers.
|
(e) Sinking and Suspended Microplastic Particles in Lake Superior |
|
|
|
$412,000 the first year is
to the Board of Regents of the University of Minnesota for the Large Lakes
Observatory in Duluth to investigate the abundance, characteristics, and fate
of microplastic particles in Lake Superior to inform remediation strategies and
analyses of environmental impacts. Of
this amount, $189,000 is from the Great Lakes protection account and $223,000
is from the trust fund. These
appropriations may also be used to educate the public about the research
conducted with this appropriation.
|
(f) Ecotoxicological Impacts of Quinone Outside Inhibitor (QoI) Fungicides |
|
|
|
$279,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the University of St. Thomas to assess the ecological hazards
associated with QoI fungicides and their major environmental transformation
products.
|
(g) Brightsdale Dam Channel Restoration |
|
|
|
|
$1,004,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Fillmore County Soil and Water Conservation District to reduce
sedimentation and improve aquatic habitat by restoring a channel of the north
branch of the Root River at the site of a failed hydroelectric power dam that
was removed in 2003.
|
(h) Mapping Aquifer Recharge Potential |
|
|
|
|
$391,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the St. Anthony Falls Laboratory to partner with the Freshwater Society to
develop a practical tool for mapping aquifer recharge potential, demonstrate
the tool with laboratory and field tests, use the tool to evaluate recharge
potential of several aquifers in Minnesota, and analyze aquifer recharge
policy.
|
(i) ALASD's Chloride Source Reduction
Pilot Program |
|
|
|
|
$764,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Alexandria Lake Area Sanitary District (ALASD) to coordinate with Douglas
County and the Pollution Control Agency to pilot an incentive program for
residences and businesses to
install high-efficiency water softeners, salt-free systems, or softener
discharge disposal systems to reduce the annual salt load to Lake Winona and
downstream waters. The pilot program
includes rebates, inspections, community education, and water quality
monitoring to measure chloride reduction success. This appropriation is available until June
30, 2027, by which time the project must be completed and final products
delivered.
|
(j) Removing CECs from Stormwater with
Biofiltration |
|
|
|
|
$641,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the St. Anthony Falls Laboratory to develop a treatment practice design
using biofiltration media to remove contaminants of emerging concern (CECs)
from stormwater runoff and to provide statewide stormwater management guidance.
|
(k) Didymo II The North Shore Threat
Continues |
|
|
|
|
$394,000 the first year is
from the trust fund to the Science Museum of Minnesota for the St. Croix
Watershed Research Station to identify North Shore streams with didymo,
determine the risk of invasion to other streams, document didymo impacts to
stream functioning, and develop strategies to prevent further spread of didymo.
|
(l) Leveraging Data Analytics Innovations for Watershed District Planning |
|
|
|
$738,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Minnehaha Creek Watershed District to integrate local and statewide data
sets into a high-resolution planning tool that forecasts the impacts of
changing precipitation patterns and quantitatively compares cost effectiveness
and outcomes for water quality, ecological integrity, and flood prevention
projects in the district. Minnehaha
Creek Watershed District may license third parties to use products developed
with this appropriation without further approval from the legislature or the
Legislative-Citizen Commission on Minnesota Resources, provided the licensing
does not generate income. This
appropriation is subject to Minnesota Statutes, section 116P.10.
|
(m) Protecting Water in the Central Sands Region of the Mississippi River Headwaters |
|
|
|
$1,693,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the White Earth Band of Minnesota Chippewa Indians to conduct a policy
analysis and assess aggregate irrigation impacts on water quality and quantity
in the Pineland Sands region of the state.
|
Subd. 5.
Environmental Education |
|
3,905,000 |
|
-0- |
|
(a) Fostering Conservation by Connecting Students to the BWCA |
|
|
|
$1,080,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Friends of the Boundary Waters Wilderness to connect Minnesota youth
to the Boundary Waters through environmental education, experiential learning,
and wilderness canoe trips.
|
(b) Statewide Environmental Education via PBS Outdoor Series |
|
|
|
$391,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Pioneer Public Broadcasting Service to produce new episodes of a statewide
public television series and an educational web page designed to inspire
Minnesotans to connect with the outdoors and to restore and protect the state's
natural resources.
|
(c) Increasing Diversity in Environmental
Careers |
|
|
|
|
$763,000 the first year is from
the trust fund to the commissioner of natural resources in cooperation with
Conservation Corps Minnesota and Iowa to ensure a stable and prepared natural
resources work force in Minnesota by encouraging a diversity of students to
pursue careers in environment and natural resources through internships,
mentorships, and fellowships with the Department of Natural Resources, the
Board of Water and Soil Resources, and the Pollution Control Agency. This appropriation is available until June
30, 2028, by which time the project must be completed and final products
delivered.
|
(d) Reducing Biophobia & Fostering Environmental Stewardship in Underserved Schools |
|
|
|
$180,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the Raptor Center to foster long-lasting environmental stewardship and literacy
in Minnesota youth in underserved schools by providing engaging, multiunit,
standards-based environmental programming featuring positive interactions with
raptors and evaluating program effectiveness and areas for improvement.
|
(e) Sharing Minnesota's Biggest Environmental Investment |
|
|
|
$628,000 the first year is
from the trust fund to the Science Museum of Minnesota, in coordination with
the Legislative‑Citizen Commission on Minnesota Resources (LCCMR), to
increase public access to the results of LCCMR‑recommended research,
including through a free online interactive map, in-depth videos, and public
events.
|
(f) North Shore Private Forestry Outreach and Implementation |
|
|
|
$375,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Sugarloaf: The North Shore
Stewardship Association to conduct outreach to private forest landowners,
develop site restoration plans, and connect landowners with restoration
assistance to encourage private forest restoration and improve the ecological
health of Minnesota's North Shore forest landscape.
|
(g) Teaching Students about Watersheds through Outdoor Science |
|
|
|
$290,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Minnesota Trout Unlimited to engage students in classroom and outdoor
hands-on learning focused on water quality, groundwater, aquatic life, and
watershed stewardship and provide youth and their families with fishing
experiences to further foster a conservation ethic.
|
(h) Bioblitz Urban Parks: Engaging Communities in Scientific Efforts |
|
|
|
$198,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Minneapolis Park and Recreation Board to work with volunteers to
collect baseline biodiversity data for neighborhood and regional parks to
inspire stewardship and inform habitat restoration work.
|
Subd. 6. Aquatic
and Terrestrial Invasive Species |
|
5,104,000 |
|
-0- |
|
(a) Northward Expansion of Ecologically Damaging Amphibians and Reptiles |
|
|
|
$163,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
assess the distribution and potential for expansion of key detrimental and
nonnative amphibians and reptiles in Minnesota.
|
(b) Developing Research-Based Solutions to Minnesota's AIS Problems |
|
|
|
$4,941,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota for
the Minnesota Aquatic Invasive Species Research Center to conduct high-priority
projects aimed at solving Minnesota's aquatic invasive species problems using
rigorous science and a collaborative process.
Additionally, funds may be spent to deliver research findings to end
users through strategic communication and outreach. This appropriation is subject to Minnesota
Statutes, section 116P.10. This
appropriation is available until June 30, 2027, by which time the project must
be completed and final products delivered.
|
Subd. 7. Air Quality, Climate Change, and Renewable Energy |
3,913,000 |
|
-0- |
|
(a) Community Forestry AmeriCorps |
|
|
|
|
$1,500,000 the first year
is from the trust fund to the commissioner of natural resources for an
agreement with ServeMinnesota to preserve and increase tree canopy throughout
the state by training, supporting, and deploying AmeriCorps members to local
agencies and nonprofit organizations to plant and inventory trees, develop and
implement pest management plans, create and maintain nursery beds for
replacement trees, and organize opportunities for community engagement in tree
stewardship activities.
|
(b) Biochar Implementation in Habitat Restoration: A Pilot |
|
|
|
$185,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Great River Greening to pilot the use of portable biochar kilns as an
alternative to open-pile burning of trees and shrubs to reduce smoke and carbon
emissions and produce beneficial by-products from invasive species removal and
land restoration efforts.
|
(c) Completing Installment of the Minnesota Ecological Monitoring Network |
|
|
|
$1,094,000 the first year
is from the trust fund to the commissioner of natural resources to improve
conservation and management of Minnesota's native forests, wetlands, and
grasslands by completing the Ecological Monitoring Network to measure
ecosystems' change through time.
|
(d) Lichens as Low-Cost Air Quality Monitors in Minnesota |
|
|
|
$341,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
develop community science protocols for using lichens as indicators of air
quality and conduct an analysis of air pollution changes across Minnesota in
the present and in the past century.
|
(e) Environment-Friendly Decarbonizing of Steel Production with Hydrogen Plasma |
|
|
|
$739,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
investigate the use of microwave hydrogen plasma to reduce fossil fuel use,
carbon dioxide emissions, and waste and enable the use of alternative iron
resources, including lower quality iron ores, tailings, and iron ore waste piles,
in the iron-making industry. This
appropriation is subject to Minnesota Statutes, section 116P.10.
|
(f) Economic Analysis Guide for Minnesota Climate Investments |
|
|
|
$54,000 the first year is
from the trust fund to the commissioner of the Minnesota Pollution Control
Agency to create a guide that will incorporate nation-wide best practices for
considering costs, benefits, economics, and equity in Minnesota climate policy
decisions.
|
Subd. 8. Methods to Protect or Restore Land, Water, and Habitat |
15,997,000 |
|
-0- |
|
(a) Minnesota Bee and Beneficial Species Habitat Enhancement II |
|
|
|
$876,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Pheasants Forever Inc. to enhance grassland habitats to benefit
pollinators and other wildlife species on permanently protected lands and to
collaborate with the University of Minnesota to determine best practices for
seeding timing and techniques.
|
(b) Karner Blue Butterfly Insurance Population Establishment in Minnesota |
|
|
|
$405,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Three Rivers Park District to establish a breeding population of the
federally endangered Karner blue butterfly on protected lands within the
butterfly's northern expanding range, increase the habitat area, and evaluate
the butterfly establishment effort to assist with adaptive management. This appropriation is available until June
30, 2027, by which time the project must be completed and final products
delivered.
|
(c) Root River Habitat Restoration at
Eagle Bluff |
|
|
|
|
$866,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Eagle Bluff Environmental Learning Center to restore habitat in and
alongside the Root River north of Lanesboro, Minnesota, and to conduct
monitoring to ensure water quality and fish population improvements are
achieved. This appropriation is
available until June 30, 2028, by which time the project must be completed and
final products delivered.
|
(d) Restoring Mussels in Streams and Lakes - Continuation |
|
|
|
$825,000 the first year is
from the trust fund to the commissioner of natural resources to propagate,
rear, and restore native freshwater mussel assemblages and the ecosystem
services they
provide in the Mississippi,
Cedar, and Cannon Rivers; to evaluate reintroduction success; and to inform the
public on mussels and mussel conservation.
|
(e) Minnesota Million: Seedlings for Reforestation and CO 2 Sequestration |
|
|
|
$906,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota,
Duluth, to collaborate with The Nature Conservancy and Minnesota Extension to
expand networks of seed collectors and tree growers and to research tree
planting strategies to accelerate reforestation for carbon sequestration, wildlife
habitat, and watershed resilience.
|
(f) Panoway on Wayzata Bay Shoreline Restoration Project |
|
|
|
$200,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Wayzata to restore native lake bottom and shoreline vegetation
to improve shoreline stability, wildlife habitat, and the natural beauty of
Lake Minnetonka's Wayzata Bay. The
recipient must report to the Legislative-Citizen Commission on Minnesota
Resources on the effectiveness of any new methods tested while conducting the
project and may use a portion of the appropriation to prepare that report.
|
(g) Pollinator Central III: Habitat Improvement with Community Monitoring |
|
|
|
$190,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Great River Greening to restore and enhance pollinator habitat in parks,
schools, and other public spaces to benefit pollinators and people and to build
knowledge about impacts of the pollinator plantings through community-based
monitoring.
|
(h) Restoring
Forests and Savannas Using Silvopasture ‑ Phase II |
|
|
|
$674,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Great River Greening to continue to partner with the University of
Minnesota and the Sustainable Farming Association to demonstrate, evaluate, and
increase adoption of the combined use of intensive tree, forage, and grazing as
a method to restore and manage forest and savanna habitats.
|
(i) Minnesota Community Schoolyards |
|
|
|
|
$1,433,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with The Trust for Public Land to engage students and communities to create nature-focused
habitat improvements at schoolyards across the state to increase environmental
outcomes and encourage outdoor learning.
|
(j) Pollinator Enhancement and Mississippi River Shoreline Restoration |
|
|
|
$187,000 the first year is
from the trust fund to the adjutant general of the Department of Military
Affairs to restore native prairie, support pollinator plantings, and stabilize
a large section of stream bank along the Mississippi River within Camp Ripley.
|
(k) Conservation Cooperative for Working
Lands |
|
|
|
|
$2,611,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Pheasants Forever Inc. to collaborate with Natural Resources Conservation
Service, Board of Water and Soil Resources, and Minnesota Association of Soil
and Water Conservation Districts to accelerate adoption of voluntary
conservation practices on working lands in Minnesota by increasing technical
assistance to farmers and landowners while also attracting federal matching
funds.
|
(l) Quantifying Environmental Benefits of Peatland Restoration in Minnesota |
|
|
|
$754,000 the first year is
from the trust fund to the Board of Regents of the University of Minnesota to
quantify the capacity of restored peatlands to store and accumulate atmospheric
carbon and prevent release of accumulated mercury into the surrounding
environment. This appropriation is
available until June 30, 2027, by which time the project must be completed and
final products delivered.
|
(m) Renewing Access to an Iconic North
Shore Vista |
|
|
|
|
$197,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Superior Hiking Trail Association to use national trail design best
practices to renew trails and a campground along the Bean and Bear Lakes
section of the Superior Hiking Trail that provides access to one of Minnesota's
most iconic vistas.
|
(n) Addressing Erosion Along High Use
River Loops |
|
|
|
|
$368,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Superior Hiking Trail Association to rehabilitate and renew popular
river loops of the Superior Hiking Trail to withstand high visitor use and
serve Minnesotans for years to come.
|
(o) Pollinator Habitat Creation at Minnesota Closed Landfills |
|
|
|
$1,508,000 the first year is
from the trust fund to the commissioner of the Minnesota Pollution Control
Agency to conduct a pilot project to create pollinator habitat at closed
landfill sites in the
closed landfill program. This appropriation is available until June 30,
2027, by which time the project must be completed and final products delivered.
|
(p) Enhancing Habitat Connectivity within the Urban Mississippi Flyway |
|
|
|
$190,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Minneapolis Park and Recreation Board to enhance and restore habitat
in and between urban neighborhood parks and the Mississippi River to benefit
animals, plants, and neighborhoods traditionally disconnected from nature and
to raise awareness of the Mississippi River Flyway.
|
(q) Statewide Diversion of Furniture and Mattress Waste Pilots |
|
|
|
$2,833,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with EMERGE Community Development to work collaboratively with the University
of Minnesota, Second Chance Recycling, and local governments to test and
implement methods to expand mattress and furniture recycling statewide,
including by researching value-add commodity markets for recycled materials,
piloting mattress collection in greater Minnesota counties, piloting curbside
furniture collection in the metropolitan area, and increasing facility capacity
to recycle collected mattresses. Any
revenue generated from selling products or assets developed or acquired with
this appropriation must be repaid to the trust fund unless a plan is approved
for reinvestment of income in the project.
This appropriation is subject to Minnesota Statutes, section 116P.10.
|
(r) Phelps Mill Wetland and Prairie
Restoration |
|
|
|
|
$974,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Otter Tail County to plan, engineer, and restore wetlands and prairie
within the newly expanded Phelps Mill County Park to improve habitat
connectivity for wildlife and enhance recreational experiences for users. Up to $322,000 of this appropriation may be
used to plan, engineer, and construct a boardwalk, viewing platforms, and soft
trails within the park. This
appropriation is available until June 30, 2027, by which time the project must
be completed and final products delivered.
|
Subd. 9. Land
Acquisition, Habitat, and Recreation |
|
31,241,000 |
|
-0- |
|
(a) SNA Stewardship, Outreach, and Biodiversity Protection |
|
|
|
$1,919,000 the first year is
from the trust fund to the commissioner of natural resources to restore and
enhance exceptional habitat on scientific and natural areas (SNAs), increase
public involvement
and outreach, and strategically
acquire lands that meet criteria for SNAs under Minnesota Statutes, section
86A.05, from willing sellers. This
appropriation is available until June 30, 2027, by which time the project must
be completed and final products delivered.
|
(b) Wannigan Regional Park Land
Acquisition |
|
|
|
|
$727,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Frazee to acquire land for protecting and enhancing natural
resources and for future development as Wannigan Regional Park, where the
Heartland State, North Country National, and Otter Tail River Water Trails will
meet. Initial site development or
restoration work may be conducted with this appropriation.
|
(c) Local Parks, Trails, and Natural Areas Grant Programs |
|
|
|
$3,802,000 the first year is
from the trust fund to the commissioner of natural resources to solicit and
rank applications and fund competitive matching grants for local parks, trail
connections, and natural and scenic areas under Minnesota Statutes, section
85.019. This appropriation is for local
nature-based recreation, connections to regional and state natural areas, and
recreation facilities and may not be used for athletic facilities such as sport
fields, courts, and playgrounds.
|
(d) Outreach and Stewardship Through the Native Prairie Bank Program |
|
|
|
$620,000 the first year is
from the trust fund to the commissioner of natural resources to enhance and
monitor lands enrolled in the native prairie bank and to provide outreach and
technical assistance to landowners, practitioners, and the public to increase
awareness and stewardship of the state's remaining native prairie. This appropriation is available until June
30, 2027, by which time the project must be completed and final products
delivered.
|
(e) Minnesota State Trails Development |
|
|
|
|
$4,952,000 the first year is
from the trust fund to the commissioner of natural resources to expand
recreational opportunities on Minnesota state trails by rehabilitating and
enhancing existing state trails and replacing or repairing existing state trail
bridges.
|
(f) Construction of East Park |
|
|
|
|
$700,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of St. Joseph to increase recreational opportunities and
access at East Park along the Sauk River in St. Joseph through
enhancements such as a canoe and kayak access, a floating dock, paved and mowed
trails, and parking entrance improvements.
|
(g) Scandia Gateway Trail to William O'Brien State Park |
|
|
|
|
$2,689,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Scandia to engineer and construct a segment of the Gateway
State Trail between the city of Scandia and William O'Brien State Park that
will be maintained by the Department of Natural Resources. The segment to be constructed includes a
pedestrian tunnel and trailhead parking area.
This project must be designed and constructed in accordance with
Department of Natural Resources state trail standards. Engineering and construction plans must be
approved by the commissioner of natural resources before construction may
commence. This appropriation is
available until June 30, 2027, by which time the project must be completed and
final products delivered.
|
(h) Grand
Marais Mountain Bike Trail Rehabilitation - Phase II |
|
|
|
$200,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Superior Cycling Association to rehabilitate and modify existing mountain
bike trails at Pincushion Mountain to increase the trail's environmental
sustainability and provide better access to beginner and adaptive cyclers.
|
(i) Acquisition of State Parks and Trails
Inholdings |
|
|
|
|
$5,425,000 the first year is
from the trust fund to the commissioner of natural resources to acquire
high-priority inholdings from willing sellers within the legislatively
authorized boundaries of state parks, recreation areas, and trails to protect
Minnesota's natural heritage, enhance outdoor recreation, and improve the
efficiency of public land management. This
appropriation is available until June 30, 2027, by which time the project must
be completed and final products delivered.
|
(j) St. Louis River Re-Connect -
Phase II |
|
|
|
|
$1,375,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Duluth to increase recreational opportunities and access to
the Waabizheshikana hiking and water trails in West Duluth with trail and
trailhead enhancements such as accessible canoe and kayak launches, picnic
areas, and restrooms; restored habitat; stormwater improvements; directional
signage, and trailside interpretation. This
appropriation may also be used to partner with the St. Louis River
Alliance to create an ambassadors program to engage the surrounding community
and facilitate use of the trails.
|
(k) City of Biwabik Recreation |
|
|
|
|
$1,306,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Biwabik to reconstruct and renovate Biwabik Recreation Area's
access road, parking area, and bathroom facilities.
|
(l) Silver Bay Multimodal Trailhead Project |
|
|
|
|
$1,970,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Silver Bay to develop a multimodal trailhead center to provide
safe access to the Superior Hiking, Gitchi-Gami Bike, and C.J. Ramstad/North
Shore trails; Black Beach Park; and other recreational destinations. Before any construction costs are incurred,
the city must demonstrate that all funding to complete the project are secured.
|
(m) Above the Falls Regional Park Restoration Planning and Acquisition |
|
|
|
$1,376,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the Minneapolis Park and Recreation Board to acquire land along the Mississippi
River from willing sellers for habitat restoration, trail development, and
low-intensity recreational facilities in Above the Falls Regional Park. This appropriation may also be used to
prepare restoration plans for lands acquired.
This appropriation may not be used to purchase habitable residential
structures. Before the acquisition, a
phase 1 environmental assessment must be completed and the Minneapolis Park and
Recreation Board must not accept any liability for previous contamination of lands
acquired with this appropriation.
|
(n) Redhead Mountain Bike Park |
|
|
|
|
$1,666,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with the city of Chisholm as the fiscal agent for the Minnesota Discovery
Center to enhance outdoor recreational opportunities by adding trails and
amenities to the Redhead Mountain Bike Park in Chisholm. Amenities may include such things as pump
tracks, skills courses, changing stations, shade shakes, and signage.
|
(o) Maplewood State Park Trail Segment of the Perham to Pelican Rapids Regional Trail |
|
|
|
$2,514,000 the first year is
from the trust fund to the commissioner of natural resources for an agreement
with Otter Tail County to partner with the Department of Natural Resources to
construct the Maplewood State Park segment of the Perham to Pelican Rapids
Regional Trail. This project must be
designed and constructed in accordance with Department of Natural Resources
state trail standards. Engineering and
construction plans must be approved by the commissioner of natural resources
before construction may commence.
|
Subd. 10. Administration, Emerging Issues, and Contract Agreement Reimbursement |
3,126,000 |
|
-0- |
|
(a) LCCMR Administrative Budget |
|
|
|
|
$2,133,000 the first year is
from the trust fund to the Legislative‑Citizen Commission on Minnesota
Resources for
administration in fiscal years
2024 and 2025 as provided in Minnesota Statutes, section 116P.09, subdivision 5. This appropriation is available until June
30, 2025. Notwithstanding Minnesota
Statutes, section 116P.11, paragraph (b), Minnesota Statutes, section 16A.281,
applies to this appropriation.
|
(b) Emerging Issues |
|
|
|
|
$767,000 the first year is from the trust
fund to the Legislative‑Citizen Commission on Minnesota Resources to an
emerging issues account authorized in Minnesota Statutes, section 116P.08,
subdivision 4, paragraph (d).
|
(c) Contract Agreement Reimbursement |
|
|
|
|
$224,000 the first year is from the trust
fund to the commissioner of natural resources, at the direction of the
Legislative-Citizen Commission on Minnesota Resources, for expenses incurred in
preparing and administering contracts, including for the agreements specified
in this section.
|
(d) Legislative Coordinating Commission Legacy Website |
|
|
|
|
$2,000 the first year is from the trust fund
to the Legislative Coordinating Commission for the website required in
Minnesota Statutes, section 3.303, subdivision 10.
|
Subd. 11. Availability
of Appropriations |
|
|
|
|
Money appropriated in this section may not
be spent on activities unless they are directly related to and necessary for a
specific appropriation and are specified in the work plan approved by the
Legislative-Citizen Commission on Minnesota Resources. Money appropriated in this section must not
be spent on indirect costs or other institutional overhead charges that are not
directly related to and necessary for a specific appropriation. Costs that are directly related to and
necessary for an appropriation, including financial services, human resources,
information services, rent, and utilities, are eligible only if the costs can
be clearly justified and individually documented specific to the
appropriation's purpose and would not be generated by the recipient but for
receipt of the appropriation. No broad
allocations for costs in either dollars or percentages are allowed. Unless otherwise provided, the amounts in
this section are available for three years beginning July 1, 2023, and ending
June 30, 2026, when projects must be completed and final products delivered. For acquisition of real property, the
appropriations in this section are available for an additional fiscal year if a
binding contract for acquisition of the real property is entered into before
the expiration date of the appropriation.
If a project receives a federal award, the period of the appropriation
is extended to equal the federal award period to a maximum trust fund
appropriation length of six years.
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Subd. 12.
Data Availability
Requirements Data |
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Data collected by the
projects funded under this section must conform to guidelines and standards
adopted by Minnesota IT Services. Spatial
data must also conform to additional guidelines and standards designed to
support data coordination and distribution that have been published by the
Minnesota Geospatial Information Office.
Descriptions of spatial data must be prepared as specified in the
state's geographic metadata guideline and must be submitted to the Minnesota
Geospatial Information Office. All data
must be accessible and free to the public unless made private under the Data
Practices Act, Minnesota Statutes, chapter 13.
To the extent practicable, summary data and results of projects funded
under this section should be readily accessible on the Internet and identified
as having received funding from the environment and natural resources trust
fund.
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Subd. 13. Project
Requirements |
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(a) As a condition of
accepting an appropriation under this section, an agency or entity receiving an
appropriation or a party to an agreement from an appropriation must comply with
paragraphs (b) to (l) and Minnesota Statutes, chapter 116P, and must submit a
work plan and annual or semiannual progress reports in the form determined by
the Legislative-Citizen Commission on Minnesota Resources for any project
funded in whole or in part with funds from the appropriation. Modifications to the approved work plan and
budget expenditures must be made through the amendment process established by
the Legislative-Citizen Commission on Minnesota Resources.
(b) A recipient of money
appropriated in this section that conducts a restoration using funds
appropriated in this section must use native plant species according to the
Board of Water and Soil Resources' native vegetation establishment and
enhancement guidelines and include an appropriate diversity of native species
selected to provide habitat for pollinators throughout the growing season as
required under Minnesota Statutes, section 84.973.
(c) For all restorations
conducted with money appropriated under this section, a recipient must prepare
an ecological restoration and management plan that, to the degree practicable,
is consistent with the highest-quality conservation and ecological goals for
the restoration site. Consideration
should be given to soil, geology, topography, and other relevant factors that
would provide the best chance for long-term success and durability of the
restoration project. The plan must
include the proposed timetable for implementing the restoration, including site
preparation, establishment of diverse plant species, maintenance, and
additional enhancement to establish the restoration; identify long-term
maintenance and management needs of the restoration and how the maintenance,
management, and enhancement will be financed; and take advantage of the
best-available science and include innovative techniques to achieve the best
restoration.
(d) An entity receiving an
appropriation in this section for restoration activities must provide an
initial restoration evaluation at the completion of the appropriation and an
evaluation three years after the completion of the expenditure. Restorations must be evaluated relative to
the stated goals and standards in the restoration plan, current science, and,
when applicable, the Board of Water and Soil Resources' native vegetation
establishment and enhancement guidelines.
The evaluation must determine whether the restorations are meeting
planned goals, identify any problems with implementing the restorations, and,
if necessary, give recommendations on improving restorations. The evaluation must be focused on improving
future restorations.
(e) All restoration and
enhancement projects funded with money appropriated in this section must be on
land permanently protected by a conservation easement or public ownership.
(f) A recipient of money
from an appropriation under this section must give consideration to contracting
with Conservation Corps Minnesota for contract restoration and enhancement
services.
(g) All conservation
easements acquired with money appropriated under this section must:
(1) be permanent;
(2) specify the parties to
an easement in the easement;
(3) specify all provisions
of an agreement that are permanent;
(4) be sent to the
Legislative-Citizen Commission on Minnesota Resources in an electronic format
at least ten business days before closing;
(5) include a long-term
monitoring and enforcement plan and funding for monitoring and enforcing the
easement agreement; and
(6) include requirements in
the easement document to protect the quantity and quality of groundwater and
surface water through specific activities such as keeping water on the
landscape, reducing nutrient and contaminant loading, and not permitting artificial
hydrological modifications.
(h) For any acquisition of
lands or interest in lands, a recipient of money appropriated under this
section must not agree to pay more than 100 percent of the appraised value for
a parcel of land using this money to complete the purchase, in part or in whole,
except that up to ten percent above the appraised value may be allowed to
complete the purchase, in part or in whole, using this money if permission is
received in advance of the purchase from the Legislative-Citizen Commission on
Minnesota Resources.
(i) For any acquisition of land
or interest in land, a recipient of money appropriated under this section must
give priority to high‑quality natural resources or conservation lands
that provide natural buffers to water resources.
(j) For new lands acquired
with money appropriated under this section, a recipient must prepare an
ecological restoration and management plan in compliance with paragraph (c),
including sufficient funding for implementation unless the work plan addresses
why a portion of the money is not necessary to achieve a high-quality
restoration.
(k) To ensure public accountability
for using public funds, a recipient of money appropriated under this section
must, within 60 days of the transaction, provide to the
Legislative-Citizen Commission on Minnesota Resources documentation of the
selection process used to identify parcels acquired and provide documentation
of all related transaction costs, including but not limited to appraisals,
legal fees, recording fees, commissions, other similar costs, and donations. This information must be provided for all
parties involved in the transaction. The
recipient must also report to the Legislative-Citizen Commission on Minnesota
Resources any difference between the acquisition amount paid to the seller and
the state-certified or state-reviewed appraisal, if a state-certified or
state-reviewed appraisal was conducted.
(l) A recipient of an
appropriation from the trust fund under this section must acknowledge financial
support from the environment and natural resources trust fund in project
publications, signage, and other public communications and outreach related to work
completed using the appropriation. Acknowledgment
may occur, as appropriate, through use of the trust fund logo or inclusion of
language attributing support from the trust fund. Each direct recipient of money appropriated
in this section, as well as each recipient of a grant awarded pursuant to this
section, must satisfy all reporting and other requirements incumbent upon
constitutionally dedicated funding recipients as provided in Minnesota
Statutes, section 3.303, subdivision 10, and Minnesota Statutes, chapter 116P.
(m) A recipient of an
appropriation from the trust fund under this section that is receiving funding
to conduct children's services, as defined in Minnesota Statutes, section
299C.61, subdivision 7, must certify to the Legislative-Citizen Commission on Minnesota
Resources, as part of the required work plan, that criminal background checks
for background check crimes, as defined in Minnesota Statutes, section 299C.61,
subdivision 2, are performed on all employees, contractors, and volunteers that
have or may have access to a child to whom the recipient provides children's
services using the appropriation.
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Subd. 14. Payment Conditions and Capital Equipment Expenditures |
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(a) All agreements, grants,
or contracts referred to in this section must be administered on a
reimbursement basis unless otherwise provided in this section. Notwithstanding Minnesota Statutes, section
16A.41, expenditures made on or after July 1, 2023, or the date the work plan
is approved, whichever is later, are eligible for reimbursement unless
otherwise provided in this section. Periodic
payments must be made upon receiving documentation that the deliverable items
articulated in the approved work plan have been achieved, including partial
achievements as evidenced by approved progress reports. Reasonable amounts may be advanced to
projects to accommodate cash-flow needs or match federal money. The advances must be approved as part of the
work plan. No expenditures for capital
equipment are allowed unless expressly authorized in the project work plan.
(b) Single-source contracts
as specified in the approved work plan are allowed.
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Subd. 15. Purchasing Recycled and Recyclable Materials |
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A political subdivision,
public or private corporation, or other entity that receives an appropriation
under this section must use the appropriation in compliance with Minnesota
Statutes, section 16C.0725, regarding purchasing recycled, repairable, and durable
materials, and Minnesota Statutes, section 16C.073, regarding purchasing and
using paper stock and printing.
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Subd. 16. Energy Conservation and Sustainable Building Guidelines |
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A recipient to whom an
appropriation is made under this section for a capital improvement project must
ensure that the project complies with the applicable energy conservation and
sustainable building guidelines and standards contained in law, including Minnesota
Statutes, sections 16B.325, 216C.19, and 216C.20, and rules adopted under those
sections. The recipient may use the
energy planning, advocacy, and State Energy Office units of the Department of
Commerce to obtain information and technical assistance on energy conservation
and alternative-energy development relating to planning and constructing the
capital improvement project.
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Subd. 17. Accessibility
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Structural and nonstructural
facilities must meet the design standards in the Americans with Disabilities
Act (ADA) accessibility guidelines.
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Subd. 18.
Carryforward; Extensions |
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The availability of the
appropriations for the following projects is extended to June 30, 2024:
(1) Laws 2018, chapter 214,
article 4, section 2, subdivision 6, paragraph (a), Minnesota Invasive
Terrestrial Plants and Pests Center - Phase 4;
(2) Laws 2018, chapter 214,
article 4, section 2, subdivision 8, paragraph (e), Restoring Forests in
Minnesota State Parks;
(3) Laws 2019, First
Special Session chapter 4, article 2, section 2, subdivision 3, paragraph (d),
Minnesota Trumpeter Swan Migration Ecology and Conservation;
(4) Laws 2019, First
Special Session chapter 4, article 2, section 2, subdivision 8, paragraph (g),
Agricultural Weed Control Using Autonomous Mowers;
(5) Laws 2019, First
Special Session chapter 4, article 2, section 2, subdivision 10, paragraph (d),
Grants Management System; and
(6) Laws 2021, First
Special Session chapter 6, article 5, section 2, subdivision 10, Emerging
Issues Account; Wastewater Renewable Energy Demonstration Grants.
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Subd. 19. Repurpose
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The unencumbered amount, estimated
to be $176,000, in Laws 2021, First Special Session chapter 6, article 6,
section 2, subdivision 8, paragraph (f), Restoring Upland Forests for Birds, is
for examining the impacts of neonicotinoid exposure on the reproduction and
survival of Minnesota's game species, including deer and prairie chicken. This amount is in addition to the
appropriation under article 1, section 3, subdivision 6, for these purposes and
is available until June 30, 2027.
Sec. 3. Minnesota Statutes 2022, section 116P.05, subdivision 1, is amended to read:
Subdivision 1. Membership. (a) A Legislative-Citizen Commission on
Minnesota Resources of 17 19 members is created in the
legislative branch, consisting of the chairs of the house of representatives
and senate committees on environment and natural resources finance or designees
appointed for the terms of the chairs, four members of the senate appointed by
the Subcommittee on Committees of the Committee on Rules and Administration,
and four members of the house of representatives appointed by the speaker ten
legislative members and nine citizen members.
(b) At least two members
from the senate and two members from the house of representatives must be from
the minority caucus. Members are
entitled to reimbursement for per diem expenses plus travel expenses incurred
in the services of the commission.
(b) The legislative members of
the commission consist of:
(1) three members of the
house of representatives appointed by the speaker of the house, including the
chair of the environment and natural resources finance committee or the chair's
designee;
(2) three members of the
senate appointed by the senate majority leader, including the chair of the
environment and natural resources finance committee or the chair's designee;
(3) two members of the
house of representatives appointed by the house minority leader; and
(4) two members of the
senate appointed by the senate minority leader.
(c) Seven citizens are
The citizen members of the commission, five consist of:
(1) four members
appointed by the governor, one;
(2) two members
appointed by the Senate Subcommittee on Committees of the Committee on Rules
and Administration, and one senate majority leader;
(3) two members
appointed by the speaker of the house.
The; and
(4) one member appointed
by the governor as recommended by the Tribal government representatives of the
Indian Affairs Council.
(d) A citizen members
are selected and recommended to the appointing authorities according to
subdivision 1a and member must:
(1) have experience or expertise in the science, policy, or practice of the protection, conservation, preservation, and enhancement of the state's air, water, land, fish, wildlife, and other natural resources;
(2) have strong knowledge in
the state's environment and natural resource issues around the state; and
(3) have demonstrated ability
to work in a collaborative environment; and
(4) not be a registered lobbyist.
(d) (e) Members
shall must develop procedures to elect a chair that rotates
between legislative and citizen members each meeting. A citizen member, a senate member, and a
house of representatives member shall serve as chairs. The citizen members, senate members, and
house of representatives members must select their respective chairs. The chair shall must preside
and convene meetings as often as necessary to conduct duties prescribed by this
chapter.
(e) (f) Appointed
legislative members shall serve on the commission for two-year terms,
beginning in January of each odd-numbered year and continuing through the end
of December of the next even-numbered year.
Appointed citizen members shall serve four-year terms, beginning
in January of the first year and continuing through the end of December of the
final year. Citizen and legislative
members continue to serve until their successors are appointed.
(f) (g) A
citizen member may be removed by an appointing authority for cause. Vacancies occurring on the commission shall
do not affect the authority of the remaining members of the commission
to carry out their duties, and vacancies shall must be filled for
the remainder of the term in the same manner under paragraphs (a) to (c).
(g) (h) Legislative members are entitled to reimbursement for per diem expenses plus travel expenses incurred in the services of the commission. Citizen members are entitled to per diem and reimbursement for expenses incurred in the services of the commission, as provided in section 15.059, subdivision 3, except that a citizen member may be compensated at the rate of up to $125 a day.
(h) The governor's
appointments are subject to the advice and consent of the senate.
(i) A citizen member may
serve no more than eight years, except as necessary to fill a vacancy. A citizen member may not serve more than ten
years if serving additional time to fill a vacancy.
EFFECTIVE DATE. This
section is effective January 1, 2026.
Sec. 4. Minnesota Statutes 2022, section 116P.05, subdivision 1a, is amended to read:
Subd. 1a. Citizen
selection committee. (a) The
governor shall must appoint a Trust Fund Citizen Selection
Committee of five members who come from different regions of the state and who
have knowledge and experience of state environment and natural resource issues to
provide recommendations for appointments under subdivision 1, paragraph (c),
clause (1).
(b) The duties of the Trust
Fund Citizen Selection Committee shall be are to:
(1) identify citizen candidates to be members of the commission as part of the open appointments process under section 15.0597;
(2) request and review citizen candidate applications to be members of the commission; and
(3) interview the citizen
candidates and recommend an adequate pool of candidates to be selected for
commission membership by the governor, the senate, and the house of
representatives.
(c) Members serve
three-year terms and are entitled to travel expenses incurred to fulfill
their duties under this subdivision as provided in section 15.059, subdivision
6 per diem and reimbursement for expenses incurred in the services of
the committee, as provided in section 15.059, subdivision 3, except that a
citizen selection committee member may be compensated at the rate of up to $125
a day.
(d) A member appointed
under this subdivision may not be a registered lobbyist.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 5. Minnesota Statutes 2022, section 116P.05, subdivision 2, is amended to read:
Subd. 2. Duties. (a) The commission shall must
recommend an annual or biennial legislative bill for appropriations from the
environment and natural resources trust fund and shall must adopt
a strategic plan as provided in section 116P.08. Except as provided under section 116P.09,
subdivision 6, paragraph (b), approval of the recommended legislative bill
requires an affirmative vote of at least 12 11 members of the
commission.
(b) It is a condition of
acceptance of the appropriations made from the Minnesota environment and
natural resources trust fund, and oil overcharge money under section 4.071,
subdivision 2, that the agency or entity receiving the appropriation must
submit a work plan and annual or semiannual progress reports in the form
determined by the Legislative-Citizen Commission on Minnesota Resources, and
comply with applicable reporting requirements under section 116P.16. None of the money provided may be spent unless
the commission has approved the pertinent work plan. Modifications to the approved work plan and
budget expenditures shall must be made through the amendment
process established by the commission. The
commission shall must ensure that the expenditures and outcomes
described in the work plan for appropriations funded by the environment and
natural resources trust fund are met.
(c) The peer review procedures created under section 116P.08 must also be used to review, comment, and report to the commission on research proposals applying for an appropriation from the oil overcharge money under section 4.071, subdivision 2.
(d) The commission may adopt operating procedures to fulfill its duties under this chapter.
(e) As part of the operating
procedures, the commission shall must:
(1) ensure that members' expectations are to participate in all meetings related to funding decision recommendations;
(2) recommend adequate funding for increased citizen outreach and communications for trust fund expenditure planning;
(3) allow administrative expenses as part of individual project expenditures based on need;
(4) provide for project outcome evaluation;
(5) keep the grant application, administration, and review process as simple as possible; and
(6) define and emphasize the leveraging of additional sources of money that project proposers should consider when making trust fund proposals.
EFFECTIVE DATE. This
section is effective January 1, 2026.
Sec. 6. Minnesota Statutes 2022, section 116P.09, subdivision 6, is amended to read:
Subd. 6. Conflict
of interest. (a) A commission
member, a technical advisory committee member, a peer reviewer, or an employee
of the commission may not participate in or vote on a decision of the
commission, advisory committee, or peer review relating to an organization in
which the member, peer reviewer, or employee has either a direct or indirect
personal financial interest. While
serving on the commission or technical advisory committee or as a peer reviewer
or while an employee of the commission, a person shall must avoid
any potential conflict of interest.
(b) A commission member
may not vote on a motion regarding the final recommendations of the commission
required under section 116P.05, subdivision 2, paragraph (a), if the motion
relates to an organization in which the member has a direct personal financial
interest. If a commission member is
prohibited from voting under this paragraph, the number of affirmative votes
required under section 116P.05, subdivision 2, paragraph (a), is reduced by the
number of members ineligible to vote under this paragraph.
EFFECTIVE DATE. This
section is effective January 1, 2026.
Sec. 7. Minnesota Statutes 2022, section 116P.11, is amended to read:
116P.11 AVAILABILITY OF FUNDS FOR DISBURSEMENT.
(a) The amount
annually available from the trust fund for the legislative bill developed by
the commission is as defined in the Minnesota Constitution, article XI, section
14.
(b) Any appropriated
funds not encumbered in the biennium in which they are appropriated cancel and
must be credited to the principal of the trust fund.
Sec. 8. Minnesota Statutes 2022, section 116P.15, is amended to read:
116P.15 CAPITAL CONSTRUCTION AND LAND ACQUISITION; RESTRICTIONS.
Subdivision 1. Scope. A recipient of an appropriation from the
trust fund or the Minnesota future resources fund who acquires an interest in
real property with the appropriation must comply with this section subdivision
2. For the purposes of this
section, "interest in real property" includes, but is not limited to,
an easement or fee title to property.
A recipient of an appropriation from the trust fund who uses any
portion of the appropriation for a capital construction project with a total
cost of $10,000 or more must comply with subdivision 3.
Subd. 2. Land acquisition restrictions; modification procedure. (a) An easement, fee title, or other interest in real property acquired with an appropriation from the trust fund or the Minnesota future resources fund must be used in perpetuity or for the specific term of an easement interest for the purpose for which the appropriation was made. The ownership of the interest in real property transfers to the state if: (1) the holder of the interest in real property fails to comply with the terms and conditions of the grant agreement or work plan; or (2) restrictions are placed on the land that preclude its use for the intended purpose as specified in the appropriation.
(b) A recipient of funding who acquires an interest in real property subject to this section may not alter the intended use of the interest in real property or convey any interest in the real property acquired with the appropriation without the prior review and approval of the commission or its successor. The commission shall notify the chairs and ranking minority members of the legislative committees and divisions with jurisdiction over the trust fund or Minnesota future resources fund at least 15 business days before approval under this paragraph. The commission shall establish procedures to review requests from recipients to alter the use of or convey an interest in real property. These procedures shall allow for the replacement of the interest in real property with another interest in real property meeting the following criteria:
(1) the interest must be at least equal in fair market value, as certified by the commissioner of natural resources, to the interest being replaced; and
(2) the interest must be in a reasonably equivalent location, and have a reasonably equivalent useful conservation purpose compared to the interest being replaced, taking into consideration all effects from fragmentation of the whole habitat.
(c) A recipient of funding who acquires an interest in real property under paragraph (a) must separately record a notice of funding restrictions in the appropriate local government office where the conveyance of the interest in real property is filed. The notice of funding agreement must contain:
(1) a legal description of the interest in real property covered by the funding agreement;
(2) a reference to the underlying funding agreement;
(3) a reference to this section; and
(4) the following statement:
"This interest in real property shall be administered in accordance with the terms, conditions, and purposes of the grant agreement controlling the acquisition of the property. The interest in real property, or any portion of the interest in real property, shall not be sold, transferred, pledged, or otherwise disposed of or further encumbered without obtaining the prior written approval of the Legislative-Citizen Commission on Minnesota Resources or its successor. The ownership of the interest in real property transfers to the state if: (1) the holder of the interest in real property fails to comply with the terms and conditions of the grant agreement or work plan; or (2) restrictions are placed on the land that preclude its use for the intended purpose as specified in the appropriation."
Subd. 3. Capital
construction restrictions; modification procedure. (a) A recipient of an appropriation
from the trust fund who uses the appropriation to wholly or partially construct
a building, trail, campground, or other capital asset may not alter the
intended use of the capital asset or convey any interest in the capital asset
for 25 years from the date the project is completed without the prior review
and approval of the commission or its successor. The commission must notify the chairs and
ranking minority members of the legislative committees and divisions with
jurisdiction over the trust fund at least 15 business days before approval
under this paragraph. The commission
must establish procedures to review requests from recipients to alter the use
of or convey an interest in a capital asset under this paragraph. These procedures must require that:
(1) the sale price must
be at least fair market value; and
(2) the trust fund must
be repaid a portion of the sale price equal to the percentage of the total
funding provided by the fund for constructing the capital asset.
(b) The commission or its
successor may waive the requirements under paragraph (a), clauses (1) and (2),
by recommendation to the legislature if the transfer allows for a continued use
of the asset in a manner consistent with the original appropriation purpose or
with the purposes of the trust fund.
(c) If both a capital
asset and the real property on which the asset is located were wholly or
partially purchased with an appropriation from the trust fund and the
commission approves a request to alter the use of or convey an interest in the
real property under subdivision 2, a separate approval under this subdivision
to alter the use of the capital asset is not required.
(d) A recipient of an
appropriation from the trust fund who uses the appropriation to wholly or
partially construct a building, trail, campground, or other capital asset must
separately record a notice of funding restrictions in the appropriate local government
office. The notice of funding
restrictions must contain:
(1) a legal description
of the interest in real property covered by the funding agreement;
(2) a reference to the
underlying funding agreement;
(3) a reference to this
subdivision; and
(4) the following
statement:
"This interest in
real property must be administered in accordance with the terms, conditions,
and purposes of the grant agreement controlling the improvement of the property. The interest in real property, or any portion
of the interest in real property, must not be altered from its intended use or
be sold, transferred, pledged, or otherwise disposed of or further encumbered
without obtaining the prior written approval of the Legislative-Citizen
Commission on Minnesota Resources or its successor."
EFFECTIVE DATE. This section is effective July 1, 2025, and
applies to money appropriated on or after that date.
Sec. 9. Minnesota Statutes 2022, section 116P.16, is amended to read:
116P.16 REAL PROPERTY INTERESTS; REPORT.
(a) By December 1 each year, a recipient of an appropriation from the trust fund, that is used for the acquisition of an interest in real property, including, but not limited to, an easement or fee title, or for the construction of a building, trail, campground, or other capital asset with a total cost of $10,000 or more must submit annual reports on the status of the real property to the Legislative-Citizen Commission on Minnesota Resources or its successor in a form determined by the commission. The responsibility for reporting under this section may be transferred by the recipient of the appropriation to another person who holds the interest in the real property. To complete the transfer of reporting responsibility, the recipient of the appropriation must:
(1) inform the person to whom the responsibility is transferred of that person's reporting responsibility;
(2) inform the person to whom the responsibility is transferred of the
property restrictions under section 116P.15; and
(3) provide written notice to the commission of the transfer of reporting responsibility, including contact information for the person to whom the responsibility is transferred.
(b) After the transfer, the person who holds the interest in the real property is responsible for reporting requirements under this section.
(c) The annual reporting
requirements on the status of a building, trail, campground, or other capital
asset with a total cost of $10,000 or more and that was constructed with an
appropriation from the trust fund expire 25 years after the date the final progress
report under section 116P.05, subdivision 2, paragraph (b), is approved.
EFFECTIVE DATE. This section is effective July 1, 2025, and
applies to money appropriated on or after that date.
Sec. 10. Minnesota Statutes 2022, section 116P.18, is amended to read:
116P.18 LANDS IN PUBLIC DOMAIN.
Money appropriated from the trust fund must not be used to purchase any land in fee title or a permanent conservation easement if the land in question is fully or partially owned by the state or a political subdivision of the state or was acquired fully or partially with state money, unless:
(1) the purchase creates additional direct benefit to the protection, conservation, preservation, and enhancement of the state's air, water, land, fish, wildlife, and other natural resources; and
(2) the purchase is
approved, prior to the acquisition, by an affirmative vote of at least 12
11 members of the commission.
EFFECTIVE DATE. This
section is effective January 1, 2026.
Sec. 11. [116P.21]
ADDITIONAL CAPITAL CONSTRUCTION PROJECT REQUIREMENTS.
Subdivision 1. Full
funding. If an appropriation
from the trust fund for a capital construction project or project phase is not
alone sufficient to complete the project or project phase and a commitment from
sources other than the trust fund is required:
(1) the commitment must
be in an amount that, when added to the appropriation from the trust fund, is
sufficient to complete the project or project phase; and
(2) the agency
administering the appropriation from the trust fund must not distribute the
money until the commitment is determined to be sufficient. In determining the sufficiency of a
commitment under this clause, the agency must apply the standards and
principles applied by the commissioner of management and budget under section
16A.502.
Subd. 2. Match. A recipient of money appropriated from
the trust fund for a capital construction project must provide a cash or
in-kind match from nontrust fund sources of at least 50 percent of the total
costs to complete the project or project phase.
Subd. 3. Sustainable
building guidelines. The
sustainable building guidelines established under sections 16B.325 and
216B.241, subdivision 9, apply to new buildings and major renovations funded
from the trust fund. A recipient of
money appropriated from the trust fund for a new building or major renovation
must ensure that the project complies with the guidelines.
Subd. 4. Applicability. (a) Subdivisions 1, 2, and 3 do not
apply to:
(1) a capital
construction project with a total cost of less than $10,000; or
(2) a land acquisition
project.
(b) If land is acquired
with trust fund money for the purpose of capital construction, the land
acquisition is not exempted under paragraph (a), clause (2).
Subd. 5. Other
capital construction statutes. The
following statutes also apply to recipients of appropriations from the trust
fund: sections 16B.32; 16B.326; 16B.335,
subdivisions 3 and 4; 16C.054; 16C.16; 16C.28; 16C.285; 138.40; 138.665;
138.666; 177.41 to 177.44; and 471.345.
EFFECTIVE DATE. This section is effective July 1, 2025, and
applies to money appropriated on or after that date.
Sec. 12. Laws 2022, chapter 94, section 2, subdivision 5, is amended to read:
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Subd. 5. Environmental
Education |
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-0- |
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4,269,000 |
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(a) Teacher Field School: Stewardship through Nature-Based Education |
|
|
|
$500,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Hamline University to create an immersive, research-backed field school for teachers to use nature-based education to benefit student well‑being and academic outcomes while increasing stewardship habits.
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(b) Increasing K-12 Student Learning to Develop Environmental Awareness, Appreciation, and Interest |
|
|
|
$1,602,000 the second year is
from the trust fund to the commissioner of natural resources for an agreement
with Osprey Wilds Environmental Learning Center to partner with Minnesota's
five other accredited residential environmental learning centers to provide
needs-based scholarships to at least 25,000 K-12 students statewide for
immersive multiday environmental learning experiences.
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(c) Expanding Access to Wildlife Learning
Bird by Bird |
|
|
|
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$276,000 the second year is from the trust fund to the commissioner of natural resources to engage young people from diverse communities in wildlife conservation through bird‑watching in schools, outdoor leadership training, and participating in neighborhood bird walks.
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(d) Engaging a Diverse Public in Environmental Stewardship |
|
|
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$300,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Great River Greening to increase participation in natural resources restoration efforts through volunteer, internship, and youth engagement activities that target diverse audiences more accurately reflecting local demographic and socioeconomic conditions in Minnesota.
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(e) Bugs Below Zero: Engaging Citizens in Winter Research |
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|
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$198,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota to raise awareness about the winter life of bugs, inspire learning about stream food webs, and engage citizen scientists in research and environmental stewardship.
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(f) ESTEP: Earth Science Teacher Education Project |
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|
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$495,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the Minnesota Science Teachers Association to provide professional development for Minnesota science teachers in environmental and earth science to strengthen environmental education in schools.
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(g) YES!
Students Take Action to Complete Eco Projects |
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|
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$199,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Prairie Woods Environmental Learning Center, in partnership with Ney Nature Center and Laurentian Environmental Center, to empower Minnesota youth to connect with natural resource experts, identify ecological challenges, and take action to complete innovative projects in their communities.
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(h) Increasing Diversity in Environmental
Careers |
|
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|
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$500,000 the second year is from the trust fund to the commissioner of natural resources, in cooperation with Conservation Corps Minnesota and Iowa, to encourage a diversity of students to pursue careers in the environment and natural resources through internships, mentorships, and fellowships with the Department of Natural Resources, the Board of Water and Soil Resources, and the Pollution Control Agency.
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(i) Diversity and Access to
Wildlife-Related Opportunities |
|
|
|
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$199,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota to broaden the state's conservation constituency by researching diverse communities' values about nature and wildlife experiences and identifying barriers to engagement.
Sec. 13. Laws 2022, chapter 94, section 2, subdivision 8, is amended to read:
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Subd. 8. Methods to Protect, Restore, and Enhance Land, Water, and Habitat |
-0- |
|
11,294,000 |
|
(a) Minnesota's Volunteer Rare Plant
Conservation Corps |
|
|
|
|
$859,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota for the Minnesota Landscape Arboretum to partner with the Department of Natural Resources and the Minnesota Native Plant Society to establish and train a volunteer corps to survey, monitor, and bank seed from Minnesota's rare plant populations and enhance the effectiveness and efficiencies of conservation efforts.
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(b) Conservation Corps Veterans Service
Corps Program |
|
|
|
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$1,339,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Conservation Corps Minnesota to create a Veterans Service Corps program to accelerate natural resource restorations in Minnesota while providing workforce development opportunities for the state's veterans.
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(c) Creating Seed Sources of Early-Blooming Plants for Pollinators |
|
|
|
$200,000 the second year is from the trust fund to the commissioner of natural resources to establish new populations of early-season flowers by hand-harvesting and propagating species that are currently lacking in prairie restorations and that are essential to pollinator health. This appropriation is available until June 30, 2026, by which time the project must be completed and final products delivered.
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(d) Hastings Lake Rebecca Park Area |
|
|
|
|
$1,000,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Hastings to develop an ecological-based master plan for Lake Rebecca Park and to enhance habitat quality and construct passive recreational facilities consistent with the master plan. No funds for implementation may be spent until the master plan is complete.
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(e) Pollinator Plantings and the Redistribution of Soil Toxins |
|
|
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$610,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota to map urban and suburban soil toxins of concern, such as heavy metals and microplastics, and to test whether pollinator plantings can redistribute these toxins in the soil of yards, parks, and community gardens and reduce exposure to humans and wildlife.
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(f) PFAS Fungal-Wood Chip
Filtering System |
|
|
|
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$189,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota to identify, develop, and field-test various types of waste wood chips and fungi to sequester and degrade PFAS leachate from contaminated waste sites. This appropriation is subject to Minnesota Statutes, section 116P.10.
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(g) Phytoremediation for Extracting
Deicing Salt |
|
|
|
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$451,000 the second year is from the trust fund to the Board of Regents of the University of Minnesota to protect lands and waters from contamination by collaborating with the Department of Transportation to develop methods for using native plants to remediate roadside deicing salt.
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(h) Mustinka River Fish and Wildlife Habitat Corridor Rehabilitation |
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$2,692,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the Bois de Sioux Watershed District to permanently rehabilitate a straightened reach of the Mustinka River to a naturally functioning stream channel and floodplain corridor for water, fish, and wildlife benefits.
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(i) Bohemian Flats Savanna Restoration |
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|
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$286,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Minneapolis Park and Recreation Board to restore an area of compacted urban turf within Bohemian Flats Park and adjacent to the Mississippi River to an oak savanna ecosystem.
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(j) Watershed and Forest Restoration: What a Match! |
|
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|
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$3,318,000 the second year is
from the trust fund to the Board of Water and Soil Resources, in cooperation
with soil and water conservation districts, the Mille Lacs Band of Ojibwe, and
the Department of Natural Resources, to acquire interests in land and to
accelerate tree planting on privately owned, protected lands for water-quality protection and carbon
sequestration. Notwithstanding
subdivision 14, paragraph (e), this appropriation may be spent to reforest
lands protected through long-term contracts as provided in the approved work
plan.
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(k) River Habitat Restoration and
Recreation in Melrose |
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$350,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Melrose to conduct habitat restoration and create fishing, canoeing, and camping opportunities along a segment of the Sauk River within the city of Melrose and to provide public education about stream restoration, fish habitat, and the importance of natural areas.
Sec. 14. Laws 2022, chapter 94, section 2, subdivision 9, is amended to read:
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Subd. 9. Habitat
and Recreation |
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-0- |
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26,179,000 |
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(a)
Mesabi Trail: Wahlsten Road (CR 26) |
|
|
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$1,307,000 the second year is
from the trust fund to the commissioner of natural resources for an agreement
with the St. Louis and Lake Counties Regional Railroad Authority to
acquire easements, engineer, and construct a segment of the Mesabi Trail
beginning at the intersection of Wahlsten Road (CR 26) and Benson Road in
Embarrass and extending to toward Tower.
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(b) Environmental Learning Classroom with
Trails |
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$82,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Mountain Iron-Buhl Public Schools to build an outdoor classroom pavilion, accessible trails, and a footbridge within the Mountain Iron-Buhl School Forest to conduct environmental education that cultivates a lasting conservation ethic.
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(c) Local Parks, Trails, and Natural Areas Grant Programs |
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$3,560,000 the second year is from the trust fund to the commissioner of natural resources to solicit, rank, and fund competitive matching grants for local parks, trail connections, and natural and scenic areas under Minnesota Statutes, section 85.019. This appropriation is for local nature-based recreation, connections to regional and state natural areas, and recreation facilities and may not be used for athletic facilities such as sport fields, courts, and playgrounds.
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(d) St. Louis River Re-Connect |
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$500,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Duluth to expand recreational access along the St. Louis River and estuary by implementing the St. Louis River National Water Trail outreach plan, designing and constructing upgrades and extensions to the Waabizheshikana Trail, and installing interpretive features that describe the cultural and ecological significance of the area.
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(e) Native Prairie Stewardship and Prairie Bank Easement Acquisition |
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|
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$1,353,000 the second year is from the trust fund to the commissioner of natural resources to provide technical stewardship assistance to private landowners, restore and enhance native prairie
protected by easements in the native prairie bank, and acquire easements for the native prairie bank in accordance with Minnesota Statutes, section 84.96, including preparing initial baseline property assessments. Up to $60,000 of this appropriation may be deposited in the natural resources conservation easement stewardship account created under Minnesota Statutes, section 84.69, proportional to the number of easements acquired.
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(f) Minnesota State Parks and State Trails Maintenance and Development |
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$1,600,000 the second year is from the trust fund to the commissioner of natural resources for maintenance and development at state parks, recreation areas, and trails to protect Minnesota's natural heritage, enhance outdoor recreation, and improve the efficiency of public land management.
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(g) Minnesota State Trails Development |
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$7,387,000 the second year is from the trust fund to the commissioner of natural resources to expand recreational opportunities on Minnesota state trails by rehabilitating and enhancing existing state trails and replacing or repairing existing state trail bridges.
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(h) SNA Habitat Restoration and Public
Engagement |
|
|
|
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$5,000,000 the second year is from the trust fund to the commissioner of natural resources for the scientific and natural areas (SNA) program to restore and enhance exceptional habitat on SNAs and increase public involvement and outreach.
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(i) The Missing Link: Gull Lake Trail, Fairview Township |
|
|
|
$1,394,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with Fairview Township to complete the Gull Lake Trail by engineering and constructing the trail's final segment through Fairview Township in the Brainerd Lakes area.
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(j) Silver Bay Multimodal Trailhead
Project |
|
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|
|
$1,000,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Silver Bay to develop a multimodal trailhead center to provide safe access to the Superior, Gitchi-Gami, and C.J. Ramstad/North Shore trails; Black Beach Park; and other recreational destinations.
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(k) Brookston Campground, Boat Launch, and Outdoor Recreational Facility |
|
|
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$453,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Brookston to build a campground, boat launch, and outdoor
recreation area on the banks of the St. Louis River in northeastern Minnesota. Before any trust fund dollars are spent, the city must demonstrate that all funds to complete the project are secured and a fiscal agent must be approved in the work plan.
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(l) Silver Lake Trail Connection |
|
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|
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$727,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Virginia to design, engineer, and construct a multiuse trail that will connect Silver Lake Trail to a new Miners Entertainment and Convention Center and provide lighting on Bailey Lake Trail.
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(m) Floodwood Campground Improvement
Project |
|
|
|
|
$816,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Floodwood to upgrade the Floodwood Campground and connecting trails to provide high-quality nature and recreation experience for people of all ages.
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(n) Ranier Safe Harbor/Transient Dock -
Phase 2 |
|
|
|
|
$1,000,000 the second year is from the trust fund to the commissioner of natural resources for an agreement with the city of Ranier to construct a safe harbor and transient dock to accommodate watercraft of many sizes to improve public access for boat recreation on Rainy Lake. Before trust fund dollars are spent, a fiscal agent must be approved in the work plan. Before any trust fund dollars are spent, the city must demonstrate that all funds to complete the project are secured. Any revenue generated from selling products or assets developed or acquired with this appropriation must be repaid to the trust fund unless a plan is approved for reinvestment of income in the project as provided under Minnesota Statutes, section 116P.10.
Sec. 15. INITIAL
CITIZEN APPOINTMENTS AND FIRST MEETING.
(a) Initial citizen
appointments to the Legislative-Citizen Commission on Minnesota Resources as
amended in this act must be made by February 1, 2026. The first meeting of the revised
Legislative-Citizen Commission on Minnesota Resources must be convened by the
chair or a designee of the Legislative Coordinating Commission by June 15, 2026. The Legislative-Citizen Commission on
Minnesota Resources must select cochairs from its membership at its first
meeting.
(b) Citizen members of
the Legislative-Citizen Commission on Minnesota Resources must initially be
appointed according to the following schedule of terms:
(1) two citizen members
appointed by the governor for a term ending the first Monday in January 2028;
(2) three citizen members
appointed by the governor, including the member from a federally recognized
Tribe, for a term ending the first Monday in January 2030;
(3) one citizen member appointed by the senate majority leader for a
term ending the first Monday in January 2028;
(4) one citizen member
appointed by the senate majority leader for a term ending the first Monday in
January 2030;
(5) one citizen member
appointed by the speaker of the house for a term ending the first Monday in
January 2028; and
(6) one citizen member appointed by the speaker of the house for a term
ending the first Monday in January 2030.
(c) Notwithstanding the
law in effect at the time of their appointment, the terms of all incumbent
citizen members appointed before the effective date of this act are terminated
effective January 1, 2026. An incumbent citizen member whose appointment is terminated by
this paragraph may apply for reappointment as provided in this act.
EFFECTIVE DATE. This
section is effective January 1, 2026.
Sec. 16. APPROPRIATIONS
GIVEN EFFECT ONCE.
If an appropriation or
transfer in this article is enacted more than once during the 2023 regular
session, the appropriation or transfer must be given effect once.
Sec. 17. EFFECTIVE
DATE.
Unless otherwise
provided, this article is effective the day following final enactment.
ARTICLE 3
POLLUTION CONTROL
Section 1. Minnesota Statutes 2022, section 16A.151, subdivision 2, is amended to read:
Subd. 2. Exceptions. (a) If a state official litigates or settles a matter on behalf of specific injured persons or entities, this section does not prohibit distribution of money to the specific injured persons or entities on whose behalf the litigation or settlement efforts were initiated. If money recovered on behalf of injured persons or entities cannot reasonably be distributed to those persons or entities because they cannot readily be located or identified or because the cost of distributing the money would outweigh the benefit to the persons or entities, the money must be paid into the general fund.
(b) Money recovered on behalf of a fund in the state treasury other than the general fund may be deposited in that fund.
(c) This section does not prohibit a state official from distributing money to a person or entity other than the state in litigation or potential litigation in which the state is a defendant or potential defendant.
(d) State agencies may accept funds as directed by a federal court for any restitution or monetary penalty under United States Code, title 18, section 3663(a)(3), or United States Code, title 18, section 3663A(a)(3). Funds received must be deposited in a special revenue account and are appropriated to the commissioner of the agency for the purpose as directed by the federal court.
(e) Tobacco settlement revenues as defined in section 16A.98, subdivision 1, paragraph (t), may be deposited as provided in section 16A.98, subdivision 12.
(f) Any money received by the state resulting from a settlement agreement or an assurance of discontinuance entered into by the attorney general of the state, or a court order in litigation brought by the attorney general of the state, on behalf of the state or a state agency, related to alleged violations of consumer fraud laws in the marketing,
sale, or distribution of opioids in this state or other alleged illegal actions that contributed to the excessive use of opioids, must be deposited in the settlement account established in the opiate epidemic response fund under section 256.043, subdivision 1. This paragraph does not apply to attorney fees and costs awarded to the state or the Attorney General's Office, to contract attorneys hired by the state or Attorney General's Office, or to other state agency attorneys.
(g) Notwithstanding paragraph (f), if money is received from a settlement agreement or an assurance of discontinuance entered into by the attorney general of the state or a court order in litigation brought by the attorney general of the state on behalf of the state or a state agency against a consulting firm working for an opioid manufacturer or opioid wholesale drug distributor, the commissioner shall deposit any money received into the settlement account established within the opiate epidemic response fund under section 256.042, subdivision 1. Notwithstanding section 256.043, subdivision 3a, paragraph (a), any amount deposited into the settlement account in accordance with this paragraph shall be appropriated to the commissioner of human services to award as grants as specified by the opiate epidemic response advisory council in accordance with section 256.043, subdivision 3a, paragraph (d).
(h) If the Minnesota
Pollution Control Agency, through litigation or settlement of a matter that
could have resulted in litigation, recovers $250,000 or more in a civil penalty
from violations of a permit issued by the agency, then 40 percent of the money
recovered must be distributed to the community health board, as defined in
section 145A.02, where the permitted facility is located. Within 30 days of a final court order in the
litigation or the effective date of the settlement agreement, the commissioner
of the Minnesota Pollution Control Agency must notify the applicable community
health board that the litigation has concluded or a settlement has been reached. The commissioner must collect the money and
transfer it to the applicable community health board. The community health board must meet directly
with the residents potentially affected by the pollution that was the subject
of the litigation or settlement to identify the residents' concerns and
incorporate those concerns into a project that benefits the residents. The project must be implemented by the
community health board and funded as directed in this paragraph. The community health board may recover the
reasonable costs it incurs to administer this paragraph from the funds
transferred to the board under this paragraph.
This paragraph directs the transfer and use of money only and does not
create a right of intervention in the litigation or settlement of the
enforcement action for any person or entity.
A supplemental environmental project funded as part of a settlement
agreement is not part of a civil penalty and must not be included in
calculating the amount of funds required to be distributed to a community
health board under this paragraph. For
the purposes of this paragraph, "supplemental environmental project"
means a project that benefits the environment or public health that a regulated
facility agrees to undertake, though not legally required to do so, as part of
a settlement with respect to an enforcement action taken by the Minnesota
Pollution Control Agency to resolve noncompliance.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to all
litigation actions or settlements from which the Minnesota Pollution Control
Agency recovers $250,000 or more on or after that date.
Sec. 2. Minnesota Statutes 2022, section 115.01, is amended by adding a subdivision to read:
Subd. 8a. Microplastics. "Microplastics" means
particles of plastic less than 500 micrometers in size.
Sec. 3. Minnesota Statutes 2022, section 115.01, is amended by adding a subdivision to read:
Subd. 8b. Nanoplastics. "Nanoplastics" means plastic
particles less than or equal to 100 nanometers in size.
Sec. 4. Minnesota Statutes 2022, section 115.01, is amended by adding a subdivision to read:
Subd. 10a. Plastic. "Plastic" means a synthetic
material made from linking monomers through a chemical reaction to create a
polymer chain that can be molded or extruded at high heat into various solid
forms that retain their defined shapes during their life cycle and after
disposal. Plastic does not mean natural
polymers that have not been chemically modified.
Sec. 5. Minnesota Statutes 2022, section 115.03, subdivision 1, is amended to read:
Subdivision 1. Generally. (a) The agency commissioner
is hereby given and charged with the following powers and duties:
(a) (1) to
administer and enforce all laws relating to the pollution of any of the waters
of the state;
(b) (2) to
investigate the extent, character, and effect of the pollution of the waters of
this state and to gather data and information necessary or desirable in the
administration or enforcement of pollution laws, and to make such
classification of the waters of the state as it may deem advisable;
(c) (3) to
establish and alter such reasonable pollution standards for any waters of the
state in relation to the public use to which they are or may be put as it shall
deem necessary for the purposes of this chapter and, with respect to the
pollution of waters of the state, chapter 116;
(d) (4) to
encourage waste treatment, including advanced waste treatment, instead of
stream low-flow augmentation for dilution purposes to control and prevent
pollution;
(e) (5) to
adopt, issue, reissue, modify, deny, or revoke, enter into or enforce
reasonable orders, permits, variances, standards, rules, schedules of
compliance, and stipulation agreements, under such conditions as it may
prescribe, in order to prevent, control or abate water pollution, or for the
installation or operation of disposal systems or parts thereof, or for other
equipment and facilities:
(1) (i) requiring
the discontinuance of the discharge of sewage, industrial waste or other wastes
into any waters of the state resulting in pollution in excess of the applicable
pollution standard established under this chapter;
(2) (ii) prohibiting
or directing the abatement of any discharge of sewage, industrial waste, or
other wastes, into any waters of the state or the deposit thereof or the
discharge into any municipal disposal system where the same is likely to get
into any waters of the state in violation of this chapter and, with respect to
the pollution of waters of the state, chapter 116, or standards or rules
promulgated or permits issued pursuant thereto, and specifying the schedule of
compliance within which such prohibition or abatement must be accomplished;
(3) (iii) prohibiting
the storage of any liquid or solid substance or other pollutant in a manner
which does not reasonably assure proper retention against entry into any waters
of the state that would be likely to pollute any waters of the state;
(4) (iv) requiring
the construction, installation, maintenance, and operation by any person of any
disposal system or any part thereof, or other equipment and facilities, or the
reconstruction, alteration, or enlargement of its existing disposal system or
any part thereof, or the adoption of other remedial measures to prevent,
control or abate any discharge or deposit of sewage, industrial waste or other
wastes by any person;
(5) (v) establishing,
and from time to time revising, standards of performance for new sources taking
into consideration, among other things, classes, types, sizes, and categories
of sources, processes, pollution control technology, cost of achieving such
effluent reduction, and any nonwater quality environmental impact and energy
requirements. Said standards of
performance for new sources shall encompass those standards for the control of
the discharge of pollutants which reflect the greatest degree of effluent
reduction which the agency determines to be achievable through application of
the best available demonstrated control technology, processes, operating
methods, or other alternatives, including, where practicable, a standard
permitting no discharge of pollutants. New
sources shall encompass buildings, structures, facilities, or installations
from which there is or may be the discharge of pollutants, the construction of
which is commenced after the publication by the agency of proposed rules
prescribing a standard of performance which will be applicable to such source. Notwithstanding any other provision of the
law
of this state, any point source the construction of which is commenced after May 20, 1973, and which is so constructed as to meet all applicable standards of performance for new sources shall, consistent with and subject to the provisions of section 306(d) of the Amendments of 1972 to the Federal Water Pollution Control Act, not be subject to any more stringent standard of performance for new sources during a ten-year period beginning on the date of completion of such construction or during the period of depreciation or amortization of such facility for the purposes of section 167 or 169, or both, of the Federal Internal Revenue Code of 1954, whichever period ends first. Construction shall encompass any placement, assembly, or installation of facilities or equipment, including contractual obligations to purchase such facilities or equipment, at the premises where such equipment will be used, including preparation work at such premises;
(6) (vi) establishing
and revising pretreatment standards to prevent or abate the discharge of any
pollutant into any publicly owned disposal system, which pollutant interferes
with, passes through, or otherwise is incompatible with such disposal system;
(7) (vii) requiring
the owner or operator of any disposal system or any point source to establish
and maintain such records, make such reports, install, use, and maintain such
monitoring equipment or methods, including where appropriate biological
monitoring methods, sample such effluents in accordance with such methods, at
such locations, at such intervals, and in such a manner as the agency shall
prescribe, and providing such other information as the agency may reasonably
require;
(8) (viii) notwithstanding
any other provision of this chapter, and with respect to the pollution of
waters of the state, chapter 116, requiring the achievement of more stringent
limitations than otherwise imposed by effluent limitations in order to meet any
applicable water quality standard by establishing new effluent limitations,
based upon section 115.01, subdivision 13, clause (b), including alternative
effluent control strategies for any point source or group of point sources to
insure the integrity of water quality classifications, whenever the agency
determines that discharges of pollutants from such point source or sources,
with the application of effluent limitations required to comply with any
standard of best available technology, would interfere with the attainment or
maintenance of the water quality classification in a specific portion of the
waters of the state. Prior to
establishment of any such effluent limitation, the agency shall hold a public
hearing to determine the relationship of the economic and social costs of
achieving such limitation or limitations, including any economic or social
dislocation in the affected community or communities, to the social and
economic benefits to be obtained and to determine whether or not such effluent limitation
can be implemented with available technology or other alternative control
strategies. If a person affected by such
limitation demonstrates at such hearing that, whether or not such technology or
other alternative control strategies are available, there is no reasonable
relationship between the economic and social costs and the benefits to be
obtained, such limitation shall not become effective and shall be adjusted as
it applies to such person;
(9) (ix) modifying,
in its discretion, any requirement or limitation based upon best available
technology with respect to any point source for which a permit application is
filed after July 1, 1977, upon a showing by the owner or operator of such point
source satisfactory to the agency that such modified requirements will
represent the maximum use of technology within the economic capability of the
owner or operator and will result in reasonable further progress toward the
elimination of the discharge of pollutants; and
(10) (x) requiring
that applicants for wastewater discharge permits evaluate in their applications
the potential reuses of the discharged wastewater;
(f) (6) to
require to be submitted and to approve plans and specifications for disposal
systems or point sources, or any part thereof and to inspect the construction
thereof for compliance with the approved plans and specifications thereof;
(g) (7) to
prescribe and alter rules, not inconsistent with law, for the conduct of the
agency and other matters within the scope of the powers granted to and imposed
upon it by this chapter and, with respect to pollution of waters of the state,
in chapter 116, provided that every rule affecting any other department or
agency of the state or any person other than a member or employee of the agency
shall be filed with the secretary of state;
(h) (8) to conduct such investigations, issue such notices, public and otherwise, and hold such hearings as are necessary or which it may deem advisable for the discharge of its duties under this chapter and, with respect to the pollution of waters of the state, under chapter 116, including, but not limited to, the issuance of permits, and to authorize any member, employee, or agent appointed by it to conduct such investigations or, issue such notices and hold such hearings;
(i) (9) for
the purpose of water pollution control planning by the state and pursuant to
the Federal Water Pollution Control Act, as amended, to establish and revise
planning areas, adopt plans and programs and continuing planning processes,
including, but not limited to, basin plans and areawide waste treatment
management plans, and to provide for the implementation of any such plans by
means of, including, but not limited to, standards, plan elements, procedures
for revision, intergovernmental cooperation, residual treatment process waste
controls, and needs inventory and ranking for construction of disposal systems;
(j) (10) to
train water pollution control personnel, and charge such training
fees therefor as are necessary to cover the agency's costs. All such fees received shall must
be paid into the state treasury and credited to the Pollution Control Agency
training account;
(11) to provide chloride
reduction training and charge training fees as necessary to cover the agency's
costs. All training fees received must
be paid into the state treasury and credited to the Pollution Control Agency
training account;
(k) (12) to
impose as additional conditions in permits to publicly owned disposal systems
appropriate measures to insure compliance by industrial and other users with
any pretreatment standard, including, but not limited to, those related to
toxic pollutants, and any system of user charges ratably as is hereby required
under state law or said Federal Water Pollution Control Act, as amended, or any
regulations or guidelines promulgated thereunder;
(l) (13) to
set a period not to exceed five years for the duration of any national
pollutant discharge elimination system permit or not to exceed ten years for
any permit issued as a state disposal system permit only;
(m) (14) to
require each governmental subdivision identified as a permittee for a
wastewater treatment works to evaluate in every odd-numbered year the condition
of its existing system and identify future capital improvements that will be
needed to attain or maintain compliance with a national pollutant discharge
elimination system or state disposal system permit; and
(n) (15) to
train subsurface sewage treatment system personnel, including persons who
design, construct, install, inspect, service, and operate subsurface sewage
treatment systems, and charge fees as necessary to pay the agency's costs. All fees received must be paid into the state
treasury and credited to the agency's training account. Money in the account is appropriated to the
agency to pay expenses related to training.
(b) The information
required in paragraph (a), clause (m) (14), must be
submitted in every odd-numbered year to the commissioner on a form provided by
the commissioner. The commissioner shall
provide technical assistance if requested by the governmental subdivision.
(c) The powers and duties given the agency in this subdivision also apply to permits issued under chapter 114C.
Sec. 6. Minnesota Statutes 2022, section 115.03, is amended by adding a subdivision to read:
Subd. 12. Biofuel
plants. A national pollutant
discharge elimination system or state disposal system permit issued by the
agency to an ethanol plant, as defined in section 41A.09, subdivision 2a; a
biodiesel plant; or an advanced biofuel plant must, as a condition of the
permit, require the monitoring of wastewater for the presence of neonicotinoid
pesticides and perfluoroalkyl or polyfluoroalkyl substances. The permittee's monitoring system must be
capable of providing a permanent record of monitoring results which the
permittee must make available upon request of the commissioner or any person. The commissioner must periodically inspect a
permittee's monitoring system to verify accuracy.
Sec. 7. Minnesota Statutes 2022, section 115.061, is amended to read:
115.061 DUTY TO NOTIFY; AVOIDING WATER POLLUTION.
(a) Except as provided in paragraph (b), it is the duty of every person to notify the agency immediately of the discharge, accidental or otherwise, of any substance or material under its control which, if not recovered, may cause pollution of waters of the state, and the responsible person shall recover as rapidly and as thoroughly as possible such substance or material and take immediately such other action as may be reasonably possible to minimize or abate pollution of waters of the state caused thereby.
(b) Notification is not required under paragraph (a) for a discharge of five gallons or less of petroleum, as defined in section 115C.02, subdivision 10. This paragraph does not affect the other requirements of paragraph (a).
(c) Promptly after
notifying the agency of a discharge under paragraph (a), a publicly owned
treatment works or a publicly or privately owned domestic sewer system owner
must provide notice to the potentially impacted public and to any downstream
drinking water facility that may be impacted by the discharge. Notice to the public and to any drinking
water facility must be made using the most efficient communications system
available to the facility owner such as in person, telephone call, radio,
social media, web page, or another expedited form. In addition, signage must be posted at all
impacted public use areas within the same jurisdiction or notification must be
provided to the entity that has jurisdiction over any impacted public use areas. A notice under this paragraph must include
the date and time of the discharge, a description of the material released, a
warning of the potential public health risk, and the permittee's contact
information.
(d) The agency must
provide guidance that includes but is not limited to methods and protocols for
providing timely notice under this section.
Sec. 8. Minnesota Statutes 2022, section 115A.03, is amended by adding a subdivision to read:
Subd. 37a. Waste
treated seed. "Waste
treated seed" means seed that is treated, as defined in section 21.81,
subdivision 28, and that is withdrawn from sale or that the end user considers
unusable or otherwise a waste.
Sec. 9. Minnesota Statutes 2022, section 115A.1415, is amended to read:
115A.1415 ARCHITECTURAL PAINT; PRODUCT STEWARDSHIP PROGRAM; STEWARDSHIP
PLAN.
Subdivision 1. Definitions. For purposes of this section, the following terms have the meanings given:
(1) "architectural paint" means interior and exterior architectural coatings sold in containers of five gallons or less. Architectural paint does not include industrial coatings, original equipment coatings, or specialty coatings;
(2) "brand" means a name, symbol, word, or mark that identifies architectural paint, rather than its components, and attributes the paint to the owner or licensee of the brand as the producer;
(3) "discarded paint" means architectural paint that is no longer used for its manufactured purpose;
(4) "producer" means a person that:
(i) has legal ownership of the brand, brand name, or cobrand of architectural paint sold in the state;
(ii) imports architectural paint branded by a producer that meets item (i) when the producer has no physical presence in the United States;
(iii) if items (i) and (ii) do not apply, makes unbranded architectural paint that is sold in the state; or
(iv) sells architectural paint at wholesale or retail, does not have legal ownership of the brand, and elects to fulfill the responsibilities of the producer for the architectural paint by certifying that election in writing to the commissioner;
(5) "recycling" means the process of collecting and preparing recyclable materials and reusing the materials in their original form or using them in manufacturing processes that do not cause the destruction of recyclable materials in a manner that precludes further use;
(6) "retailer" means any person who offers architectural paint for sale at retail in the state;
(7) "reuse" means donating or selling collected architectural paint back into the market for its original intended use, when the architectural paint retains its original purpose and performance characteristics;
(8) "sale" or "sell" means transfer of title of architectural paint for consideration, including a remote sale conducted through a sales outlet, catalog, website, or similar electronic means. Sale or sell includes a lease through which architectural paint is provided to a consumer by a producer, wholesaler, or retailer;
(9) "stewardship
assessment" means the amount added to the purchase price of architectural
paint sold in the state that is necessary to cover the cost of collecting,
transporting, and processing postconsumer architectural paint by the producer
or stewardship organization pursuant to a product stewardship program to
implement a product stewardship program according to an approved stewardship
plan;
(10) "stewardship organization" means an organization appointed by one or more producers to act as an agent on behalf of the producer to design, submit, and administer a product stewardship program under this section; and
(11) "stewardship plan" means a detailed plan describing the manner in which a product stewardship program under subdivision 2 will be implemented.
Subd. 2. Product stewardship program. For architectural paint sold in the state, producers must, individually or through a stewardship organization, implement and finance a statewide product stewardship program that manages the architectural paint by reducing the paint's waste generation, promoting its reuse and recycling, and providing for negotiation and execution of agreements to collect, transport, and process the architectural paint for end-of-life recycling and reuse.
Subd. 3. Participation
required to sell. (a) On and
after July 1, 2014, or three months after program plan approval, whichever is
sooner, No producer, wholesaler, or retailer may sell or offer for sale in
the state architectural paint unless the paint's producer participates in an
approved stewardship plan, either individually or through a stewardship
organization.
(b) Each producer must
operate a product stewardship program approved by the agency commissioner
or enter into an agreement with a stewardship organization to operate, on the
producer's behalf, a product stewardship program approved by the agency commissioner.
Subd. 4. Stewardship
plan required. (a) On or before
March 1, 2014, and Before offering architectural paint for sale in the
state, a producer must submit a stewardship plan to the agency commissioner
and receive approval of the plan or must submit documentation to the agency
commissioner that demonstrates the producer has entered into an
agreement with a stewardship organization to be an active participant in an
approved product stewardship program as described in subdivision 2. A stewardship plan must include all elements
required under subdivision 5.
(b) An A proposed
amendment to the plan, if determined necessary by the commissioner, must be
submitted to the commissioner for review and approval or rejection every
five years.
(c) It is the responsibility
of The entities responsible for each stewardship plan to must
notify the agency commissioner within 30 days of any significant proposed
changes or modifications to the plan or its implementation. Within 30 days of the notification, a written
proposed plan revision amendment must be submitted to the agency
commissioner for review and approval or rejection.
Subd. 5. Plan content. A stewardship plan must contain:
(1) certification that the product stewardship program will accept all discarded paint regardless of which producer produced the architectural paint and its individual components;
(2) contact information for the individual and the entity submitting the stewardship plan, a list of all producers participating in the product stewardship program, and the brands covered by the product stewardship program;
(3) a description of the methods by which the discarded paint will be collected in all areas in the state without relying on end-of-life fees, including an explanation of how the collection system will be convenient and adequate to serve the needs of small businesses and residents in both urban and rural areas on an ongoing basis and a discussion of how the existing household hazardous waste infrastructure will be considered when selecting collection sites;
(4) a description of how the adequacy of the collection program will be monitored and maintained;
(5) the names and locations of collectors, transporters, and recyclers that will manage discarded paint;
(6) a description of how the discarded paint and the paint's components will be safely and securely transported, tracked, and handled from collection through final recycling and processing;
(7) a description of the method that will be used to reuse, deconstruct, or recycle the discarded paint to ensure that the paint's components, to the extent feasible, are transformed or remanufactured into finished products for use;
(8) a description of the promotion and outreach activities that will be used to encourage participation in the collection and recycling programs and how the activities' effectiveness will be evaluated and the program modified, if necessary;
(9) the proposed stewardship
assessment. The producer or
stewardship organization shall propose a uniform stewardship assessment for any
architectural paint sold in the state. The
proposed stewardship assessment shall be reviewed by an independent auditor to
ensure that the assessment does not exceed the costs of the product stewardship
program and the independent auditor shall recommend an amount for the
stewardship assessment. The agency must
approve the stewardship assessment established according to subdivision
5a;
(10) evidence of adequate insurance and financial assurance that may be required for collection, handling, and disposal operations;
(11) five-year performance goals, including an estimate of the percentage of discarded paint that will be collected, reused, and recycled during each of the first five years of the stewardship plan. The performance goals must include a specific goal for the amount of discarded paint that will be collected and recycled and reused during each year of the plan. The performance goals must be based on:
(i) the most recent collection data available for the state;
(ii) the estimated amount of architectural paint disposed of annually;
(iii) the weight of the architectural paint that is expected to be available for collection annually; and
(iv) actual collection data from other existing stewardship programs.
The stewardship plan must state the methodology used to determine these goals; and
(12) a discussion of the status of end markets for collected architectural paint and what, if any, additional end markets are needed to improve the functioning of the program.
Subd. 5a. Stewardship
assessment. The producer or
stewardship organization must propose a uniform stewardship assessment for any
architectural paint sold in the state that covers but does not exceed the costs
of developing the stewardship plan, operating and administering the program in accordance
with the stewardship plan and the requirements of this section, and maintaining
a financial reserve. A stewardship
organization or producer must not maintain a financial reserve in excess of 75
percent of the organization's annual operating expenses. The producer or stewardship organization must
retain an independent auditor to review the proposed stewardship assessment to
ensure that the assessment meets the requirements of this section. The independent auditor must recommend an
amount for the stewardship assessment. If
the financial reserve exceeds 75 percent of the producer or stewardship
organization's annual operating expenses, the producer or stewardship
organization must submit a proposed plan amendment according to subdivision 4,
paragraph (c), to comply with this subdivision.
The commissioner must review and approve or reject the stewardship
assessment according to subdivision 7.
Subd. 6. Consultation required. Each stewardship organization or individual producer submitting a stewardship plan or plan amendment must consult with stakeholders including retailers, contractors, collectors, recyclers, local government, and customers during the development of the plan or plan amendment.
Subd. 7. Agency
Commissioner review and approval.
(a) Within 90 days after receipt of receiving a
proposed stewardship plan, the agency shall commissioner must
determine whether the plan complies with subdivision 4 this section. If the agency commissioner
approves a plan, the agency shall commissioner must notify the
applicant of the plan approval in writing.
If the agency commissioner rejects a plan, the agency
shall commissioner must notify the applicant in writing of the
reasons for rejecting the plan.
(b) An applicant
whose plan is rejected by the agency commissioner must submit a
revised stewardship plan to the agency commissioner within
60 days after receiving notice of rejection.
A stewardship organization may submit a revised stewardship plan to
the commissioner on not more than two consecutive occasions. If, after the second consecutive submission,
the commissioner determines that the revised stewardship plan still does not
meet the requirements of this section, the commissioner must modify the stewardship
plan as necessary to meet the requirements of this section and approve the
stewardship plan.
(b) (c) Any
proposed changes amendment to a stewardship plan must be reviewed
and approved or rejected by the agency commissioner in
writing according to this subdivision.
Subd. 8. Plan
availability. All draft proposed
stewardship plans and amendments and approved stewardship plans shall
and amendments must be placed on the agency's website for at least 30
days and made available at the agency's headquarters for public review and
comment.
Subd. 9. Conduct authorized. A producer or stewardship organization that organizes collection, transport, and processing of architectural paint under this section is immune from liability for the conduct under state laws relating to antitrust, restraint of trade, unfair trade practices, and other regulation of trade or commerce only to the extent that the conduct is necessary to plan and implement the producer's or organization's chosen organized collection or recycling system.
Subd. 10. Producer
responsibilities. (a) On and after
the date of implementation of a product stewardship program according to this
section, a producer of architectural paint must add the stewardship assessment,
as established under subdivision 5, clause (9) 5a, to the cost of
architectural paint sold to retailers and distributors in the state by the
producer.
(b) Producers of architectural
paint or the stewardship organization shall must provide
consumers with educational materials regarding the stewardship assessment and
product stewardship program. The
materials must include, but are not limited to, information regarding available
end-of-life management options for architectural paint offered through the
product stewardship program and information that notifies consumers that a
charge for the operation of the product stewardship program is included in the
purchase price of architectural paint sold in the state.
Subd. 11. Retailer
responsibilities. (a) On and
after July 1, 2014, or three months after program plan approval, whichever is
sooner, No architectural paint may be sold in the state unless the paint's
producer is participating in an approved stewardship plan.
(b) On and after the implementation date of a product stewardship program according to this section, each retailer or distributor, as applicable, must ensure that the full amount of the stewardship assessment added to the cost of architectural paint by producers under subdivision 10 is included in the purchase price of all architectural paint sold in the state.
(c) Any retailer may participate, on a voluntary basis, as a designated collection point pursuant to a product stewardship program under this section and in accordance with applicable law.
(d) No retailer or distributor shall be found to be in violation of this subdivision if, on the date the architectural paint was ordered from the producer or its agent, the producer was listed as compliant on the agency's website according to subdivision 14.
Subd. 12. Stewardship
reports. Beginning October 1,
2015, By April 1 each year, producers of architectural paint sold in
the state must individually or through a stewardship organization submit an
annual report to the agency commissioner describing the product
stewardship program for the preceding calendar year. At a minimum, the report must contain:
(1) a description of the methods used to collect, transport, and process
architectural paint in all regions of the state;
(2) the weight of all architectural paint collected in all regions of the state and a comparison to the performance goals and recycling rates established in the stewardship plan;
(3) the amount of unwanted architectural paint collected in the state by method of disposition, including reuse, recycling, and other methods of processing;
(4) samples of educational materials provided to consumers and an evaluation of the effectiveness of the materials and the methods used to disseminate the materials; and
(5) an independent financial audit.
Subd. 13. Data
classification. Trade secret and
sales information, as defined under section 13.37, submitted to the agency
commissioner under this section are private or nonpublic data under
section 13.37.
Subd. 14. Agency
Commissioner responsibilities. The
agency shall commissioner must provide, on its the
agency's website, a list of all compliant producers and brands
participating in stewardship plans that the agency commissioner
has approved and a list of all producers and brands the agency commissioner
has identified as noncompliant with this section.
Subd. 15. Local government responsibilities. (a) A city, county, or other public agency may choose to participate voluntarily in a product stewardship program.
(b) Cities, counties, and other public agencies are encouraged to work with producers and stewardship organizations to assist in meeting product stewardship program reuse and recycling obligations, by providing education and outreach or using other strategies.
(c) A city, county, or other
public agency that participates in a product stewardship program must report
for the first year of the program to the agency commissioner
using the reporting form provided by the agency commissioner on
the cost savings as a result of participation and must describe how the
savings were used.
Subd. 16. Administrative
fee. (a) The stewardship
organization or individual producer submitting a stewardship plan shall must
pay an annual administrative fee to the commissioner. The agency commissioner may
establish a variable fee based on relevant factors, including, but not
limited to, the portion of architectural paint sold in the state by
members of the organization compared to the total amount of architectural paint
sold in the state by all organizations submitting a stewardship plan.
(b) Prior to July 1, 2014,
and Before July 1 annually thereafter each year, the agency
shall commissioner must identify the costs it the agency
incurs under this section. The agency
shall commissioner must set the fee at an amount that, when paid by
every stewardship organization or individual producer that submits a
stewardship plan, is adequate to reimburse the agency's full costs of
administering this section. The total
amount of annual fees collected under this subdivision must not exceed the
amount necessary to reimburse costs incurred by the agency to administer this
section.
(c) A stewardship organization
or individual producer subject to this subdivision must pay the agency's
commissioner's administrative fee under paragraph (a) on or before July
1, 2014, and annually thereafter each year. Each year after the initial payment, the
annual administrative fee may not exceed five percent of the aggregate
stewardship assessment added to the cost of all architectural paint sold by
producers in the state for the preceding calendar year.
(d) All fees received under
this section shall must be deposited in the state treasury and
credited to a product stewardship account in the special revenue fund. For fiscal years 2014, 2015, 2016, and
2017, The amount collected under this section is annually appropriated to
the agency commissioner to implement and enforce this section.
Subd. 17. Duty
to provide information. Upon
request of the commissioner for purposes of determining compliance with this
section, a person must furnish to the commissioner any information that the
person has or may reasonably obtain.
Sec. 10. Minnesota Statutes 2022, section 115A.565, subdivision 1, is amended to read:
Subdivision 1. Grant
program established. The
commissioner must make competitive grants to political subdivisions or
federally recognized Tribes to establish curbside recycling or composting,
increase for waste reduction, reuse, recycling or, and
composting, reduce the amount of recyclable materials entering disposal
facilities, or reduce the costs associated with hauling waste by locating
collection sites as close as possible to the site where the waste is generated
of source-separated compostable materials or yard waste. To be eligible for grants under this section,
a political subdivision or federally recognized Tribe must be located outside
the seven-county metropolitan area and a city must have a population of less
than 45,000.
Sec. 11. Minnesota Statutes 2022, section 115A.565, subdivision 3, is amended to read:
Subd. 3. Priorities; eligible projects. (a) If applications for grants exceed the available appropriations, grants must be made for projects that, in the commissioner's judgment, provide the highest return in public benefits.
(b) To be eligible to receive a grant, a project must:
(1) be locally administered;
(2) have an educational component and measurable outcomes;
(3) request $250,000 or less;
(4) demonstrate local direct
and indirect matching support of at least a quarter amount of the grant
request; and
(5) include at least one of the following elements:
(i) transition to
residential recycling through curbside or centrally located collection sites;
(ii) development of
local recycling systems to support curbside recycling; or
(iii) development or
expansion of local recycling systems to support recycling bulk materials,
including, but not limited to, electronic waste.
(i) waste reduction;
(ii) reuse;
(iii) recycling; or
(iv) composting of
source-separated compostable materials or yard waste; and
(6) demonstrate that the
project will reduce waste generation through waste reduction or reuse or that
the project will increase the amount of recyclable materials or
source-separated compostable materials diverted from a disposal facility.
Sec. 12. [115A.566]
ZERO-WASTE GRANT PROGRAM.
Subdivision 1. Definitions. (a) For purposes of this section the
following terms have the meanings given.
(b) "Compost"
means a product that:
(1) is manufactured
through the controlled aerobic, biological decomposition of biodegradable
materials; and
(2) has undergone
mesophilic and thermophilic temperatures, which significantly reduces the
viability of pathogens and weed seeds and stabilizes the carbon such that it is
beneficial to plant growth.
(c)
"Composting" means the controlled microbial degradation of organic
waste to yield a humus-like product.
(d)
"Electronics" means any product that is powered by electricity but
does not include industrial machinery or lead-acid batteries.
(e) "Eligible
entity" means:
(1) a small business, as
defined in section 645.445;
(2) an organization that
is exempt from taxes under section 501(c)(3) of the Internal Revenue Code; or
(3) a Minnesota city,
county, public school district, town, or Tribal government.
(f) "Embodied
energy" means energy that was used to create a product or material.
(g) "Environmental
justice area" means one or more census tracts in Minnesota:
(1) in which, based on the most
recent data published by the United States Census Bureau:
(i) 40 percent or more of
the area's total population is nonwhite;
(ii) 35 percent or more
of households in the area have an income that is at or below 200 percent of the
federal poverty level; or
(iii) 40 percent or more
of the population over the age of five has limited English proficiency; or
(2) located in Indian
Country, as defined in United States Code, title 18, section 1151.
(h) "Life-cycle
impact" means the environmental impacts of products, processes, or
services from raw materials through production, usage, and disposal.
(i) "Living wage"
means the minimum income necessary to allow a person working 40 hours per week
to afford the cost of housing, food, and other material necessities.
(j)
"Refurbished" means a product that was used, deemed defective,
recycled, or returned to the manufacturer or a third party, then tested and
repaired by the manufacturer or a third party before being sold again.
(k) "Responsible end
market" means a materials market in which recycling materials or disposing
of contaminants is conducted in a way that benefits the environment and
minimizes risks to public health and worker health and safety.
(l) "Reuse"
means the repair, repurposing, or multiple use of products and materials in a
way that extends the useful life of products and materials and decreases the
demand for new production. Reuse is not
recycling and does not alter an object's physical form by extracting base
materials for processing into a new product.
(m) "Rural
area" means an area outside the boundaries of a city whose population is
50,000 or more and outside an area contiguous to the city that has a population
density greater than 100 persons per square mile.
(n) "Zero
waste" means conserving all resources by means of responsible production,
consumption, reuse, and recovery of products, packaging, and materials without
burning or otherwise destroying embodied energy, with no discharges to land,
water, or air that threaten the environment or human health.
Subd. 2. Grant
program. The commissioner
must establish a competitive grant program to award grants to eligible entities
to promote projects described in subdivisions 5 to 8 that are consistent with
zero-waste practices.
Subd. 3. Grant
application process. (a) The
commissioner must develop administrative procedures governing the application
and grant award process.
(b) The commissioner must
award grants to eligible entities under this section through a competitive
grant process. In a request for
proposals, the commissioner must:
(1) specify the maximum
grant amount; and
(2) establish the minimum
percentage of total project funds that an applicant must contribute to the
project. Recycling projects described in
subdivisions 5, 7, and 8 must demonstrate use of responsible end markets.
(c) The commissioner must
develop, in consultation with the agency's Environmental Justice Advisory
Group, a streamlined and accessible application process.
(d) To apply for a grant
under this section, an eligible entity must submit a written application to the
commissioner on a form prescribed by the commissioner.
(e) The application must
include specific source reduction, recycling, or composting targets or estimate
reductions in life-cycle impacts to be achieved by the project.
(f) A project awarded a
grant under this section must be completed within three years of the award.
(g) A recycling project
awarded a grant under this section must not include energy recovery or energy
generation by any means, including but not limited to combustion, incineration,
pyrolysis, gasification, solvolysis, thermal desorption, or waste to fuel, or
landfill disposal of discarded material or discarded product component
materials, including the use of materials as landfill cover.
Subd. 4. Grant
award process; priorities. In
awarding grants under this section, the commissioner must:
(1) award at least 60
percent of available money to eligible entities whose projects are located in
environmental justice areas and at least 30
percent of available funds to eligible entities whose projects are located in
rural areas; and
(2) give priority to
eligible entities whose projects:
(i) achieve source
reduction;
(ii) develop reuse
systems;
(iii) support existing or
create new jobs that pay a living wage, with additional priority given to
projects that create jobs for individuals with barriers to employment, as
determined by the commissioner;
(iv) minimize any
negative environmental consequences of the proposed project;
(v) demonstrate a need
for additional investment in infrastructure and projects to achieve source
reduction, recycling, or composting targets set by the local unit of government
responsible for waste and recycling programs in the project area;
(vi) encourage further
investment in source reduction, recycling, or composting projects; or
(vii) incorporate
multistakeholder involvement, including nonprofit, commercial, and public
sector partners.
Subd. 5. Electronics
grants. (a) The commissioner
may award grants under this subdivision to source reduction and recycling
projects that address electronics. Grants
may be used to fund recycling technology or infrastructure, research and
development projects, and electronics repair or refurbishment.
(b) No grant may be
awarded under this subdivision:
(1) for an electronic
waste buy-back program that pays consumers for used electronics in the form of
credits that may be used to purchase additional electronics; or
(2) to recyclers who are
not certified by an organization accredited by the American National Standards
Institute National Accreditation Board as having achieved the e-Stewards
Standard for Responsible Recycling and Reuse of Electronic Equipment.
Subd. 6. Source
reduction and reuse grants. The
commissioner may award grants under this subdivision to projects that promote
source reduction or reuse. Grants may be
used:
(1) to redesign products
in ways that reduce their life-cycle impacts while not increasing the toxicity
of those impacts, including reducing the amount of packaging; or
(2) for education and outreach
activities that encourage consumers to change their product purchasing, use, or
disposal behaviors in ways that promote source reduction or reuse.
Subd. 7. Market
development grants. (a) The
commissioner may award grants under this subdivision to projects that promote
and strengthen markets for reuse, recycling, and composting, including projects
that increase demand for sorted recyclable commodities, refurbished goods, or
compost.
(b) Projects seeking
grants under this subdivision must target materials that are disproportionately
disposed of in landfills or incinerated and must reduce the volume, weight, or
toxicity of waste and waste by-products.
(c) Projects seeking
grants under this subdivision to expand recycling markets must target easily or
commonly recycled materials.
(d) Projects seeking
grants under this subdivision must not conflict with other laws or requirements
identified by the commissioner.
Subd. 8. Recycling
and composting infrastructure grants.
(a) Grants awarded under this subdivision may be used for
facilities, machinery, equipment, and other physical infrastructure or supplies
required to collect or process materials for recycling and composting.
(b) Grants awarded under
this subdivision must result in increased capacity to process residential and
commercial source-separated organics, yard waste, and recyclable materials. Grants awarded to increase the capacity of
composting infrastructure must generate a usable product that has demonstrable
environmental benefits.
(c) No grant may be
awarded under this subdivision to support composting material derived from
mixed municipal solid waste.
Subd. 9. Reporting. By January 15, 2025, and each January
15 through 2027, the commissioner must submit a written report to the chairs
and ranking minority members of the legislative committees having jurisdiction
over economic development and environment that describes the use of grant money
under this section. The report must
include, at a minimum:
(1) a list of grant
recipients, grant amounts, and project descriptions; and
(2) a narrative of
progress made toward grant project goals.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 13. [115A.993]
PROHIBITED DISPOSAL METHODS.
A person must not dispose
of waste treated seed in a manner inconsistent with the product label, where
applicable, or by:
(1) burial near a
drinking water source or any creek, stream, river, lake, or other surface
water;
(2) composting; or
(3) incinerating within a
home or other dwelling.
Sec. 14. Minnesota Statutes 2022, section 115B.17, subdivision 14, is amended to read:
Subd. 14. Requests for review, investigation, and oversight. (a) The commissioner may, upon request, assist a person in determining whether real property has been the site of a release or threatened release of a hazardous substance, pollutant, or contaminant. The commissioner may also assist in, or supervise, the development and
implementation of reasonable and necessary response actions. Assistance may include review of agency records and files, and review and approval of a requester's investigation plans and reports and response action plans and implementation.
(b) Except as otherwise
provided in this paragraph, the person requesting assistance under this
subdivision shall pay the agency for the agency's cost, as determined by the
commissioner, of providing assistance. A
state agency, political subdivision, or other public entity is not required to
pay for the agency's cost to review agency records and files. Money received by the agency for
assistance under this section The first $350,000 received annually by
the agency for assistance under this subdivision from persons who are not
otherwise responsible under sections 115B.01 to 115B.18 must be deposited
in the remediation fund and is exempt from section 16A.1285. Money received after the first $350,000
must be deposited in the state treasury and credited to an account in the
special revenue fund. Money in the
account is annually appropriated to the commissioner for the purposes of
administering this subdivision.
(c) When a person investigates a release or threatened release in accordance with an investigation plan approved by the commissioner under this subdivision, the investigation does not associate that person with the release or threatened release for the purpose of section 115B.03, subdivision 3, paragraph (a), clause (4).
Sec. 15. Minnesota Statutes 2022, section 115B.171, subdivision 3, is amended to read:
Subd. 3. Test
reporting. (a) By January March
15 each year, the commissioner of the Pollution Control Agency must report to
each community in the east metropolitan area a summary of the results of the
testing for private wells in the community.
The report must include information on the number of wells tested and
trends of PFC contamination in private wells in the community. Reports to communities under this section
must also be published on the Pollution Control Agency's website.
(b) By January March
15 each year, the commissioner of the Pollution Control Agency must report to
the legislature, as provided in section 3.195, on the testing for private wells
conducted in the east metropolitan area, including copies of the community
reports required in paragraph (a), the number of requests for well testing in
each community, and the total amount spent for testing private wells in each
community.
Sec. 16. Minnesota Statutes 2022, section 115B.52, subdivision 4, is amended to read:
Subd. 4. Reporting. The commissioner of the Pollution Control Agency and the commissioner of natural resources must jointly submit:
(1) by April 1, 2019, an implementation plan detailing how the commissioners will:
(i) determine how the priorities in the settlement will be met and how the spending will move from the first priority to the second priority and the second priority to the third priority outlined in the settlement; and
(ii) evaluate and determine what projects receive funding;
(2) by February 1 and
August 1 October 1 each year, a biannual report to the chairs
and ranking minority members of the legislative policy and finance committees
with jurisdiction over environment and natural resources on expenditures from
the water quality and sustainability account during the previous six months
fiscal year; and
(3) by August October
1, 2019 2023, and each year thereafter, a report to the
legislature on expenditures from the water quality and sustainability account
during the previous fiscal year and a spending plan for anticipated
expenditures from the account during the current fiscal year.
Sec. 17. Minnesota Statutes 2022, section 116.02, is amended to read:
116.02 POLLUTION CONTROL AGENCY; CREATION AND POWERS.
Subdivision 1. Creation. A pollution control agency, designated as
the Minnesota Pollution Control Agency, is hereby created consists of
the commissioner and eight members appointed by the governor, by and with the
advice and consent of the senate.
Subd. 2a. Terms,
compensation, removal, vacancies. The
membership terms, compensation, removal of members, and filling of vacancies on
the agency is as provided in section 15.0575.
Subd. 3a. Membership. (a) The membership of the Pollution
Control Agency must be broadly representative of the skills and experience
necessary to effectuate the policy of sections 116.01 to 116.075, except that
no member other than the commissioner may be an officer or employee of the
state or federal government.
(b) The membership of
the Pollution Control Agency must reflect the diversity of the state of
Minnesota in terms of race, gender, and geography.
(c) Only two members at
one time may be officials or employees of a municipality or any governmental
subdivision, but neither may be a member ex-officio or otherwise on the
management board of a municipal sanitary sewage disposal system.
(d) Membership must
include:
(1) at least one
enrolled member of one of the 11 federally recognized Tribes in the state;
(2) at least three
members who live in environmental justice communities and identify as American
Indian or Alaska Natives, Black or African American, Hispanic or Latino, Asian,
Pacific Islander, members of a community of color, or low-income. An environmental justice community means a
community with significant representation of communities of color, low-income
communities, or Tribal and Indigenous communities that experience, or are at
risk of experiencing, higher instances of or more adverse human health or
environmental effects;
(3) at least one farmer
of livestock or crops, or both, with fewer than 200 head of livestock or 500
acres of cropland, or both; and
(4) at least one member
of a labor union.
Subd. 4a. Chair. The commissioner serves as chair of
the agency. The agency elects other
officers as the agency deems necessary.
Subd. 5. Agency successor to commission. The Minnesota Pollution Control Agency is the successor of the Water Pollution Control Commission, and all powers and duties now vested in or imposed upon said commission by chapter 115, or any act amendatory thereof or supplementary thereto, are hereby transferred to, imposed upon, and vested in the commissioner of the Minnesota Pollution Control Agency.
Subd. 6a. Required
decisions. (a) The agency
must make final decisions on the following matters:
(1) a petition for
preparing an environmental assessment worksheet, if the project proposer or a
person commenting on the proposal requests that the decision be made by the
agency and the agency requests that it make the decision under subdivision 8a;
(2) the need for an
environmental impact statement following preparation of an environmental
assessment worksheet under applicable rules, if:
(i) the agency has
received a request for an environmental impact statement;
(ii) the project proposer
or a person commenting on the proposal requests that the declaration be made by
the agency and the agency requests that it make the decision under subdivision
8a; or
(iii) the commissioner is
recommending preparation of an environmental impact statement;
(3) the scope and
adequacy of environmental impact statements;
(4) issuing, reissuing,
modifying, or revoking a permit;
(5) final adoption or
amendment of agency rules for which a public hearing is required under section
14.25 or for which the commissioner decides to proceed directly to a public
hearing under section 14.14, subdivision 1;
(6) approving or denying
an application for a variance from an agency rule; and
(7) whether to reopen,
rescind, or reverse a decision of the agency.
(b) In reviewing projects,
the agency must consider whether there has been free prior and informed consent
via government-to-government consultation with Tribal Nations and the way a
project will impact the ability of communities to exercise rights guaranteed by
treaties.
Subd. 7a. Additional
decisions. The commissioner
may request that the agency make additional decisions or provide advice to the
commissioner.
Subd. 8a. Other
actions. (a) Any other action
not specifically within the authority of the commissioner must be made by the
agency if:
(1) before the
commissioner's final decision on the action, one or more members of the agency
notify the commissioner of their request that the decision be made by the
agency; or
(2) any person submits a
petition to the commissioner requesting that the decision be made by the agency
and the commissioner grants the petition.
(b) If the commissioner
denies a petition submitted under paragraph (a), clause (2), the commissioner
must advise the agency and the petitioner of the reasons for the denial.
Subd. 9a. Providing
information. (a) The
commissioner must inform interested persons as appropriate in public notices,
and other public documents, of their right to request that the agency make
decisions in specific matters according to subdivision 6a and the right of
agency members to request that decisions be made by the agency according to
subdivision 8a.
(b) The commissioner must
regularly inform the agency of activities that have broad policy implications
or potential environmental significance and of activities in which the public
has exhibited substantial interest.
Subd. 11. Changing
decisions. (a) The agency
must not reopen, rescind, or reverse a decision of the agency except upon:
(1) the affirmative vote
of two-thirds of the agency; or
(2) a finding that there
was an irregularity in a hearing related to the decision, an error of law, or a
newly discovered material issue of fact.
(b) The requirements in
paragraph (a) are minimum requirements and do not limit the agency's authority
under sections 14.06 and 116.07, subdivision 3, to adopt rules:
(1) applying the
requirement in paragraph (a), clause (1) or (2), to certain decisions of the
agency; or
(2) establishing
additional or more stringent requirements for reopening, rescinding, or
reversing decisions of the agency.
Subd. 12. Conflict
of interest. A public member
of the Pollution Control Agency must not participate in the discussion or
decision on a matter in which the member or an immediate family member has a
financial interest.
Sec. 18. Minnesota Statutes 2022, section 116.03, subdivision 1, is amended to read:
Subdivision 1. Office. (a) The Office of Commissioner of the Pollution Control Agency is created and is under the supervision and control of the commissioner, who is appointed by the governor under the provisions of section 15.06.
(b) The commissioner may
appoint a deputy commissioner and assistant commissioners who shall be are
in the unclassified service.
(c) The commissioner shall make all decisions on behalf of the agency that are not required to be made by the agency under section 116.02.
Sec. 19. Minnesota Statutes 2022, section 116.03, subdivision 2a, is amended to read:
Subd. 2a. Mission; efficiency. It is part of the agency's mission that within the agency's resources, the commissioner and the members of the agency shall endeavor to:
(1) prevent the waste or unnecessary spending of public money;
(2) use innovative fiscal and human resource practices to manage the state's resources and operate the agency as efficiently as possible;
(3) coordinate the agency's activities wherever appropriate with the activities of other governmental agencies;
(4) use technology where appropriate to increase agency productivity, improve customer service, increase public access to information about government, and increase public participation in the business of government;
(5) utilize use
constructive and cooperative labor-management practices to the extent otherwise
required by chapters 43A and 179A;
(6) report to the legislature on the performance of agency operations and the accomplishment of agency goals in the agency's biennial budget according to section 16A.10, subdivision 1; and
(7) recommend to the legislature appropriate changes in law necessary to carry out the mission and improve the performance of the agency.
Sec. 20. Minnesota Statutes 2022, section 116.06, subdivision 1, is amended to read:
Subdivision 1. Applicability. The definitions given in this section
shall obtain for the purposes of sections 116.01 to 116.075 116.076
except as otherwise expressly provided or indicated by the context.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 21. Minnesota Statutes 2022, section 116.06, is amended by adding a subdivision to read:
Subd. 6a. Commissioner. "Commissioner" means the
commissioner of the Pollution Control Agency.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. Minnesota Statutes 2022, section 116.06, is amended by adding a subdivision to read:
Subd. 10a. Environmental
justice. "Environmental justice"
means that:
(1) communities of color,
Indigenous communities, and low-income communities have a healthy environment
and are treated fairly when environmental statutes, rules, and policies are
developed, adopted, implemented, and enforced; and
(2) in all decisions that
have the potential to affect the environment of an environmental justice area
or the public health of its residents, due consideration is given to the
history of the area's and its residents' cumulative exposure to pollutants and
to any current socioeconomic conditions that increase the physical sensitivity
of those residents to additional exposure to pollutants.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 23. Minnesota Statutes 2022, section 116.06, is amended by adding a subdivision to read:
Subd. 10b. Environmental
justice area. "Environmental
justice area" means one or more census tracts in Minnesota:
(1) in which, based on
the most recent data published by the United States Census Bureau:
(i) 40 percent or more of
the population is nonwhite;
(ii) 35 percent or more
of the households have an income at or below 200 percent of the federal poverty
level; or
(iii) 40 percent or more
of the population over the age of five has limited English proficiency; or
(2) located within Indian
Country, as defined in United States Code, title 18, section 1151.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 24. [116.062]
AIR TOXICS EMISSIONS REPORTING.
(a) The commissioner must
require owners and operators of a facility issued an air quality permit by the
agency, except a facility issued an Option B registration permit under
Minnesota Rules, part 7007.1120, to annually report the facility's air toxics emissions
to the agency, including a facility not required as a condition of its air
quality permit to keep records of air toxics emissions. The commissioner must determine the method to
be used by a facility to directly measure or estimate air toxics emissions. The commissioner must amend permits and
complete rulemaking, and may enter into enforceable agreements with facility
owners and operators, in order to make the reporting requirements under this
section enforceable.
(b) For the purposes of
this section, "air toxics" means chemical compounds or compound
classes that are emitted into the air by a permitted facility and that are:
(1) hazardous air
pollutants listed under the federal Clean Air Act, United States Code, title
42, section 7412, as amended;
(2) chemicals reported as
released into the atmosphere by a facility located in the state for the Toxic
Release Inventory under the federal Emergency Planning and Community
Right-to-Know Act, United States Code, title 42, section 11023, as amended;
(3) chemicals for which
the Department of Health has developed health-based values or risk assessment
advice;
(4) chemicals for which
the risk to human health has been assessed by either the federal Environmental
Protection Agency's Integrated Risk Information System or its Provisional
Peer-Reviewed Toxicity Values; or
(5) chemicals reported
by facilities in the agency's most recent triennial emissions inventory.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 25. [116.064]
ODOR MANAGEMENT.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Objectionable
odor" means pollution of the ambient air beyond the property line of a
facility consisting of an odor that, considering its characteristics,
intensity, frequency, and duration:
(1) is, or can
reasonably be expected to be, injurious to public health or welfare; or
(2) unreasonably
interferes with the enjoyment of life or the use of property of persons exposed
to the odor.
(c) "Odor
complaint" means a notification received and recorded by the agency or by
a political subdivision from an identifiable person that describes the nature,
duration, and location of the odor.
Subd. 2. Prohibition. No person may cause or allow emission
into the ambient air of any substance or combination of substances in
quantities that produce an objectionable odor beyond the property line of the
facility that is the source of the odor.
Subd. 3. Odor
complaints; investigation. (a)
The agency must conduct a site investigation of any facility against which six
or more verifiable odor complaints have been submitted to the agency or to
local government officials within 48 hours.
The investigation must include:
(1) an interview with
the owner or operator of the facility against which the complaint was made;
(2) a physical
examination of the facilities, equipment, operations, conditions, methods,
storage areas for material inputs, chemicals and waste, and any other factors
that may contribute to or are designed to mitigate the emission of odors; and
(3) testing at locations
identified in the odor complaints and at other locations beyond the property
line of the facility that is the source of the odor using a precision
instrument capable of measuring odors in ambient air.
(b) The commissioner,
based upon the agency's site investigation and the results of odor testing and
considering the nature, intensity, frequency, and duration of the odor and
other relevant factors, shall determine whether the odor emitted from the facility
constitutes an objectionable odor. In
making the determination, the commissioner may consider the opinions of a
random sample of persons exposed to samples of the odor taken from ambient air
beyond the property line of the facility that is the source of the odor.
(c) The agency must
notify officials in local jurisdictions:
(1) of odor complaints filed
with the agency regarding properties within the local jurisdiction;
(2) of any investigation
of an odor complaint conducted by the agency at a facility within the local
jurisdiction and the results of the investigation;
(3) that odor complaints
filed with respect to properties located within those jurisdictions must be
forwarded to the agency within three business days of being filed; and
(4) of any additional
actions taken by the agency with respect to the complaints.
Subd. 4. Objectionable
odor; management plan. (a) If
the commissioner determines under subdivision 3 that the odor emitted from a
facility is an objectionable odor, the commissioner shall require the owner of
the facility to develop and submit to the agency for review within 90 days an
odor management plan designed to mitigate odor emissions. The agency must provide technical assistance
to the property owner in developing a management plan, including:
(1) identifying odor
control technology and equipment that may reduce odor emissions; and
(2) identifying
alternative methods of operation or alternative materials that may reduce odor
emissions.
The commissioner may grant an extension for
submission of the odor management plan for up to an additional 90 days for
good cause.
(b) An odor management
plan must contain, at a minimum, for each odor source contributing to odor
emissions:
(1) a description of
plant operations and materials that generate odors;
(2) proposed changes in
equipment, operations, or materials that are designed to mitigate odor
emissions;
(3) the estimated
effectiveness of the plan in reducing odor emissions;
(4) the estimated cost of
implementing the plan; and
(5) a schedule of plan
implementation activities.
(c) The commissioner may
accept, reject, or modify an odor management plan submitted under this
subdivision.
(d) If the commissioner,
based upon the same factors considered under subdivision 3, paragraph (b),
determines that implementation of the odor management plan has failed to reduce
the facility's odor emissions to a level where they are no longer objectionable
odors, the commissioner shall order the facility owner to revise the odor
management plan within 90 days of receipt of the commissioner's order. If the revised odor management plan is not
acceptable to the commissioner or is implemented but fails to reduce the
property's odor emissions to a level where they are no longer objectionable
odors, the commissioner may impose penalties under section 115.071 or may
modify or revoke the facility's permit under section 116.07, subdivision 4a,
paragraph (d).
Subd. 5. Exemptions. This section does not apply to:
(1) on-farm animal and
agricultural operations;
(2) motor vehicles and
transportation facilities;
(3) municipal wastewater
treatment plants;
(4) single-family dwellings not
used for commercial purposes;
(5) materials odorized
for safety purposes;
(6) painting and coating
operations that are not required to be licensed;
(7) restaurants; and
(8) temporary activities
and operations.
Subd. 6. Rulemaking
required. (a) The
commissioner must adopt rules to implement this section, and section 14.125
does not apply.
(b) The commissioner
must comply with chapter 14 and must complete the statement of need and
reasonableness according to chapter 14 and section 116.07, subdivision 2,
paragraph (f).
(c) The rules must
include:
(1) an odor standard or
standards for air pollution that may qualify as an objectionable odor under
subdivision 1, paragraph (b), clause (2);
(2) a process for
determining if an odor is objectionable;
(3) a process for
investigating and addressing odor complaints;
(4) guidance for
developing odor-management plans; and
(5) procedures and
criteria for determining the success or failure of an odor-management plan.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 26. [116.065]
CUMULATIVE IMPACTS ANALYSIS; PERMIT DECISIONS IN ENVIRONMENTAL JUSTICE AREAS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of the Minnesota Pollution
Control Agency.
(c) "Compelling
public interest" means a factor or condition that is necessary to serve an
essential environmental, health, or safety need of residents of an
environmental justice area and that cannot reasonably be met by alternative
available means.
(d) "Cumulative
impacts" means the impacts of aggregated levels of past and current air,
water, and land pollution in a defined geographic area to which current
residents are exposed.
(e) "Environmental
justice" means:
(1) communities of
color, Indigenous communities, and low-income communities have a healthy
environment and are treated fairly when environmental statutes, rules, and
policies are developed, adopted, implemented, and enforced; and
(2) in all decisions that have
the potential to affect the environment of an environmental justice area or the
public health of its residents, due consideration is given to the history of
the area's and its residents' cumulative exposure to pollutants and to any
current socioeconomic conditions that could increase harm to those residents
from additional exposure to pollutants.
(f) "Environmental
justice area" means one or more census tracts in Minnesota:
(1) in which, based on
the most recent data published by the United States Census Bureau:
(i) 40 percent or more of
the population is nonwhite;
(ii) 35 percent or more
of the households have an income at or below 200 percent of the federal poverty
level; or
(iii) 40 percent or more
of the population over the age of five has limited English proficiency; or
(2) located within Indian
Country, as defined in United States Code, title 18, section 1151.
(g) "Environmental
stressors" means factors that may make residents of an environmental
justice area susceptible to harm from exposure to pollutants. Environmental stressors include:
(1) environmental effects
on health from exposure to past and current pollutants in the environmental
justice area, including any biomonitoring information from residents; and
(2) social and
environmental factors, including but not limited to poverty, substandard
housing, food insecurity, elevated rates of disease, and poor access to health
insurance and medical care.
Subd. 2. Applicability. This section applies to applications
for the following types of new construction permits, permits required for
facility expansions, and reissuances of existing permits for which the
commissioner has determined under subdivision 3 that issuance of the permit as
proposed may impact the environment or the health of residents in an
environmental justice area:
(1) a major source air
permit, as defined in Minnesota Rules, part 7007.0200; and
(2) a state air permit
required under Minnesota Rules, part 7007.0250, subparts 2 to 6.
Subd. 3. Cumulative
impacts analysis; determination of need.
(a) The commissioner is responsible for determining whether a
proposed permit action may impact the environment or health of the residents of
an environmental justice area.
(b) A permit application
must indicate whether the permit action sought is likely to impact the
environment or the health of residents of an environmental justice area and
must include the data used by the applicant to make the determination.
(c) In making a
determination whether a cumulative analysis is required, the commissioner must:
(1) review the permit
application and the applicant's assessment of the need to conduct a cumulative
analysis;
(2) assess whether the
proposed permit exceeds any of the benchmarks for conducting a cumulative
impact analysis established in rules adopted under subdivision 6;
(3) review any comments
and material evidence submitted by members of the public regarding the
necessity for a cumulative impact analysis; and
(4) review any other
information the commissioner deems relevant.
(d) An applicant must
conduct a cumulative impacts analysis if:
(1) the potential
impacts of the permit issuance exceed any of the benchmarks for conducting a
cumulative impacts analysis established in rules adopted under subdivision 6;
(2) the commissioner
determines that issuance of the permit may impact the environment or health of
the residents of an environmental justice area; or
(3) material evidence
accompanying a petition signed by at least 50 individuals residing or owning
property in the environmental justice area potentially affected by the permit
issuance demonstrates that issuance of the permit may impact the environment or
health of the residents of the environmental justice area.
Subd. 4. Public
meeting requirements. (a) A
permit applicant or permit holder required to conduct a cumulative impacts
analysis under subdivision 2 must hold at least two public meetings in the
environmental justice area impacted by the facility before the commissioner
issues or denies a permit. The first
public meeting must be held before conducting a cumulative impacts analysis,
and the second must be held after conducting the analysis.
(b) The permit applicant
or permit holder must:
(1) publish notice
containing the date, time, and location of the public meetings and a brief
description of the permit or project in a newspaper of general circulation in
the environmental justice area at least 30 days before the meetings;
(2) post physical
signage in the environmental justice area impacted, as directed by the
commissioner; and
(3) provide the
commissioner with notice of the public meeting and a copy of the cumulative
impacts analysis at least 45 days before the second public meeting.
(c) The commissioner
must post the notice and cumulative impacts analysis on the agency website at
least 30 days before the second public meeting.
(d) The permit applicant
or permit holder must:
(1) provide an
opportunity for robust public and Tribal engagement at the public meetings;
(2) accept written and
oral comments, as directed by the commissioner, from any interested party; and
(3) provide an
electronic copy of all written comments and a transcript of all oral comments
to the agency within 30 days of the public meetings.
(e) If the permit
applicant or permit holder is applying for more than one permit that may affect
the same environmental justice area, the permit applicant or permit holder may
request that the commissioner require that the facility hold two public meetings
that address all of the permits sought. The
commissioner may approve or deny the request.
(f) The commissioner may
incorporate conditions in a permit for a facility located in or affecting an
environmental justice area to hold multiple in-person meetings with residents
of the environmental justice area affected by the facility to share information
and discuss community concerns.
Subd. 5. Environmental
justice area; permit decisions. (a)
In determining whether to issue or deny a permit, the commissioner must
consider the cumulative impacts analysis conducted, the testimony presented,
and comments submitted in public meetings held under subdivision 4. The permit may be issued no earlier than 30
days following the last public meeting.
(b) The commissioner must
deny an application for a permit subject to this section for a facility in an
environmental justice area if the cumulative impacts analysis determines that
issuing the permit, in combination with the environmental stressors present in
the environmental justice area, would contribute to adverse cumulative
environmental stressors or adverse cumulative impacts in the environmental
justice area, unless:
(1) the commissioner
enters into a community benefit agreement with the facility owner or operator,
in consultation with community-based organizations representing the interests
of residents of the environmental justice area; and
(2) there is a compelling
public interest to issue the permit, as determined by the commissioner, based
on criteria established in rules adopted under subdivision 6.
(c) If the commissioner
determines that a compelling public interest exists and the applicant enters
into a community benefit agreement with the commissioner, the agency may grant
a permit that imposes conditions on the construction and operation of the facility
to protect public health and the environment.
(d) The commissioner must
prepare a written document containing the reasons for the commissioner's
decision regarding the need for a cumulative impacts analysis made under this
subdivision and describing how various pieces of evidence were weighed and balanced
to arrive at the decision. The
commissioner must provide a copy of the document to the permit applicant and to
any person who submitted material evidence to the commissioner for
consideration in making the decision and must post the document on the agency
website.
(e) Issuance of a permit
under this section must include a requirement that the facility provide
information to the community describing the health risks that the facility
poses.
(f) A community benefit
agreement must be signed on or before the date a new or reissued permit is
issued in an environmental justice area.
(g) The commissioner must
publish and maintain on the agency website a list of environmental justice
areas in the state.
(h) The agency must
maintain an updated database of the identified stressors in specific census
tracts and make this database accessible to the public.
Subd. 6. Rulemaking. (a) The commissioner must adopt rules
under chapter 14 to implement and govern the cumulative impacts analysis and
issuance or denial of permits for facilities that impact environmental justice
areas as provided in this section. Notwithstanding
section 14.125, the agency must publish notice of intent to adopt rules within
36 months of the effective date of this act, or the authority for the rules
expires.
(b) During the rulemaking
process, the Pollution Control Agency must engage in robust public engagement,
including public meetings, and Tribal consultation.
(c) Rules adopted under
this section must:
(1) establish benchmarks
to assist the commissioner's determination regarding the need for a cumulative
impacts analysis;
(2) establish the
required content of a cumulative impacts analysis, including sources of public
information that an applicant can access regarding environmental stressors that
are present in an environmental justice area;
(3) define conditions,
criteria, or circumstances that qualify as a compelling public interest, which:
(i) must include, with
respect to economic considerations, only those that directly and substantially
benefit residents of the environmental justice area;
(ii) must include
noneconomic considerations that directly benefit the residents of the
environmental justice area; and
(iii) must take into
account public comments made at public meetings held under subdivision 4;
(4) establish the content
of a community benefit agreement and procedures for entering into community
benefit agreements, which must include:
(i) meaningful
consultation with members of the public and community-based organizations or
coalitions representing the interests of residents within the environmental
justice area;
(ii) at least one public
meeting held within the environmental justice area; and
(iii) a formal petition
showing support from 50 community members that is signed after a public
meeting; and
(5) establish a petition
process and form submitted to the agency by environmental justice area
residents to support the need for a cumulative impact analysis, including
criteria defining potential adverse cumulative impacts on the environment or
health of the residents.
(d) The agency must
provide translation services and translated materials upon request during
rulemaking meetings.
(e) The agency must
provide public notice on the agency website at least 30 days before public
meetings held on the rulemaking. The
notice must include the date, time, and location of the meeting. The agency must use multiple communication
methods to inform residents of environmental justice areas in the public
meetings held for the rulemaking.
Subd. 7. Review. Any person aggrieved by a final
decision on the need for a cumulative impacts analysis or the issuance or
denial of a permit under this section is entitled to judicial review of the
decision under sections 14.63 to 14.68. A
petition for a writ of certiorari by an aggrieved person for judicial review
under sections 14.63 to 14.68 must be filed with the court of appeals and
served on all parties to the contested case not more than 30 days after the
party receives the final decision and order of the agency.
Subd. 8. Compliance
costs. A permit applicant is
responsible for the cost of complying with this section. The reasonable costs of the agency to comply
with this section are to be borne by permit applicants subject to this section,
as required under section 116.07, subdivision 4d, paragraph (b).
Sec. 27. Minnesota Statutes 2022, section 116.07, is amended by adding a subdivision to read:
Subd. 4m. Nonexpiring
state individual permits; public informational meeting. (a) For each facility issued a
nonexpiring state individual air quality permit by the agency, the agency must
hold a separate public informational meeting at regular intervals to allow the
public to make comments or inquiries regarding any aspect of the permit,
including but not limited to permit conditions, testing results, the facility's
operations, and permit compliance. The
public informational meeting must be held at a location near the permitted
facility and convenient to the public. Individuals
employed at the facility who are responsible for the facility meeting the
conditions of the permit and agency officials must be present at the public
informational meeting. For nonexpiring
state individual air quality permits issued or reissued after December 31,
2018, a public informational meeting must be held under this subdivision no
later than five years after the permit is issued or reissued and every five
years thereafter. For nonexpiring state
individual air quality permits issued on or before December 31, 2018, a public
informational meeting must be held under this subdivision no later than
December 31, 2024, and every five years thereafter.
(b) For the purposes of this
section, "state individual air quality permit" means an air quality
permit that:
(1) is issued to an
individual facility that is required to obtain a permit under Minnesota Rules,
part 7007.0250, subparts 2 to 6; and
(2) is not a general
permit issued under Minnesota Rules, part 7007.1100.
(c) As required under subdivision
4d, the agency's direct and indirect reasonable costs of conducting the
activities under this subdivision must be recovered through air quality permit
fees.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 28. Minnesota Statutes 2022, section 116.07, is amended by adding a subdivision to read:
Subd. 4n. Permit
review denial. If the
commissioner determines that a person's request for the agency to review an
existing permit is not warranted, the commissioner must state the reasons for
the determination in writing within 15 days of the determination.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 29. Minnesota Statutes 2022, section 116.07, is amended by adding a subdivision to read:
Subd. 4o. Aboveground storage tanks; fees. (a) The commissioner must collect permit fees for aboveground storage tank facilities in amounts not greater than necessary to cover the reasonable costs of developing, reviewing, and acting upon applications for agency permits and implementing and enforcing the conditions of the permits. The fee schedule must reflect reasonable and routine direct and indirect costs associated with permitting, implementation, enforcement, and other activities necessary to operate the aboveground storage tank program.
(b) Each fiscal year,
the commissioner must adjust the fees as necessary to maintain an annual income
that covers the legislative appropriation needed to administer the aboveground
storage tank program according to paragraph (a). The commissioner must adjust fees according
to the criteria established under paragraph (c) and as required under paragraph
(d). Fees established under this
subdivision are exempt from section 16A.1285.
(c) The commissioner
must adopt rules that specify criteria for establishing:
(1) an annual fee from
permitted aboveground storage tank facilities; and
(2) a permit application
fee for aboveground storage tank facility permit applications.
(d) The commissioner
must annually increase the fees under this subdivision by the percentage, if
any, by which the Consumer Price Index for the most recent calendar year ending
before the beginning of the year the fee is collected exceeds the Consumer Price
Index for calendar year 2022. For
purposes of this paragraph, the Consumer Price Index for any calendar year is
the average of the Consumer Price Index for all urban consumers published by
the United States Department of Labor as of the close of the 12-month period
ending on August 31 of each calendar year.
The revision of the Consumer Price Index that is most consistent with
the Consumer Price Index for calendar year 2022 must be used.
(e) Fees collected under
this subdivision must be deposited in the state treasury and credited to the
environmental fund and must be used for the purposes specified in paragraph
(a).
(f) This paragraph expires when
the commissioner adopts the initial rules required under paragraph (c). Until the commissioner adopts the initial
rules under paragraph (c):
(1) the annual fee for
major aboveground storage tank facilities is equal to the quotient of dividing
the legislative appropriation under paragraph (b) by the number of major
aboveground storage tank facilities; and
(2) there is no permit
application fee for aboveground storage tank facilities.
Sec. 30. Minnesota Statutes 2022, section 116.07, subdivision 6, is amended to read:
Subd. 6. Pollution
Control Agency; exercise of powers. In
exercising all its powers the Pollution Control Agency shall give due
consideration to must:
(1) consider the
establishment, maintenance, operation and expansion of business, commerce,
trade, industry, traffic, and other economic factors and other material matters
affecting the feasibility and practicability of any proposed action, including,
but not limited to, the burden on a municipality of any tax which may result
therefrom, and shall must take or provide for such action as may
be reasonable, feasible, and practical under the circumstances; and
(2) to the extent
reasonable, feasible, and practical under the circumstances:
(i) ensure that actions
or programs that have a direct, indirect, or cumulative impact on environmental
justice areas incorporate community-focused practices and procedures in agency
processes, including communication, outreach, engagement, and education to
enhance meaningful, timely, and transparent community access;
(ii) collaborate with
other state agencies to identify, develop, and implement means to eliminate and
reverse environmental and health inequities and disparities;
(iii) promote the
utility and availability of environmental data and analysis for environmental
justice areas, other agencies, federally recognized Tribal governments, and the
public;
(iv) encourage
coordination and collaboration with residents of environmental justice areas to
address environmental and health inequities and disparities; and
(v) ensure environmental justice values are represented to the agency from a commissioner-appointed environmental justice advisory committee that is composed of diverse members and that is developed and operated in a manner open to the public and in accordance with the duties described in the bylaws and charter adopted and maintained by the commissioner.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 31. Minnesota Statutes 2022, section 116.07, is amended by adding a subdivision to read:
Subd. 7f. Financial
assurance. (a) Before the
commissioner issues or renews a permit for a feedlot with a capacity of 1,000
or more animal units, the permit applicant must submit to the commissioner
proof of financial assurance that satisfies the requirements under this
subdivision. Financial assurance must be
of an amount sufficient to pay the closure costs determined under paragraph (c)
for the feedlot and manure storage area, with all terms and conditions of the
financial assurance instrument approved by the commissioner. The commissioner, in evaluating financial
assurance, may consult individuals with documented experience in the analysis. The applicant must pay all costs incurred by
the commissioner to obtain the analysis.
(b) A permittee must maintain
sufficient financial assurance for the duration of the permit and demonstrate
to the commissioner's satisfaction that:
(1) money will be
available and made payable to the commissioner if the commissioner determines
the permittee is not in full compliance with the closure requirements
established by the commissioner in rule for feedlots and manure storage areas;
(2) the financial
assurance instrument is fully valid, binding, and enforceable under state and
federal law;
(3) the financial
assurance instrument is not dischargeable through bankruptcy; and
(4) the financial
assurance provider will give the commissioner at least 120 days' notice before
canceling the financial assurance instrument.
(c) The permit applicant
must submit to the commissioner a documented estimate of costs required to
implement the closure requirements established by the commissioner in rule for
feedlots and manure storage areas. Cost
estimates must incorporate current dollar values at the time of the estimate
and any additional costs required by the commissioner to oversee and hire a
third party to implement the closure requirements. The applicant must not incorporate the
estimated salvage or market value of manure, animals, structures, equipment,
land, or other assets. The commissioner
must evaluate and may modify the applicant's cost estimates and may consult
individuals with documented experience in feedlot or manure storage area
closure or remediation. The applicant
must pay all costs incurred by the commissioner to obtain the consultation.
Sec. 32. Minnesota Statutes 2022, section 116.07, is amended by adding a subdivision to read:
Subd. 7g. Abandoned
manure storage areas. At
least annually, the commissioner must compile a list of abandoned manure
storage areas in the state. A list
compiled under this subdivision is not a feedlot inventory for purposes of
subdivision 7b. For purposes of this
subdivision, "abandoned manure storage areas" means solid and liquid
manure storage areas that have been previously registered with the state as a
feedlot with a manure storage area and have:
(1) permanently ceased
operation and are subject to, but not in compliance with, the closure
requirements established by the commissioner in rule for feedlots and manure
storage areas; or
(2) been unused for at
least three years.
Sec. 33. [116.076]
ENVIRONMENTAL JUSTICE AREAS; BOUNDARIES; MAPS.
(a) No later than
December 1, 2023, the commissioner must determine the boundaries of all
environmental justice areas in Minnesota.
The determination of the geographic boundaries of an environmental
justice area may be appealed by filing a petition that contains evidence to
support amending the commissioner's determination. The petition must be signed by at least 50
residents of census tracts within or adjacent to the environmental justice
area, as determined by the commissioner.
The commissioner may, after reviewing the petition, amend the boundaries
of an environmental justice area.
(b) The commissioner must
post updated maps of each environmental justice area in the state on the agency
website.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 34. [116.196]
GREEN INFRASTRUCTURE GRANT PROGRAM.
Subdivision 1. Establishment
of program. The commissioner
must establish a green infrastructure grant program to provide grants for green
infrastructure projects.
Subd. 2. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Commissioner"
means the commissioner of the Pollution Control Agency.
(c) "Green
infrastructure" has the meaning given in United States Code, title 33,
section 1362, as amended through December 31, 2019, and also includes trails,
bridges, roads, and recreational amenities designed to mitigate stormwater
impacts.
(d) "Political
subdivision" means a county, home rule charter or statutory city, town, or
other political subdivision of the state.
(e) "Project"
means a green infrastructure project or stormwater infrastructure project to be
owned and administered by a political subdivision.
(f) "Stormwater
infrastructure" means a project that does one or more of the following:
(1) increases stormwater
capacity or stormwater storage;
(2) addresses
environmental damage caused by weather extremes;
(3) prevents localized
flooding;
(4) creates stormwater
systems that can manage flows from heavy rains;
(5) addresses public
safety concerns caused by undersized stormwater systems; or
(6) ensures continuation
of critical services during severe weather.
Subd. 3. Eligibility. A political subdivision is eligible to
apply for and receive a grant under this section.
Subd. 4. Application. An application by a political
subdivision for a grant under this section must be made at the time and in the
form and manner prescribed by the commissioner.
Subd. 5. Eligible
project. A grant may be used
to acquire land or an interest in land, predesign, design, renovate, construct,
furnish, and equip a project.
Subd. 6. Grants. To be eligible for a grant under this
section, a political subdivision must timely submit an application to the
commissioner and pass a resolution in support of the project. The commissioner may give priority to a
political subdivision that provides a local match of funds for the project.
Sec. 35. [116.943]
PRODUCTS CONTAINING PFAS.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Adult
mattress" means a mattress other than a crib mattress or toddler mattress.
(c) "Air care
product" means a chemically formulated consumer product labeled to
indicate that the purpose of the product is to enhance or condition the indoor
environment by eliminating odors or freshening the air.
(d) "Automotive
maintenance product" means a chemically formulated consumer product
labeled to indicate that the purpose of the product is to maintain the
appearance of a motor vehicle, including products for washing, waxing,
polishing, cleaning, or treating the exterior or interior surfaces of motor
vehicles. Automotive maintenance product
does not include automotive paint or paint repair products.
(e) "Carpet or rug"
means a fabric marketed or intended for use as a floor covering.
(f) "Cleaning
product" means a finished product used primarily for domestic, commercial,
or institutional cleaning purposes, including but not limited to an air care
product, an automotive maintenance product, a general cleaning product, or a polish
or floor maintenance product.
(g)
"Commissioner" means the commissioner of the Pollution Control
Agency.
(h) "Cookware"
means durable houseware items used to prepare, dispense, or store food,
foodstuffs, or beverages. Cookware
includes but is not limited to pots, pans, skillets, grills, baking sheets,
baking molds, trays, bowls, and cooking utensils.
(i) "Cosmetic"
means articles, excluding soap:
(1) intended to be
rubbed, poured, sprinkled, or sprayed on, introduced into, or otherwise applied
to the human body or any part thereof for the purpose of cleansing,
beautifying, promoting attractiveness, or altering the appearance; and
(2) intended for use as a
component of any such article.
(j) "Currently
unavoidable use" means a use of PFAS that the commissioner has determined
by rule under this section to be essential for health, safety, or the
functioning of society and for which alternatives are not reasonably available.
(k) "Fabric
treatment" means a substance applied to fabric to give the fabric one or
more characteristics, including but not limited to stain resistance or water
resistance.
(l) "Intentionally
added" means PFAS deliberately added during the manufacture of a product
where the continued presence of PFAS is desired in the final product or one of
the product's components to perform a specific function.
(m) "Juvenile product" means a product designed or marketed
for use by infants and children under 12 years of age:
(1) including but not
limited to a baby or toddler foam pillow; bassinet; bedside sleeper; booster
seat; changing pad; child restraint system for use in motor vehicles and
aircraft; co-sleeper; crib mattress; highchair; highchair pad; infant bouncer;
infant carrier; infant seat; infant sleep positioner; infant swing; infant
travel bed; infant walker; nap cot; nursing pad; nursing pillow; play mat;
playpen; play yard; polyurethane foam mat, pad, or pillow; portable foam nap
mat; portable infant sleeper; portable hook-on chair; soft-sided portable crib;
stroller; and toddler mattress; and
(2) not including a
children's electronic product such as a personal computer, audio and video
equipment, calculator, wireless phone, game console, handheld device
incorporating a video screen, or any associated peripheral such as a mouse,
keyboard, power supply unit, or power cord; a medical device; or an adult
mattress.
(n)
"Manufacturer" means the person that creates or produces a product or
whose brand name is affixed to the product.
In the case of a product imported into the United States, manufacturer
includes the importer or first domestic distributor of the product if the
person that manufactured or assembled the product or whose brand name is
affixed to the product does not have a presence in the United States.
(o) "Medical device" has the meaning given "device"
under United States Code, title 21, section 321, subsection (h).
(p) "Perfluoroalkyl
and polyfluoroalkyl substances" or "PFAS" means a class of
fluorinated organic chemicals containing at least one fully fluorinated carbon
atom.
(q) "Product" means
an item manufactured, assembled, packaged, or otherwise prepared for sale to
consumers, including but not limited to its product components, sold or
distributed for personal, residential, commercial, or industrial use, including
for use in making other products.
(r) "Product
component" means an identifiable component of a product, regardless of
whether the manufacturer of the product is the manufacturer of the component.
(s) "Ski wax"
means a lubricant applied to the bottom of snow runners, including but not
limited to skis and snowboards, to improve their grip or glide properties. Ski wax includes related tuning products.
(t) "Textile"
means an item made in whole or part from a natural or synthetic fiber, yarn, or
fabric. Textile includes but is not
limited to leather, cotton, silk, jute, hemp, wool, viscose, nylon, and
polyester.
(u) "Textile
furnishings" means textile goods of a type customarily used in households
and businesses, including but not limited to draperies, floor coverings,
furnishings, bedding, towels, and tablecloths.
(v) "Upholstered
furniture" means an article of furniture that is designed to be used for
sitting, resting, or reclining and that is wholly or partly stuffed or filled
with any filling material.
Subd. 2. Information
required. (a) On or before
January 1, 2026, a manufacturer of a product sold, offered for sale, or
distributed in the state that contains intentionally added PFAS must submit to
the commissioner information that includes:
(1) a brief description
of the product, including a universal product code (UPC), stock keeping unit
(SKU), or other numeric code assigned to the product;
(2) the purpose for
which PFAS are used in the product, including in any product components;
(3) the amount of each
PFAS, identified by its chemical abstracts service registry number, in the
product, reported as an exact quantity determined using commercially available
analytical methods or as falling within a range approved for reporting purposes
by the commissioner;
(4) the name and address
of the manufacturer and the name, address, and phone number of a contact person
for the manufacturer; and
(5) any additional
information requested by the commissioner as necessary to implement the
requirements of this section.
(b) With the approval of
the commissioner, a manufacturer may supply the information required in
paragraph (a) for a category or type of product rather than for each individual
product.
(c) A manufacturer must
submit the information required under this subdivision whenever a new product
is sold, offered for sale, or distributed in the state and update and revise
the information whenever there is significant change in the information or when
requested to do so by the commissioner.
(d) A person may not
sell, offer for sale, or distribute for sale in the state a product containing
intentionally added PFAS if the manufacturer has failed to provide the
information required under this subdivision and the person has received
notification under subdivision 4.
Subd. 3. Information requirement waivers; extensions. (a) The commissioner may waive all or part of the information requirement under subdivision 2 if the commissioner determines that substantially equivalent information is already publicly available.
(b) The commissioner may enter into an agreement with one or more other states or political subdivisions of a state to collect information and may accept information to a shared system as meeting the information requirement under subdivision 2.
(c) The commissioner may
extend the deadline for submission by a manufacturer of the information
required under subdivision 2 if the commissioner determines that more time is
needed by the manufacturer to comply with the submission requirement.
(d) The commissioner may
grant a waiver under this subdivision to a manufacturer or a group of
manufacturers for multiple products or a product category.
Subd. 4. Testing
required and certificate of compliance.
(a) If the commissioner has reason to believe that a product
contains intentionally added PFAS and the product is being offered for sale in
the state, the commissioner may direct the manufacturer of the product to,
within 30 days, provide the commissioner with testing results that demonstrate
the amount of each of the PFAS, identified by its chemical abstracts service
registry number, in the product, reported as an exact quantity determined using
commercially available analytical methods or as falling within a range approved
for reporting purposes by the commissioner.
(b) If testing
demonstrates that the product does not contain intentionally added PFAS, the
manufacturer must provide the commissioner a certificate attesting that the
product does not contain intentionally added PFAS, including testing results
and any other relevant information.
(c) If testing
demonstrates that the product contains intentionally added PFAS, the manufacturer
must provide the commissioner with the testing results and the information
required under subdivision 2.
(d) A manufacturer must
notify persons who sell or offer for sale a product prohibited under
subdivision 2 or 5 that the sale of that product is prohibited in this state
and provide the commissioner with a list of the names and addresses of those
notified.
(e) The commissioner may
notify persons who sell or offer for sale a product prohibited under
subdivision 2 or 5 that the sale of that product is prohibited in this state.
Subd. 5. Prohibitions. (a) Beginning January 1, 2025, a
person may not sell, offer for sale, or distribute for sale in this state the
following products if the product contains intentionally added PFAS:
(1) carpets or rugs;
(2) cleaning products;
(3) cookware;
(4) cosmetics;
(5) dental floss;
(6) fabric treatments;
(7) juvenile products;
(8) menstruation products;
(9) textile furnishings;
(10) ski wax; or
(11) upholstered
furniture.
(b) The commissioner may
by rule identify products by category or use that may not be sold, offered for
sale, or distributed for sale in this state if they contain intentionally added
PFAS and designate effective dates. Effective
dates must begin no earlier than January 1, 2025, and no later than January 2,
2032. The commissioner must prioritize
the prohibition of the sale of product categories that, in the commissioner's
judgment, are most likely to contaminate or harm the state's environment and
natural resources if they contain intentionally added PFAS. The commissioner may exempt products by rule
when the use of PFAS is a currently unavoidable use as determined by the
commissioner.
(c) Beginning January 1,
2032, a person may not sell, offer for sale, or distribute for sale in this
state any product that contains intentionally added PFAS, unless the
commissioner has determined by rule that the use of PFAS in the product is a
currently unavoidable use. The
commissioner may specify specific products or product categories for which the
commissioner has determined the use of PFAS is a currently unavoidable use.
Subd. 6. Fees. The commissioner may establish by rule
a fee payable by a manufacturer to the commissioner upon submission of the
information required under subdivision 2 to cover the agency's reasonable costs
to implement this section. Fees
collected under this subdivision must be deposited in an account in the
environmental fund.
Subd. 7. Enforcement. (a) The commissioner may enforce this section
under sections 115.071 and 116.072. The
commissioner may coordinate with the commissioners of commerce and health in
enforcing this section.
(b) When requested by the
commissioner, a person must furnish to the commissioner any information that
the person may have or may reasonably obtain that is relevant to show
compliance with this section.
Subd. 8. Exemptions. This section does not apply to:
(1) a product for which
federal law governs the presence of PFAS in the product in a manner that
preempts state authority;
(2) a product regulated
under section 325F.072 or 325F.075; or
(3) the sale or resale of
a used product.
Subd. 9. Rules. The commissioner may adopt rules
necessary to implement this section. Section
14.125 does not apply to the commissioner's rulemaking authority under this
section.
Sec. 36. Minnesota Statutes 2022, section 116C.03, subdivision 2a, is amended to read:
Subd. 2a. Public members. The membership terms, compensation, removal, and filling of vacancies of public members of the board shall be as provided in section 15.0575, except that a public member may be compensated at the rate of up to $125 a day.
Sec. 37. Minnesota Statutes 2022, section 325E.046, is amended to read:
325E.046 STANDARDS FOR LABELING PLASTIC BAGS, FOOD OR
BEVERAGE PRODUCTS, AND PACKAGING.
Subdivision 1. "Biodegradable" label. A manufacturer, distributor, or
wholesaler may not sell or offer for sale and any other person may not knowingly
sell or offer for sale in this state a plastic bag covered
product labeled "biodegradable," "degradable," "decomposable,"
or any form of those terms, or in any way imply that the bag covered
product will chemically decompose into innocuous elements in a
reasonably short period of time in a landfill, composting, or other terrestrial
environment unless a scientifically based standard for biodegradability is
developed and the bags are certified as meeting the standard. break
down, fragment, degrade, biodegrade, or decompose in a landfill or other
environment, unless an ASTM standard specification is adopted for the term
claimed and the product is certified as meeting the specification in compliance
with the provisions of subdivision 2a.
Subd. 2. "Compostable" label. (a) A manufacturer, distributor,
or wholesaler may not sell or offer for sale and any other person may
not knowingly sell or offer for sale in this state a plastic bag covered
product labeled "compostable" unless, at the time of sale or
offer for sale, the bag covered product:
(1) meets the ASTM
Standard Specification for Compostable Labeling of Plastics Designed
to be Aerobically Composted in Municipal or Industrial Facilities (D6400). Each bag must be labeled to reflect that it
meets the standard. For purposes of this
subdivision, "ASTM" has the meaning given in section 296A.01,
subdivision 6. or its successor or the ASTM Standard Specification for
Labeling of End Items that Incorporate Plastics and Polymers as Coatings or
Additives with Paper and Other Substrates Designed to be Aerobically Composted
in Municipal or Industrial Facilities (D6868) or its successor, and the covered
product is labeled to reflect that it meets the specification;
(2) is comprised of only
wood without any coatings or additives; or
(3) is comprised of only
paper without any coatings or additives.
(b) A covered product
labeled "compostable" and meeting the criteria under paragraph (a)
must be clearly and prominently labeled on the product, or on the product's
smallest unit of sale, to reflect that it is intended for an industrial or commercial
compost facility. The label required
under this paragraph must be in a legible text size and font.
Subd. 2a. Certification
of products. Beginning
January 1, 2026, a manufacturer, distributor, or wholesaler may not sell or
offer for sale and any other person may not knowingly sell or offer for sale in
this state a covered product labeled as "biodegradable" or
"compostable" unless the covered product is certified as meeting the
requirements of subdivision 1 or 2, as applicable, by an entity that:
(1) is a nonprofit
corporation;
(2) as its primary focus
of operation, promotes the production, use, and appropriate end of life for
materials and products that are designed to fully biodegrade in specific
biologically active environments such as industrial composting; and
(3) is technically
capable of and willing to perform analysis necessary to determine a product's
compliance with subdivision 1 or 2, as applicable.
Subd. 3. Enforcement;
civil penalty; injunctive relief. (a)
A manufacturer, distributor, or wholesaler person who violates subdivision
1 or 2 this section is subject to a civil or administrative
penalty of $100 for each prepackaged saleable unit sold or offered for
sale up to a maximum of $5,000 and may be enjoined from those violations.
(b) The attorney general may
bring an action in the name of the state in a court of competent jurisdiction
for recovery of civil penalties or for injunctive relief as provided in this
subdivision. The attorney general may
accept an assurance of discontinuance of acts in violation of subdivision 1
or 2 this section in the manner provided in section 8.31,
subdivision 2b.
(c) The commissioner of the
Pollution Control Agency may enforce this section under sections 115.071 and
116.072. The commissioner may coordinate
with the commissioners of commerce and health in enforcing this section.
(d) When requested by the
commissioner of the Pollution Control Agency, a person selling or offering for
sale a covered product labeled as "compostable" must furnish to the
commissioner any information that the person may have or may reasonably obtain
that is relevant to show compliance with this section.
Subd. 4. Definitions. For purposes of this section, the
following terms have the meanings given:
(1) "ASTM" has
the meaning given in section 296A.01, subdivision 6;
(2) "covered
product" means a bag, food or beverage product, or packaging;
(3) "food or
beverage product" means a product that is used to wrap, package, contain,
serve, store, prepare, or consume a food or beverage, such as plates, bowls,
cups, lids, trays, straws, utensils, and hinged or lidded containers; and
(4) "packaging"
has the meaning given in section 115A.03, subdivision 22b.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 38. [325E.3892]
LEAD AND CADMIUM IN CONSUMER PRODUCTS; PROHIBITION.
Subdivision 1. Definitions. For purposes of this section,
"covered product" means any of the following products or product
components:
(1) jewelry;
(2) toys;
(3) cosmetics and
personal care products;
(4) puzzles, board games,
card games, and similar games;
(5) play sets and play
structures;
(6) outdoor games;
(7) school supplies;
(8) pots and pans;
(9) cups, bowls, and other food containers;
(10) craft supplies and
jewelry-making supplies;
(11) chalk, crayons,
paints, and other art supplies;
(12) fidget spinners;
(13) costumes, costume accessories, and children's and seasonal party supplies;
(14) keys, key chains, and key
rings; and
(15) clothing, footwear,
headwear, and accessories.
Subd. 2. Prohibition. (a) A person must not import, manufacture, sell, hold for sale, or distribute or offer for use in this state any covered product containing:
(1) lead at more than
0.009 percent by total weight (90 parts per million); or
(2) cadmium at more than
0.0075 percent by total weight (75 parts per million).
(b) This section does not
apply to covered products containing lead or cadmium, or both, when regulation
is preempted by federal law.
Subd. 3. Enforcement. (a) The commissioners of the Pollution
Control Agency, commerce, and health may coordinate to enforce this section. The commissioner of the Pollution Control
Agency or commerce may, with the attorney general, enforce any federal
restrictions on the sale of products containing lead or cadmium, or both, as
allowed under federal law. The
commissioner of the Pollution Control Agency may enforce this section under
sections 115.071 and 116.072. The
commissioner of commerce may enforce this section under sections 45.027,
subdivisions 1 to 6; 325F.10 to 325F.12; and 325F.14 to 325F.16. The attorney general may enforce this section
under section 8.31.
(b) When requested by the
commissioner of the Pollution Control Agency, the commissioner of commerce, or
the attorney general, a person must furnish to the commissioner or attorney
general any information that the person may have or may reasonably obtain that
is relevant to show compliance with this section.
Sec. 39. Minnesota Statutes 2022, section 325F.072, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) For the purposes of this section, the following terms have the meanings given.
(b) "Class B
firefighting foam" means foam designed for flammable liquid fires to
prevent or extinguish a fire in flammable liquids, combustible liquids,
petroleum greases, tars, oils, oil-based paints, solvents, lacquers, alcohols,
and flammable gases.
(c) "PFAS
chemicals" or "perfluoroalkyl and polyfluoroalkyl substances"
means, for the purposes of firefighting agents, a class of fluorinated
organic chemicals containing at least one fully fluorinated carbon atom and
designed to be fully functional in class B firefighting foam formulations.
(d) "Political subdivision" means a county, city, town, or a metropolitan airports commission organized and existing under sections 473.601 to 473.679.
(e) "State agency" means an agency as defined in section 16B.01, subdivision 2.
(f) "Testing" means calibration testing, conformance testing, and fixed system testing.
Sec. 40. Minnesota Statutes 2022, section 325F.072, subdivision 3, is amended to read:
Subd. 3. Prohibition
of testing and training. (a) Beginning
July 1, 2020, No person, political subdivision, or state agency shall discharge
class B firefighting foam that contains intentionally added manufacture
or knowingly sell, offer for sale, distribute for sale, or distribute for use
in this state, and no person shall use in this state, class B firefighting foam
containing PFAS chemicals:.
(1) for testing purposes,
unless the testing facility has implemented appropriate containment, treatment,
and disposal measures to prevent releases of foam to the environment; or
(2) for training purposes,
unless otherwise required by law, and with the condition that the training
event has implemented appropriate containment, treatment, and disposal measures
to prevent releases of foam to the environment. For training purposes, class B foam that
contains intentionally added PFAS chemicals shall not be used.
(b) This section does not
restrict:
(1) the manufacture,
sale, or distribution of class B firefighting foam that contains intentionally
added PFAS chemicals; or
(2) the discharge or
other use of class B firefighting foams that contain intentionally added PFAS
chemicals in emergency firefighting or fire prevention operations.
(b) This subdivision does
not apply to the manufacture, sale, distribution, or use of class B
firefighting foam for which the inclusion of PFAS chemicals is required by
federal law, including but not limited to Code of Federal Regulations, title
14, section 139.317. If a federal
requirement to include PFAS chemicals in class B firefighting foam is revoked
after January 1, 2024, class B firefighting foam subject to the revoked
requirements is no longer exempt under this paragraph effective one year after
the day of revocation.
(c) This subdivision does
not apply to the manufacture, sale, distribution, or use of class B
firefighting foam for purposes of use at an airport, as defined under section
360.013, subdivision 39, until the state fire marshal makes a determination
that:
(1) the Federal Aviation Administration has provided policy guidance on the transition to fluorine-free firefighting foam;
(2) a fluorine-free
firefighting foam product is included in the Federal Aviation Administration's
Qualified Product Database; and
(3) a firefighting foam
product included in the database under clause (2) is commercially available in
quantities sufficient to reliably meet the requirements under Code of Federal
Regulations, title 14, part 139.
(d) Until the state fire marshal makes a determination under paragraph
(c), the operator of an airport using class B firefighting foam
containing PFAS chemicals must, on or before December 31 each calendar year,
submit a report to the state fire marshal regarding the status of the airport's
conversion to class B firefighting foam products without intentionally added PFAS,
the disposal of class B firefighting foam products with intentionally added
PFAS, and an assessment of the factors listed in paragraph (c) as applied to
the airport.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 41. Minnesota Statutes 2022, section 325F.072, is amended by adding a subdivision to read:
Subd. 3a. Discharge
for testing and training. A
person, political subdivision, or state agency exempted from the prohibitions
under subdivision 3 may not discharge class B firefighting foam that contains
intentionally added PFAS chemicals for:
(1) testing purposes,
unless the testing facility has implemented appropriate containment, treatment,
and disposal measures to prevent releases of foam to the environment; or
(2) training purposes,
unless otherwise required by law, and with the condition that the training
event has implemented appropriate containment, treatment, and disposal measures
to prevent releases of foam to the environment.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 42. TREATED
SEED WASTE DISPOSAL RULEMAKING.
The commissioner of the
Pollution Control Agency, in consultation with the commissioner of agriculture
and the University of Minnesota, must adopt rules under Minnesota Statutes,
chapter 14, providing for the safe and lawful disposal of waste treated seed. The rules must clearly identify the
regulatory jurisdiction of state agencies and local governments with regard to
such seed. Additional Department of
Agriculture staff will not be hired until rulemaking is completed.
Sec. 43. AIR
TOXICS EMISSIONS; RULEMAKING.
Subdivision 1. Definitions. For the purposes of this section:
(1) "agency"
means the Minnesota Pollution Control Agency;
(2) "air
toxics" has the meaning given in Minnesota Statutes, section 116.062;
(3)
"commissioner" means the commissioner of the Minnesota Pollution
Control Agency;
(4) "continuous
emission monitoring system" has the meaning given in Minnesota Rules, part
7017.1002, subpart 4;
(5) "environmental
justice area" means one or more census tracts in Minnesota:
(i) in which, based on
the most recent data published by the United States Census Bureau:
(A) 40 percent or more of
the population is nonwhite;
(B) 35 percent or more of
the households have an income at or below 200 percent of the federal poverty
level; or
(C) 40 percent or more of
the population over the age of five has limited English proficiency; or
(ii) located within
Indian Country, as defined in United States Code, title 18, section 1151;
(6) "performance
test" has the meaning given in Minnesota Rules, part 7017.2005, subpart 4;
and
(7) "volatile
organic compound" has the meaning given in Minnesota Rules, part
7005.0100, subpart 45.
Subd. 2. Rulemaking
required. The commissioner
shall adopt rules under Minnesota Statutes, chapter 14, to implement and govern
regulation of facilities that emit air toxics.
Notwithstanding Minnesota Statutes, section 14.125, the agency must
publish notice of intent to adopt rules within 36 months of the effective date
of this act, or the authority for the rules expires.
Subd. 3. Content
of rules. (a) The rules
required under subdivision 2 must address, at a minimum:
(1) specific air toxics
to be regulated, including, at a minimum, those defined in subdivision 1;
(2) types of facilities
to be regulated, including, at a minimum, facilities that have been issued an
air quality permit by the commissioner,
other than an Option B registration permit under Minnesota Rules, part
7007.1120, and that:
(i) emit air toxics,
whether the emissions are limited in a permit or not; or
(ii) purchase or use
material containing volatile organic compounds;
(3) performance tests conducted
by facilities to measure the volume of air toxics emissions and testing
methods, procedures, protocols, and frequency;
(4) required monitoring
of air emissions, including using continuous emission monitoring systems for
certain facilities, and monitoring of production inputs or other production
parameters;
(5) requirements for
reporting information to the agency to assist the agency in determining the
amount of the facility's air toxics emissions and the facility's compliance
with emission limits in the facility's permit;
(6) record keeping
related to air toxics emissions; and
(7) frequency of
facility inspections and inspection activities that provide information about
air toxics emissions.
(b) In developing the
rules, the commissioner must establish testing, monitoring, reporting,
record-keeping, and inspection requirements for facilities that reflect:
(1) the different risks
to human health and the environment posed by the specific air toxics and
amounts emitted by a facility, such that facilities posing greater risks are
required to provide more frequent evidence of permit compliance, including but
not limited to performance tests, agency inspections, and reporting;
(2) the facility's
record of compliance with air toxics emission limits and other permit
conditions; and
(3) any exposure of
residents of an environmental justice area to the facility's air toxics
emissions.
Subd. 4. Modifying
permits. Within three years
after adopting the rules required in subdivision 2, the commissioner must amend
existing air quality permits, including but not limited to federal permits,
individual state total facility permits, and capped emission permits, as necessary
to conform with the rules.
Subd. 5. Rulemaking
cost. The commissioner must
collect the agency's costs to develop the rulemaking required under this
section and to conduct regulatory activities, including but not limited to
monitoring, inspection, and data collection and maintenance, required as a
result of the rulemaking through the annual fee paid by owners or operators of
facilities required to obtain air quality permits from the agency, as required
under Minnesota Statutes, section 116.07, subdivision 4d, paragraph (b).
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 44. POSITION
ESTABLISHED; POLLUTION CONTROL AGENCY.
The commissioner of the
Pollution Control Agency must establish a new full-time equivalent position of
community liaison, funded through air quality permit fees, as specified in
Minnesota Statutes, section 116.07, subdivision 4d, to conduct the administrative
tasks necessary to successfully implement the nonexpiring permit public meeting
requirements under Minnesota Statutes, section 116.07, subdivision 4m, and
other regulatory activities requiring interaction between the agency and
residents in communities exposed to air pollutants emitted by facilities
permitted by the agency.
Sec. 45. COMMUNITY
AIR-MONITORING SYSTEMS; PILOT GRANT PROGRAM.
Subdivision 1. Definitions. (a) For purposes of this section, the
terms in this subdivision have the meanings given.
(b) "Agency"
means the Minnesota Pollution Control Agency.
(c) "Commissioner"
means the commissioner of the Minnesota Pollution Control Agency.
(d) "Community
air-monitoring system" means a system of devices monitoring ambient air
quality at many locations within a small geographic area that is subject to air
pollution from a variety of stationary and mobile sources in order to obtain frequent
measurements of pollution levels, to detect differences in exposure to
pollution over distances no larger than a city block, and to identify areas
where pollution levels are inordinately elevated.
(e) "Environmental
justice area" means one or more census tracts in Minnesota:
(1) in which, based on
the most recent data published by the United States Census Bureau:
(i) 40 percent or more of
the population is nonwhite;
(ii) 35 percent or more
of the households have an income at or below 200 percent of the federal poverty
level; or
(iii) 40 percent or more
of the population over the age of five has limited English proficiency; or
(2) located within Indian
Country, as defined in United State Code, title 18, section 1151.
(f) "Nonprofit
organization" means an organization that is exempt from taxation under
section 501(c)(3) of the Internal Revenue Code.
Subd. 2. Establishing
program. A pilot grant
program for community air-monitoring systems is established in the agency to
measure air pollution levels at many locations within an environmental justice
area in Minneapolis.
Subd. 3. Eligible
applicants. Grants under this
section may be awarded to applicants consisting of a partnership between a
nonprofit organization located in or working with residents located in an
environmental justice area in which the community air-monitoring system is to
be deployed and an entity that has experience deploying, operating, and
interpreting data from air-monitoring systems.
Subd. 4. Eligible
projects. Grants may be
awarded under this section to applicants whose proposals:
(1) use a variety of
air-monitoring technologies approved for use by the commissioner, including but
not limited to stationary monitors, sensor-based handheld devices, and mobile
devices that can be attached to vehicles or drones to measure air pollution
levels;
(2) obtain data at fixed
locations and from handheld monitoring devices that are carried by residents of
the community on designated walking routes in the targeted community and that
can provide high-frequency measurements;
(3) use the monitoring
data to generate maps of pollution levels throughout the monitored area; and
(4) provide monitoring
data to the agency to help inform:
(i) agency decisions,
including placement of the agency's stationary air monitors and the development
of programs to reduce air emissions that impact environmental justice areas;
and
(ii) decisions by other
governmental bodies regarding transportation or land use planning.
Subd. 5. Eligible
expenditures. Grants may be
used only for:
(1) planning the
configuration and deployment of the community air-monitoring system;
(2) purchasing and
installing air-monitoring devices as part of the community air-monitoring
system;
(3) training and paying
persons to operate stationary, handheld, and mobile devices to measure air
pollution;
(4) developing data and mapping
systems to analyze, organize, and present the air-monitoring data collected;
and
(5) writing a final
report on the project, as required under subdivision 9.
Subd. 6. Application
and grant award process. An
eligible applicant must submit an application to the commissioner on a form
prescribed by the commissioner. The
commissioner must develop administrative procedures governing the application
and grant award process. The
commissioner must act as fiscal agent for the grant program and is responsible
for receiving and reviewing grant applications and awarding grants under this
section.
Subd. 7. Grant
awards; priorities. In
awarding grants under this section, the commissioner must give priority to
proposed projects that:
(1) take place in areas
with high rates of illness associated with exposure to air pollution, including
asthma, chronic obstructive pulmonary disease, heart disease, chronic
bronchitis, and cancer;
(2) promote public access
to and transparency of air-monitoring data developed through the project; and
(3) conduct outreach
activities to promote community awareness of and engagement with the project.
Subd. 8. Report
to agency. No later than 90
days after a project ends, a grantee must submit a written report to the
commissioner describing the project's findings and results and any
recommendations for agency actions, programs, or activities to reduce levels of
air pollution measured by the community air-monitoring system. The grantee must also submit to the
commissioner all air-monitoring data developed by the project.
Subd. 9. Report
to legislature. No later than
March 15, 2025, the commissioner must submit a report to the chairs and ranking
minority members of the legislative committees with primary jurisdiction over
environment policy and finance on the results of the grant program, including:
(1) any changes in the
agency's air-monitoring network that will occur as a result of data developed
under the program;
(2) any actions the
agency has taken or proposes to take to reduce levels of pollution that impact
the environmental justice areas that received grants under the program; and
(3) any recommendations
for legislation, including whether the program should be extended or expanded.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 46. PETROLEUM
TANK RELEASE CLEANUP; REPORT.
The commissioner of the
Pollution Control Agency must perform the duties under clauses (1) to (5) with
respect to the petroleum tank release cleanup program governed by Minnesota
Statutes, chapter 115C, and must, no later than January 15, 2025, report the
results to the chairs and ranking minority members of the senate and house of
representatives committees with primary jurisdiction over environment policy
and finance. The report must include any
recommendations for legislation. The
commissioner must:
(1) explicitly define the
conditions that must be present in order for the commissioner to classify a
site as posing a low potential risk to public health and the environment and
ensure that all agency staff use the definition in assessing potential risks. In determining the conditions that indicate
that a site poses a low risk, the commissioner must consider relevant site
conditions, including but not limited to the nature of groundwater flow, soil
type, and proximity of features at or near the site that could potentially
become contaminated;
(2) develop guidelines to
incorporate consideration of potential future uses of a contaminated property
into all agency staff decisions regarding site remediation;
(3) develop
scientifically based and measurable technical standards that allow the quality
of the agency's performance in remediating petroleum-contaminated properties to
be evaluated and conduct such evaluations periodically;
(4) in collaboration
with the Petroleum Tank Release Compensation Board and the commissioner of
commerce, examine whether and how to establish technical qualifications for
consultants hired to remediate petroleum‑contaminated properties as a
strategy to improve the quality of remediation work and how agencies can share
information on consultant performance; and
(5) in collaboration
with the commissioner of commerce, make consultants who remediate petroleum‑contaminated
sites more accountable for the quality of their work by:
(i) requiring a thorough
evaluation of the past performance of a contractor being considered for hire;
(ii) developing a formal
system of measures and procedures by which to evaluate the work; and
(iii) sharing
evaluations with the commissioner of commerce and with responsible parties.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 47. POLLUTION
CONTROL AGENCY PUBLIC MEMBERS; INITIAL APPOINTMENTS AND TERMS.
The governor must
appoint public members of the Pollution Control Agency under Minnesota
Statutes, section 116.02, by August 1, 2023.
The governor must designate two of the members first appointed to serve
a term of one year, two members to serve a term of two years, two members to
serve a term of three years, and two members to serve a term of four years.
Sec. 48. FEEDLOT
FINANCIAL ASSURANCE REQUIREMENTS COMPLIANCE SCHEDULE.
The commissioner of the
Pollution Control Agency may phase in the new financial assurance requirements
under Minnesota Statutes, section 116.07, subdivision 7f, during the next
reissuance of the national pollutant discharge elimination system general permit
for concentrated animal feeding operations, MNG440000. The commissioner must establish a schedule
for permittees to come into compliance with the requirements. The schedule must require 250 permittees per
year to comply, beginning with the operations with the largest number of animal
units.
Sec. 49. MANURE
STORAGE AREA REPORTS REQUIRED.
Subdivision 1. Reports. (a) No later than December 15, 2023,
the commissioner of the Pollution Control Agency
must develop a list based on registration data for each county of potentially
abandoned manure storage areas.
(b) No later than
January 15, 2025, each delegated county must report to the commissioner of the
Pollution Control Agency a list of abandoned manure storage areas located in
the county. The report must be submitted
by the county feedlot officer.
(c) No later than January 15,
2025, the Pollution Control Agency regional feedlot staff must compile a list
of abandoned manure storage areas located in counties under their regulatory
jurisdiction that do not have delegation agreements with the agency.
(d) No later than
February 15, 2025, the commissioner of the Pollution Control Agency must submit
a compilation report and list of abandoned manure storage areas to the
legislative committees with jurisdiction over agriculture and environment. The report must include recommendations for
remediation. The commissioner must seek
advice from the Minnesota Association of County Feedlot Officers and livestock
associations for recommendations, including existing and any proposed options
for remediation.
(e) For purposes of this
section, "abandoned manure storage areas" has the meaning given in
Minnesota Statutes, section 116.07, subdivision 7g.
(f) Reports and lists
required under this section are not feedlot inventories for purposes of
Minnesota Statutes, section 116.07, subdivision 7b.
Subd. 2. Delegated
counties. (a) Except as
provided in paragraph (b), during the 2023 and 2024 delegation years, the
commissioner of the Pollution Control Agency must not penalize a delegated
county for a performance issue or shortcoming attributable to the county's
reassignment of county feedlot officer resources necessary to comply with the
additional requirements imposed upon the county under subdivision 1.
(b) The commissioner may
penalize a county during the 2023 or 2024 delegation year for a performance
issue or shortcoming attributable to the county's reassignment of county
feedlot officer resources only if the specific penalty is approved by a
majority of the board of the Minnesota Association of County Feedlot Officers.
Sec. 50. PFAS
MANUFACTURERS FEE WORK GROUP.
The commissioner of the
Pollution Control Agency, in cooperation with the commissioners of revenue and
management and budget, must establish a work group to review options for
collecting a fee from manufacturers of PFAS in the state. By February 15, 2024, the commissioner must
submit a report to the chairs and ranking minority members of the legislative
committees and divisions with jurisdiction over environment and natural
resources with recommendations.
Sec. 51. TEMPORARY
EXEMPTION FOR TERMINALS AND OIL REFINERIES.
Subdivision 1. Temporary
exemption. Minnesota
Statutes, section 325F.072, subdivision 3, does not apply to the manufacture,
sale, distribution, or use of class B firefighting foam for the purposes of use
at a terminal or oil refinery until January 1, 2026.
Subd. 2. Extension;
waiver. (a) A person who
operates a terminal or oil refinery may apply to the state fire marshal for a
waiver to extend the exemption under subdivision 1 beyond January 1, 2026, as
provided in this subdivision.
(b) The state fire
marshal may grant a waiver to extend the exemption under subdivision 1 for a
specific use if the applicant provides all of the following:
(1) clear and convincing
evidence that there is no commercially available replacement that does not
contain intentionally added PFAS chemicals and that is capable of suppressing
fire for that specific use;
(2) information on the
amount of firefighting foam containing intentionally added PFAS chemicals
stored, used, or released on-site on an annual basis;
(3) a detailed plan, with
timelines, for the operator of the terminal or oil refinery to transition to
firefighting foam that does not contain intentionally added PFAS chemicals for
that specific use; and
(4) a plan for meeting the
requirements under subdivision 3.
(c) The state fire
marshal must ensure there is an opportunity for public comment during the
waiver process. The state fire marshal
must consider both information provided by the applicant and information
provided through public comment when making a decision on whether to grant a
waiver. The term of a waiver must not
exceed two years. The state fire marshal
must not grant a waiver for a specific use if any other terminal or oil
refinery is known to have transitioned to commercially available class B
firefighting foam that does not contain intentionally added PFAS chemicals for
that specific use. All waivers must
expire by January 1, 2028. A person that
anticipates applying for a waiver for a
terminal or oil refinery must submit a notice of intent to the state fire
marshal by January 1, 2025, in order to be considered for a waiver
beyond January 1, 2026. The state fire
marshal must notify the waiver applicant of a decision within six months of the
waiver submission date.
(d) The state fire
marshal must provide an applicant for a waiver under this subdivision an
opportunity to:
(1) correct deficiencies
when applying for a waiver; and
(2) provide evidence to
dispute a determination that another terminal or oil refinery is known to have
transitioned to commercially available class B firefighting foam that does not
contain intentionally added PFAS chemicals for that specific use, including
evidence that the specific use is different.
Subd. 3. Use
requirements. (a) A person
that uses class B firefighting foam containing intentionally added PFAS
chemicals under this section must:
(1) implement tactics
that have been demonstrated to prevent release directly to the environment,
such as to unsealed ground, soakage pits, waterways, or uncontrolled drains;
(2) attempt to fully
contain all firefighting foams with PFAS on-site using demonstrated practices
designed to contain all PFAS releases;
(3) implement containment
measures such as bunds and ponds that are controlled, are impervious to PFAS
chemicals, and do not allow fire water, wastewater, runoff, and other wastes to
be released to the environment, such as to soils, groundwater, waterways, or
stormwater; and
(4) dispose of all fire
water, wastewater, runoff, impacted soils, and other wastes in a way that
prevents releases to the environment.
(b) A terminal or oil
refinery that has received a waiver under this section may provide and use
class B firefighting foam containing intentionally added PFAS chemicals in the
form of mutual aid to another terminal or oil refinery at the request of authorities
only if the other terminal or oil refinery also has a waiver.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 52. FIREFIGHTER
TURNOUT GEAR; REPORT.
(a) The commissioner of
the Pollution Control Agency, in cooperation with the commissioner of health,
must submit a report to the chairs and ranking minority members of the
legislative committees and divisions with jurisdiction over environment and
natural resources regarding perfluoroalkyl and polyfluoroalkyl substances
(PFAS) in turnout gear by January 15, 2024.
The report must include:
(1) current turnout gear
requirements and options for eliminating or reducing PFAS in turnout gear;
(2) current turnout gear
disposal methods and recommendations for future disposal to prevent PFAS contamination;
and
(3) recommendations and
protocols for PFAS biomonitoring in firefighters, including a process for
allowing firefighters to voluntarily register for biomonitoring.
(b) For the purposes of
this section, "turnout gear" is the personal protective equipment
(PPE) used by firefighters.
Sec. 53. PFAS
WATER QUALITY STANDARDS.
(a) The commissioner of
the Pollution Control Agency must adopt rules establishing water quality
standards for:
(1) perfluorooctanoic
acid (PFOA);
(2) perfluorooctane
sulfonic acid (PFOS);
(3) perfluorononanoic
acid (PFNA);
(4) hexafluoropropylene
oxide dimer acid (HFPO-DA, commonly known as GenX chemicals);
(5) perfluorohexane
sulfonic acid (PFHxS); and
(6) perfluorobutane
sulfonic acid (PFBS).
(b) The commissioner must
adopt the rules establishing the water quality standards required under this
section by July 1, 2026, and Minnesota Statutes, section 14.125, does not
apply.
Sec. 54. HEALTH
RISK LIMIT; PERFLUOROOCTANE SULFONATE.
By July 1, 2025, the
commissioner of health must amend the health risk limit for perfluorooctane
sulfonate (PFOS) in Minnesota Rules, part 4717.7860, subpart 15, so that the
health risk limit does not exceed 0.015 parts per billion. In amending the health risk limit for PFOS,
the commissioner must comply with Minnesota Statutes, section 144.0751,
requiring a reasonable margin of safety to adequately protect the health of
infants, children, and adults.
Sec. 55. PATH
TO ZERO WASTE; REPORT.
(a) By July 15, 2025, the
commissioner of the Pollution Control Agency must conduct a study and prepare a
report that includes a pathway to achieve zero waste and submit the report to
the chairs and ranking minority members of the senate and house of representatives
committees with jurisdiction over environmental policy and finance and energy
policy.
(b) The commissioner must
seek outside technical support from certified zero-waste experts to conduct the
study and prepare the report. The report
must abide by the internationally peer-reviewed definition of zero waste and
the zero-waste hierarchy as codified by the Zero Waste International Alliance,
and include:
(1) an overview of how
municipal solid waste is currently managed;
(2) a summary of
infrastructure, programs, and resources needed to reach zero waste over a 2021
baseline by 2045 or sooner;
(3) an analysis that
outlines the impact of different strategies to achieve zero waste;
(4) strategic policy
initiatives that will be required to manage waste at the top of the zero-waste
hierarchy, as the state strives to achieve zero waste;
(5) a discussion of the
feasibility, assumptions, and projected time frame for achieving zero waste if
proposed policies are implemented and necessary investments are made, including
the projected need for land disposal capacity based on the estimated growth in
waste generation and the practicable ability of existing technologies to reduce
waste to avoid disposal;
(6) recommendations for
reducing the environmental and human health impacts of waste disposal during
the transition to zero waste, especially across environmental justice areas;
(7) a life cycle
analysis comparing incineration and landfilling ash, direct use of landfilling,
and zero-waste implementation. This
analysis must include, at a minimum, the impacts of greenhouse gas emissions;
toxic chemical pollutants, including cancer and noncancer effects; particulate
matter emissions; and smog formation from emissions of nitrogen oxides and
volatile organic compounds and their impacts on asthma and respiratory health. The analysis must present the results so that
the global warming and other health and environmental impacts can be evaluated
side-by-side using the same units, such as a monetized social and environmental
harm indicator. A separate environmental
justice analysis must be conducted, analyzing the demographics around any
existing and proposed waste disposal facilities. Using the best available data, the report
must evaluate the costs of each option and the impacts on local job support;
and
(8) the role of nonburn
alternatives in the destruction of problem materials such as invasive species,
pharmaceuticals, and perfluoroalkyl and polyfluoroalkyl substances.
(c) The commissioner
must obtain input from counties and cities inside and outside the seven-county
metropolitan area, recycling and composting facilities, waste haulers,
environmental organizations, Tribal representatives, and other interested
parties in preparing the report. The
development of the report must include stakeholder input from diverse
communities located in environmental justice areas that contain a waste
facility. The commissioner must provide
for an open public comment period of at least 60 days on the draft report. Written public comments and any commissioner
responses must be included in the final report.
Sec. 56. REPORT
REQUIRED; RECYCLING AND REUSING SOLAR PHOTOVOLTAIC MODULES AND INSTALLATION
COMPONENTS.
(a) The commissioner of
the Pollution Control Agency, in consultation with the commissioners of
commerce and employment and economic development, must coordinate preparation
of a report on developing a statewide system to reuse and recycle solar
photovoltaic modules and installation components in the state.
(b) The report must
include options for a system to collect, reuse, and recycle solar photovoltaic
modules and installation components at end of life. Any system option included in the report must
be convenient and accessible throughout the state, recover 100 percent of
discarded components, and maximize value and materials recovery. Any system option developed must include
analysis of:
(1) the reuse and
recycling values of solar photovoltaic modules, installation components, and
recovered materials;
(2) system
infrastructure and technology needs;
(3) how to maximize
in-state employment and economic development;
(4) net costs for the
program; and
(5) potential benefits
and negative impacts of the plan on environmental justice and Tribal communities.
(c) The report must include a
survey of solar photovoltaic modules and installation components that are
currently coming out of service and those projected to come out of service in
the future in Minnesota. The report must
include a description of how solar photovoltaic modules and installation
components are currently being managed at end of life and how they would likely
be managed in the future without the proposed reuse and recycling system.
(d) After completing the
report, the commissioner must convene a working group to advise on developing
policy recommendations for a statewide system to manage solar photovoltaic
modules and installation components. The
working group must include, but is not limited to:
(1) the commissioners of
commerce and employment and economic development or their designees;
(2) representatives of
the solar industry and electric utilities;
(3) representatives of
state, local, and Tribal governments; and
(4) other relevant
stakeholders.
(e) By January 15, 2025,
the commissioner must submit the report and the policy recommendations
developed under this section to the chairs and ranking minority members of the
legislative committees and divisions with jurisdiction over environment and
natural resources policy and finance and energy policy and finance.
Sec. 57. REVISOR
INSTRUCTION.
The revisor of statutes
must change the term "master plan" or similar term to
"plan" wherever the term appears in Minnesota Statutes, sections
473.803 to 473.8441. The revisor may
make grammatical changes related to the term change.
Sec. 58. REPEALER.
Minnesota Statutes 2022,
sections 115.44, subdivision 9; 116.011; 325E.389; and 325E.3891, are repealed.
ARTICLE 4
NATURAL RESOURCES
Section 1. Minnesota Statutes 2022, section 16A.152, subdivision 2, is amended to read:
Subd. 2. Additional revenues; priority. (a) If on the basis of a forecast of general fund revenues and expenditures, the commissioner of management and budget determines that there will be a positive unrestricted budgetary general fund balance at the close of the biennium, the commissioner of management and budget must allocate money to the following accounts and purposes in priority order:
(1) the cash flow account established in subdivision 1 until that account reaches $350,000,000;
(2) the budget reserve account established in subdivision 1a until that account reaches $2,377,399,000;
(3) the amount necessary to increase the aid payment schedule for school district aids and credits payments in section 127A.45 to not more than 90 percent rounded to the nearest tenth of a percent without exceeding the amount available and with any remaining funds deposited in the budget reserve;
(4) the amount necessary to restore all or a portion of the net aid reductions under section 127A.441 and to reduce the property tax revenue recognition shift under section 123B.75, subdivision 5, by the same amount;
(5) the amount necessary to
increase the Minnesota 21st century fund by not more than the difference
between $5,000,000 and the sum of the amounts credited and canceled to it in
the previous 12 months under Laws 2020, chapter 71, article 1, section 11, until
the sum of all transfers under this section and all amounts credited or
canceled under Laws 2020, chapter 71, article 1, section 11, equals
$20,000,000; and
(6) the amount necessary
to compensate the permanent school fund for lands in the Lowland Conifer Carbon
Reserve as required under section 88.85, subdivision 9; and
(6) (7) for a
forecast in November only, the amount remaining after the transfer under clause
(5) must be used to reduce the percentage of accelerated June liability sales
tax payments required under section 289A.20, subdivision 4, paragraph (b),
until the percentage equals zero, rounded to the nearest tenth of a percent. By March 15 following the November forecast,
the commissioner must provide the commissioner of revenue with the percentage
of accelerated June liability owed based on the reduction required by this
clause. By April 15 each year, the
commissioner of revenue must certify the percentage of June liability owed by
vendors based on the reduction required by this clause.
(b) The amounts necessary to meet the requirements of this section are appropriated from the general fund within two weeks after the forecast is released or, in the case of transfers under paragraph (a), clauses (3) and (4), as necessary to meet the appropriations schedules otherwise established in statute.
(c) The commissioner of management and budget shall certify the total dollar amount of the reductions under paragraph (a), clauses (3) and (4), to the commissioner of education. The commissioner of education shall increase the aid payment percentage and reduce the property tax shift percentage by these amounts and apply those reductions to the current fiscal year and thereafter.
Sec. 2. Minnesota Statutes 2022, section 84.02, is amended by adding a subdivision to read:
Subd. 6c. Restored
prairie. "Restored
prairie" means a restoration that uses at least 25 representative and
biologically diverse native prairie plant species and that occurs on land that
was previously cropped or used as pasture.
Sec. 3. Minnesota Statutes 2022, section 84.0274, subdivision 6, is amended to read:
Subd. 6. State's responsibilities. When the state proposes to purchase land for natural resources purposes, the commissioner of natural resources and, where applicable, the commissioner of administration shall have the following responsibilities:
(1) the responsibility to deal fairly and openly with the landowner in the purchase of property;
(2) the responsibility to refrain from discussing price with the landowner before an appraisal has been made. In addition, the same person shall not both appraise and negotiate for purchase of a tract of land. This paragraph does not apply to the state when discussing with a landowner the trout stream easement payment determined under section 84.0272, subdivision 2, the native prairie bank easement payment determined under section 84.96, subdivision 5, or the Camp Ripley's Army compatible use buffer easement payment determined under section 84.0277, subdivision 2;
(3) the responsibility to use private fee appraisers to lower the state's acquisition costs to the greatest extent practicable; and
(4) the responsibility to
acquire land in as expeditious a manner as possible. No option shall be made for a period of
greater than two months if no survey is required or for nine months if a survey
is required, unless the landowner, in writing, expressly requests a longer
period of time. Provided that, if
county board approval of the
transaction is required pursuant to section 97A.145, no time limits shall apply. If the state elects not to purchase property upon which it has an option, it shall pay the landowner $500 after the expiration of the option period. If the state elects to purchase the property, unless the landowner elects otherwise, payment to the landowner shall be made no later than 90 days following the state's election to purchase the property provided that the title is marketable and the owner acts expeditiously to complete the transaction.
Sec. 4. Minnesota Statutes 2022, section 84.0276, is amended to read:
84.0276 LAND TRANSFERS BY A FEDERAL AGENCY.
Before the commissioner of
natural resources accepts agricultural land or a farm homestead transferred in
fee by a federal agency, the commissioner must consult with the Board of Water
and Soil Resources for a determination of marginal land, tillable farmland, and
farm homestead. The commissioner must
comply with the acquisition procedure under section 97A.145, subdivision 2, if
the agricultural land or farm homestead was in an agricultural preserve as
provided in section 40A.10.
Sec. 5. Minnesota Statutes 2022, section 84.415, subdivision 3, is amended to read:
Subd. 3. Application,
form. The application for license or
permit shall be in quadruplicate, and shall must include with
each copy a legal description of the lands or waters affected, a metes and
bounds description of the required right-of-way, a map showing said features,
and a detailed design of any structures necessary, or in lieu thereof shall be
in such other form, and include such other descriptions, maps or designs, as
the commissioner may require. The
commissioner may at any time order such changes or modifications respecting
construction or maintenance of structures or other conditions of the license or
permit as the commissioner deems necessary to protect the public health and
safety.
Sec. 6. Minnesota Statutes 2022, section 84.415, subdivision 6, is amended to read:
Subd. 6. Supplemental application fee and monitoring fee. (a) In addition to the application fee and utility crossing fees specified in Minnesota Rules, the commissioner of natural resources shall assess the applicant for a utility license the following fees:
(1) a to cover
reasonable costs for reviewing an application and preparing a license,
supplemental application fee of fees as follows:
(i) $1,750 for a
public water crossing license and a supplemental application fee of
$3,000 for a public lands crossing license, to cover reasonable costs for
reviewing the application and preparing the license for electric power
lines, cables, or conduits of 100 kilovolts or more and for main pipelines for
gas, liquids, or solids in suspension;
(ii) $1,000 for a public
water crossing license and $1,000 for a public lands crossing license for
applications to which item (i) does not apply; and
(iii) for all applications, an additional $500 for each water crossing
or land crossing in excess of two crossings; and
(2) a monitoring fee to cover the projected reasonable costs for monitoring the construction of the utility line and preparing special terms and conditions of the license to ensure proper construction. The commissioner must give the applicant an estimate of the monitoring fee before the applicant submits the fee.
(b) The applicant shall pay fees under this subdivision to the commissioner of natural resources. The commissioner shall not issue the license until the applicant has paid all fees in full.
(c) Upon completion of construction of the improvement for which the license or permit was issued, the commissioner shall refund the unobligated balance from the monitoring fee revenue. The commissioner shall not return the application fees, even if the application is withdrawn or denied.
(d) If the fees collected
under paragraph (a), clause (1), are not sufficient to cover the costs of
reviewing the applications and preparing the licenses, the commissioner shall
improve efficiencies and otherwise reduce department costs and activities to
ensure the revenues raised under paragraph (a), clause (1), are sufficient, and
that no other funds are necessary to carry out the requirements.
(d) For purposes of this
subdivision:
(1) "water
crossing" means each location where the proposed utility will cross a
public water between banks or shores; and
(2) "land
crossing" means each quarter-quarter section or government lot where the
proposed utility will cross public land.
Sec. 7. Minnesota Statutes 2022, section 84.415, subdivision 7, is amended to read:
Subd. 7. Application
fee exemption. (a) A utility license
for crossing public lands or public waters is exempt from all application fees
specified in this section and in rules adopted under this section.
(b) This subdivision does not apply to electric power lines, cables, or conduits 100 kilovolts or greater or to main pipelines for gas, liquids, or solids in suspension.
Sec. 8. Minnesota Statutes 2022, section 84.415, is amended by adding a subdivision to read:
Subd. 9. Fees
for renewing license. At the
end of the license period, if both parties wish to renew a license, the
commissioner must assess the applicant for all fees in this section as if the
renewal is an application for a new license.
Sec. 9. Minnesota Statutes 2022, section 84.788, subdivision 5, is amended to read:
Subd. 5. Report of ownership transfers; fee. (a) Application for transfer of ownership of an off-highway motorcycle registered under this section must be made to the commissioner within 15 days of the date of transfer.
(b) An application for
transfer must be executed by the registered current owner and the
purchaser using a bill of sale that includes the vehicle serial number.
(c) The purchaser is subject to the penalties imposed by section 84.774 if the purchaser fails to apply for transfer of ownership as provided under this subdivision.
Sec. 10. Minnesota Statutes 2022, section 84.82, subdivision 2, is amended to read:
Subd. 2. Application, issuance, issuing fee. (a) Application for registration or reregistration shall be made to the commissioner or an authorized deputy registrar of motor vehicles in a format prescribed by the commissioner and shall state the legal name and address of every owner of the snowmobile.
(b) A person who purchases a snowmobile from a retail dealer shall make application for registration to the dealer at the point of sale. The dealer shall issue a dealer temporary 21-day registration permit to each purchaser who applies to the dealer for registration. The temporary permit must contain the dealer's identification number and phone number. Each retail dealer shall submit completed registration and fees to the deputy registrar at least once a week. No fee may be charged by a dealer to a purchaser for providing the temporary permit.
(c) Upon receipt of the
application and the appropriate fee, the commissioner or deputy registrar shall
issue to the applicant, or provide to the dealer, an assigned registration
number or a commissioner or deputy registrar temporary 21-day permit. The registration number must be printed on
a registration decal issued by the commissioner or a deputy registrar. Once issued, the registration number decal
must be affixed to the snowmobile in a clearly visible and permanent manner for
enforcement purposes as the commissioner of natural resources shall
prescribe according to subdivision 3b. A dealer subject to paragraph (b) shall
provide the registration materials or temporary permit to the purchaser within
the temporary 21-day permit period. The
registration is not valid unless signed by at least one owner.
(d) Each deputy registrar of motor vehicles acting pursuant to section 168.33 shall also be a deputy registrar of snowmobiles. The commissioner of natural resources in agreement with the commissioner of public safety may prescribe the accounting and procedural requirements necessary to ensure efficient handling of registrations and registration fees. Deputy registrars shall strictly comply with these accounting and procedural requirements.
(e) In addition to other fees prescribed by law, an issuing fee of $4.50 is charged for each snowmobile registration renewal, duplicate or replacement registration card, and replacement decal, and an issuing fee of $7 is charged for each snowmobile registration and registration transfer issued by:
(1) a registrar or a deputy registrar and must be deposited in the manner provided in section 168.33, subdivision 2; or
(2) the commissioner and must be deposited in the state treasury and credited to the snowmobile trails and enforcement account in the natural resources fund.
Sec. 11. Minnesota Statutes 2022, section 84.82, is amended by adding a subdivision to read:
Subd. 3b. Display
of registration decal. (a) A
person must not operate or transport a snowmobile in the state or allow another
to operate the person's snowmobile in the state unless the snowmobile has its
unexpired registration decal affixed to each side of the snowmobile and the
decals are legible.
(b) The registration
decal must be affixed:
(1) for snowmobiles made
after June 30, 1972, in the areas provided by the manufacturer under section
84.821, subdivision 2; and
(2) for all other
snowmobiles, on each side of the cowling on the upper half of the snowmobile.
(c) When any previously
affixed registration decal is destroyed or lost, a duplicate must be affixed in
the same manner as provided in paragraph (b).
Sec. 12. Minnesota Statutes 2022, section 84.821, subdivision 2, is amended to read:
Subd. 2. Area
for registration number. All
snowmobiles made after June 30, 1972, and sold in Minnesota, shall be designed
and made to provide an area on which to affix the registration number decal. This area shall be at a location and of
dimensions prescribed by rule of the commissioner. A clear area must be provided on each side
of the cowling with a minimum size of 3-1/2 square inches and at least 12
inches from the ground when the machine is resting on a hard surface.
Sec. 13. Minnesota Statutes 2022, section 84.84, is amended to read:
84.84 TRANSFER OR TERMINATION OF SNOWMOBILE OWNERSHIP.
(a) Within 15 days after the transfer of ownership, or any part thereof, other than a security interest, or the destruction or abandonment of any snowmobile, written notice of the transfer or destruction or abandonment shall be given to the commissioner in such form as the commissioner shall prescribe.
(b) An application for transfer
must be executed by the registered current owner and the
purchaser using a bill of sale that includes the vehicle serial number.
(c) The purchaser is subject to the penalties imposed by section 84.88 if the purchaser fails to apply for transfer of ownership as provided under this subdivision. Every owner or part owner of a snowmobile shall, upon failure to give notice of destruction or abandonment, be subject to the penalties imposed by section 84.88.
Sec. 14. Minnesota Statutes 2022, section 84.86, subdivision 1, is amended to read:
Subdivision 1. Required rules, fees, and reports. (a) With a view of achieving maximum use of snowmobiles consistent with protection of the environment the commissioner of natural resources shall adopt rules in the manner provided by chapter 14, for the following purposes:
(1) registration of
snowmobiles and display of registration numbers.;
(2) use of snowmobiles
insofar as game and fish resources are affected.;
(3) use of snowmobiles on
public lands and waters, or on grant-in-aid trails.;
(4) uniform signs to be
used by the state, counties, and cities, which are necessary or desirable to
control, direct, or regulate the operation and use of snowmobiles.;
(5) specifications relating
to snowmobile mufflers.; and
(6) a comprehensive
snowmobile information and safety education and training program, including
that includes but is not limited to the preparation and
dissemination of preparing and disseminating snowmobile information
and safety advice to the public, the training of snowmobile
operators, and the issuance of issuing snowmobile safety
certificates to snowmobile operators who successfully complete the snowmobile
safety education and training course.
(b) For the purpose
of administering such the program under paragraph (a), clause
(6), and to defray expenses of training and certifying snowmobile
operators, the commissioner shall collect a fee from each person who receives
the youth or adult training. The
commissioner shall collect a fee, to include a $1 issuing fee for licensing
agents, for issuing a duplicate snowmobile safety certificate. The commissioner shall establish both fees in
a manner that neither significantly overrecovers nor underrecovers costs,
including overhead costs, involved in providing the services. The fees are not subject to the rulemaking
provisions of chapter 14, and section 14.386 does not apply. The fees may be established by the
commissioner notwithstanding section 16A.1283.
The fees, except for the issuing fee for licensing agents under this
subdivision, shall be deposited in the snowmobile trails and enforcement
account in the natural resources fund and the amount thereof, except for the
electronic licensing system commission established by the commissioner under
section 84.027, subdivision 15, and issuing fees collected by the commissioner,
is appropriated annually to the Enforcement Division of the Department of
Natural Resources for the administration of such administering the
programs. In addition to the fee
established by the commissioner, instructors may charge each person any fee
paid by the instructor for the person's online training course and up to the
established fee amount for class materials and expenses. The commissioner shall cooperate with private
organizations and associations, private and public corporations, and local
governmental units in furtherance of the program established under this paragraph
(a), clause (6). School
districts may cooperate with the commissioner and volunteer instructors to
provide space for the classroom portion of the training. The commissioner shall consult with the
commissioner of public safety in regard to training program subject matter and
performance testing that leads to the certification of snowmobile operators.
(7) (c) The operator
of any snowmobile involved in an accident resulting in injury requiring medical
attention or hospitalization to or death of any person or total damage to an
extent of $500 or more, shall forward a written report of the accident to the
commissioner on such a form as prescribed by the
commissioner shall prescribe. If
the operator is killed or is unable to file a report due to incapacitation, any
peace officer investigating the accident shall file the accident report within
ten business days.
Sec. 15. Minnesota Statutes 2022, section 84.87, subdivision 1, is amended to read:
Subdivision 1. Operation on streets and highways. (a) No person shall operate a snowmobile upon the roadway, shoulder, or inside bank or slope of any trunk, county state-aid, or county highway in this state and, in the case of a divided trunk or county highway, on the right-of-way between the opposing lanes of traffic, except as provided in sections 84.81 to 84.90. No person shall operate a snowmobile within the right-of-way of any trunk, county state-aid, or county highway between the hours of one-half hour after sunset to one-half hour before sunrise, except on the right-hand side of such right-of-way and in the same direction as the highway traffic on the nearest lane of the roadway adjacent thereto. No snowmobile shall be operated at any time within the right-of-way of any interstate highway or freeway within this state.
(b) Notwithstanding any provision of paragraph (a) to the contrary:
(1) under conditions prescribed by the commissioner of transportation, the commissioner of transportation may allow two-way operation of snowmobiles on either side of the trunk highway right-of-way where the commissioner of transportation determines that two-way operation will not endanger users of the trunk highway or riders of the snowmobiles using the trail;
(2) under conditions prescribed by a local road authority as defined in section 160.02, subdivision 25, the road authority may allow two-way operation of snowmobiles on either side of the right-of-way of a street or highway under the road authority's jurisdiction, where the road authority determines that two-way operation will not endanger users of the street or highway or riders of the snowmobiles using the trail;
(3) the commissioner of transportation under clause (1) and the local road authority under clause (2) shall notify the commissioner of natural resources and the local law enforcement agencies responsible for the streets or highways of the locations of two-way snowmobile trails authorized under this paragraph; and
(4) two-way snowmobile trails authorized under this paragraph shall be posted for two-way operation at the authorized locations.
(c) A snowmobile may make a direct crossing of a street or highway at any hour of the day provided:
(1) the crossing is made at an angle of approximately 90 degrees to the direction of the highway and at a place where no obstruction prevents a quick and safe crossing;
(2) the snowmobile is brought to a complete stop before crossing the shoulder or main traveled way of the highway;
(3) the driver yields the right-of-way to all oncoming traffic which constitutes an immediate hazard;
(4) in crossing a divided highway, the crossing is made only at an intersection of such highway with another public street or highway or at a safe location approved by the road authority;
(5) if the crossing is made between the hours of one-half hour after sunset to one-half hour before sunrise or in conditions of reduced visibility, only if both front and rear lights are on; and
(6) a snowmobile may be operated upon a bridge, other than a bridge that is part of the main traveled lanes of an interstate highway, when required for the purpose of avoiding obstructions to travel when no other method of avoidance is possible; provided the snowmobile is operated in the extreme right-hand lane, the entrance to the roadway is made within 100 feet of the bridge and the crossing is made without undue delay.
(d) No snowmobile shall be operated upon a public street or highway unless it is equipped with at least one headlamp, one tail lamp, each of minimum candlepower as prescribed by rules of the commissioner, reflector material of a minimum area of 16 square inches mounted on each side forward of the handle bars, and with brakes each of which shall conform to standards prescribed by rule of the commissioner pursuant to the authority vested in the commissioner by section 84.86, and each of which shall be subject to approval of the commissioner of public safety.
(e) A snowmobile may be operated upon a public street or highway other than as provided by paragraph (c) in an emergency during the period of time when and at locations where snow upon the roadway renders travel by automobile impractical.
(f) All provisions of chapters 169 and 169A shall apply to the operation of snowmobiles upon streets and highways, except for those relating to required equipment, and except those which by their nature have no application. Section 169.09 applies to the operation of snowmobiles anywhere in the state or on the ice of any boundary water of the state.
(g) Any sled, trailer, or other device being towed by a snowmobile must be equipped with reflective materials as required by rule of the commissioner.
Sec. 16. Minnesota Statutes 2022, section 84.90, subdivision 7, is amended to read:
Subd. 7. Penalty. (a) A person violating the provisions of this section is guilty of a misdemeanor.
(b) Notwithstanding
section 609.101, subdivision 4, clause (2), the minimum fine for a person who
operates an off-highway motorcycle, off-road vehicle, all-terrain vehicle, or
snowmobile in violation of this section must not be less than the amount set forth
in section 84.775.
Sec. 17. [84.9735]
INSECTICIDES ON STATE LANDS.
A person may not use a
pesticide containing an insecticide in a wildlife management area, state park,
state forest, aquatic management area, or scientific and natural area if the
insecticide is from the neonicotinoid class of insecticides or contains chlorpyrifos.
Sec. 18. Minnesota Statutes 2022, section 84.992, subdivision 2, is amended to read:
Subd. 2. Program. The commissioner of natural resources shall develop and implement a program for the Minnesota Naturalist Corps that supports state parks and trails in providing interpretation of the natural and cultural features of state parks and trails in order to enhance visitors' awareness, understanding, and appreciation of those features and encourages the wise and sustainable use of the environment.
Sec. 19. Minnesota Statutes 2022, section 84.992, subdivision 5, is amended to read:
Subd. 5. Eligibility. A person is eligible to enroll in the
Minnesota Naturalist Corps if the person:
(1) is a permanent
resident of the state;
(2) is a participant
in an approved college internship program in a field related to natural
resources, cultural history, interpretation, or conservation; and
(3) has completed at
least one year of postsecondary education.
Sec. 20. Minnesota Statutes 2022, section 84D.02, subdivision 3, is amended to read:
Subd. 3. Management
plan. By December 31, 2023, and
every five years thereafter, the commissioner shall prepare and maintain
a long-term plan, which may include specific plans for individual species and
actions, for the statewide management of invasive species of aquatic plants and
wild animals. The plan must address:
(1) coordinated detection and prevention of accidental introductions;
(2) coordinated dissemination of information about invasive species of aquatic plants and wild animals among resource management agencies and organizations;
(3) a coordinated public education and awareness campaign;
(4) coordinated control of selected invasive species of aquatic plants and wild animals on lands and public waters;
(5) participation by lake associations, local citizen groups, and local units of government in the development and implementation of local management efforts;
(6) a reasonable and workable inspection requirement for watercraft and equipment including those participating in organized events on the waters of the state;
(7) the closing of points of access to infested waters, if the commissioner determines it is necessary, for a total of not more than seven days during the open water season for control or eradication purposes;
(8) maintaining public
accesses on infested waters to be reasonably free of aquatic macrophytes; and
(9) notice to travelers of
the penalties for violation of laws relating to invasive species of aquatic
plants and wild animals; and
(10) the impacts of climate change on invasive species management.
Sec. 21. Minnesota Statutes 2022, section 84D.10, subdivision 3, is amended to read:
Subd. 3. Removal and confinement. (a) A conservation officer or other licensed peace officer may order:
(1) the removal of aquatic
macrophytes or prohibited invasive species from water-related equipment,
including decontamination using hot water or high pressure equipment when
available on site, before the water-related equipment is transported or
before it is placed into waters of the state;
(2) confinement of the water-related equipment at a mooring, dock, or other location until the water-related equipment is removed from the water;
(3) removal of water-related equipment from waters of the state to remove prohibited invasive species if the water has not been listed by the commissioner as being infested with that species;
(4) a prohibition on placing water-related equipment into waters of the state when the water-related equipment has aquatic macrophytes or prohibited invasive species attached in violation of subdivision 1 or when water has not been drained or the drain plug has not been removed in violation of subdivision 4; and
(5) decontamination of
water-related equipment when available on site.
(b) An order for removal of prohibited invasive species under paragraph (a), clause (1), or decontamination of water-related equipment under paragraph (a), clause (5), may include tagging the water-related equipment and issuing a notice that specifies a time frame for completing the removal or decontamination and reinspection of the water-related equipment.
(c) An inspector who is not a licensed peace officer may issue orders under paragraph (a), clauses (1), (3), (4), and (5).
Sec. 22. Minnesota Statutes 2022, section 84D.15, subdivision 2, is amended to read:
Subd. 2. Receipts.
Money received from surcharges on watercraft licenses under section
86B.415, subdivision 7, civil penalties under section 84D.13, and
service provider permits under section 84D.108, must be deposited in the
invasive species account. Each year, the
commissioner of management and budget must transfer from the game and fish fund
to the invasive species account, the annual surcharge collected on nonresident
fishing licenses under section 97A.475, subdivision 7, paragraph (b). Each fiscal year, the commissioner of
management and budget shall transfer $375,000 from the water recreation account
under section 86B.706 to the invasive species account.
Sec. 23. Minnesota Statutes 2022, section 85.015, subdivision 10, is amended to read:
Subd. 10. Luce
Line Trail, Hennepin, McLeod, and Meeker Counties. (a) The trail shall originate at Gleason
Lake in Plymouth Village, Hennepin County, and shall follow the route of
the Chicago Northwestern Railroad, and include a connection to Greenleaf
Lake State Recreation Area.
(b) The trail shall be developed for multiuse wherever feasible. The department shall cooperate in maintaining its integrity for modes of use consistent with local ordinances.
(c) In establishing, developing, maintaining, and operating the trail, the commissioner shall cooperate with local units of government and private individuals and groups. Before acquiring any parcel of land for the trail, the commissioner of natural resources shall develop a management program for the parcel and conduct a public hearing on the proposed management program in the vicinity of the parcel to be acquired. The management program of the commissioner shall include but not be limited to the following:
(1) fencing of
portions of the trail where necessary to protect adjoining landowners; and
(2) the maintenance of
maintaining the trail in a litter free litter-free
condition to the extent practicable.
(d) The commissioner shall not acquire any of the right-of-way of the Chicago Northwestern Railway Company until the abandonment of the line described in this subdivision has been approved by the Surface Transportation Board or the former Interstate Commerce Commission. Compensation, in addition to the value of the land, shall include improvements made by the railroad, including but not limited to, bridges, trestles, public road crossings, or any portion thereof, it being the desire of the railroad that such improvements be included in the conveyance. The fair market value of the land and improvements shall be recommended by two independent appraisers mutually agreed upon by the parties. The fair market value thus recommended shall be reviewed by a review appraiser agreed to by the parties, and the fair market value thus determined, and supported by appraisals, may be the purchase price. The commissioner may exchange lands with landowners abutting the right-of-way described in this section to eliminate diagonally shaped separate fields.
Sec. 24. Minnesota Statutes 2022, section 85.052, subdivision 6, is amended to read:
Subd. 6. State
park reservation system. (a) The
commissioner may, by written order, develop reasonable reservation policies for
campsites and other using camping, lodging, and day-use
facilities and for tours, educational programs, seminars, events, and rentals. The policies are exempt from the rulemaking
provisions under chapter 14, and section 14.386 does not apply.
(b) The revenue collected from
the state park reservation fee established under subdivision 5, including
interest earned, shall must be deposited in the state park
account in the natural resources fund and is annually appropriated to the
commissioner for the cost of operating the state park reservation and
point-of-sale system.
Sec. 25. Minnesota Statutes 2022, section 85.055, subdivision 1, is amended to read:
Subdivision 1. Fees. (a) The fee for state park permits for:
(1) an annual use of state
parks is $35 $45;
(2) a second or subsequent
vehicle state park permit is $26 $35;
(3) a state park permit
valid for one day is $7 $10;
(4) a daily vehicle state
park permit for groups is $5 $8;
(5) an annual permit for
motorcycles is $30 $40;
(6) an employee's state park permit is without charge; and
(7) a state park permit for
persons with disabilities under section 85.053, subdivision 7, paragraph (a),
clauses (1) to (3), is $12 $20.
(b) The fees specified in this subdivision include any sales tax required by state law.
Sec. 26. Minnesota Statutes 2022, section 86B.005, is amended by adding a subdivision to read:
Subd. 11a. Other
commercial operation. "Other
commercial operation" means use of a watercraft for work, rather than
recreation, to transport equipment, goods, and materials on public waters.
Sec. 27. [86B.30]
DEFINITIONS.
Subdivision 1. Applicability. The definitions in this section apply
to sections 86B.30 to 86B.341.
Subd. 2. Accompanying operator. "Accompanying operator" means a person 21 years of age or older who:
(1) is in a personal watercraft or other type of motorboat;
(2) is within immediate reach of the controls of the motor; and
(3) possesses a valid
operator's permit or is an exempt operator.
Subd. 3. Adult operator. "Adult operator" means a motorboat operator, including a personal watercraft operator, who is 12 years of age or older and who was:
(1) effective July 1, 2025, born on or after July 1, 2004;
(2) effective July 1,
2026, born on or after July 1, 2000;
(3) effective July 1, 2027, born on or after July 1, 1996; and
(4) effective July 1,
2028, born on or after July 1, 1987.
Subd. 4. Exempt operator. "Exempt operator" means a motorboat operator, including a personal watercraft operator, who is 12 years of age or older and who:
(1) possesses a valid license to operate a motorboat issued for maritime personnel by the United States Coast Guard under Code of Federal Regulations, title 46, part 10, or a marine certificate issued by the Canadian government;
(2) is not a resident of the state, is temporarily using the waters of
the state for a period not to exceed 60 days, and:
(i) meets any applicable requirements of the state or country of residency; or
(ii) possesses a Canadian
pleasure craft operator's card;
(3) is operating a motorboat under a dealer's license according to section 86B.405; or
(4) is operating a
motorboat during an emergency.
Subd. 5. Motorboat
rental business. "Motorboat
rental business" means a person engaged in the business of renting or
leasing motorboats, including personal watercraft, for a period not exceeding
30 days. Motorboat rental business
includes a person's agents and employees but does not include a resort
business.
Subd. 6. Resort
business. "Resort
business" means a person engaged in the business of providing lodging and
recreational services to transient guests and classified as a resort under
section 273.13, subdivision 22 or 25. A
resort business includes a person's agents and employees.
Subd. 7. Young
operator. "Young
operator" means a motorboat operator, including a personal watercraft
operator, younger than 12 years of age.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 28. [86B.302]
WATERCRAFT OPERATOR'S PERMIT.
Subdivision 1. Generally. The commissioner must issue a
watercraft operator's permit to a person 12 years of age or older who
successfully completes a water safety course and written test according to
section 86B.304, paragraph (a), or who provides proof of completing a program subject
to a reciprocity agreement or certified by the commissioner as substantially
similar.
Subd. 2. Issuing
permit to certain young operators. The
commissioner may issue a permit under this section to a person who is at least
11 years of age, but the permit is not valid until the person becomes an adult
operator.
Subd. 3. Personal
possession required. (a) A
person who is required to have a watercraft operator's permit must have in
personal possession:
(1) a valid watercraft
operator's permit;
(2) a driver's license
that has a valid watercraft operator's permit indicator issued under section
171.07, subdivision 20; or
(3) an identification
card that has a valid watercraft operator's permit indicator issued under
section 171.07, subdivision 20.
(b) A person who is
required to have a watercraft operator's permit must display one of the
documents described in paragraph (a) to a conservation officer or peace officer
upon request.
Subd. 4. Using electronic device to display proof of permit. If a person uses an electronic device to display a document described in subdivision 3 to a conservation officer or peace officer:
(1) the officer is
immune from liability for any damage to the device, unless the officer does not
exercise due care in handling the device; and
(2) this does not
constitute consent for the officer to access other contents on the device.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 29. [86B.303]
OPERATING PERSONAL WATERCRAFT AND OTHER MOTORBOATS.
Subdivision 1. Adult operators. An adult operator may not operate a motorboat, including a personal watercraft, unless:
(1) the adult operator possesses a valid watercraft operator's permit;
(2) the adult operator
is an exempt operator; or
(3) an accompanying
operator is in the motorboat.
Subd. 2. Young
operators. A young operator
may not operate a motorboat, including a personal watercraft, unless there is
an accompanying operator in the boat or in case of an emergency.
Subd. 3. Accompanying
operators. For purposes of
this section and section 169A.20, an accompanying operator, as well as the
actual operator, is operating and is in physical control of a motorboat.
Subd. 4. Owners
may not allow unlawful use. An
owner or other person in lawful control of a motorboat may not allow the
motorboat to be operated contrary to this section.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 30. [86B.304]
WATERCRAFT SAFETY PROGRAM.
(a) The commissioner
must establish a water safety course and testing program for personal
watercraft and watercraft operators and must prescribe a written test as part
of the course. The course must be
approved by the National Association of State Boating Law Administrators and
must be available online. The
commissioner may allow designated water safety courses administered by third
parties to meet the requirements of this paragraph and may enter into
reciprocity agreements or otherwise certify boat safety education programs from
other states that are substantially similar to in-state programs. The commissioner must establish a working
group of interested parties to develop course content and implementation. The course must include content on best
management practices for mitigating aquatic invasive species, reducing
conflicts among user groups, and limiting the ecological impacts of watercraft.
(b) The commissioner
must create or designate a short boater safety examination to be administered
by motorboat rental businesses, as required by section 86B.306, subdivision 3. The examination developed under this
paragraph must be one that can be administered electronically or on paper, at
the option of the motorboat rental business administering the examination.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 31. [86B.306]
MOTORBOAT RENTAL BUSINESSES.
Subdivision 1. Requirements. A motorboat rental business must not rent or lease a motorboat, including a personal watercraft, to any person for operation on waters of this state unless the renter or lessee:
(1) has a valid watercraft operator's permit or is an exempt operator; and
(2) is 18 years of age or
older.
Subd. 2. Authorized
operators. A motorboat rental
business must list on each motorboat rental or lease agreement the name and age
of each operator who is authorized to operate the motorboat or personal
watercraft. The renter or lessee of the
motorboat must ensure that only listed authorized operators operate the
motorboat or personal watercraft.
Subd. 3. Summary
of boating regulations; examination.
(a) A motorboat rental business must provide each authorized
operator a summary of the statutes and rules governing operation of motorboats
and personal watercraft in the state and instructions for safe operation.
(b) Each authorized
operator, other than those holding a valid watercraft operator's permit or an
exempt operator, must review the summary provided under this subdivision and
must take a short boater safety examination in a form approved by the commissioner
before the motorboat or personal watercraft leaves the motorboat rental
business premises, unless the authorized operator has taken the examination
during the previous 180 days.
Subd. 4. Safety
equipment for personal watercraft. A
motorboat rental business must provide to all persons who rent a personal
watercraft, at no additional cost, a United States Coast Guard (USCG) approved
wearable personal flotation device with a USCG label indicating it either is
approved for or does not prohibit use with personal watercraft or water-skiing
and any other required safety equipment.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 32. Minnesota Statutes 2022, section 86B.313, subdivision 4, is amended to read:
Subd. 4. Dealers
and rental operations. (a) A
dealer of personal watercraft shall distribute a summary of the laws and rules
governing the operation of personal watercraft and, upon request, shall provide
instruction to a purchaser regarding:
(1) the laws and rules governing personal watercraft; and
(2) the safe operation of personal watercraft.
(b) A person who offers
personal watercraft for rent:
(1) shall provide a
summary of the laws and rules governing the operation of personal watercraft
and provide instruction regarding the laws and rules and the safe operation of
personal watercraft to each person renting a personal watercraft;
(2) shall provide a
United States Coast Guard (USCG) approved wearable personal flotation device
with a USCG label indicating it either is approved for or does not prohibit use
with personal watercraft or water-skiing and any other required safety equipment
to all persons who rent a personal watercraft at no additional cost; and
(3) shall require that a
watercraft operator's permit from this state or from the operator's state of
residence be shown each time a personal watercraft is rented to any person
younger than age 18 and shall record the permit on the form provided by the commissioner.
(c) Each dealer of personal
watercraft or person offering personal watercraft for rent shall have
the person who purchases or rents a personal watercraft sign a form
provided by the commissioner acknowledging that the purchaser or renter
has been provided a copy of the laws and rules regarding personal watercraft
operation and has read them. The form
must be retained by the dealer or person offering personal watercraft for
rent for a period of six months following the date of signature and
must be made available for inspection by sheriff's deputies or conservation
officers during normal business hours.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 33. Minnesota Statutes 2022, section 86B.415, subdivision 1, is amended to read:
Subdivision 1. Watercraft
19 feet or less. (a) Except as
provided in paragraph (b) and subdivision 1a, the fee for a watercraft license
for watercraft 19 feet or less in length is $27 $59.
(b) The watercraft license fee is:
(1) for watercraft, other
than personal watercraft, 19 feet in length or less that is offered for rent or
lease, the fee is $9 $14;
(2) for a sailboat, 19 feet
in length or less, the fee is $10.50 $23;
(3) for a watercraft 19
feet in length or less used by a nonprofit corporation for teaching boat and
water safety, the fee is as provided in subdivision 4;
(4) for a watercraft owned
by a dealer under a dealer's license, the fee is as provided in
subdivision 5;
(5) for a personal
watercraft, the fee is $37.50 including one offered for rent or
lease, $85; and
(6) for a watercraft less than 17 feet in length, other than a
watercraft listed in clauses (1) to (5), the fee is $18 $36.
Sec. 34. Minnesota Statutes 2022, section 86B.415, subdivision 1a, is amended to read:
Subd. 1a. Canoes,
kayaks, sailboards, paddleboards, paddleboats, or rowing shells. The fee for a watercraft license for a
canoe, kayak, sailboard, paddleboard, paddleboat, or rowing shell over ten feet
in length is $10.50 $23.
Sec. 35. Minnesota Statutes 2022, section 86B.415, subdivision 2, is amended to read:
Subd. 2. Watercraft over 19 feet. Except as provided in subdivisions 1a, 3, 4, and 5, the watercraft license fee:
(1) for a watercraft more
than 19 feet but less than 26 feet in length is $45 $113;
(2) for a watercraft 26
feet but less than 40 feet in length is $67.50 $164; and
(3) for a watercraft 40
feet in length or longer is $90 $209.
Sec. 36. Minnesota Statutes 2022, section 86B.415, subdivision 3, is amended to read:
Subd. 3. Watercraft
over 19 feet for hire commercial use. The license fee for a watercraft more
than 19 feet in length for hire with an operator used primarily for
charter fishing, commercial fishing, commercial passenger carrying, or other
commercial operation is $75 $164 each.
Sec. 37. Minnesota Statutes 2022, section 86B.415, subdivision 4, is amended to read:
Subd. 4. Watercraft
used by nonprofit corporation for teaching.
The watercraft license fee for a watercraft used by a nonprofit
organization for teaching boat and water safety is $4.50 $8 each.
Sec. 38. Minnesota Statutes 2022, section 86B.415, subdivision 5, is amended to read:
Subd. 5. Dealer's
license. There is no separate fee
for watercraft owned by a dealer under a dealer's license. The fee for a dealer's license is $67.50
$142.
Sec. 39. Minnesota Statutes 2022, section 86B.415, subdivision 7, is amended to read:
Subd. 7. Watercraft
surcharge. A $10.60 $20
surcharge is placed on each watercraft licensed under subdivisions 1 to 5 for
control, public awareness, law enforcement, monitoring, and research of aquatic
invasive species such as zebra mussel, purple loosestrife, and Eurasian
watermilfoil in public waters and public wetlands.
Sec. 40. [88.83]
EMERALD ASH BORER RESPONSE.
Subdivision 1. Purpose. The legislature finds that an epidemic
of an invasive plant pest, the emerald ash borer, is occurring in Minnesota,
threatening the natural environment, and generating large volumes of wood waste
from ash trees. Immediate action is
therefore necessary to provide funding to assist local units of government with
treating, removing, and replacing ash trees in response to emerald ash borer
infestations and managing the resulting wood waste and to preserve existing biomass
energy infrastructure that is critical to support local and regional emerald
ash borer response programs.
Subd. 2. Establishment. The commissioner must establish a
program to:
(1) provide state
matching grants to assist communities with treating, removing, and replacing
ash trees in response to the emerald ash borer epidemic and managing wood
waste, including the remains of ash trees removed in response to the epidemic;
and
(2) identify and
designate existing biomass energy facilities that are critical infrastructure
for local and regional emerald ash borer response programs.
Subd. 3. Eligible
applicants. The commissioner
may award grants under this section to:
(1) local units of
government, including cities, counties, regional authorities, joint powers
boards, towns, and parks and recreation boards in cities of the first class
that are responding or actively preparing to respond to an emerald ash borer
infestation; and
(2) a Minnesota
nonprofit corporation that owns a cogeneration facility that serves a St. Paul
district heating and cooling system.
Subd. 4. Eligible
expenditures. Local units of
government are eligible for matching grants of up to 50 percent of costs
incurred to properly manage, transport, process, and dispose of wood waste
containing ash tree material, including reuse and higher-value applications,
wood waste storage yards, and costs associated with processing wood waste into
usable biomass fuel and transporting it to designated biomass energy facilities. A Minnesota nonprofit corporation that owns a
biomass-fueled combined heat and power plant serving a district heating system
is eligible for grants of up to $20 per ton of processed biomass fuel
containing wood waste from ash trees processed in response to the emerald ash
borer epidemic. The commissioner may
require the nonprofit corporation to charge a fee per ton of ash tree wood
waste delivered to the facility.
Subd. 5. Reporting. A nonprofit corporation receiving a
grant under this section must compile a quarterly report on the volume of wood
waste utilized as fuel at the facility using the same method used to compile
the annual utilization of wood fuel for the Pollution Control Agency's annual
emission inventory report required under Minnesota Rules, part 7019.3000, and
must submit the information to the commissioner every three months beginning
120 days after the nonprofit corporation is eligible to receive grants.
Sec. 41. [88.85]
LOWLAND CONIFER CARBON RESERVE.
Subdivision 1. Definition. For the purposes of this section,
"lowland conifer stands" means treed wetlands that occur on mucky
mineral or wet organic soils. Lowland
conifer stands include black spruce, tamarack, and white cedar cover types,
including stagnant stands. These cover
types include three wetland forest systems:
(1) wet forest system;
(2) rich forested
peatland system; and
(3) acid peatland system.
Subd. 2. Establishment. (a) The Lowland Conifer Carbon Reserve
is established to mitigate climate change and protect ecologically unique areas. It includes all stands in the state forest
system identified as lowland conifer stands under this section and includes the
distribution of underlying peatlands associated with or adjoining each stand.
(b) By January 1, 2024,
the commissioner must designate and list the areas included in the Lowland
Conifer Carbon Reserve and submit a report with the designated list to the
chairs and ranking minority members of the legislative committees and divisions
with jurisdiction over environment and natural resources.
(c) By July 1, 2024, the
commissioner must prepare maps locating the areas identified under paragraph
(b); provide, to the extent possible, legal descriptions of each area; and
submit the maps and legal descriptions to the chairs and ranking minority members
of the legislative committees and divisions with jurisdiction over environment
and natural resources.
Subd. 3. Carbon
sequestration; reports. (a)
By January 1, 2025, the commissioner must prepare and submit a report to the
chairs and ranking minority members of the legislative committees and divisions
with jurisdiction over environment and natural resources with a list of all
stands in the Lowland Conifer Carbon Reserve that are 90 years of age or older
and an estimate of the tons of carbon sequestered in the boles of the trees in
these stands. The commissioner must
update and submit the report to the chairs and ranking minority members every
five years thereafter.
(b) By January 1, 2025,
the commissioner must prepare and submit a report to the chairs and ranking
minority members of the legislative committees and divisions with jurisdiction
over environment and natural resources identifying any bogs and peatlands in
the Lowland Conifer Carbon Reserve and an estimate of the tons of carbon
sequestered in the peat.
Subd. 4. Productive
stands; report. By January 1,
2025, the commissioner must prepare and submit a report to the chairs and
ranking minority members of the legislative committees and divisions with
jurisdiction over environment and natural resources with a list and map showing
all productive stands in the Lowland Conifer Carbon Reserve and identify which
stands were harvested within the five years preceding establishment of the
Lowland Conifer Carbon Reserve. By
January 15 each year thereafter, the commissioner must update the list showing
the most recent harvest year and species harvested and submit the list in a
report to the chairs and ranking minority members of the legislative committees
and divisions with jurisdiction over environment and natural resources finance
and policy.
Subd. 5. Timber
harvesting restrictions. (a)
The commissioner may issue a timber permit to harvest a stand in the Lowland
Conifer Carbon Reserve only if:
(1) the stand is less
than 90 years of age; and
(2) the stand is
accessible to heavy logging equipment as determined by the commissioner.
(b) For stands accessible
for only part of the year, trees may be harvested only during the times the
stand is accessible as determined by the commissioner.
Subd. 6. Peat
harvesting restrictions. (a)
A person may not harvest peat in the Lowland Conifer Carbon Reserve.
(b) This subdivision does
not apply to peat harvested under a permit issued before the peat was included
in the Lowland Conifer Carbon Reserve.
Subd. 7. Management. To the extent possible, the
commissioner must passively manage stands in the Lowland Conifer Carbon Reserve. Regeneration of harvested stands in the
Lowland Conifer Carbon Reserve must be done naturally.
Subd. 8. Drained
lands. The commissioner must
identify lands in the Lowland Conifer Carbon Reserve that were drained for
agricultural purposes but forfeited to the state for nonpayment of taxes. The commissioner must make reasonable efforts
to restore the lands to their original hydrological condition, such as blocking
or filling active drain pipes, tiles, or ditches on the lands.
Subd. 9. School
trust lands. The commissioner
must compensate the permanent school fund for school trust lands in the Lowland
Conifer Carbon Reserve. To the extent
funding is available under section 16A.152, subdivision 2, and other sources,
the commissioner must extinguish the school trust interest of lands as provided
under section 92.83. Payments for school
trust lands without commercial value must be compensated at an amount equal to
$500 per acre. Payments for school trust
lands with commercial value must be compensated at a rate agreed to by the
commissioner and the school trust lands director for each parcel, with a parcel
comprising a single stand or multiple adjoining stands.
Subd. 10. Existing
contracts and legislation. Obligations,
including permits, leases, and legislative directives, that are in effect
before designation of the Lowland Conifer Carbon Reserve are not impacted by
this section and continue until they expire or are removed.
Subd. 11. Sunset. This section expires December 31,
2099.
Sec. 42. Minnesota Statutes 2022, section 89A.03, subdivision 5, is amended to read:
Subd. 5. Membership regulation. Terms, compensation, nomination, appointment, and removal of council members are governed by section 15.059, except that a council member may be compensated at the rate of up to $125 a day.
Sec. 43. Minnesota Statutes 2022, section 90.181, subdivision 2, is amended to read:
Subd. 2. Deferred
payments. (a) If the amount of the
statement is not paid or the payment is not postmarked within 30 days of
the statement date thereof, it shall bear, the amount bears
interest at the rate determined pursuant to section 16A.124, except that the
purchaser shall not be is not required to pay interest that
totals $1 or less. If the amount is not
paid within 60 days, the commissioner shall place the account in the hands of
the commissioner of revenue according to chapter 16D, who shall proceed to
collect the same amount due.
When deemed in the best interests of the state, the commissioner shall
take possession of the timber for which an amount is due wherever it may be
found and sell the same timber informally or at public auction
after giving reasonable notice.
(b) The proceeds of the sale shall
must be applied, first, to the payment of the expenses of seizure and
sale; and, second, to the payment of the amount due for the timber, with
interest; and. The
surplus, if any, shall belong belongs to the state; and,. In case a sufficient amount is not realized
to pay these amounts in full, the balance shall must be collected
by the attorney general. Neither
Payment of the amount, nor the recovery of judgment therefor for
the amount, nor satisfaction of the judgment, nor the or
seizure and sale of timber, shall does not:
(1) release the
sureties on any security deposit given pursuant to this chapter, or;
(2) preclude the
state from afterwards claiming that the timber was cut or removed contrary to
law and recovering damages for the trespass thereby committed,; or
(3) preclude the state from prosecuting the offender criminally.
Sec. 44. Minnesota Statutes 2022, section 97A.015, is amended by adding a subdivision to read:
Subd. 32b. Native
swan. "Native swan"
means a trumpeter swan or a tundra swan but does not include a mute swan.
Sec. 45. Minnesota Statutes 2022, section 97A.031, is amended to read:
97A.031 WANTON WASTE.
(a) Unless expressly allowed, a person may not wantonly waste or destroy a usable part of a protected wild animal.
(b) This section does
not apply to common carp.
Sec. 46. [97A.096]
DESIGNATED SWAN PROTECTION AREAS.
Subdivision 1. Swan
protection areas. The
commissioner of natural resources must designate waters within the seven-county
metropolitan area that provide critical habitat for swan nesting, migration,
and foraging as swan protection areas.
Subd. 2. Public
notice and meeting. (a)
Before the commissioner designates or removes a designation of a swan
protection area, the commissioner must receive public comment and hold a public
meeting in the county where the largest portion of the affected water is
located.
(b) At least 90 days
before the public meeting, the commissioner must post notice of the proposed
designation or removal of a designation at publicly maintained access points on
the affected water.
(c) Before the public
meeting, the commissioner must publish notice of the meeting in a news release
issued by the commissioner and in a newspaper of general circulation in the
area where the proposed swan protection area is located. The notice must be published at least once 30
to 60 days before the meeting and at least once seven to 30 days before the
meeting.
(d) The notices required
in this subdivision must summarize the proposed action, invite public comment,
and specify a deadline for receiving public comments. The commissioner must send each required
notice to persons who have registered their names with the commissioner for
this purpose. The commissioner must
consider any public comments received in making a final decision.
(e) Designating swan
protection areas or removing designations according to this subdivision is not subject
to the rulemaking requirements of chapter 14, and section 14.386 does not
apply.
Subd. 3. Using
lead sinkers. A person may
not use lead sinkers on a water designated by the commissioner as a swan
protection area under subdivision 1. The
commissioner must maintain a list of swan protection areas and information on
the lead sinker restrictions on the department's website and in any summary of
fishing regulations required under section 97A.051.
Subd. 4. Report. By January 15, 2026, the commissioner
of natural resources must submit a report to the chairs and ranking minority
members of the legislative committees and divisions with jurisdiction over
environment and natural resources on the implementation of this section and any
recommendations.
Subd. 5. Sunset. This section expires January 1, 2027.
Sec. 47. Minnesota Statutes 2022, section 97A.126, is amended to read:
97A.126 WALK-IN ACCESS PROGRAM.
Subdivision 1. Establishment. A walk-in access program is established to provide public access to wildlife habitat on private land for hunting, bird-watching, nature photography, and similar compatible uses, excluding trapping, as provided under this section. The commissioner may enter into agreements with other units of government and landowners to provide private land hunting access.
Subd. 2. Use of
enrolled lands. (a) From September 1
to May 31, a person must have a walk-in access hunter validation in
possession to hunt, photograph, and watch wildlife on private lands,
including agricultural lands, that are posted as being enrolled in the walk-in
access program.
(b) Hunting, bird-watching, nature photography, and similar compatible uses on private lands that are posted as enrolled in the walk-in access program is allowed from one-half hour before sunrise to one-half hour after sunset.
(c) Hunter Access on
private lands that are posted as enrolled in the walk-in access program is
restricted to nonmotorized use, except by hunters persons with
disabilities operating motor vehicles on established trails or field roads who
possess a valid permit to shoot from a stationary vehicle under section
97B.055, subdivision 3.
(d) The general provisions
for use of wildlife management areas adopted under sections 86A.06 and 97A.137,
relating to overnight use, alcoholic beverages, use of motorboats, firearms and
target shooting, hunting stands, abandonment of trash and property, destruction
or removal of property, introduction of plants or animals, and animal trespass,
apply to hunters on use of lands enrolled in the walk-in access
program.
(e) Any use of enrolled
lands other than hunting according to use authorized under this
section is prohibited, including:
(1) harvesting bait, including minnows, leeches, and other live bait;
(2) training dogs or using dogs for activities other than hunting; and
(3) constructing or maintaining any building, dock, fence, billboard, sign, hunting blind, or other structure, unless constructed or maintained by the landowner.
Subd. 3. Walk-in-access
hunter validation; fee. The
fee for a walk-in-access hunter validation is $3.
Sec. 48. Minnesota Statutes 2022, section 97A.137, subdivision 3, is amended to read:
Subd. 3. Use of
motorized vehicles by disabled hunters people with disabilities. The commissioner may issue provide
an accommodation by issuing a special permit, without a fee, authorizing a hunter
person with a permanent physical disability to use a
snowmobile, highway-licensed vehicle, all-terrain vehicle, an other
power‑driven mobility
device, as defined under Code of Federal Regulations, title 28, section 35.104,
or a motor boat in wildlife management areas. To qualify for a permit under this
subdivision, the disabled person must possess: provide credible assurance to the
commissioner that the device or motor boat is used because of a disability.
(1) the required hunting
licenses; and
(2) a permit to shoot
from a stationary vehicle under section 97B.055, subdivision 3.
Sec. 49. Minnesota Statutes 2022, section 97A.315, subdivision 1, is amended to read:
Subdivision 1. Criminal
penalties. (a) Except as provided
in paragraph (b), a person that violates a provision of section 97B.001,
relating to trespass is guilty of a misdemeanor except as provided in
paragraph (b).
(b) A person is guilty of a gross misdemeanor if the person:
(1) knowingly disregards signs prohibiting trespass;
(2) trespasses after personally being notified by the landowner or lessee not to trespass; or
(3) is convicted of violating this section more than once in a three-year period.
(c) Notwithstanding
section 609.101, subdivision 4, clause (2), for a misdemeanor violation, the
minimum fine for a person who operates an off-highway motorcycle, off-road
vehicle, all-terrain vehicle, or snowmobile in violation of this section must
not be less than the amount set forth in section 84.775.
Sec. 50. Minnesota Statutes 2022, section 97A.401, subdivision 1, is amended to read:
Subdivision 1. Commissioner's
authority. The commissioner may
issue special permits for the activities in this section. A special permit may be issued in the form of
a general permit to a governmental subdivision or to the general public to
conduct one or more activities under subdivisions 2 to 8 9.
Sec. 51. Minnesota Statutes 2022, section 97A.401, is amended by adding a subdivision to read:
Subd. 9. Taking
wild animals with federal incidental take permit. The commissioner must prescribe
conditions for and may issue a permit to a person for taking wild animals
during activities covered under a federal incidental take permit issued under
section 10(a)(1)(B) of the federal Endangered Species Act, including to a
landowner for taking wild animals during activities covered by a certificate of
inclusion issued by the commissioner under Code of Federal Regulations, title
50, section 13.25(e).
Sec. 52. Minnesota Statutes 2022, section 97A.405, subdivision 5, is amended to read:
Subd. 5. Resident
licenses. (a) To obtain a
resident license, a resident an individual 21 years of age or
older must be a resident and:
(1) possess a current Minnesota driver's license or a valid application receipt for a driver's license that is at least 60 days past the issuance date;
(2) possess a current
identification card issued by the commissioner of public safety or a valid
application receipt for an identification card that is at least 60 days past
the issuance date; or
(3) present evidence showing
proof of residency in cases when clause (1) or (2) would violate the Religious
Freedom Restoration Act of 1993, Public Law 103-141.; or
(4) possess a Tribal
identification card as provided in paragraph (b).
(b) For purposes of this
subdivision, "Tribal identification card" means an unexpired
identification card as provided under section 171.072, paragraphs (b) and (c). The Tribal identification card:
(1) must contain the
enrolled Tribal member's Minnesota residence address; and
(2) may be used to obtain
a resident license under paragraph (a) only if the Tribal member does not have
a current driver's license or state identification card in any state.
(c) A person must not
have applied for, purchased, or accepted a resident hunting, fishing, or
trapping license issued by another state or foreign country within 60 days
before applying for a resident license under this section.
Sec. 53. Minnesota Statutes 2022, section 97A.421, subdivision 3, is amended to read:
Subd. 3. Issuance
after conviction; big game. (a) A
person may not use a big-game license purchased before conviction,
obtain any a big-game license, or take big game under a
lifetime license, issued under section 97A.473, for three years after the
person is convicted of:
(1) a gross misdemeanor violation under the game and fish laws relating to big game;
(2) doing an act without a required big-game license; or
(3) the second violation within three years under the game and fish laws relating to big game.
(b) A person may not obtain any deer license or take deer under a lifetime license issued under section 97A.473 for one year after the person is convicted of hunting deer with the aid or use of bait under section 97B.328.
(c) The revocation period under paragraphs (a) and (b) doubles if the conviction is for a deer that is a trophy deer scoring higher than 170 using the scoring method established for wildlife restitution values adopted under section 97A.345.
Sec. 54. Minnesota Statutes 2022, section 97A.473, subdivision 2, is amended to read:
Subd. 2. Lifetime angling license; fee. (a) A resident lifetime angling license authorizes a person to take fish by angling in the state. The license authorizes those activities authorized by the annual resident angling license. The license does not include a trout-and-salmon stamp validation, a walleye stamp validation, or other stamps required by law.
(b) The fees for a resident lifetime angling license are:
(1) age 3 and under, $344
$413;
(2) age 4 to age 15, $469
$563;
(3) age 16 to age 50, $574
$689; and
(4) age 51 and over, $379
$455.
Sec. 55. Minnesota Statutes 2022, section 97A.473, subdivision 2a, is amended to read:
Subd. 2a. Lifetime spearing license; fee. (a) A resident lifetime spearing license authorizes a person to take fish by spearing in the state. The license authorizes those activities authorized by the annual resident spearing license.
(b) The fees for a resident lifetime spearing license are:
(1) age 3 and under, $90
$108;
(2) age 4 to age 15, $124
$149;
(3) age 16 to age 50, $117
$141; and
(4) age 51 and over, $61
$74.
Sec. 56. Minnesota Statutes 2022, section 97A.473, subdivision 2b, is amended to read:
Subd. 2b. Lifetime angling and spearing license; fee. (a) A resident lifetime angling and spearing license authorizes a person to take fish by angling or spearing in the state. The license authorizes those activities authorized by the annual resident angling and spearing licenses.
(b) The fees for a resident lifetime angling and spearing license are:
(1) age 3 and under, $432
$519;
(2) age 4 to age 15, $579
$695;
(3) age 16 to age 50, $678
$814; and
(4) age 51 and over, $439
$527.
Sec. 57. Minnesota Statutes 2022, section 97A.473, subdivision 5, is amended to read:
Subd. 5. Lifetime sporting license; fee. (a) A resident lifetime sporting license authorizes a person to take fish by angling and hunt and trap small game, other than wolves, in the state. The license authorizes those activities authorized by the annual resident angling and resident small-game-hunting licenses and the resident trapping license for fur-bearing animals other than wolves. The license does not include a trout-and-salmon stamp validation, a turkey stamp validation, a walleye stamp validation, or any other hunting stamps required by law.
(b) The fees for a resident lifetime sporting license are:
(1) age 3 and under, $522
$573;
(2) age 4 to age 15, $710
$779;
(3) age 16 to age 50, $927
$1,017; and
(4) age 51 and over, $603
$662.
Sec. 58. Minnesota Statutes 2022, section 97A.473, subdivision 5a, is amended to read:
Subd. 5a. Lifetime sporting with spearing option license; fee. (a) A resident lifetime sporting with spearing option license authorizes a person to take fish by angling or spearing and hunt and trap small game, other than wolves, in the state. The license authorizes those activities authorized by the annual resident angling, spearing, and resident small-game-hunting licenses and the resident trapping license for fur-bearing animals other than wolves. The license does not include a trout-and-salmon stamp validation, a turkey stamp validation, a walleye stamp validation, or any other hunting stamps required by law.
(b) The fees for a resident lifetime sporting with spearing option license are:
(1) age 3 and under, $612
$676;
(2) age 4 to age 15, $833
$921;
(3) age 16 to age 50, $1,046
$1,153; and
(4) age 51 and over, $666
$733.
Sec. 59. Minnesota Statutes 2022, section 97A.474, subdivision 2, is amended to read:
Subd. 2. Nonresident lifetime angling license; fee. (a) A nonresident lifetime angling license authorizes a person to take fish by angling in the state. The license authorizes those activities authorized by the annual nonresident angling license. The license does not include a trout-and-salmon stamp validation, a walleye stamp validation, or other stamps required by law.
(b) The fees for a nonresident lifetime angling license are:
(1) age 3 and under, $821
$1,068;
(2) age 4 to age 15, $1,046
$1,360;
(3) age 16 to age 50, $1,191
$1,549; and
(4) age 51 and over, $794
$1,033.
Sec. 60. Minnesota Statutes 2022, section 97A.475, subdivision 6, is amended to read:
Subd. 6. Resident fishing. Fees for the following licenses, to be issued to residents only, are:
(1) for persons age 18 or
over to take fish by angling, $25 $30;
(2) for persons age 18 or
over to take fish by angling, for a combined license for a married couple, $40
$48;
(3) for persons age 18 or
over to take fish by spearing from a dark house, $6 $8, and the
person must possess an angling license;
(4) for persons age 18 or
over to take fish by angling for a 24-hour period selected by the licensee, $12
$15;
(5) for persons age 18 or
over to take fish by angling for a consecutive 72-hour period selected by the
licensee, $14 $17;
(6) for persons age 18 or
over to take fish by angling for three consecutive years, $71 $86;
and
(7) for persons age 16 or
over and under age 18 to take fish by angling, $5 $6.
Sec. 61. Minnesota Statutes 2022, section 97A.475, subdivision 7, is amended to read:
Subd. 7. Nonresident fishing. (a) Fees for the following licenses, to be issued to nonresidents, are:
(1) for persons age 18 or over
to take fish by angling, $46 $62;
(2) for persons age 18 or over
to take fish by angling limited to seven consecutive days selected by the
licensee, $38 $51;
(3) for persons age 18 or over
to take fish by angling for a consecutive 72-hour period selected by the
licensee, $31 $42;
(4) for persons age 18 or
over to take fish by angling for a combined license for a family for one or
both parents and dependent children under the age of 16, $63 $84;
(5) for persons age 18 or
over to take fish by angling for a 24-hour period selected by the licensee, $14
$19;
(6) to take fish by angling
for a combined license for a married couple, limited to 14 consecutive days
selected by one of the licensees, $49 $66;
(7) for persons age 18 or
over to take fish by spearing from a dark house, $12 $18, and the
person must possess an angling license; and
(8) for persons age 16 or
over and under age 18 to take fish by angling, $5 $6.
(b) A $5 surcharge shall be added to all nonresident fishing licenses, except licenses issued under paragraph (a), clauses (5) and (8). An additional commission may not be assessed on this surcharge.
Sec. 62. Minnesota Statutes 2022, section 97A.475, subdivision 8, is amended to read:
Subd. 8. Minnesota sporting; supersports. (a) The commissioner shall issue Minnesota sporting licenses to residents only. The licensee may take fish by angling and small game. The fee for the license is:
(1) for an individual, $34.50
$40.50; and
(2) for a combined license
for a married couple to take fish and for one spouse to take small game, $50.50
$61.50.
(b) The commissioner shall issue Minnesota supersports licenses to residents only. The licensee may take fish by angling, including trout; small game, including pheasant and waterfowl; and deer by firearms or muzzleloader or by archery. The fee for the supersports license, including all required stamp validations is:
(1) for an individual age
18 or over, $93.50 $102.50; and
(2) for a combined license
for a married couple to take fish, including the trout-and-salmon stamp
validation, and for one spouse to take small game, including pheasant and
waterfowl, and deer, $119.50 $137.50.
(c) Revenue for the stamp endorsements under paragraph (b) shall be deposited according to section 97A.075, subdivisions 2, 3, and 4.
(d) Revenue for the deer license endorsement under paragraph (b) shall be deposited according to section 97A.075, subdivision 1.
Sec. 63. Minnesota Statutes 2022, section 97A.475, subdivision 10, is amended to read:
Subd. 10. Trout-and-salmon
stamp validation. The fee for a
trout-and-salmon stamp validation is $10 $12.
Sec. 64. Minnesota Statutes 2022, section 97A.475, subdivision 10a, is amended to read:
Subd. 10a. Walleye
stamp validation. A person may agree
to purchase a walleye stamp validation for $5 $6.
Sec. 65. Minnesota Statutes 2022, section 97A.475, subdivision 11, is amended to read:
Subd. 11. Fish houses, dark houses, and shelters; residents. Fees for the following licenses are:
(1) annual for a fish house,
dark house, or shelter that is not rented, $15 $18;
(2) annual for a fish house,
dark house, or shelter that is rented, $30 $36;
(3) three-year for a fish
house, dark house, or shelter that is not rented, $42 $51; and
(4) three-year for a fish
house, dark house, or shelter that is rented, $87 $105.
Sec. 66. Minnesota Statutes 2022, section 97A.475, subdivision 12, is amended to read:
Subd. 12. Fish houses, dark houses, and shelters; nonresident. Fees for fish house, dark house, and shelter licenses for a nonresident are:
(1) annual, $37 $49;
(2) seven consecutive days
selected by the licensee, $21 $28; and
(3) three-year, $111 $145.
Sec. 67. Minnesota Statutes 2022, section 97A.475, subdivision 13, is amended to read:
Subd. 13. Netting
whitefish and ciscoes for personal consumption.
The fee for a license to net whitefish and ciscoes in inland lakes
and international waters for personal consumption is, for each net, $10 $12.
Sec. 68. Minnesota Statutes 2022, section 97A.475, subdivision 41, is amended to read:
Subd. 41. Turtle
licenses license. (a)
The fee for a turtle seller's license to sell turtles and to take, transport,
buy, and possess turtles for sale is $250.
(b) The fee for a
recreational turtle license to take, transport, and possess turtles for
personal use is $25.
(c) The fee for a turtle
seller's apprentice license is $100.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 69. Minnesota Statutes 2022, section 97B.071, is amended to read:
97B.071 CLOTHING AND GROUND BLIND REQUIREMENTS; BLAZE ORANGE OR
BLAZE PINK.
(a) Except as provided in
rules adopted under paragraph (c) (d), a person may not hunt or
trap during the open season where deer may be taken by firearms under
applicable laws and ordinances, unless the visible portion of the person's cap
and outer clothing above the waist, excluding sleeves and gloves, is blaze orange
or blaze pink. Blaze orange or blaze
pink includes a camouflage pattern of at least 50 percent blaze orange or blaze
pink within each foot square. This
section does not apply to migratory-waterfowl hunters on waters of this state
or in a stationary shooting location or to trappers on waters of this state.
(b) Except as provided in rules
adopted under paragraph (c) (d), and in addition to the
requirement in paragraph (a), a person may not take small game other than
turkey, migratory birds, raccoons, and predators, except while trapping, unless
a visible portion of at least one article of the person's clothing above the
waist is blaze orange or blaze pink. This
paragraph does not apply to a person when in a stationary location while
hunting deer by archery or when hunting small game by falconry.
(c) A person in a fabric
or synthetic ground blind on public land must have:
(1) a blaze orange
safety covering on the top of the blind that is visible for 360 degrees around
the blind; or
(2) at least 144 square
inches of blaze orange material on each side of the blind.
(c) (d) The
commissioner may, by rule, prescribe an alternative color in cases where
paragraph (a) or (b) would violate the Religious Freedom Restoration Act of
1993, Public Law 103-141.
(d) (e) A
violation of paragraph (b) shall does not result in a penalty,
but is punishable only by a safety warning.
Sec. 70. Minnesota Statutes 2022, section 97B.301, subdivision 6, is amended to read:
Subd. 6. Residents
or nonresidents under age 18; taking either-sex deer. A resident or nonresident under the age
of 18 may take a deer of either sex except in those antlerless permit areas and
seasons where no antlerless permits are offered. In antlerless permit areas where no
antlerless permits are offered, the commissioner may provide a limited number
of youth either sex permits to residents or nonresidents under age 18, under
the procedures provided in section 97B.305, and may give preference to residents
or nonresidents under the age of 18 that have not previously been selected. This subdivision does not authorize the
taking of an antlerless a deer by another member of a party under
subdivision 3.
Sec. 71. Minnesota Statutes 2022, section 97B.516, is amended to read:
97B.516 PLAN FOR ELK MANAGEMENT.
(a) The commissioner
of natural resources must adopt an elk management plan that:
(1) recognizes the value and uniqueness of elk;
(2) provides for integrated management of an elk population in harmony with the environment; and
(3) affords optimum recreational opportunities.
(b) Notwithstanding
paragraph (a), the commissioner must not manage an elk herd in Kittson, Roseau,
Marshall, or Beltrami Counties in a manner that would increase the size of the
herd, including adoption or implementation of an elk management plan designed to
increase an elk herd, unless the commissioner of agriculture verifies that crop
and fence damages paid under section 3.7371 and attributed to the herd have not
increased for at least two years.
(c) At least 60 days
prior to implementing a plan to increase an elk herd, the commissioners of
natural resources and agriculture must hold a joint public meeting in the
county where the elk herd to be increased is located. At the meeting, the commissioners must
present evidence that crop and fence damages have not increased in the prior
two years and must detail the practices that will be used to reduce elk
conflicts with area landowners.
Sec. 72. Minnesota Statutes 2022, section 97B.668, is amended to read:
97B.668 GAME BIRDS ANIMALS CAUSING DAMAGE.
Subdivision 1. Game birds causing damage. Notwithstanding sections 97B.091 and 97B.805, subdivisions 1 and 2, a person or agent of that person on lands and nonpublic waters owned or operated by the person may nonlethally scare, haze, chase, or harass game birds that are causing property damage or to protect a disease risk at any time or place that a hunting season for the game birds is not open. This section does not apply to public waters as defined under section 103G.005, subdivision 15. This section does not apply to migratory waterfowl on nests and other federally protected game birds on nests, except ducks and geese on nests when a permit is obtained under section 97A.401.
Subd. 2. Deer
and elk causing damage. (a)
Notwithstanding section 97B.091, a property owner, the property owner's
immediate family member, or an agent of the property owner may nonlethally
scare, haze, chase, or harass deer or elk that are causing damage to
agricultural crops that are propagated under generally accepted agricultural
practices.
(b) Paragraph (a) applies
only:
(1) in the immediate area
of the crop damage; and
(2) during the closed
season for taking deer or elk.
(c) Paragraph (a) does
not allow:
(1) using poisons;
(2) using dogs;
(3) conduct that drives a
deer or elk to the point of exhaustion;
(4) activities that
require a permit under section 97A.401; or
(5) conduct that causes
the death of or that is likely to cause the death of a deer or elk.
(d) A property owner or
the owner's agent must report the death of a deer or elk to staff in the
Division of Fish and Wildlife within 24 hours of the death if the death
resulted from actions taken under paragraph (a).
Sec. 73. [97B.673]
NONTOXIC SHOT REQUIRED FOR TAKING SMALL GAME IN CERTAIN AREAS.
Subdivision 1. Nontoxic
shot on wildlife management areas in farmland zone. A person may not take small game,
rails, or common snipe on any wildlife management area within the farmland zone
with shot other than:
(1) steel shot;
(2) copper-plated,
nickel-plated, or zinc-plated steel shot; or
(3) shot made of other
nontoxic material approved by the director of the United States Fish and
Wildlife Service.
Subd. 2. Farmland
zone. For the purposes of
this section, the farmland zone is the portion of the state that falls south
and west of Minnesota Highway 70 westward from the Wisconsin border to
Minnesota Highway 65 to Minnesota Highway 23 to U.S. Highway 169 at Milaca to
Minnesota Highway 18 at Garrison to Minnesota Highway 210 at Brainerd to U.S. Highway
10 at Motley to U.S. Highway 59 at Detroit Lakes northward to the Canadian
border.
EFFECTIVE DATE. This
section is effective July 1, 2024.
Sec. 74. [97B.735]
SWANS.
A person who takes,
harasses, destroys, buys, sells, possesses, transports, or ships a native swan
in violation of the game and fish laws is guilty of a gross misdemeanor.
Sec. 75. Minnesota Statutes 2022, section 97C.087, subdivision 2, is amended to read:
Subd. 2. Application
for tag. Application for special
fish management tags must be accompanied by a $5 $6,
nonrefundable application fee for each tag.
A person may not make more than one tag application each calendar year. If a person makes more than one application,
the person is ineligible for a special fish management tag for that calendar
year after determination by the commissioner, without a hearing.
Sec. 76. Minnesota Statutes 2022, section 97C.315, subdivision 1, is amended to read:
Subdivision 1. Lines. An angler may not use more than one line, except that:
(1) two lines may be used
to take fish through the ice; and
(2) the commissioner may,
by rule, authorize the use of two lines in areas designated by the commissioner
in Lake Superior.; and
(3) two lines may be
used in the Minnesota River downstream of the Granite Falls Dam and in the
Mississippi River downstream of St. Anthony Falls.
Sec. 77. Minnesota Statutes 2022, section 97C.345, subdivision 1, is amended to read:
Subdivision 1. When
use prohibited. Except as
specifically authorized, a person may not take fish with a spear from the third
Monday in February to the Friday before the last Saturday in April and may not
take fish with a fish trap, net, dip net,
seine, or other device capable of taking fish from the third Monday in February
to through April 30.
Sec. 78. [97C.348]
FELT-SOLED WADERS.
A person may not use
felt-soled waders in waters of the state.
For purposes of this section "felt-soled waders" means boots
or shoes that have water-absorbing material affixed to the soles or bottoms.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 79. Minnesota Statutes 2022, section 97C.355, is amended by adding a subdivision to read:
Subd. 9. Placing
waste on ice prohibited. A
person using a fish house, dark house, or other shelter on the ice of state
waters is subject to section 97C.363.
Sec. 80. [97C.363]
STORING GARBAGE AND OTHER WASTE ON ICE.
Subdivision 1. Prohibition. A person using a shelter, a motor
vehicle, or any other conveyance on the ice of state waters may not deposit
garbage, rubbish, cigarette filters, debris from fireworks, offal, the body of
a dead animal, litter, sewage, or any other waste outside the shelter, motor
vehicle, or conveyance unless the material is:
(1) placed in a
container that is secured to the shelter, motor vehicle, or conveyance; and
(2) not placed directly
on the ice or in state waters.
Subd. 2. Definition. For purposes of this section,
"sewage" means excrementitious or other discharge from the bodies of
human beings or animals, together with such other water as may be present.
Subd. 3. Penalty. A violation of this section is a petty
misdemeanor, and a person who violates this section is subject to a civil
penalty of $100 for each violation.
Sec. 81. Minnesota Statutes 2022, section 97C.371, subdivision 1, is amended to read:
Subdivision 1. Species allowed. Only rough fish, catfish, lake whitefish, cisco (tulibee), and northern pike may be taken by spearing.
Sec. 82. Minnesota Statutes 2022, section 97C.371, subdivision 2, is amended to read:
Subd. 2. Dark houses required for certain species. Catfish, lake whitefish, cisco (tulibee), and northern pike may be speared only from dark houses.
Sec. 83. Minnesota Statutes 2022, section 97C.371, subdivision 4, is amended to read:
Subd. 4. Open
season. The open season for spearing
through the ice is November 15 to through the last Sunday in
February.
Sec. 84. Minnesota Statutes 2022, section 97C.395, subdivision 1, is amended to read:
Subdivision 1. Dates for certain species. (a) The open seasons to take fish by angling are as follows:
(1) for walleye, sauger,
northern pike, muskellunge, largemouth bass, and smallmouth bass, the Saturday
two weeks prior to the Saturday of Memorial Day weekend to through
the last Sunday in February;
(2) for lake trout, from
January 1 to through October 31;
(3) for the winter season for
lake trout, brown trout, brook trout, rainbow trout, and splake on all lakes
located outside or partially within the Boundary Waters Canoe Area, from
January 15 to through March 31;
(4) for the winter season for
lake trout, brown trout, brook trout, rainbow trout, and splake on all lakes
located entirely within the Boundary Waters Canoe Area, from January 1 to
through March 31;
(5) for brown trout, brook
trout, rainbow trout, and splake, between January 1 to through
October 31 as prescribed by the commissioner by rule except as provided in
section 97C.415, subdivision 2; and
(6) for salmon, as prescribed by the commissioner by rule.
(b) The commissioner shall close the season in areas of the state where fish are spawning and closing the season will protect the resource.
Sec. 85. Minnesota Statutes 2022, section 97C.601, subdivision 1, is amended to read:
Subdivision 1. Season. The open season for frogs is May 16 to
through March 31. The
commissioner may, by rule, establish closed seasons in specified areas.
Sec. 86. Minnesota Statutes 2022, section 97C.605, subdivision 1, is amended to read:
Subdivision 1. Resident
angling license required Taking turtles; requirements. In addition to any other license
required in this section, (a) A person may not take, possess, or
transport turtles without a resident angling license, except as provided in
subdivision 2c and a recreational turtle license.
(b) Turtles taken from the wild
are for personal use only and may not be resold.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 87. Minnesota Statutes 2022, section 97C.605, subdivision 2c, is amended to read:
Subd. 2c. License
exemptions. (a) A person does
not need a turtle seller's license or an angling license the licenses
specified under subdivision 1:
(1) when buying turtles
for resale at a retail outlet;
(1) when buying turtles
from a licensed aquatic farm or licensed private fish hatchery for resale at a
retail outlet or restaurant;
(2) when buying a turtle at a retail outlet;
(3) if the person is a
nonresident buying a turtle from a licensed turtle seller for export out of
state. Shipping documents provided by
the turtle seller must accompany each shipment exported out of state by a
nonresident. Shipping documents must
include: name, address, city, state, and
zip code of the buyer; number of each species of turtle; and name and license
number of the turtle seller; or
(4) (3) to
take, possess, and rent or sell up to 25 turtles greater than four
inches in length for the purpose of providing the turtles to participants at a
nonprofit turtle race, if the person is a resident under age 18. The person is responsible for the well-being
of the turtles.; or
(4) if under 16 years of
age when possessing turtles. Notwithstanding
any other law to the contrary, a person under the age of 16 may possess,
without a license, up to three snapping or western painted turtles, provided
the turtles are possessed for personal use and are within the applicable length
and width requirements.
(b) A person with an
aquatic farm license with a turtle endorsement or a private fish hatchery
license with a turtle endorsement may sell, obtain, possess, transport, and
propagate turtles and turtle eggs without the licenses specified under
subdivision 1.
(c) Turtles possessed
under this subdivision may not be released back into the wild.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 88. Minnesota Statutes 2022, section 97C.605, subdivision 3, is amended to read:
Subd. 3. Taking;
methods prohibited. (a) A
person may not take turtles by using:
(1) explosives, drugs, poisons, lime, and other harmful substances;
(2) traps, except as
provided in paragraph (b) and rules adopted under this section;
(3) nets other than anglers' fish landing nets;
(4) commercial equipment,
except as provided in rules adopted under this section;
(5) firearms and ammunition;
(6) bow and arrow or crossbow; or
(7) spears, harpoons, or any other implements that impale turtles.
(b) Until new rules are adopted
under this section, a person with a turtle seller's license may take turtles
with a floating turtle trap that:
(1) has one or more openings
above the water surface that measure at least ten inches by four inches; and
(2) has a mesh size of
not less than one-half inch, bar measure.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 89. Minnesota Statutes 2022, section 97C.611, is amended to read:
97C.611 TURTLE SPECIES; LIMITS.
Subdivision 1. Snapping
turtles. A person may not possess
more than three snapping turtles of the species Chelydra serpentina without a turtle seller's license. Until new rules are adopted under section
97C.605, a person may not take snapping turtles of a size less than ten inches
wide including curvature, measured from side to side across the shell at
midpoint. After new rules are adopted
under section 97C.605, a person may only take snapping turtles of a size
specified in the adopted rules.
Subd. 2. Western
painted turtles. (a) A person may
not possess more than three Western painted turtles of the species Chrysemys picta without a turtle
seller's license. Western painted
turtles must be between 4 and 5-1/2 inches in shell length.
(b) This subdivision does
not apply to persons acting under section 97C.605, subdivision 2c, clause
(4) paragraph (a).
Subd. 3. Spiny
softshell. A person may not
possess spiny softshell turtles of the species Apalone spinifera after December 1, 2021, without an aquatic farm
or private fish hatchery license with a turtle endorsement.
Subd. 4. Other
species. A person may not possess
any other species of turtle without except with an aquatic farm
or private fish hatchery license with a turtle endorsement or as specified
under section 97C.605, subdivision 2c.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 90. Minnesota Statutes 2022, section 97C.836, is amended to read:
97C.836 LAKE SUPERIOR LAKE TROUT; EXPANDED ASSESSMENT HARVEST.
The commissioner shall provide
for taking of lake trout by licensed commercial operators in Lake Superior
management zones MN-3 and MN-2 for expanded assessment and sale. The commissioner shall authorize expanded
assessment taking and sale of lake trout in Lake Superior management zone MN-3
beginning annually in 2007 and zone MN-2 beginning annually in 2010. Total assessment taking and sale may not
exceed 3,000 lake trout in zone MN-3 and 2,000 lake trout in zone MN-2 and may
be reduced when necessary to protect the lake trout population or to manage the
effects of invasive species or fish disease.
Taking lake trout for expanded assessment and sale shall be allowed from
June 1 to through September 30, but may end earlier in the
respective zones if the quotas are reached.
The quotas must be reassessed at the expiration of the current ten-year
Fisheries Management Plan for the Minnesota Waters of Lake Superior.
Sec. 91. Minnesota Statutes 2022, section 103G.005, is amended by adding a subdivision to read:
Subd. 9c. Ecosystem
harm. "Ecosystem
harm" means to change the biological community and ecology in a manner
that results in loss of ecological structure or function.
Sec. 92. Minnesota Statutes 2022, section 103G.005, is amended by adding a subdivision to read:
Subd. 13b. Negative
impact to surface waters. "Negative
impact to surface waters" means a change in hydrology sufficient to cause
aquatic ecosystem harm or alter riparian uses long term.
Sec. 93. Minnesota Statutes 2022, section 103G.005, is amended by adding a subdivision to read:
Subd. 15i. Sustainable
diversion limit. "Sustainable
diversion limit" means a maximum amount of water that can be removed
directly or indirectly from a surface water body in a defined geographic area
on a monthly or annual basis without causing a negative impact to the surface
water body.
Sec. 94. [103G.134]
ORDERS AND INVESTIGATIONS.
The commissioner has the
following powers and duties when acting pursuant to the enforcement provisions
of this chapter:
(1) to adopt, issue,
reissue, modify, deny, revoke, enter into, or enforce reasonable orders,
schedules of compliance, and stipulation agreements;
(2) to issue notices of
violation;
(3) to require a person
holding a permit issued under this chapter or otherwise impacting the public
waters of the state without a permit issued under this chapter to:
(i) make reports;
(ii) install, use, and
maintain monitoring equipment or methods;
(iii) perform tests
according to methods, at locations, at intervals, and in a manner as the
commissioner prescribes; and
(iv) provide other
information as the commissioner may reasonably require; and
(4) to conduct
investigations; issue notices, public and otherwise; and order hearings as the
commissioner deems necessary or advisable to discharge duties under this
chapter, including but not limited to issuing permits and authorizing an
employee or agent appointed by the commissioner to conduct the investigations
and other authorities cited in this section.
Sec. 95. [103G.146]
DUTY OF CANDOR.
(a) A person must not
knowingly:
(1) make a false
statement of fact or fail to correct a false statement of material fact
regarding any matter pertaining to this chapter;
(2) fail to disclose
information that the person knows is necessary for the commissioner to make an
informed decision under this chapter; or
(3) offer information
that the person knows to be false.
(b) If a person has offered material information to the commissioner and the person comes to know the information is false, the person must take reasonable remedial measures to provide the accurate information.
Sec. 96. [103G.216]
REPORTING FISH KILLS IN PUBLIC WATERS.
Subdivision 1. Definition. For the purposes of this section and
section 103G.2165, "fish kill" means an incident resulting in the
death of 25 or more fish within one linear mile of a flowing water or 25 or
more fish within a square mile of a nonflowing water, excluding fish lawfully
taken under the game and fish laws.
Subd. 2. Reporting
requirement. A state or
county staff person or official who works with natural resources or agriculture
and who learns of a fish kill in public waters must report the location of the
fish kill to the Minnesota state duty officer within one hour of being notified
of a fish kill or within four hours of first observing the fish kill. The Minnesota state duty officer must alert
the Departments of Natural Resources and Health and the Pollution Control
Agency of the location of the fish kill within one hour of being notified of
the fish kill.
Sec. 97. [103G.2165]
DEVELOPMENT OF FISH KILL RESPONSE PROTOCOL.
Subdivision 1. Development
of protocol. By October 1,
2024, the commissioner of the Pollution Control Agency, in consultation with
the commissioners of health, natural resources, and agriculture, must update
the fish kill response guidance by developing a protocol. The protocol must consist of steps that state
agencies responding to a report of a fish kill under section 103G.216 must take
to ascertain on the basis of sound scientific evidence the factors contributing
to the fish kill, as well as a plan to notify the public of potential hazards. The protocol must address:
(1) the number and
species of fish and other aquatic creatures to be sampled from the body of
water in which the fish kill occurred;
(2) the locations from
which samples described in clause (1) should be taken;
(3) the number and
location of water samples to be taken from the body of water in which the fish
kill occurred as well as tributary streams and private wells with landowner
consent within a one-half-mile radius;
(4) the number and
location of soil and groundwater samples to be taken to ascertain whether
contaminants traveled overland or underground to reach the body of water in
which the fish kill occurred;
(5) sampling other
materials located near the area of the fish kill that should be done, including
but not limited to vegetation and manure, that may indicate the presence of
contaminants that may have contributed to the fish kill;
(6) developing a
comprehensive list of contaminants, including degradation products, for which
the materials sampled in clauses (3) to (5) should be tested;
(7) the appropriate
concentration limits to be used in testing samples for the presence of
contaminants, allowing for the possibility that the fish kill may have resulted
from the interaction of two or more contaminants present at concentrations
below the level associated with toxic effects resulting from exposure to each
individual chemical;
(8) proper handling,
storage, and treatment necessary to preserve the integrity of the samples
described in this subdivision to maximize the information the samples can yield
regarding the cause of the fish kill;
(9) the organs and other
parts of the fish and other aquatic creatures that should be analyzed to
maximize the information the samples can yield regarding the cause of the fish
kill;
(10) identifying a rapid
response team of interagency staff or an independent contractor with the
necessary data collection equipment that can travel to the site of the fish
kill to collect samples within 24 to 48 hours of the incident;
(11) a communications
plan with a health-risk assessment to notify potentially impacted downstream
users of the surface water of the potential hazards and those in the vicinity
whose public or private water supply from surface water or groundwater may be
impacted; and
(12) a process to identify
existing rules or regulatory processes that should be reviewed and potentially
revised in the fish kill investigation and report. Investigation reports for fish kills deemed
unnatural must identify the probable causes and include state agency
recommendations for preventing similar incidents in the future.
Subd. 2. Implementation. The commissioner of the Pollution
Control Agency must submit the protocol to the chairs and ranking minority members
of the legislative committees and divisions with jurisdiction over environment
and natural resources. Once the protocol
has been submitted, the state agencies must follow the protocol when responding
to a fish kill.
Subd. 3. Updating
protocol. The parties named
in subdivision 1 must review and update the protocol every five years.
Sec. 98. Minnesota Statutes 2022, section 103G.271, subdivision 6, is amended to read:
Subd. 6. Water-use permit; processing fee. (a) Except as described in paragraphs (b) to (g), a water-use permit processing fee must be prescribed by the commissioner in accordance with the schedule of fees in this subdivision for each water-use permit in force at any time during the year. Fees collected under this paragraph are credited to the water management account in the natural resources fund. The schedule is as follows, with the stated fee in each clause applied to the total amount appropriated:
(1) $140 for amounts not exceeding 50,000,000 gallons per year;
(2) $3.50 per 1,000,000 gallons for amounts greater than 50,000,000 gallons but less than 100,000,000 gallons per year;
(3) $4 per 1,000,000 gallons for amounts greater than 100,000,000
gallons but less than 150,000,000 gallons per year;
(4) $4.50 per 1,000,000 gallons for amounts greater than 150,000,000 gallons but less than 200,000,000 gallons per year;
(5) $5 per 1,000,000 gallons for amounts greater than 200,000,000
gallons but less than 250,000,000 gallons per year;
(6) $5.50 per 1,000,000 gallons for amounts greater than 250,000,000 gallons but less than 300,000,000 gallons per year;
(7) $6 per 1,000,000 gallons for amounts greater than 300,000,000
gallons but less than 350,000,000 gallons per year;
(8) $6.50 per 1,000,000 gallons for amounts greater than 350,000,000 gallons but less than 400,000,000 gallons per year;
(9) $7 per 1,000,000 gallons for amounts greater than 400,000,000
gallons but less than 450,000,000 gallons per year;
(10) $7.50 per 1,000,000 gallons for amounts greater than 450,000,000 gallons but less than 500,000,000 gallons per year; and
(11) $8 per 1,000,000 gallons for amounts greater than 500,000,000 gallons per year.
(b) For once-through cooling systems, a water-use processing fee must be prescribed by the commissioner in accordance with the following schedule of fees for each water-use permit in force at any time during the year:
(1) for nonprofit corporations and school districts, $200 per 1,000,000 gallons; and
(2) for all other users, $420 per 1,000,000 gallons.
(c) The fee is payable based on the amount of water appropriated during the year and, except as provided in paragraph (f), the minimum fee is $100.
(d) For water-use processing fees other than once-through cooling systems:
(1) the fee for a city of the first class may not exceed $250,000 per year;
(2) the fee for other entities for any permitted use may not exceed:
(i) $60,000 per year for an entity holding three or fewer permits;
(ii) $90,000 per year for an entity holding four or five permits; or
(iii) $300,000 per year for an entity holding more than five permits;
(3) the fee for agricultural irrigation may not exceed $750 per year;
(4) the fee for a municipality that furnishes electric service and cogenerates steam for home heating may not exceed $10,000 for its permit for water use related to the cogeneration of electricity and steam;
(5) the fee for a facility that temporarily diverts a water of the state from its natural channel to produce hydroelectric or hydromechanical power may not exceed $5,000 per year. A permit for such a facility does not count toward the number of permits held by an entity as described in this paragraph; and
(6) no fee is required for a project involving the appropriation of surface water to prevent flood damage or to remove flood waters during a period of flooding, as determined by the commissioner.
(e) Failure to pay the fee is sufficient cause for revoking a permit. A penalty of ten percent per month calculated from the original due date must be imposed on the unpaid balance of fees remaining 30 days after the sending of a second notice of fees due. A fee may not be imposed on an agency, as defined in section 16B.01, subdivision 2, or federal governmental agency holding a water appropriation permit.
(f) The minimum water-use processing fee for a permit issued for irrigation of agricultural land is $20 for years in which:
(1) there is no appropriation of water under the permit; or
(2) the permit is suspended for more than seven consecutive days between May 1 and October 1.
(g) The commissioner shall waive the water-use permit fee for installations and projects that use stormwater runoff or where public entities are diverting water to treat a water quality issue and returning the water to its source without using the water for any other purpose, unless the commissioner determines that the proposed use adversely affects surface water or groundwater.
(h) A surcharge of $30 $50
per million gallons in addition to the fee prescribed in paragraph (a) shall be
applied to the volume of water used in each of the months of May, June,
July, and August, and September that exceeds the volume of water
used in January for municipal water use, irrigation of golf courses, and
landscape irrigation. The surcharge for
municipalities with more than one permit shall be determined based on the total
appropriations from all permits that supply a common distribution system.
Sec. 99. Minnesota Statutes 2022, section 103G.287, subdivision 2, is amended to read:
Subd. 2. Relationship
to surface water resources. Groundwater
appropriations that will have negative impacts to surface waters are subject
to applicable provisions in section 103G.285 may be authorized only if
they avoid known negative impacts to surface waters. If the commissioner determines that
groundwater appropriations
are having a negative impact to
surface waters, the commissioner may use a sustainable diversion limit or other
relevant method, tools, or information to implement measures so that
groundwater appropriations do not negatively impact the surface waters.
Sec. 100. Minnesota Statutes 2022, section 103G.287, subdivision 3, is amended to read:
Subd. 3. Protecting
groundwater supplies. The
commissioner may establish water appropriation limits to protect groundwater
resources. When establishing water
appropriation limits to protect groundwater resources, the commissioner must
consider the sustainability of the groundwater resource, including the current
and projected water levels, cumulative withdrawal rates from the resource on
a monthly or annual basis, water quality, whether the use protects
ecosystems, and the ability of future generations to meet their own needs. The commissioner may consult with the
commissioners of health, agriculture, and the Pollution Control Agency and
other state entities when determining the impacts on water quality and
quantity.
Sec. 101. Minnesota Statutes 2022, section 103G.299, subdivision 1, is amended to read:
Subdivision 1. Authority to issue administrative penalty orders. (a) As provided in paragraph (b), the commissioner may issue an order requiring violations to be corrected and administratively assessing monetary penalties for violations of sections 103G.271 and 103G.275, and any rules adopted under those sections.
(b) An order under this section may be issued to a person for water appropriation activities without a required permit or for violating the terms of a required permit.
(c) The order must be issued as provided in this section and in accordance with the plan prepared under subdivision 12.
Sec. 102. Minnesota Statutes 2022, section 103G.299, subdivision 2, is amended to read:
Subd. 2. Amount
of penalty; considerations. (a) The
commissioner may issue orders assessing administrative penalties based on
potential for harm and deviation from compliance. For a violation that presents: up to
$40,000.
(1) a minor potential
for harm and deviation from compliance, the penalty will be no more than
$1,000;
(2) a moderate potential
for harm and deviation from compliance, the penalty will be no more than
$10,000; and
(3) a severe potential
for harm and deviation from compliance, the penalty will be no more than
$20,000.
(b) In determining the amount of a penalty the commissioner may consider:
(1) the gravity of the violation, including potential for, or real, damage to the public interest or natural resources of the state;
(2) the history of past violations;
(3) the number of violations;
(4) the economic benefit gained by the person by allowing or committing the violation based on data from local or state bureaus or educational institutions; and
(5) other factors as justice may require, if the commissioner specifically identifies the additional factors in the commissioner's order.
(c) For a violation after an initial violation, including a continuation of the initial violation, the commissioner must, in determining the amount of a penalty, consider the factors in paragraph (b) and the:
(1) similarity of the most recent previous violation and the violation to be penalized;
(2) time elapsed since the last violation;
(3) number of previous violations; and
(4) response of the person to the most recent previous violation identified.
Sec. 103. Minnesota Statutes 2022, section 103G.299, subdivision 5, is amended to read:
Subd. 5. Penalty. (a) Except as provided in paragraph (b), if the commissioner determines that the violation has been corrected or appropriate steps have been taken to correct the action, the penalty must be forgiven. Unless the person requests review of the order under subdivision 6 or 7 before the penalty is due, the penalty in the order is due and payable:
(1) on the 31st day after the order was received, if the person subject to the order fails to provide information to the commissioner showing that the violation has been corrected or that appropriate steps have been taken toward correcting the violation; or
(2) on the 20th day after the person receives the commissioner's determination under subdivision 4, paragraph (c), if the person subject to the order has provided information to the commissioner that the commissioner determines is not sufficient to show that the violation has been corrected or that appropriate steps have been taken toward correcting the violation.
(b) For repeated or
serious violations, the commissioner may issue an order with a penalty that is
not forgiven after the corrective action is taken. The penalty is due by 31 days after
the order was is received, unless review of the order under
subdivision 6 or 7 has been is sought.
(c) Interest at the rate
established in section 549.09 begins to accrue on penalties under this
subdivision on the 31st day after the order with the penalty was is
received.
Sec. 104. Minnesota Statutes 2022, section 103G.299, subdivision 10, is amended to read:
Subd. 10. Cumulative
remedy. The authority of the
commissioner to issue a corrective order assessing penalties is in addition to
other remedies available under statutory or common law, except that the
state may not seek civil penalties under any other provision of law for the
violations covered by the administrative penalty order. The payment of a penalty does not preclude
the use of other enforcement provisions, under which penalties are not
assessed, in connection with the violation for which the penalty was
assessed.
Sec. 105. [103G.2991]
PENALTIES; ENFORCEMENT.
Subdivision 1. Civil
penalties. (a) The
commissioner, according to section 103G.134, may issue a notice to a person who
violates:
(1) this chapter;
(2) a permit issued under
this chapter or a term or condition of a permit issued under this chapter;
(3) a duty under this
chapter to permit an inspection, entry, or monitoring activity or a duty under
this chapter to carry out an inspection or monitoring activity;
(4) a rule adopted under this
chapter;
(5) a stipulation agreement, variance, or schedule of compliance entered into under this chapter; or
(6) an order issued by
the commissioner under this chapter.
(b) A person issued a
notice forfeits and must pay to the state a penalty, in an amount to be
determined by the district court, of not more than $10,000 per day of
violation.
(c) In the discretion of
the district court, a defendant under this section may be required to:
(1) forfeit and pay to
the state a sum that adequately compensates the state for the reasonable value
of restoration, monitoring, and other expenses directly resulting from the
unauthorized use of or damage to natural resources of the state; and
(2) forfeit and pay to
the state an additional sum to constitute just compensation for any damage,
loss, or destruction of the state's natural resources and for other actual
damages to the state caused by an unauthorized use of natural resources of the
state.
(d) As a defense to
damages assessed under paragraph (c), a defendant may prove that the violation
was caused solely by:
(1) an act of God;
(2) an act of war;
(3) negligence on the
part of the state;
(4) an act or failure to act that constitutes sabotage or vandalism; or
(5) any combination of
clauses (1) to (4).
(e) The civil penalties
and damages provided for in this subdivision may be recovered by a civil action
brought by the attorney general in the name of the state in Ramsey County
District Court. Civil penalties and
damages provided for in this subdivision may be resolved by the commissioner
through a negotiated stipulation agreement according to the authority granted
to the commissioner in section 103G.134.
Subd. 2. Enforcement. This chapter and rules, standards,
orders, stipulation agreements, schedules of compliance, and permits adopted or
issued by the commissioner under this chapter or any other law for preventing,
controlling, or abating damage to natural resources may be enforced by one or
more of the following:
(1) criminal prosecution;
(2) action to recover civil penalties;
(3) injunction;
(4) action to compel
performance; or
(5) other appropriate
action according to this chapter.
Subd. 3. Injunctions. A violation of this chapter or rules,
standards, orders, stipulation agreements, variances, schedules of compliance,
and permits adopted or issued under this chapter constitutes a public nuisance
and may be enjoined as provided by law in an action, in the name of the state,
brought by the attorney general.
Subd. 4. Actions to compel performance. (a) In an action to compel performance of an order issued by the commissioner for any purpose related to preventing, controlling, or abating damage to natural resources under this chapter, the court may require a defendant adjudged responsible to do and perform any and all acts set forth in the commissioner's order and all things within the defendant's power that are reasonably necessary to accomplish the purposes of the order.
(b) If a municipality or its governing or managing body or any of its officers is a defendant, the court may require the municipality to exercise its powers, without regard to any limitation of a requirement for an election or referendum imposed thereon by law and without restricting the powers of the commissioner, to do any or all of the following, without limiting the generality hereof:
(1) levy taxes or
special assessments;
(2) prescribe service or
use charges;
(3) borrow money;
(4) issue bonds;
(5) employ assistance;
(6) acquire real or
personal property;
(7) let contracts;
(8) otherwise provide for doing work or constructing, installing, maintaining, or operating facilities; and
(9) do all acts and
things reasonably necessary to accomplish the purposes of the commissioner's
order.
(c) The court must grant
a municipality under paragraph (b) the opportunity to determine the appropriate
financial alternatives to be used to comply with the court-imposed
requirements.
(d) An action brought
under this subdivision must be venued in Ramsey County District Court.
Sec. 106. Minnesota Statutes 2022, section 103G.301, subdivision 2, is amended to read:
Subd. 2. Permit application and notification fees. (a) A fee to defray the costs of receiving, recording, and processing must be paid for a permit application authorized under this chapter, except for a general permit application, for each request to amend or transfer an existing permit, and for a notification to request authorization to conduct a project under a general permit. Fees established under this subdivision, unless specified in paragraph (c), must comply with section 16A.1285.
(b) Proposed projects that require water in excess of 100 million gallons per year must be assessed fees to recover the costs incurred to evaluate the project and the costs incurred for environmental review. Fees collected under this paragraph must be credited to an account in the natural resources fund and are appropriated to the commissioner.
(c) The fee to apply for a
permit to appropriate water, in addition to any fee under paragraph (b), is
$150. The application fee for a permit
to construct or repair a dam that is subject to a dam safety inspection, to
work in public waters, or to divert waters for mining must be at least $300
$1,200, but not more than $3,000 $12,000. The fee for a notification to request
authorization to conduct a project under a general permit is $100 $400.
Sec. 107. Minnesota Statutes 2022, section 103G.301, subdivision 6, is amended to read:
Subd. 6. Filing
application. An application for a
permit must be filed with the commissioner and. If the proposed activity for which the permit
is requested is within a municipality, or is within or affects a
watershed district or a soil and water conservation district, or is within
the boundaries of a reservation or Tribal community of a federally recognized
Indian Tribe in Minnesota, a copy of the application with maps, plans, and
specifications must be served on the mayor of the municipality, the secretary
of the board of managers of the watershed district, and the secretary of
the board of supervisors of the soil and water conservation district.,
or the Tribal chair of the federally recognized Indian Tribe, as applicable. For purposes of this section, "federally
recognized Indian Tribe" means the Minnesota Tribal governments listed in
section 10.65, subdivision 2.
Sec. 108. Minnesota Statutes 2022, section 103G.301, subdivision 7, is amended to read:
Subd. 7. Recommendation of local units of government and federally recognized Indian Tribes. (a) If the proposed activity for which the permit is requested is within a municipality, or is within or affects a watershed district or a soil and water conservation district, the commissioner may obtain a written recommendation of the managers of the district and the board of supervisors of the soil and water conservation district or the mayor of the municipality before issuing or denying the permit.
(b) The managers, supervisors, or mayor must file a recommendation within 30 days after receiving of a copy of the application for permit.
(c) If the proposed
activity for which the permit is requested is within the boundaries of a
reservation or Tribal community of a federally recognized Indian Tribe in
Minnesota, the federally recognized Indian Tribe may:
(1) submit recommendations to the commissioner within 30 days of receiving the application; or
(2) request Tribal
consultation according to section 10.65 within 30 days of receiving the
application.
(d) If Tribal
consultation is requested under paragraph (c), clause (2), a permit application
is not complete until after the consultation occurs or 90 days after the
request for consultation is made, whichever is sooner.
Sec. 109. Minnesota Statutes 2022, section 168.1295, subdivision 1, is amended to read:
Subdivision 1. General requirements and procedures. (a) The commissioner shall issue state parks and trails plates to an applicant who:
(1) is a registered owner of a passenger automobile, recreational vehicle, one-ton pickup truck, or motorcycle;
(2) pays a fee in the amount specified for special plates under section 168.12, subdivision 5;
(3) pays the registration tax required under section 168.013;
(4) pays the fees required under this chapter;
(5) contributes a minimum of
$60 $70 annually to the state parks and trails donation account
established in section 85.056; and
(6) complies with this chapter and rules governing registration of motor vehicles and licensing of drivers.
(b) The state parks and trails plate application must indicate that the contribution specified under paragraph (a), clause (5), is a minimum contribution to receive the plate and that the applicant may make an additional contribution to the account.
(c) State parks and trails plates may be personalized according to section 168.12, subdivision 2a.
Sec. 110. Minnesota Statutes 2022, section 171.07, is amended by adding a subdivision to read:
Subd. 20. Watercraft operator's permit. (a) The department must maintain in its records information transmitted electronically from the commissioner of natural resources identifying each person to whom the commissioner has issued a watercraft operator's permit. The records transmitted from the Department of Natural Resources must contain the full name and date of birth as required for the driver's license or identification card. Records that are not matched to a driver's license or identification card record may be deleted after seven years.
(b) After receiving information under paragraph (a) that a person has received a watercraft operator's permit, the department must include on all drivers' licenses or Minnesota identification cards subsequently issued to the person a graphic or written indication that the person has received the permit.
(c) If a person who has
received a watercraft operator's permit applies for a driver's license or
Minnesota identification card before that information has been transmitted to
the department, the department may accept a copy of the certificate as proof of
its issuance and must then follow the procedures in paragraph (b).
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 111. Minnesota Statutes 2022, section 297A.94, is amended to read:
297A.94 DEPOSIT OF REVENUES.
(a) Except as provided in this section, the commissioner shall deposit the revenues, including interest and penalties, derived from the taxes imposed by this chapter in the state treasury and credit them to the general fund.
(b) The commissioner shall deposit taxes in the Minnesota agricultural and economic account in the special revenue fund if:
(1) the taxes are derived from sales and use of property and services purchased for the construction and operation of an agricultural resource project; and
(2) the purchase was made on or after the date on which a conditional commitment was made for a loan guaranty for the project under section 41A.04, subdivision 3.
The commissioner of management and budget shall certify to the commissioner the date on which the project received the conditional commitment. The amount deposited in the loan guaranty account must be reduced by any refunds and by the costs incurred by the Department of Revenue to administer and enforce the assessment and collection of the taxes.
(c) The commissioner shall deposit the revenues, including interest and penalties, derived from the taxes imposed on sales and purchases included in section 297A.61, subdivision 3, paragraph (g), clauses (1) and (4), in the state treasury, and credit them as follows:
(1) first to the general obligation special tax bond debt service account in each fiscal year the amount required by section 16A.661, subdivision 3, paragraph (b); and
(2) after the requirements of clause (1) have been met, the balance to the general fund.
(d) Beginning with sales taxes remitted after July 1, 2017, the commissioner shall deposit in the state treasury the revenues collected under section 297A.64, subdivision 1, including interest and penalties and minus refunds, and credit them to the highway user tax distribution fund.
(e) The commissioner shall deposit the revenues, including interest and penalties, collected under section 297A.64, subdivision 5, in the state treasury and credit them to the general fund. By July 15 of each year the commissioner shall transfer to the highway user tax distribution fund an amount equal to the excess fees collected under section 297A.64, subdivision 5, for the previous calendar year.
(f) Beginning with sales taxes remitted after July 1, 2017, in conjunction with the deposit of revenues under paragraph (d), the commissioner shall deposit into the state treasury and credit to the highway user tax distribution fund an amount equal to the estimated revenues derived from the tax rate imposed under section 297A.62, subdivision 1, on the lease or rental for not more than 28 days of rental motor vehicles subject to section 297A.64. The commissioner shall estimate the amount of sales tax revenue deposited under this paragraph based on the amount of revenue deposited under paragraph (d).
(g) The commissioner shall deposit an amount of the remittances monthly into the state treasury and credit them to the highway user tax distribution fund as a portion of the estimated amount of taxes collected from the sale and purchase of motor vehicle repair and replacement parts in that month. The monthly deposit amount is $12,137,000. For purposes of this paragraph, "motor vehicle" has the meaning given in section 297B.01, subdivision 11, and "motor vehicle repair and replacement parts" includes (i) all parts, tires, accessories, and equipment incorporated into or affixed to the motor vehicle as part of the motor vehicle maintenance and repair, and (ii) paint, oil, and other fluids that remain on or in the motor vehicle as part of the motor vehicle maintenance or repair. For purposes of this paragraph, "tire" means any tire of the type used on highway vehicles, if wholly or partially made of rubber and if marked according to federal regulations for highway use.
(h) 72.43 78.06
percent of the revenues, including interest and penalties, transmitted to the
commissioner under section 297A.65, must be deposited by the commissioner in
the state treasury as follows:
(1) 50 percent of the receipts must be deposited in the heritage enhancement account in the game and fish fund, and may be spent only on activities that improve, enhance, or protect fish and wildlife resources, including conservation, restoration, and enhancement of land, water, and other natural resources of the state;
(2) 22.5 percent of the receipts must be deposited in the natural resources fund, and may be spent only for state parks and trails;
(3) 22.5 percent of the receipts must be deposited in the natural resources fund, and may be spent only on metropolitan park and trail grants;
(4) three percent of the receipts must be deposited in the natural resources fund, and may be spent only on local trail grants; and
(5) two percent of the receipts must be deposited in the natural resources fund, and may be spent only for the Minnesota Zoological Garden, the Como Park Zoo and Conservatory, and the Duluth Zoo.
(i) The revenue dedicated under paragraph (h) may not be used as a substitute for traditional sources of funding for the purposes specified, but the dedicated revenue shall supplement traditional sources of funding for those purposes. Land acquired with money deposited in the game and fish fund under paragraph (h) must be open to public hunting and fishing during the open season, except that in aquatic management areas or on lands where angling easements have been acquired, fishing may be prohibited during certain times of the year and hunting may be prohibited. At least 87 percent of the money deposited in the game and fish fund for improvement, enhancement, or protection of fish and wildlife resources under paragraph (h) must be allocated for field operations.
(j) The commissioner must deposit the revenues, including interest and penalties minus any refunds, derived from the sale of items regulated under section 624.20, subdivision 1, that may be sold to persons 18 years old or older and that are not prohibited from use by the general public under section 624.21, in the state treasury and credit:
(1) 25 percent to the volunteer fire assistance grant account established under section 88.068;
(2) 25 percent to the fire safety account established under section 297I.06, subdivision 3; and
(3) the remainder to the general fund.
For purposes of this paragraph, the percentage of total sales and use tax revenue derived from the sale of items regulated under section 624.20, subdivision 1, that are allowed to be sold to persons 18 years old or older and are not prohibited from use by the general public under section 624.21, is a set percentage of the total sales and use tax revenues collected in the state, with the percentage determined under Laws 2017, First Special Session chapter 1, article 3, section 39.
(k) The revenues deposited under paragraphs (a) to (j) do not include the revenues, including interest and penalties, generated by the sales tax imposed under section 297A.62, subdivision 1a, which must be deposited as provided under the Minnesota Constitution, article XI, section 15.
Sec. 112. HOUSTON
OHV TRAIL; REPORT.
By January 15, 2024, the
commissioner of natural resources must submit a report to the chairs and
ranking minority members of the legislative committees and divisions with
jurisdiction over environment and natural resources providing a brief history
of the efforts to establish an off-highway vehicle trail in Houston County, the
current status, and next steps.
Sec. 113. STATE
PARK LICENSE PLATE DESIGN CONTEST.
The commissioner of
natural resources must hold a license plate design contest to design a new
state park license plate available under Minnesota Statutes, section 168.1295,
subdivision 1.
Sec. 114. UPPER
SIOUX AGENCY STATE PARK; LAND TRANSFER.
(a) The commissioner of
natural resources must convey for no consideration all state-owned land within
the boundaries of Upper Sioux Agency State Park to the Upper Sioux Community.
(b) Upon approval by the
Minnesota Historical Society's Executive Council, the Minnesota Historical
Society may convey for no consideration state-owned land and real property in
the Upper Sioux Agency Historic Site, as defined in Minnesota Statutes, section
138.662, subdivision 33, to the Upper Sioux Community. In cooperation with the commissioner of
natural resources, the Minnesota Historical Society must identify any funding
restrictions or other legal barriers to conveying the land.
(c) By January 15, 2024,
the commissioner, in cooperation with the Minnesota Historical Society, must
submit a report to the chairs and ranking minority members of the legislative
committees with jurisdiction over environment and natural resources that identifies
all barriers to conveying land within Upper Sioux Agency State Park and
recommendations for addressing those barriers, including any legislation needed
to eliminate those barriers.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 115. REQUIRED
RULEMAKING.
Subdivision 1. Snowmobile
registration. (a) The
commissioner of natural resources must amend Minnesota Rules as follows:
(1) part 6100.5000, subpart 1,
by striking the last sentence and inserting "The registration number
remains the same if renewed by July 1 following the expiration date."; and
(2) part 6100.5700,
subpart 1, item C, by striking the reference to registration numbers.
(b) The commissioner may
use the good-cause exemption under Minnesota Statutes, section 14.388,
subdivision 1, clause (3), to adopt rules under this section, and Minnesota
Statutes, section 14.386, does not apply except as provided under Minnesota
Statutes, section 14.388.
Subd. 2. Walk-in
access program. The
commissioner of natural resources must amend Minnesota Rules, part 6230.0250,
subpart 10, item A, subitem (2), to replace the word "hunter" with
"person." The commissioner may
use the good cause exempt rulemaking procedure under Minnesota Statutes,
section 14.388, subdivision 1, clause (3), and Minnesota Statutes, section
14.386, does not apply.
Sec. 116. REGISTRATION
DECAL FORMAT TRANSITION.
Separately displaying
registration numbers is not required when a larger-format registration decal as
provided under Minnesota Statutes, section 84.82, subdivision 2, is displayed
according to Minnesota Statutes, section 84.82, subdivision 3b. Snowmobiles displaying valid but older,
smaller-format registration decals must display the separate registration
numbers. Persons may obtain duplicate
registration decals in the new, larger format, when available, without being
required to display the separate registration numbers.
Sec. 117. REPORT
ON OPTIONS FOR FUNDING ADDITIONAL LAW ENFORCEMENT ON ICE OF STATE WATERS.
By January 1, 2024, the
commissioner of natural resources must report to the chairs and ranking
minority members of the legislative committees and divisions with jurisdiction
over environment and natural resources on options for funding additional enforcement
of state laws on the ice of state waters.
The commissioner must work with the Minnesota Sheriffs' Association and
other stakeholders in generating the report, which must include options and
recommendations related to potential funding sources, funding levels, and
allocation of funding between the various enforcement agencies.
Sec. 118. ENFORCEMENT
OFFICER BARGAINING UNITS; REPORT.
By September 1, 2023, the
commissioner of natural resources must submit a report to the chairs and
ranking minority members of the legislative committees and divisions with
jurisdiction over environment and natural resources that provides a status
update on the collective bargaining agreement for law enforcement supervisors
in response to Laws 2022, chapter 80, section 3.
Sec. 119. REPORT
ON FERAL PIGS AND MINK.
By February 15, 2024, the
commissioner of natural resources, in cooperation with the Board of Animal
Health and the commissioners of agriculture and health, must submit a report to
the chairs and ranking minority members of the legislative committees with
jurisdiction over agriculture and environment and natural resources that:
(1) identifies the
responsibilities of the Board of Animal Health and the commissioners of natural
resources, health, and agriculture for managing feral pigs and mink;
(2) identifies any need
to clarify or modify responsibilities for feral pig and mink management; and
(3) includes policy
recommendations for managing feral pigs and mink to further prevent negative
impacts on the environment and human health.
Sec. 120. TURTLE
SELLER'S LICENSES; TRANSFER AND RENEWAL.
The commissioner of
natural resources must not renew or transfer a turtle seller's license after
the effective date of this section.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 121. SWAN
RESTITUTION VALUES; RULE AMENDMENTS.
(a) The commissioner of
natural resources must amend Minnesota Rules, part 6133.0030, to increase the
restitution value of a tundra swan from $200 to $1,000 and the restitution
value of a trumpeter swan from $1,000 to $2,500.
(b) The commissioner may
use the good cause exemption under Minnesota Statutes, section 14.388,
subdivision 1, clause (3), to adopt rules under this section, and Minnesota
Statutes, section 14.386, does not apply except as provided under Minnesota
Statutes, section 14.388.
Sec. 122. NATIVE
FISH CONSERVATION; REPORTS.
(a) By August 1, 2023,
the commissioner of natural resources must submit a written update on the
progress of identifying necessary protection and conservation measures for
native fish currently defined as rough fish under Minnesota Statutes, section
97A.015, subdivision 43, including buffalo, sucker, sheepshead, bowfin, gar,
goldeye, and bullhead to the chairs and ranking minority members of the house
of representatives and senate committees and divisions with jurisdiction over
environment and natural resources.
(b) By December 15,
2023, the commissioner of natural resources must submit a written report with
recommendations for statutory and rule changes to provide necessary protection
and conservation measures and research needs for native fish currently designated
as rough fish to the chairs and ranking minority members of the house of
representatives and senate committees and divisions with jurisdiction over
environment and natural resources. The
report must include recommendations for amending Minnesota Statutes to
separately classify fish that are native to Minnesota and that are currently
designated as rough fish and invasive fish that are currently designated as
rough fish. For the purposes of this
paragraph, native fish include but are not limited to bowfin (Amia calva), bigmouth buffalo (Ictiobus cyprinellus), smallmouth
buffalo (Ictiobus bubalus), burbot (Lota lota), longnose gar (Lepisosteus osseus), shortnose gar (Lepisosteus platostomus), goldeye (Hiodon alosoides), mooneye (Hiodon tergisus), and white sucker (Catostomus commersonii), and invasive
fish include but are not limited to bighead carp (Hypophthalmichthys nobilis), grass carp (Ctenopharyngodon idella), and silver carp (Hypophthalmichthys molitrix).
Sec. 123. STATE
TRAILS; REPORT.
By January 15, 2024, the
commissioner of natural resources must submit a report the chairs and ranking
minority members of the house of representatives and senate committees and
divisions with jurisdiction over environment and natural resources on state-authorized
trails that:
(1) identifies state
trails authorized under Minnesota Statutes;
(2) identifies state
trails that have been built and what is left to build;
(3) includes
recommendations for removing any authorized trails that cannot be built; and
(4) estimates the miles left
to complete the authorized trail system.
Sec. 124. WATER-USE
PERMITS; CITY OF LAKE ELMO.
(a) Notwithstanding any
other provision of law, the commissioner of natural resources may:
(1) issue permits
necessary for the city of Lake Elmo to construct and operate a new municipal
water supply well; and
(2) amend existing
water-use permits issued to the city of Lake Elmo to increase the authorized
volume of water that may be appropriated under the permits to a level
consistent with the amount anticipated to be needed each year according to a
water supply plan approved by the commissioner under Minnesota Statutes,
section 103G.291.
(b) Notwithstanding
paragraph (a), all new and amended water-use permits issued by the commissioner
to the city of Lake Elmo must contain the same water-use conservation and
planning measures required by law for municipal wells located wholly or
partially within the five-mile radius of White Bear Lake.
(c) This section expires
June 30, 2027.
Sec. 125. WHITE
BEAR LAKE AREA WATER-USE PERMIT MODIFICATION MORATORIUM.
(a) Except as provided
under paragraph (b), the commissioner of natural resources may not reduce the
total maximum amount of groundwater use permitted under a White Bear Lake area
water-use permit issued or amended before January 1, 2023.
(b) Notwithstanding
paragraph (a), the commissioner of natural resources may reduce the authorized
amount of groundwater use permitted or impose additional restrictions or
conditions if necessary to address emergency preparedness or other public
health and safety issues as determined by the commissioner.
(c) Except as provided
under paragraph (b), this section does not authorize the commissioner to reduce
or eliminate water-use conservation or planning conditions imposed on municipal
water appropriation permits for wells located wholly or partially within a
five-mile radius of White Bear Lake.
(d) For the purposes of
this section, "White Bear Lake area water-use permit" means a
water-use permit authorizing the use of groundwater from one or more municipal
wells located wholly or partially within a five-mile radius of White Bear Lake.
(e) This section expires
June 30, 2027.
Sec. 126. REVISOR
INSTRUCTION.
The revisor of statutes
must renumber the subdivisions of Minnesota Statutes, section 103G.005, listed
in column A to the references listed in column B. The revisor must make necessary
cross-reference changes in Minnesota Statutes and Minnesota Rules consistent
with the renumbering:
|
|
Column A |
Column B |
|
|
subdivision 9b |
subdivision 9d |
|
|
subdivision 13a |
subdivision 13c |
|
|
subdivision 15h |
subdivision 15j |
Sec. 127. REPEALER.
(a) Minnesota Statutes
2022, sections 84.033, subdivision 3; 84.944, subdivision 3; and 97A.145,
subdivision 2, are repealed.
(b) Minnesota Rules,
parts 6100.5000, subparts 3, 4, and 5; 6100.5700, subpart 4; and 6115.1220,
subpart 8, are repealed.
(c) Minnesota Statutes 2022,
sections 86B.101; 86B.305; and 86B.313, subdivisions 2 and 3, are repealed.
(d) Minnesota Rules,
part 6256.0500, subparts 2, 2a, 2b, 4, 5, 6, 7, and 8, are repealed.
(e) Minnesota Statutes
2022, section 97C.605, subdivisions 2, 2a, 2b, and 5, are repealed.
EFFECTIVE DATE. Paragraph
(c) is effective July 1, 2025, and paragraphs (d) and (e) are effective January 1,
2024.
ARTICLE 5
WATER AND SOIL RESOURCES
Section 1. Minnesota Statutes 2022, section 103B.101, subdivision 2, is amended to read:
Subd. 2. Voting members. (a) The members are:
(1) three county commissioners;
(2) three soil and water conservation district supervisors;
(3) three watershed district or watershed management organization representatives;
(4) three citizens who are not employed by, or the appointed or elected officials of, a state governmental office, board, or agency;
(5) one township officer;
(6) two elected city officials, one of whom must be from a city located in the metropolitan area, as defined under section 473.121, subdivision 2;
(7) the commissioner of agriculture;
(8) the commissioner of health;
(9) the commissioner of natural resources;
(10) the commissioner of the Pollution Control Agency; and
(11) the director of the University of Minnesota Extension Service.
(b) Members in paragraph (a), clauses (1) to (6), must be distributed across the state with at least four members but not more than six members from the metropolitan area, as defined by section 473.121, subdivision 2.
(c) Members in paragraph (a), clauses (1) to (6), are appointed by the governor. In making the appointments, the governor may consider persons recommended by the Association of Minnesota Counties, the Minnesota Association of Townships, the League of Minnesota Cities, the Minnesota Association of Soil and Water Conservation Districts, and the Minnesota Association of Watershed Districts. The list submitted by an association must contain at least three nominees for each position to be filled.
(d) The membership terms, compensation, removal of members and filling of vacancies on the board for members in paragraph (a), clauses (1) to (6), are as provided in section 15.0575, except that a member may be compensated at the rate of up to $125 a day.
Sec. 2. Minnesota Statutes 2022, section 103B.101, subdivision 9, is amended to read:
Subd. 9. Powers and duties. (a) In addition to the powers and duties prescribed elsewhere, the board shall:
(1) coordinate the water and soil resources planning and implementation activities of counties, soil and water conservation districts, watershed districts, watershed management organizations, and any other local units of government through its various authorities for approval of local plans, administration of state grants, contracts and easements, and by other means as may be appropriate;
(2) facilitate communication and coordination among state agencies in cooperation with the Environmental Quality Board, and between state and local units of government, in order to make the expertise and resources of state agencies involved in water and soil resources management available to the local units of government to the greatest extent possible;
(3) coordinate state and local interests with respect to the study in southwestern Minnesota under United States Code, title 16, section 1009;
(4) develop information and education programs designed to increase awareness of local water and soil resources problems and awareness of opportunities for local government involvement in preventing or solving them;
(5) provide a forum for the discussion of local issues and opportunities relating to water and soil resources management;
(6) adopt an annual budget and work program that integrate the various functions and responsibilities assigned to it by law; and
(7) report to the governor and the legislature by October 15 of each even-numbered year with an assessment of board programs and recommendations for any program changes and board membership changes necessary to improve state and local efforts in water and soil resources management.
(b) The board may accept
grants, gifts, donations, or contributions in money, services, materials, or
otherwise from the United States, a state agency, or other source to achieve an
authorized or delegated purpose. The
board may enter into a contract or agreement necessary or appropriate to
accomplish the transfer. The board may
conduct or participate in local, state, or federal programs or projects that
have as one purpose or effect the preservation or enhancement of water and soil
resources and may enter into and administer agreements with local governments
or landowners or their designated agents as part of those programs or projects. The board may receive and expend money to
acquire conservation easements, as defined in chapter 84C, on behalf of the
state and federal government consistent with the Camp Ripley's Army
Compatible Use Buffer Project, Sentinel Landscape program, or related
conservation programs. The board
may enter into agreements, including grant agreements, with Tribal nations,
federal agencies, higher education institutions, local governments, and private
sector organizations to carry out programs and other responsibilities
prescribed or allowed by statute.
(c) Any money received is hereby deposited in an account in a fund other than the general fund and appropriated and dedicated for the purpose for which it is granted.
Sec. 3. Minnesota Statutes 2022, section 103B.101, subdivision 16, is amended to read:
Subd. 16. Water
quality Conservation practices; standardized specifications. (a) The board of Water and Soil
Resources shall must work with state and federal agencies, Tribal
Nations, academic institutions, local governments, practitioners, and
stakeholders to foster mutual understanding and provide recommendations for
standardized specifications for water quality and soil conservation protection
and improvement practices and, projects., and
systems for:
(1) erosion or sedimentation
control;
(2) improvements to water
quality or water quantity;
(3) habitat restoration
and enhancement;
(4) energy conservation;
and
(5) climate adaptation,
resiliency, or mitigation.
(b) The board may convene working groups or work teams to develop information, education, and recommendations.
Sec. 4. Minnesota Statutes 2022, section 103B.101, is amended by adding a subdivision to read:
Subd. 18. Guidelines
for establishing and enhancing native vegetation. (a) The board must work with state and
federal agencies, Tribal Nations, academic institutions, local governments,
practitioners, and stakeholders to foster mutual understanding and to provide
recommendations for standardized specifications to establish and enhance native
vegetation to provide benefits for:
(1) water quality;
(2) soil conservation;
(3) habitat enhancement;
(4) energy conservation;
and
(5) climate adaptation,
resiliency, or mitigation.
(b) The board may convene
working groups or work teams to develop information, education, and
recommendations.
Sec. 5. Minnesota Statutes 2022, section 103B.103, is amended to read:
103B.103 EASEMENT STEWARDSHIP ACCOUNTS.
Subdivision 1. Accounts established; sources. (a) The water and soil conservation easement stewardship account and the mitigation easement stewardship account are created in the special revenue fund. The accounts consist of money credited to the accounts and interest and other earnings on money in the accounts. The State Board of Investment must manage the accounts to maximize long-term gain.
(b) Revenue from
contributions and money appropriated for any purposes of the account as
described in subdivision 2 must be deposited in the water and soil conservation
easement stewardship account. Revenue
from contributions, wetland banking mitigation fees designated
for stewardship purposes by the board, easement stewardship payments authorized
under subdivision 3, and money appropriated for any purposes of the account as
described in subdivision 2 must be deposited in the mitigation easement stewardship
account.
Subd. 2. Appropriation;
purposes of accounts. Five percent
of the balance on July 1 each year in the water and soil conservation easement
stewardship account and five percent of the balance on July 1 each year in the
mitigation easement stewardship account are annually appropriated to the board
and may be spent only to cover the costs of managing easements held by
the board, including costs associated with:
(1) repairing or replacing
structures;
(2) monitoring,;
(3) landowner
contacts,;
(4) records storage
and management,;
(5) processing
landowner notices,;
(6) requests for
approval or amendments,;
(7) enforcement,;
and
(8) legal services associated with easement management activities.
Subd. 3. Financial
contributions. The board shall seek
a financial contribution to the water and soil conservation easement
stewardship account for each conservation easement acquired by the board. The board shall seek a financial contribution
or assess an easement stewardship payment to the mitigation easement
stewardship account for each wetland banking mitigation easement
acquired by the board. Unless otherwise
provided by law, the board shall determine the amount of the contribution or
payment, which must be an amount calculated to earn sufficient money to meet
the costs of managing the easement at a level that neither significantly
overrecovers nor underrecovers the costs.
In determining the amount of the financial contribution, the board shall
consider:
(1) the estimated annual staff hours needed to manage the conservation easement, taking into consideration factors such as easement type, size, location, and complexity;
(2) the average hourly wages for the class or classes of state and local employees expected to manage the easement;
(3) the estimated annual travel expenses to manage the easement;
(4) the estimated annual miscellaneous costs to manage the easement, including supplies and equipment, information technology support, and aerial flyovers;
(5) the estimated annualized costs of legal services, including the cost to enforce the easement in the event of a violation;
(6) the estimated annualized costs for repairing or replacing water control structures; and
(6) (7) the
expected rate of return on investments in the account.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 6. [103B.104]
LAWNS TO LEGUMES PROGRAM.
(a) The Board of Water
and Soil Resources may provide financial and technical assistance to plant
residential landscapes and community spaces with native vegetation and
pollinator-friendly forbs and legumes to protect a diversity of pollinators
with declining populations, providing additional benefits for water management,
carbon sequestration, and landscape resiliency.
(b) The board must establish
criteria for grants or payments awarded under this section. Grants or payments awarded under this section
may give priority consideration for proposals in areas identified by the United
States Fish and Wildlife Service as areas where there is a high potential for
rusty patched bumble bees and other priority species to be present.
(c) The board may
collaborate with and enter into agreements with federal, state, and local
agencies; Tribal Nations; and other nonprofit organizations and contractors to
implement and promote the program.
Sec. 7. [103B.105]
HABITAT-FRIENDLY UTILITIES PROGRAM.
(a) The Board of Water
and Soil Resources may provide financial and technical assistance to promote
the successful establishment of native vegetation as part of utility projects,
including solar and wind projects, pipelines, and electrical transmission corridors,
to:
(1) ensure the integrity
and resiliency of Minnesota landscapes; and
(2) protect habitat and
water resources.
(b) The board must
establish criteria for grants or payments awarded under this section. Grants or payments awarded under this section
may prioritize proposals in areas identified by state and federal agencies and
conservation partners for protecting high-priority natural resources and
wildlife species.
(c) The board may
collaborate with and enter into agreements with federal, state, and local
agencies; Tribal Nations; utility companies; nonprofit organizations; and
contractors to implement and promote the program.
Sec. 8. [103B.106]
HABITAT ENHANCEMENT LANDSCAPE PROGRAM.
(a) The Board of Water
and Soil Resources may provide financial and technical assistance to establish
or enhance areas of diverse native vegetation to:
(1) support declining
populations of bees, butterflies, dragonflies, birds, and other wildlife
species that are essential for ecosystems and food production across
conservation lands, open spaces, and natural areas; and
(2) provide additional
benefits for water management, carbon sequestration, and landscape and climate
resiliency.
(b) The board must
establish criteria for grants or payments awarded under this section. Grants or payments awarded under this section
may prioritize proposals in areas identified by state and federal agencies and
conservation partners as high priority for protecting endangered or threatened
pollinator and other species.
(c) The board may
collaborate with and enter into agreements with federal, state, and local
agencies; Tribal Nations; nonprofit organizations; and contractors to implement
and promote the program.
Sec. 9. Minnesota Statutes 2022, section 103C.501, subdivision 1, is amended to read:
Subdivision 1. Cost-share
Program authorization. The
state board may allocate available funds to districts to share the cost of
systems or for practices, projects, and systems for:
(1) erosion or
sedimentation control or;
(2) improvements to
water quality improvement that are designed to protect and improve soil and
water resources. or water quantity;
(3) habitat enhancement;
(4) plant biodiversity;
(5) energy conservation;
or
(6) climate adaptation,
resiliency, or mitigation.
Sec. 10. Minnesota Statutes 2022, section 103C.501, subdivision 4, is amended to read:
Subd. 4. Cost-sharing
Use of funds. (a) The
state board shall allocate cost-sharing funds to areas with high‑priority
erosion, sedimentation, or water quality problems or water quantity problems
due to altered hydrology. The areas must
be selected based on priorities established by the state board.
(b) The allocated
funds must be used for:
(1) for conservation practices
for high-priority problems activities, including technical and financial
assistance, identified in the comprehensive and annual work plans of the
districts, for the technical assistance portion of the grant funds state-approved
plans that are related to water and natural resources and established under
chapters 103B, 103C, 103D, 103F, 103G, and 114D;
(2) to leverage
federal or other nonstate funds,; or
(3) to address
high-priority needs identified in local water management plans or
comprehensive watershed management plans by the district based on public
input.
Sec. 11. Minnesota Statutes 2022, section 103C.501, subdivision 5, is amended to read:
Subd. 5. Contracts
by districts. (a) A district board
may contract on a cost-share basis to furnish financial aid to provide
technical and financial assistance to a land occupier or to a state or
federal agency for permanent systems practices and projects
for:
(1) erosion or
sedimentation control or;
(2) improvements to
water quality or water quantity improvements that are consistent with the
district's comprehensive and annual work plans.;
(3) habitat enhancement;
(4) plant biodiversity;
(5) energy conservation;
or
(6) climate adaptation,
resiliency, or mitigation.
(b) A district board,
with approval from the state board and, consistent with state board
rules and policies, may contract on a cost-share basis to furnish financial
aid to a land occupier for to provide technical and financial assistance
for structural and nonstructural land management practices that
are part of a planned erosion control or water quality improvement plan and
projects.
(c) The duration of the
contract must, at a minimum, be the time required to complete the planned
systems. A contract must specify that
the land occupier is liable for monetary damages and penalties in an amount up
to 150 percent of the financial assistance received from the district, for
failure to complete the systems or practices in a timely manner or maintain the
systems or practices as specified in the contract.
(d) A contract may
provide for cooperation or funding with federal agencies. A land occupier or state agency may provide
the cost-sharing portion of the contract through services in kind.
(e) (c) The
state board or the district board may not furnish any financial aid
assistance for practices designed only to increase land productivity.
(f) (d) When
a district board determines that long-term maintenance of a system or
practice is desirable, the district or the state board may require that
maintenance be made a covenant upon the land for the effective life of the
practice. A covenant under this
subdivision shall be construed in the same manner as a conservation restriction
under section 84.65.
Sec. 12. Minnesota Statutes 2022, section 103C.501, subdivision 6, is amended to read:
Subd. 6. Policies
and rules. (a) The state
board may adopt rules and shall adopt policies prescribing:
(1) procedures and criteria
for allocating funds for cost-sharing contracts; and
(2) standards and
guidelines for cost-sharing implementing the conservation
contracts; program.
(3) the scope and
content of district comprehensive plans, plan amendments, and annual work
plans;
(4) standards and
methods necessary to plan and implement a priority cost-sharing program,
including guidelines to identify high priority erosion, sedimentation, and
water quality problems and water quantity problems due to altered hydrology;
(5) the share of the
cost of conservation practices to be paid from cost-sharing funds; and
(6) requirements for
districts to document their efforts to identify and contact land occupiers with
high priority problems.
(b) The rules may
provide that cost sharing may be used for windbreaks and shelterbelts for the
purposes of energy conservation and snow protection.
Sec. 13. Minnesota Statutes 2022, section 103C.501, is amended by adding a subdivision to read:
Subd. 7. Inspections. The district or the district's
delegate must conduct site inspections of conservation practices installed to
determine if the land occupier is in compliance with design, operation, and
maintenance specifications.
Sec. 14. Minnesota Statutes 2022, section 103D.605, subdivision 5, is amended to read:
Subd. 5. Establishment
order. After the project hearing, if
the managers find that the project will be conducive to public health, will
promote the general welfare, and is in compliance complies with
the watershed management plan and the provisions of this chapter, the board
managers must, by order, establish the project. The establishment order must include the
findings of the managers.
Sec. 15. [103E.122]
DRAINAGE REGISTRY INFORMATION PORTAL.
(a) By December 31, 2023,
the executive director of the Board of Water and Soil Resources must establish
and permanently maintain a drainage registry information portal that includes a
publicly searchable electronic database.
The portal must allow a drainage authority to electronically submit
information on:
(1) a petitioned drainage
project; and
(2) a petition or order
for reestablishment of records.
(b) Within ten days of appointing
an engineer for a petitioned drainage project or within ten days of a finding
that a record is incomplete under section 103E.101, subdivision 4a, paragraph
(a), a drainage authority must file the following information with the Board of
Water and Soil Resources through the registry information portal established
under paragraph (a):
(1) the name of the
drainage authority;
(2) whether the filing
results from a petitioned drainage project or a petition or order for
reestablishment of records;
(3) the date that the
petition or order was filed;
(4) information for a
local contact that can provide additional information; and
(5) a copy of the filed
petition or order.
(c) A drainage authority
may not take further action on a petitioned drainage project or a petition or
order for reestablishment of records until the information under paragraph (b)
is available for public viewing on the registry information portal.
(d) The registry
information portal must allow members of the public to electronically search
for and retrieve information by the data fields specified in paragraph (b),
clauses (1) to (5).
Sec. 16. [103F.06]
SOIL HEALTH PRACTICES PROGRAM.
Subdivision 1. Definitions. (a) In this section, the following
terms have the meanings given:
(1) "board"
means the Board of Water and Soil Resources;
(2) "local units of
government" has the meaning given under section 103B.305, subdivision 5;
and
(3) "soil
health" has the meaning given under section 103C.101, subdivision 10a.
Subd. 2. Establishment. (a) The board must administer a
financial and technical support program to produce soil health practices that
achieve water quality, soil productivity, climate change resiliency, or carbon
sequestration benefits or reduce pesticide and fertilizer use.
(b) The program must
include but is not limited to no till, field borders, prairie strips, cover
crops, and other practices sanctioned by the board or the United States
Department of Agriculture's Natural Resources Conservation Service.
Subd. 3. Financial
and technical assistance. (a)
The board may provide financial and technical support to local units of
government, private sector organizations, and farmers to establish soil health
practices and related practices with climate and water-quality benefits.
(b) The board must establish
practices and costs that are eligible for financial and technical support under
this section.
Subd. 4. Program
implementation. (a) The board
may employ staff or enter into external agreements to implement this section.
(b) The board must assist
local units of government in achieving the objectives of the program, including
assessing practice standards and program effectiveness.
Subd. 5. Federal
aid availability. The board
must regularly review and optimize the availability of federal funds and
programs to supplement or complement state and other efforts consistent with
the purposes of this section.
Subd. 6. Soil
health practices. The board,
in consultation with the commissioner of agriculture, may cooperate with the
United States Department of Agriculture, other federal and state agencies,
local governments, and private sector organizations to establish soil health
goals for the state that will achieve water quality, soil productivity, climate
change resiliency, and carbon sequestration benefits and reduce pesticide and
fertilizer use.
Sec. 17. Minnesota Statutes 2022, section 103F.505, is amended to read:
103F.505 PURPOSE AND POLICY.
(a) It is the purpose
of sections 103F.505 to 103F.531 to restore certain marginal agricultural land
and protect environmentally sensitive areas to:
(1) enhance soil and
water quality,;
(2) minimize damage
to flood-prone areas,;
(3) sequester carbon,
and;
(4) support native
plant, fish, and wildlife habitats.; and
(5) establish perennial
vegetation.
(b) It is state
policy to encourage the:
(1) restoration of
wetlands and riparian lands and promote the retirement;
(2) restoration and
protection of marginal, highly erodible land, particularly land adjacent to
public waters, drainage systems, wetlands, and locally designated priority
waters.; and
(3) protection of
environmentally sensitive areas, including wellhead protection areas,
grasslands, peatlands, shorelands, karst geology, and forest lands in priority
areas.
Sec. 18. Minnesota Statutes 2022, section 103F.511, is amended by adding a subdivision to read:
Subd. 5a. Grasslands. "Grasslands" means
landscapes that are or were formerly dominated by grasses, that have a low
percentage of trees and shrubs, and that provide economic and ecosystem
services such as managed grazing, wildlife habitat, carbon sequestration, and water
filtration and retention.
Sec. 19. Minnesota Statutes 2022, section 103F.511, is amended by adding a subdivision to read:
Subd. 8d. Restored
prairie. "Restored
prairie" means a restoration that uses at least 25 representative and
biologically diverse native prairie plant species and that occurs on land that
was previously cropped or used as pasture.
Sec. 20. [103F.519]
REINVEST IN MINNESOTA WORKING LANDS PROGRAM.
Subdivision 1. Establishment. The board may establish and administer
a reinvest in Minnesota working lands program that is in addition to the
program established under section 103F.515.
Selecting land for the program must be based on the land's potential
for:
(1) protecting or
improving water quality;
(2) reducing erosion;
(3) improving soil
health;
(4) reducing chemical
inputs;
(5) improving carbon
storage; and
(6) increasing
biodiversity and habitat for fish, wildlife, and native plants.
Subd. 2. Applicability. Section 103F.515 applies to this
section except as otherwise provided in subdivisions 1, 3, and 4.
Subd. 3. Nature
of property rights acquired. Notwithstanding
section 103F.515, subdivision 4, paragraph (a), the board may authorize managed
haying and managed livestock grazing, perennial or winter annual cover crop
production, forest management, or other activities that the board determines
are consistent with section 103F.505 or appropriation conditions or criteria.
Subd. 4. Payments
for easements. The board must
establish payment rates for acquiring easements and for related practices. The board must consider market factors as
well as easement terms, including length and allowable uses, when establishing
rates.
Sec. 21. Minnesota Statutes 2022, section 103G.2242, subdivision 1, is amended to read:
Subdivision 1. Rules. (a) The board, in consultation with the commissioner, shall adopt rules governing the approval of wetland value replacement plans under this section and public-waters-work permits affecting public waters wetlands under section 103G.245. These rules must address the criteria, procedure, timing, and location of acceptable replacement of wetland values and may address the state establishment and administration of a wetland banking program for public and private projects, including provisions for an in-lieu fee program; mitigating and banking other water and water-related resources; the administrative, monitoring, and enforcement procedures to be used; and a procedure for the review and appeal of decisions under this section. In the case of peatlands, the replacement plan rules must consider the impact on carbon. Any in-lieu fee program established by the board must conform with Code of Federal Regulations, title 33, section 332.8, as amended.
(b) After the adoption of the rules, a replacement plan must be approved by a resolution of the governing body of the local government unit, consistent with the provisions of the rules or a comprehensive wetland protection and management plan approved under section 103G.2243.
(c) If the local government unit fails to apply the rules, or fails to implement a local comprehensive wetland protection and management plan established under section 103G.2243, the government unit is subject to penalty as determined by the board.
(d) When making a determination under rules adopted pursuant to this subdivision on whether a rare natural community will be permanently adversely affected, consideration of measures to mitigate any adverse effect on the community must be considered.
Sec. 22. REPEALER.
(a) Minnesota Statutes
2022, section 103C.501, subdivisions 2 and 3, are repealed.
(b) Minnesota Rules,
parts 8400.0500; 8400.0550; 8400.0600, subparts 4 and 5; 8400.0900, subparts 1,
2, 4, and 5; 8400.1650; 8400.1700; 8400.1750; 8400.1800; and 8400.1900, are
repealed.
ARTICLE 6
FARMED CERVIDAE
Section 1. Minnesota Statutes 2022, section 13.643, subdivision 6, is amended to read:
Subd. 6. Animal premises data. (a) Except for farmed Cervidae premises location data collected and maintained under section 35.155, the following data collected and maintained by the Board of Animal Health related to registration and identification of premises and animals under chapter 35, are classified as private or nonpublic:
(1) the names and addresses;
(2) the location of the premises where animals are kept; and
(3) the identification number of the premises or the animal.
(b) Except as provided in section 347.58, subdivision 5, data collected and maintained by the Board of Animal Health under sections 347.57 to 347.64 are classified as private or nonpublic.
(c) The Board of Animal Health may disclose data collected under paragraph (a) or (b) to any person, agency, or to the public if the board determines that the access will aid in the law enforcement process or the protection of public or animal health or safety.
Sec. 2. Minnesota Statutes 2022, section 17.118, subdivision 2, is amended to read:
Subd. 2. Definitions. (a) For the purposes of this section, the terms defined in this subdivision have the meanings given them.
(b) "Livestock" means beef cattle, dairy cattle, swine, poultry, goats, mules, farmed Cervidae, Ratitae, bison, sheep, horses, and llamas.
(c) "Qualifying expenditures" means the amount spent for:
(1) the acquisition, construction, or improvement of buildings or facilities for the production of livestock or livestock products;
(2) the development of pasture for use by livestock including, but not limited to, the acquisition, development, or improvement of:
(i) lanes used by livestock that connect pastures to a central location;
(ii) watering systems for livestock on pasture including water lines, booster pumps, and well installations;
(iii) livestock stream crossing stabilization; and
(iv) fences; or
(3) the acquisition of equipment for livestock housing, confinement, feeding, and waste management including, but not limited to, the following:
(i) freestall barns;
(ii) watering facilities;
(iii) feed storage and handling equipment;
(iv) milking parlors;
(v) robotic equipment;
(vi) scales;
(vii) milk storage and cooling facilities;
(viii) bulk tanks;
(ix) computer hardware and software and associated equipment used to monitor the productivity and feeding of livestock;
(x) manure pumping and storage facilities;
(xi) swine farrowing facilities;
(xii) swine and cattle finishing barns;
(xiii) calving facilities;
(xiv) digesters;
(xv) equipment used to produce energy;
(xvi) on-farm processing facilities equipment;
(xvii) fences, including but
not limited to farmed Cervidae perimeter fences required under section 35.155, subdivision
4 subdivisions 4 and 4a; and
(xviii) livestock pens and corrals and sorting, restraining, and loading chutes.
Except for qualifying pasture development expenditures under clause (2), qualifying expenditures only include amounts that are allowed to be capitalized and deducted under either section 167 or 179 of the Internal Revenue Code in computing federal taxable income. Qualifying expenditures do not include an amount paid to refinance existing debt.
Sec. 3. Minnesota Statutes 2022, section 35.155, subdivision 1, is amended to read:
Subdivision 1. Running at large prohibited. (a) An owner may not allow farmed Cervidae to run at large. The owner must make all reasonable efforts to return escaped farmed Cervidae to their enclosures as soon as possible. The owner must immediately notify the commissioner of natural resources of the escape of farmed Cervidae if the farmed Cervidae are not returned or captured by the owner within 24 hours of their escape.
(b) An owner is liable for expenses of another person in capturing, caring for, and returning farmed Cervidae that have left their enclosures if the person capturing the farmed Cervidae contacts the owner as soon as possible.
(c) If an owner is unwilling or unable to capture escaped farmed Cervidae, the commissioner of natural resources may destroy the escaped farmed Cervidae. The commissioner of natural resources must allow the owner to attempt to capture the escaped farmed Cervidae prior to destroying the farmed Cervidae. Farmed Cervidae that are not captured by 24 hours after escape may be destroyed.
(d) A hunter licensed by
the commissioner of natural resources under chapter 97A may kill and possess
escaped farmed Cervidae in a lawful manner and is not liable to the owner for
the loss of the animal. A licensed
hunter who harvests escaped farmed Cervidae under this paragraph must
immediately notify the commissioner of natural resources.
(e) Escaped farmed
Cervidae killed by a hunter or destroyed by the commissioner of natural
resources must be tested for chronic wasting disease.
(f) The owner is
responsible for proper disposal, as determined by the board, of farmed Cervidae
that are killed or destroyed under this subdivision and test positive for
chronic wasting disease.
(g) An owner is liable
for any additional costs associated with escaped farmed Cervidae that are
infected with chronic wasting disease. This
paragraph may be enforced by the attorney general on behalf of any state agency
affected.
EFFECTIVE DATE. This
section is effective September 1, 2023.
Sec. 4. Minnesota Statutes 2022, section 35.155, subdivision 4, is amended to read:
Subd. 4. Fencing. Farmed Cervidae must be confined in a
manner designed to prevent escape. Except
as provided in subdivision 4a, all perimeter fences for farmed Cervidae
must be at least 96 inches in height and be constructed and maintained in a way
that prevents the escape of farmed Cervidae or, entry into the
premises by free‑roaming Cervidae, and physical contact between farmed
Cervidae and free-roaming Cervidae. After
July 1, 2019, All new fencing installed and all fencing used to repair
deficiencies must be high tensile. By
December 1, 2019, All entry areas for farmed Cervidae enclosure areas must
have two redundant gates, which must be maintained to prevent the escape of
animals through an open gate. If a fence
deficiency allows entry or exit by farmed or wild Cervidae, the owner must
repair the deficiency within a reasonable time, as determined by the Board
of Animal Health, not to exceed 45 14 days. If a fence deficiency is detected during an
inspection, the facility must be reinspected at least once in the subsequent
three months. The farmed Cervidae owner
must pay a reinspection fee equal to one-half the applicable annual inspection
fee under subdivision 7a for each reinspection related to a fence violation. If the facility experiences more than one
escape incident in any six-month period or fails to correct a deficiency found
during an inspection, the board may revoke the facility's registration and
order the owner to remove or destroy the animals as directed by the board. If the board revokes a facility's
registration, the commissioner of natural resources may seize and destroy
animals at the facility.
EFFECTIVE DATE. This
section is effective September 1, 2024.
Sec. 5. Minnesota Statutes 2022, section 35.155, is amended by adding a subdivision to read:
Subd. 4a. Fencing;
commercial herds. In addition
to the requirements in subdivision 4, commercially farmed white-tailed deer
must be confined by two or more perimeter fences, with each perimeter fence at
least 120 inches in height.
EFFECTIVE DATE. This
section is effective September 1, 2024.
Sec. 6. Minnesota Statutes 2022, section 35.155, subdivision 10, is amended to read:
Subd. 10. Mandatory registration. (a) A person may not possess live Cervidae in Minnesota unless the person is registered with the Board of Animal Health and meets all the requirements for farmed Cervidae under this section. Cervidae possessed in violation of this subdivision may be seized and destroyed by the commissioner of natural resources.
(b) A person whose registration is revoked by the board is ineligible for future registration under this section unless the board determines that the person has undertaken measures that make future escapes extremely unlikely.
(c) The board must not
allow new registrations under this section for possessing white-tailed deer. This paragraph does not prohibit a person
holding a valid registration under this subdivision from selling or
transferring the person's registration to a family member who resides in this
state and is related to the person within the third degree of kindred according
to the rules of civil law. A valid
registration may be sold or transferred only once under this paragraph. Before the board approves a sale or transfer
under this paragraph, the board must verify that the herd is free from chronic
wasting disease and the person or eligible family member must pay a onetime
transfer fee of $500 to the board.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 7. Minnesota Statutes 2022, section 35.155, subdivision 11, is amended to read:
Subd. 11. Mandatory surveillance for chronic wasting disease; depopulation. (a) An inventory for each farmed Cervidae herd must be verified by an accredited veterinarian and filed with the Board of Animal Health every 12 months.
(b) Movement of farmed
Cervidae from any premises to another location must be reported to the Board of
Animal Health within 14 days of the movement on forms approved by the Board of
Animal Health. A person must not move
farmed white-tailed deer from a herd that tests positive for chronic wasting
disease from any premises to another location.
(c) All animals from farmed
Cervidae herds that are over 12 six months of age that die or are
slaughtered must be tested for chronic wasting disease.
(d) The owner of a premises where chronic wasting disease is detected must:
(1) allow and cooperate
with inspections of the premises as determined by the Board of Animal Health
and Department of Natural Resources conservation officers and wildlife
managers;
(1) (2) depopulate
the premises of Cervidae after the federal indemnification process has been
completed or, if an indemnification application is not submitted, within a
reasonable time determined by the board in consultation with the commissioner
of natural resources 30 days;
(2) (3) maintain
the fencing required under subdivision subdivisions 4 and 4a
on the premises for five ten years after the date of detection; and
(3) (4) post
the fencing on the premises with biohazard signs as directed by the board.;
(5) not raise farmed
Cervidae on the premises for at least ten years;
(6) before signing an
agreement to sell or transfer the property, disclose in writing to the buyer or
transferee the date of depopulation and the requirements incumbent upon the
premises and the buyer or transferee under this paragraph; and
(7) record with the county
recorder or registrar of titles, as appropriate, in the county where the
premises is located a notice, in the form required by the board, that meets the
recording requirements of sections 507.093 and 507.24 and includes the nearest
address and the legal description of the premises, the date of detection, the
date of depopulation, the landowner requirements under this paragraph, and any
other information required by the board.
The legal description must be the legal description of record with the
county recorder or registrar of titles and must not otherwise be the real
estate tax statement legal description of the premises. The notice expires and has no effect ten
years after the date of detection stated in the notice. The registrar of titles must omit an expired
notice from future certificates of title.
(e) An owner of farmed
Cervidae that test positive for chronic wasting disease is responsible for
proper disposal of the animals, as determined by the board.
Sec. 8. Minnesota Statutes 2022, section 35.155, is amended by adding a subdivision to read:
Subd. 11a. Liability. (a) A herd owner is liable in a civil
action to a person injured by the owner's sale or unlawful disposal of farmed
Cervidae infected with or exposed to chronic wasting disease. Action may be brought in a county where the
farmed Cervidae are sold, delivered, or unlawfully disposed.
(b) A herd owner is
liable to the state for costs associated with the owner's unlawful disposal of
farmed Cervidae infected with or exposed to chronic wasting disease. This paragraph may be enforced by the
attorney general on behalf of any state agency affected.
Sec. 9. Minnesota Statutes 2022, section 35.155, subdivision 12, is amended to read:
Subd. 12. Importation. (a) A person must not import live
Cervidae or Cervidae semen into the state from a herd that is:
(1) infected with or has been exposed to chronic wasting disease; or
(2) from a known
state or province where chronic wasting disease endemic area, as
determined by the board is present in farmed or wild Cervidae
populations.
(b) A person may
import live Cervidae or Cervidae semen into the state only from a
herd that:
(1) is not in a
known located in a state or province where chronic wasting disease endemic
area, as determined by the board, is present in farmed or wild Cervidae
populations; and the herd
(2) has been subject
to a state or provincial approved state- or provincial-approved
chronic wasting disease monitoring program for at least three years.
(c) Cervidae or Cervidae semen imported in violation of this section may be seized and destroyed by the commissioner of natural resources.
(d) This subdivision
does not apply to the interstate transfer of animals between two facilities
accredited by the Association of Zoos and Aquariums.
(e) Notwithstanding this
subdivision, the commissioner of natural resources may issue a permit allowing
the importation of orphaned wild cervid species that are not susceptible to
chronic wasting disease from another state to an Association of Zoos and Aquariums
accredited institution in Minnesota following a joint risk-based assessment
conducted by the commissioner and the institution.
Sec. 10. Minnesota Statutes 2022, section 35.156, subdivision 2, is amended to read:
Subd. 2. Federal fund account. (a) Money granted to the state by the federal government for purposes of chronic wasting disease must be credited to a separate account in the federal fund and, except as provided in paragraph (b), is annually appropriated to the commissioner of agriculture for the purposes for which the federal grant was made according to section 17.03.
(b) Money granted to the
state by the federal government for response to, and remediation of, farmed or
wild white-tailed deer infected with chronic wasting disease is annually
appropriated to the commissioner of natural resources according to section 84.085,
subdivision 1.
Sec. 11. Minnesota Statutes 2022, section 35.156, is amended by adding a subdivision to read:
Subd. 3. Consultation
required. The Board of Animal
Health and the commissioner of natural resources must consult the Minnesota
Center for Prion Research and Outreach at the University of Minnesota and
incorporate peer‑reviewed scientific information when administering and
enforcing section 35.155 and associated rules pertaining to chronic wasting
disease and farmed Cervidae.
Sec. 12. Minnesota Statutes 2022, section 35.156, is amended by adding a subdivision to read:
Subd. 4. Notice
required. The Board of Animal
Health must promptly notify affected local units of government and Tribal
governments when an animal in a farmed Cervidae herd tests positive for chronic
wasting disease.
Sec. 13. Minnesota Statutes 2022, section 35.156, is amended by adding a subdivision to read:
Subd. 5. Annual
testing required. (a)
Annually beginning July 1, 2023, the Board of Animal Health must have each
farmed white-tailed deer possessed by a person registered under section 35.155
tested for chronic wasting disease using a real-time quaking-induced conversion
(RT-QuIC) test offered by a public or private diagnostic laboratory. Live-animal testing must consist of an ear
biopsy, the collection of which must be managed by the Board of Animal Health,
with each laboratory reporting RT-QuIC results to both the commissioner of
natural resources and the Board of Animal Health in the form required by both
agencies. If a white-tailed deer tests
positive, the owner must have the animal tested a second time using an RT-QuIC
test performed on both a second ear biopsy and a tonsil or rectal biopsy.
(b) If a farmed
white-tailed deer tests positive using an RT-QuIC test performed on both a
second ear biopsy and a tonsil or rectal biopsy, the owner must have the animal
destroyed and tested for chronic wasting disease using a postmortem test
approved by the Board of Animal Health.
(c) If a farmed
white-tailed deer tests positive for chronic wasting disease under paragraph
(b), the owner must depopulate the premises of farmed Cervidae as required
under section 35.155, subdivision 11.
Sec. 14. TRANSFER
OF DUTIES; FARMED WHITE-TAILED DEER.
(a) Responsibility for
administering and enforcing the statutes and rules listed in clauses (1) and
(2) for farmed white-tailed deer are, except as provided in paragraph (c), transferred
pursuant to Minnesota Statutes, section 15.039, from the Board of Animal Health
to the commissioner of natural resources:
(1) Minnesota Statutes,
sections 35.153 to 35.156; and
(2) Minnesota Rules,
parts 1721.0370 to 1721.0420.
(b) The Board of Animal Health
retains responsibility for administering and enforcing the statutes and rules
listed in paragraph (a), clauses (1) and (2), for all other farmed Cervidae.
(c) Notwithstanding
Minnesota Statutes, section 15.039, subdivision 7, the transfer of personnel
will not take place.
EFFECTIVE DATE. This
section is effective July 1, 2025.
Sec. 15. REVISOR
INSTRUCTION.
The revisor of statutes
must recodify the relevant sections in Minnesota Statutes, chapter 35, and
Minnesota Rules, chapter 1721, as necessary to conform with section 14. The revisor must also change the responsible
agency, remove obsolete language, and make necessary cross-reference changes
consistent with section 14 and the renumbering.
ARTICLE 7
MISCELLANEOUS
Section 1. [3.8865]
LEGISLATIVE WATER COMMISSION.
Subdivision 1. Establishment. The Legislative Water Commission is
established.
Subd. 2. Membership. (a) The Legislative Water Commission
consists of 12 members appointed as follows:
(1) six members of the senate,
including three majority party members appointed by the majority leader and
three minority party members appointed by the minority leader; and
(2) six members of the
house of representatives, including three majority party members appointed by
the speaker of the house and three minority party members appointed by the
minority leader.
(b) Members serve at the
pleasure of the appointing authority and continue to serve until their
successors are appointed or until a member is no longer a member of the
legislative body that appointed the member to the commission. Vacancies must be filled in the same manner
as the original positions. Vacancies
occurring on the commission do not affect the authority of the remaining
members of the Legislative Water Commission to carry out the functions of the
commission.
(c) Members must elect a
chair, vice-chair, and other officers as determined by the commission. The chair may convene meetings as necessary
to perform the duties prescribed by this section.
Subd. 3. Commission
staffing. The Legislative
Coordinating Commission must employ staff and contract with consultants as
necessary to enable the Legislative Water Commission to carry out its duties
and functions.
Subd. 4. Powers
and duties. (a) The
Legislative Water Commission must review water policy reports and
recommendations of the Environmental Quality Board, the Board of Water and Soil
Resources, the Pollution Control Agency, the Department of Natural Resources,
and the Metropolitan Council and other water-related reports as may be required
by law or the legislature.
(b) The commission may
conduct public hearings and otherwise secure data and comments.
(c) The commission must
make recommendations as it deems proper to assist the legislature in
formulating legislation.
(d) Data or information
compiled by the Legislative Water Commission or its subcommittees must be made
available to the Legislative-Citizen Commission on Minnesota Resources, the
Clean Water Council, and standing and interim committees of the legislature
upon request of the chair of the respective commission, council, or committee.
(e) The commission must
coordinate with the Clean Water Council.
Subd. 5. Compensation. Members of the commission may receive
per diem and expense reimbursement incurred doing the work of the commission in
the manner and amount prescribed for per diem and expense payments by the
senate Committee on Rules and Administration and the house of representatives
Committee on Rules and Legislative Administration.
Subd. 6. Expiration. This section expires July 1, 2028.
Sec. 2. Minnesota Statutes 2022, section 18B.01, subdivision 31, is amended to read:
Subd. 31. Unreasonable adverse effects on the environment. "Unreasonable adverse effects on the environment" means any unreasonable risk to humans or the environment, taking into account the economic, social, and environmental costs and benefits of the use of any pesticide or seed treated with pesticide.
Sec. 3. [18B.075]
PESTICIDE-TREATED SEED.
A person may not use,
store, handle, distribute, or dispose of seed treated with pesticide in a
manner that:
(1) endangers humans,
food, livestock, fish, or wildlife; or
(2) will cause
unreasonable adverse effects on the environment.
Sec. 4. Minnesota Statutes 2022, section 18B.09, subdivision 2, is amended to read:
Subd. 2. Authority. (a) Statutory and home rule
charter cities may enact an ordinance, which may include penalty and
enforcement provisions, containing one or both of the following:
(1) the pesticide
application warning information contained in subdivision 3, including their
own licensing, penalty, and enforcement provisions; and
(2) the pesticide prohibition contained in subdivision 4.
(b) Statutory and
home rule charter cities may not enact an ordinance that contains more
restrictive pesticide application warning information than is
contained in subdivision subdivisions 3 and 4.
Sec. 5. Minnesota Statutes 2022, section 18B.09, is amended by adding a subdivision to read:
Subd. 4. Application
of certain pesticides prohibited. (a)
A person may not apply or use a pollinator-lethal pesticide within the
geographic boundaries of a city that has enacted an ordinance under subdivision
2 prohibiting such use.
(b) For purposes of this
subdivision, "pollinator-lethal pesticide" means a pesticide that has
a pollinator protection box on the label or labeling or a pollinator, bee, or
honey bee precautionary statement in the environmental hazards section of the
label or labeling.
(c) This subdivision does
not apply to:
(1) pet care products
used to mitigate fleas, mites, ticks, heartworms, or other animals that are
harmful to the health of a domesticated animal;
(2) personal care products used
to mitigate lice and bedbugs;
(3) indoor pest control
products used to mitigate insects indoors, including ant bait;
(4) pesticides as used or applied by the Metropolitan Mosquito Control District for public health protection if the pesticide includes vector species on the label;
(5) wood preservative
pesticides used either within a sealed steel cylinder or inside an enclosed
building at a secure facility by trained technicians and pesticide-treated wood
products;
(6) pesticides used or
applied to control or eradicate a noxious weed designated by the commissioner
under section 18.79, subdivision 13; and
(7) pesticides used or
applied on land used for agricultural production and located in an area zoned
for agricultural use.
(d) The commissioner must
maintain a list of pollinator-lethal pesticides on the department's website.
Sec. 6. Minnesota Statutes 2022, section 21.82, subdivision 3, is amended to read:
Subd. 3. Treated seed. For all named agricultural, vegetable, flower, or wildflower seeds which are treated, for which a separate label may be used, the label must contain:
(1) a word or statement to indicate that the seed has been treated;
(2) the commonly accepted, coined, chemical, or abbreviated generic chemical name of the applied substance;
(3) the caution statement "Do not use for food, feed, or oil purposes" if the substance in the amount present with the seed is harmful to human or other vertebrate animals;
(4) in the case of mercurials or similarly toxic substances, a poison statement and symbol;
(5) a word or statement
describing the process used when the treatment is not of pesticide origin; and
(6) the date beyond which
the inoculant is considered ineffective if the seed is treated with an
inoculant. It must be listed on the
label as "inoculant: expires (month
and year)" or wording that conveys the same meaning; and
(7) the caution statement, framed in a box and including a bee icon developed by the commissioner: "Planting seed treated with a neonicotinoid pesticide may negatively impact pollinator health. Please use care when handling and planting this seed" for any corn or soybean seed treated with a neonicotinoid pesticide.
Sec. 7. Minnesota Statutes 2022, section 21.86, subdivision 2, is amended to read:
Subd. 2. Miscellaneous violations. No person may:
(a) detach, alter, deface, or destroy any label required in sections 21.82 and 21.83, alter or substitute seed in a manner that may defeat the purposes of sections 21.82 and 21.83, or alter or falsify any seed tests, laboratory reports, records, or other documents to create a misleading impression as to kind, variety, history, quality, or origin of the seed;
(b) hinder or obstruct in any way any authorized person in the
performance of duties under sections 21.80 to 21.92;
(c) fail to comply with a "stop sale" order or to move or otherwise handle or dispose of any lot of seed held under a stop sale order or attached tags, except with express permission of the enforcing officer for the purpose specified;
(d) use the word "type" in any labeling in connection with the name of any agricultural seed variety;
(e) use the word "trace" as a substitute for any statement which is required;
(f) plant any agricultural
seed which the person knows contains weed seeds or noxious weed seeds in excess
of the limits for that seed; or
(g) advertise or sell seed
containing patented, protected, or proprietary varieties used without
permission of the patent or certificate holder of the intellectual property
associated with the variety of seed; or
(h) use or sell as food, feed, oil, or ethanol feedstock any seed treated with neonicotinoid pesticide.
Sec. 8. [21.915]
PESTICIDE-TREATED SEED USE AND DISPOSAL; CONSUMER GUIDANCE REQUIRED.
(a) The commissioner, in
consultation with the commissioner of the Pollution Control Agency, must
develop and maintain consumer guidance regarding the proper use and disposal of
seed treated with pesticide.
(b) A person selling seed
treated with pesticide at retail must post in a conspicuous location the
guidance developed by the commissioner under paragraph (a).
Sec. 9. Minnesota Statutes 2022, section 85A.01, subdivision 1, is amended to read:
Subdivision 1. Creation. (a) The Minnesota Zoological Garden is established under the supervision and control of the Minnesota Zoological Board. The board consists of 30 public and private sector members having a background or interest in zoological societies or zoo management or an ability to generate community interest in the Minnesota Zoological Garden. Fifteen members shall be appointed by the board after consideration of a list supplied by board members serving on a nominating committee, and 15 members shall be appointed by the governor. One member of the board must be a resident of Dakota County and shall be appointed by the governor after consideration of the recommendation of the Dakota County Board. Board appointees shall not be subject to the advice and consent of the senate.
(b) To the extent possible, the board and governor shall appoint members who are residents of the various geographic regions of the state. Terms, compensation, and removal of members are as provided in section 15.0575, except that a member may be compensated at the rate of up to $125 a day. In making appointments, the governor and board shall utilize the appointment process as provided under section 15.0597 and consider, among other factors, the ability of members to garner support for the Minnesota Zoological Garden.
(c) A member of the board may not be an employee of or have a direct or immediate family financial interest in a business that provides goods or services to the zoo. A member of the board may not be an employee of the zoo.
Sec. 10. Minnesota Statutes 2022, section 373.475, is amended to read:
373.475 COUNTY ENVIRONMENTAL TRUST FUND.
(a) Notwithstanding the provisions of chapter 282 and any other law relating to the apportionment of proceeds from the sale of tax-forfeited land, and except as otherwise provided in this section, a county board must deposit the money received from the sale of land under Laws 1998, chapter 389, article 16, section 31, subdivision 3, into an environmental trust fund established by the county under this section. The principal from the sale of the land may not be expended, and the county board may spend interest earned on the principal only for purposes related to the improvement of natural resources. To the extent money received from the sale is attributable to tax-forfeited land from another county, the money must be deposited in an environmental trust fund established under this section by that county board.
(b) Notwithstanding paragraph
(a), St. Louis County may use up to 50 percent of the principal in an
environmental trust fund established under this section for economic
development and environmental projects within the county that protect the
environment or create clean economy jobs and manufacturing.
Sec. 11. [473.5491]
METROPOLITAN CITIES INFLOW AND INFILTRATION GRANTS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Affordability
criteria" means an inflow and infiltration project service area that is
located, in whole or in part, in a census tract where at least three of the
following apply as determined using the most recently published data from the
United States Census Bureau or United States Centers for Disease Control and
Prevention:
(1) 20 percent or more of
the residents have income below the federal poverty thresholds;
(2) the tract has a
United States Centers for Disease Control and Prevention Social Vulnerability
Index greater than 0.80;
(3) the upper limit of
the lowest quintile of household income is less than the state upper limit of
the lowest quintile;
(4) the housing vacancy
rate is greater than the state average; or
(5) the percent of the
population receiving Supplemental Nutrition Assistance Program (SNAP) benefits
is greater than the state average.
(c) "City"
means a statutory or home rule charter city located within the metropolitan
area.
Subd. 2. Grants. (a) The council shall make grants to
cities for capital improvements in municipal wastewater collection systems to
reduce the amount of inflow and infiltration to the council's metropolitan
sanitary sewer disposal system.
(b) A grant under this
section may be made in an amount up to 50 percent of the cost to mitigate
inflow and infiltration in the publicly owned municipal wastewater collection
system. The council may award a grant up
to 100 percent of the cost to mitigate inflow and infiltration in the publicly
owned municipal wastewater collection system if the project meets affordability
criteria.
Subd. 3. Eligibility. To be eligible for a grant under this
section, a city must be identified by the council as a contributor of excessive
inflow and infiltration in the metropolitan disposal system or have a measured
flow rate within 20 percent of its allowable council-determined inflow and
infiltration limits.
Subd. 4. Application. The council must award grants based on
applications from cities that identify eligible capital costs and include a
timeline for inflow and infiltration mitigation construction, pursuant to
guidelines established by the council. The
council must prioritize applications that meet affordability criteria.
Subd. 5. Cancellation. If a grant is awarded to a city and
funds are not encumbered for the grant within four years after the award date,
the grant must be canceled.
Sec. 12. [473.5492]
COMMUNITY WASTEWATER COSTS; ANNUAL REPORT.
By February 15 each year,
the council must submit a report to the chairs and ranking minority members of
the legislative committees and divisions with jurisdiction over capital investment
and environment and natural resources that provides a summary of the average
monthly wastewater costs for communities in the metropolitan area for the
previous calendar year.
Sec. 13. 50-YEAR
CLEAN WATER PLAN SCOPE OF WORK.
(a) The Board of Regents
of the University of Minnesota, through the University of Minnesota Water
Council, is requested to develop a scope of work, timeline, and budget for a
plan to promote and protect clean water in Minnesota for the next 50 years. The 50-year clean water plan must:
(1) provide a
literature-based assessment of the current status and trends regarding the
quality and quantity of all Minnesota waters, both surface and subsurface;
(2) identify gaps in the
data or understanding and provide recommended action steps to address gaps;
(3) identify existing and
potential future threats to Minnesota's waters; and
(4) propose a road map of
scenarios and policy recommendations to allow the state to proactively protect,
remediate, and conserve clean water for human use and biodiversity for the next
50 years.
(b) The scope of work
must outline the steps and resources necessary to develop the plan, including
but not limited to:
(1) the data sets that
are required and how the University of Minnesota will obtain access;
(2) the suite of proposed
analysis methods;
(3) the roles and
responsibilities of project leaders, key personnel, and stakeholders;
(4) the project timeline
with milestones; and
(5) a budget with
expected costs for tasks and milestones.
(c) By December 1, 2023,
the Board of Regents of the University of Minnesota is requested to submit the
scope of work to the chairs and ranking minority members of the house of
representatives and senate committees and divisions with jurisdiction over
environment and natural resources.
ARTICLE 8
GRANTS MANAGEMENT
Section 1. FINANCIAL
REVIEW OF NONPROFIT GRANT RECIPIENTS REQUIRED.
Subdivision 1. Financial
review required. (a) Before
awarding a competitive, legislatively named, single‑source, or
sole-source grant to a nonprofit organization under this act, the grantor must
require the applicant to submit financial information sufficient for the
grantor to document and assess the applicant's current financial standing and
management. Items of significant concern
must be addressed with the applicant and resolved to the satisfaction of the
grantor before a grant is awarded. The
grantor must document the material requested and reviewed; whether the
applicant had a significant operating deficit, a deficit in unrestricted net
assets, or insufficient internal controls; whether and how the applicant
resolved the grantor's concerns; and the grantor's final decision. This documentation must be maintained in the
grantor's files.
(b) At a minimum, the
grantor must require each applicant to provide the following information:
(1) the applicant's most
recent Form 990, Form 990-EZ, or Form 990-N filed with the Internal Revenue
Service. If the applicant has not been
in existence long enough or is not required to file Form 990, Form 990-EZ, or
Form 990-N, the applicant must demonstrate to the grantor that the applicant is
exempt and must instead submit
documentation of internal
controls and the applicant's most recent financial statement prepared in
accordance with generally accepted accounting principles and approved by the
applicant's board of directors or trustees or, if there is no such board, by the
applicant's managing group;
(2) evidence of
registration and good standing with the secretary of state under Minnesota
Statutes, chapter 317A, or other applicable law;
(3) unless exempt under
Minnesota Statutes, section 309.515, evidence of registration and good standing
with the attorney general under Minnesota Statutes, chapter 309; and
(4) if required under
Minnesota Statutes, section 309.53, subdivision 3, the applicant's most recent
audited financial statement prepared in accordance with generally accepted
accounting principles.
Subd. 2. Authority
to postpone or forgo. Notwithstanding
any contrary provision in this act, a grantor that identifies an area of
significant concern regarding the financial standing or management of a
legislatively named applicant may postpone or forgo awarding the grant.
Subd. 3. Authority
to award subject to additional assistance and oversight. A grantor that identifies an area of
significant concern regarding an applicant's financial standing or management
may award a grant to the applicant if the grantor provides or the grantee
otherwise obtains additional technical assistance, as needed, and the grantor
imposes additional requirements in the grant agreement. Additional requirements may include but are
not limited to enhanced monitoring, additional reporting, or other reasonable
requirements imposed by the grantor to protect the interests of the state.
Subd. 4. Relation
to other law and policy. The
requirements in this section are in addition to any other requirements imposed
by law; the commissioner of administration under Minnesota Statutes, sections
16B.97 and 16B.98; or agency policy.
ARTICLE 9
CLIMATE AND ENERGY FINANCE
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Section 1. APPROPRIATIONS. |
The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second year"
is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
If an appropriation in this article is enacted more than once in the
2023 legislative session, the appropriation must be given effect only once.
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APPROPRIATIONS |
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Available for the
Year |
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Ending June 30 |
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2024 |
2025 |
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Sec. 2. DEPARTMENT
OF COMMERCE |
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Subdivision 1. Total
Appropriation |
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$117,355,000 |
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$33,060,000 |
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Appropriations by Fund |
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2024 |
2025 |
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General |
116,279,000 |
31,963,000 |
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Petroleum Tank |
1,076,000 |
1,097,000 |
The amounts that may be spent
for each purpose are specified in the following subdivisions.
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Subd. 2. Energy
Resources |
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116,279,000 |
|
31,693,000 |
(a) $4,417,000 each year is
to the division of energy resources for operating expenses.
(b) $150,000 the first year
and $150,000 the second year are to remediate vermiculite insulation from
households that are eligible for weatherization assistance under Minnesota's
weatherization assistance program state plan under Minnesota Statutes, section
216C.264. Remediation must be done in
conjunction with federal weatherization assistance program services.
(c) $1,138,000 the first
year is to provide financial assistance to state colleges and universities to
purchase and install solar energy generating systems under Minnesota Statutes,
section 216C.375. This appropriation
must be expended on schools located outside the electric service territory of
the public utility that is subject to Minnesota Statutes, section 116C.779. This is a onetime appropriation and is
available until June 30, 2031.
(d) $189,000 the first year
and $189,000 the second year are for activities associated with a utility's
implementation of a natural gas innovation plan under Minnesota Statutes,
section 216B.2427.
(e) $1,444,000 the first
year and $1,621,000 the second year are to maintain the current level of
service delivery in the division of energy resources. The base in fiscal year 2026 and beyond is
$1,621,000.
(f) $20,000,000 in the
first year is transferred to the solar for schools program account established
under Minnesota Statutes, section 216C.375, to provide financial assistance to
schools to purchase and install solar energy generating systems under Minnesota
Statutes, section 216C.375. The
appropriations under this section must be expended on schools located outside
the electric service territory of the public utility that is subject to
Minnesota Statutes, section 116C.779. This
is a onetime appropriation.
(g) $6,239,000 the first
year and $1,239,000 the second year are for transfer to the strengthen
Minnesota homes program account established under Minnesota Statutes, section
65A.299, subdivision 4. The base in
fiscal year 2026 and beyond is $1,239,000.
(h) $22,461,000 the first
year and $22,672,000 the second year are for transfer to the state
supplementary weatherization grants account established under Minnesota
Statutes, section 216C.264, to
provide grants to community
action agencies and other agencies that weatherize residences to install
preweatherization measures in residential buildings occupied by eligible
low-income households, as provided under Minnesota Statutes, sections
216B.2403, subdivision 5; 216B.241, subdivision 7; and 216C.264.
Of the amount appropriated
under this paragraph:
(1) up to ten percent may
be used to supplement utility spending on preweatherization measures as part of
a low-income conservation program; and
(2) up to ten percent may
be used to:
(i) recruit and train
energy auditors and installers of weatherization services; and
(ii) provide financial
incentives to contractors and workers to install weatherization services.
The base in fiscal year
2026 is $720,000 and the base in fiscal year 2027 is $3,000,000.
(i) $5,000,000 the first
year is to award rebates to purchase or lease eligible electric vehicles under
Minnesota Statutes, section 216C.401. Rebates
must be awarded under this paragraph only to eligible persons located outside
the retail electric service area of the public utility that is subject to
Minnesota Statutes, section 116C.779. This
is a onetime appropriation and is available until June 30, 2027.
(j) $500,000 the first year
is to award grants under Minnesota Statutes, section 216C.402, to automobile
dealers seeking certification to sell electric vehicles. Grants must only be awarded under this
paragraph to eligible dealers located outside the retail electric service area
of the public utility that is subject to Minnesota Statutes, section 116C.779. This is a onetime appropriation and is
available until June 30, 2025.
(k) $164,000 the second
year is for activities associated with a public utility's filing a
transportation electrification plan under Minnesota Statutes, section 216B.1615. The base in fiscal year 2026 and beyond is
$164,000.
(l) $5,000,000 the first
year is for transfer to the solar on public buildings grant program account
established under Minnesota Statutes, section 216C.377. The appropriation in this paragraph must be
used only to provide grants to public buildings located outside the electric
service area of the electric utility subject to Minnesota Statutes, section
116C.779. This is a onetime
appropriation.
(m) $2,500,000 the first year
is for transfer to the residential electric panel upgrade grant program account
established under Minnesota Statutes, section 216C.45, to award electric panel
upgrade grants and to reimburse the reasonable costs incurred by the department
to administer the program. Grants must
be awarded under this paragraph only to owners of single-family homes or
multifamily buildings located outside the electric service area of the public
utility subject to Minnesota Statutes, section 116C.779. This is a onetime appropriation and is
available until June 30, 2027.
(n) $3,000,000 the first
year is for grants to install on-site energy storage systems, as defined in
Minnesota Statutes, section 216B.2422, subdivision 1, paragraph (f), with a
capacity of 50 kilowatt hours or less and that are located outside the electric
service area of the electric utility subject to Minnesota Statutes, section
116C.779. To receive a grant under this
subdivision, an owner of the energy storage system must be operating or have
filed an application with a utility to interconnect a solar energy generating
system at the same site as the energy storage system. The grant amount must be based on the number
of watt-hours that reflects the duration of the energy storage system at the
system's rated capacity, up to a maximum of $5,000. This is a onetime appropriation and is
available until June 30, 2027.
(o) $164,000 each year is
for activities required under Minnesota Statutes, sections 216B.1616 and
216B.1697, to review energy storage proposals made by utilities and to
establish a docket to develop an energy storage peak shaving tariff.
(p) $3,000,000 the first
year is for grants to the clean energy resource teams partnerships under
Minnesota Statutes, section 216C.385, subdivision 2, to provide additional
capacity to perform the duties specified under Minnesota Statutes, section
216C.385, subdivision 3. This
appropriation is onetime and is available until June 30, 2029.
(q) $2,500,000 the first
year and $1,000,000 the second year are to implement energy benchmarking under
Minnesota Statutes, section 216C.331. The
base in fiscal year 2026 is $226,000 and the base in fiscal year 2027 is
$742,000.
Of the amount appropriated
under this paragraph, $750,000 the first year is to award grants to qualifying
utilities that are not investor-owned utilities to support the development of
technology for implementing energy benchmarking under Minnesota Statutes, section
216C.331. This is a onetime
appropriation.
(r) $7,000,000 the first
year is for transfer to the electric school bus program account established
under Minnesota Statutes, section 216C.374, to award grants to school
districts, and to transportation
service providers and electric
utilities on behalf of school districts, to purchase electric school buses and
related infrastructure. This is a
onetime appropriation and is available until June 30, 2027. Any unencumbered money remaining after that
date cancels to the general fund.
(s) $10,000,000 the first
year is for transfer to the heat pump rebate program account established under
Minnesota Statutes, section 216C.46, to implement the heat pump rebate program
and to reimburse the reasonable costs incurred by the department to administer
the program. Of this amount:
(1) up to $1,400,000 the
first year is to contract with an energy coordinator under Minnesota Statutes,
section 216C.46, subdivision 5; and
(2) up to $1,400,000 the
first year is to conduct contractor training and support under Minnesota
Statutes, section 216C.46, subdivision 6.
(t) $1,000,000 the first
year is to award air ventilation pilot program grants under Minnesota Statutes,
section 123B.663, for assessments, testing, and equipment upgrades in schools,
and for the department's costs to administer the program. This is a onetime appropriation.
(u) $77,000 each year is for
activities associated with appeals of consumer complaints to the commission
under Minnesota Statutes, section 216B.172.
(v) $500,000 the first year
is for a grant to the city of Anoka for feasibility studies and design,
engineering, and environmental analysis related to the repair and
reconstruction of the Rum River Dam. Findings
from the feasibility studies must be incorporated into the design and
engineering funded by the appropriation under this paragraph. This appropriation is onetime and is
available until June 30, 2027.
The appropriation under this
paragraph includes money for the following feasibility studies:
(1) to assess the
feasibility of adding a lock or other means for boats to traverse the dam to
navigate between the lower Rum River and upper Rum River;
(2) to assess the
feasibility of constructing the dam in a manner that would facilitate
recreational river surfing at the dam site; and
(3) to assess the
feasibility of constructing the dam in a manner to generate hydroelectric
power.
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Subd. 3. Petroleum Tank Release Compensation Board |
1,076,000 |
|
1,097,000 |
This appropriation is from
the petroleum tank fund.
|
Sec. 3. PUBLIC UTILITIES COMMISSION |
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$10,331,000 |
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$10,689,000 |
(a) $8,202,000 each year is
to the Public Utilities Commission for operating expenses.
(b) $112,000 each year is
for activities associated with a utility's implementation of a natural gas
innovation plan under Minnesota Statutes, section 216B.2427.
(c) $96,000 the second year
is for activities associated with a public utility's filing a transportation
electrification plan under Minnesota Statutes, section 216B.1615. The base in fiscal year 2026 and beyond is
$96,000.
(d) $32,000 each year is for
activities associated with determining compensation for participants in
commission proceedings under Minnesota Statutes, section 216B.631.
(e) $236,000 the first year
and $229,000 the second year are for activities associated with appeals of
consumer complaints to the commission under Minnesota Statutes, section
216B.172.
(f) $1,522,000 the first
year and $1,791,000 the second year are to maintain the current level of
service delivery in the Public Utilities Commission. The base in fiscal year 2026 and beyond is
$1,791,000.
(g) $227,000 each year is
for activities required under Minnesota Statutes, sections 216B.1616 and
216B.1697, to review energy storage proposals made by utilities and to
establish a docket to develop an energy storage peak shaving tariff.
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Sec. 4. POLLUTION
CONTROL AGENCY |
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$2,000,000 |
|
$-0- |
$2,000,000 is for transfer
to the local climate action grant program account established in the special
revenue fund to:
(1) award grants to eligible
applicants;
(2) provide technical
assistance to applicants;
(3) pay a contractor to
provide greenhouse gas emissions data to grantees; and
(4) reimburse the reasonable
costs of the agency to administer the program.
Of this amount, 65 percent
is available the first year, of which half is reserved for applicants located
outside the counties of Hennepin, Ramsey, Anoka, Dakota, Scott, Carver, and
Washington. In the second year, any
unencumbered first year money and the balance of the appropriation are
available to all eligible applicants, and remain available until June 30, 2025. The base in fiscal year 2026 is $0.
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Sec. 5. HIGHER EDUCATION |
|
$750,000 |
|
$-0- |
Of the amount appropriated
in the first year under section 2, subdivision 2, paragraph (q), $750,000 the
first year is for a grant to Building Owners and Managers Association Greater
Minneapolis to establish partnerships with three technical colleges and high
school career counselors with a goal of increasing the number of building
engineers across Minnesota. This is a
onetime appropriation and is available until June 30, 2028. The grant recipient must provide a detailed
report describing how the grant funds were used to the chairs and ranking
minority members of the legislative committees having jurisdiction over higher
education by January 15 of each year until 2028. The report must describe the progress made
toward the goal of increasing the number of building engineers and strategies
used.
|
Sec. 6. CLIMATE
INNOVATION FINANCE AUTHORITY |
$20,000,000 |
|
$-0- |
$20,000,000 the first year
is for transfer to the climate innovation finance authority account for
purposes of Minnesota Statutes, section 216C.441. This is a onetime appropriation.
Of this amount, the
commissioner of management and budget may make up to $500,000 available to the
commissioner of commerce, at the request of the commissioner of commerce, to
conduct necessary start-up activities before the authority has sufficient staff
resources to do so.
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Sec. 7. UNIVERSITY
OF MINNESOTA |
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$1,000,000 |
|
$1,000,000 |
$1,000,000 the first year
and $1,000,000 the second year are for a program in the University of Minnesota
Extension Service that enhances the capacity of the state's agricultural
sector, land and resource managers, and communities to plan for and adapt to
weather extremes, including but not limited to droughts and floods. This is a onetime appropriation and is
available until June 30, 2030. The base
in fiscal year 2026 and beyond is $1,000,000.
The appropriation under
this section must be used to support existing extension service staff members
and to hire additional staff members for a program with broad geographic reach
throughout the state. The program must:
(1) identify, develop,
implement, and evaluate educational programs that increase the capacity of
Minnesota's agricultural sector, land and resource managers, and communities to
be prepared for and adapt to projected physical changes in temperature, precipitation,
and other weather parameters that affect crops, lands, horticulture, pests, and
wildlife in ways that present challenges to the state's agricultural sector and
the communities that depend on the agricultural sector; and
(2) communicate and interpret
the latest research on critical weather trends and the scientific basis for
critical weather trends to further prepare extension service staff throughout
the state to educate and provide technical assistance to the agricultural
sector, land and resource managers, and community members at the local level
regarding technical information on water resource management, agriculture and
forestry, engineering and infrastructure design, and emergency management that
is necessary to develop strategies to mitigate the effects of extreme weather
change.
|
Sec. 8. DEPARTMENT
OF ADMINISTRATION |
|
$1,712,000 |
|
$367,000 |
(a) $1,022,000 the first
year and $367,000 the second year are for activities regarding environmental
analysis of construction materials under Minnesota Statutes, section 16B.312. Of the first year amount, $200,000 is to
provide grants to assist manufacturers to obtain environmental product
declarations for certain materials used in public buildings. Of this amount, up to ten percent may be used
by the commissioner of administration to administer this section. This appropriation is available until June
30, 2027.
(b) $690,000 the first year
is to develop, oversee, and administer the sustainable building guidelines
under Minnesota Statutes, section 16B.325, in consultation with the
commissioner of commerce and the Center for Sustainable Building Research at
the University of Minnesota. The
appropriation under this paragraph includes money for the commissioner of
administration to contract with the Center for Sustainable Building Research at
the University of Minnesota to administer the guidelines. This is a onetime appropriation.
|
Sec. 9. DEPARTMENT
OF TRANSPORTATION |
|
$310,000 |
|
$-0- |
$310,000 the first year is
for awarding grants to assist manufacturers to obtain environmental product
declarations for certain construction materials used to build roads and other
transportation infrastructure under Minnesota Statutes, section 16B.312. Of this amount, up to $10,000 is for the
reasonable costs of the department to administer that section. This appropriation is available until June
30, 2027.
ARTICLE 10
RENEWABLE DEVELOPMENT ACCOUNT APPROPRIATIONS
|
Section 1. RENEWABLE
DEVELOPMENT FINANCE. |
(a) The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the purposes specified in this article.
Notwithstanding Minnesota Statutes, section 116C.779, subdivision 1,
paragraph (j), the appropriations are from the renewable development account in
the special revenue fund established in Minnesota Statutes, section 116C.779,
subdivision 1, and are available for the fiscal years indicated for each
purpose. The figures "2024"
and "2025" used in this article mean that the appropriations listed
under them are available for the fiscal year ending June 30, 2024, or June 30,
2025, respectively. "The first
year" is fiscal year 2024. "The
second year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
(b) If an appropriation in this
article is enacted more than once in the 2023 regular or special legislative
session, the appropriation must be given effect only once.
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
Available for the
Year |
|
|
|
|
|
Ending June 30 |
|
|
|
|
|
2024 |
2025 |
|
Sec. 2. DEPARTMENT
OF COMMERCE |
|
$67,614,000 |
|
$18,829,000 |
(a) The amounts that may be
spent for each purpose are specified in the following subdivisions.
(b) $100,000 the first year
and $100,000 the second year are to administer the "Made in Minnesota"
solar energy production incentive program under Minnesota Statutes, section
216C.417. Any unspent amount remaining
on June 30, 2025, cancels to the renewable development account.
(c) $1,000,000 the first
year and $400,000 the second year are for grants to the University of St. Thomas
Center for Microgrid Research. The base
in fiscal year 2026 is $400,000 and the base in fiscal year 2027 is $0. These appropriations are available until June
30, 2027.
The appropriations in this
paragraph must be used by the University of St. Thomas Center for
Microgrid Research to:
(1) increase the center's
capacity to provide industry partners opportunities to test near-commercial
microgrid products on a real world scale and to multiply opportunities for
innovative research;
(2) procure advanced
equipment and controls to enable the extension of the university's microgrid to
additional buildings; and
(3) expand (i) hands-on
educational opportunities for undergraduate and graduate electrical engineering
students to increase understanding of microgrid operations, and (ii)
partnerships with community colleges.
(d) $9,126,000 the first
year and $3,329,000 the second year are for transfer to the electric vehicle
rebate program account established under Minnesota Statutes, section 216C.401,
to award rebates to purchase or lease eligible electric vehicles. Rebates must be awarded under this paragraph
only to eligible persons located within the retail electric service area of the
public utility that is subject to Minnesota Statutes, section 116C.779. The base in fiscal year 2026 is $0. These appropriations are available until June
30, 2027.
(e) $500,000 the first year is
to award grants under Minnesota Statutes, section 216C.402, to automobile
dealers seeking certification from an electric vehicle manufacturer to sell
electric vehicles. Grants must only be
awarded under this paragraph to eligible dealers located within the retail
electric service area of the public utility that is subject to Minnesota
Statutes, section 116C.779. This is a
onetime appropriation and is available until June 30, 2025.
(f) $7,000,000 the first
year is for transfer to the electric school bus program account established
under Minnesota Statutes, section 216C.374, to provide grants to (1) accelerate
the deployment of electric school buses and related electric vehicle infrastructure,
and (2) to pay the commissioner's costs to administer Minnesota Statutes,
section 216C.374. This is a onetime
appropriation and is available until June 30, 2027.
(g) $5,000,000 the first
year is for transfer to the solar on public buildings grant program account
established under Minnesota Statutes, section 216C.377, to award grants for the
installation of solar energy generating systems on public buildings. The appropriation in this paragraph must be
used only to award grants for solar installations on public buildings located
within the electric service area of the electric utility subject to Minnesota
Statutes, section 116C.779. This is a
onetime appropriation and is available until June 30, 2027.
(h) $2,500,000 the first
year is to award grants for upgrades to residential electric panels under
Minnesota Statutes, section 216C.45, and pay the reasonable costs incurred by
the department to administer that section.
Appropriations made under this paragraph must be used only for grants to
owners of residences that are located within the electric service area of the
public utility that is subject to Minnesota Statutes, section 116C.779. This is a onetime appropriation and is
available until June 30, 2025.
(i) $3,000,000 the first
year is to award grants to install energy storage systems under Minnesota
Statutes, section 216C.378, and to pay the reasonable costs incurred by the
department to administer that section. This
is a onetime appropriation and is available until June 30, 2027.
(j) $3,000,000 in fiscal
year 2024 is for deposit in the Area C contingency account established under
Minnesota Statutes, section 116C.7793, for disbursement to the owner of a solar
energy generating system installed on land on the former Ford Motor Company
site in St. Paul known as Area C. This
appropriation is available until five years after the Pollution Control Agency
issues a corrective action determination regarding the remediation of Area C. Any unexpended money remaining in the account
as of that date cancels to the renewable development account.
(k) $5,000,000 the first year
and $5,000,000 the second year are for transfer to the distributed energy
resources system upgrade program account established under Minnesota Statutes,
section 216C.379, to provide grants to upgrade the distribution system of the
public utility that is subject to Minnesota Statutes, section 116C.7792, in
order to allow for the interconnection of distributed energy resources. The base in fiscal year 2026 is $0.
(l) $250,000 in fiscal year
2024 is for transfer to the distributed energy resources system upgrade program
account established under Minnesota Statutes, section 216C.379, for grants to
the utility subject to Minnesota Statutes, section 116C.779, to implement the
small interconnection cost-sharing program ordered by the Public Utilities
Commission on December 19, 2022, in docket No. E-002/M-18-714, to pay the
costs of certain distribution upgrades for customers of the utility subject to
Minnesota Statutes, section 116C.779, seeking interconnection of distributed
generation. This is a onetime
appropriation.
(m) $20,000,000 the first year is for transfer to the solar for schools program account established under Minnesota Statutes, section 216C.375, to provide financial assistance to schools to purchase and install solar energy generating systems under Minnesota Statutes, section 216C.375. The appropriations under this paragraph must be expended on schools located within the electric service territory of the public utility that is subject to Minnesota Statutes, section 116C.779. This is a onetime appropriation.
(n) $2,500,000 the first
year and $2,500,000 the second year are for transfer to the state supplementary
weatherization grants account established under Minnesota Statutes, section
216C.264, to provide grants to community action agencies and other agencies
that weatherize residences to install preweatherization measures in residential
buildings occupied by eligible low-income households, as provided under
Minnesota Statutes, sections 216B.2403, subdivision 5; 216B.241, subdivision 7;
and 216C.264. The base in fiscal year
2026 is $0.
|
Sec. 3. MINNESOTA
AMATEUR SPORTS COMMISSION |
$-0- |
|
$4,200,000 |
$4,200,000 the second year
is to install solar arrays on an ice rink and a maintenance facility at the
National Sports Center in Blaine. This
is a onetime appropriation.
|
Sec. 4. DEPARTMENT
OF ADMINISTRATION |
|
$780,000 |
|
$92,000 |
$690,000 the first year is
to contract with the Board of Regents of the University of Minnesota for a
grant to the Institute on the Environment to conduct research examining how
projections of future weather trends may exacerbate conditions, including but
not limited to drought, elevated temperatures, and flooding, that:
(1) can be integrated into the
design and evaluation of buildings constructed by the state of Minnesota and
local units of government, in order to:
(i) reduce energy costs by
deploying cost-effective energy efficiency measures, innovative construction
materials and techniques, and renewable energy sources; and
(ii) prevent and minimize
damage to buildings caused by extreme weather conditions, including but not
limited to increased frequency of intense precipitation events and tornadoes,
flooding, and elevated temperatures; and
(2) may weaken the ability
of natural systems to mitigate the conditions to the point where human
intervention in the form of building or redesigning the scale and operation of
infrastructure is required to address those conditions in order to:
(i) maintain and increase
the amount and quality of food and wood production;
(ii) reduce fire risk on
forested land;
(iii) maintain and enhance
water quality; and
(iv) maintain and enhance
natural habitats.
The contract must provide
that no later than February 1, 2025, the director of the Institute on the
Environment or the director's designee must submit a written report to the
chairs and ranking minority members of the legislative committees with primary jurisdiction
over environment policy and capital investment summarizing the findings and
recommendations of the research, including any recommendations for policy
changes or other legislation. This is a
onetime appropriation.
|
Sec. 5. POLLUTION
CONTROL AGENCY |
|
$2,000,000 |
|
$-0- |
$2,000,000 is for transfer
to the local climate action grant program account established in the special revenue
fund to:
(1) award grants to eligible
applicants;
(2) provide technical
assistance to applicants;
(3) pay a contractor to
provide greenhouse gas emissions data to grantees; and
(4) reimburse the reasonable
costs of the agency to administer the program.
Of this amount, 65 percent
is available the first year, of which half is reserved for applicants located
outside the counties of Hennepin, Ramsey, Anoka, Dakota, Scott, Carver, and
Washington. In the
second year, any unencumbered
first year money and the balance of the appropriation are available to all
eligible applicants, and remains available until June 30, 2025. The base in fiscal year 2026 is $0.
ARTICLE 11
ELECTRIFICATION
Section 1. Minnesota Statutes 2022, section 16B.58, is amended by adding a subdivision to read:
Subd. 9. Electric
vehicle charging. A person
that charges a privately owned electric vehicle at a charging station located
within the Capitol Area, as defined in section 15B.02, must pay an electric
service fee established by the commissioner.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 2. Minnesota Statutes 2022, section 16C.135, subdivision 3, is amended to read:
Subd. 3. Vehicle
purchases. (a) Consistent
with section 16C.137, subdivision 1, when purchasing a motor vehicle for the
enterprise fleet or for use by an agency, the commissioner or the agency shall
purchase a motor vehicle that is capable of being powered by cleaner fuels,
or a motor vehicle powered by electricity or by a combination of electricity
and liquid fuel, if the total life-cycle cost of ownership is less than or
comparable to that of other vehicles and if the vehicle is capable the
motor vehicle according to the following vehicle preference order:
(1) an electric vehicle;
(2) a hybrid electric
vehicle;
(3) a vehicle capable of
being powered by cleaner fuels; and
(4) a vehicle powered by
gasoline or diesel fuel.
(b) The commissioner may
only reject a vehicle that is higher on the vehicle preference order if:
(1) the vehicle type is
incapable of carrying out the purpose for which it is purchased.;
or
(2) the total life-cycle
cost of ownership of a preferred vehicle type is more than ten percent higher
than the next vehicle type on the vehicle preference order.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2022, section 16C.137, subdivision 1, is amended to read:
Subdivision 1. Goals and actions. Each state department must, whenever legally, technically, and economically feasible, subject to the specific needs of the department and responsible management of agency finances:
(1) ensure that all new
on-road vehicles purchased, excluding emergency and law enforcement
vehicles:, are purchased in conformity with the vehicle preference
order established in section 16C.135, subdivision 3;
(i) use "cleaner
fuels" as that term is defined in section 16C.135, subdivision 1;
(ii) have fuel efficiency
ratings that exceed 30 miles per gallon for city usage or 35 miles per gallon
for highway usage, including but not limited to hybrid electric cars and
hydrogen-powered vehicles; or
(iii) are powered solely
by electricity;
(2) increase its use of renewable transportation fuels, including ethanol, biodiesel, and hydrogen from agricultural products; and
(3) increase its use of web-based Internet applications and other electronic information technologies to enhance the access to and delivery of government information and services to the public, and reduce the reliance on the department's fleet for the delivery of such information and services.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2022, section 168.27, is amended by adding a subdivision to read:
Subd. 2a. Dealer
training; electric vehicles. (a)
A new motor vehicle dealer licensed under this chapter that operates under an
agreement or franchise from a manufacturer and sells electric vehicles must
maintain at least one employee who is certified as having completed a training
course offered by a Minnesota motor vehicle dealership association that
addresses at least the following elements:
(1) fundamentals of
electric vehicles;
(2) electric vehicle
charging options and costs;
(3) publicly available
electric vehicle incentives;
(4) projected maintenance
and fueling costs for electric vehicles;
(5) reduced tailpipe
emissions, including greenhouse gas emissions, produced by electric vehicles;
(6) the impacts of
Minnesota's cold climate on electric vehicle operation; and
(7) best practices to
sell electric vehicles.
(b) For the purposes of
this section, "electric vehicle" has the meaning given in section
169.011, subdivision 26a, paragraphs (a) and (b), clause (3).
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 5. [216B.1615]
ELECTRIC VEHICLE DEPLOYMENT PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Battery
exchange station" means a physical location deploying equipment that
enables a used electric vehicle battery to be removed and exchanged for a fresh
electric vehicle battery.
(c) "Electric drive
mine truck" means a truck that carries mined rock from a mine pit for
crushing operations and whose wheels are powered by electric drive motors.
(d) "Electric drive
mine truck trolley system" means an electric trolley system that helps
propel an electric drive mine truck out of a mine pit.
(e) "Electric
vehicle" means any device or contrivance that transports persons or
property and is capable of being powered by an electric motor drawing current
from rechargeable storage batteries, fuel cells, or other portable sources of
electricity. Electric vehicle includes
but is not limited to:
(1) an electric vehicle,
as defined in section 169.011, subdivision 26a;
(2) an electric-assisted
bicycle, as defined in section 169.011, subdivision 27;
(3) an off-road vehicle, as
defined in section 84.797, subdivision 7;
(4) a motorboat, as
defined in section 86B.005, subdivision 9;
(5) an aircraft, as
defined in section 360.013, subdivision 37; or
(6) an electric drive
mine truck.
(f) "Electric
vehicle charging station" means a physical location deploying equipment
that:
(1) transfers
electricity to an electric vehicle battery;
(2) dispenses hydrogen
into an electric vehicle powered by a fuel cell;
(3) exchanges electric
vehicle batteries; or
(4) provides other
equipment used to charge or fuel electric vehicles.
(g) "Electric
vehicle infrastructure" means electric vehicle charging stations and any
associated machinery, equipment, and infrastructure necessary for a public
utility to supply electricity or hydrogen to an electric vehicle charging
station and to support electric vehicle operation. Electric vehicle infrastructure includes an
electric drive mine truck trolley system.
(h) "Fuel
cell" means a cell that converts the chemical energy of hydrogen directly
into electricity through electrochemical reactions.
(i) "Government
entity" means the state, a state agency, or a political subdivision, as
defined in section 13.02, subdivision 11.
(j) "Public
utility" has the meaning given in section 216B.02, subdivision 4.
Subd. 2. Transportation
electrification plan; contents. (a)
By June 1, 2024, and on a schedule determined by the commission thereafter, a
public utility must file a transportation electrification plan with the
commission that is designed to:
(1) maximize the overall
benefits of electric vehicles and other electrified transportation while
minimizing overall costs; and
(2) promote the:
(i) purchase of electric
vehicles by the public utility's customers; and
(ii) deployment of
electric vehicle infrastructure in the public utility's service territory.
(b) A transportation
electrification plan may include but is not limited to the following elements:
(1) programs to educate
and increase the awareness and benefits of electric vehicles and electric
vehicle charging equipment among individuals, electric vehicle dealers,
single-family and multifamily housing developers and property management
companies, building owners and tenants, vehicle service stations, vehicle fleet
owners and managers, and other potential users of electric vehicles;
(2) utility investments and
customer incentives the utility provides and offers to support transportation
electrification across all customer classes, including but not limited to
investments and customer incentives to facilitate:
(i) the deployment of: electric vehicles for personal and commercial
use; customer- and utility-owned electric vehicle charging stations; electric
vehicle infrastructure to support light-duty, medium-duty, and heavy-duty
vehicle electrification; and other electric utility infrastructure;
(ii) widespread access to
publicly available electric vehicle charging stations; and
(iii) the electrification
of public transit and vehicle fleets owned or operated by a government entity;
(3) research and
demonstration projects to increase access to electricity as a transportation
fuel, minimize the system costs of electric transportation, and inform future
transportation electrification plans;
(4) rate structures or
programs that encourage electric vehicle charging that optimizes electric grid
operation, including time-varying rates and charging optimization programs;
(5) programs to increase
access to the benefits of electricity as a transportation fuel (i) for low- or
moderate‑income customers and communities, and (ii) in neighborhoods most
affected by transportation-related air emissions; and
(6) proposals to expedite
commission consideration of program adjustments requested during the term of an
approved transportation electrification plan.
(c) A transportation
electrification plan must include planned upgrades to and investments in a
utility's distribution system that are necessary to accommodate future growth
in transportation electrification and support the plan's proposed programs and
activities.
Subd. 3. Transportation
electrification plan; review and implementation. The commission may approve, modify, or
reject a transportation electrification plan.
When reviewing a transportation electrification plan, the commission must consider whether the programs,
investments, and expenditures as a whole are reasonably expected to:
(1) improve the operation
of the electric grid;
(2) increase access to
the use of electricity as a transportation fuel for all customers, including
customers in low‑or moderate-income communities, rural communities, and
communities most affected by emissions from the transportation sector;
(3) increase access to
publicly available electric vehicle charging for all types of electric
vehicles;
(4) support the
electrification of medium-duty and heavy-duty vehicles and associated charging
infrastructure;
(5) reduce statewide
greenhouse gas emissions, as defined in section 216H.01, and emissions of other
air pollutants that impair the environment and public health;
(6) stimulate private
capital investment and the creation of skilled jobs;
(7) educate the public
about the benefits of electric vehicles and related infrastructure; and
(8) be transparent and
incorporate reasonable public reporting of program activities, consistent with
existing technology and data capabilities, to inform program design and
commission policy with respect to electric vehicles.
Subd. 4. Cost
recovery. (a) Notwithstanding
any other provision of this chapter, the commission may approve, with respect
to any prudent and reasonable investments made or expenses incurred by a public
utility to administer and implement an approved transportation electrification
plan, including expenditures on information technology systems necessary to
track activities and spending and to administer and implement transportation
electrification plan programs, and investments made in a public utility's distribution
system to support transportation electrification:
(1) a rider or other
tariff mechanism to automatically adjust charges annually;
(2) performance-based
incentives; or
(3) placing the
investment, including (i) rebates for electric vehicle infrastructure and
electric buses, and (ii) other costs reasonably incurred to support
transportation electrification, in the public utility's rate base and allowing
the public utility to earn a rate of return on the investment at the level
approved by the commission in the public utility's most recent general rate
case, unless the commission finds a different rate of return is in the public
interest.
(b) Notwithstanding
section 216B.16, subdivision 8, paragraph (a), clause (3), the commission must
approve recovery costs for expenses reasonably incurred by a public utility to
provide public advertisement as part of a transportation electrification plan
approved by the commission under subdivision 3.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 6. [216C.374]
ELECTRIC SCHOOL BUS DEPLOYMENT PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Battery
exchange station" means a physical location deploying equipment that
enables a used electric vehicle battery to be removed and exchanged for a fully
charged electric vehicle battery.
(c) "Electric school
bus" means an electric vehicle: (1)
designed to carry a driver and more than ten passengers; and (2) primarily used
to transport preprimary, primary, and secondary students.
(d) "Electric
utility" means any utility that provides wholesale or retail electric
service to customers in Minnesota.
(e) "Electric
vehicle" has the meaning given in section 169.011, subdivision 26a.
(f) "Electric
vehicle charging station" means a physical location deploying equipment
that provides electricity to charge a battery in an electric vehicle.
(g) "Electric
vehicle infrastructure" means electric vehicle charging stations and any
associated electric panels, machinery, equipment, and infrastructure necessary
for an electric utility to supply electricity to an electric vehicle charging station
and to support electric vehicle operation.
(h) "Electric
vehicle service provider" means an organization that installs, maintains,
or otherwise services a battery exchange station, electric vehicle
infrastructure, or electric vehicle charging stations.
(i) "Eligible
applicant" means a school district or an electric utility, electric
vehicle service provider, or transportation service provider applying for a
grant under this section on behalf of a school district.
(j) "Federal vehicle
electrification grants" means grants that fund electric school buses or
electric vehicle infrastructure under the federal Infrastructure Investment and
Jobs Act, Public Law 117-58, or the Inflation Reduction Act of 2022, Public Law
117-169.
(k) "Poor air
quality" means:
(1) ambient air levels
that air monitoring data reveals approach or exceed state or federal air
quality standards or chronic health inhalation risk benchmarks for total
suspended particulates, particulate matter less than ten microns wide (PM-10),
particulate matter less than 2.5 microns wide (PM-2.5), sulfur dioxide, or
nitrogen dioxide; or
(2) areas in which levels
of asthma among children significantly exceed the statewide average.
(l) "Prioritized
school district" means:
(1) a school district
listed in the Small Area Income and Poverty Estimates School District Estimates
as having 7.5 percent or more students living in poverty based on the most
recent decennial U.S. census;
(2) a school district
identified with locale codes "43-Rural:
Remote" and "42-Rural: Distant"
by the National Center for Education Statistics;
(3) a school district
funded by the Bureau of Indian Affairs; or
(4) a school district
that receives basic support payments under United States Code, title 20,
section 7703(b)(1), for children who reside on Indian land.
(m) "School"
means a school that operates as part of an independent or special school
district.
(n) "School
bus" has the meaning given in section 169.011, subdivision 71.
(o) "School
district" means:
(1) an independent school
district, as defined in section 120A.05, subdivision 10; or
(2) a special school
district, as defined in section 120A.05, subdivision 14.
(p) "Transportation
service provider" means a person that has a contract with a school
district to transport students to and from school.
Subd. 2. Establishment;
purpose. An electric school
bus deployment program is established in the department. The purpose of the program is to provide
grants to accelerate the deployment of electric school buses by school
districts and to encourage schools to use vehicle electrification as a teaching
tool that can be integrated into the school's curriculum.
Subd. 3. Establishment
of account. An electric
school bus program account is established as a separate account in the special
revenue fund in the state treasury. The
commissioner shall credit to the account appropriations and transfers to the
account. Earnings, including interest,
dividends, and any other earnings arising from assets of the account, must be
credited to the account. Money in the
account at the end of a fiscal year does not cancel to the general fund but
remains available in the account until expended. The commissioner shall manage the account.
Subd. 4. Appropriation;
expenditures. Money in the
account is appropriated to the commissioner and must be used only:
(1) for grant awards made
under this section; and
(2) to pay the reasonable
costs incurred by the department to administer this section, including the cost
of providing technical assistance to eligible applicants, including but not
limited to grant writing assistance for applications for federal vehicle
electrification grants under subdivision 6, paragraph (c).
Subd. 5. Eligible
grant expenditures. A grant
awarded under this section may be used only to pay:
(1) a school district or
transportation service provider to purchase one or more electric school buses,
or convert or repower fossil-fuel-powered school buses to be powered by
electricity;
(2) up to 75 percent of
the cost a school district or transportation service provider incurs to
purchase one or more electric school buses, or to convert or repower
fossil-fuel-powered school buses to be powered by electricity;
(3) for prioritized
school districts, up to 95 percent of the cost a school district or
transportation service provider incurs to purchase one or more electric school
buses, or to convert or repower fossil-fuel-powered school buses to be powered
by electricity;
(4) up to 75 percent of
the cost of deploying, on the school district or transportation service
provider's real property, infrastructure required to operate electric school
buses, including but not limited to battery exchange stations, electric vehicle
infrastructure, or electric vehicle charging stations;
(5) for prioritized
school districts, up to 95 percent of the cost of deploying, on the school
district or transportation service provider's real property, infrastructure
required to operate electric school buses, including but not limited to battery
exchange stations, electric vehicle infrastructure, or electric vehicle
charging stations; and
(6) the reasonable costs
of technical assistance related to electric school bus deployment program
planning and to prepare grant applications for federal vehicle electrification
grants.
Subd. 6. Application
process. (a) The commissioner
must develop administrative procedures governing the application and grant
award process.
(b) The commissioner must
issue a request for proposals to eligible applicants who may wish to apply for
a grant under this section on behalf of a school.
(c) An eligible applicant
must submit an application for an electric school bus deployment grant to the
commissioner on a form prescribed by the commissioner. The form must require an applicant to supply,
at a minimum, the following information:
(1) the number of and a
description of the electric school buses the school district or transportation
service provider intends to purchase;
(2) the total cost to
purchase the electric school buses and the incremental cost, if any, of the
electric school buses when compared with fossil-fuel-powered school buses;
(3) a copy of the
proposed contract agreement between the school district, the electric utility,
the electric vehicle service provider, or the transportation service provider
that includes provisions addressing responsibility for maintenance of the electric
school buses and related electric vehicle infrastructure and battery exchange
stations;
(4) whether the school
district is a prioritized school district;
(5) areas of the school
district that serve significant numbers of students eligible for free and
reduced-price school meals, and areas that disproportionately experience poor
air quality, as measured by indicators such as the Minnesota Pollution Control
Agency's air quality monitoring network, the Minnesota Department of Health's
air quality and health monitoring, or other relevant indicators;
(6) the school district's plan to prioritize the deployment of electric
school buses in areas of the school district that:
(i) serve students
eligible for free and reduced-price school meals;
(ii) experience
disproportionately poor air quality; or
(iii) are located within
environmental justice areas, as defined in section 216B.1691, subdivision 1,
paragraph (e);
(7) areas of the school
district that are located within environmental justice areas, as defined in
section 216B.1691, subdivision 1, paragraph (e);
(8) the school
district's plan, if any, to make the electric school buses serve as a visible
learning tool for students, teachers, and visitors to the school, including how
vehicle electrification may be integrated into the school district's
curriculum;
(9) information that
demonstrates the school district's level of need for financial assistance
available under this section;
(10) any federal vehicle
electrification grants awarded to or applied for by the eligible applicant for
the same electric school buses or electric vehicle infrastructure proposed by
the eligible applicant in a grant application made under this section;
(11) information that
demonstrates the school district's readiness to implement the project and to
operate the electric school buses for no less than five years;
(12) with respect to the
installation and operation of the infrastructure required to operate electric
school buses, the willingness and ability of the electric vehicle service
provider or the electric utility to:
(i) pay employees and
contractors a prevailing wage rate, as defined in section 177.42, subdivision
6; and
(ii) comply with section
177.43; and
(13) any other
information deemed relevant by the commissioner.
(d) An eligible
applicant may seek a technical assistance grant under this section to assist
the eligible applicant apply for federal vehicle electrification grants. An eligible applicant seeking a technical
assistance grant under this section must submit an application to the
commissioner on behalf of a school district on a form prescribed by the
commissioner. The form must include, at
a minimum, the following information:
(1) the names of the
federal programs to which the applicant intends to apply;
(2) a description of the
technical assistance the applicants need in order to complete the federal
application; and
(3) any other
information deemed relevant by the commissioner.
(e) In awarding grants
under this section, the commissioner must give priority to applications from or
on behalf of prioritized school districts, and must endeavor to award no less
than 40 percent of the total amount of grants awarded under this section to
prioritized school districts.
(f) The commissioner
must administer an open application process under this section at least twice
annually.
Subd. 7. Technical
assistance. The department
must provide technical assistance to school districts to develop and execute
projects applied for or funded by grants awarded under this section.
Subd. 8. Grant
amounts. (a) In making grant
awards under this section, the amount of the grant must be based on the
commissioner's assessment of the school district's need for financial
assistance.
(b) A grant awarded under this
section, when combined with any federal vehicle electrification grants obtained
by an eligible applicant for the same electric school buses or electric vehicle
infrastructure as proposed by the eligible applicant in a grant application
made under this section, must not exceed the total cost of the electric school
buses or electric vehicle infrastructure funded by the grant.
Subd. 9. Application
deadline. No application may
be submitted under this section after December 31, 2032.
Subd. 10. Reporting. Beginning January 15, 2024, and each
year thereafter until January 15, 2034, the commissioner must report to the
chairs and ranking minority members of the legislative committees with
jurisdiction over energy regarding:
(1) grants and amounts
awarded to school districts under this section during the previous year; and
(2) any remaining balance
available in the electric school bus program account.
Subd. 11. Cost
recovery. (a) A prudent and
reasonable investment on electric vehicle infrastructure installed on a school
district's real property that is made by a public utility may be placed in the
public utility's rate base and earn a rate of return determined by the commission.
(b) Notwithstanding any
other provision of this chapter, the commission may approve a tariff mechanism
to automatically adjust annual charges for prudent and reasonable investments
made by a public utility on electric vehicle infrastructure installed on a
school district's real property.
Sec. 7. [216C.401]
ELECTRIC VEHICLE REBATES.
Subdivision 1. Definitions. (a) For purposes of this section and
section 216C.402, the terms in this subdivision have the meanings given.
(b) "Dealer"
means a person, firm, or corporation that:
(1) possesses a new motor
vehicle license under chapter 168;
(2) regularly engages in
the business of manufacturing or selling, purchasing, and generally dealing in
new and unused motor vehicles;
(3) has an established
place of business to sell, trade, and display new and unused motor vehicles;
and
(4) possesses new and
unused motor vehicles to sell or trade the motor vehicles.
(c) "Electric vehicle" has the meaning given in section
169.011, subdivision 26a, paragraphs (a) and (b), clause (3).
(d) "Eligible new
electric vehicle" means an electric vehicle that meets the requirements of
subdivision 2, paragraph (a).
(e) "Eligible used
electric vehicle" means an electric vehicle that meets the requirements of
subdivision 2, paragraph (b).
(f) "Lease"
means a business transaction under which a dealer furnishes an eligible
electric vehicle to a person for a fee under a bailor-bailee relationship where
no incidences of ownership transferred other than the right to use the vehicle
for a term of at least 24 months.
(g) "Lessee"
means a person who leases an eligible electric vehicle from a dealer.
(h) "New eligible
electric vehicle" means an eligible electric vehicle that has not been
registered in any state.
Subd. 2. Eligible
vehicle. (a) A new electric
vehicle is eligible for a rebate under this section if the electric vehicle:
(1) has not been
previously owned;
(2) is used by a dealer
as a floor model or test drive vehicle and has not been previously registered
in Minnesota or any other state;
(3) is returned to a
dealer by a purchaser or lessee:
(i) within two weeks of
purchase or leasing or when a purchaser's or lessee's financing for the
electric vehicle has been disapproved; or
(ii) before the purchaser
or lessee takes delivery, even if the electric vehicle is registered in
Minnesota;
(4) has not been modified
from the original manufacturer's specifications;
(5) has a base
manufacturer's suggested retail price that does not exceed $55,000;
(6) is purchased or
leased from a dealer or directly from an original equipment manufacturer that
does not have licensed franchised dealers in Minnesota; and
(7) is purchased or
leased after the effective date of this act for use by the purchaser and not
for resale.
(b) A used electric
vehicle is eligible for an electric vehicle rebate under this section if the
electric vehicle has previously been owned in Minnesota or another state and
has not been modified from the original manufacturer's specifications.
Subd. 3. Eligible
purchaser or lessee. A person
who purchases or leases an eligible new or used electric vehicle is eligible
for a rebate under this section if the purchaser or lessee:
(1) is one of the
following:
(i) a resident of
Minnesota, as defined in section 290.01, subdivision 7, paragraph (a), when the
electric vehicle is purchased or leased;
(ii) a business that has
a valid address in Minnesota from which business is conducted;
(iii) a nonprofit
corporation incorporated under chapter 317A; or
(iv) a political
subdivision of the state;
(2) has not received a
rebate or tax credit for the purchase or lease of an electric vehicle from the
state of Minnesota; and
(3) registers the
electric vehicle in Minnesota.
Subd. 4. Rebate
amounts. (a) A $2,500 rebate
may be issued under this section to an eligible purchaser to purchase or lease
an eligible new electric vehicle.
(b) A $500 rebate may be
issued under this section to an eligible purchaser or lessee of an eligible
used electric vehicle.
(c) A purchaser or lessee whose
household income at the time the eligible electric vehicle is purchased or
leased is less than 150 percent of the current federal poverty guidelines
established by the United States Department of Health and Human Services is
eligible for a rebate of $500 to purchase or lease an eligible new electric
vehicle and $100 to purchase or lease an eligible used electric vehicle. The rebate under this paragraph is in
addition to the rebate under paragraph (a) or (b), as applicable.
Subd. 5. Limits. The number of rebates allowed under
this section is limited to:
(1) no more than one
rebate per resident per household; and
(2) no more than one
rebate per business entity per year.
Subd. 6. Program
administration. (a) A rebate
application under this section must be filed with the commissioner on a form
developed by the commissioner.
(b) The commissioner
must develop administrative procedures governing the application and rebate
award process. Applications must be reviewed and rebates
awarded by the commissioner on a first-come, first-served basis.
(c) The commissioner
must, in coordination with dealers and other state agencies as applicable,
develop a procedure to allow a rebate to be used by an eligible purchaser or
lessee at the point of sale so that the rebate amount may be subtracted from
the selling price of the eligible electric vehicle.
(d) The commissioner may
reduce the rebate amounts provided under subdivision 4 or restrict program
eligibility based on the availability of money to award rebates or other
factors.
Subd. 7. Account
established. (a) The electric
vehicle rebate account is established as a separate account in the special
revenue fund in the state treasury. The
commissioner shall credit to the account appropriations and transfers to the
account. Earnings, including interest,
dividends, and any other earnings arising from assets of the account, must be
credited to the account. Money remaining
in the account at the end of a fiscal year does not cancel to the general fund,
but remains in the account until expended.
The commissioner shall manage the account.
(b) Money in the account
is appropriated to the commissioner to award rebates for electric vehicles and
to reimburse the reasonable costs of the department to administer this section.
Subd. 8. Expiration. This section expires June 30, 2027.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 8. [216C.402]
GRANT PROGRAM; MANUFACTURERS' CERTIFICATION OF AUTO DEALERS TO SELL ELECTRIC
VEHICLES.
Subdivision 1. Establishment. A grant program is established in the
department to award grants to dealers to offset the costs of obtaining the
necessary training and equipment that is required by electric vehicle
manufacturers in order to certify a dealer to sell electric vehicles produced
by the manufacturer.
Subd. 2. Application. An application for a grant under this
section must be made to the commissioner on a form developed by the
commissioner. The commissioner must
develop administrative procedures and processes to review applications and
award grants under this section.
Subd. 3. Eligible
applicants. An applicant for
a grant awarded under this section must be a dealer of new motor vehicles
licensed under chapter 168 operating under a franchise from a manufacturer of
electric vehicles.
Subd. 4. Eligible
expenditures. Appropriations
made to support the activities of this section must be used only to reimburse:
(1) a dealer for the
reasonable costs to obtain training and certification for the dealer's
employees from the electric vehicle manufacturer that awarded the franchise to
the dealer;
(2) a dealer for the
reasonable costs to purchase and install equipment to service and repair
electric vehicles, as required by the electric vehicle manufacturer that
awarded the franchise to the dealer; and
(3) the department for
the reasonable costs to administer this section.
Subd. 5. Limitation. A grant awarded under this section to
a single dealer must not exceed $40,000.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 9. [216C.45]
RESIDENTIAL ELECTRIC PANEL UPGRADE GRANT PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Area median
income" means the median income of the geographic area in which a
single-family or multifamily building whose owner is applying for a grant under
this section is located, as reported by the United States Department of Housing
and Urban Development.
(c) "Automatic
overcurrent protection device" means a device that protects against excess
current by interrupting the flow of current.
(d) "Bus" means
a metallic strip or bar that carries current.
(e) "Electric
panel" means an enclosed box or cabinet containing a building's electric
panels, including subpanels, that consists of buses, automatic overcurrent
protection devices, and equipment, with or without switches to control light,
heat, and power circuits. Electric panel
includes a smart panel.
(f) "Electrical
work" has the meaning given in section 326B.31, subdivision 17.
(g) "Eligible
applicant" means:
(1) an owner of a
single-family building whose occupants have an annual household income no
greater than 150 percent of the area median income; or
(2) an owner of a
multifamily building in which at least 50 percent of the units are occupied by
households whose annual income is no greater than 150 percent of the area
median income.
(h) "Multifamily
building" means a building containing two or more units.
(i) "Smart
panel" means an electrical panel that may be electronically programmed to
manage electricity use in a building automatically.
(j) "Unit"
means a residential living space in a multifamily building occupied by an
individual or a household.
(k) "Upgrade"
means:
(1) for a single-family
residence:
(i) the installation of
equipment, devices, and wiring necessary to increase an electrical panel's
capacity to a total rating:
(A) of not less than 200
amperes; or
(B) that allows all the
building's energy needs to be provided solely by electricity, as calculated
using the National Electrical Code adopted in Minnesota; or
(ii) the installation of
a smart panel with or without additional equipment, devices, or wiring; and
(2) for a multifamily
building, the installation of equipment, devices, and wiring necessary to
increase the capacity of an electric panel, including feeder panels, to a total
rating that allows all the building's energy needs to be provided solely by electricity,
as calculated using the National Electrical Code adopted in Minnesota.
Subd. 2. Program
establishment. A residential
electric panel upgrade grant program is established in the department to
provide financial assistance to owners of single-family residences and
multifamily buildings to upgrade residential electric panels.
Subd. 3. Account
established. (a) The
residential electric panel upgrade grant account is established as a separate
account in the special revenue fund in the state treasury. The commissioner shall credit to the account
appropriations and transfers to the account.
Earnings, including interest, dividends, and any other earnings arising
from assets of the account, must be credited to the account. Money remaining in the account at the end of
a fiscal year does not cancel to the general fund, but remains in the account
until expended. The commissioner shall
manage the account.
(b) Money in the account
is appropriated to the commissioner to award electric panel upgrade grants and
to reimburse the reasonable costs of the department to administer this section.
Subd. 4. Application
process. An applicant seeking
a grant under this section must submit an application to the commissioner on a
form developed by the commissioner. The
commissioner must develop administrative procedures to govern the application
and grant award process. The
commissioner may contract with a third party to conduct some or all of the
program's operations.
Subd. 5. Grant
awards. A grant may be
awarded under this section to:
(1) an eligible
applicant; or
(2) with the written
permission of an eligible applicant submitted to the commissioner, a contractor
performing an upgrade or a third party on behalf of the eligible applicant.
Subd. 6. Grant
amount. (a) Subject to the
limits of paragraphs (b) to (e), a grant awarded under this section may be used
to pay 100 percent of the equipment and installation costs of an upgrade.
(b) The commissioner may
not award a grant to an eligible applicant under this section which, in
combination with a federal grant awarded to the eligible applicant under the
federal Inflation Reduction Act of 2022, Public Law 117-189, for the same
electric panel upgrade, exceeds 100 percent of the equipment and installation
costs of the upgrade.
(c) The maximum grant
amount under this section that may be awarded to an eligible applicant who owns
a single-family residence is:
(1) $3,000 for an owner whose
annual household income is less than 80 percent of area median income; and
(2) $2,000 for an owner
whose annual household income exceeds 80 percent but is not greater than 150
percent of area median income.
(d) The maximum grant
amount that may be awarded under this section to an eligible applicant who owns
a multifamily building is the sum of $5,000, plus $500 multiplied by the number
of units containing a separate electric panel receiving an upgrade in the
multifamily building, not to exceed $50,000 per multifamily building.
(e) The commissioner may
approve a grant amount that exceeds the maximum grant amount in paragraph (c)
or (d), up to 100 percent of the equipment and installation costs of the
upgrade, if the commissioner determines that a larger grant amount is necessary
in order to complete the upgrade.
Subd. 7. Limitation. No more than one grant may be awarded
to an owner under this section for work conducted at the same single-family residence
or multifamily building.
Subd. 8. Outreach. The department must publicize the
availability of grants under this section to, at a minimum:
(1) income-eligible
households;
(2) community action
agencies and other public and private nonprofit organizations that provide
weatherization and other energy services to income-eligible households; and
(3) multifamily property
owners and property managers.
Subd. 9. Contractor
or subcontractor requirements. Contractors
and subcontractors performing electrical work under a grant awarded under this
section:
(1) must comply with the
provisions of sections 326B.31 to 326B.399;
(2) must certify that
the electrical work is performed by a licensed journeyworker electrician or a
registered unlicensed individual under the direct supervision of a licensed
journeyworker electrician or master electrician employed by the same licensed electrical
contractor; and
(3) must pay workers the
prevailing wage rate, as defined in section 177.42, and are subject to the
requirements and enforcement provisions in sections 177.27, 177.30, 177.32,
177.41 to 177.435, and 177.45.
Subd. 10. Report. Beginning January 1, 2025, and each
January 1 through 2033, the department must submit a report to the chairs and
ranking minority members of the legislative committees with primary
jurisdiction over climate and energy policy describing the activities and
expenditures under the program established in this section. The report must include, at a minimum:
(1) the number of units
in multifamily buildings and the number of single-family residences whose
owners received grants;
(2) the geographic
distribution of grant recipients; and
(3) the average amount
of grants awarded per building in multifamily buildings and in single-family
residences.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 10. TRANSPORTATION
ELECTRIFICATION FACILITY UPGRADES; TARIFF FILING.
No later than November 1,
2023, each public utility must file with the Public Utilities Commission
revised tariffs for charges related to the extension, enlargement, or other
modifications to the public utility's distribution system that are necessary to
support transportation electrification.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 11. REPEALER.
Minnesota Statutes 2022,
section 16B.24, subdivision 13, is repealed.
ARTICLE 12
ENERGY CONSERVATION AND STORAGE
Section 1. Minnesota Statutes 2022, section 16B.325, is amended to read:
16B.325 SUSTAINABLE BUILDING GUIDELINES.
Subdivision 1. Development
of sustainable building guidelines. The
Department of Administration and the Department of Commerce, with the
assistance of other agencies, shall develop sustainable building design
guidelines for all new state buildings by January 15, 2003, and for all major
renovations of state buildings by February 1, 2009. The primary objectives of these guidelines
are to ensure that all new state buildings, and major renovations of state
buildings, initially exceed the state energy code, as established in Minnesota
Rules, chapter 7676, by at least 30 percent.
Subd. 1a. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Capital
project" or "project" means the acquisition or betterment of
buildings or other fixed assets and other improvements of a capital nature.
(c) "CSBR"
means the Center for Sustainable Building Research at the University of
Minnesota.
(d)
"Guidelines" means the sustainable building design guidelines
developed under this section.
(e) "Major
renovation" means a project that:
(1) has a renovated area
that is at least 10,000 square feet; or
(2) includes, at a
minimum, the replacement of the mechanical, ventilation, or cooling system of a
building or a section of a building.
(f) "New
building" means a newly constructed structure and additions to existing
buildings that meet both of the following criteria:
(1) the addition is
heated, whether or not the addition's source of energy is from an adjacent
building or district heating system; and
(2) the addition is
cooled, whether or not the addition's source of energy is from an adjacent
building or district cooling system.
(g) "State
agency" means a state agency that is appropriated money from the bond
proceeds fund or general fund for a project that is subject to the guidelines
under this section.
Subd. 2. Lowest
possible cost; energy conservation. The guidelines must focus
on achieving the lowest possible lifetime cost for new buildings and major
renovations, and allow for changes in the guidelines that encourage continual
energy conservation improvements in new buildings and major renovations. The guidelines shall define "major
renovations" for purposes of this section.
The definition may not allow "major renovations" to encompass
less than 10,000 square feet or to encompass less than the replacement of the
mechanical, ventilation, or cooling system of the building or a section of the
building. The design guidelines must
establish sustainability guidelines that include air quality and lighting
standards and that create and maintain a healthy environment and facilitate
productivity improvements; specify ways to reduce material costs; and must consider
the long-term operating costs of the building, including the use of renewable
energy sources and distributed electric energy generation that uses a renewable
source or natural gas or a fuel that is as clean or cleaner than natural gas.
Subd. 2a. Guidelines;
purpose. (a) The primary
objectives of the guidelines are to:
(1) reduce energy
consumption and statewide greenhouse gas emissions, as defined in section
216H.01, subdivision 2;
(2) improve the quality
of the environment;
(3) achieve the lowest
possible lifetime cost for new buildings and major renovations; and
(4) encourage design of
resilient buildings to adapt to and accommodate projected climate-related
changes that are reflected in both acute events and chronic trends, including
but not limited to changes in temperature and precipitation levels.
(b) The guidelines must
consider the following to meet the objectives in paragraph (a):
(1) the health,
well-being, and productivity of building occupants;
(2) material costs and
sustainability;
(3) construction and
operating costs;
(4) the use of renewable
energy sources;
(5) water usage;
(6) diversion of waste
from landfills;
(7) air quality and
lighting standards;
(8) site design; and
(9) any other factors the
commissioner deems relevant.
(c) The guidelines may be
revised to encourage continual energy conservation improvements in new
buildings and major renovations.
Subd. 3. Development
of guidelines; applicability. (a)
In developing the guidelines, the departments shall use an open process,
including providing the opportunity for public comment. The guidelines established under this section
are mandatory for all new buildings receiving funding from the bond proceeds
fund after January 1, 2004, and for all major renovations receiving funding
from the bond proceeds fund after January 1, 2009. The guidelines are also mandatory for all
new buildings and major renovations receiving funding from the general fund
after January 1, 2023.
(b) The guidelines do not apply
to projects that have:
(1) already completed
design at the time money is received from the bond proceeds fund or general
fund; and
(2) not received an appropriation
from the bond proceeds fund before January 1, 2023.
Subd. 4. Guideline
revisions. The commissioners
of administration and commerce shall review the guidelines periodically and as
soon as practicable revise the guidelines to incorporate performance standards
developed under section 216B.241, subdivision 9.
Subd. 4a. Guidelines;
annual review. On or before
February 1, 2024, and each year thereafter, the commissioner of administration
must review and amend the guidelines to better meet the goals under subdivision
6. The review must be conducted with the
commissioner of commerce and in consultation with other stakeholders.
Subd. 5. Guideline
administration and oversight. (a)
The commissioner of administration, in consultation with the commissioner of
commerce, shall contract with CSBR to administer the guidelines. At a minimum, CSBR must:
(1) offer training on an
annual basis to state agencies, project team members, and other entities
involved in designing projects subject to the guidelines on how projects may
meet the guideline requirements;
(2) develop procedures
for compliance with the guidelines, in accordance with the criteria under
subdivision 7;
(3) periodically conduct
postconstruction performance evaluations on projects to evaluate the
effectiveness of the guidelines in meeting the goals under subdivision 6;
(4) determine whether
project designs comply with the guidelines;
(5) administer a
tracking system for all projects subject to the guidelines;
(6) develop measurable
goals for the guidelines based in accordance with subdivision 6;
(7) offer technical
assistance to state agencies, project team members, and other entities with
responsibility for managing and designing projects subject to the guidelines;
(8) provide a report on
or before December 1 annually to the commissioner of administration on the
following:
(i) the current status
of all projects subject to the guidelines and the projects' compliance with the
guidelines; and
(ii) an analysis of the
effects of the guidelines on the goals under subdivision 6; and
(9) perform any other
duties required by the commissioner of administration to administer the
guidelines.
(b) State agencies,
project team members, and other entities that are responsible for managing or
designing projects subject to the guidelines must provide any compliance data
requested by CSBR that CSBR deems necessary to fulfill the duties described under
this subdivision.
(c) The commissioner of
administration is responsible for ensuring that the oversight duties under this
subdivision are fulfilled.
Subd. 6. Measurable
goals. CSBR, in collaboration
with the commissioner of administration and the commissioner of commerce, must
develop measurable goals for the guidelines based on the objectives and
considerations described in subdivision 2a.
The commissioner of administration must provide final approval of the
goals under this subdivision.
Subd. 7. Procedures. (a) The commissioner of administration must develop procedures to administer the guidelines. The commissioner of administration may delegate guideline administration responsibilities to state agencies. The procedures under this subdivision must specify the administrative activities for which state agencies are responsible.
(b) The procedures must
include:
(1) criteria to identify
whether a project is subject to the guidelines;
(2) information on
project team member roles and guideline administration requirements for each
role;
(3) a process to notify
projects subject to the guidelines of the guideline requirements;
(4) a guideline-related
data submission process coordinated by the commissioner of administration;
(5) activities and a
timeline to monitor project compliance with the guidelines; and
(6) record-keeping requirements
and related retention schedules for materials related to guideline compliance.
Subd. 8. Guidelines
waivers. (a) The commissioner
of administration, in consultation with the commissioner of commerce and other
stakeholders, must develop a process to review and approve waivers to the
guidelines.
(b) A waiver under this
subdivision is only permitted due to technological limitations or when the
project's intended use conflicts with the guidelines.
(c) A waiver request for
a project owned by a state agency must be reviewed and approved by the
commissioner of administration. If the
waiver request is for a project owned by the Department of Administration, the
waiver request must be approved by the commissioner of management and budget.
Subd. 9. Report. The commissioner of administration
must report to the legislature by February 1 of each year. The report must include:
(1) information on the
current status of all projects subject to the guidelines and the projects'
compliance with the guidelines;
(2) an analysis of the
effects of the guidelines on the measurable goals under subdivision 6; and
(3) any other information
the commissioner of administration deems relevant.
EFFECTIVE DATE. This
section is effective July 1, 2023.
Sec. 2. Minnesota Statutes 2022, section 216B.1611, is amended by adding a subdivision to read:
Subd. 5. Distributed
generation capacity; treatment. (a)
No later than November 1, 2023, the commission must issue an order clarifying
that for the purpose of interconnecting an on-site customer-owned distributed
generation facility, the capacity of the facility must be measured and
expressed as:
(1) export capacity
rather than nameplate capacity; and
(2) alternating current
capacity.
(b) For the purposes of this
subdivision, "export capacity" means a distributed generation
facility's nameplate capacity net of any limitations on the amount of power the
distributed generating facility is capable of exporting to a utility's
distribution system resulting from physical equipment that is part of or
connected to the generating facility, including but not limited to an inverter,
relay, or energy storage system, as defined in section 216B.2422, subdivision
1, paragraph (f), as reported to the utility by the owner of the distributed
generation facility.
(c) The owner of a
distributed generation facility interconnected to a utility's distribution
system may not increase the export capacity of the distributed generation
facility beyond the level that was first interconnected to the utility's
distribution system without the utility's written approval. The utility must respond in writing to an
owner's notice of intent to increase export capacity within 90 days of the date
the notice of interest is received, and may reject the request only upon
determining that approving the request would reduce safety or the reliability
of electric service.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. [216B.1616]
ENERGY STORAGE; PEAK SHAVING TARIFF.
(a) No later than
September 15, 2023, the commission must initiate a docket designed to result in
a commission order requiring public utilities providing electric service to
file a tariff with the commission, based on guidelines established in the
order, to compensate customer-owners of on-site energy storage systems, as
defined in section 216B.2422, subdivision 1, paragraph (f), for the discharge
of stored energy that is net input to the utility during periods of peak
electricity demand by utility customers.
(b) Within 90 days of the
date the commission issues an order under this subdivision, each public utility
must file with the commission for commission
approval, disapproval, or modification a tariff that is consistent with the
order.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. [216B.1697]
ENERGY STORAGE SYSTEMS; DEPLOYMENT TARGETS.
Subdivision 1. Definition. For the purposes of this section,
"energy storage system" has the meaning given in section 216B.2422,
subdivision 1.
Subd. 2. Deployment
targets. (a) Each utility
required to file a resource plan under section 216B.2422 must deploy energy
storage systems of a capacity determined by the commission under paragraph (b). No later than December 31, 2033, the
aggregate statewide capacity of energy storage systems deployed by all
utilities subject to this section must be at least 3,000 megawatts.
(b) No later than October
1, 2023, the commission must issue an order specifying the amount of energy
storage capacity required of each utility subject to this section in order to
meet the statewide capacity target and schedule in paragraph (a). The amount of energy storage capacity
required of an individual utility must be calculated by dividing each utility's
total electric retail sales to Minnesota customers in 2022 by total electric
retail sales to Minnesota customers in 2022 of all utilities subject to this
section, and multiplying that quotient by 3,000 megawatts. The commission may establish interim energy
storage capacity targets that utilities are required to meet before the 2033
target date.
Subd. 3. Application. (a) A utility must file an application
with the commission prior to installing each proposed energy storage system contributing
to the energy storage target assigned to the utility under subdivision 2. Each application must contain:
(1) the energy storage
system's technical specifications, including but not limited to:
(i) the maximum amount of
electric output that the energy storage system can provide;
(ii) the length of time
the energy storage system can sustain maximum output;
(iii) the location of the
project within the utility's distribution system and a description of the
analysis conducted to determine the location;
(iv) a description of the
utility's electric system needs that the proposed energy storage system
addresses;
(v) a description of the
types of services the energy storage system is expected to provide; and
(vi) a description of the
technology required to construct, operate, and maintain the energy storage
system, including any data or communication system necessary to operate the
energy storage system;
(2) the estimated cost of
the project, including:
(i) capital costs;
(ii) the estimated cost
per unit of energy delivered by the energy storage system; and
(iii) an evaluation of
the cost-effectiveness of the energy storage system;
(3) the estimated benefits of the energy storage system to the
utility's electric system, including but not limited to:
(i) deferred investments
in generation, transmission, or distribution capacity;
(ii) reduced need for
electricity during times of peak demand;
(iii) improved
reliability of the utility's transmission or distribution system; and
(iv) improved integration
of the utility's renewable energy resources;
(4) a description
indicating how the addition of an energy storage system complements the
utility's proposed actions described in the most recent integrated resource
plan submitted under section 216B.2422 to meet expected demand with the least
expensive combination of resources; and
(5) any additional
information required by the commission.
(b) A utility must
include in the application an evaluation of the potential to store energy
throughout the utility's electric system and must identify geographic areas in
the utility's service area where the deployment of energy storage systems has
the greatest potential to achieve the economic benefits identified in paragraph
(a), clause (3).
Subd. 4. Commission
review. The commission must
review each proposal submitted under this section and may approve, reject, or
modify the proposal. The commission must
approve a proposal the commission determines:
(1) is in the public interest; and (2) reasonably balances the value
derived from the deployment of an energy storage system for ratepayers and the
utility's operations with the cost to procure, construct, operate, and maintain
the energy storage system.
Subd. 5. Cost
recovery. A public utility
may recover from ratepayers all costs prudently incurred by the public utility
to deploy an energy storage system approved by the commission under this
section, net of any revenues generated by the operation of the energy storage
system.
Subd. 6. Reporting;
compliance. The commission
must establish reporting procedures for utilities that are sufficient in
content and frequency to keep the commission informed regarding compliance with
this section.
Subd. 7. Commission
authority; orders. The commission
may issue orders and conduct proceedings necessary to implement and administer
this section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2022, section 216B.2402, subdivision 16, is amended to read:
Subd. 16. Low-income
household. "Low-income
household" means a household whose household income:
(1) is 60 80
percent or less of the state area median household income.
for the geographic area in which the low‑income household is located,
as calculated by the United States Department of Housing and Urban Development;
or
(2) meets the income
eligibility standards, as determined by the commissioner, required for a
household to receive financial assistance from a federal, state, municipal, or
utility program administered or approved by the department.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 6. Minnesota Statutes 2022, section 216B.2422, subdivision 7, is amended to read:
Subd. 7. Energy
storage systems assessment. (a) Each
public utility required to file a resource plan under subdivision 2 must
incorporate in the utility's resource planning the energy storage targets
the utility is required to meet under section 216B.1697 and must include in
the filing an assessment of energy storage systems that analyzes how the
deployment of energy storage systems contributes to:
(1) meeting identified
generation and capacity needs; and
(2) the factors
identified in section 216B.1697, subdivision 3, paragraph (a), clause (3); and
(2) (3) evaluating
ancillary services.
(b) The assessment must employ appropriate modeling methods to enable the analysis required in paragraph (a).
Sec. 7. Minnesota Statutes 2022, section 216C.05, subdivision 2, is amended to read:
Subd. 2. Energy policy goals. It is the energy policy of the state of Minnesota that:
(1) annual energy savings
equal to at least 1.5 percent of annual retail energy sales of electricity and
natural gas be is achieved through cost-effective energy
efficiency;
(2) the per capita use of
fossil fuel as an energy input be is reduced by 15 percent by the
year 2015, through increased reliance on energy efficiency and renewable energy
alternatives;
(3) 25 percent of the total
energy used in the state be Minnesota is derived from renewable
energy resources by the year 2025; and
(4) energy use in
existing commercial and residential buildings is reduced by 50 percent by 2035,
and is achieved by: (i) using the most
effective current energy-saving incentive programs, evaluated by participation
and efficacy; and (ii) developing and implementing new programs, prioritizing
solutions that achieve the highest overall carbon reduction; and
(4) (5) retail
electricity rates for each customer class be are at least five
percent below the national average.
Sec. 8. Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision to read:
Subd. 1a. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Low-income
conservation program" means a utility program that offers energy
conservation services to low-income households under sections 216B.2403,
subdivision 5, and 216B.241, subdivision 7.
(c) "Preweatherization
measure" has the meaning given in section 216B.2402, subdivision 20.
(d) "Weatherization
assistance program" means the federal program described in Code of Federal
Regulations, title 10, part 440 et seq., designed to assist low-income
households reduce energy use in a cost-effective manner.
(e) "Weatherization
services" means the energy conservation preweatherization measures
installed in households under the weatherization assistance program and
low-income conservation program.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 9. Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision to read:
Subd. 1b. State
supplementary weatherization grants account. (a) A state supplementary
weatherization grants account is established as a separate account in the
special revenue fund in the state treasury.
The commissioner must credit appropriations and transfers to the account. Earnings, including interest, dividends, and
any other earnings arising from assets of the account, must be credited to the
account. Money remaining in the account
at the end of a fiscal year does not cancel to the general fund but remains in
the account until expended. The
commissioner must manage the account.
(b) Money in the account
is appropriated to the commissioner for the purposes of subdivision 5.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 10. Minnesota Statutes 2022, section 216C.264, subdivision 5, is amended to read:
Subd. 5. Grant
allocation. (a) The
commissioner must distribute supplementary state grants in a manner consistent
with the goal of producing the maximum number of weatherized units. Supplementary state grants are provided
primarily for the payment of may be used:
(1) to address physical
deficiencies in a residence that increase heat loss, including deficiencies
that prohibit the residence from being eligible to receive federal
weatherization assistance;
(2) to install
preweatherization measures established by the commissioner under section
216B.241, subdivision 7, paragraph (g);
(3) to increase the
number of weatherized residences;
(4) to conduct outreach
activities to make income-eligible households aware of the weatherization
services available to income-eligible households, to assist applicants to fill
out applications for weatherization assistance, and to provide translation services
where necessary;
(5) to enable a project
in a multifamily building to proceed even if the project cannot comply with the
federal requirement that the project must be completed within the same federal
fiscal year in which a project begins;
(6) to address shortages
of workers trained to provide weatherization services, including expanding
training opportunities in existing and new training programs;
(7) to support the
operation of the weatherization training program under section 216C.2641;
(8) to pay additional
labor costs for the federal weatherization program,; and
(9) as an incentive for the increased production of weatherized units.
(b) Criteria for the allocation of state grants to local agencies include existing local agency production levels, emergency needs, and the potential for maintaining or increasing acceptable levels of production in the area.
(c) An eligible local agency may receive advance funding for 90 days' production, but thereafter must receive grants solely on the basis of program criteria.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 11. [216C.2641]
WEATHERIZATION TRAINING GRANT PROGRAM.
Subdivision 1. Establishment. The commissioner of commerce must
establish a weatherization training grant program to award grants to train
workers for careers in the weatherization industry.
Subd. 2. Grants. (a) The commissioner must award grants
through a competitive grant process.
(b) An eligible entity
under paragraph (c) seeking a grant under this section must submit a written
application to the commissioner using a form developed by the commissioner.
(c) The commissioner may
award grants under this section only to:
(1) a nonprofit organization exempt from taxation under section
501(c)(3) of the United States Internal Revenue Code;
(2) a labor organization,
as defined in section 179.01, subdivision 6; or
(3) a job training center
or educational institution that the commissioner of commerce determines has the
ability to train workers for weatherization careers.
(d) Grant funds must be
used to pay costs associated with training workers for careers in the
weatherization industry, including related supplies, materials, instruction,
and infrastructure.
(e) When awarding grants
under this section, the commissioner must give priority to applications that
provide the highest quality training to prepare trainees for weatherization
employment opportunities that meet technical standards and certifications developed
by the Building Performance Institute, Inc., or the Standard Work
Specifications developed by the United States Department of Energy for the
federal Weatherization Assistance Program.
Subd. 3. Reports. By January 15, 2025, and each January
15 thereafter, the commissioner must submit a report to the chairs and ranking
minority members of the senate and house of representatives committees with
jurisdiction over energy policy. The
report must detail the use of grant funds under this section, including data on
the number of trainees trained and the career progress of trainees supported by
prior grants.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 12. [216C.331]
ENERGY BENCHMARKING.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Aggregated
customer energy use data" means customer energy use data, which is
combined into one collective data point per time interval. Aggregated customer energy use data is data
with any unique identifiers or other personal information removed that a
qualifying utility collects and aggregates in at least monthly intervals for an
entire building on a covered property.
(c) "Benchmark"
means to electronically input into a benchmarking tool the total energy use
data and other descriptive information about a building that is required by a
benchmarking tool.
(d) "Benchmarking
information" means data related to a building's energy use generated by a
benchmarking tool, and other information about the building's physical and
operational characteristics. Benchmarking
information includes but is not limited to the building's:
(1) address;
(2) owner and, if
applicable, the building manager responsible for operating the building's
physical systems;
(3) total floor area,
expressed in square feet;
(4) energy use
intensity;
(5) greenhouse gas
emissions; and
(6) energy performance
score comparing the building's energy use with that of similar buildings.
(e) "Benchmarking
tool" means the United States Environmental Protection Agency's Energy
Star Portfolio Manager tool or an equivalent tool determined by the
commissioner.
(f) "Customer
energy use data" refers to data collected from the utility customer meters
that reflect the quantity, quality, or timing of customers' usage.
(g) "Covered
property" means any property that is served by an investor-owned utility
in the metropolitan area as defined in section 473.121, subdivision 2, or by a
municipal energy utility or investor-owned utility in any city outside the metropolitan
area with a population of over 50,000 residents, and that has one or more
buildings containing in sum 50,000 gross square feet or greater. Covered property does not include:
(1) a residential
property containing fewer than five dwelling units;
(2) a property that is: (i) classified as manufacturing under the
North American Industrial Classification System (NAICS); (ii) an
energy-intensive trade-exposed customer, as defined in section 216B.1696; (iii)
an electric power generation facility; or
(iv) otherwise an industrial building incompatible with benchmarking in the
benchmarking tool;
(3) an agricultural
building; or
(4) a multitenant
building that is served by a utility that cannot supply aggregated customer
usage data, and other property types that do not meet the purposes of this
section, as determined by the commissioner.
(h) "Energy"
means electricity, natural gas, steam, or another product used to: (1) provide heating, cooling, lighting, or
water heating; or (2) power other end uses in a building.
(i) "Energy use
intensity" means the total annual energy consumed in a building divided by
the building's total floor area.
(j) "Energy
performance score" means a numerical value from one to 100 that the Energy
Star Portfolio Manager tool calculates to rate a building's energy efficiency
against that of comparable buildings nationwide.
(k) "Energy Star
Portfolio Manager" means an interactive resource management tool developed
by the United States Environmental Protection Agency that (1) enables the
periodic entry of a building's energy use data and other descriptive
information about a building, and (2) rates a building's energy efficiency
against that of comparable buildings nationwide.
(l) "Financial
distress" means a covered property that, at the time benchmarking is
conducted:
(1) is the subject of a
qualified tax lien sale or public auction due to property tax arrearages;
(2) is controlled by a
court-appointed receiver based on financial distress;
(3) is owned by a
financial institution through default by the borrower;
(4) has been acquired by
deed in lieu of foreclosure; or
(5) has a senior
mortgage that is subject to a notice of default.
(m) "Local
government" means a statutory or home rule municipality or county.
(n) "Owner" means:
(1) an individual or entity that possesses title to a covered property; or
(2) an agent authorized
to act on behalf of the covered property owner.
(o) "Qualifying utility" means a utility serving the covered property, including:
(1) an electric or gas utility, including:
(i) an investor-owned
electric or gas utility; or
(ii) a municipally owned electric or gas utility;
(2) a natural gas supplier with five or more active commercial
connections, accounts, or customers in the state; or
(3) a district stream,
hot water, or chilled water provider.
(p) "Tenant"
means a person that occupies or holds possession of a building or part of a
building or premises pursuant to a rental or lease agreement.
(q) "Total floor
area" means the sum of gross square footage inside a building's envelope,
measured between the outside exterior walls of the building. Total floor area includes covered parking
structures.
(r) "Utility
customer" means the building owner or tenant listed on the utility's
records as the customer liable for payment of the utility service or additional
charges assessed on the utility account.
Subd. 2. Establishment. The commissioner must establish and
maintain a building energy benchmarking program. The purpose of the program is to:
(1) make a building's
owners, tenants, and potential tenants aware of (i) the building's energy
consumption levels and patterns, and (ii) how the building's energy use
compares with that of similar buildings nationwide; and
(2) enhance the
likelihood that an owner adopts energy conservation measures in the owner's
building as a way to reduce energy use, operating costs, and greenhouse gas
emissions.
Subd. 3. Classification
of covered properties. For
the purposes of this section, a covered property is classified as follows:
|
Class
|
Total Floor Area (square feet) |
|
1
|
100,000 or more |
|
2
|
50,000 to 99,999 |
Subd. 4. Benchmarking
requirement. (a) An owner
must annually benchmark all covered property owned as of December 31 in
conformity with the schedule in subdivision 7.
Energy use data must be compiled by:
(1) obtaining the data
from the utility providing the energy; or
(2) reading a master
meter.
(b) Before entering
information in a benchmarking tool, an owner must run all automated data
quality assurance functions available within the benchmarking tool and must
correct all data identified as missing or incorrect.
(c) An owner who becomes
aware that any information entered into a benchmarking tool is inaccurate or
incomplete must amend the information in the benchmarking tool within 30 days
of the date the owner learned of the inaccuracy.
(d) Nothing in this
subdivision prohibits an owner of property that is not a covered property from
voluntarily benchmarking a property under this section.
Subd. 5. Exemption
by individual building. (a)
The commissioner may exempt an owner of a covered property from the
requirements of subdivision 4 if the owner provides evidence satisfactory to
the commissioner that the covered property:
(1) is presently
experiencing financial distress;
(2) has been less than 50
percent occupied during the previous calendar year;
(3) does not have a certificate of occupancy or temporary certificate of
occupancy for the full previous calendar year;
(4) was issued a
demolition permit during the previous calendar year that remains current; or
(5) received no energy
services for at least 30 days during the previous calendar year.
(b) An exemption granted
under this subdivision applies only to a single calendar year. An owner must reapply to the commissioner
each year an extension is sought.
(c) Within 30 days of the
date an owner makes a request under this paragraph, a tenant of a covered
property subject to this section must provide the owner with any information
regarding energy use of the tenant's rental unit that the property owner cannot
otherwise obtain and that is needed by the owner to comply with this section. The tenant must provide the information
required under this paragraph in a format approved by the commissioner.
Subd. 6. Exemption
by other government benchmarking program.
An owner is exempt from the requirements of subdivision 4 for a
covered property if the property is subject to a benchmarking requirement by
the state, a city, or other political subdivision with a benchmarking
requirement that the commissioner determines is equivalent or more stringent,
as determined under subdivision 11, paragraph (b), than the benchmarking
requirement established in this section.
The exemption under this subdivision applies in perpetuity unless or
until the benchmarking requirement is changed or revoked and the commissioner
determines the benchmarking requirement is no longer equivalent nor more
stringent.
Subd. 7. Benchmarking
schedule. (a) An owner must
annually benchmark each covered property for the previous calendar year
according to the following schedule:
(1) all Class 1
properties by June 1, 2025, and by every June 1 thereafter; and
(2) all Class 2
properties by June 1, 2026, and by every June 1 thereafter.
(b) Beginning June 1, 2025, for Class 1 properties, and June 1, 2026, for Class 2 properties, an owner who is selling a covered property must provide the following to the new owner at the time of sale:
(1) benchmarking information for the most recent 12-month period, including monthly energy use by source; or
(2) ownership of the
digital property record in the benchmarking tool through an online transfer.
Subd. 8. Utility
data requirements. (a) In
implementing this section, a qualifying utility shall implement the data
aggregation standards established by the commission in docket number 19-505,
including changes to the standards adopted in an order issued after the
effective date of this section. A
municipal energy utility serving a covered property under this section shall
adopt data aggregation standards that are substantially similar to the
standards included in the commission's order in that docket and subsequent
relevant orders.
(b) Customer energy use
data that a qualifying utility provides an owner pursuant to this subdivision
must be:
(1) available on, or able to be requested through, an easily navigable web portal or online request form using up‑to-date standards for digital authentication;
(2) provided to the owner within 30 days after receiving the owner's valid written or electronic request;
(3) provided for at least 24 consecutive months of energy consumption or as many months of consumption data that are available if the owner has owned the building for less than 24 months;
(4) directly uploaded to the owner's benchmarking tool account, delivered in the spreadsheet template specified by the benchmarking tool, or delivered in another format approved by the commissioner;
(5) provided to the owner on at least an annual basis until the owner revokes the request for energy use data or sells the covered property; and
(6) provided in monthly
intervals, or the shortest available intervals based in billing.
(c) Data necessary to
establish, utilize, or maintain information in the benchmarking tool under this
section may be collected or shared as provided by this section and are
considered public data whether or not the data have been aggregated.
Subd. 9. Data
collection and management. (a)
The commissioner must:
(1) collect benchmarking
information generated by a benchmarking tool and other related information for
each covered property;
(2) provide technical assistance to owners entering data into a benchmarking tool;
(3) collaborate with the
Department of Revenue to collect the data necessary for establishing the
covered property list annually; and
(4) provide technical
guidance to utilities in the establishment of data aggregation and access
tools.
(b) Upon request of the
commissioner, a county assessor shall provide readily available property data
necessary for the development of the covered property list, including but not
limited to gross floor area, property type, and owner information by January 15
annually.
(c) The commissioner
must:
(1) rank benchmarked
covered properties in each property class from highest to lowest performance
score or, if a performance score is unavailable for a covered property, from
lowest to highest energy use intensity;
(2) divide covered properties in each property class into four quartiles
based on the applicable measure in clause (1);
(3) assign four stars to
each covered property in the quartile of each property class with the highest
performance scores or lowest energy use intensities, as applicable;
(4) assign three stars
to each covered property in the quartile of each property class with the second
highest performance scores or second lowest energy use intensities, as
applicable;
(5) assign two stars to
each covered property in the quartile of each property class with the third
highest performance scores or third lowest energy use intensities, as
applicable;
(6) assign one star to
each covered property in the quartile of each property class with the lowest
performance scores or highest energy use intensities, as applicable; and
(7) serve notice in
writing to each owner identifying the number of stars assigned by the
commissioner to each of the owner's covered properties.
Subd. 10. Data
disclosure to public. (a) The
commissioner must post on the department's website and update by December 1
annually the following information for the previous calendar year:
(1) annual summary
statistics on energy use for all covered properties;
(2) annual summary
statistics on energy use for all covered properties, aggregated by covered
property class, as defined in subdivision 3, city, and county;
(3) the percentage of
covered properties in each building class listed in subdivision 3 that are in
compliance with the benchmarking requirements under subdivisions 4 to 7; and
(4) for each covered
property, at a minimum, the address, total energy use, energy use intensity,
annual greenhouse gas emissions, and energy performance score, if available.
(b) The commissioner
must post the information required under this subdivision for:
(1) all Class 1 properties by November 1, 2025, and by every November 1 thereafter; and
(2) all Class 2
properties by November 1, 2026, and by every November 1 thereafter.
Subd. 11. Coordination
with other benchmarking programs. (a)
The commissioner shall coordinate with any state agency or local government
that implements an energy benchmarking program, including the coordination of
reporting requirements.
(b) This section does not restrict a local government from adopting or implementing an ordinance or resolution that imposes more stringent benchmarking requirements. For purposes of this section, a local government benchmarking program is more stringent if the program requires:
(1) buildings to be benchmarked that are not required to be benchmarked under this section; or
(2) benchmarking of
information that is not required to be benchmarked under this section.
(c) Benchmarking program
requirements of local governments must:
(1) be at least as comprehensive in scope and application as the program operated under this section; and
(2) include annual
enforcement of a penalty on covered properties that do not comply with the
local government's benchmarking ordinance.
(d) Local governments
must notify the commissioner of the local government's existing benchmarking
ordinance requirements. Local
governments must notify the commissioner of new, changed, or revoked ordinance
requirements, which when made by December 31 would apply to the benchmarking
schedule for the following year.
(e) The commissioner
shall make available for local governments upon request all benchmarking data
for covered properties within the local government's jurisdiction by December
1, annually.
Subd. 12. Building
performance disclosure to occupants.
The commissioner must provide disclosure materials for public
display within a building to building owners, so that building owners can
prominently display the performance of the building. The materials must include the number of
stars assigned to the building by the commissioner under subdivision 9,
paragraph (c), and a relevant explanation of the rating.
Subd. 13. Notifications. By March 1 each year, the commissioner
must notify the owner of each covered property required to benchmark for the
previous calendar year of the requirement to benchmark by June 1 of the current
year.
Subd. 14. Program
implementation. The
commissioner may contract with an independent third party to implement any or
all of the commissioner's duties required under this section. To implement the benchmarking program, the
commissioner shall assist building owners to increase energy efficiency and
reduce greenhouse gas emissions from the owners' buildings, including by
providing outreach, training, and technical assistance to building owners to
help the owners' buildings come into compliance with the benchmarking program.
Subd. 15. Enforcement. By June 15 each year, the commissioner
must notify the owner of each covered property required to comply with this
section that has failed to comply that the owner has until July 15 to come into
compliance, unless the owner requests an extension, in which case the owner has
until August 15 to come into compliance.
If an owner fails to comply with the requirements of this section by
July 15 and fails to request an extension by that date, or is given an
extension and fails to comply by August 15, the commissioner may impose a civil
fine of $1,000 on the owner. The
commissioner may by rule increase the civil fine to adjust for inflation.
Subd. 16. Recovery
of expenses. The commission
shall allow a public utility to recover reasonable and prudent expenses of
implementing this section under section 216B.16, subdivision 6b. The costs and benefits associated with
implementing this section may, at the discretion of the utility, be excluded
from the calculation of net economic benefits for purposes of calculating the
financial incentive to the public utility under section 216B.16, subdivision 6c. The energy and demand savings may, at the
discretion of the public utility, be applied toward the calculation of overall
portfolio energy and demand savings for purposes of determining progress toward
annual goals under section 216B.241, subdivision 1c, and in the financial
incentive mechanism under section 216B.16, subdivision 6c.
EFFECTIVE DATE. This
section is effective the day following final enactment, except that subdivision
15 is effective June 15, 2026.
Sec. 13. [216C.378]
ENERGY STORAGE INCENTIVE PROGRAM.
(a) The public utility
subject to section 116C.779 must develop and operate a program to provide a
grant to customers to reduce the cost to purchase and install an on-site energy
storage system, as defined in section 216B.2422, subdivision 1, paragraph (f). The public utility subject to this section
must file a plan with the commissioner to operate the program no later than
November 1, 2023. The public utility
must not operate the program until the program is approved by the commissioner. Any change to an operating program must be
approved by the commissioner.
(b) In order to be
eligible to receive a grant under this section, an energy storage system must:
(1) have a capacity no
greater than 50 kilowatt hours; and
(2) be located within the
electric service area of the public utility subject to this section.
(c) An owner of an energy
storage system is eligible to receive a grant under this section if:
(1) a solar energy
generating system is operating at the same site as the proposed energy storage
system; or
(2) the owner has filed
an application with the public utility subject to this section to interconnect
a solar energy generating system at the same site as the proposed energy
storage system.
(d) The amount of a grant
awarded under this section must be based on the number of watt-hours that
reflects the duration of the energy storage system at the system's rated
capacity, up to a maximum of $5,000.
(e) The commissioner must
annually review and may adjust the amount of grants awarded under this section,
but must not increase the amount over that awarded in previous years unless the
commissioner demonstrates in writing that an upward adjustment is warranted by
market conditions.
(f) A customer who
receives a grant under this section is eligible to receive financial assistance
under programs operated by the state or the utility for the solar energy
generating system operating in conjunction with the energy storage system.
(g) For the purposes of
this section, "solar energy generating system" has the meaning given
in section 216E.01, subdivision 9a.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 14. [216C.46]
RESIDENTIAL HEAT PUMP REBATE PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Eligible
applicant" means a person who provides evidence to the commissioner's
satisfaction demonstrating that the person has received or has applied for a
heat pump rebate available from the federal Department of Energy under the
Inflation Reduction Act of 2022, Public Law 117-189.
(c) "Heat pump"
means a cold climate rated air-source heat pump composed of (1) a mechanism
that heats and cools indoor air by transferring heat from outdoor or indoor air
using a fan, (2) a refrigerant-filled heat exchanger, and (3) an inverter-driven
compressor that varies the pressure of the refrigerant to warm or cool the
refrigerant vapor.
Subd. 2. Establishment. A residential heat pump rebate program
is established in the department to provide financial assistance to eligible
applicants that purchase and install a heat pump in the applicant's Minnesota
residence.
Subd. 3. Application. (a) An application for a rebate under
this section must be made to the commissioner on a form developed by the
commissioner. The application must be
accompanied by documentation, as required by the commissioner, demonstrating
that:
(1) the applicant is an
eligible applicant;
(2) the applicant owns
the Minnesota residence in which the heat pump is to be installed;
(3) the applicant has had
an energy audit conducted of the residence in which the heat pump is to be
installed within the last 18 months by a person with a Building Analyst
Technician certification issued by the Building Performance Institute, Inc., or
an equivalent certification, as determined by the commissioner;
(4) either:
(i) the applicant has installed in the applicant's residence, by a contractor with an Air Leakage Control Installer certification issued by the Building Performance Institute, Inc., or an equivalent certification, as determined by the commissioner, the amount of insulation and the air sealing measures recommended by the auditor; or
(ii) the auditor has
otherwise determined that the amount of insulation and air sealing measures in
the residence are sufficient to enable effective heat pump performance;
(5) the applicant has
purchased a heat pump of the capacity recommended by the auditor or contractor,
and has had the heat pump installed by a contractor with sufficient training
and experience in installing heat pumps, as determined by the commissioner; and
(6) the total cost to
purchase and install the heat pump in the applicant's residence.
(b) The commissioner must
develop administrative procedures governing the application and rebate award
processes.
(c) The commissioner may
modify program requirements under this section when necessary to align with
comparable federal programs administered by the department under the federal
Inflation Reduction Act of 2022, Public Law 117-189.
Subd. 4. Rebate
amount. A rebate awarded
under this section must not exceed the lesser of:
(1) $4,000; or
(2) the total cost to
purchase and install the heat pump in an eligible applicant's residence net of
the rebate amount received for the heat pump from the federal Department of
Energy under the Inflation Reduction Act of 2022, Public Law 117-189.
Subd. 5. Assisting
applicants. The commissioner
may issue a request for proposal seeking an entity to serve as an energy
coordinator to interact directly with applicants and potential applicants to:
(1) explain the technical
aspects of heat pumps, energy audits, and energy conservation measures, and the
energy and financial savings that can result from implementing each;
(2) identify federal,
state, and utility programs available to homeowners to reduce the costs of
energy audits, energy conservation, and heat pumps;
(3) explain the
requirements and scheduling of the application process;
(4) provide access to certified
contractors who can perform energy audits, install insulation and air sealing
measures, and install heat pumps; and
(5) conduct outreach to
make potential applicants aware of the program.
Subd. 6. Contractor
training and support. The
commissioner may issue a request for proposals seeking an entity to develop and
organize programs to train contractors with respect to the technical aspects
and installation of heat pumps in residences.
The training curriculum must be at a level sufficient to provide
contractors who complete training with the knowledge and skills necessary to
install heat pumps to industry best practice standards, as determined by the
commissioner. Training programs must: (1) be accessible in all regions of the
state; and (2) provide mentoring and ongoing support, including continuing
education and financial assistance, to trainees.
Subd. 7. Account
established. (a) The
residential heat pump rebate account is established as a separate account in
the special revenue fund in the state treasury.
The commissioner shall credit to the account appropriations and
transfers to the account. Earnings,
including interest, dividends, and any other earnings arising from assets of
the account, must be credited to the account.
Money remaining in the account at the end of a fiscal year does not
cancel to the general fund, but remains in the account until expended. The commissioner shall manage the account.
(b) Money in the account
is appropriated to the commissioner for the purposes of this section and to
reimburse the reasonable costs of the department to administer this section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 15. Minnesota Statutes 2022, section 216E.01, is amended by adding a subdivision to read:
Subd. 3a. Energy
storage system. "Energy
storage system" means equipment and associated facilities designed with a
nameplate capacity of 5,000 kilowatts or more that is capable of storing
generated electricity for a period of time and delivering the electricity for
use after storage.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 16. Minnesota Statutes 2022, section 216E.01, subdivision 6, is amended to read:
Subd. 6. Large
electric power facilities. "Large
electric power facilities" means high voltage transmission lines and,
large electric power generating plants, and energy storage systems.
Sec. 17. Minnesota Statutes 2022, section 216E.03, subdivision 1, is amended to read:
Subdivision 1. Site permit. No person may construct a large electric generating plant or an energy storage system without a site permit from the commission. A large electric generating plant or an energy storage system may be constructed only on a site approved by the commission. The commission must incorporate into one proceeding the route selection for a high-voltage transmission line that is directly associated with and necessary to interconnect the large electric generating plant to the transmission system and whose need is certified under section 216B.243.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 18. Minnesota Statutes 2022, section 216E.03, subdivision 3, is amended to read:
Subd. 3. Application. Any person seeking to construct a large
electric power generating plant or a high-voltage transmission line facility
must apply to the commission for a site or route permit, as applicable. The application shall contain such
information as the commission may require.
The applicant shall propose at least two sites for a large electric
power generating plant facility and two routes for a high-voltage
transmission line. Neither of the two
proposed routes may be designated as a preferred route and all proposed routes must be numbered and designated as alternatives. The commission shall determine whether an application is complete and advise the applicant of any deficiencies within ten days of receipt. An application is not incomplete if information not in the application can be obtained from the applicant during the first phase of the process and that information is not essential for notice and initial public meetings.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 19. Minnesota Statutes 2022, section 216E.03, subdivision 5, as amended by Laws 2023, chapter 7, section 25, is amended to read:
Subd. 5. Environmental
review. (a) The commissioner of the
Department of Commerce shall prepare for the commission an environmental impact
statement on each proposed large electric power generating plant or high‑voltage
transmission line facility for which a complete application has been
submitted. The commissioner shall not
consider whether or not the project is needed.
No other state environmental review documents shall be required. The commissioner shall study and evaluate any
site or route proposed by an applicant and any other site or route the
commission deems necessary that was proposed in a manner consistent with rules
concerning the form, content, and timeliness of proposals for alternate sites
or routes, excluding any alternate site for a solar energy generating system
that was not proposed by an applicant.
(b) For a cogeneration facility as defined in section 216H.01, subdivision 1a, that is a large electric power generating plant and is not proposed by a utility, the commissioner must make a finding in the environmental impact statement whether the project is likely to result in a net reduction of carbon dioxide emissions, considering both the utility providing electric service to the proposed cogeneration facility and any reduction in carbon dioxide emissions as a result of increased efficiency from the production of thermal energy on the part of the customer operating or owning the proposed cogeneration facility.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 20. Minnesota Statutes 2022, section 216E.03, subdivision 6, is amended to read:
Subd. 6. Public
hearing. The commission shall hold a
public hearing on an application for a site or route permit for a large
electric power generating plant or a route permit for a high-voltage
transmission line facility. All
hearings held for designating a site or route shall be conducted by an
administrative law judge from the Office of Administrative Hearings pursuant to
the contested case procedures of chapter 14.
Notice of the hearing shall be given by the commission at least ten days
in advance but no earlier than 45 days prior to the commencement of the hearing. Notice shall be by publication in a legal
newspaper of general circulation in the county in which the public hearing is
to be held and by certified mail to chief executives of the regional
development commissions, counties, organized towns, townships, and the
incorporated municipalities in which a site or route is proposed. Any person may appear at the hearings and
offer testimony and exhibits without the necessity of intervening as a formal
party to the proceedings. The
administrative law judge may allow any person to ask questions of other
witnesses. The administrative law judge
shall hold a portion of the hearing in the area where the power plant or
transmission line is proposed to be located.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 21. Minnesota Statutes 2022, section 216E.03, subdivision 7, as amended by Laws 2023, chapter 7, section 26, is amended to read:
Subd. 7. Considerations in designating sites and routes. (a) The commission's site and route permit determinations must be guided by the state's goals to conserve resources, minimize environmental impacts, minimize human settlement and other land use conflicts, and ensure the state's electric energy security through efficient, cost-effective power supply and electric transmission infrastructure.
(b) To facilitate the study, research, evaluation, and designation of sites and routes, the commission shall be guided by, but not limited to, the following considerations:
(1) evaluation of research
and investigations relating to the effects on land, water and air resources of
large electric power generating plants and high-voltage transmission lines
facilities and the effects of water and air discharges and electric and
magnetic fields resulting from such facilities on public health and welfare,
vegetation, animals, materials and aesthetic values, including baseline
studies, predictive modeling, and evaluation of new or improved methods for
minimizing adverse impacts of water and air discharges and other matters
pertaining to the effects of power plants on the water and air environment;
(2) environmental evaluation of sites and routes proposed for future development and expansion and their relationship to the land, water, air and human resources of the state;
(3) evaluation of the effects of new electric power generation and transmission technologies and systems related to power plants designed to minimize adverse environmental effects;
(4) evaluation of the potential for beneficial uses of waste energy from proposed large electric power generating plants;
(5) analysis of the direct and indirect economic impact of proposed sites and routes including, but not limited to, productive agricultural land lost or impaired;
(6) evaluation of adverse direct and indirect environmental effects that cannot be avoided should the proposed site and route be accepted;
(7) evaluation of alternatives to the applicant's proposed site or route proposed pursuant to subdivisions 1 and 2;
(8) evaluation of potential routes that would use or parallel existing railroad and highway rights-of-way;
(9) evaluation of governmental survey lines and other natural division lines of agricultural land so as to minimize interference with agricultural operations;
(10) evaluation of the future needs for additional high-voltage transmission lines in the same general area as any proposed route, and the advisability of ordering the construction of structures capable of expansion in transmission capacity through multiple circuiting or design modifications;
(11) evaluation of irreversible and irretrievable commitments of resources should the proposed site or route be approved;
(12) when appropriate, consideration of problems raised by other state and federal agencies and local entities;
(13) evaluation of the benefits of the proposed facility with respect to (i) the protection and enhancement of environmental quality, and (ii) the reliability of state and regional energy supplies;
(14) evaluation of the proposed facility's impact on socioeconomic factors; and
(15) evaluation of the proposed facility's employment and economic impacts in the vicinity of the facility site and throughout Minnesota, including the quantity and quality of construction and permanent jobs and their compensation levels. The commission must consider a facility's local employment and economic impacts, and may reject or place conditions on a site or route permit based on the local employment and economic impacts.
(c) If the commission's rules are substantially similar to existing regulations of a federal agency to which the utility in the state is subject, the federal regulations must be applied by the commission.
(d) No site or route shall be designated which violates state agency rules.
(e) The commission must make specific findings that it has considered locating a route for a high-voltage transmission line on an existing high-voltage transmission route and the use of parallel existing highway right-of-way and, to the extent those are not used for the route, the commission must state the reasons.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. Minnesota Statutes 2022, section 216E.04, subdivision 2, as amended by Laws 2023, chapter 7, section 29, is amended to read:
Subd. 2. Applicable projects. The requirements and procedures in this section apply to the following projects:
(1) large electric power generating plants with a capacity of less than 80 megawatts;
(2) large electric power generating plants that are fueled by natural gas;
(3) high-voltage transmission lines of between 100 and 200 kilovolts;
(4) high-voltage transmission lines in excess of 200 kilovolts and less than 30 miles in length in Minnesota;
(5) high-voltage transmission lines in excess of 200 kilovolts if at least 80 percent of the distance of the line in Minnesota will be located along existing high-voltage transmission line right-of-way;
(6) a high-voltage transmission line service extension to a single customer between 200 and 300 kilovolts and less than ten miles in length;
(7) a high-voltage
transmission line rerouting to serve the demand of a single customer when the
rerouted line will be located at least 80 percent on property owned or
controlled by the customer or the owner of the transmission line; and
(8) large electric power
generating plants that are powered by solar energy.; and
(9) energy storage
systems.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 23. Minnesota Statutes 2022, section 216E.05, subdivision 2, is amended to read:
Subd. 2. Applicable projects. Applicants may seek approval from local units of government to construct the following projects:
(1) large electric power generating plants with a capacity of less than 80 megawatts;
(2) large electric power generating plants of any size that burn natural gas and are intended to be a peaking plant;
(3) high-voltage transmission lines of between 100 and 200 kilovolts;
(4) substations with a voltage designed for and capable of operation at
a nominal voltage of 100 kilovolts or more;
(5) a high-voltage
transmission line service extension to a single customer between 200 and 300
kilovolts and less than ten miles in length; and
(6) a high-voltage transmission
line rerouting to serve the demand of a single customer when the rerouted line
will be located at least 80 percent on property owned or controlled by the
customer or the owner of the transmission line; and
(7) energy storage systems.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 24. Minnesota Statutes 2022, section 216E.06, is amended to read:
216E.06 EMERGENCY PERMIT.
(a) Any utility whose
electric power system requires the immediate construction of a large electric
power generating plant or high-voltage transmission line facility
due to a major unforeseen event may apply to the commission for an emergency
permit. The application shall provide
notice in writing of the major unforeseen event and the need for immediate
construction. The permit must be issued
in a timely manner, no later than 195 days after the commission's acceptance of
the application and upon a finding by the commission that (1) a demonstrable
emergency exists, (2) the emergency requires immediate construction, and (3)
adherence to the procedures and time schedules specified in section 216E.03
would jeopardize the utility's electric power system or would jeopardize the
utility's ability to meet the electric needs of its customers in an orderly and
timely manner.
(b) A public hearing to determine if an emergency exists must be held within 90 days of the application. The commission, after notice and hearing, shall adopt rules specifying the criteria for emergency certification.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 25. Minnesota Statutes 2022, section 216E.07, is amended to read:
216E.07 ANNUAL HEARING.
The commission shall hold
an annual public hearing at a time and place prescribed by rule in order to
afford interested persons an opportunity to be heard regarding any matters
relating to the siting and routing of large electric generating
power plants and routing of high-voltage transmission lines facilities. At the meeting, the commission shall advise
the public of the permits issued by the commission in the past year. The commission shall provide at least ten
days but no more than 45 days' notice of the annual meeting by mailing or
serving electronically, as provided in section 216.17, a notice to those
persons who have requested notice and by publication in the EQB Monitor and the
commission's weekly calendar.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 26. Minnesota Statutes 2022, section 216E.10, is amended to read:
216E.10 APPLICATION TO LOCAL REGULATION AND OTHER STATE PERMITS.
Subdivision 1. Site
or route permit prevails over local provisions.
To assure the paramount and controlling effect of the provisions
herein over other state agencies, regional, county, and local governments, and
special purpose government districts, the issuance of a site permit or route
permit and subsequent purchase and use of such site or route locations for
large electric power generating plant and high-voltage transmission line
facility purposes shall be the sole site or route approval required to
be obtained by the utility. Such permit
shall supersede and preempt all zoning, building, or land use rules,
regulations, or ordinances promulgated by regional, county, local and special
purpose government.
Subd. 2. Other
state permits. Notwithstanding
anything herein to the contrary, utilities shall obtain state permits that may
be required to construct and operate large electric power generating plants
and high-voltage transmission lines facilities. A state agency in processing a utility's
facility permit application shall be bound to the decisions of the commission,
with respect to the site or route designation, and with respect to other
matters for which authority has been granted to the commission by this chapter.
Subd. 3. State agency participation. (a) State agencies authorized to issue permits required for construction or operation of large electric power generating plants or high-voltage transmission lines shall participate during routing and siting at public hearings and all other activities of the commission on specific site or route designations and design considerations of the commission, and shall clearly state whether the site or route being considered for designation or permit and other design matters under consideration for approval will be in compliance with state agency standards, rules, or policies.
(b) An applicant for a permit under this section or under chapter 216G shall notify the commissioner of agriculture if the proposed project will impact cultivated agricultural land, as that term is defined in section 216G.01, subdivision 4. The commissioner may participate and advise the commission as to whether to grant a permit for the project and the best options for mitigating adverse impacts to agricultural lands if the permit is granted. The Department of Agriculture shall be the lead agency on the development of any agricultural mitigation plan required for the project.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 27. Minnesota Statutes 2022, section 326B.106, subdivision 1, is amended to read:
Subdivision 1. Adoption of code. (a) Subject to paragraphs (c) and (d) and sections 326B.101 to 326B.194, the commissioner shall by rule and in consultation with the Construction Codes Advisory Council establish a code of standards for the construction, reconstruction, alteration, and repair of buildings, governing matters of structural materials, design and construction, fire protection, health, sanitation, and safety, including design and construction standards regarding heat loss control, illumination, and climate control. The code must also include duties and responsibilities for code administration, including procedures for administrative action, penalties, and suspension and revocation of certification. The code must conform insofar as practicable to model building codes generally accepted and in use throughout the United States, including a code for building conservation. In the preparation of the code, consideration must be given to the existing statewide specialty codes presently in use in the state. Model codes with necessary modifications and statewide specialty codes may be adopted by reference. The code must be based on the application of scientific principles, approved tests, and professional judgment. To the extent possible, the code must be adopted in terms of desired results instead of the means of achieving those results, avoiding wherever possible the incorporation of specifications of particular methods or materials. To that end the code must encourage the use of new methods and new materials. Except as otherwise provided in sections 326B.101 to 326B.194, the commissioner shall administer and enforce the provisions of those sections.
(b) The commissioner shall develop rules addressing the plan review fee assessed to similar buildings without significant modifications including provisions for use of building systems as specified in the industrial/modular program specified in section 326B.194. Additional plan review fees associated with similar plans must be based on costs commensurate with the direct and indirect costs of the service.
(c) Beginning with the 2018 edition of the model building codes and every six years thereafter, the commissioner shall review the new model building codes and adopt the model codes as amended for use in Minnesota, within two years of the published edition date. The commissioner may adopt amendments to the building codes prior to the adoption of the new building codes to advance construction methods, technology, or materials, or, where necessary to protect the health, safety, and welfare of the public, or to improve the efficiency or the use of a building.
(d) Notwithstanding paragraph (c), the commissioner shall act on each new model residential energy code and the new model commercial energy code in accordance with federal law for which the United States Department of Energy has issued an affirmative determination in compliance with United States Code, title 42, section 6833. The commissioner shall consider amendments to the model energy codes that mitigate the impact of climate change and reduce greenhouse gas emissions by increasing and optimizing energy efficiency and improving resiliency of new buildings and existing buildings undergoing additions, alterations, and changes of use. The commissioner may adopt amendments prior to adoption of the new energy codes, as amended for use in Minnesota, to advance construction methods, technology, or materials, or, where necessary to protect the health, safety, and welfare of the public, or to improve the efficiency or use of a building.
(e) Beginning in 2024,
the commissioner shall act on the new model commercial energy code by adopting
each new published edition of ASHRAE 90.1 or a more efficient standard. The commercial energy code in effect in 2036
and thereafter must achieve an 80 percent reduction in annual net energy
consumption or greater, using the ASHRAE 90.1-2004 as a baseline. The commissioner shall adopt commercial
energy codes from 2024 to 2036 that incrementally move toward achieving the 80
percent reduction in annual net energy consumption. By January 15 of the year following each new
code adoption, the commissioner shall report on the progress made under this
section to the legislative committees with jurisdiction over the energy code.
(f) Nothing in this
section limits the ability of a public utility to offer code support programs,
or to claim energy savings resulting from code support programs, through the
public utility's energy conservation and optimization plans approved by the commissioner
of commerce under section 216B.241.
Sec. 28. RULEMAKING
AUTHORIZED.
(a) The commission is
authorized to develop and adopt rules for siting energy storage systems and to
reflect the provisions of this act.
(b) Until the commission
adopts rules under this section, the commission shall utilize applicable
provisions of Minnesota Rules, chapter 7850, to site energy storage systems,
except that Minnesota Rules, part 7850.4400, subpart 4, does not apply to energy
storage systems.
(c) For the purposes of
this section, "energy storage system" has the meaning given in
Minnesota Statutes, section 216E.01, subdivision 3a.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 29. REVISOR
INSTRUCTION.
The revisor of statutes
shall make any necessary changes in Minnesota Rules resulting from the changes
made to Minnesota Statutes, chapter 216E, in this act.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 13
PUBLIC UTILITIES COMMISSION PROCEDURES
Section 1. Minnesota Statutes 2022, section 216B.17, subdivision 1, is amended to read:
Subdivision 1. Investigation. On its the commission's own
motion or upon a complaint made against any public utility, by the
governing body of any political subdivision, by another public utility, by the
department, or by any 50 consumers of the a particular
utility, or by a complainant under section 216B.172 that any of the
rates, tolls, tariffs, charges, or schedules or any joint rate or any
regulation, measurement, practice, act, or omission affecting or
relating to the production, transmission, delivery, or furnishing of natural gas or electricity or any service in connection therewith is in any respect unreasonable, insufficient, or unjustly discriminatory, or that any service is inadequate or cannot be obtained, the commission shall proceed, with notice, to make such investigation as it may deem necessary. The commission may dismiss any complaint without a hearing if in its opinion a hearing is not in the public interest.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to any
complaint filed with the commission on or after that date.
Sec. 2. [216B.172]
CONSUMER DISPUTES.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Appeal"
means a request a complainant files with the commission to review and make a
final decision regarding the resolution of the complainant's complaint by the
consumer affairs office.
(c)
"Complainant" means an individual residential customer who files with
the consumer affairs office a complaint against a public utility.
(d) "Complaint"
means an allegation submitted to the consumer affairs office by a complainant
that a public utility's action or practice regarding billing or terms and
conditions of service:
(1) violates a statute,
rule, tariff, service contract, or other provision of law;
(2) is unreasonable; or
(3) has harmed or, if not
addressed, harms a complainant.
Complaint does not include an objection to
or a request to modify any natural gas or electricity rate contained in a
tariff that has been approved by the commission. A complaint under this section is an informal
complaint under Minnesota Rules, chapter 7829.
(e) "Consumer
affairs office" means the staff unit of the commission that is organized
to receive and respond to complaints.
(f) "Informal
proceeding" has the meaning given in Minnesota Rules, part 7829.0100,
subpart 8.
(g) "Public
assistance" has the meaning given in section 550.37, subdivision 14.
(h) "Public
utility" has the meaning given in section 216B.02, subdivision 4.
Subd. 2. Complaint
resolution procedure. A
complainant must first attempt to resolve a dispute with a public utility by
filing a complaint with the consumer affairs office. The consumer affairs office must: (1) notify the complainant of the resolution
of the complaint; and (2) provide written notice of (i) the complainant's right
to appeal the resolution to the commission, and (ii) the steps the complainant
may take to appeal the resolution. Upon
request, the consumer affairs office must provide to the complainant a written
notice containing the substance of and basis for the resolution. Nothing in this section affects any other
rights existing under this chapter or other law.
Subd. 3. Appeal;
final commission decision. (a)
If a complainant is not satisfied with the resolution of a complaint by the
consumer affairs office, the complainant may file an appeal with the commission
requesting that the commission make a final decision on the complaint. The commission's response to an appeal filed
under this subdivision must comply with the notice requirements under section
216B.17, subdivisions 2 to 5.
(b) Upon the commission's
receipt of an appeal filed under paragraph (a), the chair of the commission or
a subcommittee delegated under section 216A.03, subdivision 8, to review the
resolution of the complaint must decide whether the complaint be:
(1) dismissed because
there is no reasonable basis on which to proceed;
(2) resolved through an
informal commission proceeding; or
(3) referred to the
Office of Administrative Hearings for a contested case proceeding under chapter
14.
A decision made under this paragraph must be
provided in writing to the complainant and the public utility.
(c) If the commission
decides that the complaint be resolved through an informal proceeding before
the commission or referred to the Office of Administrative Hearings for a
contested case proceeding, the executive secretary must issue any procedural
schedules, notices, or orders required to initiate an informal proceeding or a
contested case.
(d) The commission's
dismissal of an appeal request or a decision rendered after conducting an
informal proceeding is a final decision constituting an order or determination
of the commission.
Subd. 4. Judicial
review. Notwithstanding
section 216B.27, a complainant may seek judicial review in district court of an
adverse final decision under subdivision 3, paragraph (b), clause (1) or (2). Judicial review of the commission's decision
in a contested case referred under subdivision 3, paragraph (b), clause (3), is
governed by chapter 14.
Subd. 5. Right
to service during pendency of dispute.
A public utility must continue or promptly restore service to a
complainant during the pendency of an administrative or judicial procedure
pursued by a complainant under this section, provided that the complainant:
(1) agrees to enter into
a payment agreement under section 216B.098, subdivision 3;
(2) posts the full
disputed payment in escrow;
(3) demonstrates receipt
of public assistance or eligibility for legal aid services; or
(4) demonstrates the
complainant's household income is at or below 50 percent of the median income
in Minnesota.
Subd. 6. Rulemaking
authority. The commission may
adopt rules to carry out the purposes of this section.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to any
complaint filed with the commission on or after that date.
Sec. 3. [216B.631]
COMPENSATION FOR PARTICIPANTS IN PROCEEDINGS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Participant" means a person who files comments or appears in a
commission proceeding concerning one or more public utilities, excluding public
hearings held in contested cases and commission proceedings conducted to
receive general public comments.
(c) "Party"
means a person by or against whom a proceeding before the commission is
commenced or a person permitted to intervene in a proceeding, other than public
hearings, concerning one or more public utilities.
(d) "Proceeding"
means a process or procedural means the commission engages in under this
chapter to attempt to resolve an issue affecting one or more public utilities
and that results in a commission order.
(e) "Public
utility" has the meaning given in section 216B.02, subdivision 4.
Subd. 2. Participants;
eligibility. Any of the
following participants is eligible to receive compensation under this section:
(1) a nonprofit
organization that:
(i) is exempt from taxation
under section 501(c)(3) of the Internal Revenue Code;
(ii) is incorporated or
organized in Minnesota;
(iii) is governed under
chapter 317A or section 322C.1101; and
(iv) the commission
determines under subdivision 3, paragraph (c), would suffer financial hardship
if not compensated for the nonprofit organization's participation in the
applicable proceeding;
(2) a Tribal government of
a federally recognized Indian Tribe that is located in Minnesota; or
(3) a Minnesota resident,
except that an individual who owns a for-profit business that has earned
revenue from a Minnesota utility in the past two years is not eligible for
compensation.
Subd. 3. Compensation;
conditions. (a) The
commission may order a public utility to compensate all or part of a
participant's reasonable costs incurred to participate in a proceeding before
the commission if the participant is eligible under subdivision 2 and the
commission finds:
(1) that the participant
has materially assisted the commission's deliberation; and
(2) if the participant is
a nonprofit organization, that the participant would suffer financial hardship
if the nonprofit organization's participation in the proceeding was not
compensated.
(b) In determining
whether a participant has materially assisted the commission's deliberation,
the commission must find that:
(1) the participant made
a unique contribution to the record and represented an interest that would not
otherwise have been adequately represented;
(2) the evidence or
arguments presented or the positions taken by the participant were an important
factor in producing a fair decision;
(3) the participant's
position promoted a public purpose or policy;
(4) the evidence
presented, arguments made, issues raised, or positions taken by the participant
would not otherwise have been part of the record;
(5) the participant was
active in any stakeholder process included in the proceeding; and
(6) the proceeding
resulted in a commission order that adopted, in whole or in part, a position
advocated by the participant.
(c) In determining
whether a nonprofit participant has demonstrated that a lack of compensation
would present financial hardship, the commission must find that the nonprofit
participant:
(1) incorporated or
organized within three years of the beginning of the applicable proceeding;
(2) has payroll expenses less
than $750,000; or
(3) has secured less than
$100,000 in current year funding dedicated to participation in commission
proceedings, not including any participant compensation awarded under this
section.
(d) In reviewing a
compensation request, the commission must consider whether the costs presented
in the participant's claim are reasonable.
If the commission determines that an eligible participant materially
assisted the commission's deliberation, the commission shall award all or part
of the requested compensation, up to the maximum amounts provided under
subdivision 4.
Subd. 4. Compensation;
amount. (a) Compensation must
not exceed $50,000 for a single participant in any proceeding, except that:
(1) if a proceeding
extends longer than 12 months, a participant may request and be awarded
compensation of up to $50,000 for costs incurred in each calendar year; and
(2) in an integrated
resource plan proceeding under section 216B.2422 or a proceeding that has been
referred to the Office of Administrative Hearings for a contested case
proceeding, a participant may request and be awarded up to $75,000.
(b) No single participant
may be awarded more than $200,000 under this section in a single calendar year.
(c) Compensation requests
from joint participants must be presented as a single request.
(d) Notwithstanding
paragraphs (a) and (b), the commission must not, in any calendar year, require
a single public utility to pay aggregate compensation under this section that
exceeds the following amounts:
(1) $100,000, for a public
utility with up to $300,000,000 annual gross operating revenue in Minnesota;
(2) $275,000, for a public
utility with at least $300,000,000 but less than $900,000,000 annual gross
operating revenue in Minnesota;
(3) $375,000, for a public
utility with at least $900,000,000 but less than $2,000,000,000 annual gross
operating revenue in Minnesota; and
(4) $1,250,000, for a
public utility with $2,000,000,000 or more annual gross operating revenue in
Minnesota.
(e) When requests for
compensation from any public utility approach the limits established in
paragraph (d), the commission may give priority to requests from participants
that received less than $150,000 in total compensation during the previous two
years and from participants who represent residential ratepayers, particularly
those residential ratepayers who the participant can demonstrate have been
underrepresented in past commission proceedings.
Subd. 5. Compensation;
process. (a) A participant
seeking compensation must file a request and an affidavit of service with the
commission, and serve a copy of the request on each party to the proceeding. The request must be filed no more than 30
days after the later of:
(1) the expiration of the
period within which a petition for rehearing, amendment, vacation,
reconsideration, or reargument must be filed; or
(2) the date the
commission issues an order following rehearing, amendment, vacation,
reconsideration, or reargument.
(b) A compensation request must
include:
(1) the name and address
of the participant or nonprofit organization the participant is representing;
(2) evidence of the
organization's nonprofit, tax-exempt status, if applicable;
(3) the name and docket
number of the proceeding for which compensation is requested;
(4) for a nonprofit
participant, evidence supporting the nonprofit organization's eligibility for
compensation under the financial hardship test under subdivision 3, paragraph
(c);
(5) amounts of
compensation awarded to the participant under this section during the current
year and any pending requests for compensation, itemized by docket;
(6) an itemization of the
participant's costs, not including overhead costs;
(7) participant revenues
dedicated for the proceeding;
(8) the total compensation
request; and
(9) a narrative describing
the unique contribution made to the proceeding by the participant.
(c) A participant must
comply with reasonable requests for information by the commission and other
parties or participants. A participant
must reply to information requests within ten calendar days of the date the
request is received, unless doing so would place an extreme hardship upon the
replying participant. The replying participant
must provide a copy of the information to any other participant or interested
person upon request. Disputes regarding
information requests may be resolved by the commission.
(d) A party or participant
objecting to a request for compensation must, within 30 days after service of
the request for compensation, file a response and an affidavit of service with
the commission. A copy of the response
must be served on the requesting participant and all other parties to the
proceeding.
(e) The requesting
participant may file a reply with the commission within 15 days after a
response is filed under paragraph (d). A
copy of the reply and an affidavit of service must be served on all other
parties to the proceeding.
(f) If additional costs
are incurred by a participant as a result of additional proceedings following
the commission's initial order, the participant may file an amended request
within 30 days after the commission issues an amended order. Paragraphs (b) to (e) apply to an amended
request.
(g) The commission must
issue a decision on participant compensation within 120 days of the date a
request for compensation is filed by a participant.
(h) The commission may
extend the deadlines in paragraphs (d), (e), and (g) for up to 30 days upon the
request of a participant or on the commission's own initiative.
(i) A participant may
request reconsideration of the commission's compensation decision within 30
days of the decision date.
Subd. 6. Compensation;
orders. (a) If the commission
issues an order requiring payment of participant compensation, the public
utility that was the subject of the proceeding must pay the full compensation
to the participant and file proof of payment with the commission within 30 days
after the later of:
(1) the expiration of the
period within which a petition for reconsideration of the commission's
compensation decision must be filed; or
(2) the date the commission
issues an order following reconsideration of the commission's order on
participant compensation.
(b) If the commission
issues an order requiring payment of participant compensation in a proceeding
involving multiple public utilities, the commission must apportion costs among
the public utilities in proportion to each public utility's annual revenue.
(c) The commission may
issue orders necessary to allow a public utility to recover the costs of
participant compensation on a timely basis.
Subd. 7. Report. By July 1, 2026, the commission must
report to the chairs and ranking minority members of the senate and house of
representatives committees with primary jurisdiction over energy policy on the
operation of this section. The report
must include but is not limited to:
(1) the amount of
compensation paid each year by each utility;
(2) each recipient of
compensation, the commission dockets in which compensation was awarded, and the
compensation amounts; and
(3) the impact of the
participation of compensated participants.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to any
proceeding in which the commission has not issued a final order as of that
date.
Sec. 4. REPEALER.
Minnesota Statutes 2022,
section 216B.16, subdivision 10, is repealed.
ARTICLE 14
CLIMATE
Section 1. [16B.312]
CONSTRUCTION MATERIALS; ENVIRONMENTAL ANALYSIS.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Carbon
steel" means steel in which the main alloying element is carbon and whose
properties are chiefly dependent on the percentage of carbon present.
(c)
"Commissioner" means the commissioner of administration.
(d) "Electric arc
furnace" means a furnace that produces molten alloy metal and heats the
charge materials with electric arcs from carbon electrodes.
(e) "Eligible
material" means:
(1) carbon steel rebar;
(2) structural steel;
(3) concrete; or
(4) asphalt paving
mixtures.
(f) "Eligible
project" means:
(1) new construction of
a state building larger than 50,000 gross square feet of occupied or
conditioned space;
(2) renovation of more
than 50,000 gross square feet of occupied or conditioned space in a state
building whose renovation cost exceeds 50 percent of the building's assessed
value; or
(3) new construction or
reconstruction of two or more lane-miles of a trunk highway.
(g) "Environmental
product declaration" means a supply chain specific type III environmental
product declaration that:
(1) contains a material
production life cycle assessment of the environmental impacts of manufacturing
a specific product by a specific firm, including the impacts of extracting and
producing the raw materials and components that compose the product;
(2) is verified by a
third party; and
(3) meets the ISO 14025
standard developed and maintained by the International Organization for
Standardization (ISO).
(h) "Global warming
potential" has the meaning given in section 216H.10, subdivision 6.
(i) "Greenhouse
gas" has the meaning given to "statewide greenhouse gas
emissions" in section 216H.01, subdivision 2.
(j) "Integrated
steel production" means the production of iron and subsequently steel
primarily from iron ore or iron ore pellets.
(k) "Material
production life cycle" means an analysis that includes the environmental
impacts of all stages of a specific product's production, from mining and
processing the product's raw materials to the process of manufacturing the
product.
(l) "Rebar"
means a steel reinforcing bar or rod encased in concrete.
(m) "Secondary
steel production" means the production of steel from primarily ferrous
scrap and other metallic inputs that are melted and refined in an electric arc
furnace.
(n) "State
building" means a building owned by the state of Minnesota or a Minnesota
state agency.
(o) "Structural
steel" means steel that is used in structural applications in accordance
with industry standard definitions.
(p) "Supply chain
specific" means an environmental product declaration that includes
specific data for the production processes of the materials and components
composing a product that contribute at least 80 percent of the product's
material production life cycle global warming potential, as defined in ISO
standard 21930.
Subd. 2. Standard;
maximum global warming potential. (a)
The commissioner shall, after reviewing the recommendations from the
Environmental Standards Procurement Task Force made under subdivision 5,
paragraph (c), establish and publish a maximum acceptable global warming
potential for each eligible material used in an eligible project, in accordance
with the following schedule:
(1) for concrete used in
buildings, no later than January 15, 2026; and
(2) for carbon steel
rebar and structural steel and, after conferring with the commissioner of
transportation, for asphalt paving mixtures and concrete pavement, no later
than January 15, 2028.
(b) The commissioner
shall, after considering nationally or internationally recognized databases of
environmental product declarations for an eligible material, establish the
maximum acceptable global warming potential for the eligible material.
(c) The commissioner may
set different maximum global warming potentials for different specific products
and subproduct categories that are examples of the same eligible material based
on distinctions between eligible material production and manufacturing
processes, such as integrated versus secondary steel production.
(d) The commissioner must
establish maximum global warming potentials that are consistent with criteria
in an environmental product declaration.
(e) Not later than three
years after establishing the maximum global warming potential for an eligible
material under paragraph (a) and not longer than every three years thereafter
the commissioner, after conferring with the commissioner of transportation with
respect to asphalt paving mixtures and concrete pavement, shall review the
maximum acceptable global warming potential for each eligible material and for
specific eligible material products. The
commissioner may adjust any of the values downward to reflect industry
improvements if, based on the process described in paragraph (b), the
commissioner determines the industry average has declined.
Subd. 3. Procurement
process. The Department of
Administration and the Department of Transportation shall, after reviewing the
recommendations of the Environmental Standards Procurement Task Force made
under subdivision 5, paragraph (c), establish processes for incorporating the
maximum allowable global warming potential of eligible materials into bidding
processes by the effective dates listed in subdivision 2.
Subd. 4. Pilot
program. (a) No later than
July 1, 2024, the Department of Administration must establish a pilot program
that seeks to obtain from vendors an estimate of the material production life
cycle greenhouse gas emissions of products selected by the departments from
among those procured. The pilot program
must encourage, but may not require, a vendor to submit the following data for
each selected product that represents at least 90 percent of the total cost of
the materials or components composing the selected product:
(1) the quantity of the
product purchased by the department;
(2) a current
environmental product declaration for the product;
(3) the name and location
of the product's manufacturer;
(4) a copy of the
vendor's Supplier Code of Conduct, if any;
(5) the names and
locations of the product's actual production facilities; and
(6) an assessment of
employee working conditions at the product's production facilities.
(b) The Department of
Administration must construct or provide access to a publicly accessible
database, which shall be posted on the department's website and contain the
data reported to the department under this subdivision.
Subd. 5. Environmental
Standards Procurement Task Force. (a)
No later than October 1, 2023, the commissioners of administration and
transportation must establish an Environmental Standards Procurement Task Force
to examine issues surrounding the implementation of a program requiring vendors
of certain construction materials purchased by the state to:
(1) submit environmental
product declarations that assess the material production life cycle
environmental impacts of the materials to state officials as part of the
procurement process; and
(2) meet standards
established by the commissioner of administration that limit greenhouse gas
emissions impacts of the materials.
(b) The task force must
examine, at a minimum, the following:
(1) which construction
materials should be subject to the program requirements and which construction
materials should be considered to be added, including lumber, mass timber,
aluminum, glass, and insulation;
(2) what factors should
be considered in establishing greenhouse gas emissions standards, including
distinctions between eligible material production and manufacturing processes,
such as integrated versus secondary steel production;
(3) a schedule for the
development of standards for specific materials and for incorporating the
standards into the purchasing process, including distinctions between eligible
material production and manufacturing processes;
(4) the development and
use of financial incentives to reward vendors for developing products whose
greenhouse gas emissions are below the standards;
(5) the provision of
grants to defer a vendor's cost to obtain environmental product declarations;
(6) how to ensure that
lowering environmental product declaration values does not negatively impact
the durability or longevity of construction materials or built structures;
(7) how to create and
manage a database for environmental product declaration data that is consistent
with data governance procedures of the state and is compatible for data sharing
with other states and federal agencies;
(8) how to account for
differences among geographical regions with respect to the availability of
covered materials, fuel, and other necessary resources, and the quantity of
covered materials that the department uses or plans to use;
(9) coordinating with the federal Buy Clean Task Force established under Executive Order 14057 and representatives of the United States Departments of Commerce, Energy, Housing and Urban Development, and Transportation; Environmental Protection Agency; General Services Administration; White House Office of Management and Budget; and the White House Domestic Climate Policy Council;
(10) how the issues in
clauses (1) to (9) are addressed by existing programs in other states and
countries; and
(11) any other issues the
task force deems relevant.
(c) The task force shall
make recommendations to the commissioners of administration and transportation
regarding:
(1) how to implement
requirements that maximum global warming impacts for eligible materials be
integrated into the bidding process for eligible projects;
(2) incentive structures
that can be included in bidding processes to encourage the use of materials
whose global warming potential is below the maximum established under
subdivision 2;
(3) how a successful
bidder for a contract notifies the commissioner of the specific environmental
product declaration for a material used on a project;
(4) a process for waiving the
requirements to procure materials below the maximum global warming potential
resulting from product supply problems, geographic impracticability, or
financial hardship;
(5) a system for
awarding grants to manufacturers of eligible materials located in Minnesota to
offset the cost of obtaining environmental product declarations or otherwise
collect environmental product declaration data from manufacturers based in
Minnesota;
(6) whether to use an
industry average or a different method to set the maximum allowable global
warming potential, or whether that average could be used for some materials but
not others; and
(7) any other items the
task force deems necessary in order to implement this section.
(d) Members of the task
force must include but are not limited to representatives of:
(1) the Departments of
Administration and Transportation;
(2) the Center for
Sustainable Building Research at the University of Minnesota;
(3) the Aggregate and
Ready Mix Association of Minnesota;
(4) the Concrete Paving
Association of Minnesota;
(5) the Minnesota
Asphalt Pavement Association;
(6) the Minnesota Board
of Engineering;
(7) the Minnesota iron
mining industry;
(8) building and
transportation construction firms;
(9) the American
Institute of Steel Construction;
(10) suppliers of
eligible materials;
(11) organized labor in
the construction trades;
(12) organized labor in
the manufacturing or industrial sectors;
(13) environmental
advocacy organizations; and
(14) environmental
justice organizations.
(e) The Department of
Administration must provide meeting space and serve as staff to the task force.
(f) The commissioner of
administration or the commissioner's designee shall serve as chair of the task
force. The task force must meet at least
four times annually and may convene additional meetings at the call of the
chair.
(g) The commissioner of
administration shall summarize the findings and recommendations of the task
force in a report submitted to the chairs and ranking minority members of the
senate and house of representatives committees with primary jurisdiction over
state government, transportation, and energy no later than December 1, 2025,
and annually thereafter for as long as the task force continues its operations.
(h) The task force is subject
to section 15.059, subdivision 6.
(i) Meetings of the task
force are subject to chapter 13D.
(j) The task force
expires on January 1, 2029.
Subd. 6. Environmental
product declarations; grant program.
A grant program is established in the Department of
Administration to award grants to assist manufacturers to obtain environmental
product declarations. The commissioner
of administration shall develop procedures for processing grant applications
and making grant awards. Grant
applicants must submit an application to the commissioner on a form prescribed
by the commissioner. The commissioner
shall act as fiscal agent for the grant program and is responsible for
receiving and reviewing grant applications and awarding grants under this
subdivision.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 2. [216C.441]
MINNESOTA CLIMATE INNOVATION FINANCE AUTHORITY.
Subdivision 1. Establishment;
purpose. (a) There is created
a public body corporate and politic to be known as the "Minnesota Climate
Innovation Finance Authority," whose purpose is to accelerate the
deployment of clean energy projects, greenhouse gas emissions reduction
projects, and other qualified projects through the strategic deployment of
public funds in the form of grants, loans, credit enhancements, and other
financing mechanisms in order to leverage existing public and private sources
of capital to reduce the upfront and total cost of qualified projects and to
overcome financial barriers to project adoption, especially in low-income
communities.
(b) The goals of the
authority include but are not limited to:
(1) reducing Minnesota's
contributions to climate change by accelerating the deployment of clean energy
projects;
(2) ensuring that all
Minnesotans share the benefits of clean and renewable energy and the
opportunity to fully participate in the clean energy economy by promoting:
(i) the creation of clean
energy jobs for Minnesota workers, particularly in environmental justice
communities and communities in which fossil fuel electric generating plants are
retiring; and
(ii) the principles of
environmental justice in the authority's operations and funding decisions; and
(3) maintaining energy
reliability while reducing the economic burden of energy costs, especially on
low-income households.
Subd. 2. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Authority"
means the Minnesota Climate Innovation Finance Authority.
(c) "Board"
means the Minnesota Climate Innovation Finance Authority's board of directors
established in subdivision 10.
(d) "Clean energy
project" has the meaning given to "qualified project" in
paragraph (n), clauses (1) to (7).
(e) "Community
navigator" means an organization that works to facilitate access to clean
energy project financing by community groups.
(f) "Credit
enhancement" means a pool of capital set aside to cover potential losses
on loans and other investments made by financing entities. Credit enhancement includes but is not
limited to loan loss reserves and loan guarantees.
(g) "Energy storage
system" has the meaning given in section 216B.2422, subdivision 1,
paragraph (f).
(h) "Environmental
justice" means that:
(1) communities of color,
Indigenous communities, and low-income communities have a healthy environment
and are treated fairly when environmental statutes, rules, and policies are
developed, adopted, implemented, and enforced; and
(2) in all decisions that
have the potential to affect the environment of an environmental justice
community or the public health of an environmental justice community's
residents, due consideration is given to the history of the area's and the
area's residents' cumulative exposure to pollutants and to any current
socioeconomic conditions that increase the physical sensitivity of the area's
residents to additional exposure to pollutants.
(i) "Environmental
justice community" means a community in Minnesota that, based on the most
recent data published by the United States Census Bureau, meets one or more of
the following criteria:
(1) 40 percent or more of
the community's total population is nonwhite;
(2) 35 percent or more of
households in the community have an income that is at or below 200 percent of
the federal poverty level;
(3) 40 percent or more of
the community's residents over the age of five have limited English
proficiency; or
(4) the community is
located within Indian country, as defined in United States Code, title 18,
section 1151.
(j) "Greenhouse gas
emissions" means emissions of carbon dioxide, methane, nitrous oxide,
hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride emitted by
anthropogenic sources.
(k) "Loan loss
reserve" means a pool of capital set aside to reimburse a private lender
if a customer defaults on a loan, up to an agreed-upon percentage of loans
originated by the private lender.
(l) "Microgrid
system" means an electrical grid that:
(1) serves a discrete
geographical area from distributed energy resources; and
(2) can operate
independently from the central electric grid on a temporary basis.
(m) "Project labor
agreement" means a prehire collective bargaining agreement with a council
of building and construction trades labor organizations (1) prohibiting
strikes, lockouts, and similar disruptions, and (2) providing for a binding
procedure to resolve labor disputes on the project.
(n) "Qualified
project" means a project, technology, product, service, or measure
promoting energy efficiency, clean energy, electrification, or water
conservation and quality that:
(1) substantially reduces greenhouse gas emissions;
(2) reduces energy use
without diminishing the level of service;
(3) increases the
deployment of renewable energy projects, energy storage systems, district
heating, smart grid technologies, or microgrid systems;
(4) replaces existing
fossil-fuel-based technology with an end-use electric technology;
(5) supports the development
and deployment of electric vehicle charging stations and associated
infrastructure, electric buses, and electric fleet vehicles;
(6) reduces water use or
protects, restores, or preserves the quality of surface waters; or
(7) incentivizes
customers to shift demand in response to changes in the price of electricity or
when system reliability is not jeopardized.
(o) "Renewable
energy" has the meaning given in section 216B.1691, subdivision 1,
paragraph (c), clauses (1), (2), and (4), and includes fuel cells generated
from renewable energy.
(p)
"Securitization" means the conversion of an asset composed of
individual loans into marketable securities.
(q) "Smart
grid" means a digital technology that:
(1) allows for two-way
communication between a utility and the utility's customers; and
(2) enables the utility
to control power flow and load in real time.
Subd. 3. General
powers. (a) For the purpose
of exercising the specific powers granted in this section, the authority has
the general powers granted in this subdivision.
(b) The authority may:
(1) hire an executive director and staff to conduct the authority's operations;
(2) sue and be sued;
(3) have a seal and alter
the seal;
(4) acquire, hold, lease,
manage, and dispose of real or personal property for the authority's corporate
purposes;
(5) enter into
agreements, including cooperative financing agreements, contracts, or other
transactions, with any federal or state agency, county, local unit of
government, regional development commission, person, domestic or foreign
partnership, corporation, association, or organization;
(6) acquire by purchase
real property, or an interest therein, in the authority's own name where
acquisition is necessary or appropriate;
(7) provide general
technical and consultative services related to the authority's purpose;
(8) promote research and
development in matters related to the authority's purpose;
(9) analyze greenhouse
gas emissions reduction project financing needs in the state and recommend
measures to alleviate any shortage of financing capacity;
(10) contract with any
governmental or private agency or organization, legal counsel, financial
advisor, investment banker, or others to assist in the exercise of the
authority's powers;
(11) enter into
agreements with qualified lenders or others insuring or guaranteeing to the
state the payment of qualified loans or other financing instruments; and
(12) accept on behalf of the
state any gift, grant, or interest in money or personal property tendered to
the state for any purpose pertaining to the authority's activities.
Subd. 4. Authority
duties. (a) The authority
must:
(1) serve as a financial
resource to reduce the upfront and total costs of implementing qualified
projects;
(2) ensure that all
financed projects reduce greenhouse gas emissions;
(3) ensure that financing
terms and conditions offered are well-suited to qualified projects;
(4) strategically
prioritize the use of the authority's funds to leverage private investment in
qualified projects, with the aim of achieving a high ratio of private to public
money invested through funding mechanisms that support, enhance, and complement
private lending and investment;
(5) coordinate with
existing federal, state, local, utility, and other programs to ensure that the
authority's resources are being used most effectively to add to and complement
those programs;
(6) stimulate demand for
qualified projects by:
(i) contracting with the
department's Energy Information Center and community navigators to provide
information to project participants about federal, state, local, utility, and
other authority financial assistance for qualifying projects, and technical information
on energy conservation and renewable energy measures;
(ii) forming partnerships
with contractors and informing contractors about the authority's financing
programs;
(iii) developing
innovative marketing strategies to stimulate project owner interest, especially
in underserved communities; and
(iv) incentivizing
financing entities to increase activity in underserved markets;
(7) finance projects in all regions of the state;
(8) develop participant
eligibility standards and other terms and conditions for financial support
provided by the authority;
(9) develop and
administer:
(i) policies to collect
reasonable fees for authority services; and
(ii) risk management
activities to support ongoing authority activities;
(10) develop consumer
protection standards governing the authority's investments to ensure that
financial support is provided responsibly and transparently, and is in the
financial interest of participating project owners;
(11) develop methods to
accurately measure the impact of the authority's activities, particularly on
low-income communities and on greenhouse gas emissions reductions;
(12) hire an executive
director and sufficient staff with the appropriate skills and qualifications to
carry out the authority's programs, making an affirmative effort to recruit and
hire a director and staff who are from, or share the interests of, the communities
the authority must serve;
(13) apply for, either as
a direct or subgrantee applicant, and accept Greenhouse Gas Reduction Fund
grants authorized by the federal Clean Air Act, United States Code, title 42,
section 7434, paragraph (a), clauses (2) and (3). If the application deadlines for these grants
are earlier than is practical for the authority to meet, the commissioner shall
apply on behalf of the authority. In all
cases, applications for these funds by or on behalf of the authority must be
coordinated with all known Minnesota applicants; and
(14) ensure that authority
contracts with all third-party administrators, contractors, and subcontractors
contain required covenants, representations, and warranties specifying that
contracted third parties are agents of the authority, and that all acts of
contracted third parties are considered acts of the authority, provided that
the act is within the contracted scope of work.
(b) The authority may:
(1) employ credit
enhancement mechanisms that reduce financial risk for financing entities by
providing assurance that a limited portion of a loan or other financial
instrument is assumed by the authority via a loan loss reserve, loan guarantee,
or other mechanism;
(2) co-invest in a
qualified project by providing senior or subordinated debt, equity, or other
mechanisms in conjunction with other investment, co-lending, or financing;
(3) aggregate small and
geographically dispersed qualified projects in order to diversify risk or
secure additional private investment through securitization or similar resale
of the authority's interest in a completed qualified project;
(4) expend up to 25
percent of money appropriated to the authority for start-up purposes, which may
be used for financing programs and project investments authorized under this
section prior to adoption of the strategic plan required under subdivision 7 and
the investment strategy under subdivision 8; and
(5) require a specific
project to agree to implement a project labor agreement as a condition of
receiving financing from the authority.
Subd. 5. Underserved
market analysis. (a) Before
developing a financing program, the authority must conduct an analysis of the
financial market the authority is considering entering in order to determine
the extent to which the market is underserved and to ensure that the
authority's activities supplement, and do not duplicate or supplant, the
efforts of financing entities currently serving the market. The analysis must address the nature and
extent of any barriers or gaps that may be preventing financing entities from
adequately serving the market, and must examine present and projected future
efforts of existing financing entities, federal, state, and local governments,
and of utilities and others to serve the market.
(b) In determining
whether the authority should enter a market, the authority must consider:
(1) whether serving the
market advances the authority's policy goals;
(2) the extent to which
the market is currently underserved;
(3) the unique tools the
authority would deploy to overcome existing market barriers or gaps;
(4) how the authority
would market the program to potential participants; and
(5) potential financing
partners and the role financing partners would play in complementing the
authority's activities.
(c) Before providing any
direct loans to residential borrowers, the authority must issue a request for
information to existing known financing entities, specifying the market need
and the authority's goals in meeting the underserved market segment, and soliciting
each financing entity's:
(1) current financing
offerings for that specific market;
(2) prior efforts to meet
that specific market; and
(3) plans and
capabilities to serve that specific market.
(d) The authority may only
provide direct loans to residential borrowers if the authority certifies that
no financing entity is currently able to meet the specific underserved market
need and the authority's goals, and that the authority's entry into the market
does not supplant or duplicate any existing financing activities in that
specific market.
Subd. 6. Authority
lending practices; labor and consumer protection standards. (a) In determining the projects in
which the authority will participate, the authority must give preference to
projects that:
(1) maximize the creation
of high-quality employment and apprenticeship opportunities for local workers,
consistent with the public interest, especially workers from environmental
justice communities, labor organizations, and Minnesota communities hosting
retired or retiring electric generation facilities, including workers
previously employed at retiring facilities;
(2) utilize energy
technologies produced domestically that received an advanced manufacturing tax
credit under section 45X of the Internal Revenue Code, as allowed under the
federal Inflation Reduction Act of 2022, Public Law 117-169;
(3) certify, for all
contractors and subcontractors, that the rights of workers to organize and
unionize are recognized; and
(4) agree to implement a
project labor agreement.
(b) The authority must
require, for all projects for which the authority provides financing, that:
(1) if the budget is
$100,000 or more, all contractors and subcontractors:
(i) must pay no less than
the prevailing wage rate, as defined in section 177.42, subdivision 6; and
(ii) are subject to the
requirements and enforcement provisions under sections 177.27, 177.30, 177.32,
177.41 to 177.43, and 177.45, including the posting of prevailing wage rates,
prevailing hours of labor, and hourly basic rates of pay for all trades on the
project in at least one conspicuous location at the project site;
(2) financing is not offered without first ensuring that the
participants meet the authority's underwriting criteria; and
(3) any loan made to a
homeowner for a project on the homeowner's residence complies with section
47.59 and the following federal laws:
(i) the Truth in Lending
Act, United States Code, title 15, section 1601 et seq.;
(ii) the Fair Credit
Reporting Act, United States Code, title 15, section 1681;
(iii) the Equal Credit
Opportunity Act, United States Code, title 15, section 1691 et seq.; and
(iv) the Fair Debt
Collection Practices Act, United States Code, title 15, section 1692.
(c) The authority and any
third-party administrator, contractor, subcontractor, or agent that conducts
lending, financing, investment, marketing, administration, servicing, or
installation of measures in connection with a qualified project financed in
whole or in part with authority funds is subject to sections 325D.43 to
325D.48; 325F.67 to 325F.71; 325G.06 to 325G.14; 325G.29 to 325G.37; and
332.37.
(d) For the purposes of
this section, "local workers" means Minnesota residents who
permanently reside within 150 miles of the location of a proposed project in
which the authority is considering to participate.
Subd. 7. Strategic
plan. (a) By December 15,
2024, and each December 15 in even-numbered years thereafter, the authority
must develop and adopt a strategic plan that prioritizes the authority's
activities over the next two years. A
strategic plan must:
(1) identify targeted
underserved markets for qualified projects in Minnesota;
(2) develop specific
programs to overcome market impediments through access to authority financing
and technical assistance; and
(3) develop outreach and
marketing strategies designed to make potential project developers,
participants, and communities aware of financing and technical assistance
available from the authority, including the deployment of community navigators.
(b) Elements of the
strategic plan must be informed by the authority's analysis of the market for
qualified projects and by the authority's experience under the previous
strategic plan, including the degree to which performance targets were or were
not achieved by each financing program. In
addition, the authority must actively seek input regarding activities that
should be included in the strategic plan from stakeholders, environmental
justice communities, the general public, and participants, including via
meetings required under subdivision 9.
(c) The authority must
establish annual targets in a strategic plan for each financing program
regarding the number of projects, level of authority investments, greenhouse
gas emissions reductions, and installed generating capacity or energy savings
the authority hopes to achieve, including separate targets for authority
activities undertaken in environmental justice communities.
(d) The authority's
targets and strategies must be designed to ensure that no less than 40 percent
of the direct benefits of authority activities flow to environmental justice
communities as defined under subdivision 2, by the United States Department of
Energy, or as modified by the department.
Subd. 8. Investment
strategy; content; process. (a)
No later than December 15, 2024, and every four years thereafter, the authority
must adopt a long-term investment strategy to ensure the authority's paramount
goal to reduce greenhouse gas emissions is reflected in all of the authority's
operations. The investment strategy must
address:
(1) the types of
qualified projects the authority should focus on;
(2) gaps in current
qualified project financing that present the greatest opportunities for
successful action by the authority;
(3) how the authority
can best position itself to maximize the authority's impact without displacing,
subsidizing, or assuming risk that should be shared with financing entities;
(4) financing tools that
will be most effective in achieving the authority's goals;
(5) partnerships the
authority should establish with other organizations to increase the likelihood
of success; and
(6) how values of
equity, environmental justice, and geographic balance can be integrated into
all investment operations of the authority.
(b) In developing an
investment strategy, the authority must consult, at a minimum, with similar
organizations in other states, lending authorities, state agencies, utilities,
environmental and energy policy nonprofits, labor organizations, and other organizations
that can provide valuable advice on the authority's activities.
(c) The long-term investment
strategy must contain provisions ensuring that:
(1) authority investments
are not made solely to reduce private risk; and
(2) private financing
entities do not unilaterally control the terms of investments to which the
authority is a party.
(d) The board must submit
a draft long-term investment strategy for comment to each of the groups and
individuals the board consults under paragraph (b) and to the chairs and
ranking minority members of the senate and house of representatives committees with
primary jurisdiction over energy finance and policy, and must post the draft
strategy on the authority's website. The
authority must accept written comments on the draft strategy for at least 30
days and must consider the comments in preparing the final long-term investment
strategy.
Subd. 9. Public
communications and outreach. The
authority must:
(1) maintain a public
website that provides information about the authority's operations, current
financing programs, and practices, including rates, terms, and conditions; the
number and amount of investments by project type; the number of jobs created;
the financing application process; and other information;
(2) periodically issue an
electronic newsletter to stakeholders and the public containing information on
the authority's products, programs, and services and key authority events and
decisions; and
(3) hold quarterly
meetings accessible online to update the general public on the authority's
activities, report progress being made in regard to the authority's strategic
plan and long-term investment strategy, and invite audience questions regarding
authority programs.
Subd. 10. Board
of directors. (a) The
Minnesota Climate Innovation Finance Authority board of directors shall consist
of the following 13 members:
(1) the commissioner of
commerce, or the commissioner's designee;
(2) the commissioner of
labor and industry, or the commissioner's designee;
(3) the commissioner of
the Minnesota Pollution Control Agency, or the commissioner's designee;
(4) the commissioner of
employment and economic development, or the commissioner's designee;
(5) the commissioner of
the Minnesota Housing Finance Agency, or the commissioner's designee;
(6) the chair of the
Minnesota Indian Affairs Council, or the chair's designee; and
(7) seven additional
members appointed by the governor, as follows:
(i) one member
representing either a municipal electric utility or a cooperative electric
association;
(ii) one member,
appointed after the governor consults with labor organizations in the state,
must be a representative of a labor union with experience working on clean
energy projects;
(iii) one member with
expertise in the impact of climate change on Minnesota communities,
particularly low‑income communities;
(iv) one member with
expertise in financing projects at a community bank, credit union, community
development institution, or local government;
(v) one member with
expertise in sustainable development and energy conservation;
(vi) one member with expertise
in environmental justice; and
(vii) one member with
expertise in investment fund management or financing and deploying clean energy
technologies.
(b) At least two members
appointed to the board must permanently reside outside the metropolitan area,
as defined in section 473.121, subdivision 2.
The board must collectively reflect the geographic and ethnic diversity
of the state.
(c) Board members
appointed under paragraph (a), clause (6), shall serve a term of four years,
except that the initial appointments made under clause (6), items (i) to (iii),
shall be for two-year terms, and the initial appointments made under clause (6),
items (iv) to (vi), shall be for three-year terms.
(d) Members appointed to
the board must:
(1) provide evidence of
a commitment to the authority's purposes and goals; and
(2) not hold any
personal or professional conflicts of interest related to the authority's
activities, including with respect to the member's financial investments and
employment or the financial investments and employment of the member's
immediate family members.
(e) The governor must
make the appointments required under this section no later than October 1,
2023.
(f) The initial meeting
of the board of directors must be held no later than November 17, 2023. At the initial meeting, the board shall elect
a chair and vice-chair by majority vote of the members present.
(g) The authority shall
contract with the department to provide administrative and technical services
to the board and to prospective borrowers, especially those serving or located
in environmental justice communities.
(h) Compensation of
board members, removal of members, and filling of vacancies are governed by
section 15.0575.
(i) Board members may be
reappointed for up to two full terms.
(j) A majority of board
members, excluding vacancies, constitutes a quorum for the purpose of
conducting business and exercising powers, and for all other purposes. Action may be taken by the authority upon a
vote of a majority of the quorum present.
(k) Board members and
officers are not personally liable, either jointly or severally, for any debt
or obligation created or incurred by the authority.
Subd. 11. Account
established. (a) The
Minnesota climate innovation authority account is established as a separate
account in the special revenue fund in the state treasury. The authority's board of directors shall
credit to the account appropriations and transfers to the account. Earnings, including interest, dividends, and
any other earnings arising from assets of the account, must be credited to the
account. Money remaining in the account
at the end of a fiscal year does not cancel to the general fund, but remains in
the account until expended. The
authority's board of directors shall manage the account.
(b) Money in the account
is appropriated to the board of directors of the Minnesota Climate Innovation
Finance Authority for the purposes of this section and to reimburse the
reasonable costs of the authority to administer this section.
Subd. 12. Report;
audit. Beginning February 1,
2024, the authority must annually submit a comprehensive report on the
authority's activities during the previous year to the governor and the chairs
and ranking minority members of the legislative committees with primary
jurisdiction over energy policy. The
report must contain, at a minimum, information on:
(1) the amount of
authority capital invested, by project type;
(2) the amount of
private and public capital leveraged by authority investments, by project type;
(3) the number of
qualified projects supported, by project type and location within Minnesota,
including in environmental justice communities;
(4) the estimated number
of jobs created for local workers and nonlocal workers, the ratio of projects
subject to and exempt from prevailing wage requirements under subdivision 6,
paragraph (b), and tax revenue generated as a result of the authority's activities;
(5) estimated reductions
in greenhouse gas emissions resulting from the authority's activities;
(6) the number of clean
energy projects financed in low- and moderate-income households;
(7) a narrative
describing the progress made toward the authority's equity, social, and labor
standards goals; and
(8) a financial audit
conducted by an independent party.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2022, section 216H.02, subdivision 1, is amended to read:
Subdivision 1. Greenhouse
gas emissions-reduction goal. (a)
It is the goal of the state to reduce statewide greenhouse gas emissions across
all sectors producing those greenhouse gas emissions to a
level at least 15 percent below 2005 levels by 2015, to a level at least 30
percent below 2005 levels by 2025, and to a level at least 80 percent below
2005 levels by 2050. by at least the following amounts, compared with
the level of emissions in 2005:
(1) 15 percent by 2015;
(2) 30 percent by 2025;
(3) 50 percent by 2030;
and
(4) to net zero by 2050.
(b) To the maximum
extent practicable, actions taken to achieve these goals must avoid causing
disproportionate adverse impacts to residents of communities that are or have
been incommensurately exposed to pollution affecting human health and
environmental quality.
(c) The levels
shall targets must be reviewed based on the climate change action
plan study annually by the commissioner of the Pollution Control Agency,
taking into account the latest scientific research on the impacts of climate
change and strategies to reduce greenhouse gas emissions published by the
Intergovernmental Panel on Climate Change.
The commissioner must forward any recommended changes to the targets
to the chairs and ranking minority members of legislative committees with
primary jurisdiction over climate change and environmental policy.
(d) For the purposes of the
subdivision, "net zero" means:
(1) statewide greenhouse
gas emissions equal to zero; or
(2) the balance of annual
statewide greenhouse gas emissions, minus any terrestrial sequestration of
statewide greenhouse gas emissions, equals zero or less.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. LOCAL
CLIMATE ACTION GRANT PROGRAM.
Subdivision 1. Definitions. For the purpose of this section, the
following terms have the meanings given:
(1) "climate
change" means a change in global or regional climate patterns associated
with increased levels of greenhouse gas emissions entering the atmosphere
largely as a result of human activity;
(2)
"commissioner" means the commissioner of the Pollution Control
Agency;
(3) "eligible
applicant" means a political subdivision, an organization exempt from
taxation under section 501(c)(3) of the Internal Revenue Code, or an
educational institution;
(4) "greenhouse gas
emission" means an emission of carbon dioxide, methane, nitrous oxide,
chlorofluorocarbons, hydrofluorocarbons, sulfur hexafluoride, and other gases
that trap heat in the atmosphere;
(5) "local
jurisdiction" means the geographic area in which grant activities take
place; and
(6) "political
subdivision" means:
(i) a county; home rule
charter or statutory city or town; regional development commission established
under Minnesota Statutes, section 462.387; or any other local political
subdivision; or
(ii) a Tribal government,
as defined in Minnesota Statutes, section 116J.64, subdivision 4.
Subd. 2. Establishment. The commissioner must establish a
local climate action grant program in the Pollution Control Agency. The purpose of the program is to provide
grants to support local jurisdictions to address climate change by developing
and implementing plans of action or creating new organizations and institutions
to devise policies and programs that:
(1) enable local
jurisdictions to adapt to extreme weather events and a changing climate; or
(2) reduce the local
jurisdiction's contributions to the causes of climate change.
Subd. 3. Account
established. (a) The local
climate action grant account is established as a separate account in the
special revenue fund in the state treasury.
The commissioner shall credit to the account appropriations and
transfers to the account. Earnings,
including interest, dividends, and any other earnings arising from assets of
the account, must be credited to the account.
Money remaining in the account at the end of a fiscal year does not
cancel to the general fund, but remains in the account until expended. The commissioner shall manage the account.
(b) Money in the account
is appropriated to the agency for the purposes of this section and to reimburse
the reasonable costs of the department to administer this section.
Subd. 4. Application. (a) Application for a grant under this
section must be made to the commissioner on a form developed by the
commissioner. The commissioner must
develop procedures for soliciting and reviewing applications and for awarding
grants under this section.
(b) Eligible applicants for a
grant under this section must be located in or conduct the preponderance of the
applicant's work in the local jurisdiction where the proposed grant activities
take place.
Subd. 5. Awarding
grants. (a) In awarding
grants under this section, the commissioner must give preference to proposals
that seek to involve a broad array of community residents, organizations, and
institutions in the local jurisdiction's efforts to address climate change.
(b) The commissioner
shall endeavor to award grants under this section to applicants in all regions
of the state.
Subd. 6. Grant
amounts. (a) A grant awarded
under this section must not exceed $50,000.
(b) A grant awarded under
this section for activities taking place in a local jurisdiction whose
population equals or exceeds 20,000 must be matched 50 percent with local
funds.
(c) A grant awarded under
this section for activities taking place in a local jurisdiction whose
population is under 20,000 must be matched a minimum of five percent with local
funds or equivalent in-kind services.
Subd. 7. Contract;
greenhouse gas emissions data. The
commissioner shall contract with an independent consultant to estimate the
annual amount of greenhouse gas emissions generated within political
subdivisions awarded a grant under this section that the commissioner
determines need the data in order to carry out the proposed grant activities. The information must contain emissions data
for the most recent three years available, and must conform with the ICLEI
United States Community Protocol for Accounting and Reporting of Greenhouse Gas
Emissions, including, at a minimum, the Basic Emissions Generating Activities
described in the protocol.
Subd. 8. Technical
assistance. The Pollution
Control Agency shall provide directly or contract with an entity outside the
agency to provide technical assistance to applicants proposing to develop an
action plan under this section, including greenhouse gas emissions estimates
developed under subdivision 7, and examples of actions taken and plans
developed by other local communities in Minnesota and elsewhere.
Subd. 9. Eligible
expenditures. Appropriations
made to support the activities of this section may be used only to:
(1) provide grants as
specified in this section;
(2) pay a consultant for
contracted services provided under subdivisions 7 and 8; and
(3) reimburse the
reasonable expenses incurred by the Pollution Control Agency to provide
technical assistance to applicants and to administer the grant program.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 15
SOLAR
Section 1. Minnesota Statutes 2022, section 116C.7792, is amended to read:
116C.7792 SOLAR ENERGY PRODUCTION INCENTIVE PROGRAM.
(a) The utility subject to section 116C.779 shall operate a program to provide solar energy production incentives for solar energy systems of no more than a total aggregate nameplate capacity of 40 kilowatts alternating current per premise. The owner of a solar energy system installed before June 1, 2018, is eligible to receive a production incentive under this section for any additional solar energy systems constructed at the same customer location, provided that the aggregate capacity of all systems at the customer location does not exceed 40 kilowatts.
(b) The program is funded by money withheld from transfer to the renewable development account under section 116C.779, subdivision 1, paragraphs (b) and (e). Program funds must be placed in a separate account for the purpose of the solar energy production incentive program operated by the utility and not for any other program or purpose.
(c) Funds allocated to the solar energy production incentive program in 2019 and 2020 remain available to the solar energy production incentive program.
(d) The following amounts are allocated to the solar energy production incentive program:
(1) $10,000,000 in 2021;
(2) $10,000,000 in 2022;
(3) $5,000,000 in 2023; and
(4) $5,000,000 $10,000,000
in 2024.; and
(5) $5,000,000 in 2025.
(e) Notwithstanding the Department of Commerce's November 14, 2018,
decision in Docket No. E002/M-13-1015 regarding operation of the
utility's solar energy production incentive program, of the amounts allocated
under paragraph (d), clauses (3), (4), and (5), $5,000,000 in each year must be
reserved for solar energy systems whose installation meets the eligibility
standards for the low-income program established in the November 14, 2018,
decision or successor decisions of the department. All other program operations of the solar
energy production incentive program are governed by the provisions of the
November 14, 2018, decision or successor decisions of the department.
(e) (f) Funds
allocated to the solar energy production incentive program that have not been
committed to a specific project at the end of a program year remain available
to the solar energy production incentive program.
(f) (g) Any
unspent amount remaining on January 1, 2025 2028, must be
transferred to the renewable development account.
(g) (h) A solar
energy system receiving a production incentive under this section must be sized
to less than 120 percent of the customer's on-site annual energy consumption
when combined with other distributed generation resources and subscriptions
provided under section 216B.1641 associated with the premise. The production incentive must be paid for ten
years commencing with the commissioning of the system.
(h) (i) The
utility must file a plan to operate the program with the commissioner of
commerce. The utility may not operate
the program until it is approved by the commissioner. A change to the program to include projects
up to a nameplate capacity of 40 kilowatts or less does not require the utility
to file a plan with the commissioner. Any
plan approved by the commissioner of commerce must not provide an increased
incentive scale over prior years unless the commissioner demonstrates that
changes in the market for solar energy facilities require an increase.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 2. [116C.7793]
SOLAR ENERGY; CONTINGENCY ACCOUNT.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Agency"
means the Minnesota Pollution Control Agency.
(c) "Area C"
means the site located west of Mississippi River Boulevard in St. Paul
that served as an industrial waste dump for the former Ford Twin Cities
Assembly Plant.
(d) "Corrective action
determination" means a decision by the agency regarding actions to be
taken to remediate contaminated soil and groundwater at Area C.
(e) "Owner"
means the owner of a solar energy generating system planned to be deployed at
Area C.
(f) "Solar energy
generating system" has the meaning given in section 216E.01, subdivision
9a.
Subd. 2. Account
established. The Area C
contingency account is established as a separate account in the special revenue
fund in the state treasury. Transfers
and appropriations to the account, and any earnings or dividends accruing to
assets in the account, must be credited to the account. The commissioner shall serve as fiscal agent
and shall manage the account.
Subd. 3. Distribution
of funds; conditions. Money
from the account is appropriated to the commissioner and may be distributed to
the owner of a solar energy generating system planned to be deployed at Area C
under the following conditions:
(1) the agency issues a
corrective action determination after the owner has begun to design or
construct the project, and implementation of the corrective action results in a
need for (i) the project to be redesigned, or (ii) construction to be interrupted
or altered; or
(2) the agency issues a
corrective action determination whose work plan results in temporary cessation
or partial or complete removal of the solar energy generating system after it
has become operational.
Subd. 4. Distribution
of funds; process. (a) The
owner may file a request for distribution of funds from the commissioner if
either of the conditions in subdivision 3 occur. The filing must (1) describe the nature of
the impact of the work plan that results in economic losses to the owner, and
(2) include a reasonable estimate of the amount of those losses.
(b) The owner must
provide the commissioner with information the commissioner determines to be
necessary to assist in the review of the filing required under this
subdivision.
(c) The commissioner
shall review the owner's filing within 60 days of submission and shall approve
a request the commissioner determines is reasonable.
Subd. 5. Expenditures. Money distributed by the commissioner
to the owner under this section may be used by the owner only to pay for:
(1) removal, storage,
and transportation costs incurred for removal of the solar energy generating
system or any associated infrastructure, and any costs to reinstall equipment;
(2) costs of redesign or new equipment or infrastructure made necessary
by the activities of the agency's work plan;
(3) lost revenues
resulting from the inability of the solar energy generating system to generate
sufficient electricity to fulfill the terms of the power purchase agreement
between the owner and the purchaser of electricity generated by the solar
energy generating system;
(4) other damages
incurred under the power purchase agreement resulting from the cessation of
operations made necessary by the activities of the agency's work plan; and
(5) the cost of energy
required to replace the energy that was to be generated by the solar energy
generating system and purchased under the power purchase agreement.
Subd. 6. Report. Beginning July 1, 2026, and every
three years thereafter, the agency must submit a written report to the chairs
and ranking minority members of the senate and house of representatives
committees with jurisdiction over environment and energy assessing the
likelihood of the agency approving a corrective action determination to
remediate Area C.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2022, section 216B.164, is amended by adding a subdivision to read:
Subd. 12. Customer's
access to electricity usage data. A
utility must provide a customer's electricity usage data to the customer within
ten days of the date the utility receives a request from the customer that is
accompanied by evidence that the energy usage data is relevant to the
interconnection of a qualifying facility on behalf of the customer. For the purposes of this subdivision,
"electricity usage data" includes but is not limited to: (1) the total amount of electricity used by a
customer monthly; (2) usage by time period if the customer operates under a
tariff where costs vary by time of use; and (3) usage data that is used to
calculate a customer's demand charge.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2022, section 216B.1641, is amended to read:
216B.1641 COMMUNITY SOLAR GARDEN.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Subscribed
energy" means electricity generated by the community solar garden that is
attributable to a subscriber's subscription.
(c)
"Subscriber" means a retail customer who owns one or more
subscriptions of a community solar garden interconnected with the retail
customer's utility.
(d)
"Subscription" means a contract between a subscriber and the owner of
a solar garden.
Subd. 2. Solar
garden; project requirements. (a)
The Each public utility subject to section 116C.779 providing
electric service at retail to customers in Minnesota shall file by September
30, 2013 January 15, 2024, a plan with the commission to operate a
community solar garden program which shall begin operations within 90 days
after commission approval of the plan. Other
public utilities may file an application at their election. The community solar garden program must be
designed to offset the energy use of not less than five subscribers in each
community solar garden facility of which no single subscriber has more than a
40 percent interest. The owner of the
community solar garden may be a public utility or any other entity or
organization that contracts to sell the output from the community solar garden
to the utility under section 216B.164. There
shall be no limitation on the number or cumulative generating capacity of
community solar garden facilities other than the limitations imposed under
section 216B.164, subdivision 4c, or other limitations provided in law or
regulations.
(b) A solar garden is a
facility that generates electricity by means of a ground-mounted or
roof-mounted solar photovoltaic device whereby subscribers receive a bill
credit for the electricity generated in proportion to the size of their
subscription. The solar garden must have
a nameplate capacity of no more than one megawatt five megawatts. Each subscription shall be sized to represent
at least 200 watts of the community solar garden's generating capacity and to
supply, when combined with other distributed generation resources serving the
premises, no more than 120 percent of the average annual consumption of
electricity by each subscriber at the premises to which the subscription is
attributed.
(c) The solar generation
facility must be located in the service territory of the public utility filing
the plan. Subscribers must be retail
customers of the public utility located in the same county or a county
contiguous to where the facility is located.
(d) The public utility must purchase from the community solar garden all energy generated by the solar garden. The purchase shall be at the rate calculated under section 216B.164, subdivision 10, or, until that rate for the public utility has been approved by the commission, the applicable retail rate. A solar garden is eligible for any incentive programs offered under section 116C.7792. A subscriber's portion of the purchase shall be provided by a credit on the subscriber's bill.
Subd. 3. Solar
garden plan; requirements; nonutility status. (e) (a) The commission may
approve, disapprove, or modify a community solar garden program. Any plan approved by the commission must:
(1) reasonably allow for the creation, financing, and accessibility of community solar gardens;
(2) establish uniform standards, fees, and processes for the interconnection of community solar garden facilities that allow the utility to recover reasonable interconnection costs for each community solar garden;
(3) not apply different requirements to utility and nonutility community solar garden facilities;
(4) be consistent with the public interest;
(5) identify the information that must be provided to potential subscribers to ensure fair disclosure of future costs and benefits of subscriptions;
(6) include a program implementation schedule;
(7) identify all proposed
rules, fees, and charges; and
(8) identify the means by
which the program will be promoted.; and
(9) require an owner of a
solar garden to submit a report that meets the requirements of section 216C.51,
subdivisions 2 and 3, each year the solar garden is in operation.
(f) (b) Notwithstanding
any other law, neither the manager of nor the subscribers to a community solar
garden facility shall be considered a utility solely as a result of their
participation in the community solar garden facility.
(g) (c) Within
180 days of commission approval of a plan under this section, a utility shall
begin crediting subscriber accounts for each community solar garden facility in
its service territory, and shall file with the commissioner of commerce a
description of its crediting system.
(h) For the purposes of
this section, the following terms have the meanings given:
(1)
"subscriber" means a retail customer of a utility who owns one or
more subscriptions of a community solar garden facility interconnected with
that utility; and
(2)
"subscription" means a contract between a subscriber and the owner of
a solar garden.
Subd. 4. Community
access project; eligibility. (a)
An owner of a community solar garden may apply to the utility to be designated
as a community access project at any time:
(1) before the owner
makes an initial payment under an interconnection agreement entered into with a
public utility; or
(2) if the owner made an
initial payment under an interconnection agreement between January 1, 2023, and
the effective date of this section, before commercial operation begins.
(b) The utility must designate
a solar garden as a community access project if the owner of a solar garden
commits in writing to meet the following conditions:
(1) at least 50 percent
of the solar garden's generating capacity is subscribed by residential
customers;
(2) the contract between
the owner of the solar garden and the public utility that purchases the
garden's electricity, and any agreement between the utility or owner of the
solar garden and subscribers, states that the owner of the solar garden does
not discriminate against or screen subscribers based on income or credit score
and that any customer of a utility with a community solar garden plan approved
by the commission under subdivision 3 is eligible to become a subscriber;
(3) the solar garden is
operated by an entity that maintains a physical address in Minnesota and has
designated a contact person in Minnesota who responds to subscriber inquiries;
and
(4) the agreement between
the owner of the solar garden and subscribers states that the owner must
adequately publicize and convene at least one meeting annually to provide an
opportunity for subscribers to pose questions to the manager or owner.
Subd. 5. Community
access project; financial arrangements.
(a) If a utility approves a solar garden as a community access
project:
(1) the public utility
purchasing the electricity generated by the community access project may charge
the owner of the community access project no more than one cent per watt
alternating current based on the solar garden's generating capacity for any refundable
deposit the utility requires of a solar garden during the application process;
(2) notwithstanding
subdivision 2, paragraph (d), the public utility must purchase all energy
generated by the community access project at the retail rate; and
(3) all renewable energy
credits generated by the community access project belong to subscribers unless
the owner of the solar garden:
(i) contracts to:
(A) sell the credits to a
third party; or
(B) sell or transfer the
credits to the utility; and
(ii) discloses a sale or
transfer to subscribers at the time the subscribers enter into a subscription.
(b) If at any time after
commercial operation begins a solar garden that the utility approved as a
community access project fails to meet the conditions under subdivision 4, the
solar garden:
(1) is no longer subject
to this subdivision and subdivision 6; and
(2) must operate under
the program rules established by the commission for a solar garden that does
not qualify as a community access project.
(c) An owner of a solar
garden whose designation as a community access project is revoked under this
subdivision may reapply to the commission at any time to have the community
access project designation reinstated under subdivision 4.
Subd. 6. Community
access project; reporting. The
owner of a community access project must include the following information in
an annual report to the community access project subscribers and the utility:
(1) a description of the
process by which subscribers may provide input to solar garden policy and
decision making;
(2) the amount of revenues
received by the solar garden in the previous year that were allocated to
categories that include but are not limited to operating costs, debt service,
profits distributed to subscribers, and profits distributed to others; and
(3) an estimate of the
proportion of low- and moderate-income subscribers, and a description of one or
more of the following methods used to make the estimate:
(i) evidence provided by
a subscriber that the subscriber or a member of the subscriber's household
receives assistance from any of the following sources:
(A) the federal
Low-Income Home Energy Assistance Program;
(B) federal Section 8
housing assistance;
(C) medical assistance;
(D) the federal
Supplemental Nutrition Assistance Program; or
(E) the federal National
School Lunch Program;
(ii) characterization of
the census tract where the subscriber resides as low- or moderate-income by the
Federal Financial Institutions Examination Council; or
(iii) other methods
approved by the commission.
Subd. 7. Commission
order. The commission must
issue an order addressing the requirements of this section no later than 180
days after the filings made under subdivision 2, paragraph (a).
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2022, section 216C.08, is amended to read:
216C.08 JURISDICTION.
The commissioner has sole authority and responsibility for the administration of sections 216C.05 to 216C.30 and 216C.375. Other laws notwithstanding, the authority granted the commissioner shall supersede the authority given any other agency whenever overlapping, duplication, or additional administrative or legal procedures might occur in the administration of sections 216C.05 to 216C.30 and 216C.375. The commissioner shall consult with other state departments or agencies in matters related to energy and shall contract with them to provide appropriate services to effectuate the purposes of sections 216C.05 to 216C.30 and 216C.375. Any other department, agency, or official of this state or political subdivision thereof which would in any way affect the administration or enforcement of sections 216C.05 to 216C.30 and 216C.375 shall cooperate and coordinate all activities with the commissioner to assure orderly and efficient administration and enforcement of sections 216C.05 to 216C.30 and 216C.375.
The commissioner shall designate a liaison officer whose duty shall be to insure the maximum possible consistency in procedures and to eliminate duplication between the commissioner and the other agencies that may be involved in energy.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 6. Minnesota Statutes 2022, section 216C.09, is amended to read:
216C.09 COMMISSIONER DUTIES.
(a) The commissioner shall:
(1) manage the department as the central repository within the state government for the collection of data on energy;
(2) prepare and adopt an emergency allocation plan specifying actions to be taken in the event of an impending serious shortage of energy, or a threat to public health, safety, or welfare;
(3) undertake a continuing assessment of trends in the consumption of all forms of energy and analyze the social, economic, and environmental consequences of these trends;
(4) carry out energy conservation measures as specified by the legislature and recommend to the governor and the legislature additional energy policies and conservation measures as required to meet the objectives of sections 216C.05 to 216C.30 and 216C.375;
(5) collect and analyze data relating to present and future demands and resources for all sources of energy;
(6) evaluate policies governing the establishment of rates and prices for energy as related to energy conservation, and other goals and policies of sections 216C.05 to 216C.30 and 216C.375, and make recommendations for changes in energy pricing policies and rate schedules;
(7) study the impact and relationship of the state energy policies to international, national, and regional energy policies;
(8) design and implement a state program for the conservation of energy; this program shall include but not be limited to, general commercial, industrial, and residential, and transportation areas; such program shall also provide for the evaluation of energy systems as they relate to lighting, heating, refrigeration, air conditioning, building design and operation, and appliance manufacturing and operation;
(9) inform and educate the public about the sources and uses of energy and the ways in which persons can conserve energy;
(10) dispense funds made available for the purpose of research studies and projects of professional and civic orientation, which are related to either energy conservation, resource recovery, or the development of alternative energy technologies which conserve nonrenewable energy resources while creating minimum environmental impact;
(11) charge other governmental departments and agencies involved in energy-related activities with specific information gathering goals and require that those goals be met;
(12) design a comprehensive program for the development of indigenous energy resources. The program shall include, but not be limited to, providing technical, informational, educational, and financial services and materials to persons, businesses, municipalities, and organizations involved in the development of solar, wind, hydropower, peat, fiber fuels, biomass, and other alternative energy resources. The program shall be evaluated by the alternative energy technical activity; and
(13) dispense loans, grants, or other financial aid from money received from litigation or settlement of alleged violations of federal petroleum-pricing regulations made available to the department for that purpose.
(b) Further, the commissioner may participate fully in hearings before the Public Utilities Commission on matters pertaining to rate design, cost allocation, efficient resource utilization, utility conservation investments, small power production, cogeneration, and other rate issues. The commissioner shall support the policies stated in section 216C.05 and shall prepare and defend testimony proposed to encourage energy conservation improvements as defined in section 216B.241.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 7. Minnesota Statutes 2022, section 216C.375, is amended to read:
216C.375 SOLAR FOR SCHOOLS PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section and
section 216C.376, the following terms have the meanings given them.
(b) "Developer" means an entity that installs a solar energy system on a school building that has been awarded a grant under this section.
(c) "Electricity
expenses" means expenses associated with:
(1) purchasing
electricity from a utility; or
(2) purchasing and
installing a solar energy system, including financing and power purchase
agreement payments, operation and maintenance contract payments, and interest
charges.
(c) (d) "Photovoltaic
device" has the meaning given in section 216C.06, subdivision 16.
(d) (e) "School"
means:
(1) a school that operates
as part of an independent or special a school district;
(2) a Tribal contract school; or
(2) (3) a
state college or university that is under the jurisdiction of the Board of Trustees
of the Minnesota State Colleges and Universities.
(e) (f)
"School district" means:
(1) an independent or
school district, as defined in section 120A.05, subdivision 10;
(2) a special school
district, as defined in section 120A.05, subdivision 14; or
(3) a cooperative unit, as defined in section 123A.24, subdivision 2.
(f) (g) "Solar
energy system" means photovoltaic or solar thermal devices.
(g) (h) "Solar
thermal" has the meaning given to "qualifying solar thermal
project" in section 216B.2411, subdivision 2, paragraph (d).
(h) (i) "State
colleges and universities" has the meaning given in section 136F.01,
subdivision 4.
Subd. 2. Establishment;
purpose. A solar for schools program
is established in the Department of Commerce.
The purpose of the program is to provide grants to stimulate the
installation of solar energy systems on or adjacent to school buildings by
reducing the cost school's electricity expenses, and to enable
schools to use the solar energy system as a teaching tool that can be
integrated into the school's curriculum.
Subd. 3. Establishment
of account. A solar for schools
program account is established in the special revenue fund. Money received from the general fund and
from the renewable development account established under section 116C.779,
subdivision 1, must be transferred to the commissioner of commerce and
credited to the account. The
account consists of money
received from the general fund and the renewable development account, provided
by law, donated, allocated, transferred, or otherwise provided to the account. Earnings, including interest, dividends, and
any other earnings arising from the assets of the account, must be credited to
the account. Except as otherwise
provided in this paragraph, money deposited in the account remains in the
account until expended. Any money that
remains in the account on June 30, 2027 2034, cancels to the
general fund.
Subd. 4. Appropriation; expenditures. (a) Money in the account is appropriated to the commissioner and may be used only:
(1) for grant awards made under this section; and
(2) to pay the reasonable costs incurred by the department to administer this section.
(b) Grant awards made with
funds in the account from the general fund must be used only for
grants for solar energy systems installed on or adjacent to school buildings
receiving retail electric service from a utility that is not subject to section
116C.779, subdivision 1.
(c) Grant awards made
with funds from the renewable development account must be used only for grants
for solar energy systems installed on or adjacent to school buildings receiving
retail electric service from a utility that is subject to section 116C.779,
subdivision 1.
Subd. 5. Eligible system. (a) A grant may be awarded to a school under this section only if the solar energy system that is the subject of the grant:
(1) is installed on or adjacent to the school building that consumes the electricity generated by the solar energy system, on property within the service territory of the utility currently providing electric service to the school building;
(2) if installed on or adjacent to a school building receiving retail electric service from a utility that is not subject to section 116C.779, subdivision 1, has a capacity that does not exceed the lesser of: (i) 40 kilowatts alternating current or, with the consent of the interconnecting electric utility, up to 1,000 kilowatts alternating current; or (ii) 120 percent of the estimated annual electricity consumption of the school building at which the solar energy system is installed; and
(3) if installed on or
adjacent to a school building receiving retail electric service from a utility
that is subject to section 116C.779, subdivision 1, has a capacity that does
not exceed the lesser of 1,000 kilowatts alternating current or 120 percent of the
estimated annual electricity consumption of the school building at which the
solar energy system is installed;
(4) has real-time and cumulative display devices, located in a prominent location accessible to students and the public, that indicate the system's electrical performance.
(b) A school that receives a rebate or other financial incentive under section 216B.241 for a solar energy system and that demonstrates considerable need for financial assistance, as determined by the commissioner, is eligible for a grant under this section for the same solar energy system.
Subd. 6. Application process. (a) The commissioner must issue a request for proposals to utilities, schools, and developers who may wish to apply for a grant under this section on behalf of a school.
(b) A utility or developer must submit an application to the commissioner on behalf of a school on a form prescribed by the commissioner. The form must include, at a minimum, the following information:
(1) the capacity of the proposed solar energy system and the amount of electricity that is expected to be generated;
(2) the current energy demand of the school building on which the solar energy generating system is to be installed and information regarding any distributed energy resource, including subscription to a community solar garden, that currently provides electricity to the school building;
(3) a description of any solar thermal devices proposed as part of the solar energy system;
(4) the total cost to purchase and install the solar energy system and the solar energy system's lifecycle cost, including removal and disposal at the end of the system's life;
(5) a copy of the proposed
contract agreement between the school and the public utility to which
the solar energy system is interconnected or the developer that
includes provisions addressing responsibility for maintenance of the solar
energy system;
(6) the school's plan to make the solar energy system serve as a visible learning tool for students, teachers, and visitors to the school, including how the solar energy system may be integrated into the school's curriculum and provisions for real-time monitoring of the solar energy system performance for display in a prominent location within the school or on-demand in the classroom;
(7) information that demonstrates the school's level of need for financial assistance available under this section;
(8) information that demonstrates the school's readiness to implement the project, including but not limited to the availability of the site on which the solar energy system is to be installed and the level of the school's engagement with the utility providing electric service to the school building on which the solar energy system is to be installed on issues relevant to the implementation of the project, including metering and other issues;
(9) with respect to the installation and operation of the solar energy system, the willingness and ability of the developer or the public utility to:
(i) pay employees and contractors a prevailing wage rate, as defined in section 177.42, subdivision 6; and
(ii) adhere to the provisions of section 177.43;
(10) how the developer or
public utility plans to reduce the school's initial capital expense to
purchase and install projected reductions in electricity expenses
resulting from purchasing and installing the solar energy system by
providing financial assistance to the school; and
(11) any other information deemed relevant by the commissioner.
(c) The commissioner must administer an open application process under this section at least twice annually.
(d) The commissioner must develop administrative procedures governing the application and grant award process.
(e) The school, the
developer, or the utility to which the solar energy generating system is
interconnected must annually submit to the commissioner on a form prescribed by
the commissioner a report containing the following information for each of the
12 previous months:
(1) the total number of
kilowatt-hours of electricity consumed by the school;
(2) the total number of
kilowatt-hours generated by the solar energy generating system;
(3) the amount paid by
the school to its utility for electricity; and
(4) any other information
requested by the commissioner.
Subd. 7. Energy
conservation review. At the
commissioner's request, a school awarded a grant under this section shall
must provide the commissioner information regarding energy conservation
measures implemented at the school building at which the solar energy system is
installed. The commissioner may make
recommendations to the school regarding cost-effective conservation measures it
can implement and may provide technical assistance and direct the school to
available financial assistance programs.
Subd. 8. Technical assistance. The commissioner must provide technical assistance to schools to develop and execute projects under this section.
Subd. 9. Grant payments. The commissioner must award a grant from the account established under subdivision 3 to a school for the necessary costs associated with the purchase and installation of a solar energy system. The amount of the grant must be based on the commissioner's assessment of the school's need for financial assistance.
Subd. 10. Application deadline. No application may be submitted under
this section after December 31, 2025 2032.
Subd. 11. Reporting. Beginning January 15, 2022, and each year
thereafter until January 15, 2028 2035, the commissioner must
report to the chairs and ranking minority members of the legislative committees
with jurisdiction over energy regarding:
(1) grants and amounts awarded to schools under this section during the
previous year; (2) financial assistance, including amounts per award,
provided to schools under section 216C.376 during the previous year; and (3)
any remaining balances available under this section and section 216C.376. (2)
the amount of electricity generated by solar energy generating systems awarded
a grant under this section; and (3) the impact on school electricity expenses.
Subd. 12. Renewable
energy credits. Renewable
energy credits associated with the electricity generated by a solar energy
generating system installed under this section in the electric service area of
a public utility subject to section 116C.779 are the property of the public
utility for the life of the solar energy generating system.
Sec. 8. [216C.377]
SOLAR GRANT PROGRAM; PUBLIC BUILDINGS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Developer"
means an entity that applies for a grant on behalf of a public building under
this section to install a solar energy generating system on the public
building.
(c) "Local unit of
government" means:
(1) a county, statutory
or home rule charter city, town, or other local government jurisdiction,
excluding a school district eligible to receive financial assistance under
section 216C.375 or 216C.376; or
(2) a federally
recognized Indian Tribe in Minnesota.
(d) "Municipal
electric utility" means a utility that (1) provides electric service to
retail customers in Minnesota, and (2) is governed by a city council or a local
utilities commission.
(e) "Public
building" means:
(1) a building owned and
operated by a local unit of government; or
(2) a building owned by a
federally recognized Indian Tribe in Minnesota whose primary purpose is Tribal
government operations.
(f) "Solar energy
generating system" has the meaning given in section 216E.01, subdivision
9a.
Subd. 2. Establishment;
purpose. A solar on public
buildings grant program is established in the department. The purpose of the program is to provide
grants to stimulate the installation of solar energy generating systems on
public buildings.
Subd. 3. Establishment
of account. A solar on public
buildings grant program account is established in the special revenue fund. Money received from the general fund and the
renewable development account established in section 116C.779, subdivision 1,
must be transferred to the commissioner of commerce and credited to the account. Earnings, including interest, dividends, and
any other earnings arising from the assets of the account, must be credited to
the account. Earnings remaining in the
account at the end of a fiscal year do not cancel to the general fund or
renewable development account but remain in the account until expended. The commissioner must manage the account.
Subd. 4. Appropriation;
expenditures. Money in the
account established under subdivision 3 is appropriated to the commissioner for
the purposes of this section and must be used only:
(1) for grant awards made
under this section; and
(2) to pay the reasonable
costs of the department to administer this section.
Subd. 5. Eligible
system. (a) A grant may be
awarded to a local unit of government under this section only if the solar energy
generating system that is the subject of the grant:
(1) is installed (i) on
or adjacent to a public building that consumes the electricity generated by the
solar energy generating system, and (ii) on property within the service
territory of the utility currently providing electric service to the public building;
and
(2) has a capacity that
does not exceed the lesser of 40 kilowatts or 120 percent of the average annual
electricity consumption, measured over the most recent three calendar years, of
the public building at which the solar energy generating system is installed.
(b) A public building
that receives a rebate or other financial incentive under section 216B.241 for
a solar energy generating system is eligible for a grant under this section for
the same solar energy generating system.
(c) Before filing an
application for a grant under this section, a local unit of government or
public building that is served by a municipal electric utility must inform the
municipal electric utility of the local unit of government's or public
building's intention to do so. A
municipal electric utility may, under an agreement with a local unit of
government, own and operate a solar energy generating system awarded a grant
under this section on behalf of and for the benefit of the local unit of
government.
Subd. 6. Application
process. (a) The commissioner
must issue a request for proposals to utilities, local units of government, and
developers who may wish to apply for a grant under this section on behalf of a
public building.
(b) A utility or
developer must submit an application to the commissioner on behalf of a public
building on a form prescribed by the commissioner. The form must include, at a minimum, the
following information:
(1) the capacity of the
proposed solar energy generating system and the amount of electricity that is
expected to be generated;
(2) the current energy
demand of the public building on which the solar energy generating system is to
be installed, information regarding any distributed energy resource that
currently provides electricity to the public building, and the size of the public
building's subscription to a community solar garden, if applicable;
(3) information
sufficient to estimate the energy and monetary savings that are projected to
result from installation of the solar energy generating system over the
system's useful life;
(4) the total cost to purchase
and install the solar energy system and the solar energy system's life cycle
cost, including removal and disposal at the end of the system's life;
(5) a copy of the
proposed contract agreement between the local unit of government and the
utility or developer that includes provisions addressing responsibility for
maintenance, removal, and disposal of the solar energy generating system; and
(6) if the applicant is
other than the utility providing electric service to the public building at
which the solar energy generating system is to be installed, a written
statement from that utility that no issues that would prevent interconnection
of the solar energy generating system as proposed are foreseen.
(c) The commissioner must
administer an open application process under this section at least twice
annually.
(d) The commissioner must
develop administrative procedures governing the application and grant award
process under this section.
Subd. 7. Energy
conservation review. At the
commissioner's request, a local unit of government awarded a grant under this
section must provide the commissioner with information regarding energy
conservation measures implemented at the public building where the solar energy
generating system is to be installed. The
commissioner may make recommendations to the local unit of government regarding
cost-effective conservation measures the local unit of government can implement
and may provide technical assistance and direct the local unit of government to
available financial assistance programs.
Subd. 8. Technical
assistance. The commissioner
must provide technical assistance to local units of government to develop and
execute projects under this section.
Subd. 9. Grant
payments. The commissioner
must award a grant from the account established under subdivision 3 to a local
unit of government for the necessary and reasonable costs associated with the
purchase and installation of a solar energy generating system. In determining the amount of a grant award,
the commissioner shall take into consideration the financial capacity of the
local unit of government awarded the grant.
Subd. 10. Application
deadline. An application must
not be submitted under this section after June 30, 2026.
Subd. 11. Contractor
conditions. A contractor or
subcontractor performing construction work on a project supported by a grant
awarded under this section:
(1) must pay employees
working on the project no less than the prevailing wage rate, as defined in
section 177.42; and
(2) is subject to the
requirements and enforcement provisions of sections 177.27, 177.30, 177.32,
177.41 to 177.435, and 177.45.
Subd. 12. Reporting. Beginning January 15, 2024, and each
year thereafter until January 15, 2027, the commissioner must report to the
chairs and ranking minority members of the legislative committees with
jurisdiction over energy finance and policy regarding grants and amounts
awarded to local units of government under this section during the previous
year and any remaining balances available in the account established under this
section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 9. [216C.379]
DISTRIBUTED ENERGY RESOURCES SYSTEM UPGRADE PROGRAM.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Capacity
constrained location" means a location on an electric utility's
distribution system that the utility has reasonably determined requires
significant distribution or network upgrades before additional distributed
energy resources can interconnect.
(c) "Distribution
upgrades" means the additions, modifications, and upgrades made to an
electric utility's distribution system to facilitate interconnection of
distributed energy resources.
(d)
"Interconnection" means the process governed by the Minnesota
Distributed Energy Resources Interconnection Process and Agreement, as approved
in the Minnesota Public Utilities Commission's order issued April 19, 2019.
(e) "Net metered
facility" has the meaning given in section 216B.164.
(f) "Network
upgrades" means additions, modifications, and upgrades to the transmission
system required at or beyond the point at which the distributed energy resource
interconnects with an electric utility's distribution system to accommodate the
interconnection of the distributed energy resource with the electric utility's
distribution system. Network upgrades do
not include distribution upgrades.
Subd. 2. Establishment;
purpose. A distributed energy
resources system upgrade program is established in the department. The purpose of the program is to provide
funding to the utility subject to section 116C.779 to complete infrastructure
upgrades necessary to enable electricity customers to interconnect distributed
energy resources. The program must be
designed to achieve the following goals to the maximum extent feasible:
(1) make upgrades at
capacity constrained locations on the utility's distribution system so that the
number and capacity of distributed energy resources projects with a capacity of
up to 40 kilowatts alternating current that can be interconnected is sufficient
to serve projected demand;
(2) enable all
distributed energy resources projects with a nameplate capacity of up to 40
kilowatts alternating current to be reviewed and approved by the utility within
43 business days;
(3) minimize
interconnection barriers for electricity customers seeking to construct net
metered facilities for on‑site electricity use; and
(4) advance innovative
solutions that can minimize the cost of distribution and network upgrades
required for interconnection, including but not limited to energy storage,
control technologies, smart inverters, distributed energy resources management
systems, and other innovative technologies and programs.
Subd. 3. Required
plan. (a) By November 1,
2023, the utility subject to section 116C.779 must file with the commissioner a
plan for the distributed energy resources system upgrade program. The plan must contain:
(1) a description of how
the utility proposes to use money in the distributed energy resources system
upgrade program account to upgrade the utility's distribution system so that
the number and capacity of distributed energy resources that can be interconnected
is sufficient to serve projected demand;
(2) the locations where
the utility proposes to make investments under the program;
(3) the number and
capacity of distributed energy resources projects the utility expects to
interconnect as a result of the program;
(4) a plan for reporting
on the program's outcomes; and
(5) any additional
information required by the commissioner.
(b) The utility subject
to section 116C.779 is prohibited from implementing the program until the
commissioner approves the plan submitted under this subdivision. No later than March 31, 2024, the
commissioner must approve a plan under this subdivision that the commissioner
determines is in the public interest. Any
proposed modification to the plan approved under this subdivision must be
approved by the commissioner.
Subd. 4. Project
priorities. In developing the
plan required by subdivision 3, the utility must prioritize making investments
under this program:
(1) at capacity
constrained locations on the distribution grid;
(2) in communities with
demonstrated customer interest in distributed energy resources as measured by
completed, pending, and anticipated interconnection applications; and
(3) in communities with a
climate action plan, clean energy goal, or policies that:
(i) seek to mitigate the
impacts of climate change on the city; or
(ii) reduce the city's
contributions to the causes of climate change.
Subd. 5. Eligible
costs. The commissioner may
pay the following reasonable costs of the utility subject to section 116C.779
under a plan approved in accordance with subdivision 3 from money available in
the distributed energy resources system upgrade program account:
(1) distribution upgrades
and network upgrades;
(2) energy storage;
control technologies, including but not limited to a distributed energy
resources management system; or other innovative technology used to achieve the
purposes of this section;
(3) pilot programs
operated by the utility to implement innovative technology solutions; and
(4) costs incurred by the
department to administer this section.
Subd. 6. Capacity
reserved. The utility subject
to section 116C.779 must reserve any increase in capacity made available by
upgrades paid for under this section for net metered facilities and distributed
energy resources with a nameplate capacity of up to 40 kilowatts alternating current. The commissioner may modify the requirements
of this subdivision when the commissioner finds doing so is in the public
interest.
Subd. 7. Establishment
of account. (a) A distributed
energy resources system upgrade program account is established in the special
revenue fund. Earnings, including
interest, dividends, and any other earnings arising from the assets of the
account, must be credited to the account.
Earnings remaining in the account at the end of a fiscal year do not
cancel to the general fund or renewable development account but remain in the
account until expended. The commissioner
must manage the account.
(b) Money from the
account is appropriated to the commissioner for the purposes of this section.
Subd. 8. Reporting
of certain incidents. The
utility subject to section 116C.779 must report to the commissioner within 60
days if any distributed energy resources project with a capacity up to 40
kilowatts alternating current is unable to interconnect at a location for which
upgrade funding was provided under this program due to safety or reliability
issues, or the additional cost of distribution or network upgrades required. The utility must make available to the
commissioner all engineering analyses, studies, and information related to any
such instances. The commissioner may
modify or waive this requirement after December 31, 2025.
Sec. 10. [500.216]
LIMITS ON CERTAIN RESIDENTIAL SOLAR ENERGY SYSTEMS PROHIBITED.
Subdivision 1. Definitions. (a) For the purposes of this section,
the terms defined in this subdivision have the meanings given.
(b) "Private
entity" means a homeowners association, community association, or other
association that is subject to a homeowners association document.
(c) "Homeowners
association document" means a document containing the declaration,
articles of incorporation, bylaws, or rules and regulations of:
(1) a common interest community, as defined in section 515B.1-103, regardless of whether the common interest community is subject to chapter 515B; and
(2) a residential
community that is not a common interest community.
(d) "Solar energy
system" has the meaning given in section 216C.06, subdivision 17.
Subd. 2. Applicability. This section applies to:
(1) single-family
detached dwellings whose owner is the sole owner of the entire building in
which the dwelling is located and who is solely responsible for the
maintenance, repair, replacement, and insurance of the entire building; and
(2) multifamily attached
dwellings whose owner is the sole owner of the entire building in which the
dwelling is located and who is solely responsible for the maintenance, repair,
replacement, and insurance of the entire building.
Subd. 3. General
rule. Except as otherwise
provided in this section and notwithstanding any covenant, restriction, or
condition contained in a deed, security instrument, homeowners association
document, or any other instrument affecting the transfer, sale of, or an
interest in real property, a private entity must not prohibit or refuse to
permit the owner of a single-family dwelling to install, maintain, or use a
roof-mounted solar energy system.
Subd. 4. Allowable
conditions. (a) A private
entity may require that:
(1) a licensed contractor
install a solar energy system;
(2) a roof-mounted solar
energy system not extend above the peak of a pitched roof or beyond the edge of
the roof;
(3) the owner or
installer of a solar energy system indemnify or reimburse the private entity or
the private entity's members for loss or damage caused by the installation,
maintenance, use, repair, or removal of a solar energy system;
(4) the owner and each
successive owner of a solar energy system list the private entity as a
certificate holder on the homeowner's insurance policy; or
(5) the owner and each
successive owner of a solar energy system be responsible for removing the
system if reasonably necessary to repair, perform maintenance, or replace
common elements or limited common elements, as defined in section 515B.1-103.
(b) A private entity may impose other reasonable restrictions on installing, maintaining, or using solar energy systems, provided that the restrictions do not: (1) decrease the solar energy system's projected energy generation by more than ten percent; or (2) increase the solar energy system's cost by more than (i) 20 percent for a solar water heater, or (ii) $1,000 for a solar photovoltaic system, when compared with the solar energy system's energy generation and the cost of labor and materials originally proposed without the restrictions, as certified by the solar energy system's designer or installer. A private entity may obtain an alternative bid and design from a solar energy system designer or installer for the purposes of this paragraph.
(c) A solar energy system
must meet applicable standards and requirements imposed by the state and by
governmental units, as defined in section 462.384.
(d) A solar energy system for
heating water must be certified by the Solar Rating Certification Corporation
or an equivalent certification agency. A
solar energy system for producing electricity must meet: (1) all applicable safety and performance
standards established by the National Electrical Code, the Institute of
Electrical and Electronics Engineers, and accredited testing laboratories,
including but not limited to Underwriters Laboratories; and (2) where
applicable, rules of the Public Utilities Commission regarding safety and
reliability.
(e) If approval by a
private entity is required prior to installing or using a solar energy system,
the application for approval (1) must be processed and approved in the same
manner as an application for approval of an architectural modification to the property,
and (2) must not be willfully avoided or delayed. In no event does a private entity have less
than 60 days to approve or disapprove an application for a solar energy system.
(f) An application for approval must be made in writing and must contain certification that the applicant must meet any conditions required by a private entity under subdivision 4. An application must include a copy of the interconnection application submitted to the applicable electric utility.
(g) A private entity must
approve or deny an application in writing.
If an application is not denied in writing within 60 days of the date
the application was received, the application is deemed approved unless the
delay is the result of a reasonable request for additional information. If a private entity determines that
additional information is needed from the applicant in order to approve or
disapprove the application, the private entity must request the additional
information in writing within 60 days from the date of receipt of the
application. If the private entity makes
a request for additional information within 15 days from the date the private
entity initially received the application, the private entity shall have 60
days from the date of receipt of the additional information in which to approve
or disapprove the application. If the
private entity makes a written request to the applicant for additional
information more than 15 days after the private entity initially received the
application, the private entity has 15 days after the private entity receives
the additional information requested from the applicant in which to approve or
disapprove the application, but in no event does the private entity have less
than 60 days from the date the private entity initially received the
application in which to approve or disapprove the application.
Sec. 11. Minnesota Statutes 2022, section 515B.2-103, is amended to read:
515B.2-103 CONSTRUCTION AND VALIDITY OF DECLARATION AND BYLAWS.
(a) All provisions of the declaration and bylaws are severable.
(b) The rule against perpetuities may not be applied to defeat any provision of the declaration or this chapter, or any instrument executed pursuant to the declaration or this chapter.
(c) In the event of a conflict between the provisions of the declaration and the bylaws, the declaration prevails except to the extent that the declaration is inconsistent with this chapter.
(d) The declaration and
bylaws must comply with section sections 500.215 and 500.216.
Sec. 12. Minnesota Statutes 2022, section 515B.3-102, is amended to read:
515B.3-102 POWERS OF UNIT OWNERS' ASSOCIATION.
(a) Except as provided in subsections (b), (c), (d), and (e), and subject to the provisions of the declaration or bylaws, the association shall have the power to:
(1) adopt, amend and revoke rules and regulations not inconsistent with the articles of incorporation, bylaws and declaration, as follows: (i) regulating the use of the common elements; (ii) regulating the use of the units, and conduct of unit occupants, which may jeopardize the health, safety or welfare of other occupants, which involves noise or other disturbing activity, or which may damage the common elements or other units; (iii) regulating or prohibiting animals; (iv) regulating changes in the appearance of the common elements and conduct which may
damage the common interest community; (v) regulating the exterior appearance of the common interest community, including, for example, balconies and patios, window treatments, and signs and other displays, regardless of whether inside a unit; (vi) implementing the articles of incorporation, declaration and bylaws, and exercising the powers granted by this section; and (vii) otherwise facilitating the operation of the common interest community;
(2) adopt and amend budgets for revenues, expenditures and reserves, and levy and collect assessments for common expenses from unit owners;
(3) hire and discharge managing agents and other employees, agents, and independent contractors;
(4) institute, defend, or intervene in litigation or administrative proceedings (i) in its own name on behalf of itself or two or more unit owners on matters affecting the common elements or other matters affecting the common interest community or, (ii) with the consent of the owners of the affected units on matters affecting only those units;
(5) make contracts and incur liabilities;
(6) regulate the use, maintenance, repair, replacement, and modification of the common elements and the units;
(7) cause improvements to be made as a part of the common elements, and,
in the case of a cooperative, the units;
(8) acquire, hold, encumber, and convey in its own name any right, title, or interest to real estate or personal property, but (i) common elements in a condominium or planned community may be conveyed or subjected to a security interest only pursuant to section 515B.3-112, or (ii) part of a cooperative may be conveyed, or all or part of a cooperative may be subjected to a security interest, only pursuant to section 515B.3-112;
(9) grant or amend easements for public utilities, public rights-of-way or other public purposes, and cable television or other communications, through, over or under the common elements; grant or amend easements, leases, or licenses to unit owners for purposes authorized by the declaration; and, subject to approval by a vote of unit owners other than declarant or its affiliates, grant or amend other easements, leases, and licenses through, over or under the common elements;
(10) impose and receive any payments, fees, or charges for the use, rental, or operation of the common elements, other than limited common elements, and for services provided to unit owners;
(11) impose interest and late charges for late payment of assessments and, after notice and an opportunity to be heard before the board or a committee appointed by it, levy reasonable fines for violations of the declaration, bylaws, and rules and regulations of the association;
(12) impose reasonable charges for the review, preparation and recordation of amendments to the declaration, resale certificates required by section 515B.4-107, statements of unpaid assessments, or furnishing copies of association records;
(13) provide for the indemnification of its officers and directors, and maintain directors' and officers' liability insurance;
(14) provide for reasonable procedures governing the conduct of meetings and election of directors;
(15) exercise any other powers conferred by law, or by the declaration, articles of incorporation or bylaws; and
(16) exercise any other powers necessary and proper for the governance and operation of the association.
(b) Notwithstanding subsection (a) the declaration or bylaws may not impose limitations on the power of the association to deal with the declarant which are more restrictive than the limitations imposed on the power of the association to deal with other persons.
(c) Notwithstanding subsection
(a), powers exercised under this section must comply with section sections
500.215 and 500.216.
(d) Notwithstanding subsection (a)(4) or any other provision of this chapter, the association, before instituting litigation or arbitration involving construction defect claims against a development party, shall:
(1) mail or deliver written notice of the anticipated commencement of the action to each unit owner at the addresses, if any, established for notices to owners in the declaration and, if the declaration does not state how notices are to be given to owners, to the owner's last known address. The notice shall specify the nature of the construction defect claims to be alleged, the relief sought, and the manner in which the association proposes to fund the cost of pursuing the construction defect claims; and
(2) obtain the approval of owners of units to which a majority of the total votes in the association are allocated. Votes allocated to units owned by the declarant, an affiliate of the declarant, or a mortgagee who obtained ownership of the unit through a foreclosure sale are excluded. The association may obtain the required approval by a vote at an annual or special meeting of the members or, if authorized by the statute under which the association is created and taken in compliance with that statute, by a vote of the members taken by electronic means or mailed ballots. If the association holds a meeting and voting by electronic means or mailed ballots is authorized by that statute, the association shall also provide for voting by those methods. Section 515B.3-110(c) applies to votes taken by electronic means or mailed ballots, except that the votes must be used in combination with the vote taken at a meeting and are not in lieu of holding a meeting, if a meeting is held, and are considered for purposes of determining whether a quorum was present. Proxies may not be used for a vote taken under this paragraph unless the unit owner executes the proxy after receipt of the notice required under subsection (d)(1) and the proxy expressly references this notice.
(e) The association may intervene in a litigation or arbitration involving a construction defect claim or assert a construction defect claim as a counterclaim, crossclaim, or third-party claim before complying with subsections (d)(1) and (d)(2) but the association's complaint in an intervention, counterclaim, crossclaim, or third-party claim shall be dismissed without prejudice unless the association has complied with the requirements of subsection (d) within 90 days of the association's commencement of the complaint in an intervention or the assertion of the counterclaim, crossclaim, or third-party claim.
Sec. 13. TRANSFER
OF UNENCUMBERED WITHHELD FUNDS.
Any unencumbered funds
withheld by the public utility subject to Minnesota Statutes, section 116C.779,
subdivision 1, to provide financial assistance to schools to purchase and
install solar energy systems, as required under Minnesota Statutes 2022, section
216C.376, subdivision 5, paragraph (a), that are unexpended as of the effective
date of this act must be transferred to the solar for schools program account
established under Minnesota Statutes, section 216C.375, subdivision 3.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 14. REPEALER.
Minnesota Statutes 2022,
section 216C.376, is repealed.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 16
MISCELLANEOUS
Section 1. Minnesota Statutes 2022, section 116C.779, subdivision 1, is amended to read:
Subdivision 1. Renewable development account. (a) The renewable development account is established as a separate account in the special revenue fund in the state treasury. Appropriations and transfers to the account shall be credited to the account. Earnings, such as interest, dividends, and any other earnings arising from assets of the
account, shall be credited to the account. Funds remaining in the account at the end of a fiscal year are not canceled to the general fund but remain in the account until expended. The account shall be administered by the commissioner of management and budget as provided under this section.
(b) On July 1, 2017, the public utility that owns the Prairie Island nuclear generating plant must transfer all funds in the renewable development account previously established under this subdivision and managed by the public utility to the renewable development account established in paragraph (a). Funds awarded to grantees in previous grant cycles that have not yet been expended and unencumbered funds required to be paid in calendar year 2017 under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, are not subject to transfer under this paragraph.
(c) Except as provided in
subdivision 1a, beginning January 15, 2018, and continuing each January 15
thereafter, the public utility that owns the Prairie Island nuclear generating
plant must transfer to the renewable development account $500,000 each year for
each dry cask containing spent fuel that is located at the Prairie Island power
plant for each year the plant is in operation, and $7,500,000 each year the
plant is not in operation if ordered by the commission pursuant to paragraph
(i). The fund transfer must be made if
nuclear waste is stored in a dry cask at the independent spent-fuel storage
facility at Prairie Island for any part of a year. Each year, the amount the public utility
must transfer to the renewable development account under this paragraph must be
reduced by the amount of any per-cask payment made by the public utility to the
Prairie Island Indian Community under section 216B.1645, subdivision 4.
(d) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing each January 15 thereafter, the public utility that owns the Monticello nuclear generating plant must transfer to the renewable development account $350,000 each year for each dry cask containing spent fuel that is located at the Monticello nuclear power plant for each year the plant is in operation, and $5,250,000 each year the plant is not in operation if ordered by the commission pursuant to paragraph (i). The fund transfer must be made if nuclear waste is stored in a dry cask at the independent spent-fuel storage facility at Monticello for any part of a year.
(e) Each year, the public utility shall withhold from the funds transferred to the renewable development account under paragraphs (c) and (d) the amount necessary to pay its obligations under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, for that calendar year.
(f) If the commission approves a new or amended power purchase agreement, the termination of a power purchase agreement, or the purchase and closure of a facility under section 216B.2424, subdivision 9, with an entity that uses poultry litter to generate electricity, the public utility subject to this section shall enter into a contract with the city in which the poultry litter plant is located to provide grants to the city for the purposes of economic development on the following schedule: $4,000,000 in fiscal year 2018; $6,500,000 each fiscal year in 2019 and 2020; and $3,000,000 in fiscal year 2021. The grants shall be paid by the public utility from funds withheld from the transfer to the renewable development account, as provided in paragraphs (b) and (e).
(g) If the commission approves a new or amended power purchase agreement, or the termination of a power purchase agreement under section 216B.2424, subdivision 9, with an entity owned or controlled, directly or indirectly, by two municipal utilities located north of Constitutional Route No. 8, that was previously used to meet the biomass mandate in section 216B.2424, the public utility that owns a nuclear generating plant shall enter into a grant contract with such entity to provide $6,800,000 per year for five years, commencing 30 days after the commission approves the new or amended power purchase agreement, or the termination of the power purchase agreement, and on each June 1 thereafter through 2021, to assist the transition required by the new, amended, or terminated power purchase agreement. The grant shall be paid by the public utility from funds withheld from the transfer to the renewable development account as provided in paragraphs (b) and (e).
(h) The collective amount paid under the grant contracts awarded under paragraphs (f) and (g) is limited to the amount deposited into the renewable development account, and its predecessor, the renewable development account, established under this section, that was not required to be deposited into the account under Laws 1994, chapter 641, article 1, section 10.
(i) After discontinuation of operation of the Prairie Island nuclear plant or the Monticello nuclear plant and each year spent nuclear fuel is stored in dry cask at the discontinued facility, the commission shall require the public utility to pay $7,500,000 for the discontinued Prairie Island facility and $5,250,000 for the discontinued Monticello facility for any year in which the commission finds, by the preponderance of the evidence, that the public utility did not make a good faith effort to remove the spent nuclear fuel stored at the facility to a permanent or interim storage site out of the state. This determination shall be made at least every two years.
(j) Funds in the account may be expended only for any of the following purposes:
(1) to stimulate research and development of renewable electric energy technologies;
(2) to encourage grid modernization, including, but not limited to, projects that implement electricity storage, load control, and smart meter technology; and
(3) to stimulate other innovative energy projects that reduce demand and increase system efficiency and flexibility.
Expenditures from the fund must benefit Minnesota ratepayers receiving electric service from the utility that owns a nuclear-powered electric generating plant in this state or the Prairie Island Indian community or its members.
The utility that owns a nuclear generating plant is eligible to apply for grants under this subdivision.
(k) For the purposes of paragraph (j), the following terms have the meanings given:
(1) "renewable" has the meaning given in section 216B.2422, subdivision 1, paragraph (c), clauses (1), (2), (4), and (5); and
(2) "grid modernization" means:
(i) enhancing the reliability of the electrical grid;
(ii) improving the security of the electrical grid against cyberthreats and physical threats; and
(iii) increasing energy conservation opportunities by facilitating communication between the utility and its customers through the use of two-way meters, control technologies, energy storage and microgrids, technologies to enable demand response, and other innovative technologies.
(l) A renewable development account advisory group that includes, among others, representatives of the public utility and its ratepayers, and includes at least one representative of the Prairie Island Indian community appointed by that community's tribal council, shall develop recommendations on account expenditures. The advisory group must design a request for proposal and evaluate projects submitted in response to a request for proposals. The advisory group must utilize an independent third-party expert to evaluate proposals submitted in response to a request for proposal, including all proposals made by the public utility. A request for proposal for research and development under paragraph (j), clause (1), may be limited to or include a request to higher education institutions located in Minnesota for multiple projects authorized under paragraph (j), clause (1). The request for multiple projects may include a provision that exempts the projects from the third-party expert review and instead provides for project evaluation and selection by a merit peer review grant system. In the process of determining request for proposal scope and subject and in evaluating responses to request for proposals, the advisory group must strongly consider, where reasonable, potential benefit to Minnesota citizens and businesses and the utility's ratepayers.
(m) The advisory group shall submit funding recommendations to the public utility, which has full and sole authority to determine which expenditures shall be submitted by the advisory group to the legislature. The commission may approve proposed expenditures, may disapprove proposed expenditures that it finds not to be in compliance with this subdivision or otherwise not in the public interest, and may, if agreed to by the public utility, modify proposed expenditures. The commission shall, by order, submit its funding recommendations to the legislature as provided under paragraph (n).
(n) The commission shall present its recommended appropriations from the account to the senate and house of representatives committees with jurisdiction over energy policy and finance annually by February 15. Expenditures from the account must be appropriated by law. In enacting appropriations from the account, the legislature:
(1) may approve or disapprove, but may not modify, the amount of an appropriation for a project recommended by the commission; and
(2) may not appropriate money for a project the commission has not recommended funding.
(o) A request for proposal for renewable energy generation projects must, when feasible and reasonable, give preference to projects that are most cost-effective for a particular energy source.
(p) The advisory group must annually, by February 15, report to the chairs and ranking minority members of the legislative committees with jurisdiction over energy policy on projects funded by the account for the prior year and all previous years. The report must, to the extent possible and reasonable, itemize the actual and projected financial benefit to the public utility's ratepayers of each project.
(q) By February 1, 2018, and each February 1 thereafter, the commissioner of management and budget shall submit a written report regarding the availability of funds in and obligations of the account to the chairs and ranking minority members of the senate and house committees with jurisdiction over energy policy and finance, the public utility, and the advisory group.
(r) A project receiving funds from the account must produce a written final report that includes sufficient detail for technical readers and a clearly written summary for nontechnical readers. The report must include an evaluation of the project's financial, environmental, and other benefits to the state and the public utility's ratepayers.
(s) Final reports, any mid-project status reports, and renewable development account financial reports must be posted online on a public website designated by the commissioner of commerce.
(t) All final reports must acknowledge that the project was made possible in whole or part by the Minnesota renewable development account, noting that the account is financed by the public utility's ratepayers.
(u) Of the amount in the renewable development account, priority must be given to making the payments required under section 216C.417.
(v) Construction projects
receiving funds from this account are subject to the requirement to pay the
prevailing wage rate, as defined in section 177.42 and the requirements and
enforcement provisions in sections 177.27, 177.30, 177.32, 177.41 to 177.435,
and 177.45.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to
construction contracts entered into on or after that date.
Sec. 2. [123B.662]
DEFINITIONS.
Subdivision 1. General. For purposes of this section and
section 123B.663, the terms in this section have the meanings given unless the
language or context clearly indicates that a different meaning is intended.
Subd. 2. ANSI. "ANSI" means American
National Standards Institute.
Subd. 3. ASHRAE. "ASHRAE" means American
Society of Heating Refrigeration Air Conditioning Engineers.
Subd. 4. Certified
TAB technician. "Certified
TAB technician" means a technician certified to perform testing,
adjusting, and balancing of HVAC systems by the Associated Air Balance Council,
National Environmental Balancing Bureau, or the Testing, Adjusting and
Balancing Bureau.
Subd. 5. HVAC. "HVAC" means heating,
ventilation, and air conditioning.
Subd. 6. Licensed
professional engineer. "Licensed
professional engineer" means a professional engineer licensed under
sections 326.02 to 326.15 who holds an active license, is in good standing, and
is not subject to any disciplinary or other actions with the Board of
Architecture, Engineering, Land Surveying, Landscape Architecture, Geoscience
and Interior Design.
Subd. 7. MERV. "MERV" means minimum
efficiency reporting value established by ASHRAE Standard 52.2‑2017 -
Method of Testing General Ventilation Air-Cleaning Devices for Removal
Efficiency by Particle Size.
Subd. 8. Program. "Program" means the air
ventilation program.
Subd. 9. Program
administrator. "Program
administrator" means the commissioner of commerce or the commissioner's
representative.
Subd. 10. Qualified
adjusting personnel. "Qualified
adjusting personnel" means one of the following:
(1) a certified TAB
technician; or
(2) a skilled and trained workforce under the supervision of a certified TAB technician.
Subd. 11. Qualified
testing personnel. "Qualified
testing personnel" means one of the following:
(1) a certified TAB
technician; or
(2) a skilled and trained
workforce under the supervision of a certified TAB technician.
Subd. 12. Registered
apprenticeship program. "Registered
apprenticeship program" means an apprenticeship program that is registered
under chapter 178 or Code of Federal Regulations, title 29, part 29.
Subd. 13. Skilled
and trained workforce. "Skilled
and trained workforce" means a workforce in which at least 80 percent of
the construction workers are either graduates of a registered apprenticeship
program for the applicable occupation or are registered as apprentices in a
registered apprenticeship program for the applicable occupation.
Subd. 14. TAB. "TAB" means testing,
adjusting, and balancing of an HVAC system.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. [123B.663]
AIR VENTILATION PILOT PROGRAM GRANTS AND GUIDELINES.
Subdivision 1. Grant
program. The Department of
Commerce shall establish and administer the air ventilation program to award
grants to school boards to reimburse the school boards for the following
activities:
(1) completion of a heating, ventilation, and air conditioning assessment report;
(2) subsequent testing,
adjusting balancing work performed as a result of assessment; and
(3) ventilation equipment
upgrades, replacements, or other measures recommended by the assessment to
improve health, safety, and HVAC system efficiency.
Subd. 2. Grant
awards. (a) The program
administrator shall award a grant if the school board meets the following
requirements:
(1) completes a heating,
ventilation, and air conditioning assessment report by qualified testing
personnel or qualified adjusting personnel.
The report must be verified by a licensed professional engineer and
include costs of adjustments or repairs necessary to meet minimum ventilation
and filtration requirements and determine whether any cost-effective energy
efficiency upgrades or replacements are warranted or recommended;
(2) all work required
after conducting the assessment must be performed by a skilled and trained
workforce;
(3) upon completion of
the work for which a school board is seeking reimbursement, the school board
must conduct an HVAC verification report that includes the name and address of
the school facility and individual or contractor preparing and certifying the
report and a description of the assessment, maintenance, adjustment, repair,
upgrade, and replacement activities and outcomes; and
(4) verification that
the school board has complied with all requirements. Verification must include documentation that
either MERV 13 filters have been installed or verification that the maximum
MERV-rated filter that the system is able to effectively handle has been
installed; documentation of the MERV rating; the verified ventilation rates for
occupied areas of the school and whether those rates meet the requirements set
forth in ANSI/ASHRAE Standard 62.1-2019, with an accompanying explanation for
any ventilation rates that do not meet applicable requirements documenting why
the current system is unable to meet requirements; the verified exhaust for
occupied areas and whether those rates meet the requirements set forth in the
system design intent; documentation of system deficiencies; recommendations for
additional maintenance, replacement, or upgrades to improve energy efficiency,
safety, or performance; documentation of initial operating verifications,
adjustments, and final operating verifications; documentation of any
adjustments or repairs performed; verification of installation of carbon
dioxide monitors, including the make and model of monitors; and verification
that all work has been performed by qualified personnel, including the
contractor's name, certified TAB technician name and certification number, and
verification that all construction work has been performed by a skilled and
trained workforce.
(b) Grants shall be
prioritized to give direct support to schools and school children in
communities with high rates of poverty, as determined by receipt of federal
Title I funding.
(c) Grants shall be
awarded to reimburse schools for 50 percent of costs incurred for work
performed under paragraph (a), clauses (1) to (3), with a maximum grant award
of $50,000.
(d) The school board
shall maintain a copy of the HVAC verification report and make it available to
students, parents, school personnel, and to any member of the public or the
program administrator upon request.
Subd. 3. Program
guidelines and rules. (a) The
program administrator shall:
(1) adopt guidelines for
the air ventilation program no later than March 1, 2024;
(2) establish the timing of grant funding; and
(3) ensure the air
ventilation program is operating and may receive applications for grants no
later than November 1, 2023, and begin to approve applications no later than
January 1, 2024, subject to the availability of funds.
(b) The technical and reporting
requirements of the air ventilation program may be amended by the program
administrator as necessary to reflect current COVID-19 guidance or other
applicable guidance, to achieve the intent of the air ventilation program, and
to ensure consistency with other related requirements and codes.
(c) The program
administrator may use no more than five percent of the program funds for
administering the program, including providing technical support to program
participants.
(d) The program
administrator may establish rules for the air ventilation program.
Sec. 4. Minnesota Statutes 2022, section 216B.096, subdivision 11, is amended to read:
Subd. 11. Reporting. Annually on November 1 October
15, a utility must electronically file with the commission a report, in a
format specified by the commission, specifying the number of utility heating
service customers whose service is disconnected or remains disconnected for
nonpayment as of September 15 and October 1 and October 15. If customers remain disconnected on October 15
1, a utility must file a report each week between November 1 October
15 and the end of the cold weather period specifying:
(1) the number of utility heating service customers that are or remain
disconnected from service for nonpayment; and
(2) the number of utility heating service customers that are reconnected to service each week. The utility may discontinue weekly reporting if the number of utility heating service customers that are or remain disconnected reaches zero before the end of the cold weather period.
The data reported under this subdivision are presumed to be accurate upon submission and must be made available through the commission's electronic filing system.
Sec. 5. Minnesota Statutes 2022, section 216B.1645, subdivision 4, is amended to read:
Subd. 4. Settlement
with Mdewakanton Dakota Tribal Council at Prairie Island Indian
Community. (a) The
commission shall approve as a state energy policy rider a rate schedule
providing for the automatic adjustment of charges to recover the costs or
expenses of a settlement between the public utility that owns the Prairie
Island nuclear generation facility and the Mdewakanton Dakota Tribal Council
at Prairie Island Indian Community, resolving outstanding disputes
regarding the provisions of Laws 1994, chapter 641, article 1, section 4
extended operation of the Prairie Island nuclear generating facility. The rate schedule approved under this
subdivision applies until the public utility's first base rate change under
section 216B.16 that occurs after January 1, 2024. After the public utility's first base rate
change that occurs after January 1, 2024, any costs and expenses under this
subdivision must be recovered through the public utility's base rates.
(b) The settlement
must provide for annual payments, not to exceed $2,500,000 annually, beginning
January 1, 2024, by the public utility to the Prairie Island Indian
Community,. The annual
payments must consist of: (1) a
$10,000,000 lump sum payment each year the Prairie Island nuclear generating
facility is in operation; and (2) $50,000 for each dry cask or container
containing spent fuel that is located at the Prairie Island nuclear generating facility,
each year for as long as the dry casks or containers containing spent nuclear
fuel are stored at the Prairie Island Independent Spent Fuel Storage
Installation.
(c) The payments made
to the Prairie Island Indian Community under this subdivision may be
used for, among other purposes any purpose that benefits the Prairie
Island Indian Community, including but not limited to acquiring up
to 1,500 contiguous or noncontiguous acres of land in Minnesota within 50 miles
of the tribal community's reservation at Prairie Island to be taken into trust
by the federal government for the benefit of the tribal community for housing
and other residential purposes. The
legislature acknowledges that the intent to purchase land by the tribe for
relocation purposes is part of the settlement agreement and Laws 2003, First
Special Session chapter 11. However, the
state, through the governor, reserves the right to support or oppose any
particular application to place land in trust status.
Sec. 6. Minnesota Statutes 2022, section 216B.2425, subdivision 3, is amended to read:
Subd. 3. Commission approval. (a) By June 1 of each even-numbered year, the commission shall adopt a state transmission project list and shall certify, certify as modified, or deny certification of the transmission and distribution projects proposed under subdivision 2. Except as provided in paragraph (b), the commission may only certify a project that is a high-voltage transmission line as defined in section 216B.2421, subdivision 2, that the commission finds is:
(1) necessary to maintain or enhance the reliability of electric service to Minnesota consumers;
(2) needed, applying the criteria in section 216B.243, subdivision 3; and
(3) in the public interest, taking into account electric energy system needs and economic, environmental, and social interests affected by the project.
(b) The commission may
certify a project proposed under subdivision 2, paragraph (e), only if the
commission finds the proposed project is in the public interest.
Sec. 7. Minnesota Statutes 2022, section 216B.243, subdivision 8, as amended by Laws 2023, chapter 7, section 23, is amended to read:
Subd. 8. Exemptions. (a) This section does not apply to:
(1) cogeneration or small power production facilities as defined in the Federal Power Act, United States Code, title 16, section 796, paragraph (17), subparagraph (A), and paragraph (18), subparagraph (A), and having a combined capacity at a single site of less than 80,000 kilowatts; plants or facilities for the production of ethanol or fuel alcohol; or any case where the commission has determined after being advised by the attorney general that its application has been preempted by federal law;
(2) a high-voltage transmission line proposed primarily to distribute electricity to serve the demand of a single customer at a single location, unless the applicant opts to request that the commission determine need under this section or section 216B.2425;
(3) the upgrade to a higher voltage of an existing transmission line that serves the demand of a single customer that primarily uses existing rights-of-way, unless the applicant opts to request that the commission determine need under this section or section 216B.2425;
(4) a high-voltage transmission line of one mile or less required to connect a new or upgraded substation to an existing, new, or upgraded high-voltage transmission line;
(5) conversion of the fuel source of an existing electric generating plant to using natural gas;
(6) the modification of an existing electric generating plant to increase efficiency, as long as the capacity of the plant is not increased more than ten percent or more than 100 megawatts, whichever is greater;
(7) a large wind energy
conversion system, as defined in section 216F.01, subdivision 2, or a solar
energy generating system, as defined in section 216E.01, subdivision 9a, if
the system is owned and operated by an independent power producer and the
electric output of the system: for which a site permit is submitted by
an independent power producer under chapter 216E or 216F; or
(i) is not sold to an entity
that provides retail service in Minnesota or wholesale electric service to
another entity in Minnesota other than an entity that is a federally recognized
regional transmission organization or independent system operator; or
(ii) is sold to an entity
that provides retail service in Minnesota or wholesale electric service to
another entity in Minnesota other than an entity that is a federally recognized
regional transmission organization or independent system operator, provided
that the system represents solar or wind capacity that the entity purchasing
the system's electric output was ordered by the commission to develop in the
entity's most recent integrated resource plan approved under section 216B.2422;
or
(8) a large wind energy conversion system, as defined in section 216F.01, subdivision 2, or a solar energy generating system that is a large energy facility, as defined in section 216B.2421, subdivision 2, engaging in a repowering project that:
(i) will not result in the system exceeding the nameplate capacity under its most recent interconnection agreement; or
(ii) will result in the system exceeding the nameplate capacity under its most recent interconnection agreement, provided that the Midcontinent Independent System Operator has provided a signed generator interconnection agreement that reflects the expected net power increase.
(b) For the purpose of this subdivision, "repowering project" means:
(1) modifying a large wind energy conversion system or a solar energy generating system that is a large energy facility to increase its efficiency without increasing its nameplate capacity;
(2) replacing turbines in a large wind energy conversion system without increasing the nameplate capacity of the system; or
(3) increasing the nameplate capacity of a large wind energy conversion system.
Sec. 8. Minnesota Statutes 2022, section 216B.50, subdivision 1, is amended to read:
Subdivision 1. Commission
approval required. No public utility
shall sell, acquire, lease, or rent any plant as an operating unit or system in
this state for a total consideration in excess of $100,000 $1,000,000,
or merge or consolidate with another public utility or transmission company
operating in this state, without first being authorized so to do by the
commission. Upon the filing of an
application for the approval and consent of the commission, the commission
shall investigate, with or without public hearing. The commission shall hold a public hearing,
upon such notice as the commission may require.
If the commission finds that the proposed action is consistent with the
public interest, it shall give its consent and approval by order in writing. In reaching its determination, the commission
shall take into consideration the reasonable value of the property, plant, or
securities to be acquired or disposed of, or merged and consolidated.
This section does not apply to the purchase of property to replace or add to the plant of the public utility by construction.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 9. Minnesota Statutes 2022, section 216B.62, subdivision 3b, is amended to read:
Subd. 3b. Assessment
for department regional and national duties.
(a) In addition to other assessments in subdivision 3, the
department may assess up to $500,000 $1,000,000 per fiscal year
to perform the duties under section 216A.07, subdivision 3a, and to conduct
analysis that assesses energy grid reliability at state, regional, and national
levels. The amount in this subdivision
shall be assessed to energy utilities in proportion to their respective
gross operating revenues from retail sales of gas or electric service within the state during the last calendar year and shall be deposited into an account in the special revenue fund and is appropriated to the commissioner of commerce for the purposes of section 216A.07, subdivision 3a. An assessment made under this subdivision is not subject to the cap on assessments provided in subdivision 3 or any other law. For the purpose of this subdivision, an "energy utility" means public utilities, generation and transmission cooperative electric associations, and municipal power agencies providing natural gas or electric service in the state.
(b) By February 1, 2023,
the commissioner of commerce must submit a written report to the chairs and
ranking minority members of the legislative committees with primary
jurisdiction over energy policy. The report
must describe how the department has used utility grid assessment funding under
paragraph (a) and must explain the impact the grid assessment funding has had
on grid reliability in Minnesota.
(c) This subdivision
expires June 30, 2023.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 10. [216C.390]
LEGISLATIVE FINDINGS.
The legislature finds
that increasing the competitiveness of Minnesota is critically important to
ensuring the state's economy is strong and growing. Increasing competitiveness can be
accomplished by improving productivity, competition, and investments.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 11. [216C.391]
MINNESOTA STATE COMPETITIVENESS FUND.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Competitive
funds" means federal funds awarded to selected applicants based on the
grantor's evaluation of the strength of an application measured against all
other applications.
(c) "Disadvantaged
community" has the meaning given by the federal agency disbursing federal
funds.
(d) "Eligible
entity" means an entity located in Minnesota that is eligible to receive
federal funds, or an entity that has at least one Minnesota-based partner, as
determined by the grantor of the federal funds.
(e) "Federal
funds" means federal formula or competitive funds available for award to
applicants for energy projects under the Infrastructure Investment and Jobs
Act, Public Law 117-58, or the Inflation Reduction Act of 2022, Public Law
117-169.
(f) "Formula
funds" means federal funds awarded to all eligible applicants on a
noncompetitive basis.
(g) "Match"
means the amount of state money a successful grantee in Minnesota is required
to contribute to a project as a condition of receiving federal funds.
(h) "Political
subdivision" has the meaning given in section 331A.01, subdivision 3.
(i) "Project"
means the activities undertaken by an eligible entity awarded federal funds
that are located in Minnesota or directly benefit Minnesotans.
(j) "Tribal
government" has the meaning given in section 116J.64, subdivision 4.
Subd. 2. Establishment
of account; eligible expenditures. (a)
A state competitiveness fund account is created in the special revenue fund of
the state treasury. The commissioner
must credit to the account appropriations and transfers to the account. Earnings, including interest, dividends, and
any other earnings arising from assets of the
account, must be credited to
the account. Money remaining in the
account at the end of a fiscal year does not cancel to the general fund but
remains available until June 30, 2034. The
commissioner is the fiscal agent and must manage the account.
(b) Money in the account
is appropriated to the commissioner and must be used to:
(1) pay all or any
portion of the state match required as a condition of receiving federal funds,
or to otherwise reduce the cost for projects that are awarded federal funds;
(2) award grants under
subdivision 4 to obtain grant development assistance for eligible entities; and
(3) pay the reasonable
costs incurred by the department to assist eligible entities successfully
compete for available federal funds.
Subd. 3. Grant
awards; eligible entities; priorities.
(a) Grants may be awarded under this section to eligible entities
in accordance with the following order of priorities:
(1) federal formula
funds directed to the state that require a match;
(2) federal funds
directed to a political subdivision or a Tribal government that require a
match;
(3) federal funds
directed to an institution of higher education, a consumer-owned utility, a
business, or a nonprofit organization that require a match;
(4) federal funds
directed to investor-owned utilities that require a match;
(5) federal funds
directed to an eligible entity not included in clauses (1) to (4) that require
a match; and
(6) all other grant
opportunities directed to eligible entities that do not require a match but for
which the commissioner determines that a grant made under this section is
likely to enhance the likelihood of an applicant receiving federal funds, or to
increase the potential amount of federal funds received.
(b) By November 15,
2023, the commissioner must develop and publicly post, and report to the chairs
and ranking minority members of the legislative committees with jurisdiction
over energy finance, the federal energy grant funds that are eligible for state
matching funds under this section.
Subd. 4. Grant
awards; grant development assistance.
Grants may be awarded under this section to entities with
expertise and experience in grant development to assist eligible entities to
prepare grant applications for federal funds.
Eligible grantees under this subdivision include regional development
commissions established in section 462.387, the West Central Initiative
Foundation, Minnesota Municipal Utilities Association, Minnesota Rural Electric
Association, consumer-owned utilities, Tribal governments, and any entity the
commissioner determines enhances the competitiveness of grant applications by
disadvantaged communities and from eligible entities located in areas not
served by a regional development commission.
Subd. 5. Grant
amounts. (a) For grants that
meet the criteria in subdivision 3, paragraph (a), clauses (1) to (3), the
maximum grant award for each entity is 100 percent of the required match.
(b) For grants that meet
the criteria in subdivision 3, paragraph (a), clauses (4) and (5), the maximum
grant award is 50 percent of the required match, except that if the
commissioner determines that at least 40 percent of the direct benefits
resulting from a project awarded federal funds would be realized by residents
of a disadvantaged community, the commissioner may award up to 100 percent of
the required match.
(c) For projects that meet the
criteria in subdivision 3, paragraph (a), clause (6), the commissioner may
award a grant up to ten percent of the amount of federal funds requested by the
applicant, except that if the commissioner determines that at least 40 percent
of the direct benefits resulting from a project awarded federal funds would be
realized by residents of a disadvantaged community, the commissioner may award
up to 20 percent of the amount of federal funds requested.
(d) Except for the
commissioner, when matching federal funds are directed to the state, no single
entity may receive as an award or subaward grants under this subdivision
totaling more than $15,000,000.
(e) The maximum grant
award for each entity under subdivision 4 is $300,000.
Subd. 6. Grant awards; administration. (a) An eligible entity seeking a grant award under subdivision 3 or an entity seeking a grant award under subdivision 4 must submit an application to the commissioner on a form prescribed by the commissioner. The commissioner is responsible for receiving and reviewing grant applications and awarding grants under this section, and shall develop administrative procedures governing the application, evaluation, and award process. The commissioner may not make a grant award under this section unless the commissioner has determined, and has notified the applicant in writing, that the application is complete. In awarding grants under this section, the commissioner shall endeavor to make awards to applicants from all regions of the state.
(b) The department must
provide technical assistance to applicants.
Applicants may also receive grant development assistance at no cost from
entities awarded grants for that purpose under subdivision 4.
(c) Within ten business
days of determining a grant award amount to an applicant, the commissioner
must:
(1) reserve that amount
for that specific grant in the state competitiveness fund account; and
(2) notify the
Legislative Advisory Commission in writing of the reserved amount, the name of
the applicant, the purpose of the project, and the unreserved balance of funds
remaining in the account.
(d) Reserved funds are
committed to the grant and use specified in the notice provided under paragraph
(c) and are unavailable for reservation or appropriation for other applications
unless and until the commissioner receives written notice from (1) the applicant
that the application for federal funds has been withdrawn, or (2) the federal
grantor that the application for which funds from the account were reserved has
been denied federal funds.
(e) Reserved funds may
only be expended upon presentation of written notice from the federal grantor
to the commissioner stating that the applicant will receive federal funds for
the project described in the application.
If the amount of federal funds awarded to an applicant differs from the
amount requested in the application, the commissioner may adjust the award made
under this section accordingly.
(f) Reserved funds must
be made for projects that demonstrate the project helps meet the state's clean
energy and energy-related climate goals through renewable energy development,
energy conservation, efficiency, or energy‑related greenhouse gas
reduction benefits.
(g) The commissioner must
notify the chairs and ranking minority members of the legislative committees
with jurisdiction over energy finance when the unreserved balance of the
competitiveness fund account reaches the following amounts: 50 percent, unreserved; 25 percent,
unreserved; 15 percent, unreserved; and five percent. The notification must be within ten days
after each level of unreserved balance is reached.
Subd. 7. Report;
audit. Beginning February 15,
2024, and each February 15 thereafter until February 15, 2035, the commissioner
must submit a written report to the chairs and ranking minority members of the
legislative committees with jurisdiction over energy finance on the activities
taken and expenditures made under this section.
The report must, at a minimum, include the following information for the
most recent calendar year:
(1) the number of applications
for grants filed with the commissioner and the total amount of grant funds
requested;
(2) each grant awarded;
(3) the number of
additional personnel hired for the purposes of this section;
(4) expenditures on
activities conducted under this section, reported separately for these areas:
(i) the technical
assistance provided;
(ii) grants made under
subdivision 4 to entities to assist applicants with grant development;
(iii) application review
and evaluation, including applicants that were denied federal or state grant
awards and the reason for the denial;
(iv) information
technology activities; and
(v) other expenditures;
(5) the unreserved
balance remaining in the state competitiveness fund account;
(6) a copy of a financial
audit of the department's expenditures under this section conducted by an
independent auditor;
(7) recommendations for legislation to enhance the ability of eligible
entities to successfully compete for federal funds;
(8) additional available
funding opportunities to obtain energy-related funding from federal agencies;
and
(9) federal grant program
changes that would affect the federal funds available to the state and eligible
applicants, including changes that would affect the required match for
receiving federal funds.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 12. [216C.51]
UTILITY DIVERSITY REPORTING.
Subdivision 1. Public
policy. It is the public
policy of this state to encourage each utility that serves Minnesota residents
to focus on and improve the diversity of the utility's workforce and suppliers.
Subd. 2. Definition. As used in this section,
"utility" means:
(1) a public utility;
(2) a generation and
transmission electric cooperative association;
(3) a municipal power
agency;
(4) a municipal utility
that provides electric service to 10,000 customers or more; or
(5) a cooperative
electric association that provides electric service to 10,000 members or more.
Subd. 3. Annual
report. (a) Beginning March
15, 2024, and each March 15 thereafter, each utility authorized to do business
in Minnesota must file an annual diversity report to the commissioner in the
public eDockets system that describes:
(1) the utility's goals and
efforts to increase diversity in the workplace, including current workforce
representation numbers and percentages; and
(2) all procurement goals
and actual spending for female-owned, minority-owned, veteran-owned, and small
business enterprises during the previous calendar year.
(b) The goals under
paragraph (a), clause (2), must be expressed as a percentage of the total work
performed by the utility submitting the report.
The actual spending for female-owned, minority-owned, veteran-owned, and
small business enterprises must also be expressed as a percentage of the total
work performed by the utility submitting the report.
Subd. 4. Report
elements. Each utility
required to report under this section must include the following in the annual
report to the department:
(1) an explanation of the
plan to increase diversity in the utility's workforce and suppliers during the
next year;
(2) an explanation of the
plan to increase the goals;
(3) an explanation of the
challenges faced to increase workforce and supplier diversity, including
suggestions regarding actions the department could take to help identify
potential employees and vendors;
(4) a list of the
certifications the company recognizes that must include the Minnesota Unified
Certification Program; the Central Certification Program recognized by Hennepin
County, Ramsey County, the city of St. Paul, and the city of Minneapolis
Target Market program; and the Minnesota Office of State Procurement program
for Targeted Group, Economically Disadvantaged and Veteran-Owned small
businesses;
(5) a point of contact for a potential employee or vendor that wishes to
work for or do business with the utility; and
(6) a list of successful
actions taken to increase workforce and supplier diversity, in order to
encourage other companies to emulate best practices.
Subd. 5. State
data. Each annual report must
include as much state-specific data as possible. If the submitting utility does not submit
state-specific data, the utility must include any relevant national data the
utility possesses, explain why the utility could not submit state-specific
data, and detail how the utility intends to include state‑specific data
in future reports, if possible.
Subd. 6. Publication; retention. The department must publish an annual report on the department's website and file the report in the public eDockets system, and must maintain each annual report for at least five years.
Subd. 7. Annual
workshop. Beginning in 2024,
and continuing annually thereafter, the Minnesota Public Utilities Commission
must organize a workshop for utilities that is open to members of the public
and that focuses on utility efforts to (1) advance supplier diversity, and (2)
collaboratively explore solutions to advance supplier diversity.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 13. Minnesota Statutes 2022, section 237.55, is amended to read:
237.55 ANNUAL REPORT ON TELECOMMUNICATIONS ACCESS.
The commissioner of commerce
must prepare a report for presentation to the Public Utilities Commission by January
March 31 of each year. Each
report must review the accessibility of telecommunications services to persons
who have communication disabilities, describe services provided, account for
annual revenues and expenditures for each aspect of the fund to date,
and include predicted program anticipated future operation
program operations.
Sec. 14. Laws 2005, chapter 97, article 10, section 3, as amended by Laws 2013, chapter 85, article 7, section 9, is amended to read:
Sec. 3. SUNSET.
Sections 1 and 2 shall
expire on June 30, 2023 2028.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 15. DECOMMISSIONING
AND DEMOLITION PLAN FOR COAL-FIRED PLANT.
The public utility that
owns an electric generation facility powered by coal that is located within the
St. Croix National Scenic Riverway and is scheduled for retirement in 2028
must develop a plan and detailed schedule of activities that it proposes to
undertake to decommission and demolish the electric generation facility and to
remediate pollution at the electric generation facility site. The public utility must file the plan with
the Minnesota Public Utilities Commission as part of the public utility's next
resource plan filing under Minnesota Statutes, section 216B.2422, or in a
separate filing by December 31, 2025, whichever is earlier. A copy of the plan and schedule must be filed
on the same date with the governing body of the municipality where the electric
generation facility is located.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 16. TRIBAL
ADVOCACY COUNCIL ON ENERGY; DEPARTMENT OF COMMERCE SUPPORT.
(a) The Department of
Commerce must provide technical support and subject matter expertise to assist
and help facilitate any efforts taken by the 11 federally recognized Indian
Tribes in Minnesota to establish a Tribal advocacy council on energy.
(b) When providing
support to a Tribal advocacy council on energy, the Department of Commerce may
assist the council to:
(1) assess and evaluate
common Tribal energy issues, including (i) identifying and prioritizing energy
issues, (ii) facilitating idea sharing between the Tribes to generate solutions
to energy issues, and (iii) assisting decision making with respect to resolving
energy issues;
(2) develop new statewide
energy policies or proposed legislation, including (i) organizing stakeholder
meetings, (ii) gathering input and other relevant information, (iii) assisting
with policy proposal development, evaluation, and decision making, and (iv)
helping facilitate actions taken to submit, and obtain approval for or have
enacted, policies or legislation approved by the council;
(3) make efforts to raise
awareness and provide educational opportunities with respect to Tribal energy
issues by (i) identifying information resources, (ii) gathering feedback on
issues and topics the council identifies as areas of interest, and (iii) identifying
topics for educational forums and helping facilitate the forum process; and
(4) identify, evaluate,
and disseminate successful energy-related practices, and develop mechanisms or
opportunities to implement the successful practices.
(c) Nothing in this
section requires or otherwise obligates the 11 federally recognized Indian
Tribes in Minnesota to establish a Tribal advocacy council on energy, nor does
it require or obligate any one of the 11 federally recognized Indian Tribes in
Minnesota to participate in or implement a decision or support an effort made
by an established Tribal advocacy council on energy.
(d) Any support provided by the Department of Commerce to a Tribal advocacy council on energy under this section may be provided only upon request of the council and is limited to issues and areas where the Department of Commerce's expertise and assistance is requested."
Delete the title and insert:
"A bill for an act relating to state government; appropriating money for environment, natural resources, climate, and energy; modifying prior appropriations; providing for and modifying disposition of certain receipts; modifying and establishing duties, authorities, and prohibitions regarding environment and natural resources; modifying and creating environment and natural resources programs; modifying and creating grant programs; reestablishing citizen board of Pollution Control Agency; reestablishing Legislative Water Commission; modifying Legislative-Citizen Commission on Minnesota Resources; modifying permit and environmental review requirements; modifying requirements for recreational vehicles; modifying state trail and state park provisions; establishing Lowland Conifer Carbon Reserve; modifying forestry provisions; modifying game and fish provisions; modifying regulation of farmed Cervidae; regulating certain seeds and pesticides; modifying Water Law; providing appointments; modifying and providing for fees; establishing a biennial budget for Department of Commerce, Public Utilities Commission, and energy, climate, and clean energy activities; establishing and modifying provisions governing energy, clean and renewable energy, energy storage, energy use and conservation, and utility regulation; providing for enhanced transportation electrification; adding and modifying provisions governing Public Utilities Commission proceedings; establishing various clean and renewable energy grant programs; making technical changes; requiring reports; requiring rulemaking; amending Minnesota Statutes 2022, sections 13.643, subdivision 6; 16A.151, subdivision 2; 16A.152, subdivision 2; 16B.325; 16B.58, by adding a subdivision; 16C.135, subdivision 3; 16C.137, subdivision 1; 17.118, subdivision 2; 18B.01, subdivision 31; 18B.09, subdivision 2, by adding a subdivision; 21.82, subdivision 3; 21.86, subdivision 2; 35.155, subdivisions 1, 4, 10, 11, 12, by adding subdivisions; 35.156, subdivision 2, by adding subdivisions; 84.02, by adding a subdivision; 84.0274, subdivision 6; 84.0276; 84.415, subdivisions 3, 6, 7, by adding a subdivision; 84.788, subdivision 5; 84.82, subdivision 2, by adding a subdivision; 84.821, subdivision 2; 84.84; 84.86, subdivision 1; 84.87, subdivision 1; 84.90, subdivision 7; 84.992, subdivisions 2, 5; 84D.02, subdivision 3; 84D.10, subdivision 3; 84D.15, subdivision 2; 85.015, subdivision 10; 85.052, subdivision 6; 85.055, subdivision 1; 85A.01, subdivision 1; 86B.005, by adding a subdivision; 86B.313, subdivision 4; 86B.415, subdivisions 1, 1a, 2, 3, 4, 5, 7; 89A.03, subdivision 5; 90.181, subdivision 2; 97A.015, by adding a subdivision; 97A.031; 97A.126; 97A.137, subdivision 3; 97A.315, subdivision 1; 97A.401, subdivision 1, by adding a subdivision; 97A.405, subdivision 5; 97A.421, subdivision 3; 97A.473, subdivisions 2, 2a, 2b, 5, 5a; 97A.474, subdivision 2; 97A.475, subdivisions 6, 7, 8, 10, 10a, 11, 12, 13, 41; 97B.071; 97B.301, subdivision 6; 97B.516; 97B.668; 97C.087, subdivision 2; 97C.315, subdivision 1; 97C.345, subdivision 1; 97C.355, by adding a subdivision; 97C.371, subdivisions 1, 2, 4; 97C.395, subdivision 1; 97C.601, subdivision 1; 97C.605, subdivisions 1, 2c, 3; 97C.611; 97C.836; 103B.101, subdivisions 2, 9, 16, by adding a subdivision; 103B.103; 103C.501, subdivisions 1, 4, 5, 6, by adding a subdivision; 103D.605, subdivision 5; 103F.505; 103F.511, by adding subdivisions; 103G.005, by adding subdivisions; 103G.2242, subdivision 1; 103G.271, subdivision 6; 103G.287, subdivisions 2, 3; 103G.299, subdivisions 1, 2, 5, 10; 103G.301, subdivisions 2, 6, 7; 115.01, by adding subdivisions; 115.03, subdivision 1, by adding a subdivision; 115.061; 115A.03, by adding a subdivision; 115A.1415; 115A.565, subdivisions 1, 3; 115B.17, subdivision 14; 115B.171, subdivision 3; 115B.52, subdivision 4; 116.02; 116.03, subdivisions 1, 2a; 116.06, subdivision 1, by adding subdivisions; 116.07, subdivision 6, by adding subdivisions; 116C.03, subdivision 2a; 116C.779, subdivision 1; 116C.7792; 116P.05, subdivisions 1, 1a, 2; 116P.09, subdivision 6; 116P.11; 116P.15; 116P.16; 116P.18; 168.1295, subdivision 1; 168.27, by adding a subdivision; 171.07, by adding a subdivision; 216B.096, subdivision 11; 216B.1611, by adding a subdivision; 216B.164, by adding a subdivision; 216B.1641; 216B.1645, subdivision 4; 216B.17, subdivision 1; 216B.2402, subdivision 16; 216B.2422, subdivision 7; 216B.2425, subdivision 3; 216B.243, subdivision 8, as amended; 216B.50, subdivision 1; 216B.62, subdivision 3b; 216C.05, subdivision 2; 216C.08; 216C.09; 216C.264, subdivision 5, by adding subdivisions; 216C.375; 216E.01, subdivision 6, by adding a subdivision; 216E.03, subdivisions 1, 3, 5, as amended, 6, 7, as amended; 216E.04, subdivision 2, as amended; 216E.05, subdivision 2; 216E.06; 216E.07; 216E.10; 216H.02, subdivision 1; 237.55; 297A.94; 325E.046; 325F.072, subdivisions 1, 3, by
adding a subdivision; 326B.106, subdivision 1; 373.475; 515B.2-103; 515B.3-102; Laws 2005, chapter 97, article 10, section 3, as amended; Laws 2022, chapter 94, section 2, subdivisions 5, 8, 9; proposing coding for new law in Minnesota Statutes, chapters 3; 16B; 18B; 21; 84; 86B; 88; 97A; 97B; 97C; 103B; 103E; 103F; 103G; 115A; 116; 116C; 116P; 123B; 216B; 216C; 325E; 473; 500; repealing Minnesota Statutes 2022, sections 16B.24, subdivision 13; 84.033, subdivision 3; 84.944, subdivision 3; 86B.101; 86B.305; 86B.313, subdivisions 2, 3; 97A.145, subdivision 2; 97C.605, subdivisions 2, 2a, 2b, 5; 103C.501, subdivisions 2, 3; 115.44, subdivision 9; 116.011; 216B.16, subdivision 10; 216C.376; 325E.389; 325E.3891; Minnesota Rules, parts 6100.5000, subparts 3, 4, 5; 6100.5700, subpart 4; 6115.1220, subpart 8; 6256.0500, subparts 2, 2a, 2b, 4, 5, 6, 7, 8; 8400.0500; 8400.0550; 8400.0600, subparts 4, 5; 8400.0900, subparts 1, 2, 4, 5; 8400.1650; 8400.1700; 8400.1750; 8400.1800; 8400.1900."
With the recommendation that when so amended the bill be placed on the General Register.
The
report was adopted.
Olson, L., from the Committee on Ways and Means to which was referred:
H. F. No. 2324, A bill for an act relating to natural resources; appropriating money for drill core library.
Reported the same back with the recommendation that the bill be placed on the General Register.
The
report was adopted.
Stephenson from the Committee on Commerce Finance and Policy to which was referred:
H. F. No. 2680, A bill for an act relating to commerce; establishing a biennial budget for Department of Commerce; modifying various provisions governing insurance; establishing a strengthen Minnesota homes program; regulating money transmitters; establishing and modifying provisions governing energy, renewable energy, and utility regulation; establishing a state competitiveness fund; making technical changes; establishing penalties; authorizing administrative rulemaking; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 46.131, subdivision 11; 62D.02, by adding a subdivision; 62D.095, subdivisions 2, 3, 4, 5; 62Q.46, subdivisions 1, 3; 62Q.81, subdivision 4, by adding a subdivision; 216B.62, subdivision 3b; 216C.264, subdivision 5, by adding subdivisions; 216C.375, subdivisions 1, 3, 10, 11; proposing coding for new law in Minnesota Statutes, chapters 53B; 65A; 216C; repealing Minnesota Statutes 2022, sections 53B.01; 53B.02; 53B.03; 53B.04; 53B.05; 53B.06; 53B.07; 53B.08; 53B.09; 53B.10; 53B.11; 53B.12; 53B.13; 53B.14; 53B.15; 53B.16; 53B.17; 53B.18; 53B.19; 53B.20; 53B.21; 53B.22; 53B.23; 53B.24; 53B.25; 53B.26; 53B.27, subdivisions 1, 2, 5, 6, 7.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
COMMERCE FINANCE
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Section 1. APPROPRIATIONS. |
The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the
appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second
year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
If an appropriation in this act is enacted more than once in the 2023
legislative session, the appropriation must be given effect only once.
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APPROPRIATIONS |
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Available for the
Year |
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Ending June 30 |
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2024 |
2025 |
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Sec. 2. DEPARTMENT
OF COMMERCE |
|
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$34,614,000 |
|
$264,880,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
30,873,000 |
261,230,000 |
|
Workers'
Compensation Fund |
788,000 |
815,000 |
|
Telecommunications
Access Fund |
2,093,000 |
2,093,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
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Subd. 2. Financial
Institutions |
|
2,569,000 |
|
2,689,000 |
(a) $400,000 each year is
for a grant to Prepare and Prosper to develop, market, evaluate, and distribute
a financial services inclusion program that (1) assists low-income and
financially underserved populations to build savings and strengthen credit, and
(2) provides services to assist low-income and financially underserved
populations to become more financially stable and secure. Money remaining after the first year is
available for the second year.
(b) $197,000 each year is
to create and maintain a student loan advocate position under Minnesota
Statutes, section 58B.011.
|
Subd. 3. Administrative
Services |
|
10,076,000 |
|
10,102,000 |
(a) $353,000 each year is
for information technology and cybersecurity upgrades for the unclaimed
property program.
(b) $564,000 each year is
for system modernization of the unclaimed property program.
(c) $249,000 each year is
for the senior safe fraud prevention program.
(d) $568,000 in the first year
and $537,000 in the second year are to create and maintain the Prescription
Drug Affordability Board established under Minnesota Statutes, section 62J.87. The base in fiscal year 2026 is $500,000.
(e) $150,000 each year is
for a grant to Exodus Lending to expand program and operational capacity to
assist individuals with financial stability through small dollar consumer
loans, including but not limited to resolving consumer short-term loans
carrying interest rates greater than 36 percent. Loans issued under the program must be: (1) interest- and fee-free; and (2) made to
Minnesotans facing significant barriers to mainstream financial products. Program participants must be recruited
through a statewide network of trusted community-based partners. Loan payments by borrowers must be reported
to the credit bureaus. The
appropriations in this paragraph are onetime and are available until June 30,
2027.
(f) For the purposes of
paragraphs (e) and (g), the following terms have the meanings given:
(1) "barriers to
financial inclusion" means a person's financial history, credit history
and credit score requirements, scarcity of depository institutions in lower
income and communities of color, and low or irregular income flows;
(2) "character-based
lending" means the practice of issuing loans based on a borrower's
involvement in and ties to community-based organizations that provide client
services, including but not limited to financial coaching; and
(3) "mainstream
financial products" means financial products that are provided most
commonly by regulated financial institutions, including but not limited to
credit cards and installment loans.
(g) $200,000 in fiscal year
2024 is for a grant to Exodus Lending to assist in the development of a
character-based small dollar loan program.
This is a onetime appropriation and is available until June 30, 2027.
(h) No later than July 15,
2024, and annually thereafter until the appropriations under paragraphs (e) and
(g) have been exhausted or canceled, Exodus Lending must submit a report to the
commissioner of commerce on the activities required of Exodus Lending under
paragraphs (e) and (g). Until July 15,
2027, the report must detail, at a minimum, each of the following for the prior
calendar year and, after July 15, 2027, the report must detail, at a minimum,
each of the following that relate to the activities of Exodus Lending under
paragraph (g) for the prior calendar year:
(1) the total number of
loans granted;
(2) the total number of
participants granted loans;
(3) an analysis of the
participants' race, ethnicity, gender, and geographic locations;
(4) the average loan
amount;
(5) the total loan amounts
paid back by participants;
(6) a list of the trusted
community-based partners;
(7) the final criteria
developed for character-based small dollar loan program determinations under
paragraph (g); and
(8) summary data on the
significant barriers to mainstream financial products faced by participants.
(i) No later than August
15, 2024, and annually thereafter until the appropriations under paragraphs (e)
and (g) have been exhausted or canceled, the commissioner of commerce must
submit a report to the chairs and ranking minority members of the legislative
committees with primary jurisdiction over commerce and consumer protection. The report must detail the information
collected by the commissioner of commerce under paragraph (h).
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Subd. 4. Enforcement
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7,185,000 |
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7,473,000 |
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Appropriations by Fund |
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General |
6,977,000 |
7,258,000 |
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Workers'
Compensation |
208,000 |
215,000 |
(a) $811,000 each year is
for five additional peace officers in the Commerce Fraud Bureau. Money under this paragraph is transferred
from the general fund to the insurance fraud prevention account under Minnesota
Statutes, section 45.0135, subdivision 6.
(b) $345,000 each year is
for additional staff to focus on market conduct examinations.
(c) $41,000 in the first
year and $21,000 in the second year are for body cameras worn by Commerce Fraud
Bureau agents.
(d) $208,000 in the first
year and $215,000 in the second year are from the workers' compensation fund.
(e) $100,000 in the second
year is for the creation and maintenance of the Mental Health Parity and
Substance Abuse Accountability Office under Minnesota Statutes, section 62Q.465. The base for fiscal year 2026 is $175,000.
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Subd. 5.
Telecommunications |
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3,221,000 |
|
3,261,000 |
|
Appropriations by Fund |
||
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General |
1,128,000 |
1,168,000 |
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Telecommunications
Access Fund |
2,093,000 |
2,093,000 |
$2,093,000 each year is
from the telecommunications access Minnesota fund account in the special
revenue fund for the following transfers:
(1) $1,620,000 each year is
to the commissioner of human services to supplement the ongoing operational
expenses of the Commission of Deaf, DeafBlind, and Hard-of-Hearing Minnesotans. This transfer is subject to Minnesota
Statutes, section 16A.281;
(2) $290,000 each year is
to the chief information officer to coordinate technology accessibility and
usability;
(3) $133,000 each year is
to the Legislative Coordinating Commission for captioning legislative coverage. This transfer is subject to Minnesota
Statutes, section 16A.281; and
(4) $50,000 each year is to
the Office of MN.IT Services for a consolidated access fund to provide grants
or services to other state agencies related to accessibility of web-based
services.
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Subd. 6. Insurance
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9,172,000 |
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9,592,000 |
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Appropriations by Fund |
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General |
8,592,000 |
8,992,000 |
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Workers'
Compensation |
580,000 |
600,000 |
(a) $136,000 each year is
to advance standardized health plan options.
(b) $318,000 each year is
to conduct a feasibility study on a proposal to offer free primary care to
Minnesotans. The appropriations in this
paragraph are onetime.
(c) $105,000 each year is
to evaluate legislation for new mandated health benefits under Minnesota
Statutes, section 62J.26.
(d) $180,000 each year is
for additional staff to focus on property‑ and casualty-related insurance
products.
(e) $580,000 in the first
year and $600,000 in the second year are from the workers' compensation fund.
(f) $42,000 each year is for
ensuring health plan company compliance with Minnesota Statutes, section
62Q.47.
(g) $50,000 each year is to
evaluate existing statutory health benefit mandates. The base for fiscal year 2027 is $80,000.
|
Subd. 7. Weights
and Measures Division |
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1,531,000 |
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1,556,000 |
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Sec. 3. DEPARTMENT
OF EDUCATION |
|
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Subdivision 1. Total
Appropriation |
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$100,000 |
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$-0- |
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Appropriations by Fund |
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2024 |
2025 |
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General |
100,000 |
-0- |
$100,000 in the first year
is to issue grants of $50,000 each year to the Minnesota Council on Economic
Education. This balance does not cancel
but is available in the second year. This
appropriation is onetime.
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Sec. 4. ATTORNEY
GENERAL |
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Subdivision 1. Total
Appropriation |
|
$691,000 |
|
$691,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
691,000 |
691,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
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Subd. 2. Excessive
Price Increases to Generic Drugs |
|
549,000 |
|
549,000 |
$549,000 each year is for
the duties under Minnesota Statutes, sections 62J.841 to 64J.845.
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Subd. 3. Age-Appropriate
Design |
|
142,000 |
|
142,000 |
$142,000 each year is to
enforce the Minnesota Age-Appropriate Design Code Act.
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Sec. 5. DEPARTMENT
OF HEALTH |
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Subdivision 1. Total
Appropriation |
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$69,000 |
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$51,000 |
|
Appropriations by Fund |
||
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|
2024 |
2025 |
|
General |
69,000
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51,000
|
$69,000 in the first year and
$51,000 in the second year are for the duties under Minnesota Statutes,
sections 62J.841 to 64J.845.
Sec. 6. CONSUMER
EDUCATION ACCOUNT TRANSFER.
$100,000 in fiscal year
2024 is transferred from the consumer education account in the special revenue
fund to the general fund.
Sec. 7. PREMIUM
SECURITY ACCOUNT TRANSFER; IN.
$229,465,000 in fiscal
year 2025 is transferred from the general fund to the premium security plan
account under Minnesota Statutes, section 62E.25, subdivision 1. This is a onetime transfer.
Sec. 8. PREMIUM
SECURITY ACCOUNT TRANSFER; OUT.
$275,775,000 in fiscal
year 2026 is transferred from the premium security plan account under Minnesota
Statutes, section 62E.25, subdivision 1, to the general fund. This is a onetime transfer.
ARTICLE 2
INSURANCE
Section 1. Minnesota Statutes 2022, section 60A.08, subdivision 15, is amended to read:
Subd. 15. Classification of insurance filings data. (a) All forms, rates, and related information filed with the commissioner under section 61A.02 shall be nonpublic data until the filing becomes effective.
(b) All forms, rates, and related information filed with the commissioner under section 62A.02 shall be nonpublic data until the filing becomes effective.
(c) All forms, rates, and related information filed with the commissioner under section 62C.14, subdivision 10, shall be nonpublic data until the filing becomes effective.
(d) All forms, rates, and related information filed with the commissioner under section 70A.06 shall be nonpublic data until the filing becomes effective.
(e) All forms, rates, and related information filed with the commissioner under section 79.56 shall be nonpublic data until the filing becomes effective.
(f) All forms, rates,
and related information filed with the commissioner under section 65A.298 are
nonpublic data until the filing becomes effective.
(f) (g) Notwithstanding
paragraphs (b) and (c), for all rate increases subject to review under section
2794 of the Public Health Services Act and any amendments to, or regulations,
or guidance issued under the act that are filed with the commissioner on or
after September 1, 2011, the commissioner:
(1) may acknowledge receipt of the information;
(2) may acknowledge that the corresponding rate filing is pending review;
(3) must provide public access from the Department of Commerce's website to parts I and II of the Preliminary Justifications of the rate increases subject to review; and
(4) must provide notice to the public on the Department of Commerce's website of the review of the proposed rate, which must include a statement that the public has 30 calendar days to submit written comments to the commissioner on the rate filing subject to review.
(g) (h) Notwithstanding
paragraphs (b) and (c), for all proposed premium rates filed with the
commissioner for individual health plans, as defined in section 62A.011,
subdivision 4, and small group health plans, as defined in section 62K.03,
subdivision 12, the commissioner must provide public access on the Department
of Commerce's website to compiled data of the proposed changes to rates,
separated by health plan and geographic rating area, within ten business days
after the deadline by which health carriers, as defined in section 62A.011,
subdivision 2, must submit proposed rates to the commissioner for approval.
Sec. 2. [60A.0812]
PROPERTY AND CASUALTY POLICY EXCLUSIONS.
Subdivision 1. Short
title. This section may be
cited as the "Family Protection Act."
Subd. 2. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Boat"
means a motorized or nonmotorized vessel that floats and is used for personal,
noncommercial use on waters in Minnesota.
(c) "Insured"
means an insured under a policy specified in subdivisions 3 and 4, including
the named insured and the following persons not identified by name as an
insured while residing in the same household with the named insured:
(1) a spouse;
(2) a relative of a
named insured; or
(3) a minor in the
custody of a named insured or of a relative residing in the same household with
a named insured.
For purposes of this paragraph, a person
resides in the same household with the named insured if the person's home is
usually in the same family unit, even if the person is temporarily living
elsewhere.
(d) "Permitted
exclusion" means an exclusion of or limitation on liability for damages
for bodily injury resulting from fraud, intentional conduct, criminal conduct
that intentionally causes an injury, and other exclusions permitted by law.
(e) "Prohibited
exclusion" means an exclusion of or limitation on liability for damages
for bodily injury because the injured person is (1) a person other than a named
insured, (2) a resident or member of the insured's household, or (3) related to
the insured by blood or marriage.
Subd. 3. Prohibited
exclusions. (a) A plan of
reparation security, as defined under section 65B.43, a boat insurance policy
covering a personal injury sustained while using a boat, a personal excess
liability policy, or a personal umbrella policy must not contain a prohibited
exclusion.
(b) A prohibited
exclusion contained in a plan or policy identified under paragraph (a) is
against public policy and is void.
Subd. 4. Permitted
exclusions. A boat insurance
policy, personal excess liability policy, or personal umbrella policy may
contain a permitted exclusion.
Subd. 5. Underlying
coverage requirement. An
excess or umbrella policy may contain a requirement that coverage for family or
household members under an excess or umbrella policy governed by this section
is available only to the extent coverage is first available from an underlying
policy that provides coverage for damages for bodily injury.
Subd. 6. No
endorsement required. An
endorsement, rider, or contract amendment is not required for the definitions
in this section to be effective.
EFFECTIVE DATE. This
section is effective January 1, 2024, and applies to contracts offered, issued,
or renewed on or after that date.
Sec. 3. Minnesota Statutes 2022, section 60A.14, subdivision 1, is amended to read:
Subdivision 1. Fees other than examination fees. In addition to the fees and charges provided for examinations, the following fees must be paid to the commissioner for deposit in the general fund:
(a) by township mutual fire insurance companies:
(1) for filing certificate of incorporation $25 and amendments thereto, $10;
(2) for filing annual statements, $15;
(3) for each annual certificate of authority, $15;
(4) for filing bylaws $25 and amendments thereto, $10;
(b) by other domestic and foreign companies including fraternals and reciprocal exchanges:
(1) for filing an application for an initial certification of authority to be admitted to transact business in this state, $1,500;
(2) for filing certified copy of certificate of articles of incorporation, $100;
(3) for filing annual
statement, $225 $300;
(4) for filing certified copy of amendment to certificate or articles of incorporation, $100;
(5) for filing bylaws, $75 or amendments thereto, $75;
(6) for each company's
certificate of authority, $575 $750, annually;
(c) the following general fees apply:
(1) for each certificate, including certified copy of certificate of authority, renewal, valuation of life policies, corporate condition or qualification, $25;
(2) for each copy of paper on file in the commissioner's office 50 cents
per page, and $2.50 for certifying the same;
(3) for license to procure insurance in unadmitted foreign companies, $575;
(4) for valuing the policies of
life insurance companies, one cent two cents per $1,000 of
insurance so valued, provided that the fee shall not exceed $13,000 $26,000
per year for any company. The
commissioner may, in lieu of a valuation of the policies of any foreign life
insurance company admitted, or applying for admission, to do business in this
state, accept a certificate of valuation from the company's own actuary or from
the commissioner of insurance of the state or territory in which the company is
domiciled;
(5) for receiving and filing certificates of policies by the company's actuary, or by the commissioner of insurance of any other state or territory, $50;
(6) for each appointment of an agent filed with the commissioner, $30;
(7) for filing forms, rates, and compliance certifications under section 60A.315, $140 per filing, or $125 per filing when submitted via electronic filing system. Filing fees may be paid on a quarterly basis in response to an invoice. Billing and payment may be made electronically;
(8) for annual renewal of
surplus lines insurer license, $300 $400.
The commissioner shall adopt rules to define filings that are subject to a fee.
Sec. 4. Minnesota Statutes 2022, section 61A.031, is amended to read:
61A.031 SUICIDE PROVISIONS.
(a) The sanity or insanity of a person shall not be a factor in determining whether a person committed suicide within the terms of an individual or group life insurance policy regulating the payment of benefits in the event of the insured's suicide. This section shall not be construed to alter present law but is intended to clarify present law.
(b) A life insurance
policy or certificate issued or delivered in this state may exclude or restrict
liability for any death benefit in the event the insured dies as a result of
suicide within one year from the date the policy or certificate is issued. Any exclusion or restriction shall be clearly
stated in the policy or certificate. Any
life insurance policy or certificate which contains any exclusion or
restriction under this paragraph shall also provide that in the event any death
benefit is denied because the insured dies as a result of suicide within one
year from the date the policy or certificate is issued, the insurer shall
refund all premiums paid for coverage providing the denied death benefit on the
insured.
EFFECTIVE DATE. This
section is effective January 1, 2024, and applies to policies issued or after
that date.
Sec. 5. Minnesota Statutes 2022, section 61A.60, subdivision 3, is amended to read:
Subd. 3. Definitions. The following definitions must appear on the back of the notice forms provided in subdivisions 1 and 2:
DEFINITIONS
PREMIUMS: Premiums are the payments you make in exchange for an insurance policy or annuity contract. They are unlike deposits in a savings or investment program, because if you drop the policy or contract, you might get back less than you paid in.
CASH SURRENDER VALUE: This is the amount of money you can get in cash if you surrender your life insurance policy or annuity. If there is a policy loan, the cash surrender value is the difference between the cash value printed in the policy and the loan value. Not all policies have cash surrender values.
LAPSE: A life insurance policy may lapse when you do not pay the premiums within the grace period. If you had a cash surrender value, the insurer might change your policy to as much extended term insurance or paid-up insurance as the cash surrender value will buy. Sometimes the policy lets the insurer borrow from the cash surrender value to pay the premiums.
SURRENDER: You surrender a life insurance policy when you either let it lapse or tell the company you want to drop it. Whenever a policy has a cash surrender value, you can get it in cash if you return the policy to the company with a written request. Most insurers will also let you exchange the cash value of the policy for paid-up or extended term insurance.
CONVERT TO PAID-UP INSURANCE: This means you use your cash surrender value to change your insurance to a paid-up policy with the same insurer. The death benefit generally will be lower than under the old policy, but you will not have to pay any more premiums.
PLACE ON EXTENDED TERM: This means you use your cash surrender value to change your insurance to term insurance with the same insurer. In this case, the net death benefit will be the same as before. However, you will only be covered for a specified period of time stated in the policy.
BORROW POLICY LOAN VALUES: If your life insurance policy has a cash surrender value, you can almost always borrow all or part of it from the insurer. Interest will be charged according to the terms of the policy, and if the loan with unpaid interest ever exceeds the cash surrender value, your policy will be surrendered. If you die, the amount of the loan and any unpaid interest due will be subtracted from the death benefits.
EVIDENCE OF INSURABILITY: This means proof that you are an acceptable risk. You have to meet the insurer's standards regarding age, health, occupation, etc., to be eligible for coverage.
INCONTESTABLE CLAUSE: This says that after two years, depending on the policy or insurer, the life insurer will not resist a claim because you made a false or incomplete statement when you applied for the policy. For the early years, though, if there are wrong answers on the application and the insurer finds out about them, the insurer can deny a claim as if the policy had never existed.
SUICIDE CLAUSE: This says that if you commit complete
suicide after being insured for less than two years one year,
depending on the policy and insurer, your beneficiaries will receive only a
refund of the premiums that were paid.
EFFECTIVE DATE. This section is effective January 1, 2024, and
applies to policies issued on or after that date.
Sec. 6. Minnesota Statutes 2022, section 62A.152, subdivision 3, is amended to read:
Subd. 3. Provider discrimination prohibited. All group policies and group subscriber contracts that provide benefits for mental or nervous disorder treatments in a hospital must provide direct reimbursement for those services at a hospital or psychiatric residential treatment facility if performed by a mental health professional qualified according to section 245I.04, subdivision 2, to the extent that the services and treatment are within the scope of mental health professional licensure.
This subdivision is intended to provide payment of benefits for mental or nervous disorder treatments performed by a licensed mental health professional in a hospital or psychiatric residential treatment facility and is not intended to change or add benefits for those services provided in policies or contracts to which this subdivision applies.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to health plans offered,
issued, or renewed on or after that date.
Sec. 7. Minnesota Statutes 2022, section 62A.3099, is amended by adding a subdivision to read:
Subd. 18b. Open
enrollment period. "Open
enrollment period" means the time period described in Code of Federal
Regulations, title 42, section 422.62, paragraph (a), clauses (3) to (5), as
amended.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 8. Minnesota Statutes 2022, section 62A.31, subdivision 1, is amended to read:
Subdivision 1. Policy
requirements. No individual or group
policy, certificate, subscriber contract issued by a health service plan
corporation regulated under chapter 62C, or other evidence of accident and
health insurance the effect or purpose of which is to supplement Medicare
coverage, including to supplement coverage under Medicare Advantage plans
established under Medicare Part C, issued or delivered in this state or offered
to a resident of this state shall be sold or issued to an individual covered by
Medicare unless the requirements in subdivisions 1a to 1v 1w are
met.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 9. Minnesota Statutes 2022, section 62A.31, subdivision 1f, is amended to read:
Subd. 1f. Suspension based on entitlement to medical assistance. (a) The policy or certificate must provide that benefits and premiums under the policy or certificate shall be suspended for any period that may be provided by federal regulation at the request of the policyholder or certificate holder for the period, not to exceed 24 months, in which the policyholder or certificate holder has applied for and is determined to be entitled to medical assistance under title XIX of the Social Security Act, but only if the policyholder or certificate holder notifies the issuer of the policy or certificate within 90 days after the date the individual becomes entitled to this assistance.
(b) If suspension occurs and if the policyholder or certificate holder loses entitlement to this medical assistance, the policy or certificate shall be automatically reinstated, effective as of the date of termination of this entitlement, if the policyholder or certificate holder provides notice of loss of the entitlement within 90 days after the date of the loss and pays the premium attributable to the period, effective as of the date of termination of entitlement.
(c) The policy must provide
that upon reinstatement (1) there is no additional waiting period with
respect to treatment of preexisting conditions, (2) coverage is provided which
is substantially equivalent to coverage in effect before the date of the
suspension. If the suspended policy
provided coverage for outpatient prescription drugs, reinstitution of the
policy for Medicare Part D enrollees must be without coverage for outpatient
prescription drugs and must otherwise provide coverage substantially equivalent
to the coverage in effect before the date of suspension, and (3) premiums are
classified on terms that are at least as favorable to the policyholder or
certificate holder as the premium classification terms that would have applied
to the policyholder or certificate holder had coverage not been suspended.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 10. Minnesota Statutes 2022, section 62A.31, subdivision 1h, is amended to read:
Subd. 1h. Limitations on denials, conditions, and pricing of coverage. No health carrier issuing Medicare‑related coverage in this state may impose preexisting condition limitations or otherwise deny or condition the issuance or effectiveness of any such coverage available for sale in this state, nor may it discriminate in the
pricing of such coverage, because of the health status, claims experience, receipt of health care, medical condition, or age of an applicant where an application for such coverage is submitted: (1) prior to or during the six-month period beginning with the first day of the month in which an individual first enrolled for benefits under Medicare Part B; or (2) during the open enrollment period. This subdivision applies to each Medicare-related coverage offered by a health carrier regardless of whether the individual has attained the age of 65 years. If an individual who is enrolled in Medicare Part B due to disability status is involuntarily disenrolled due to loss of disability status, the individual is eligible for another six-month enrollment period provided under this subdivision beginning the first day of the month in which the individual later becomes eligible for and enrolls again in Medicare Part B and during the open enrollment period. An individual who is or was previously enrolled in Medicare Part B due to disability status is eligible for another six-month enrollment period under this subdivision beginning the first day of the month in which the individual has attained the age of 65 years and either maintains enrollment in, or enrolls again in, Medicare Part B and during the open enrollment period. If an individual enrolled in Medicare Part B voluntarily disenrolls from Medicare Part B because the individual becomes enrolled under an employee welfare benefit plan, the individual is eligible for another six-month enrollment period, as provided in this subdivision, beginning the first day of the month in which the individual later becomes eligible for and enrolls again in Medicare Part B and during the open enrollment period.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 11. Minnesota Statutes 2022, section 62A.31, subdivision 1p, is amended to read:
Subd. 1p. Renewal
or continuation provisions. Medicare
supplement policies and certificates shall include a renewal or continuation
provision. The language or
specifications of the provision shall be consistent with the type of contract
issued. The provision shall be
appropriately captioned and shall appear on the first page of the policy or
certificate, and shall include any reservation by the issuer of the right to
change premiums. Except for riders or
endorsements by which the issuer effectuates a request made in writing by the
insured, exercises a specifically reserved right under a Medicare supplement
policy or certificate, or is required to reduce or eliminate benefits to avoid
duplication of Medicare benefits, all riders or endorsements added to a
Medicare supplement policy or certificate after the date of issue or at
reinstatement or renewal that reduce or eliminate benefits or coverage in the
policy or certificate shall require a signed acceptance by the insured. After the date of policy or certificate
issue, a rider or endorsement that increases benefits or coverage with a
concomitant increase in premium during the policy or certificate term shall be
agreed to in writing and signed by the insured, unless the benefits are
required by the minimum standards for Medicare supplement policies or if the
increased benefits or coverage is required by law. Where a separate additional premium is
charged for benefits provided in connection with riders or endorsements, the
premium charge shall be set forth in the policy, declaration page, or
certificate. If a Medicare supplement
policy or certificate contains limitations with respect to preexisting
conditions, the limitations shall appear as a separate paragraph of the policy
or certificate and be labeled as "preexisting condition limitations."
Issuers of accident and sickness policies or certificates that provide hospital or medical expense coverage on an expense incurred or indemnity basis to persons eligible for Medicare shall provide to those applicants a "Guide to Health Insurance for People with Medicare" in the form developed by the Centers for Medicare and Medicaid Services and in a type size no smaller than 12-point type. Delivery of the guide must be made whether or not such policies or certificates are advertised, solicited, or issued as Medicare supplement policies or certificates as defined in this section and section 62A.3099. Except in the case of direct response issuers, delivery of the guide must be made to the applicant at the time of application, and acknowledgment of receipt of the guide must be obtained by the issuer. Direct response issuers shall deliver the guide to the applicant upon request, but no later than the time at which the policy is delivered.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 12. Minnesota Statutes 2022, section 62A.31, subdivision 1u, is amended to read:
Subd. 1u. Guaranteed issue for eligible persons. (a)(1) Eligible persons are those individuals described in paragraph (b) who seek to enroll under the policy during the period specified in paragraph (c) and who submit evidence of the date of termination or disenrollment described in paragraph (b), or of the date of Medicare Part D enrollment, with the application for a Medicare supplement policy.
(2) With respect to eligible persons, an issuer shall not: deny or condition the issuance or effectiveness of a Medicare supplement policy described in paragraph (c) that is offered and is available for issuance to new enrollees by the issuer; discriminate in the pricing of such a Medicare supplement policy because of health status, claims experience, receipt of health care, medical condition, or age; or impose an exclusion of benefits based upon a preexisting condition under such a Medicare supplement policy.
(b) An eligible person is an individual described in any of the following:
(1) the individual is enrolled under an employee welfare benefit plan that provides health benefits that supplement the benefits under Medicare; and the plan terminates, or the plan ceases to provide all such supplemental health benefits to the individual;
(2) the individual is enrolled with a Medicare Advantage organization under a Medicare Advantage plan under Medicare Part C, and any of the following circumstances apply, or the individual is 65 years of age or older and is enrolled with a Program of All-Inclusive Care for the Elderly (PACE) provider under section 1894 of the federal Social Security Act, and there are circumstances similar to those described in this clause that would permit discontinuance of the individual's enrollment with the provider if the individual were enrolled in a Medicare Advantage plan:
(i) the organization's or plan's certification under Medicare Part C has been terminated or the organization has terminated or otherwise discontinued providing the plan in the area in which the individual resides;
(ii) the individual is no longer eligible to elect the plan because of a change in the individual's place of residence or other change in circumstances specified by the secretary, but not including termination of the individual's enrollment on the basis described in section 1851(g)(3)(B) of the federal Social Security Act, United States Code, title 42, section 1395w-21(g)(3)(b) (where the individual has not paid premiums on a timely basis or has engaged in disruptive behavior as specified in standards under section 1856 of the federal Social Security Act, United States Code, title 42, section 1395w-26), or the plan is terminated for all individuals within a residence area;
(iii) the individual demonstrates, in accordance with guidelines established by the Secretary, that:
(A) the organization offering the plan substantially violated a material provision of the organization's contract in relation to the individual, including the failure to provide an enrollee on a timely basis medically necessary care for which benefits are available under the plan or the failure to provide such covered care in accordance with applicable quality standards; or
(B) the organization, or agent or other entity acting on the organization's behalf, materially misrepresented the plan's provisions in marketing the plan to the individual; or
(iv) the individual meets such other exceptional conditions as the secretary may provide;
(3)(i) the individual is enrolled with:
(A) an eligible organization under a contract under section 1876 of the federal Social Security Act, United States Code, title 42, section 1395mm (Medicare cost);
(B) a similar organization
operating under demonstration project authority, effective for periods before
April 1, 1999;
(C) an organization under an agreement under section 1833(a)(1)(A) of the federal Social Security Act, United States Code, title 42, section 1395l(a)(1)(A) (health care prepayment plan); or
(D) an organization under a Medicare Select policy under section 62A.318
or the similar law of another state; and
(ii) the enrollment ceases under the same circumstances that would permit discontinuance of an individual's election of coverage under clause (2);
(4) the individual is enrolled under a Medicare supplement policy, and the enrollment ceases because:
(i)(A) of the insolvency of the issuer or bankruptcy of the nonissuer organization; or
(B) of other involuntary termination of coverage or enrollment under the policy;
(ii) the issuer of the policy substantially violated a material provision of the policy; or
(iii) the issuer, or an agent or other entity acting on the issuer's behalf, materially misrepresented the policy's provisions in marketing the policy to the individual;
(5)(i) the individual was enrolled under a Medicare supplement policy and terminates that enrollment and subsequently enrolls, for the first time, with any Medicare Advantage organization under a Medicare Advantage plan under Medicare Part C; any eligible organization under a contract under section 1876 of the federal Social Security Act, United States Code, title 42, section 1395mm (Medicare cost); any similar organization operating under demonstration project authority; any PACE provider under section 1894 of the federal Social Security Act, or a Medicare Select policy under section 62A.318 or the similar law of another state; and
(ii) the subsequent enrollment under item (i) is terminated by the enrollee during any period within the first 12 months of the subsequent enrollment during which the enrollee is permitted to terminate the subsequent enrollment under section 1851(e) of the federal Social Security Act;
(6) the individual, upon
first enrolling for benefits under Medicare Part B, enrolls in a Medicare
Advantage plan under Medicare Part C, or with a PACE provider under section
1894 of the federal Social Security Act, and disenrolls from the plan by not later
than 12 months after the effective date of enrollment; or
(7) the individual enrolls
in a Medicare Part D plan during the initial Part D enrollment period, as
defined under United States Code, title 42, section 1395ss(v)(6)(D), and, at
the time of enrollment in Part D, was enrolled under a Medicare supplement policy
that covers outpatient prescription drugs and the individual terminates
enrollment in the Medicare supplement policy and submits evidence of enrollment
in Medicare Part D along with the application for a policy described in
paragraph (e), clause (4).; or
(8) the individual was
enrolled in a state public program and is losing coverage due to the unwinding
of the Medicaid continuous enrollment conditions, as provided by Code of
Federal Regulations, title 45, section 155.420(d)(9) and (d)(1), and Public Law
117-328, section 5131 (2022).
(c)(1) In the case of an individual described in paragraph (b), clause (1), the guaranteed issue period begins on the later of: (i) the date the individual receives a notice of termination or cessation of all supplemental health benefits or, if a notice is not received, notice that a claim has been denied because of a termination or cessation; or (ii) the date that the applicable coverage terminates or ceases; and ends 63 days after the later of those two dates.
(2) In the case of an individual described in paragraph (b), clause (2), (3), (5), or (6), whose enrollment is terminated involuntarily, the guaranteed issue period begins on the date that the individual receives a notice of termination and ends 63 days after the date the applicable coverage is terminated.
(3) In the case of an individual described in paragraph (b), clause (4), item (i), the guaranteed issue period begins on the earlier of: (i) the date that the individual receives a notice of termination, a notice of the issuer's bankruptcy or insolvency, or other such similar notice if any; and (ii) the date that the applicable coverage is terminated, and ends on the date that is 63 days after the date the coverage is terminated.
(4) In the case of an individual described in paragraph (b), clause (2), (4), (5), or (6), who disenrolls voluntarily, the guaranteed issue period begins on the date that is 60 days before the effective date of the disenrollment and ends on the date that is 63 days after the effective date.
(5) In the case of an individual described in paragraph (b), clause (7), the guaranteed issue period begins on the date the individual receives notice pursuant to section 1882(v)(2)(B) of the Social Security Act from the Medicare supplement issuer during the 60-day period immediately preceding the initial Part D enrollment period and ends on the date that is 63 days after the effective date of the individual's coverage under Medicare Part D.
(6) In the case of an individual described in paragraph (b) but not described in this paragraph, the guaranteed issue period begins on the effective date of disenrollment and ends on the date that is 63 days after the effective date.
(7) For all individuals
described in paragraph (b), the open enrollment period is a guaranteed issue
period.
(d)(1) In the case of an individual described in paragraph (b), clause (5), or deemed to be so described, pursuant to this paragraph, whose enrollment with an organization or provider described in paragraph (b), clause (5), item (i), is involuntarily terminated within the first 12 months of enrollment, and who, without an intervening enrollment, enrolls with another such organization or provider, the subsequent enrollment is deemed to be an initial enrollment described in paragraph (b), clause (5).
(2) In the case of an individual described in paragraph (b), clause (6), or deemed to be so described, pursuant to this paragraph, whose enrollment with a plan or in a program described in paragraph (b), clause (6), is involuntarily terminated within the first 12 months of enrollment, and who, without an intervening enrollment, enrolls in another such plan or program, the subsequent enrollment is deemed to be an initial enrollment described in paragraph (b), clause (6).
(3) For purposes of paragraph (b), clauses (5) and (6), no enrollment of an individual with an organization or provider described in paragraph (b), clause (5), item (i), or with a plan or in a program described in paragraph (b), clause (6), may be deemed to be an initial enrollment under this paragraph after the two-year period beginning on the date on which the individual first enrolled with the organization, provider, plan, or program.
(e) The Medicare supplement policy to which eligible persons are entitled under:
(1) paragraph (b), clauses (1) to (4), is any Medicare supplement policy that has a benefit package consisting of the basic Medicare supplement plan described in section 62A.316, paragraph (a), plus any combination of the three optional riders described in section 62A.316, paragraph (b), clauses (1) to (3), offered by any issuer;
(2) paragraph (b), clause (5), is the same Medicare supplement policy in which the individual was most recently previously enrolled, if available from the same issuer, or, if not so available, any policy described in clause (1) offered by any issuer, except that after December 31, 2005, if the individual was most recently enrolled in a Medicare supplement policy with an outpatient prescription drug benefit, a Medicare supplement policy to which the individual is entitled under paragraph (b), clause (5), is:
(i) the policy available from the same issuer but modified to remove outpatient prescription drug coverage; or
(ii) at the election of the policyholder, a policy described in clause (4), except that the policy may be one that is offered and available for issuance to new enrollees that is offered by any issuer;
(3) paragraph (b), clause (6), is any Medicare supplement policy offered by any issuer;
(4) paragraph (b), clause (7), is a Medicare supplement policy that has a benefit package classified as a basic plan under section 62A.316 if the enrollee's existing Medicare supplement policy is a basic plan or, if the enrollee's existing Medicare supplement policy is an extended basic plan under section 62A.315, a basic or extended basic plan at the option of the enrollee, provided that the policy is offered and is available for issuance to new enrollees by the same issuer that issued the individual's Medicare supplement policy with outpatient prescription drug coverage. The issuer must permit the enrollee to retain all optional benefits contained in the enrollee's existing coverage, other than outpatient prescription drugs, subject to the provision that the coverage be offered and available for issuance to new enrollees by the same issuer.
(f)(1) At the time of an event described in paragraph (b), because of which an individual loses coverage or benefits due to the termination of a contract or agreement, policy, or plan, the organization that terminates the contract or agreement, the issuer terminating the policy, or the administrator of the plan being terminated, respectively, shall notify the individual of the individual's rights under this subdivision, and of the obligations of issuers of Medicare supplement policies under paragraph (a). The notice must be communicated contemporaneously with the notification of termination.
(2) At the time of an event described in paragraph (b), because of which an individual ceases enrollment under a contract or agreement, policy, or plan, the organization that offers the contract or agreement, regardless of the basis for the cessation of enrollment, the issuer offering the policy, or the administrator of the plan, respectively, shall notify the individual of the individual's rights under this subdivision, and of the obligations of issuers of Medicare supplement policies under paragraph (a). The notice must be communicated within ten working days of the issuer receiving notification of disenrollment.
(g) Reference in this subdivision to a situation in which, or to a basis upon which, an individual's coverage has been terminated does not provide authority under the laws of this state for the termination in that situation or upon that basis.
(h) An individual's rights under this subdivision are in addition to, and do not modify or limit, the individual's rights under subdivision 1h.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 13. Minnesota Statutes 2022, section 62A.31, is amended by adding a subdivision to read:
Subd. 1w. Open
enrollment. A medicare
supplement policy or certificate must not be sold or issued to an eligible
individual outside of the time periods described in subdivision 1u.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 14. Minnesota Statutes 2022, section 62A.31, subdivision 4, is amended to read:
Subd. 4. Prohibited policy provisions. (a) A Medicare supplement policy or certificate in force in the state shall not contain benefits that duplicate benefits provided by Medicare or contain exclusions on coverage that are more restrictive than those of Medicare. Duplication of benefits is permitted to the extent permitted under subdivision 1s, paragraph (a), for benefits provided by Medicare Part D.
(b) No Medicare supplement
policy or certificate may use waivers to exclude, limit, or reduce coverage or
benefits for specifically named or described preexisting diseases or physical
conditions, except as permitted under subdivision 1b.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 15. Minnesota Statutes 2022, section 62A.44, subdivision 2, is amended to read:
Subd. 2. Questions. (a) Application forms shall include the following questions designed to elicit information as to whether, as of the date of the application, the applicant has another Medicare supplement or other health insurance policy or certificate in force or whether a Medicare supplement policy or certificate is intended to replace any other accident and sickness policy or certificate presently in force. A supplementary application or other form to be signed by the applicant and agent containing the questions and statements may be used.
"(1) You do not need more than one Medicare supplement policy or certificate.
(2) If you purchase this policy, you may want to evaluate your existing health coverage and decide if you need multiple coverages.
(3) You may be eligible for benefits under Medicaid and may not need a Medicare supplement policy or certificate.
(4) The benefits and premiums under your Medicare supplement policy or certificate can be suspended, if requested, during your entitlement to benefits under Medicaid for 24 months. You must request this suspension within 90 days of becoming eligible for Medicaid. If you are no longer entitled to Medicaid, your policy or certificate will be reinstated if requested within 90 days of losing Medicaid eligibility.
(5) Counseling services may be available in Minnesota to provide advice concerning medical assistance through state Medicaid, Qualified Medicare Beneficiaries (QMBs), and Specified Low-Income Medicare Beneficiaries (SLMBs).
To the best of your knowledge:
(1) Do you have another Medicare supplement policy or certificate in force?
(a) If so, with which company?
(b) If so, do you intend to replace your current Medicare supplement policy with this policy or certificate?
(2) Do you have any other health insurance policies that provide benefits which this Medicare supplement policy or certificate would duplicate?
(a) If so, please name the company.
(b) What kind of policy?
(3) Are you covered for medical assistance through the state Medicaid program? If so, which of the following programs provides coverage for you?
(a) Specified Low-Income Medicare Beneficiary (SLMB),
(b) Qualified Medicare Beneficiary (QMB), or
(c) full Medicaid Beneficiary?"
(b) Agents shall list any other health insurance policies they have sold to the applicant.
(1) List policies sold that are still in force.
(2) List policies sold in the past five years that are no longer in force.
(c) In the case of a direct response issuer, a copy of the application or supplemental form, signed by the applicant, and acknowledged by the insurer, shall be returned to the applicant by the insurer on delivery of the policy or certificate.
(d) Upon determining that a sale will involve replacement of Medicare supplement coverage, any issuer, other than a direct response issuer, or its agent, shall furnish the applicant, before issuance or delivery of the Medicare supplement policy or certificate, a notice regarding replacement of Medicare supplement coverage. One copy of the notice signed by the applicant and the agent, except where the coverage is sold without an agent, shall be provided to the applicant and an additional signed copy shall be retained by the issuer. A direct response issuer shall deliver to the applicant at the time of the issuance of the policy or certificate the notice regarding replacement of Medicare supplement coverage.
(e) The notice required by paragraph (d) for an issuer shall be provided in substantially the following form in no less than 12-point type:
"NOTICE TO APPLICANT REGARDING REPLACEMENT
OF MEDICARE SUPPLEMENT INSURANCE
(Insurance company's name and address)
SAVE THIS NOTICE! IT MAY BE IMPORTANT TO YOU IN THE FUTURE.
According to (your application) (information you have furnished), you intend to terminate existing Medicare supplement insurance and replace it with a policy or certificate to be issued by (Company Name) Insurance Company. Your new policy or certificate will provide 30 days within which you may decide without cost whether you desire to keep the policy or certificate.
You should review this new coverage carefully. Compare it with all accident and sickness coverage you now have. If, after due consideration, you find that purchase of this Medicare supplement coverage is a wise decision you should terminate your present Medicare supplement policy. You should evaluate the need for other accident and sickness coverage you have that may duplicate this policy.
STATEMENT TO APPLICANT BY ISSUER, AGENT, (BROKER OR OTHER REPRESENTATIVE): I have reviewed your current medical or health insurance coverage. To the best of my knowledge this Medicare supplement policy will not duplicate your existing Medicare supplement policy because you intend to terminate the existing Medicare supplement policy. The replacement policy or certificate is being purchased for the following reason(s) (check one):
Additional benefits
No change in benefits, but lower premiums
Fewer benefits and lower premiums
Other (please specify)
.........................................................................................................................................................................................................
.........................................................................................................................................................................................................
.........................................................................................................................................................................................................
(1) Health conditions which you
may presently have (preexisting conditions) may not be immediately or fully
covered under the new policy or certificate.
This could result in denial or delay of a claim for benefits under the
new policy or certificate, whereas a similar claim might have been payable
under your present policy or certificate.
(2) State law provides that
your replacement policy or certificate may not contain new preexisting
conditions, waiting periods, elimination periods, or probationary periods. The insurer will waive any time periods
applicable to preexisting conditions, waiting periods, elimination periods, or
probationary periods in the new policy (or coverage) for similar benefits to
the extent the time was spent (depleted) under the original policy or
certificate.
(3) If you still wish to
terminate your present policy or certificate and replace it with new coverage,
be certain to truthfully and completely answer all questions on the application
concerning your medical and health history.
Failure to include all material medical information on an application
may provide a basis for the company to deny any future claims and to refund
your premium as though your policy or certificate had never been in force. After the application has been completed and
before you sign it, review it carefully to be certain that all information has
been properly recorded. (If the policy
or certificate is guaranteed issue, this paragraph need not appear.)
Do not cancel your present policy or certificate until you have received your new policy or certificate and you are sure that you want to keep it.
..................................................................................................
(Signature of Agent, Broker, or Other Representative)*
..................................................................................................
(Typed Name and Address of Issuer, Agent, or Broker)
..................................................................................................
(Date)
..................................................................................................
(Applicant's Signature)
..................................................................................................
(Date)
*Signature not required for direct response sales."
(f) Paragraph (e),
clauses (1) and (2), of the replacement notice (applicable to preexisting
conditions) may be deleted by an issuer if the replacement does not involve
application of a new preexisting condition limitation.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to policies offered, issued,
or renewed on or after that date.
Sec. 16. Minnesota Statutes 2022, section 62D.02, is amended by adding a subdivision to read:
Subd. 17. Preventive
items and services. "Preventive
items and services" has the meaning given in section 62Q.46, subdivision
1, paragraph (a).
Sec. 17. Minnesota Statutes 2022, section 62D.095, subdivision 2, is amended to read:
Subd. 2. Co-payments. A health maintenance contract may impose a co-payment and coinsurance consistent with the provisions of the Affordable Care Act as defined under section 62A.011, subdivision 1a, and for items and services that are not preventive items and services.
Sec. 18. Minnesota Statutes 2022, section 62D.095, subdivision 3, is amended to read:
Subd. 3. Deductibles. A health maintenance contract may must
not impose a deductible consistent with the provisions of the Affordable
Care Act as defined under section 62A.011, subdivision 1a for preventive
items and services.
Sec. 19. Minnesota Statutes 2022, section 62D.095, subdivision 4, is amended to read:
Subd. 4. Annual
out-of-pocket maximums. A health
maintenance contract may must not impose an annual out-of-pocket
maximum consistent with the provisions of the Affordable Care Act as defined
under section 62A.011, subdivision 1a for services rendered that are not
listed under section 62D.02, subdivision 17, or for preventive items and
services.
Sec. 20. Minnesota Statutes 2022, section 62D.095, subdivision 5, is amended to read:
Subd. 5. Exceptions. No Co-payments or deductibles may
must not be imposed on preventive health care items and
services consistent with the provisions of the Affordable Care Act as
defined under section 62A.011, subdivision 1a.
Sec. 21. Minnesota Statutes 2022, section 62J.26, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) For purposes of this section, the following terms have the meanings given unless the context otherwise requires:
(1) "commissioner" means the commissioner of commerce;
(2) "enrollee" has the meaning given in section 62Q.01, subdivision 2b;
(3) "health plan" means a health plan as defined in section 62A.011, subdivision 3, but includes coverage listed in clauses (7) and (10) of that definition;
(4) "mandated health benefit proposal" or "proposal" means a proposal that would statutorily require a health plan company to do the following:
(i) provide coverage or increase the amount of coverage for the treatment of a particular disease, condition, or other health care need;
(ii) provide coverage or increase the amount of coverage of a particular type of health care treatment or service or of equipment, supplies, or drugs used in connection with a health care treatment or service;
(iii) provide coverage for care delivered by a specific type of provider;
(iv) require a particular benefit design or impose conditions on cost-sharing for:
(A) the treatment of a particular disease, condition, or other health care need;
(B) a particular type of health care treatment or service; or
(C) the provision of medical equipment, supplies, or a prescription drug used in connection with treating a particular disease, condition, or other health care need; or
(v) impose limits or conditions on a contract between a health plan company and a health care provider.
(b) "Mandated
health benefit proposal" does not include health benefit proposals:
(1) amending the
scope of practice of a licensed health care professional.; or
(2) that make state law
consistent with federal law.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. Minnesota Statutes 2022, section 62J.26, subdivision 2, is amended to read:
Subd. 2. Evaluation process and content. (a) The commissioner, in consultation with the commissioners of health and management and budget, must evaluate all mandated health benefit proposals as provided under subdivision 3.
(b) The purpose of the evaluation is to provide the legislature with a complete and timely analysis of all ramifications of any mandated health benefit proposal. The evaluation must include, in addition to other relevant information, the following to the extent applicable:
(1) scientific and medical information on the mandated health benefit proposal, on the potential for harm or benefit to the patient, and on the comparative benefit or harm from alternative forms of treatment, and must include the results of at least one professionally accepted and controlled trial comparing the medical consequences of the proposed therapy, alternative therapy, and no therapy;
(2) public health, economic, and fiscal impacts of the mandated health benefit proposal on persons receiving health services in Minnesota, on the relative cost-effectiveness of the proposal, and on the health care system in general;
(3) the extent to which the treatment, service, equipment, or drug is generally utilized by a significant portion of the population;
(4) the extent to which insurance coverage for the mandated health benefit proposal is already generally available;
(5) the extent to which the mandated health benefit proposal, by health plan category, would apply to the benefits offered to the health plan's enrollees;
(6) the extent to which the mandated health benefit proposal will increase or decrease the cost of the treatment, service, equipment, or drug;
(7) the extent to which the mandated health benefit proposal may increase enrollee premiums; and
(8) if the proposal applies to a qualified health plan as defined in section 62A.011, subdivision 7, the cost to the state to defray the cost of the mandated health benefit proposal using commercial market reimbursement rates in accordance with Code of Federal Regulations, title 45, section 155.70.
(c) The commissioner shall consider actuarial analysis done by health plan companies and any other proponent or opponent of the mandated health benefit proposal in determining the cost of the proposal.
(d) The commissioner must
summarize the nature and quality of available information on these issues, and,
if possible, must provide preliminary information to the public. The commissioner may conduct research on
these issues or may determine that existing research is sufficient to meet the
informational needs of the legislature. The
commissioner may seek the assistance and advice of researchers, community
leaders, or other persons or organizations with relevant expertise. The commissioner must provide the public
with at least 45 days' notice when requesting information pursuant to this
section. The commissioner must notify
the chief authors of a bill when a request for information is issued.
(e) Information
submitted to the commissioner pursuant to this section that meets the
definition of trade secret information, as defined in section 13.37,
subdivision 1, paragraph (b), is nonpublic data."
Sec. 23. [62J.841]
DEFINITIONS.
Subdivision 1. Scope. For purposes of sections 62J.841 to
62J.845, the following definitions apply.
Subd. 2. Consumer
Price Index. "Consumer
Price Index" means the Consumer Price Index, Annual Average, for All Urban
Consumers, CPI-U: U.S. City Average, All
Items, reported by the United States Department of Labor, Bureau of Labor
Statistics, or its successor or, if the index is discontinued, an equivalent
index reported by a federal authority or, if no such index is reported,
"Consumer Price Index" means a comparable index chosen by the Bureau
of Labor Statistics.
Subd. 3. Generic
or off-patent drug. "Generic
or off-patent drug" means any prescription drug for which any exclusive
marketing rights granted under the Federal Food, Drug, and Cosmetic Act,
section 351 of the federal Public Health Service Act, and federal patent law
have expired, including any drug-device combination product for the delivery of
a generic drug.
Subd. 4. Manufacturer. "Manufacturer" has the
meaning given in section 151.01, subdivision 14a, but does not include an
entity that must be licensed solely because the entity repackages or relabels
drugs.
Subd. 5. Prescription
drug. "Prescription
drug" means a drug for human use subject to United States Code, title 21,
section 353(b)(1).
Subd. 6. Wholesale
acquisition cost. "Wholesale
acquisition cost" has the meaning provided in United States Code, title
42, section 1395w-3a.
Subd. 7. Wholesale
distributor. "Wholesale
distributor" has the meaning provided in section 151.441, subdivision 14.
Sec. 24. [62J.842]
EXCESSIVE PRICE INCREASES PROHIBITED.
Subdivision 1. Prohibition. No manufacturer shall impose, or cause
to be imposed, an excessive price increase, whether directly or through a
wholesale distributor, pharmacy, or similar intermediary, on the sale of any
generic or off-patent drug sold, dispensed, or delivered to any consumer in the
state.
Subd. 2. Excessive
price increase. A price
increase is excessive for purposes of this section when:
(1) the price increase,
adjusted for inflation utilizing the Consumer Price Index, exceeds:
(i) 15 percent of the wholesale
acquisition cost over the immediately preceding calendar year; or
(ii) 40 percent of the
wholesale acquisition cost over the immediately preceding three calendar years;
and
(2) the price increase,
adjusted for inflation utilizing the Consumer Price Index, exceeds $30 for:
(i) a 30-day supply of
the drug; or
(ii) a course of
treatment lasting less than 30 days.
Subd. 3. Exemption. It is not a violation of this section
for a wholesale distributor or pharmacy to increase the price of a generic or off-patent
drug if the price increase is directly attributable to additional costs for the
drug imposed on the wholesale distributor or pharmacy by the manufacturer of
the drug.
Sec. 25. [62J.843]
REGISTERED AGENT AND OFFICE WITHIN THE STATE.
Any manufacturer that
sells, distributes, delivers, or offers for sale any generic or off-patent drug
in the state must maintain a registered agent and office within the state.
Sec. 26. [62J.844]
ENFORCEMENT.
Subdivision 1. Notification. (a) The commissioner of health shall
notify the manufacturer of a generic or off‑patent drug and the attorney
general of any price increase that the commissioner believes may violate
section 62J.842.
(b) The commissioner of
management and budget and any other state agency that provides or purchases a
pharmacy benefit except the Department of Human Services, and any entity under
contract with a state agency to provide a pharmacy benefit other than an entity
under contract with the Department of Human Services, may notify the
manufacturer of a generic or off-patent drug and the attorney general of any
price increase that the commissioner or entity believes may violate section
62J.842.
Subd. 2. Submission
of drug cost statement and other information by manufacturer; investigation by
attorney general. (a) Within
45 days of receiving a notice under subdivision 1, the manufacturer of the
generic or off-patent drug shall submit a drug cost statement to the attorney
general. The statement must:
(1) itemize the cost
components related to production of the drug;
(2) identify the
circumstances and timing of any increase in materials or manufacturing costs
that caused any increase during the
preceding calendar year, or preceding three calendar years as applicable, in
the price of the drug; and
(3) provide any other
information that the manufacturer believes to be relevant to a determination of
whether a violation of section 62J.842 has occurred.
(b) The attorney general
may investigate whether a violation of section 62J.842 has occurred, in
accordance with section 8.31, subdivision 2.
Subd. 3. Petition
to court. (a) On petition of
the attorney general, a court may issue an order:
(1) compelling the
manufacturer of a generic or off-patent drug to:
(i) provide the drug
cost statement required under subdivision 2, paragraph (a); and
(ii) answer interrogatories,
produce records or documents, or be examined under oath, as required by the
attorney general under subdivision 2, paragraph (b);
(2) restraining or
enjoining a violation of sections 62J.841 to 62J.845, including issuing an
order requiring that drug prices be restored to levels that comply with section
62J.842;
(3) requiring the
manufacturer to provide an accounting to the attorney general of all revenues
resulting from a violation of section 62J.842;
(4) requiring the
manufacturer to repay to all Minnesota consumers, including any third-party
payers, any money acquired as a result of a price increase that violates
section 62J.842;
(5) notwithstanding
section 16A.151, requiring that all revenues generated from a violation of
section 62J.842 be remitted to the state and deposited into a special fund, to
be used for initiatives to reduce the cost to consumers of acquiring
prescription drugs, if a manufacturer is unable to determine the individual
transactions necessary to provide the repayments described in clause (4);
(6) imposing a civil
penalty of up to $10,000 per day for each violation of section 62J.842;
(7) providing for the
attorney general's recovery of costs and disbursements incurred in bringing an
action against a manufacturer found in violation of section 62J.842, including
the costs of investigation and reasonable attorney's fees; and
(8) providing any other
appropriate relief, including any other equitable relief as determined by the
court.
(b) For purposes of
paragraph (a), clause (6), every individual transaction in violation of section
62J.842 is considered a separate violation.
Subd. 4. Private
right of action. Any action
brought pursuant to section 8.31, subdivision 3a, by a person injured by a
violation of section 62J.842 is for the benefit of the public.
Sec. 27. [62J.845]
PROHIBITION ON WITHDRAWAL OF GENERIC OR OFF-PATENT DRUGS FOR SALE.
Subdivision 1. Prohibition. A manufacturer of a generic or
off-patent drug is prohibited from withdrawing that drug from sale or
distribution within this state for the purpose of avoiding the prohibition on
excessive price increases under section 62J.842.
Subd. 2. Notice
to board and attorney general. Any
manufacturer that intends to withdraw a generic or off‑patent drug from
sale or distribution within the state shall provide a written notice of
withdrawal to the attorney general at least 90 days prior to the withdrawal.
Subd. 3. Financial
penalty. The attorney general
shall assess a penalty of $500,000 on any manufacturer of a generic or
off-patent drug that the attorney general determines has failed to comply with
the requirements of this section.
Sec. 28. [62J.846]
SEVERABILITY.
If any provision of
sections 62J.841 to 62J.845 or the application thereof to any person or
circumstance is held invalid for any reason in a court of competent
jurisdiction, the invalidity does not affect other provisions or any other
application of sections 62J.841 to 62J.845 that can be given effect without the
invalid provision or application.
Sec. 29. [62J.85]
CITATION.
Sections 62J.85 to
62J.95 may be cited as the "Prescription Drug Affordability Act."
Sec. 30. [62J.86]
DEFINITIONS.
Subdivision 1. Definitions. For the purposes of sections 62J.85 to
62J.95, the following terms have the meanings given.
Subd. 2. Advisory
council. "Advisory
council" means the Prescription Drug Affordability Advisory Council
established under section 62J.88.
Subd. 3. Biologic. "Biologic" means a drug that
is produced or distributed in accordance with a biologics license application
approved under Code of Federal Regulations, title 42, section 447.502.
Subd. 4. Biosimilar. "Biosimilar" has the meaning
provided in section 62J.84, subdivision 2, paragraph (b).
Subd. 5. Board. "Board" means the
Prescription Drug Affordability Board established under section 62J.87.
Subd. 6. Brand
name drug. "Brand name
drug" means a drug that is produced or distributed pursuant to:
(1) a new drug
application approved under United States Code, title 21, section 355(c), except
for a generic drug as defined under Code of Federal Regulations, title 42,
section 447.502; or
(2) a biologics license
application approved under United States Code, title 45, section 262(a)(c).
Subd. 7. Generic
drug. "Generic
drug" has the meaning provided in section 62J.84, subdivision 2, paragraph
(e).
Subd. 8. Group
purchaser. "Group
purchaser" has the meaning given in section 62J.03, subdivision 6, and
includes pharmacy benefit managers, as defined in section 62W.02, subdivision
15.
Subd. 9. Manufacturer. "Manufacturer" means an
entity that:
(1) engages in the
manufacture of a prescription drug product or enters into a lease with another
manufacturer to market and distribute a prescription drug product under the
entity's own name; and
(2) sets or changes the
wholesale acquisition cost of the prescription drug product it manufacturers or
markets.
Subd. 10. Prescription
drug product. "Prescription
drug product" means a brand name drug, a generic drug, a biologic, or a
biosimilar.
Subd. 11. Wholesale
acquisition cost or WAC. "Wholesale
acquisition cost" or "WAC" has the meaning given in United
States Code, title 42, section 1395W-3a(c)(6)(B).
Sec. 31. [62J.87]
PRESCRIPTION DRUG AFFORDABILITY BOARD.
Subdivision 1. Establishment. The commissioner of commerce shall
establish the Prescription Drug Affordability Board, which shall be governed as
a board under section 15.012, paragraph (a), to protect consumers, state and
local governments, health plan companies, providers, pharmacies, and other
health care system stakeholders from unaffordable costs of certain prescription
drugs.
Subd. 2. Membership. (a) The Prescription Drug
Affordability Board consists of nine members appointed as follows:
(1) seven voting members
appointed by the governor;
(2) one nonvoting member
appointed by the majority leader of the senate; and
(3) one nonvoting member
appointed by the speaker of the house.
(b) All members appointed
must have knowledge and demonstrated expertise in pharmaceutical economics and
finance or health care economics and finance.
A member must not be an employee of, a board member of, or a consultant
to a manufacturer or trade association for manufacturers, or a pharmacy benefit
manager or trade association for pharmacy benefit managers.
(c) Initial appointments
must be made by January 1, 2024.
Subd. 3. Terms. (a) Board appointees shall serve four-year
terms, except that initial appointees shall serve staggered terms of two,
three, or four years as determined by lot by the secretary of state. A board member shall serve no more than two
consecutive terms.
(b) A board member may
resign at any time by giving written notice to the board.
Subd. 4. Chair;
other officers. (a) The
governor shall designate an acting chair from the members appointed by the
governor.
(b) The board shall elect
a chair to replace the acting chair at the first meeting of the board by a
majority of the members. The chair shall
serve for one year.
(c) The board shall elect
a vice-chair and other officers from its membership as it deems necessary.
Subd. 5. Staff;
technical assistance. (a) The
board shall hire an executive director and other staff, who shall serve in the
unclassified service. The executive
director must have knowledge and demonstrated expertise in pharmacoeconomics,
pharmacology, health policy, health services research, medicine, or a related
field or discipline.
(b) The commissioner of
health shall provide technical assistance to the board. The board may also employ or contract for
professional and technical assistance as the board deems necessary to perform
the board's duties.
(c) The attorney general
shall provide legal services to the board.
Subd. 6. Compensation. The board members shall not receive
compensation but may receive reimbursement for expenses as authorized under
section 15.059, subdivision 3.
Subd. 7. Meetings. (a) Meetings of the board are subject
to chapter 13D. The board shall meet
publicly at least every three months to review prescription drug product
information submitted to the board under section 62J.90. If there are no pending submissions, the
chair of the board may cancel or postpone the required meeting. The board may meet in closed session when
reviewing proprietary information, as determined under the standards developed
in accordance with section 62J.91, subdivision 3.
(b) The board shall
announce each public meeting at least three weeks prior to the scheduled date
of the meeting. Any materials for the
meeting shall be made public at least two weeks prior to the scheduled date of
the meeting.
(c) At each public
meeting, the board shall provide the opportunity for comments from the public,
including the opportunity for written comments to be submitted to the board
prior to a decision by the board.
Sec. 32. [62J.88]
PRESCRIPTION DRUG AFFORDABILITY ADVISORY COUNCIL.
Subdivision 1. Establishment. The governor shall appoint a 15-member
stakeholder advisory council to provide advice to the board on drug cost issues
and to represent stakeholders' views. The
governor shall appoint the members of the advisory council based on the
members' knowledge and demonstrated expertise in one or more of the following
areas: the pharmaceutical business;
practice of medicine; patient perspectives; health care cost trends and
drivers; clinical and health services research; and the health care
marketplace.
Subd. 2. Membership. The council's membership shall consist
of the following:
(1) two members
representing patients and health care consumers;
(2) two members
representing health care providers;
(3) one member
representing health plan companies;
(4) two members
representing employers, with one member representing large employers and one
member representing small employers;
(5) one member
representing government employee benefit plans;
(6) one member
representing pharmaceutical manufacturers;
(7) one member who is a
health services clinical researcher;
(8) one member who is a
pharmacologist;
(9) one member who is an
oncologist;
(10) one member
representing the commissioner of health with expertise in health economics;
(11) one member representing wholesale drug distributors; and
(12) one member
representing pharmacy benefit managers.
Subd. 3. Terms. (a) The initial appointments to the
advisory council must be made by January 1, 2024. The initial appointed advisory council
members shall serve staggered terms of two, three, or four years, determined by
lot by the secretary of state. Following
the initial appointments, the advisory council members shall serve four-year
terms.
(b) Removal and
vacancies of advisory council members shall be governed by section 15.059.
Subd. 4. Compensation. Advisory council members may be
compensated according to section 15.059.
Subd. 5. Meetings. Meetings of the advisory council are
subject to chapter 13D. The advisory
council shall meet publicly at least every three months to advise the board on
drug cost issues related to the prescription drug product information submitted
to the board under section 62J.90.
Subd. 6. Exemption. Notwithstanding section 15.059, the
advisory council shall not expire.
Sec. 33. [62J.89]
CONFLICTS OF INTEREST.
Subdivision 1. Definition. For purposes of this section,
"conflict of interest" means a financial or personal association that
has the potential to bias or have the appearance of biasing a person's
decisions in matters related to the board, the advisory council, or in the
conduct of the board's or council's activities.
A conflict of interest includes any instance in which a person, a
person's immediate family member, including a spouse, parent, child, or other
legal dependent, or an in-law of any of the preceding individuals, has received
or could receive a direct or indirect financial benefit of any amount deriving
from the result or findings of a decision or determination of the board. For purposes of this section, a financial
benefit includes honoraria, fees, stock, the value of the member's, immediate
family member's, or in-law's stock holdings, and any direct financial benefit
deriving from the finding of a review conducted under sections 62J.85 to 62J.95. Ownership of securities is not a conflict of
interest if the securities are: (1) part
of a diversified mutual or exchange traded fund; or (2) in a tax-deferred or
tax-exempt retirement account that is administered by an independent trustee.
Subd. 2. General. (a) Prior to the acceptance of an
appointment or employment, or prior to entering into a contractual agreement, a
board or advisory council member, board staff member, or third-party contractor
must disclose to the appointing authority or the board any conflicts of
interest. The information disclosed must
include the type, nature, and magnitude of the interests involved.
(b) A board member,
board staff member, or third-party contractor with a conflict of interest with
regard to any prescription drug product under review must recuse themselves
from any discussion, review, decision, or determination made by the board relating
to the prescription drug product.
(c) Any conflict of
interest must be disclosed in advance of the first meeting after the conflict
is identified or within five days after the conflict is identified, whichever
is earlier.
Subd. 3. Prohibitions. Board members, board staff, or
third-party contractors are prohibited from accepting gifts, bequeaths, or
donations of services or property that raise the specter of a conflict of
interest or have the appearance of injecting bias into the activities of the
board.
Sec. 34. [62J.90]
PRESCRIPTION DRUG PRICE INFORMATION; DECISION TO CONDUCT COST REVIEW.
Subdivision 1. Drug
price information from the commissioner of health and other sources. (a) The commissioner of health shall
provide to the board the information reported to the commissioner by drug
manufacturers under section 62J.84, subdivisions 3, 4, and 5. The commissioner shall provide this
information to the board within 30 days of the date the information is received
from drug manufacturers.
(b) The board may
subscribe to one or more prescription drug pricing files, such as Medispan or
FirstDatabank, or as otherwise determined by the board.
Subd. 2. Identification
of certain prescription drug products.
(a) The board, in consultation with the advisory council, shall
identify selected prescription drug products based on the following criteria:
(1) brand name drugs or
biologics for which the WAC increases by more than 15 percent or by more than
$3,000 during any 12-month period or course of treatment if less than 12
months, after adjusting for changes in the consumer price index (CPI);
(2) brand name drugs or
biologics with a WAC of $60,000 or more per calendar year or per course of
treatment;
(3) biosimilar drugs that have
a WAC that is not at least 20 percent lower than the referenced brand name
biologic at the time the biosimilar is introduced; and
(4) generic drugs for which the WAC:
(i) is $100 or more, after adjusting for changes in the CPI, for:
(A) a 30-day supply;
(B) a course of treatment lasting less than 30 days; or
(C) one unit of the drug, if the labeling approved by the Food and Drug Administration does not recommend a finite dosage; and
(ii) increased by 200
percent or more during the immediate preceding 12-month period, as determined
by the difference between the resulting WAC and the average WAC reported over
the preceding 12 months, after adjusting for changes in the CPI.
The board is not required to identify all
prescription drug products that meet the criteria in this paragraph.
(b) The board, in
consultation with the advisory council and the commissioner of health, may
identify prescription drug products not described in paragraph (a) that may
impose costs that create significant affordability challenges for the state
health care system or for patients, including but not limited to drugs to
address public health emergencies.
(c) The board shall make
available to the public the names and related price information of the
prescription drug products identified under this subdivision, with the
exception of information determined by the board to be proprietary under the
standards developed by the board under section 62J.91, subdivision 3, and
information provided by the commissioner of health classified as not public
data under section 13.02, subdivision 8a, or as trade secret information under
section 13.37, subdivision 1, paragraph (b), or as trade secret information
under the Defend Trade Secrets Act of 2016, United States Code, title 18,
section 1836, as amended.
Subd. 3. Determination
to proceed with review. (a)
The board may initiate a cost review of a prescription drug product identified
by the board under this section.
(b) The board shall
consider requests by the public for the board to proceed with a cost review of
any prescription drug product identified under this section.
(c) If there is no
consensus among the members of the board on whether to initiate a cost review
of a prescription drug product, any member of the board may request a vote to
determine whether to review the cost of the prescription drug product.
Sec. 35. [62J.91]
PRESCRIPTION DRUG PRODUCT REVIEWS.
Subdivision 1. General. Once a decision by the board has been
made to proceed with a cost review of a prescription drug product, the board
shall conduct the review and make a determination as to whether appropriate
utilization of the prescription drug under review, based on utilization that is
consistent with the United States Food and Drug Administration (FDA) label or
standard medical practice, has led or will lead to affordability challenges for
the state health care system or for patients.
Subd. 2. Review
considerations. In reviewing
the cost of a prescription drug product, the board may consider the following
factors:
(1) the price at which
the prescription drug product has been and will be sold in the state;
(2) manufacturer
monetary price concessions, discounts, or rebates, and drug-specific patient
assistance;
(3) the price of
therapeutic alternatives;
(4) the cost to group
purchasers based on patient access consistent with the FDA-labeled indications
and standard medical practice;
(5) measures of patient
access, including cost-sharing and other metrics;
(6) the extent to which
the attorney general or a court has determined that a price increase for a
generic or off‑patent prescription drug product was excessive under
sections 62J.842 and 62J.844;
(7) any information a
manufacturer chooses to provide; and
(8) any other factors as
determined by the board.
Subd. 3. Public
data; proprietary information. (a)
Any submission made to the board related to a drug cost review must be made
available to the public with the exception of information determined by the
board to be proprietary and information provided by the commissioner of health
classified as not public data under section 13.02, subdivision 8a, or as trade
secret information under section 13.37, subdivision 1, paragraph (b), or as
trade secret information under the Defend Trade Secrets Act of 2016, United
States Code, title 18, section 1836, as amended.
(b) The board shall
establish the standards for the information to be considered proprietary under
paragraph (a) and section 62J.90, subdivision 2, including standards for
heightened consideration of proprietary information for submissions for a cost
review of a drug that is not yet approved by the FDA.
(c) Prior to the board
establishing the standards under paragraph (b), the public shall be provided
notice and the opportunity to submit comments.
(d) The establishment of
standards under this subdivision is exempt from the rulemaking requirements
under chapter 14, and section 14.386 does not apply.
Sec. 36. [62J.92]
DETERMINATIONS; COMPLIANCE; REMEDIES.
Subdivision 1. Upper
payment limit. (a) In the
event the board finds that the spending on a prescription drug product reviewed
under section 62J.91 creates an affordability challenge for the state health
care system or for patients, the board shall establish an upper payment limit
after considering:
(1) extraordinary supply
costs, if applicable;
(2) the range of prices
at which the drug is sold in the United States according to one or more pricing
files accessed under section 62J.90, subdivision 1, and the range at which
pharmacies are reimbursed in Canada; and
(3) any other relevant
pricing and administrative cost information for the drug.
(b) An upper payment limit
applies to all purchases of, and payer reimbursements for, a prescription drug
that is dispensed or administered to individuals in the state in person, by
mail, or by other means, and for which an upper payment limit has been established.
Subd. 2. Implementation
and administration of the upper payment limit. (a) An upper payment limit may take
effect no sooner than 120 days following the date of its public release by the
board.
(b) When setting an
upper payment limit for a drug subject to the Medicare maximum fair price under
United States Code, title 42, section 1191(c), the board shall set the upper
payment limit at the Medicare maximum fair price.
(c) Health plan
companies and pharmacy benefit managers shall report annually to the board, in
the form and manner specified by the board, on how cost savings resulting from
the establishment of an upper payment limit have been used by the health plan
company or pharmacy benefit manager to benefit enrollees, including but not
limited to reducing enrollee cost-sharing.
Subd. 3. Noncompliance. (a) The board shall, and other persons
may, notify the Office of the Attorney General of a potential failure by an
entity subject to an upper payment limit to comply with that limit.
(b) If the Office of the
Attorney General finds that an entity was noncompliant with the upper payment
limit requirements, the attorney general may pursue remedies consistent with
chapter 8 or appropriate criminal charges if there is evidence of intentional
profiteering.
(c) An entity who
obtains price concessions from a drug manufacturer that result in a lower net
cost to the stakeholder than the upper payment limit established by the board
is not considered noncompliant.
(d) The Office of the
Attorney General may provide guidance to stakeholders concerning activities
that could be considered noncompliant.
Subd. 4. Appeals. (a) Persons affected by a decision of
the board may request an appeal of the board's decision within 30 days of the
date of the decision. The board shall
hear the appeal and render a decision within 60 days of the hearing.
(b) All appeal decisions
are subject to judicial review in accordance with chapter 14.
Sec. 37. [62J.93]
REPORTS.
Beginning March 1, 2024,
and each March 1 thereafter, the board shall submit a report to the governor
and legislature on general price trends for prescription drug products and the
number of prescription drug products that were subject to the board's cost
review and analysis, including the result of any analysis as well as the number
and disposition of appeals and judicial reviews.
Sec. 38. [62J.94]
ERISA PLANS AND MEDICARE DRUG PLANS.
(a) Nothing in sections
62J.85 to 62J.95 shall be construed to require ERISA plans or Medicare Part D
plans to comply with decisions of the board.
ERISA plans or Medicare Part D plans are free to choose to exceed the
upper payment limit established by the board under section 62J.92.
(b) Providers who
dispense and administer drugs in the state must bill all payers no more than
the upper payment limit without regard to whether an ERISA plan or Medicare
Part D plan chooses to reimburse the provider in an amount greater than the
upper payment limit established by the board.
(c) For purposes of this
section, an ERISA plan or group health plan is an employee welfare benefit plan
established by or maintained by an employer or an employee organization, or
both, that provides employer sponsored health coverage to employees and the
employee's dependents and is subject to the Employee Retirement Income Security
Act of 1974 (ERISA).
Sec. 39. [62J.95]
SEVERABILITY.
If any provision of
sections 62J.85 to 62J.94 or the application thereof to any person or circumstance
is held invalid for any reason in a court of competent jurisdiction, the
invalidity does not affect other provisions or any other application of
sections 62J.85 to 62J.94 that can be given effect without the invalid
provision or application.
Sec. 40. Minnesota Statutes 2022, section 62K.10, subdivision 4, is amended to read:
Subd. 4. Network adequacy. (a) Each designated provider network must include a sufficient number and type of providers, including providers that specialize in mental health and substance use disorder services, to ensure that covered services are available to all enrollees without unreasonable delay. In determining network adequacy, the commissioner of health shall consider availability of services, including the following:
(1) primary care physician services are available and accessible 24 hours per day, seven days per week, within the network area;
(2) a sufficient number of primary care physicians have hospital admitting privileges at one or more participating hospitals within the network area so that necessary admissions are made on a timely basis consistent with generally accepted practice parameters;
(3) specialty physician service is available through the network or contract arrangement;
(4) mental health and substance use disorder treatment providers, including but not limited to psychiatric residential treatment facilities, are available and accessible through the network or contract arrangement;
(5) to the extent that primary care services are provided through primary care providers other than physicians, and to the extent permitted under applicable scope of practice in state law for a given provider, these services shall be available and accessible; and
(6) the network has available, either directly or through arrangements, appropriate and sufficient personnel, physical resources, and equipment to meet the projected needs of enrollees for covered health care services.
(b) The commissioner must
determine network sufficiency in a manner that is consistent with the
requirements of this section and may establish sufficiency by referencing any
reasonable criteria, which may include but is not limited to:
(1) provider-covered
person ratios by specialty;
(2) primary care
professional-covered person ratios;
(3) geographic
accessibility of providers;
(4) geographic variation
and population dispersion;
(5) waiting times for an
appointment with participating providers;
(6) hours of operation;
(7) the ability of the network
to meet the needs of covered persons, which may include: (i) low-income persons; (ii) children and
adults with serious, chronic, or complex health conditions, physical
disabilities, or mental illness; or (iii) persons with limited English
proficiency and persons from underserved communities;
(8) other health care
service delivery system options, including telemedicine or telehealth, mobile
clinics, centers of excellence, and other ways of delivering care; and
(9) the volume of
technological and specialty care services available to serve the needs of
covered persons that need technologically advanced or specialty care services.
EFFECTIVE DATE. The
amendment to paragraph (a) is effective July 1, 2023. Paragraph (b) is effective January 1, 2025,
and apply to health plans offered, issued, or renewed on or after that date.
Sec. 41. Minnesota Statutes 2022, section 62Q.096, is amended to read:
62Q.096 CREDENTIALING OF PROVIDERS.
(a) If a health plan company has initially credentialed, as providers in its provider network, individual providers employed by or under contract with an entity that:
(1) is authorized to bill under section 256B.0625, subdivision 5;
(2) is a mental health clinic certified under section 245I.20;
(3) is designated an essential community provider under section 62Q.19; and
(4) is under contract with the health plan company to provide mental health services, the health plan company must continue to credential at least the same number of providers from that entity, as long as those providers meet the health plan company's credentialing standards.
(b) In order to ensure timely access by patients to mental health services, between July 1, 2023, and June 30, 2025, a health plan company must credential and enter into a contract for mental health services with any provider of mental health services that:
(1) meets the health plan
company's credential requirements. For
purposes of credentialing under this paragraph, a health plan company may waive
credentialing requirements that are not directly related to quality of care in
order to ensure patient access to providers from underserved communities or to
providers in rural areas;
(2) seeks to receive a
credential from the health plan company;
(3) agrees to the health
plan company's contract terms. The
contract shall include payment rates that are usual and customary for the
services provided;
(4) is accepting new
patients; and
(5) is not already under
a contract with the health plan company under a separate tax identification
number or, if already under a contract with the health plan company, has
provided notice to the health plan company of termination of the existing
contract.
(c) A health plan company shall not refuse to credential these providers on the grounds that their provider network has:
(1) a sufficient number of providers of that type, including but not limited to the provider types identified in paragraph (a); or
(2) a sufficient number of providers of mental health services in the aggregate.
Sec. 42. Minnesota Statutes 2022, section 62Q.19, subdivision 1, is amended to read:
Subdivision 1. Designation. (a) The commissioner shall designate essential community providers. The criteria for essential community provider designation shall be the following:
(1) a demonstrated ability to integrate applicable supportive and stabilizing services with medical care for uninsured persons and high-risk and special needs populations, underserved, and other special needs populations; and
(2) a commitment to serve low-income and underserved populations by meeting the following requirements:
(i) has nonprofit status in accordance with chapter 317A;
(ii) has tax-exempt status in accordance with the Internal Revenue Service Code, section 501(c)(3);
(iii) charges for services on a sliding fee schedule based on current poverty income guidelines; and
(iv) does not restrict access or services because of a client's financial limitation;
(3) status as a local government unit as defined in section 62D.02, subdivision 11, a hospital district created or reorganized under sections 447.31 to 447.37, an Indian Tribal government, an Indian health service unit, or a community health board as defined in chapter 145A;
(4) a former state hospital that specializes in the treatment of cerebral palsy, spina bifida, epilepsy, closed head injuries, specialized orthopedic problems, and other disabling conditions;
(5) a sole community hospital. For these rural hospitals, the essential community provider designation applies to all health services provided, including both inpatient and outpatient services. For purposes of this section, "sole community hospital" means a rural hospital that:
(i) is eligible to be classified as a sole community hospital according to Code of Federal Regulations, title 42, section 412.92, or is located in a community with a population of less than 5,000 and located more than 25 miles from a like hospital currently providing acute short-term services;
(ii) has experienced net operating income losses in two of the previous three most recent consecutive hospital fiscal years for which audited financial information is available; and
(iii) consists of 40 or fewer licensed beds;
(6) a birth center licensed
under section 144.615; or
(7) a hospital and affiliated specialty clinics that predominantly serve patients who are under 21 years of age and meet the following criteria:
(i) provide intensive specialty pediatric services that are routinely provided in fewer than five hospitals in the state; and
(ii) serve children from at
least one-half of the counties in the state.; or
(8) a psychiatric residential
treatment facility, as defined in section 256B.0625, subdivision 45a, paragraph
(b), that is certified and licensed by the commissioner of health.
(b) Prior to designation, the commissioner shall publish the names of all applicants in the State Register. The public shall have 30 days from the date of publication to submit written comments to the commissioner on the application. No designation shall be made by the commissioner until the 30-day period has expired.
(c) The commissioner may designate an eligible provider as an essential community provider for all the services offered by that provider or for specific services designated by the commissioner.
(d) For the purpose of this subdivision, supportive and stabilizing services include at a minimum, transportation, child care, cultural, and linguistic services where appropriate.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to health plans offered,
issued, or renewed on or after that date.
Sec. 43. Minnesota Statutes 2022, section 62Q.46, subdivision 1, is amended to read:
Subdivision 1. Coverage
for preventive items and services. (a)
"Preventive items and services" has the meaning specified in the
Affordable Care Act. Preventive items
and services includes:
(1) evidence-based items
or services that have in effect a rating of A or B in the current
recommendations of the United States Preventive Services Task Force with
respect to the individual involved;
(2) immunizations for
routine use in children, adolescents, and adults that have in effect a
recommendation from the Advisory Committee on Immunization Practices of the
Centers for Disease Control and Prevention with respect to the individual
involved. For purposes of this clause, a
recommendation from the Advisory Committee on Immunization Practices of the
Centers for Disease Control and Prevention is considered in effect after the
recommendation has been adopted by the Director of the Centers for Disease
Control and Prevention, and a recommendation is considered to be for routine
use if the recommendation is listed on the Immunization Schedules of the
Centers for Disease Control and Prevention;
(3) with respect to
infants, children, and adolescents, evidence-informed preventive care and
screenings provided for in comprehensive guidelines supported by the Health
Resources and Services Administration;
(4) with respect to
women, additional preventive care and screenings that are not listed with a
rating of A or B by the United States Preventive Services Task Force but that
are provided for in comprehensive guidelines supported by the Health Resources
and Services Administration; and
(5) all contraceptive
methods established in guidelines published by the United States Food and Drug
Administration.
(b) A health plan company must provide coverage for preventive items and services at a participating provider without imposing cost-sharing requirements, including a deductible, coinsurance, or co-payment. Nothing in this section prohibits a health plan company that has a network of providers from excluding coverage or imposing cost‑sharing requirements for preventive items or services that are delivered by an out-of-network provider.
(c) A health plan company is not required to provide coverage for any items or services specified in any recommendation or guideline described in paragraph (a) if the recommendation or guideline is no longer included as a preventive item or service as defined in paragraph (a). Annually, a health plan company must determine whether any additional items or services must be covered without cost-sharing requirements or whether any items or services are no longer required to be covered.
(d) Nothing in this section prevents a health plan company from using reasonable medical management techniques to determine the frequency, method, treatment, or setting for a preventive item or service to the extent not specified in the recommendation or guideline.
(e) This section does not apply to grandfathered plans.
(f) This section does not apply to plans offered by the Minnesota Comprehensive Health Association.
Sec. 44. Minnesota Statutes 2022, section 62Q.46, subdivision 3, is amended to read:
Subd. 3. Additional
services not prohibited. Nothing in
this section prohibits a health plan company from providing coverage for
preventive items and services in addition to those specified in the
Affordable Care Act under subdivision 1, paragraph (a), or from
denying coverage for preventive items and services that are not recommended as
preventive items and services specified under the Affordable Care Act
subdivision 1, paragraph (a). A
health plan company may impose cost-sharing requirements for a treatment not
described in the Affordable Care Act under subdivision 1, paragraph
(a), even if the treatment results from a preventive item or service
described in the Affordable Care Act under subdivision 1, paragraph
(a).
Sec. 45. [62Q.465]
MENTAL HEALTH PARITY AND SUBSTANCE ABUSE ACCOUNTABILITY OFFICE.
(a) The Mental Health Parity and Substance Abuse Accountability Office is established within the Department of Commerce to create and execute effective strategies for implementing the requirements under:
(1) section 62Q.47;
(2) the federal Mental
Health Parity Act of 1996, Public Law 104-204;
(3) the federal Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008, Public Law 110-343, division C, sections 511 and 512;
(4) the Affordable Care
Act, as defined under section 62A.011, subdivision 1a; and
(5) amendments made to,
and federal guidance or regulations issued or adopted under, the acts listed
under clauses (2) to (4).
(b) The office may
oversee compliance reviews, conduct and lead stakeholder engagement, review
consumer and provider complaints, and serve as a resource for ensuring health
plan compliance with mental health and substance abuse requirements.
Sec. 46. Minnesota Statutes 2022, section 62Q.47, is amended to read:
62Q.47 ALCOHOLISM, MENTAL HEALTH, AND CHEMICAL DEPENDENCY SERVICES.
(a) All health plans, as defined in section 62Q.01, that provide coverage for alcoholism, mental health, or chemical dependency services, must comply with the requirements of this section.
(b) Cost-sharing requirements and benefit or service limitations for outpatient mental health and outpatient chemical dependency and alcoholism services, except for persons placed in chemical dependency services under Minnesota Rules, parts 9530.6600 to 9530.6655, must not place a greater financial burden on the insured or enrollee, or be more restrictive than those requirements and limitations for outpatient medical services.
(c) Cost-sharing requirements and benefit or service limitations for inpatient hospital mental health services, psychiatric residential treatment facility services, and inpatient hospital and residential chemical dependency and alcoholism services, except for persons placed in chemical dependency services under Minnesota Rules, parts 9530.6600 to 9530.6655, must not place a greater financial burden on the insured or enrollee, or be more restrictive than those requirements and limitations for inpatient hospital medical services.
(d) A health plan company must not impose an NQTL with respect to mental health and substance use disorders in any classification of benefits unless, under the terms of the health plan as written and in operation, any processes, strategies, evidentiary standards, or other factors used in applying the NQTL to mental health and substance use disorders in the classification are comparable to, and are applied no more stringently than, the processes, strategies, evidentiary standards, or other factors used in applying the NQTL with respect to medical and surgical benefits in the same classification.
(e) All health plans must meet the requirements of the federal Mental Health Parity Act of 1996, Public Law 104-204; Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008; the Affordable Care Act; and any amendments to, and federal guidance or regulations issued under, those acts.
(f) The commissioner may require information from health plan companies to confirm that mental health parity is being implemented by the health plan company. Information required may include comparisons between mental health and substance use disorder treatment and other medical conditions, including a comparison of prior authorization requirements, drug formulary design, claim denials, rehabilitation services, and other information the commissioner deems appropriate.
(g) Regardless of the health care provider's professional license, if the service provided is consistent with the provider's scope of practice and the health plan company's credentialing and contracting provisions, mental health therapy visits and medication maintenance visits shall be considered primary care visits for the purpose of applying any enrollee cost-sharing requirements imposed under the enrollee's health plan.
(h) All health plan
companies offering health plans that provide coverage for alcoholism, mental
health, or chemical dependency benefits shall provide reimbursement for the
benefits delivered through the psychiatric Collaborative Care Model, which must
include the following Current Procedural Terminology or Healthcare Common
Procedure Coding System billing codes:
(1) 99492;
(2) 99493;
(3) 99494;
(4) G2214; and
(5) G0512.
This paragraph does not apply to managed
care plans or county-based purchasing plans when the plan provides coverage to
public health care program enrollees under chapter 256B or 256L.
(i) The commissioner of
commerce shall update the list of codes in paragraph (h) if any alterations or
additions to the billing codes for the psychiatric Collaborative Care Model are
made.
(j) "Psychiatric
Collaborative Care Model" means the evidence-based, integrated behavioral
health service delivery method described at Federal Register, volume 81, page
80230, which includes a formal collaborative arrangement among a primary care
team consisting of a primary care provider, a care manager, and a psychiatric
consultant, and includes but is not limited to the following elements:
(1) care directed by the
primary care team;
(2) structured care
management;
(3) regular assessments
of clinical status using validated tools; and
(4) modification of
treatment as appropriate.
(h) (k) By
June 1 of each year, beginning June 1, 2021, the commissioner of commerce, in
consultation with the commissioner of health, shall submit a report on
compliance and oversight to the chairs and ranking minority members of the
legislative committees with jurisdiction over health and commerce. The report must:
(1) describe the commissioner's process for reviewing health plan company compliance with United States Code, title 42, section 18031(j), any federal regulations or guidance relating to compliance and oversight, and compliance with this section and section 62Q.53;
(2) identify any enforcement actions taken by either commissioner during the preceding 12-month period regarding compliance with parity for mental health and substance use disorders benefits under state and federal law, summarizing the results of any market conduct examinations. The summary must include: (i) the number of formal enforcement actions taken; (ii) the benefit classifications examined in each enforcement action; and (iii) the subject matter of each enforcement action, including quantitative and nonquantitative treatment limitations;
(3) detail any corrective action taken by either commissioner to ensure health plan company compliance with this section, section 62Q.53, and United States Code, title 42, section 18031(j); and
(4) describe the information provided by either commissioner to the public about alcoholism, mental health, or chemical dependency parity protections under state and federal law.
The report must be written in nontechnical, readily understandable language and must be made available to the public by, among other means as the commissioners find appropriate, posting the report on department websites. Individually identifiable information must be excluded from the report, consistent with state and federal privacy protections.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to health plans offered,
issued, or renewed on or after that date.
Sec. 47. [62Q.481]
COST-SHARING FOR PRESCRIPTION DRUGS AND RELATED MEDICAL SUPPLIES TO TREAT
CHRONIC DISEASE.
Subdivision 1. Cost-sharing
limits. (a) A health plan
must limit the amount of any enrollee cost-sharing for prescription drugs
prescribed to treat a chronic disease to no more than: (1) $25 per one-month supply for each
prescription drug, regardless of the amount or type of medication required to
fill the prescription; and (2) $50 per month in total for all related medical
supplies. The cost-sharing limit for
related medical supplies does not increase with the number of chronic diseases
for which an enrollee is treated. Coverage
under this section shall not be subject to any deductible.
(b) If application of this
section before an enrollee has met the enrollee's plan deductible results in: (1) health savings account ineligibility
under United States Code, title 26, section 223; or (2) catastrophic health
plan ineligibility under United States Code, title 42, section 18022(e), this
section applies to the specific prescription drug or related medical supply
only after the enrollee has met the enrollee's plan deductible.
Subd. 2. Definitions. (a) For purposes of this section, the
following definitions apply.
(b) "Chronic
disease" means diabetes, asthma, and allergies requiring the use of
epinephrine auto-injectors.
(c)
"Cost-sharing" means co-payments and coinsurance.
(d) "Related
medical supplies" means syringes, insulin pens, insulin pumps, test
strips, glucometers, continuous glucose monitors, epinephrine auto-injectors,
asthma inhalers, and other medical supply items necessary to effectively and
appropriately treat a chronic disease or administer a prescription drug
prescribed to treat a chronic disease.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to health plans offered,
issued, or renewed on or after that date.
Sec. 48. Minnesota Statutes 2022, section 62Q.735, subdivision 1, is amended to read:
Subdivision 1. Contract disclosure. (a) Before requiring a health care provider to sign a contract, a health plan company shall give to the provider a complete copy of the proposed contract, including:
(1) all attachments and exhibits;
(2) operating manuals;
(3) a general description of the health plan company's health service coding guidelines and requirement for procedures and diagnoses with modifiers, and multiple procedures; and
(4) all guidelines and treatment parameters incorporated or referenced in the contract.
(b) The health plan company shall make available to the provider the fee schedule or a method or process that allows the provider to determine the fee schedule for each health care service to be provided under the contract.
(c) Notwithstanding
paragraph (b), a health plan company that is a dental plan organization, as
defined in section 62Q.76, shall disclose information related to the individual
contracted provider's expected reimbursement from the dental plan organization. Nothing in this section requires a dental
plan organization to disclose the plan's aggregate maximum allowable fee table
used to determine other providers' fees.
The contracted provider must not release this information in any way
that would violate any state or federal antitrust law.
Sec. 49. Minnesota Statutes 2022, section 62Q.735, subdivision 5, is amended to read:
Subd. 5. Fee
schedules. (a) A health plan
company shall provide, upon request, any additional fees or fee schedules
relevant to the particular provider's practice beyond those provided with the
renewal documents for the next contract year to all participating providers,
excluding claims paid under the pharmacy benefit. Health plan companies may fulfill the
requirements of this section by making the full fee schedules available through
a secure web portal for contracted providers.
(b) A dental organization may
satisfy paragraph (a) by complying with section 62Q.735, subdivision 1,
paragraph (c).
Sec. 50. Minnesota Statutes 2022, section 62Q.76, is amended by adding a subdivision to read:
Subd. 9. Third
party. "Third
party" means a person or entity that enters into a contract with a dental
organization or with another third party to gain access to the dental care
services or contractual discounts under a dental provider contract. Third party does not include an enrollee of a
dental organization or an employer or other group for whom the dental
organization provides administrative services.
EFFECTIVE DATE. This
section is effective January 1, 2024, and applies to dental plans and dental
provider agreements offered, issued, or renewed on or after that date.
Sec. 51. Minnesota Statutes 2022, section 62Q.78, is amended by adding a subdivision to read:
Subd. 7. Method
of payments. A dental
provider contract must include a method of payment for dental care services in
which no fees associated with the method of payment, including credit card fees
and fees related to payment in the form of digital or virtual currency, are
incurred by the dentist or dental clinic.
Any fees that may be incurred from a payment must be disclosed to a
dentist prior to entering into or renewing a dental provider contract. For purposes of this section, fees related to
a provider's electronic claims processing vendor, financial institution, or
other vendor used by a provider to facilitate the submission of claims are
excluded.
Sec. 52. Minnesota Statutes 2022, section 62Q.78, is amended by adding a subdivision to read:
Subd. 8. Network
leasing. (a) A dental
organization may grant a third party access to a dental provider contract or a
provider's dental care services or contractual discounts provided pursuant to a
dental provider contract if, at the time the dental provider contract is
entered into or renewed, the dental organization allows a dentist to choose not
to participate in third-party access to the dental provider contract without
any penalty to the dentist. The
third-party access provision of the dental provider contract must be clearly
identified. A dental organization must
not grant a third party access to the dental provider contract of any dentist
who does not participate in third-party access to the dental provider contract.
(b) Notwithstanding paragraph (a), if a dental organization exists solely for the purpose of recruiting dentists for dental provider contracts that establish a network to be leased to third parties, the dentist waives the right to choose whether to participate in third-party access.
(c) A dental
organization may grant a third party access to a dental provider contract, or a
dentist's dental care services or contractual discounts under a dental provider
contract, if the following requirements are met:
(1) the dental
organization lists all third parties that may have access to the dental
provider contract on the dental organization's website, which must be updated
at least once every 90 days;
(2) the dental provider
contract states that the dental organization may enter into an agreement with a
third party that would allow the third party to obtain the dental
organization's rights and responsibilities as if the third party were the
dental organization, and the dentist chose to participate in third-party access
at the time the dental provider contract was entered into; and
(3) the third party
accessing the dental provider contract agrees to comply with all applicable
terms of the dental provider contract.
(d) A dentist is not bound by
and is not required to perform dental care services under a dental provider
contract granted to a third party in violation of this section.
(e) This subdivision does
not apply when:
(1) the dental provider
contract is for dental services provided under a public health plan program,
including but not limited to medical assistance, MinnesotaCare, Medicare, or
Medicare Advantage; or
(2) access to a dental
provider contract is granted to a dental organization, an entity operating in
accordance with the same brand licensee program as the dental organization or
other entity, or to an entity that is an affiliate of the dental organization,
provided the entity agrees to substantially similar terms and conditions as the
originating dental provider contract between the dental organization and the
dentist or dental clinic. A list of the
dental organization's affiliates must be posted on the dental organization's
website.
Sec. 53. Minnesota Statutes 2022, section 62Q.81, subdivision 4, is amended to read:
Subd. 4. Essential health benefits; definition. For purposes of this section, "essential health benefits" has the meaning given under section 1302(b) of the Affordable Care Act and includes:
(1) ambulatory patient services;
(2) emergency services;
(3) hospitalization;
(4) laboratory services;
(5) maternity and newborn care;
(6) mental health and substance use disorder services, including behavioral health treatment;
(7) pediatric services, including oral and vision care;
(8) prescription drugs;
(9) preventive and wellness services and chronic disease management;
(10) rehabilitative and habilitative services and devices; and
(11) additional essential health benefits included in the EHB-benchmark plan, as defined under the Affordable Care Act, and preventive items and services, as defined under section 62Q.46, subdivision 1, paragraph (a).
Sec. 54. Minnesota Statutes 2022, section 62Q.81, is amended by adding a subdivision to read:
Subd. 7. Standard
plans. (a) A health plan
company that offers individual health plans must ensure that no less than one
individual health plan at each level of coverage described in subdivision 1,
paragraph (b), clause (3), that the health plan company offers in each
geographic rating area the health plan company serves conforms to the standard
plan parameters determined by the commissioner under paragraph (e).
(b) An individual health
plan offered under this subdivision must be:
(1) clearly and
appropriately labeled as standard plans to aid the purchaser in the selection
process;
(2) marketed as standard plans
and in the same manner as other individual health plans offered by the health
plan company; and
(3) offered for purchase
to any individual.
(c) This subdivision does
not apply to catastrophic plans, grandfathered plans, small group health plans,
large group health plans, health savings accounts, qualified high deductible
health benefit plans, limited health benefit plans, or short-term limited-duration
health insurance policies.
(d) Health plan companies
must meet the requirements in this subdivision separately for plans offered
through MNsure under chapter 62V and plans offered outside of MNsure.
(e) The commissioner of
commerce, in consultation with the commissioner of health, must annually
determine standard plan parameters, including but not limited to cost-sharing
structure and covered benefits, that comprise a standard plan in Minnesota.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to individual health plans
offered, issued, or renewed on or after that date.
Sec. 55. [62W.15]
CLINICIAN-ADMINISTERED DRUGS.
Subdivision 1. Definitions. (a) For purposes of this section, the
following definitions apply.
(b) "Affiliated
pharmacy" means a pharmacy in which a pharmacy benefit manager or health
carrier has an ownership interest either directly or indirectly, or through an
affiliate or subsidiary.
(c)
"Clinician-administered drug" means an outpatient prescription drug,
other than a vaccine, that:
(1) cannot reasonably be
self-administered by the patient to whom the drug is prescribed or by an
individual assisting the patient with self-administration; and
(2) is typically
administered:
(i) by a health care
provider authorized to administer the drug, including when acting under a
physician's delegation and supervision; and
(ii) in a physician's
office, hospital outpatient infusion center, or other clinical setting.
Subd. 2. Enrollee
choice. A pharmacy benefit
manager or health carrier:
(1) shall permit an
enrollee to obtain a clinician-administered drug from an in-network health care
provider authorized to administer the drug, or an in-network pharmacy, as long
as payment for the covered drug is subject to the same terms and conditions
that apply to a designated specialty pharmacy for dispensing the covered drug;
(2) shall not interfere
with the enrollee's right to obtain a clinician-administered drug from the
enrollee's in‑network provider or in-network pharmacy of choice;
(3) shall not require
clinician-administered drugs to be dispensed by a pharmacy selected by the
pharmacy benefit manager or health carrier, provided that:
(i) the dispensing
specialty pharmacy meets the supply chain security controls and chain of
distribution set by the federal Drug Supply Chain Security Act, Public Law
113-54, as amended; and
(ii) the dispensing specialty
pharmacy has policies in place for safety recalls that are consistent with
national accreditation standards for safety
recalls issued by a nationally recognized accrediting body for specialty
pharmacy; and
(4) shall not limit or
exclude coverage for a clinician-administered drug when it is not dispensed by
a pharmacy selected by the pharmacy benefit manager or health carrier, if the
drug would otherwise be covered.
(b) A health care
provider:
(1) must provide the
enrollee with information related to the costs associated with the enrollee's
choice before providing the service; and
(2) shall not limit,
deny, or exclude services to an enrollee who obtains a clinician-administered
drug from a pharmacy selected by the enrollee's pharmacy benefit manager or
health carrier.
Subd. 3. Exclusions. This section does not apply to managed
care plans or county-based purchasing plans when the plan provides coverage to
public health care program enrollees under chapter 256B or 256L.
Subd. 4. Cost-sharing
and reimbursement. (a) A
pharmacy benefit manager or health carrier:
(1) may impose coverage
or benefit limitations on an enrollee who obtains a clinician-administered drug
from a health care provider authorized to administer the drug or a pharmacy,
but only if the limitations would also be imposed if the drug was obtained from
an affiliated pharmacy or a pharmacy selected by the pharmacy benefit manager
or health carrier;
(2) may impose
cost-sharing requirements on an enrollee who obtains a clinician-administered
drug from a health care provider authorized to administer the drug or a
pharmacy, but only if the requirements would also be imposed if the drug was
obtained from an affiliated pharmacy or a pharmacy selected by the pharmacy
benefit manager or health carrier; and
(3) shall not reimburse a
health care provider or pharmacy for clinician-administered drugs and the
drugs' administration at an amount that is higher than would be applied to an
affiliated pharmacy or pharmacy selected by the pharmacy benefit manager or health
carrier.
(b) Nothing in this
subdivision shall require a pharmacy benefit manager or health carrier to
reimburse a participating provider in full or at a specified percentage of
billed charges.
Subd. 5. Other
requirements. A pharmacy
benefit manager or health carrier:
(1) shall not require or
encourage the dispensing of a clinician-administered drug to an enrollee in a
manner that is inconsistent with the supply chain security controls and chain
of distribution set by the federal Drug Supply Chain Security Act, United
States Code, title 21, section 360eee, et seq.; and
(2) shall not require a
specialty pharmacy to dispense a clinician-administered drug directly to a
patient with the intention that the patient transport the drug to a health care
provider for administration.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 56. [65A.298]
HOMEOWNER'S INSURANCE; FORTIFIED PROGRAM STANDARDS.
Subdivision 1. Definitions. (a) For purposes of this section the
following term has the meaning given.
(b) "Insurable
property" means a residential property designated as meeting Fortified
program standards that include a hail supplement as administered by the
Insurance Institute for Business and Home Safety (IBHS).
Subd. 2. Fortified
new property. (a) An insurer
must provide a premium discount or an insurance rate reduction to an owner who
builds or locates a new insurable property in Minnesota.
(b) An owner of
insurable property claiming a premium discount or rate reduction under this
subdivision must submit and maintain a certificate issued by IBHS showing proof
of compliance with the Fortified program standards to the insurer prior to
receiving the premium discount or rate reduction. At the time of policy renewal an insurer may
require evidence that the issued certificate remains in good standing.
Subd. 3. Fortified
existing property. (a) An
insurer must provide a premium discount or insurance rate reduction to an owner
who retrofits an existing property to meet the requirements to be an insurable
property in Minnesota.
(b) An owner of
insurable property claiming a premium discount or rate reduction under this
subdivision must submit a certificate issued by IBHS showing proof of
compliance with the Fortified program standards to the insurer prior to
receiving the premium discount or rate reduction.
Subd. 4. Insurers. (a) A participating insurer must
submit to the commissioner actuarially justified rates and a rating plan for a
person who builds or locates a new insurable property in Minnesota.
(b) A participating
insurer must submit to the commissioner actuarially justified rates and a
rating plan for a person who retrofits an existing property to meet the
requirements to be an insurable property.
(c) A participating
insurer may offer, in addition to the premium discount and insurance rate
reductions required under subdivisions 2 and 3, more generous mitigation
adjustments to an owner of insurable property.
(d) Any premium
discount, rate reduction, or mitigation adjustment offered by an insurer under
this section applies only to policies that include wind coverage and may be
applied to: (1) only the portion of the
premium for wind coverage; or (2) the total premium, if the insurer does not
separate the premium for wind coverage in the insurer's rate filing.
(e) A rate and rating
plan submitted to the commissioner under this section must not be used until 60
days after the rate and rating plan has been filed with the commissioner,
unless the commissioner approves the rate and rating plan before that time. A rating plan, rating classification, and
territories applicable to insurance written by a participating insurer and any
related statistics are subject to chapter 70A.
When the commissioner is evaluating rate and rating plans submitted
under this section, the commissioner must evaluate:
(i) evidence of cost
savings directly attributable to the Fortified program standards as
administered by IBHS; and
(ii) whether the cost
savings are passed along in full to qualified policyholders.
(f) A participating
insurer must resubmit a rate and rating plan at least once every five years
following the initial submission under this section.
(g) The commissioner may
annually publish the premium savings that policyholders experience pursuant to
this section.
(h) An insurer must
provide the commissioner with all requested information necessary for the
commissioner to meet the requirements of this subdivision.
Sec. 57. [65A.299]
STRENGTHEN MINNESOTA HOMES PROGRAM.
Subdivision 1. Short
title. This section may be
cited as the "Strengthen Minnesota Homes Act."
Subd. 2. Definitions. (a) For purposes of this section, the
terms in this subdivision have the meanings given.
(b) "Insurable
property" has the meaning given in section 65A.298, subdivision 1.
(c) "Program"
means the Strengthen Minnesota Homes program established under this section.
Subd. 3. Program
established; purpose, permitted activities.
The Strengthen Minnesota Homes program is established within the
Department of Commerce. The purpose of
the program is to provide grants to retrofit insurable property to resist loss
due to common perils, including but not limited to tornadoes or other
catastrophic windstorm events.
Subd. 4. Strengthen
Minnesota homes account; appropriation.
(a) A strengthen Minnesota homes account is created as a separate
account in the special revenue fund of the state treasury. The account consists of money provided by law
and any other money donated, allotted, transferred, or otherwise provided to
the account. Earnings, including
interest, dividends, and any other earnings arising from assets of the account,
must be credited to the account. Money
remaining in the account at the end of a fiscal year does not cancel to the
general fund and remains in the account until expended. The commissioner must manage the account.
(b) Money in the account
is appropriated to the commissioner to pay for (1) grants issued under the
program, and (2) the reasonable costs incurred by the commissioner to
administer the program.
Subd. 5. Use
of grants. (a) A grant under
this section must be used to retrofit an insurable property.
(b) Grant money provided
under this section must not be used for maintenance or repairs, but may be used
in conjunction with repairs or reconstruction necessitated by damage from wind
or hail.
(c) A project funded by
a grant under this section must be completed within three months of the date
the grant is approved. Failure to
complete the project in a timely manner may result in forfeiture of the grant.
Subd. 6. Applicant eligibility. The commissioner must develop (1) administrative procedures to implement this section, and (2) criteria used to determine whether an applicant is eligible for a grant under this section.
Subd. 7. Contractor
eligibility; conflicts of interest. (a)
To be eligible to work as a contractor on a projected funded by a grant under
this section, the contractor must meet all of the following program
requirements and must maintain a current copy of all certificates, licenses,
and proof of insurance coverage with the program office. The eligible contractor must:
(1) hold a valid
residential building contractor and residential remodeler license issued by the
commissioner of labor and industry;
(2) not be subject to
disciplinary action by the commissioner of labor and industry;
(3) hold any other valid
state or jurisdictional business license or work permits required by law;
(4) possess an in-force
general liability policy with $1,000,000 in liability coverage;
(5) possess an in-force
workers compensation policy with $1,000,000 in coverage;
(6) possess a certificate of
compliance from the commissioner of revenue;
(7) successfully complete
the Fortified Roof for High Wind and Hail training provided by the IBHS and
maintain an active certification. The
training may be offered as separate courses;
(8) agree to the terms
and successfully register as a vendor with the commissioner of management and
budget and receive direct deposit of payment for mitigation work performed
under the program;
(9) maintain Internet
access and keep a valid email address on file with the program and remain
active in the commissioner of management and budget's vendor and supplier
portal while working on the program;
(10) maintain an active
email address for the communication with the program;
(11) successfully
complete the program training; and
(12) agree to follow
program procedures and rules established under this section and by the commissioner.
(b) An eligible
contractor must not have a financial interest, other than payment on behalf of
the homeowner, in any project for which the eligible contractor performs work
toward a fortified designation under the program. An eligible contractor is prohibited from
acting as the evaluator for a fortified designation on any project funded by
the program. An eligible contractor must
report to the commissioner regarding any potential conflict of interest before
work commences on any job funded by the program.
Subd. 8. Evaluator
eligibility; conflicts of interest. (a)
To be eligible to work on the program as an evaluator, the evaluator must meet
all program eligibility requirements and must submit to the commissioner and
maintain a copy of all current certificates and licenses. The evaluator must:
(1) be in good standing
with IBHS and maintain an active certification as a fortified home evaluator
for high wind and hail or a successor certification;
(2) possess a Minnesota
business license and be registered with the secretary of state; and
(3) successfully complete
the program training.
(b) An evaluator must not
have a financial interest in any project that the evaluator inspects for
designation purposes for the program. An
evaluator must not be an eligible contractor or supplier of any material,
product, or system installed in any home that the evaluator inspects for
designation purposes for the program. An
evaluator must not be a sales agent for any home being designated for the
program. An evaluator must inform the
commissioner of any potential conflict of interest impacting the evaluator's
participation in the program.
Subd. 9. Grant
approval; allocation. (a) The
commissioner must review all applications for completeness and must perform
appropriate audits to verify (1) the accuracy of the information on the
application, and (2) that the applicant meets all eligibility rules. All verified applicants must be placed in the
order the application was received. Grants
must be awarded on a first-come, first-served basis, subject to availability of
money for the program.
(b) When a grant is
approved, an approval letter must be sent to the applicant.
(c) An eligible
contractor is prohibited from beginning work until a grant is approved.
(d) In order to assure
equitable distribution of grants in proportion to the income demographics in
counties where the program is made available, grant applications must be
accepted on a first-come, first-served basis.
The commissioner may establish pilot projects as needed to establish a
sustainable program distribution system in any geographic area within
Minnesota.
Subd. 10. Grant
award process; release of grant money.
(a) After a grant application is approved, the eligible
contractor selected by the homeowner may begin the mitigation work.
(b) Once the mitigation
work is completed, the eligible contractor must submit a copy of the signed
contract to the commissioner, along with an invoice seeking payment and an
affidavit stating the fortified standards were met by the work.
(c) The IBHS evaluator
must conduct all required evaluations, including a required interim inspection
during construction and the final inspection, and must confirm that the work
was completed according to the mitigation specifications.
(d) Grant money must be
released on behalf of an approved applicant only after a fortified designation
certificate has been issued for the home.
The program or another designated entity must, on behalf of the
homeowner, directly pay the eligible contractor that performed the mitigation
work. The program or the program's
designated entity must pay the eligible contractor the costs covered by the
grant. The homeowner must pay the
eligible contractor for the remaining cost after receiving an IBHS fortified certificate.
(e) The program must
confirm that the homeowner's insurer provides the appropriate premium discount.
(f) The program must
conduct random reinspections to detect any fraud and must submit any
irregularities to the attorney general.
Subd. 11. Limitations. (a) This section does not create an
entitlement for property owners or obligate the state of Minnesota to pay for
residential property in Minnesota to be inspected or retrofitted. The program under this section is subject to
legislative appropriations, the receipt of federal grants or money, or the
receipt of other sources of grants or money.
The department may obtain grants or other money from the federal
government or other funding sources to support and enhance program activities.
(b) All mitigation under
this section is contingent upon securing all required local permits and
applicable inspections to comply with local building codes and applicable
Fortified program standards. A
mitigation project receiving a grant under this section is subject to random
reinspection at a later date.
Sec. 58. [65A.303]
HOMEOWNER'S LIABILITY INSURANCE; DOGS.
Subdivision 1. Discrimination
prohibited. An insurer
writing homeowner's insurance for property is prohibited from (1) refusing to
issue or renew an insurance policy or contract, (2) canceling an insurance
policy or contract, or (3) charging or imposing an increased premium or rate
for an insurance policy or contract, based solely on the fact that the
homeowner harbors or owns a dog of a specific breed or mixture of breeds.
Subd. 2. Exception. Subdivision 1 does not prohibit an
insurer from (1) refusing to issue or renew an insurance policy or contract,
(2) canceling an insurance contract or policy, or (3) imposing a reasonably
increased premium or rate for an insurance policy or contract, based on a dog
being designated as a dangerous dog or potentially dangerous dog under section
347.50, or based on sound underwriting and actuarial principles that are
reasonably related to actual or anticipated loss experience.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to insurance policies and
contracts offered, issued, or sold on or after that date.
Sec. 59. Minnesota Statutes 2022, section 65B.49, is amended by adding a subdivision to read:
Subd. 10. Time
limitations. (a) Unless
expressly provided for in this chapter, a plan of reparation security must
conform to the six-year time limitation provided under section 541.05,
subdivision 1, clause (1).
(b) The time limitation
for commencing a cause of action relating to underinsured motorist coverage
under subdivision 3a is four years from the date of accrual.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to contracts issued or renewed
on or after that date.
Sec. 60. Minnesota Statutes 2022, section 151.071, subdivision 1, is amended to read:
Subdivision 1. Forms of disciplinary action. When the board finds that a licensee, registrant, or applicant has engaged in conduct prohibited under subdivision 2, it may do one or more of the following:
(1) deny the issuance of a license or registration;
(2) refuse to renew a license or registration;
(3) revoke the license or registration;
(4) suspend the license or registration;
(5) impose limitations, conditions, or both on the license or registration, including but not limited to: the limitation of practice to designated settings; the limitation of the scope of practice within designated settings; the imposition of retraining or rehabilitation requirements; the requirement of practice under supervision; the requirement of participation in a diversion program such as that established pursuant to section 214.31 or the conditioning of continued practice on demonstration of knowledge or skills by appropriate examination or other review of skill and competence;
(6) impose a civil penalty not exceeding $10,000 for each separate violation, except that a civil penalty not exceeding $25,000 may be imposed for each separate violation of section 62J.842, the amount of the civil penalty to be fixed so as to deprive a licensee or registrant of any economic advantage gained by reason of the violation, to discourage similar violations by the licensee or registrant or any other licensee or registrant, or to reimburse the board for the cost of the investigation and proceeding, including but not limited to, fees paid for services provided by the Office of Administrative Hearings, legal and investigative services provided by the Office of the Attorney General, court reporters, witnesses, reproduction of records, board members' per diem compensation, board staff time, and travel costs and expenses incurred by board staff and board members; and
(7) reprimand the licensee or registrant.
Sec. 61. Minnesota Statutes 2022, section 151.071, subdivision 2, is amended to read:
Subd. 2. Grounds for disciplinary action. The following conduct is prohibited and is grounds for disciplinary action:
(1) failure to demonstrate the qualifications or satisfy the requirements for a license or registration contained in this chapter or the rules of the board. The burden of proof is on the applicant to demonstrate such qualifications or satisfaction of such requirements;
(2) obtaining a license by fraud or by misleading the board in any way during the application process or obtaining a license by cheating, or attempting to subvert the licensing examination process. Conduct that subverts or attempts to subvert the licensing examination process includes, but is not limited to: (i) conduct that violates the security of the examination materials, such as removing examination materials from the examination room or having unauthorized possession of any portion of a future, current, or previously administered licensing examination; (ii) conduct that violates the standard of test administration, such as communicating with another examinee during administration of the examination, copying another examinee's answers, permitting another examinee to copy one's answers, or possessing unauthorized materials; or (iii) impersonating an examinee or permitting an impersonator to take the examination on one's own behalf;
(3) for a pharmacist, pharmacy technician, pharmacist intern, applicant for a pharmacist or pharmacy license, or applicant for a pharmacy technician or pharmacist intern registration, conviction of a felony reasonably related to the practice of pharmacy. Conviction as used in this subdivision includes a conviction of an offense that if committed in this state would be deemed a felony without regard to its designation elsewhere, or a criminal proceeding where a finding or verdict of guilt is made or returned but the adjudication of guilt is either withheld or not entered thereon. The board may delay the issuance of a new license or registration if the applicant has been charged with a felony until the matter has been adjudicated;
(4) for a facility, other than a pharmacy, licensed or registered by the board, if an owner or applicant is convicted of a felony reasonably related to the operation of the facility. The board may delay the issuance of a new license or registration if the owner or applicant has been charged with a felony until the matter has been adjudicated;
(5) for a controlled substance researcher, conviction of a felony reasonably related to controlled substances or to the practice of the researcher's profession. The board may delay the issuance of a registration if the applicant has been charged with a felony until the matter has been adjudicated;
(6) disciplinary action taken by another state or by one of this state's health licensing agencies:
(i) revocation, suspension, restriction, limitation, or other disciplinary action against a license or registration in another state or jurisdiction, failure to report to the board that charges or allegations regarding the person's license or registration have been brought in another state or jurisdiction, or having been refused a license or registration by any other state or jurisdiction. The board may delay the issuance of a new license or registration if an investigation or disciplinary action is pending in another state or jurisdiction until the investigation or action has been dismissed or otherwise resolved; and
(ii) revocation, suspension, restriction, limitation, or other disciplinary action against a license or registration issued by another of this state's health licensing agencies, failure to report to the board that charges regarding the person's license or registration have been brought by another of this state's health licensing agencies, or having been refused a license or registration by another of this state's health licensing agencies. The board may delay the issuance of a new license or registration if a disciplinary action is pending before another of this state's health licensing agencies until the action has been dismissed or otherwise resolved;
(7) for a pharmacist, pharmacy, pharmacy technician, or pharmacist intern, violation of any order of the board, of any of the provisions of this chapter or any rules of the board or violation of any federal, state, or local law or rule reasonably pertaining to the practice of pharmacy;
(8) for a facility, other than a pharmacy, licensed by the board, violations of any order of the board, of any of the provisions of this chapter or the rules of the board or violation of any federal, state, or local law relating to the operation of the facility;
(9) engaging in any unethical conduct; conduct likely to deceive, defraud, or harm the public, or demonstrating a willful or careless disregard for the health, welfare, or safety of a patient; or pharmacy practice that is professionally incompetent, in that it may create unnecessary danger to any patient's life, health, or safety, in any of which cases, proof of actual injury need not be established;
(10) aiding or abetting an unlicensed person in the practice of pharmacy, except that it is not a violation of this clause for a pharmacist to supervise a properly registered pharmacy technician or pharmacist intern if that person is performing duties allowed by this chapter or the rules of the board;
(11) for an individual licensed or registered by the board, adjudication as mentally ill or developmentally disabled, or as a chemically dependent person, a person dangerous to the public, a sexually dangerous person, or a person who has a sexual psychopathic personality, by a court of competent jurisdiction, within or without this state. Such adjudication shall automatically suspend a license for the duration thereof unless the board orders otherwise;
(12) for a pharmacist or pharmacy intern, engaging in unprofessional conduct as specified in the board's rules. In the case of a pharmacy technician, engaging in conduct specified in board rules that would be unprofessional if it were engaged in by a pharmacist or pharmacist intern or performing duties specifically reserved for pharmacists under this chapter or the rules of the board;
(13) for a pharmacy, operation of the pharmacy without a pharmacist present and on duty except as allowed by a variance approved by the board;
(14) for a pharmacist, the inability to practice pharmacy with reasonable skill and safety to patients by reason of illness, use of alcohol, drugs, narcotics, chemicals, or any other type of material or as a result of any mental or physical condition, including deterioration through the aging process or loss of motor skills. In the case of registered pharmacy technicians, pharmacist interns, or controlled substance researchers, the inability to carry out duties allowed under this chapter or the rules of the board with reasonable skill and safety to patients by reason of illness, use of alcohol, drugs, narcotics, chemicals, or any other type of material or as a result of any mental or physical condition, including deterioration through the aging process or loss of motor skills;
(15) for a pharmacist, pharmacy, pharmacist intern, pharmacy technician, medical gas dispenser, or controlled substance researcher, revealing a privileged communication from or relating to a patient except when otherwise required or permitted by law;
(16) for a pharmacist or pharmacy, improper management of patient records, including failure to maintain adequate patient records, to comply with a patient's request made pursuant to sections 144.291 to 144.298, or to furnish a patient record or report required by law;
(17) fee splitting, including without limitation:
(i) paying, offering to pay, receiving, or agreeing to receive, a commission, rebate, kickback, or other form of remuneration, directly or indirectly, for the referral of patients;
(ii) referring a patient to any health care provider as defined in sections 144.291 to 144.298 in which the licensee or registrant has a financial or economic interest as defined in section 144.6521, subdivision 3, unless the licensee or registrant has disclosed the licensee's or registrant's financial or economic interest in accordance with section 144.6521; and
(iii) any arrangement through which a pharmacy, in which the prescribing practitioner does not have a significant ownership interest, fills a prescription drug order and the prescribing practitioner is involved in any manner, directly or indirectly, in setting the price for the filled prescription that is charged to the patient, the patient's
insurer or pharmacy benefit manager, or other person paying for the prescription or, in the case of veterinary patients, the price for the filled prescription that is charged to the client or other person paying for the prescription, except that a veterinarian and a pharmacy may enter into such an arrangement provided that the client or other person paying for the prescription is notified, in writing and with each prescription dispensed, about the arrangement, unless such arrangement involves pharmacy services provided for livestock, poultry, and agricultural production systems, in which case client notification would not be required;
(18) engaging in abusive or fraudulent billing practices, including violations of the federal Medicare and Medicaid laws or state medical assistance laws or rules;
(19) engaging in conduct with a patient that is sexual or may reasonably be interpreted by the patient as sexual, or in any verbal behavior that is seductive or sexually demeaning to a patient;
(20) failure to make reports as required by section 151.072 or to cooperate with an investigation of the board as required by section 151.074;
(21) knowingly providing false or misleading information that is directly related to the care of a patient unless done for an accepted therapeutic purpose such as the dispensing and administration of a placebo;
(22) aiding suicide or aiding attempted suicide in violation of section 609.215 as established by any of the following:
(i) a copy of the record of criminal conviction or plea of guilty for a felony in violation of section 609.215, subdivision 1 or 2;
(ii) a copy of the record of a judgment of contempt of court for violating an injunction issued under section 609.215, subdivision 4;
(iii) a copy of the record of a judgment assessing damages under section 609.215, subdivision 5; or
(iv) a finding by the board that the person violated section 609.215, subdivision 1 or 2. The board must investigate any complaint of a violation of section 609.215, subdivision 1 or 2;
(23) for a pharmacist,
practice of pharmacy under a lapsed or nonrenewed license. For a pharmacist intern, pharmacy technician,
or controlled substance researcher, performing duties permitted to such
individuals by this chapter or the rules of the board under a lapsed or
nonrenewed registration. For a facility
required to be licensed under this chapter, operation of the facility under a
lapsed or nonrenewed license or registration; and
(24) for a pharmacist,
pharmacist intern, or pharmacy technician, termination or discharge from the
health professionals services program for reasons other than the satisfactory
completion of the program.; and
(25) for a manufacturer,
a violation of section 62J.842 or 62J.845.
Sec. 62. Minnesota Statutes 2022, section 256B.0631, subdivision 1, is amended to read:
Subdivision 1. Cost-sharing. (a) Except as provided in subdivision 2,
the medical assistance benefit plan shall include the following cost-sharing
for all recipients, effective for services provided on or after September 1,
2011:
(1) $3 per nonpreventive visit, except as provided in paragraph (b). For purposes of this subdivision, a visit means an episode of service which is required because of a recipient's symptoms, diagnosis, or established illness, and which is delivered in an ambulatory setting by a physician or physician assistant, chiropractor, podiatrist, nurse midwife, advanced practice nurse, audiologist, optician, or optometrist;
(2) $3.50 for nonemergency visits to a hospital-based emergency room, except that this co-payment shall be increased to $20 upon federal approval;
(3) $3 per brand-name drug prescription, $1 per generic drug prescription, and $1 per prescription for a brand‑name multisource drug listed in preferred status on the preferred drug list, subject to a $12 per month maximum for prescription drug co-payments. No co-payments shall apply to antipsychotic drugs when used for the treatment of mental illness;
(4) a family deductible
equal to $2.75 per month per family and adjusted annually by the percentage
increase in the medical care component of the CPI-U for the period of September
to September of the preceding calendar year, rounded to the next higher five-cent
increment; and
(5) total monthly cost-sharing
must not exceed five percent of family income.
For purposes of this paragraph, family income is the total earned and
unearned income of the individual and the individual's spouse, if the spouse is
enrolled in medical assistance and also subject to the five percent limit on
cost-sharing. This paragraph does not
apply to premiums charged to individuals described under section 256B.057,
subdivision 9.; and
(6) cost-sharing for
prescription drugs and related medical supplies to treat chronic disease must
comply with the requirements of section 62Q.481.
(b) Recipients of medical assistance are responsible for all co-payments and deductibles in this subdivision.
(c) Notwithstanding paragraph (b), the commissioner, through the contracting process under sections 256B.69 and 256B.692, may allow managed care plans and county-based purchasing plans to waive the family deductible under paragraph (a), clause (4). The value of the family deductible shall not be included in the capitation payment to managed care plans and county-based purchasing plans. Managed care plans and county-based purchasing plans shall certify annually to the commissioner the dollar value of the family deductible.
(d) Notwithstanding paragraph (b), the commissioner may waive the collection of the family deductible described under paragraph (a), clause (4), from individuals and allow long-term care and waivered service providers to assume responsibility for payment.
(e) Notwithstanding paragraph (b), the commissioner, through the contracting process under section 256B.0756 shall allow the pilot program in Hennepin County to waive co-payments. The value of the co-payments shall not be included in the capitation payment amount to the integrated health care delivery networks under the pilot program.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 63. Minnesota Statutes 2022, section 256B.69, subdivision 5a, is amended to read:
Subd. 5a. Managed care contracts. (a) Managed care contracts under this section and section 256L.12 shall be entered into or renewed on a calendar year basis. The commissioner may issue separate contracts with requirements specific to services to medical assistance recipients age 65 and older.
(b) A prepaid health plan providing covered health services for eligible persons pursuant to chapters 256B and 256L is responsible for complying with the terms of its contract with the commissioner. Requirements applicable to managed care programs under chapters 256B and 256L established after the effective date of a contract with the commissioner take effect when the contract is next issued or renewed.
(c) The commissioner shall withhold five percent of managed care plan payments under this section and county‑based purchasing plan payments under section 256B.692 for the prepaid medical assistance program pending completion of performance targets. Each performance target must be quantifiable, objective, measurable, and
reasonably attainable, except in the case of a performance target based on a federal or state law or rule. Criteria for assessment of each performance target must be outlined in writing prior to the contract effective date. Clinical or utilization performance targets and their related criteria must consider evidence-based research and reasonable interventions when available or applicable to the populations served, and must be developed with input from external clinical experts and stakeholders, including managed care plans, county-based purchasing plans, and providers. The managed care or county-based purchasing plan must demonstrate, to the commissioner's satisfaction, that the data submitted regarding attainment of the performance target is accurate. The commissioner shall periodically change the administrative measures used as performance targets in order to improve plan performance across a broader range of administrative services. The performance targets must include measurement of plan efforts to contain spending on health care services and administrative activities. The commissioner may adopt plan‑specific performance targets that take into account factors affecting only one plan, including characteristics of the plan's enrollee population. The withheld funds must be returned no sooner than July of the following year if performance targets in the contract are achieved. The commissioner may exclude special demonstration projects under subdivision 23.
(d) The commissioner shall require that managed care plans:
(1) use the assessment and
authorization processes, forms, timelines, standards, documentation, and data
reporting requirements, protocols, billing processes, and policies consistent
with medical assistance fee-for-service or the Department of Human Services
contract requirements for all personal care assistance services under section
256B.0659 and community first services and supports under section 256B.85; and
(2) by January 30 of each
year that follows a rate increase for any aspect of services under section
256B.0659 or 256B.85, inform the commissioner and the chairs and ranking
minority members of the legislative committees with jurisdiction over rates
determined under section 256B.851 of the amount of the rate increase that is
paid to each personal care assistance provider agency with which the plan has a
contract.; and
(3) use a six-month
timely filing standard and provide an exemption to the timely filing timeliness
for the resubmission of claims where there has been a denial, request for more
information, or system issue.
(e) Effective for services rendered on or after January 1, 2012, the commissioner shall include as part of the performance targets described in paragraph (c) a reduction in the health plan's emergency department utilization rate for medical assistance and MinnesotaCare enrollees, as determined by the commissioner. For 2012, the reduction shall be based on the health plan's utilization in 2009. To earn the return of the withhold each subsequent year, the managed care plan or county-based purchasing plan must achieve a qualifying reduction of no less than ten percent of the plan's emergency department utilization rate for medical assistance and MinnesotaCare enrollees, excluding enrollees in programs described in subdivisions 23 and 28, compared to the previous measurement year until the final performance target is reached. When measuring performance, the commissioner must consider the difference in health risk in a managed care or county-based purchasing plan's membership in the baseline year compared to the measurement year, and work with the managed care or county-based purchasing plan to account for differences that they agree are significant.
The withheld funds must be returned no sooner than July 1 and no later than July 31 of the following calendar year if the managed care plan or county-based purchasing plan demonstrates to the satisfaction of the commissioner that a reduction in the utilization rate was achieved. The commissioner shall structure the withhold so that the commissioner returns a portion of the withheld funds in amounts commensurate with achieved reductions in utilization less than the targeted amount.
The withhold described in this paragraph shall continue for each consecutive contract period until the plan's emergency room utilization rate for state health care program enrollees is reduced by 25 percent of the plan's emergency room utilization rate for medical assistance and MinnesotaCare enrollees for calendar year 2009. Hospitals shall cooperate with the health plans in meeting this performance target and shall accept payment withholds that may be returned to the hospitals if the performance target is achieved.
(f) Effective for services rendered on or after January 1, 2012, the commissioner shall include as part of the performance targets described in paragraph (c) a reduction in the plan's hospitalization admission rate for medical assistance and MinnesotaCare enrollees, as determined by the commissioner. To earn the return of the withhold each year, the managed care plan or county-based purchasing plan must achieve a qualifying reduction of no less than five percent of the plan's hospital admission rate for medical assistance and MinnesotaCare enrollees, excluding enrollees in programs described in subdivisions 23 and 28, compared to the previous calendar year until the final performance target is reached. When measuring performance, the commissioner must consider the difference in health risk in a managed care or county-based purchasing plan's membership in the baseline year compared to the measurement year, and work with the managed care or county-based purchasing plan to account for differences that they agree are significant.
The withheld funds must be returned no sooner than July 1 and no later than July 31 of the following calendar year if the managed care plan or county-based purchasing plan demonstrates to the satisfaction of the commissioner that this reduction in the hospitalization rate was achieved. The commissioner shall structure the withhold so that the commissioner returns a portion of the withheld funds in amounts commensurate with achieved reductions in utilization less than the targeted amount.
The withhold described in this paragraph shall continue until there is a 25 percent reduction in the hospital admission rate compared to the hospital admission rates in calendar year 2011, as determined by the commissioner. The hospital admissions in this performance target do not include the admissions applicable to the subsequent hospital admission performance target under paragraph (g). Hospitals shall cooperate with the plans in meeting this performance target and shall accept payment withholds that may be returned to the hospitals if the performance target is achieved.
(g) Effective for services rendered on or after January 1, 2012, the commissioner shall include as part of the performance targets described in paragraph (c) a reduction in the plan's hospitalization admission rates for subsequent hospitalizations within 30 days of a previous hospitalization of a patient regardless of the reason, for medical assistance and MinnesotaCare enrollees, as determined by the commissioner. To earn the return of the withhold each year, the managed care plan or county-based purchasing plan must achieve a qualifying reduction of the subsequent hospitalization rate for medical assistance and MinnesotaCare enrollees, excluding enrollees in programs described in subdivisions 23 and 28, of no less than five percent compared to the previous calendar year until the final performance target is reached.
The withheld funds must be returned no sooner than July 1 and no later than July 31 of the following calendar year if the managed care plan or county-based purchasing plan demonstrates to the satisfaction of the commissioner that a qualifying reduction in the subsequent hospitalization rate was achieved. The commissioner shall structure the withhold so that the commissioner returns a portion of the withheld funds in amounts commensurate with achieved reductions in utilization less than the targeted amount.
The withhold described in this paragraph must continue for each consecutive contract period until the plan's subsequent hospitalization rate for medical assistance and MinnesotaCare enrollees, excluding enrollees in programs described in subdivisions 23 and 28, is reduced by 25 percent of the plan's subsequent hospitalization rate for calendar year 2011. Hospitals shall cooperate with the plans in meeting this performance target and shall accept payment withholds that must be returned to the hospitals if the performance target is achieved.
(h) Effective for services rendered on or after January 1, 2013, through December 31, 2013, the commissioner shall withhold 4.5 percent of managed care plan payments under this section and county-based purchasing plan payments under section 256B.692 for the prepaid medical assistance program. The withheld funds must be returned no sooner than July 1 and no later than July 31 of the following year. The commissioner may exclude special demonstration projects under subdivision 23.
(i) Effective for services rendered on or after January 1, 2014, the commissioner shall withhold three percent of managed care plan payments under this section and county-based purchasing plan payments under section 256B.692 for the prepaid medical assistance program. The withheld funds must be returned no sooner than July 1 and no later than July 31 of the following year. The commissioner may exclude special demonstration projects under subdivision 23.
(j) A managed care plan or a county-based purchasing plan under section 256B.692 may include as admitted assets under section 62D.044 any amount withheld under this section that is reasonably expected to be returned.
(k) Contracts between the commissioner and a prepaid health plan are exempt from the set-aside and preference provisions of section 16C.16, subdivisions 6, paragraph (a), and 7.
(l) The return of the withhold under paragraphs (h) and (i) is not subject to the requirements of paragraph (c).
(m) Managed care plans and county-based purchasing plans shall maintain current and fully executed agreements for all subcontractors, including bargaining groups, for administrative services that are expensed to the state's public health care programs. Subcontractor agreements determined to be material, as defined by the commissioner after taking into account state contracting and relevant statutory requirements, must be in the form of a written instrument or electronic document containing the elements of offer, acceptance, consideration, payment terms, scope, duration of the contract, and how the subcontractor services relate to state public health care programs. Upon request, the commissioner shall have access to all subcontractor documentation under this paragraph. Nothing in this paragraph shall allow release of information that is nonpublic data pursuant to section 13.02.
Sec. 64. Minnesota Statutes 2022, section 256L.03, subdivision 5, is amended to read:
Subd. 5. Cost-sharing. (a) Co-payments, coinsurance, and deductibles do not apply to children under the age of 21 and to American Indians as defined in Code of Federal Regulations, title 42, section 600.5.
(b) The commissioner shall adjust co-payments, coinsurance, and deductibles for covered services in a manner sufficient to maintain the actuarial value of the benefit to 94 percent. The cost-sharing changes described in this paragraph do not apply to eligible recipients or services exempt from cost-sharing under state law. The cost-sharing changes described in this paragraph shall not be implemented prior to January 1, 2016.
(c) The cost-sharing changes authorized under paragraph (b) must satisfy the requirements for cost-sharing under the Basic Health Program as set forth in Code of Federal Regulations, title 42, sections 600.510 and 600.520.
(d) Cost-sharing for
prescription drugs and related medical supplies to treat chronic disease must
comply with the requirements of section 62Q.481.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 65. EVALUATION
OF EXISTING STATUTORY HEALTH BENEFIT MANDATES.
(a) The commissioner of
commerce must evaluate existing Minnesota statutory provisions that would
constitute a "mandated health benefit proposal" under Minnesota
Statutes, section 62J.26, subdivision 1, clause (4), if the statutory provision
was offered as a legislative proposal on the date of enactment of this act.
(b) The commissioner
must conduct the evaluation using the process established under Minnesota
Statutes, section 62J.26, subdivision 2.
(c) The commissioner may
prioritize and determine the order in which statutory provisions are evaluated
under this section. The commissioner may
limit the number of statutory provisions that are evaluated in order to not
exceed the amount appropriated to the commissioner to perform evaluations under
this section.
(d) This section expires
January 1, 2034.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 66. GEOGRAPHIC
ACCESSIBILITY AND NETWORK ADEQUACY STUDY.
(a) The commissioner of
health, in consultation with the commissioner of commerce and stakeholders,
must study and develop recommendations on additional methods, other than
maximum distance and travel times for enrollees, to determine adequate
geographic accessibility of health care providers and the adequacy of health
care provider networks maintained by health plan companies. The commissioner may examine the
effectiveness and feasibility of using the following methods to determine
geographic accessibility and network adequacy:
(1) establishing ratios
of providers to enrollees by provider specialty;
(2) establishing ratios
of primary care providers to enrollees; and
(3) establishing maximum
waiting times for appointments with participating providers.
(b) The commissioner
must examine:
(1) geographic
accessibility of providers under current law;
(2) geographic variation and population dispersion;
(3) how provider hours
of operations limit access to care;
(4) the ability of
existing networks to meet the needs of enrollees, which may include low-income
persons; children and adults with serious, chronic, or complex health
conditions, physical disabilities, or mental illness; or persons with limited
English proficiency and persons from underserved communities;
(5) other health care service delivery options, including telehealth, mobile clinics, centers of excellence, and other ways of delivering care; and
(6) the availability of
services needed to meet the needs of enrollees requiring technologically
advanced or specialty care services.
(c) The commissioner
must submit to the legislature a report on the study and recommendations
required by this section no later than January 15, 2024.
Sec. 67. AUTOMOTIVE
SELF-INSURANCE; RULES AMENDMENT; EXPEDITED RULEMAKING.
Subdivision 1. Self-insurance working capital condition. The commissioner of commerce must amend Minnesota Rules, part 2770.6500, subpart 2, item B, subitem (5), to require the commissioner's grant of self‑insurance authority to an applicant to be based on the applicant's net working capital in lieu of the applicant's net funds flow.
Subd. 2. Commissioner
discretion to grant self-insurance authority. The commissioner of commerce must
amend Minnesota Rules, part 2770.6500, subpart 2, item D, to, notwithstanding
any other provision of Minnesota Rules, part 2770.6500, permit the commissioner
to grant self-insurance authority to an applicant that is not a political
subdivision and that has not had positive net income or positive working
capital in at least three years of the last five-year period if the working
capital, debt structure, profitability, and overall financial integrity of the
applicant and the applicant's parent company, if one exists, demonstrate the
applicant's continuing ability to satisfy any financial obligations that have
been and might be incurred under the no-fault act.
Subd. 3. Working
capital. The commissioner of
commerce must define working capital for the purposes of Minnesota Rules, part
2770.6500.
Subd. 4. Commissioner
discretion to revoke self-insurance authority. The commissioner of commerce must
amend Minnesota Rules, part 2770.7300, to permit, in lieu of require, the
commissioner to revoke a self-insurer's authorization to self-insure based on
the commissioner's determinations under Minnesota Rules, part 2770.7300, items
A and B.
Subd. 5. Expedited
rulemaking authorized. The
commissioner of commerce may use the expedited rulemaking process under
Minnesota Statutes, section 14.389, to amend rules under this section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 68. REPEALER.
Minnesota Statutes 2022,
section 62A.31, subdivisions 1b and 1i, are repealed.
ARTICLE 3
FINANCIAL INSTITUTIONS
Section 1. Minnesota Statutes 2022, section 46.131, subdivision 11, is amended to read:
Subd. 11. Financial institutions account; appropriation. (a) The financial institutions account is created as a separate account in the special revenue fund. Earnings, including interest, dividends, and any other earnings arising from account assets, must be credited to the account.
(b) The account consists of
funds received from assessments under subdivision 7, examination fees under
subdivision 8, and funds received pursuant to subdivision 10 and the following
provisions: sections 46.04; 46.041;
46.048, subdivision 1; 47.101; 47.54, subdivision 1; 47.60, subdivision 3;
47.62, subdivision 4; 48.61, subdivision 7, paragraph (b); 49.36, subdivision
1; 52.203; 53B.09; 53B.11, subdivision 1; 53B.38; 53B.41; 53B.43;
53C.02; 56.02; 58.10; 58A.045, subdivision 2; 59A.03; 216C.437, subdivision 12;
332A.04; and 332B.04.
(c) Funds in the account are annually appropriated to the commissioner of commerce for activities under this section.
Sec. 2. Minnesota Statutes 2022, section 47.0153, subdivision 1, is amended to read:
Subdivision 1. Emergency closings. When the officers of a financial institution are of the opinion that an emergency exists, or is impending, which affects, or may affect, a financial institution's offices, they shall have the authority, in the reasonable exercise of their discretion, to determine not to open any of its offices on any business day or, if having opened, to close an office during the continuation of the emergency, even if the commissioner does not issue a proclamation of emergency. The office closed shall remain closed until the time that the officers determine the emergency has ended, and for the further time reasonably necessary to reopen. No financial institution office shall remain closed for more than 48 consecutive hours in a Monday through Friday period, excluding other legal holidays, without the prior approval of the commissioner.
Sec. 3. Minnesota Statutes 2022, section 47.59, subdivision 2, is amended to read:
Subd. 2. Application. Extensions of credit or purchases of
extensions of credit by financial institutions under sections 47.20, 47.21,
47.201, 47.204, 47.58, 47.60, 48.153, 48.185, 48.195, 59A.01 to 59A.15,
334.01, 334.011, 334.012, 334.022, 334.06, and 334.061 to 334.19 may, but need
not, be made according to those sections in lieu of the authority set forth in
this section to the extent those sections authorize the financial institution
to make extensions of credit or purchase extensions of credit under those
sections. If a financial institution
elects to make an extension of credit or to purchase an extension of credit
under those other sections, the extension of credit or the purchase of an
extension of credit is subject to those sections and not this section, except
this subdivision, and except as expressly provided in those sections. A financial institution may also charge an
organization a rate of interest and any charges agreed to by the organization
and may calculate and collect finance and other charges in any manner agreed to
by that organization. Except for
extensions of credit a financial institution elects to make under section
334.01, 334.011, 334.012, 334.022, 334.06, or 334.061 to 334.19, chapter 334
does not apply to extensions of credit made according to this section or the
sections listed in this subdivision. This
subdivision does not authorize a financial institution to extend credit or
purchase an extension of credit under any of the sections listed in this
subdivision if the financial institution is not authorized to do so under those
sections. A financial institution
extending credit under any of the sections listed in this subdivision shall
specify in the promissory note, contract, or other loan document the section
under which the extension of credit is made.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 4. Minnesota Statutes 2022, section 47.60, subdivision 1, is amended to read:
Subdivision 1. Definitions. For purposes of this section, the terms defined have the meanings given them:
(a) "Consumer small loan" is a loan transaction in which cash is advanced to a borrower for the borrower's own personal, family, or household purpose. A consumer small loan is a short-term, unsecured loan to be repaid in a single installment. The cash advance of a consumer small loan is equal to or less than $350. A consumer small loan includes an indebtedness evidenced by but not limited to a promissory note or agreement to defer the presentation of a personal check for a fee.
(b) "Consumer small loan lender" is a financial institution as defined in section 47.59 or a business entity registered with the commissioner and engaged in the business of making consumer small loans.
(c) "Annual
percentage rate" means a measure of the cost of credit, expressed as a
yearly rate, that relates the amount and timing of value received by the
consumer to the amount and timing of payments made. Annual percentage interest rate includes all
interest, finance charges, and fees. The
annual percentage rate must be determined in accordance with either the
actuarial method or the United States Rule method.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 5. Minnesota Statutes 2022, section 47.60, subdivision 2, is amended to read:
Subd. 2. Authorization,
terms, conditions, and prohibitions. (a)
In lieu of the interest, finance charges, or fees in any other law connection
with a consumer small loan, a consumer small loan lender may charge the
following: an annual percentage rate of up to 36 percent. No other charges or payments are permitted or
may be received by the lender in connection with a consumer small loan.
(1) on any amount up to
and including $50, a charge of $5.50 may be added;
(2) on amounts in excess of
$50, but not more than $100, a charge may be added equal to ten percent of the
loan proceeds plus a $5 administrative fee;
(3) on amounts in excess
of $100, but not more than $250, a charge may be added equal to seven percent
of the loan proceeds with a minimum of $10 plus a $5 administrative fee;
(4) for amounts in
excess of $250 and not greater than the maximum in subdivision 1, paragraph
(a), a charge may be added equal to six percent of the loan proceeds with a
minimum of $17.50 plus a $5 administrative fee.
(b) The term of a loan made under this section shall be for no more than 30 calendar days.
(c) After maturity, the contract rate must not exceed 2.75 percent per month of the remaining loan proceeds after the maturity date calculated at a rate of 1/30 of the monthly rate in the contract for each calendar day the balance is outstanding.
(d) No insurance charges or other charges must be permitted to be charged, collected, or imposed on a consumer small loan except as authorized in this section.
(e) On a loan transaction in which cash is advanced in exchange for a personal check, a return check charge may be charged as authorized by section 604.113, subdivision 2, paragraph (a). The civil penalty provisions of section 604.113, subdivision 2, paragraph (b), may not be demanded or assessed against the borrower.
(f) A loan made under this section must not be repaid by the proceeds of another loan made under this section by the same lender or related interest. The proceeds from a loan made under this section must not be applied to another loan from the same lender or related interest. No loan to a single borrower made pursuant to this section shall be split or divided and no single borrower shall have outstanding more than one loan with the result of collecting a higher charge than permitted by this section or in an aggregate amount of principal exceed at any one time the maximum of $350.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 6. Minnesota Statutes 2022, section 47.60, is amended by adding a subdivision to read:
Subd. 8. No
evasion. (a) A person must
not engage in any device, subterfuge, or pretense to evade the requirements of
this section, including but not limited to:
(1) making loans
disguised as a personal property sale and leaseback transaction;
(2) disguising loan
proceeds as a cash rebate for the pretextual installment sale of goods or
services; or
(3) making, offering,
assisting, or arranging for a debtor to obtain a loan with a greater rate or
amount of interest, consideration, charge, or payment than is permitted by this
section through any method, including mail, telephone, Internet, or any electronic
means, regardless of whether a person has a physical location in Minnesota.
(b) A person is a
consumer small loan lender subject to the requirements of this section
notwithstanding the fact that a person purports to act as an agent or service
provider, or acts in another capacity for another person that is not subject to
this section, if a person:
(1) directly or
indirectly holds, acquires, or maintains the predominant economic interest,
risk, or reward in a loan or lending business; or
(2) both: (i) markets, solicits, brokers, arranges, or
facilitates a loan; and (ii) holds or holds the right, requirement, or first
right of refusal to acquire loans, receivables, or other direct or interest in
a loan.
(c) A person is a
consumer small loan lender subject to the requirements of this section if the
totality of the circumstances indicate that a person is a lender and the
transaction is structured to evade the requirements of this section. Circumstances that weigh in favor of a person
being a lender in a transaction include but are not limited to instances where
a person:
(1) indemnifies,
insures, or protects a person not subject to this section from any costs or
risks related to a loan;
(2) predominantly
designs, controls, or operates lending activity;
(3) holds the trademark
or intellectual property rights in the brand, underwriting system, or other
core aspects of a lending business; or
(4) purports to act as
an agent or service provider, or acts in another capacity, for a person not
subject to this section while acting directly as a lender in one or more
states.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 7. Minnesota Statutes 2022, section 47.601, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) For the purposes of this section, the terms defined in this subdivision have the meanings given.
(b) "Borrower" means an individual who obtains a consumer short-term loan primarily for personal, family, or household purposes.
(c) "Commissioner" means the commissioner of commerce.
(d) "Consumer
short-term loan" means a loan to a borrower which has a principal amount,
or an advance on a credit limit, of $1,000 $1,300 or less and
requires a minimum payment within 60 days of loan origination or credit advance
of more than 25 percent of the principal balance or credit advance. For the purposes of this section, each new
advance of money to a borrower under a consumer short-term loan agreement
constitutes a new consumer short-term loan.
A "consumer short-term loan" does not include any transaction
made under chapter 325J or a loan made by a consumer short-term lender where,
in the event of default on the loan, the sole recourse for recovery of the
amount owed, other than a lawsuit for damages for the debt, is to proceed
against physical goods pledged by the borrower as collateral for the loan.
(e) "Consumer
short-term lender" means an individual or entity engaged in the business
of making or arranging consumer short-term loans, other than a state or
federally chartered bank, savings bank, or credit union. For the purposes of this paragraph,
arranging consumer short-term loans includes but is not limited to any
substantial involvement in facilitating, marketing, lead-generating,
underwriting, servicing, or collecting consumer short-term loans.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 8. Minnesota Statutes 2022, section 47.601, subdivision 2, is amended to read:
Subd. 2. Consumer short-term loan contract. (a) No contract or agreement between a consumer short-term loan lender and a borrower residing in Minnesota may contain the following:
(1) a provision selecting a law other than Minnesota law under which the contract is construed or enforced;
(2) a provision choosing a forum for dispute resolution other than the state of Minnesota; or
(3) a provision limiting class actions against a consumer short-term lender for violations of subdivision 3 or for making consumer short-term loans:
(i) without a required license issued by the commissioner; or
(ii) in which interest
rates, fees, charges, or loan amounts exceed those allowable under section 47.59,
subdivision 6, or 47.60, subdivision 2, other than by de minimis amounts
if no pattern or practice exists.
(b) Any provision prohibited by paragraph (a) is void and unenforceable.
(c) A consumer short-term loan lender must furnish a copy of the written loan contract to each borrower. The contract and disclosures must be written in the language in which the loan was negotiated with the borrower and must contain:
(1) the name; address, which may not be a post office box; and telephone number of the lender making the consumer short-term loan;
(2) the name and title of the individual employee or representative who signs the contract on behalf of the lender;
(3) an itemization of the fees and interest charges to be paid by the borrower;
(4) in bold, 24-point type, the annual percentage rate as computed under United States Code, chapter 15, section 1606; and
(5) a description of the borrower's payment obligations under the loan.
(d) The holder or assignee of a check or other instrument evidencing an obligation of a borrower in connection with a consumer short-term loan takes the instrument subject to all claims by and defenses of the borrower against the consumer short-term lender.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 9. Minnesota Statutes 2022, section 47.601, is amended by adding a subdivision to read:
Subd. 5a. No
evasion. (a) A person must
not engage in any device, subterfuge, or pretense to evade the requirements of
this section, including but not limited to:
(1) making loans
disguised as a personal property sale and leaseback transaction;
(2) disguising loan
proceeds as a cash rebate for the pretextual installment sale of goods or
services; or
(3) making, offering,
assisting, or arranging for a debtor to obtain a loan with a greater rate or
amount of interest, consideration, charge, or payment than is permitted by this
section through any method, including mail, telephone, Internet, or any electronic
means, regardless of whether a person has a physical location in Minnesota.
(b) A person is a
consumer short-term loan lender subject to the requirements of this section
notwithstanding the fact that a person purports to act as an agent or service
provider, or acts in another capacity for another person that is not subject to
this section, if a person:
(1) directly or
indirectly holds, acquires, or maintains the predominant economic interest,
risk, or reward in a loan or lending business; or
(2) both: (i) markets, solicits, brokers, arranges, or
facilitates a loan; and (ii) holds or holds the right, requirement, or first
right of refusal to acquire loans, receivables, or other direct or interest in
a loan.
(c) A person is a
consumer short-term loan lender subject to the requirements of this section if
the totality of the circumstances indicate that a person is a lender and the
transaction is structured to evade the requirements of this section. Circumstances that weigh in favor of a person
being a lender in a transaction include but are not limited to instances where
a person:
(1) indemnifies, insures,
or protects a person not subject to this section from any costs or risks
related to a loan;
(2) predominantly
designs, controls, or operates lending activity;
(3) holds the trademark
or intellectual property rights in the brand, underwriting system, or other
core aspects of a lending business; or
(4) purports to act as an
agent or service provider, or acts in another capacity, for a person not
subject to this section while acting directly as a lender in one or more
states.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 10. Minnesota Statutes 2022, section 47.601, subdivision 6, is amended to read:
Subd. 6. Penalties
for violation; private right of action. (a)
Except for a "bona fide error" as set forth under United States Code,
chapter 15, section 1640, subsection (c), an individual or entity who violates
subdivision 2 or, 3, or 5a is liable to the borrower for:
(1) all money collected or received in connection with the loan;
(2) actual, incidental, and consequential damages;
(3) statutory damages of up to $1,000 per violation;
(4) costs, disbursements, and reasonable attorney fees; and
(5) injunctive relief.
(b) In addition to the remedies provided in paragraph (a), a loan is void, and the borrower is not obligated to pay any amounts owing if the loan is made:
(1) by a consumer short-term lender who has not obtained an applicable license from the commissioner;
(2) in violation of any provision of subdivision 2 or 3; or
(3) in which interest,
fees, charges, or loan amounts exceed the interest, fees, charges, or loan
amounts allowable under sections 47.59, subdivision 6, and section
47.60, subdivision 2.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 11. [48.591]
CLIMATE RISK DISCLOSURE SURVEY.
Subdivision 1. Requirement. By July 30 each year, a banking
institution with more than $1,000,000,000 in assets must submit a completed
climate risk disclosure survey to the commissioner. The commissioner must provide the form used
to submit a climate risk disclosure survey.
Subd. 2. Data. Data submitted to the commissioner
under this section are public, except that trade secret information is
nonpublic under section 13.37.
Sec. 12. [52.065]
CLIMATE RISK DISCLOSURE SURVEY.
Subdivision 1. Requirement. By July 30 each year, a credit union
with more than $1,000,000,000 in assets must submit a completed climate risk
disclosure survey to the commissioner. The
commissioner must provide the form used to submit a climate risk disclosure
survey.
Subd. 2. Data. Data submitted to the commissioner
under this section are public, except that trade secret information is
nonpublic under section 13.37.
Sec. 13. Minnesota Statutes 2022, section 53.04, subdivision 3a, is amended to read:
Subd. 3a. Loans. (a) The right to make loans, secured or
unsecured, at the rates and on the terms and other conditions permitted under
chapters 47 and 334. Loans made under
this authority must be in amounts in compliance with section 53.05, clause (7). A licensee making a loan under this chapter
secured by a lien on real estate shall comply with the requirements of section
47.20, subdivision 8. A licensee
making a loan that is a consumer small loan, as defined in section 47.60,
subdivision 1, paragraph (a), must comply with section 47.60. A licensee making a loan that is a consumer
short-term loan, as defined in section 47.601, subdivision 1, paragraph (d),
must comply with section 47.601.
(b) Loans made under this subdivision may be secured by real or personal property, or both. If the proceeds of a loan secured by a first lien on the borrower's primary residence are used to finance the purchase of the borrower's primary residence, the loan must comply with the provisions of section 47.20.
(c) An agency or instrumentality of the United States government or a corporation otherwise created by an act of the United States Congress or a lender approved or certified by the secretary of housing and urban development, or approved or certified by the administrator of veterans affairs, or approved or certified by the administrator of the Farmers Home Administration, or approved or certified by the Federal Home Loan Mortgage Corporation, or approved or certified by the Federal National Mortgage Association, that engages in the business of purchasing or taking assignments of mortgage loans and undertakes direct collection of payments from or enforcement of rights against borrowers arising from mortgage loans, is not required to obtain a certificate of authorization under this chapter in order to purchase or take assignments of mortgage loans from persons holding a certificate of authorization under this chapter.
(d) This subdivision does not authorize an industrial loan and thrift company to make loans under an overdraft checking plan.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 14. [53B.28]
DEFINITIONS.
Subdivision 1. Terms. For the purposes of this chapter, the
terms defined in this section have the meanings given them.
Subd. 2. Acting
in concert. "Acting in
concert" means persons knowingly acting together with a common goal of
jointly acquiring control of a licensee, whether or not pursuant to an express
agreement.
Subd. 3. Authorized
delegate. "Authorized
delegate" means a person a licensee designates to engage in money
transmission on behalf of the licensee.
Subd. 4. Average
daily money transmission liability. "Average
daily money transmission liability" means the amount of the licensee's
outstanding money transmission obligations in Minnesota at the end of each day
in a given period of time, added together, and divided by the total number of
days in the given period of time. For
purposes of calculating average daily money transmission liability under this
chapter for any licensee required to do so, the given period of time shall be
the quarters ending March 31, June 30, September 30, and December 31.
Subd. 5. Bank
Secrecy Act. "Bank
Secrecy Act" means the Bank Secrecy Act under United States Code, title
31, section 5311, et seq., and the Bank Secrecy Act's implementing regulations,
as amended and recodified from time to time.
Subd. 6. Closed
loop stored value. "Closed
loop stored value" means stored value that is redeemable by the issuer
only for a good or service provided by the issuer, the issuer's affiliate, the
issuer's franchisees, or an affiliate of the issuer's franchisees, except to
the extent required by applicable law to be redeemable in cash for the good or
service's cash value.
Subd. 7. Control. "Control" means:
(1) the power to vote,
directly or indirectly, at least 25 percent of the outstanding voting shares or
voting interests of a licensee or person in control of a licensee;
(2) the power to elect
or appoint a majority of key individuals or executive officers, managers,
directors, trustees, or other persons exercising managerial authority of a
person in control of a licensee; or
(3) the power to
exercise, directly or indirectly, a controlling influence over the management
or policies of a licensee or person in control of a licensee.
Subd. 8. Eligible
rating. "Eligible
rating" means a credit rating of any of the three highest rating
categories provided by an eligible rating service, whereby each category may
include rating category modifiers such as "plus" or "minus"
or the equivalent for any other eligible rating service. Long-term credit ratings are deemed eligible
if the rating is equal to A- or higher or the equivalent from any other
eligible rating service. Short-term
credit ratings are deemed eligible if the rating is equal to or higher than A-2
or SP-2 by S&P, or the equivalent from any other eligible rating service. In the event that ratings differ among
eligible rating services, the highest rating shall apply when determining
whether a security bears an eligible rating.
Subd. 9. Eligible
rating service. "Eligible
rating service" means any Nationally Recognized Statistical Rating
Organization (NRSRO), as defined by the United States Securities and Exchange
Commission and any other organization designated by the commissioner by rule or
order.
Subd. 10. Federally
insured depository financial institution.
"Federally insured depository financial institution"
means a bank, credit union, savings and loan association, trust company,
savings association, savings bank, industrial bank, or industrial loan company
organized under the laws of the United States or any state of the United
States, when the bank, credit union, savings and loan association, trust
company, savings association, savings bank, industrial bank, or industrial loan
company has federally insured deposits.
Subd. 11. In
Minnesota. "In
Minnesota" means at a physical location within the state of Minnesota for
a transaction requested in person. For a
transaction requested electronically or by telephone, the provider of money
transmission may determine if the person requesting the transaction is in
Minnesota by relying on other information provided by the person regarding the
location of the individual's residential address or a business entity's
principal place of business or other physical address location, and any records
associated with the person that the provider of money transmission may have
that indicate the location, including but not limited to an address associated
with an account.
Subd. 12. Individual. "Individual" means a natural
person.
Subd. 13. Key
individual. "Key
individual" means any individual ultimately responsible for establishing
or directing policies and procedures of the licensee, including but not limited
to as an executive officer, manager, director, or trustee.
Subd. 14. Licensee. "Licensee" means a person
licensed under this chapter.
Subd. 15. Material
litigation. "Material
litigation" means litigation that, according to United States generally
accepted accounting principles, is significant to a person's financial health
and would be required to be disclosed in the person's annual audited financial
statements, report to shareholders, or similar records.
Subd. 16. Money. "Money" means a medium of
exchange that is authorized or adopted by the United States or a foreign
government. Money includes a monetary
unit of account established by an intergovernmental organization or by
agreement between two or more governments.
Subd. 17. Monetary
value. "Monetary
value" means a medium of exchange, whether or not redeemable in money.
Subd. 18. Money
transmission. (a) "Money
transmission" means:
(1) selling or issuing
payment instruments to a person located in this state;
(2) selling or issuing
stored value to a person located in this state; or
(3) receiving money for
transmission from a person located in this state.
(b) Money includes
payroll processing services. Money does
not include the provision solely of online or telecommunications services or
network access.
Subd. 19. Money
services business accredited state or MSB accredited state. "Money services businesses
accredited state" or "MSB accredited state" means a state agency
that is accredited by the Conference of State Bank Supervisors and Money
Transmitter Regulators Association for money transmission licensing and
supervision.
Subd. 20. Multistate
licensing process. "Multistate
licensing process" means any agreement entered into by and among state
regulators relating to coordinated processing of applications for money
transmission licenses, applications for the acquisition of control of a
licensee, control determinations, or notice and information requirements for a
change of key individuals.
Subd. 21. NMLS. "NMLS" means the Nationwide
Multistate Licensing System and Registry developed by the Conference of State
Bank Supervisors and the American Association of Residential Mortgage
Regulators and owned and operated by the State Regulatory Registry, LLC, or any
successor or affiliated entity, for the licensing and registration of persons
in financial services industries.
Subd. 22. Outstanding
money transmission obligations. (a)
"Outstanding money transmission obligations" must be established and
extinguished in accordance with applicable state law and means:
(1) any payment
instrument or stored value issued or sold by the licensee to a person located
in the United States or reported as sold by an authorized delegate of the
licensee to a person that is located in the United States that has not yet been
paid or refunded by or for the licensee, or escheated in accordance with
applicable abandoned property laws; or
(2) any money received
for transmission by the licensee or an authorized delegate in the United States
from a person located in the United States that has not been received by the
payee or refunded to the sender, or escheated in accordance with applicable
abandoned property laws.
(b) For purposes of this
subdivision, "in the United States" includes, to the extent
applicable, a person in any state, territory, or possession of the United
States; the District of Columbia; the Commonwealth of Puerto Rico; or a U.S. military
installation that is located in a foreign country.
Subd. 23. Passive
investor. "Passive
investor" means a person that:
(1) does not have the
power to elect a majority of key individuals or executive officers, managers,
directors, trustees, or other persons exercising managerial authority of a
person in control of a licensee;
(2) is not employed by
and does not have any managerial duties of the licensee or person in control of
a licensee;
(3) does not have the
power to exercise, directly or indirectly, a controlling influence over the
management or policies of a licensee or person in control of a licensee; and
(4) attests to clauses
(1), (2), and (3), in a form and in a medium prescribed by the commissioner, or
commits to the passivity characteristics under clauses (1), (2), and (3) in a
written document.
Subd. 24. Payment
instrument. (a) "Payment
instrument" means a written or electronic check, draft, money order,
traveler's check, or other written or electronic instrument for the
transmission or payment of money or monetary value, whether or not negotiable.
(b) Payment instrument
does not include stored value or any instrument that is: (1) redeemable by the issuer only for goods
or services provided by the issuer, the issuer's affiliate, the issuer's
franchisees, or an affiliate of the issuer's franchisees, except to the extent
required by applicable law to be redeemable in cash for its cash value; or (2)
not sold to the public but issued and distributed as part of a loyalty,
rewards, or promotional program.
Subd. 25. Payroll
processing services. "Payroll
processing services" means receiving money for transmission pursuant to a
contract with a person to deliver wages or salaries, make payment of payroll
taxes to state and federal agencies, make payments relating to employee benefit
plans, or make distributions of other authorized deductions
from wages or salaries. The term payroll processing services does not
include an employer performing payroll processing services on the employer's
own behalf or on behalf of the employer's affiliate, or a professional
employment organization subject to regulation under other applicable state law.
Subd. 26. Person. "Person" means any
individual, general partnership, limited partnership, limited liability
company, corporation, trust, association, joint stock corporation, or other
corporate entity identified by the commissioner.
Subd. 27. Receiving
money for transmission or money received for transmission. "Receiving money for
transmission" or "money received for transmission" means
receiving money or monetary value in the United States for transmission within
or outside the United States by electronic or other means.
Subd. 28. Stored
value. (a) "Stored
value" means monetary value representing a claim against the issuer
evidenced by an electronic or digital record, and that is intended and accepted
for use as a means of redemption for money or monetary value, or payment for
goods or services. Stored value includes
but is not limited to prepaid access, as defined under Code of Federal
Regulations, title 31, part 1010.100, as amended or recodified from time to
time.
(b) Notwithstanding this
subdivision, stored value does not include:
(1) a payment instrument or closed loop stored value; or (2) stored
value not sold to the public but issued and distributed as part of a loyalty,
rewards, or promotional program.
Subd. 29. Tangible
net worth. "Tangible net
worth" means the aggregate assets of a licensee excluding all intangible
assets, less liabilities, as determined in accordance with United States
generally accepted accounting principles.
Sec. 15. [53B.29]
EXEMPTIONS.
This chapter does not
apply to:
(1) an operator of a
payment system, to the extent the operator of a payment system provides
processing, clearing, or settlement services between or among persons exempted
by this section or licensees in connection with wire transfers, credit card
transactions, debit card transactions, stored-value transactions, automated
clearing house transfers, or similar funds transfers;
(2) a person appointed as
an agent of a payee to collect and process a payment from a payor to the payee
for goods or services, other than money transmission itself, provided to the
payor by the payee, provided that:
(i) there exists a
written agreement between the payee and the agent directing the agent to
collect and process payments from payors on the payee's behalf;
(ii) the payee holds the agent out to the public as accepting payments
for goods or services on the payee's behalf; and
(iii) payment for the
goods and services is treated as received by the payee upon receipt by the
agent so that the payor's obligation is extinguished and there is no risk of
loss to the payor if the agent fails to remit the funds to the payee;
(3) a person that acts as
an intermediary by processing payments between an entity that has directly
incurred an outstanding money transmission obligation to a sender, and the
sender's designated recipient, provided that the entity:
(i) is properly licensed
or exempt from licensing requirements under this chapter;
(ii) provides a receipt,
electronic record, or other written confirmation to the sender identifying the
entity as the provider of money transmission in the transaction; and
(iii) bears sole
responsibility to satisfy the outstanding money transmission obligation to the
sender, including the obligation to make the sender whole in connection with
any failure to transmit the funds to the sender's designated recipient;
(4) the United States; a
department, agency, or instrumentality of the United States; or an agent of the
United States;
(5) money transmission by
the United States Postal Service or by an agent of the United States Postal
Service;
(6) a state; county;
city; any other governmental agency, governmental subdivision, or
instrumentality of a state; or the state's agent;
(7) a federally insured
depository financial institution; bank holding company; office of an
international banking corporation; foreign bank that establishes a federal
branch pursuant to the International Bank Act, United States Code, title 12,
section 3102, as amended or recodified from time to time; corporation organized
pursuant to the Bank Service Corporation Act, United States Code, title 12,
sections 1861 to 1867, as amended or recodified from time to time; or
corporation organized under the Edge Act, United States Code, title 12,
sections 611 to 633, as amended or recodified from time to time;
(8) electronic funds
transfer of governmental benefits for a federal, state, county, or governmental
agency by a contractor on behalf of the United States or a department, agency,
or instrumentality thereof, or on behalf of a state or governmental subdivision,
agency, or instrumentality thereof;
(9) a board of trade
designated as a contract market under the federal Commodity Exchange Act,
United States Code, title 7, sections 1 to 25, as amended or recodified from
time to time; or a person that in the ordinary course of business provides
clearance and settlement services for a board of trade to the extent of its
operation as or for a board;
(10) a registered futures
commission merchant under the federal commodities laws, to the extent of the
registered futures commission merchant's operation as a merchant;
(11) a person registered
as a securities broker-dealer under federal or state securities laws, to the
extent of the person's operation as a securities broker-dealer;
(12) an individual
employed by a licensee, authorized delegate, or any person exempted from the
licensing requirements under this chapter when acting within the scope of
employment and under the supervision of the licensee, authorized delegate, or
exempted person as an employee and not as an independent contractor;
(13) a person expressly
appointed as a third-party service provider to or agent of an entity exempt
under clause (7), solely to the extent that:
(i) the service provider
or agent is engaging in money transmission on behalf of and pursuant to a
written agreement with the exempt entity that sets forth the specific functions
that the service provider or agent is to perform; and
(ii) the exempt entity
assumes all risk of loss and all legal responsibility for satisfying the
outstanding money transmission obligations owed to purchasers and holders of
the outstanding money transmission obligations upon receipt of the purchaser's
or holder's money or monetary value by the service provider or agent; or
(14) a person exempt by
regulation or order if the commissioner finds that (i) the exemption is in the
public interest, and (ii) the regulation of the person is not necessary for the
purposes of this chapter.
Sec. 16. [53B.30]
AUTHORITY TO REQUIRE DEMONSTRATION OF EXEMPTION.
The commissioner may
require any person that claims to be exempt from licensing under section 53B.29
to provide to the commissioner information and documentation that demonstrates
the person qualifies for any claimed exemption.
Sec. 17. [53B.31]
IMPLEMENTATION.
Subdivision 1. General
authority. In order to carry
out the purposes of this chapter, the commissioner may, subject to section
53B.32, paragraphs (a) and (b):
(1) enter into
agreements or relationships with other government officials or federal and
state regulatory agencies and regulatory associations in order to (i) improve
efficiencies and reduce regulatory burden by standardizing methods or
procedures, and (ii) share resources, records, or related information obtained
under this chapter;
(2) use, hire, contract,
or employ analytical systems, methods, or software to examine or investigate
any person subject to this chapter;
(3) accept from other
state or federal government agencies or officials any licensing, examination,
or investigation reports made by the other state or federal government agencies
or officials; and
(4) accept audit reports
made by an independent certified public accountant or other qualified
third-party auditor for an applicant or licensee and incorporate the audit
report in any report of examination or investigation.
Subd. 2. Administrative
authority. The commissioner
is granted broad administrative authority to:
(1) administer, interpret, and enforce this chapter; (2) adopt
regulations to implement this chapter; and (3) recover the costs incurred to
administer and enforce this chapter by imposing and collecting proportionate
and equitable fees and costs associated with applications, examinations,
investigations, and other actions required to achieve the purpose of this
chapter.
Sec. 18. [53B.32]
CONFIDENTIALITY.
(a) All information or
reports obtained by the commissioner contained in or related to an examination
that is prepared by, on behalf of, or for the use of the commissioner are
confidential and are not subject to disclosure under section 46.07.
(b) The commissioner may
disclose information not otherwise subject to disclosure under paragraph (a) to
representatives of state or federal agencies pursuant to section 53B.31,
subdivision 1.
(c) This section does
not prohibit the commissioner from disclosing to the public a list of all
licensees or the aggregated financial or transactional data concerning those
licensees.
Sec. 19. [53B.33]
SUPERVISION.
(a) The commissioner may
conduct an examination or investigation of a licensee or authorized delegate or
otherwise take independent action authorized by this chapter, or by a rule
adopted or order issued under this chapter, as reasonably necessary or
appropriate to administer and enforce this chapter, rules implementing this
chapter, and other applicable law, including the Bank Secrecy Act and the USA
PATRIOT Act, Public Law 107-56. The
commissioner may:
(1) conduct an
examination either on site or off site as the commissioner may reasonably
require;
(2) conduct an examination in
conjunction with an examination conducted by representatives of other state
agencies or agencies of another state or of the federal government;
(3) accept the
examination report of another state agency or an agency of another state or of
the federal government, or a report prepared by an independent accounting firm,
which on being accepted is considered for all purposes as an official report of
the commissioner; and
(4) summon and examine
under oath a key individual or employee of a licensee or authorized delegate
and require the person to produce records regarding any matter related to the
condition and business of the licensee or authorized delegate.
(b) A licensee or
authorized delegate must provide, and the commissioner has full and complete
access to, all records the commissioner may reasonably require to conduct a
complete examination. The records must
be provided at the location and in the format specified by the commissioner. The commissioner may use multistate record
production standards and examination procedures when the standards reasonably
achieve the requirements of this paragraph.
(c) Unless otherwise
directed by the commissioner, a licensee must pay all costs reasonably incurred
in connection with an examination of the licensee or the licensee's authorized
delegates.
Sec. 20. [53B.34]
NETWORKED SUPERVISION.
(a) To efficiently and
effectively administer and enforce this chapter and to minimize regulatory
burden, the commissioner is authorized to participate in multistate supervisory
processes established between states and coordinated through the Conference of
State Bank Supervisors, the Money Transmitter Regulators Association, and the
affiliates and successors of the Conference of State Bank Supervisors and the
Money Transmitter Regulators Association for all licensees that hold licenses
in this state and other states. As a
participant in multistate supervision, the commissioner may:
(1) cooperate,
coordinate, and share information with other state and federal regulators in
accordance with section 53B.32;
(2) enter into written
cooperation, coordination, or information-sharing contracts or agreements with
organizations the membership of which is made up of state or federal
governmental agencies; and
(3) cooperate,
coordinate, and share information with organizations the membership of which is
made up of state or federal governmental agencies, provided that the
organizations agree in writing to maintain the confidentiality and security of
the shared information in accordance with section 53B.32.
(b) The commissioner is
prohibited from waiving, and nothing in this section constitutes a waiver of,
the commissioner's authority to conduct an examination or investigation or
otherwise take independent action authorized by this chapter, or a rule adopted
or order issued under this chapter, to enforce compliance with applicable state
or federal law.
(c) A joint examination
or investigation, or acceptance of an examination or investigation report, does
not waive an examination fee provided for in this chapter.
Sec. 21. [53B.35]
RELATIONSHIP TO FEDERAL LAW.
(a) In the event state
money transmission jurisdiction is conditioned on a federal law, any
inconsistencies between a provision of this chapter and the federal law
governing money transmission is governed by the applicable federal law to the
extent of the inconsistency.
(b) In the event of any
inconsistencies between this chapter and a federal law that governs pursuant to
paragraph (a), the commissioner may provide interpretive guidance that:
(1) identifies the
inconsistency; and
(2) identifies the
appropriate means of compliance with federal law.
Sec. 22. [53B.36]
LICENSE REQUIRED.
(a) A person is prohibited
from engaging in the business of money transmission, or advertising,
soliciting, or representing that the person provides money transmission, unless
the person is licensed under this chapter.
(b) Paragraph (a) does
not apply to:
(1) a person that is an
authorized delegate of a person licensed under this chapter acting within the
scope of authority conferred by a written contract with the licensee; or
(2) a person that is
exempt under section 53B.29 and does not engage in money transmission outside
the scope of the exemption.
(c) A license issued
under section 53B.40 is not transferable or assignable.
Sec. 23. [53B.37]
CONSISTENT STATE LICENSING.
(a) To establish
consistent licensing between Minnesota and other states, the commissioner is
authorized to:
(1) implement all
licensing provisions of this chapter in a manner that is consistent with (i)
other states that have adopted substantially similar licensing requirements, or
(ii) multistate licensing processes; and
(2) participate in
nationwide protocols for licensing cooperation and coordination among state
regulators, provided that the protocols are consistent with this chapter.
(b) In order to fulfill
the purposes of this chapter, the commissioner is authorized to establish
relationships or contracts with NMLS or other entities designated by NMLS to
enable the commissioner to:
(1) collect and maintain
records;
(2) coordinate
multistate licensing processes and supervision processes;
(3) process fees; and
(4) facilitate
communication between the commissioner and licensees or other persons subject
to this chapter.
(c) The commissioner is
authorized to use NMLS for all aspects of licensing in accordance with this
chapter, including but not limited to license applications, applications for
acquisitions of control, surety bonds, reporting, criminal history background
checks, credit checks, fee processing, and examinations.
(d) The commissioner is
authorized to use NMLS forms, processes, and functions in accordance with this
chapter. If NMLS does not provide
functionality, forms, or processes for a requirement under this chapter, the
commissioner is authorized to implement the requirements in a manner that
facilitates uniformity with respect to licensing, supervision, reporting, and regulation
of licensees which are licensed in multiple jurisdictions.
(e) For the purpose of
participating in the NMLS registry, the commissioner is authorized to, by rule
or order: (1) waive or modify, in whole
or in part, any or all of the requirements; and (2) establish new requirements
as reasonably necessary to participate in the NMLS registry.
Sec. 24. [53B.38]
APPLICATION FOR LICENSE.
(a) An applicant for a
license must apply in a form and in a medium as prescribed by the commissioner. The application must state or contain, as
applicable:
(1) the legal name and
residential and business addresses of the applicant and any fictitious or trade
name used by the applicant in conducting business;
(2) a list of any
criminal convictions of the applicant and any material litigation in which the
applicant has been involved in the ten-year period next preceding the
submission of the application;
(3) a description of any
money transmission previously provided by the applicant and the money
transmission that the applicant seeks to provide in this state;
(4) a list of the
applicant's proposed authorized delegates and the locations in this state where
the applicant and the applicant's authorized delegates propose to engage in
money transmission;
(5) a list of other
states in which the applicant is licensed to engage in money transmission and
any license revocations, suspensions, or other disciplinary action taken
against the applicant in another state;
(6) information
concerning any bankruptcy or receivership proceedings affecting the licensee or
a person in control of a licensee;
(7) a sample form of
contract for authorized delegates, if applicable;
(8) a sample form of
payment instrument or stored value, as applicable;
(9) the name and address
of any federally insured depository financial institution through which the
applicant plans to conduct money transmission; and
(10) any other information
the commissioner or NMLS reasonably requires with respect to the applicant.
(b) If an applicant is a
corporation, limited liability company, partnership, or other legal entity, the
applicant must also provide:
(1) the date of the
applicant's incorporation or formation and state or country of incorporation or
formation;
(2) if applicable, a
certificate of good standing from the state or country in which the applicant
is incorporated or formed;
(3) a brief description
of the structure or organization of the applicant, including any parents or
subsidiaries of the applicant, and whether any parents or subsidiaries are
publicly traded;
(4) the legal name, any
fictitious or trade name, all business and residential addresses, and the
employment, as applicable, in the ten-year period next preceding the submission
of the application of each key individual and person in control of the applicant;
(5) a list of any
criminal convictions and material litigation in which a person in control of
the applicant that is not an individual has been involved in the ten-year
period preceding the submission of the application;
(6) a copy of audited
financial statements of the applicant for the most recent fiscal year and for
the two-year period next preceding the submission of the application or, if the
commissioner deems acceptable, certified unaudited financial statements for the
most recent fiscal year or other period acceptable to the commissioner;
(7) a certified copy of
unaudited financial statements of the applicant for the most recent fiscal
quarter;
(8) if the applicant is
a publicly traded corporation, a copy of the most recent report filed with the
United States Securities and Exchange Commission under section 13 of the
federal Securities Exchange Act of 1934, United States Code, title 15, section
78m, as amended or recodified from time to time;
(9) if the applicant is
a wholly owned subsidiary of:
(i) a corporation
publicly traded in the United States, a copy of audited financial statements
for the parent corporation for the most recent fiscal year or a copy of the
parent corporation's most recent report filed under section 13 of the
Securities Exchange Act of 1934, United States Code, title 15, section 78m, as
amended or recodified from time to time; or
(ii) a corporation
publicly traded outside the United States, a copy of similar documentation
filed with the regulator of the parent corporation's domicile outside the
United States;
(10) the name and
address of the applicant's registered agent in this state; and
(11) any other
information the commissioner reasonably requires with respect to the applicant.
(c) A nonrefundable
application fee of $4,000 must accompany an application for a license under
this section.
(d) The commissioner
may: (1) waive one or more requirements
of paragraphs (a) and (b); or (2) permit an applicant to submit other
information in lieu of the required information.
Sec. 25. [53B.39]
INFORMATION REQUIREMENTS; CERTAIN INDIVIDUALS.
Subdivision 1. Individuals
with or seeking control. Any
individual in control of a licensee or applicant, any individual that seeks to
acquire control of a licensee, and each key individual must furnish to the
commissioner through NMLS:
(1) the individual's
fingerprints for submission to the Federal Bureau of Investigation and the
commissioner for a national criminal history background check, unless the
person currently resides outside of the United States and has resided outside
of the United States for the last ten years; and
(2) personal history and
business experience in a form and in a medium prescribed by the commissioner,
to obtain:
(i) an independent
credit report from a consumer reporting agency;
(ii) information related
to any criminal convictions or pending charges; and
(iii) information
related to any regulatory or administrative action and any civil litigation
involving claims of fraud, misrepresentation, conversion, mismanagement of
funds, breach of fiduciary duty, or breach of contract.
Subd. 2. Individuals
having resided outside the United States.
(a) If an individual has resided outside of the United States at
any time in the last ten years, the individual must also provide an
investigative background report prepared by an independent search firm that
meets the requirements of this subdivision.
(b) At a minimum, the
search firm must:
(1) demonstrate that the
search firm has sufficient knowledge, resources, and employs accepted and
reasonable methodologies to conduct the research of the background report; and
(2) not be affiliated
with or have an interest with the individual the search firm is researching.
(c) At a minimum, the
investigative background report must be written in English and must contain:
(1) if available in the
individual's current jurisdiction of residency, a comprehensive credit report,
or any equivalent information obtained or generated by the independent search
firm to accomplish a credit report, including a search of the court data in the
countries, provinces, states, cities, towns, and contiguous areas where the
individual resided and worked;
(2) criminal records
information for the past ten years, including but not limited to felonies,
misdemeanors, or similar convictions for violations of law in the countries,
provinces, states, cities, towns, and contiguous areas where the individual
resided and worked;
(3) employment history;
(4) media history,
including an electronic search of national and local publications, wire
services, and business applications; and
(5) financial
services-related regulatory history, including but not limited to money
transmission, securities, banking, consumer finance, insurance, and
mortgage-related industries.
Sec. 26. [53B.40]
LICENSE ISSUANCE.
(a) When an application
for an original license under this chapter includes all of the items and
addresses all of the matters that are required, the application is complete and
the commissioner must promptly notify the applicant in a record of the date on
which the application is determined to be complete.
(b) The commissioner's
determination that an application is complete and accepted for processing means
only that the application, on the application's face, appears to include all of
the items, including the criminal background check response from the Federal
Bureau of Investigation, and address all of the matters that are required. The commissioner's determination that an
application is complete is not an assessment of the substance of the
application or of the sufficiency of the information provided.
(c) When an application is
filed and considered complete under this section, the commissioner must
investigate the applicant's financial condition and responsibility, financial
and business experience, character, and general fitness. The commissioner may conduct an investigation
of the applicant, the reasonable cost of which the applicant must pay. The commissioner must issue a license to an
applicant under this section if the commissioner finds:
(1) the applicant has
complied with sections 53B.38 and 53B.39; and
(2) the financial
condition and responsibility; financial and business experience, competence,
character, and general fitness of the applicant; and the competence,
experience, character, and general fitness of the key individuals and persons
in control of the applicant indicate that it is in the interest of the public
to permit the applicant to engage in money transmission.
(d) If an applicant
avails itself of or is otherwise subject to a multistate licensing process:
(1) the commissioner is
authorized to accept the investigation results of a lead investigative state
for the purposes of paragraph (c); or
(2) if Minnesota is a
lead investigative state, the commissioner is authorized to investigate the
applicant pursuant to paragraph (c) and the time frames established by
agreement through the multistate licensing process, provided that the time
frame complies with the application review period provided under paragraph (e).
(e) The commissioner must
approve or deny the application within 120 days after the date the application
is deemed complete. If the application
is not approved or denied within 120 days after the completion date, the
application is approved and the license takes effect on the first business day
after the 120-day period expires.
(f) The commissioner must
issue a formal written notice of the denial of a license application within 30
days of the date the decision to deny the application is made. The commissioner must set forth in the notice
of denial the specific reasons for the denial of the application. An applicant whose application is denied by
the commissioner under this paragraph may appeal within 30 days of the date the
written notice of the denial is received.
The commissioner must set a hearing date that is not later than 60 days
after service of the response, unless a later date is set with the consent of
the denied applicant.
(g) The initial license
term begins on the day the application is approved. The license expires on December 31 of the
year in which the license term began, unless the initial license date is
between November 1 and December 31, in which case the initial license term runs
through December 31 of the following year.
If a license is approved between
November 1 and December 31, the applicant is subject to the renewal fee under
section 53B.31, paragraph (a).
Sec. 27. [53B.41]
LICENSE RENEWAL.
(a) A license under this
chapter must be renewed annually. An
annual renewal fee of $2,500 must be paid no more than 60 days before the
license expires. The renewal term is a
period of one year and begins on January 1 each year after the initial license
term. The renewal term expires on
December 31 of the year the renewal term begins.
(b) A licensee must
submit a renewal report with the renewal fee, in a form and in a medium
prescribed by the commissioner. The
renewal report must state or contain a description of each material change in
information submitted by the licensee in the licensee's original license
application that has not been previously reported to the commissioner.
(c) The commissioner may
grant an extension of the renewal date for good cause.
(d) The commissioner is
authorized to use the NMLS to process license renewals, provided that the NMLS
functionality is consistent with this section.
Sec. 28. [53B.42]
MAINTENANCE OF LICENSE.
(a) If a licensee does
not continue to meet the qualifications or satisfy the requirements that apply
to an applicant for a new money transmission license, the commissioner may
suspend or revoke the licensee's license in accordance with the procedures established
by this chapter or other applicable state law for license suspension or
revocation.
(b) An applicant for a
money transmission license must demonstrate that the applicant meets or will
meet, and a money transmission licensee must at all times meet, the
requirements in sections 53B.59 to 53B.61.
Sec. 29. [53B.43]
ACQUISITION OF CONTROL.
(a) Any person, or group
of persons acting in concert, seeking to acquire control of a licensee must
obtain the commissioner's written approval before acquiring control. An individual is not deemed to acquire
control of a licensee and is not subject to these acquisition of control
provisions when that individual becomes a key individual in the ordinary course
of business.
(b) For the purpose of
this section, a person is presumed to exercise a controlling influence when the
person holds the power to vote, directly or indirectly, at least ten percent of
the outstanding voting shares or voting interests of a licensee or person in
control of a licensee. A person presumed
to exercise a controlling influence as defined by this subdivision can rebut
the presumption of control if the person is a passive investor.
(c) For purposes of
determining the percentage of a person controlled by any other person, the
person's interest must be aggregated with the interest of any other immediate
family member, including the person's spouse, parents, children, siblings,
mothers- and fathers-in-law, sons- and daughters-in-law, brothers- and
sisters-in-law, and any other person who shares the person's home.
(d) A person, or group of
persons acting in concert, seeking to acquire control of a licensee must, in
cooperation with the licensee:
(1) submit an application
in a form and in a medium prescribed by the commissioner; and
(2) submit a
nonrefundable fee of $4,000 with the request for approval.
(e) Upon request, the
commissioner may permit a licensee or the person, or group of persons acting in
concert, to submit some or all information required by the commissioner
pursuant to paragraph (d), clause (1), without using NMLS.
(f) The application
required by paragraph (d), clause (1), must include information required by
section 53B.39 for any new key individuals that have not previously completed
the requirements of section 53B.39 for a licensee.
(g) When an application
for acquisition of control under this section appears to include all of the
items and address all of the matters that are required, the application is
considered complete and the commissioner must promptly notify the applicant in a
record of the date on which the application was determined to be complete.
(h) The commissioner must
approve or deny the application within 60 days after the completion date. If the application is not approved or denied
within 60 days after the completion date, the application is approved and the
person, or group of persons acting in concert, are not prohibited from
acquiring control. The commissioner may
extend the application period for good cause.
(i) The commissioner's
determination that an application is complete and is accepted for processing
means only that the application, on the application's face, appears to include
all of the items and address all of the matters that are required. The commissioner's determination that an
application is complete is not an assessment of the application's substance or
of the sufficiency of the information provided.
(j) When an application is
filed and considered complete under paragraph (g), the commissioner must
investigate the financial condition and responsibility; the financial and
business experience; character; and the general fitness of the person, or group
of persons acting in concert, seeking to acquire control. The commissioner must approve an acquisition
of control under this section if the commissioner finds:
(1) the requirements of
paragraphs (d) and (f) have been met, as applicable; and
(2) the financial
condition and responsibility, financial and business experience, competence,
character, and general fitness of the person, or group of persons acting in
concert, seeking to acquire control; and the competence, experience, character,
and general fitness of the key individuals and persons that control the
licensee after the acquisition of control indicate that it is in the interest
of the public to permit the person, or group of persons acting in concert, to
control the licensee.
(k) If an applicant
avails itself of or is otherwise subject to a multistate licensing process:
(1) the commissioner is
authorized to accept the investigation results of a lead investigative state
for the purposes of paragraph (j); or
(2) if Minnesota is a
lead investigative state, the commissioner is authorized to investigate the
applicant under paragraph (j) and consistent with the time frames established
by agreement through the multistate licensing process.
(l) The commissioner must
issue a formal written notice of the denial of an application to acquire
control. The commissioner must set forth
in the notice of denial the specific reasons the application was denied. An applicant whose application is denied by
the commissioner under this paragraph may appeal the denial within 30 days of
the date the written notice of the denial is received. Chapter 14 applies to appeals under this
paragraph.
(m) Paragraphs (a) and
(d) do not apply to:
(1) a person that acts as
a proxy for the sole purpose of voting at a designated meeting of the
shareholders or holders of voting shares or voting interests of a licensee or a
person in control of a licensee;
(2) a person that
acquires control of a licensee by devise or descent;
(3) a person that
acquires control of a licensee as a personal representative, custodian,
guardian, conservator, or trustee, or as an officer appointed by a court of
competent jurisdiction or by operation of law;
(4) a person that is
exempt under section 53B.29, clause (7);
(5) a person that the
commissioner determines is not subject to paragraph (a), based on the public
interest;
(6) a public offering of
securities of a licensee or a person in control of a licensee; or
(7) an internal
reorganization of a person controlling the licensee, where the ultimate person
controlling the licensee remains the same.
(n) A person identified
in paragraph (m), clause (2), (3), (4), or (6), that is cooperating with the
licensee must notify the commissioner within 15 days of the date the
acquisition of control occurs.
(o) Paragraphs (a) and
(d) do not apply to a person that has complied with and received approval to
engage in money transmission under this chapter, or that was identified as a
person in control in a prior application filed with and approved by the commissioner
or by another state pursuant to a multistate licensing process, provided that:
(1) the person has not
had a license revoked or suspended or controlled a licensee that has had a
license revoked or suspended while the person was in control of the licensee in
the previous five years;
(2) if the person is a
licensee, the person is well managed and has received at least a satisfactory
rating for compliance at the person's most recent examination by an
MSB-accredited state if a rating was given;
(3) the licensee to be
acquired is projected to meet the requirements of sections 53B.59 to 53B.61
after the acquisition of control is completed, and if the person acquiring
control is a licensee, the acquiring licensee is also projected to meet the
requirements of sections 53B.59 to 53B.61 after the acquisition of control is
completed;
(4) the licensee to be
acquired does not implement any material changes to the acquired licensee's
business plan as a result of the acquisition of control, and if the person
acquiring control is a licensee, the acquiring licensee does not implement any material changes to the
acquiring licensee's business plan as a result of the acquisition of control;
and
(5) the person provides
notice of the acquisition in cooperation with the licensee and attests to
clauses (1), (2), (3), and (4) in a form and in a medium prescribed by the
commissioner.
(p) If the notice under
paragraph (o), clause (5), is not disapproved within 30 days after the date on
which the notice was determined to be complete, the notice is deemed approved.
(q) Before filing an
application for approval to acquire control of a licensee, a person may request
in writing a determination from the commissioner as to whether the person would
be considered a person in control of a licensee upon consummation of a proposed
transaction. If the commissioner
determines that the person would not be a person in control of a licensee, the
proposed person and transaction is not subject to paragraphs (a) and (d).
(r) If a multistate
licensing process includes a determination pursuant to paragraph (q) and an
applicant avails itself or is otherwise subject to the multistate licensing
process:
(1) the commissioner is
authorized to accept the control determination of a lead investigative state
with sufficient staffing, expertise, and minimum standards for the purposes of
paragraph (q); or
(2) if Minnesota is a
lead investigative state, the commissioner is authorized to investigate the
applicant under paragraph (q) and consistent with the time frames established
by agreement through the multistate licensing process.
Sec. 30. [53B.44]
CHANGE OF KEY INDIVIDUALS; NOTICE AND INFORMATION REQUIREMENTS.
(a) A licensee that adds
or replaces any key individual must:
(1) provide notice, in a
manner prescribed by the commissioner, within 15 days after the effective date
of the key individual's appointment; and
(2) provide the
information required under section 53B.39 within 45 days of the effective date
of the key individual's appointment.
(b) Within 90 days of
the date on which the notice provided under section 53B.44, paragraph (a), was
determined to be complete, the commissioner may issue a notice of disapproval
of a key individual if the commissioner finds that the competence, business
experience, character, or integrity of the individual is not in the best
interests of the public or the customers of the licensee.
(c) A notice of
disapproval must contain a statement of the basis for disapproval and must be
sent to the licensee and the disapproved individual. A licensee may appeal a notice of disapproval
pursuant to chapter 14 within 30 days of the date the notice of
disapproval is received.
(d) If the notice provided
under paragraph (a) is not disapproved within 90 days after the date on which
the notice was determined to be complete, the key individual is deemed
approved.
(e) If a multistate
licensing process includes a key individual notice review and disapproval
process under this section and the licensee avails itself of or is otherwise
subject to the multistate licensing process:
(1) the commissioner is
authorized to accept the determination of another state if the investigating
state has sufficient staffing, expertise, and minimum standards for the
purposes of this section; or
(2) if Minnesota is a
lead investigative state, the commissioner is authorized to investigate the
applicant under paragraph (b) and the time frames established by agreement
through the multistate licensing process.
Sec. 31. [53B.45]
REPORT OF CONDITION.
(a) Each licensee must
submit a report of condition within 45 days of the end of the calendar quarter,
or within any extended time the commissioner prescribes.
(b) The report of
condition must include:
(1) financial information
at the licensee level;
(2) nationwide and
state-specific money transmission transaction information in every jurisdiction
in the United States where the licensee is licensed to engage in money
transmission;
(3) a permissible
investments report;
(4) transaction
destination country reporting for money received for transmission, if
applicable; and
(5) any other information the commissioner reasonably requires with respect to the licensee.
(c) The commissioner is
authorized to use NMLS to submit the report required under paragraph (a).
(d) The information
required by paragraph (b), clause (4), must only be included in a report of
condition submitted within 45 days of the end of the fourth calendar quarter.
Sec. 32. [53B.46]
AUDITED FINANCIAL STATEMENTS.
(a) Each licensee must,
within 90 days after the end of each fiscal year, or within any extended time
the commissioner prescribes, file with the commissioner:
(1) an audited financial
statement of the licensee for the fiscal year prepared in accordance with
United States generally accepted accounting principles; and
(2) any other information
the commissioner may reasonably require.
(b) The audited financial
statements must be prepared by an independent certified public accountant or
independent public accountant who is satisfactory to the commissioner.
(c) The audited financial
statements must include or be accompanied by a certificate of opinion prepared
by the independent certified public accountant or independent public accountant
that is satisfactory in form and content to the commissioner. If the certificate or opinion is qualified,
the commissioner may order the licensee to take any action the commissioner
finds necessary to enable the independent or certified public accountant or
independent public accountant to remove the qualification.
Sec. 33. [53B.47]
AUTHORIZED DELEGATE REPORTING.
(a) Each licensee must
submit a report of authorized delegates within 45 days of the end of the
calendar quarter. The commissioner is
authorized to use NMLS to submit the report required by this paragraph,
provided that the functionality is consistent with the requirements of this
section.
(b) The authorized
delegate report must include, at a minimum, each authorized delegate's:
(1) company legal name;
(2) taxpayer employer
identification number;
(3) principal provider
identifier;
(4) physical address;
(5) mailing address;
(6) any business
conducted in other states;
(7) any fictitious or
trade name;
(8) contact person name,
telephone number, and email;
(9) start date as the
licensee's authorized delegate;
(10) end date acting as
the licensee's authorized delegate, if applicable;
(11) court orders under
section 53B.53; and
(12) any other information
the commissioner reasonably requires with respect to the authorized delegate.
Sec. 34. [53B.48]
REPORTS OF CERTAIN EVENTS.
(a) A licensee must file
a report with the commissioner within ten business days after the licensee has
reason to know any of the following events has occurred:
(1) a petition by or
against the licensee under the United States Bankruptcy Code, United States
Code, title 11, sections 101 to 110, as amended or recodified from time to
time, for bankruptcy or reorganization has been filed;
(2) a petition by or
against the licensee for receivership, the commencement of any other judicial
or administrative proceeding for the licensee's dissolution or reorganization,
or the making of a general assignment for the benefit of the licensee's creditors
has been filed; or
(3) a proceeding to
revoke or suspend the licensee's license in a state or country in which the
licensee engages in business or is licensed has been commenced.
(b) A licensee must file
a report with the commissioner within ten business days after the licensee has
reason to know any of the following events has occurred:
(1) the licensee or a key
individual or person in control of the licensee is charged with or convicted of
a felony related to money transmission activities; or
(2) an authorized delegate is
charged with or convicted of a felony related to money transmission activities.
Sec. 35. [53B.49]
BANK SECRECY ACT REPORTS.
A licensee and an
authorized delegate must file all reports required by federal currency
reporting, record keeping, and suspicious activity reporting requirements as
set forth in the Bank Secrecy Act and other federal and state laws pertaining
to money laundering. A licensee and
authorized delegate that timely files with the appropriate federal agency a
complete and accurate report required under this section is deemed to comply
with the requirements of this section.
Sec. 36. [53B.50]
RECORDS.
(a) A licensee must
maintain the following records, for purposes of determining the licensee's
compliance with this chapter, for at least three years:
(1) a record of each
outstanding money transmission obligation sold;
(2) a general ledger
posted at least monthly containing all asset, liability, capital, income, and
expense accounts;
(3) bank statements and
bank reconciliation records;
(4) records of
outstanding money transmission obligations;
(5) records of each
outstanding money transmission obligation paid within the three-year period;
(6) a list of the last
known names and addresses of all of the licensee's authorized delegates; and
(7) any other records
the commissioner reasonably requires by administrative rule.
(b) The items specified
in paragraph (a) may be maintained in any form of record.
(c) The records
specified in paragraph (a) may be maintained outside of Minnesota if the
records are made accessible to the commissioner upon seven business-days'
notice that is sent in a record.
(d) All records
maintained by the licensee as required under paragraphs (a) to (c) are open to
inspection by the commissioner under section 53B.33, paragraph (a).
Sec. 37. [53B.51]
RELATIONSHIP BETWEEN LICENSEE AND AUTHORIZED DELEGATE.
(a) For purposes of this
section, "remit" means to make direct payments of money to (1) a
licensee, or (2) a licensee's representative authorized to receive money or to
deposit money in a bank in an account specified by the licensee.
(b) Before a licensee is
authorized to conduct business through an authorized delegate or allows a
person to act as the licensee's authorized delegate, the licensee must:
(1) adopt, and update as
necessary, written policies and procedures reasonably designed to ensure that
the licensee's authorized delegates comply with applicable state and federal
law;
(2) enter into a written
contract that complies with paragraph (d); and
(3) conduct a reasonable
risk-based background investigation sufficient for the licensee to determine
whether the authorized delegate has complied and will likely comply with
applicable state and federal law.
(c) An authorized
delegate must operate in full compliance with this chapter.
(d) The written contract
required by paragraph (b) must be signed by the licensee and the authorized
delegate. The written contract must, at
a minimum:
(1) appoint the person
signing the contract as the licensee's authorized delegate with the authority
to conduct money transmission on behalf of the licensee;
(2) set forth the nature
and scope of the relationship between the licensee and the authorized delegate
and the respective rights and responsibilities of the parties;
(3) require the
authorized delegate to agree to fully comply with all applicable state and
federal laws, rules, and regulations pertaining to money transmission,
including this chapter and regulations implementing this chapter, relevant
provisions of the Bank Secrecy Act and the USA PATRIOT Act, Public Law 107-56;
(4) require the
authorized delegate to remit and handle money and monetary value in accordance
with the terms of the contract between the licensee and the authorized
delegate;
(5) impose a trust on
money and monetary value net of fees received for money transmission for the
benefit of the licensee;
(6) require the
authorized delegate to prepare and maintain records as required by this chapter
or administrative rules implementing this chapter, or as reasonably requested
by the commissioner;
(7) acknowledge that the
authorized delegate consents to examination or investigation by the
commissioner;
(8) state that the
licensee is subject to regulation by the commissioner and that as part of that
regulation the commissioner may (1) suspend or revoke an authorized delegate
designation, or (2) require the licensee to terminate an authorized delegate designation;
and
(9) acknowledge receipt
of the written policies and procedures required under paragraph (b), clause
(1).
(e) If the licensee's
license is suspended, revoked, surrendered, or expired, within five business
days the licensee must provide documentation to the commissioner that the
licensee has notified all applicable authorized delegates of the licensee whose
names are in a record filed with the commissioner of the suspension,
revocation, surrender, or expiration of a license. Upon suspension, revocation, surrender, or
expiration of a license, applicable authorized delegates must immediately cease
to provide money transmission as an authorized delegate of the licensee.
(f) An authorized
delegate of a licensee holds in trust for the benefit of the licensee all money
net of fees received from money transmission.
If an authorized delegate commingles any funds received from money
transmission with other funds or property owned or controlled by the authorized
delegate, all commingled funds and other property are considered held in trust
in favor of the licensee in an amount equal to the amount of money net of fees
received from money transmission.
(g) An authorized
delegate is prohibited from using a subdelegate to conduct money transmission
on behalf of a licensee.
Sec. 38. [53B.52]
UNAUTHORIZED ACTIVITIES.
A person is prohibited
from engaging in the business of money transmission on behalf of a person not
licensed under this chapter or not exempt under sections 53B.29 and 53B.30. A person that engages in the business of
money transmission on behalf of a person that is not licensed under this
chapter or not exempt under sections 53B.29 and 53B.30 provides money
transmission to the same extent as if the person were a licensee, and is
jointly and severally liable with the unlicensed or nonexempt person.
Sec. 39. [53B.53]
PROHIBITED AUTHORIZED DELEGATES.
(a) The district court
in an action brought by a licensee has jurisdiction to grant appropriate
equitable or legal relief, including without limitation prohibiting the
authorized delegate from directly or indirectly acting as an authorized
delegate for any licensee in Minnesota and the payment of restitution, damages,
or other monetary relief, if the district court finds that an authorized
delegate failed to remit money in accordance with the written contract required
by section 53B.51, paragraph (b), or as otherwise directed by the licensee or
required by law.
(b) If the district
court issues an order prohibiting a person from acting as an authorized
delegate for any licensee under paragraph (a), the licensee that brought the
action must report the order to the commissioner within 30 days of the date of
the order and must report the order through NMLS within 90 days of the date of
the order.
Sec. 40. [53B.54]
TIMELY TRANSMISSION.
(a) Every licensee must
forward all money received for transmission in accordance with the terms of the
agreement between the licensee and the sender, unless the licensee has a
reasonable belief or a reasonable basis to believe that the sender may be a victim
of fraud or that a crime or violation of law, rule, or regulation has occurred,
is occurring, or may occur.
(b) If a licensee fails
to forward money received for transmission as provided under this section, the
licensee must respond to inquiries by the sender with the reason for the
failure, unless providing a response would violate a state or federal law,
rule, or regulation.
Sec. 41. [53B.55]
REFUNDS.
(a) This section does
not apply to:
(1) money received for
transmission that is subject to the federal remittance rule under Code of Federal
Regulations, title 12, part 1005, subpart B, as amended or recodified from time
to time; or
(2) money received for
transmission pursuant to a written agreement between the licensee and payee to
process payments for goods or services provided by the payee.
(b) A licensee must
refund to the sender within ten days of the date the licensee receives the
sender's written request for a refund of any and all money received for
transmission, unless:
(1) the money has been
forwarded within ten days of the date on which the money was received for
transmission;
(2) instructions have
been given committing an equivalent amount of money to the person designated by
the sender within ten days of the date on which the money was received for
transmission;
(3) the agreement between the
licensee and the sender instructs the licensee to forward the money at a time
that is beyond ten days of the date on which the money was received for
transmission. If money has not been
forwarded in accordance with the terms of the agreement between the licensee
and the sender, the licensee must issue a refund in accordance with the other
provisions of this section; or
(4) the refund is
requested for a transaction that the licensee has not completed based on a
reasonable belief or a reasonable basis to believe that a crime or violation of
law, rule, or regulation has occurred, is occurring, or may occur.
(c) A refund request
does not enable the licensee to identify:
(1) the sender's name
and address or telephone number; or
(2) the particular
transaction to be refunded in the event the sender has multiple transactions
outstanding.
Sec. 42. [53B.56]
RECEIPTS.
Subdivision 1. Definition. For purposes of this section,
"receipt" means a paper receipt, electronic record, or other written
confirmation.
Subd. 2. Exemption. This section does not apply to:
(1) money received for
transmission that is subject to the federal remittance rule under Code of
Federal Regulations, title 12, part 1005, subpart B, as amended or recodified
from time to time;
(2) money received for
transmission that is not primarily for personal, family, or household purposes;
(3) money received for
transmission pursuant to a written agreement between the licensee and payee to
process payments for goods or services provided by the payee; or
(4) payroll processing
services.
Subd. 3. Transaction
types; receipts form. For a
transaction conducted in person, the receipt may be provided electronically if
the sender requests or agrees to receive an electronic receipt. For a transaction conducted electronically or
by telephone, a receipt may be provided electronically. All electronic receipts must be provided in a
retainable form.
Subd. 4. Receipts
required. (a) Every licensee
or the licensee's authorized delegate must provide the sender a receipt for
money received for transmission.
(b) The receipt must
contain, as applicable:
(1) the name of the
sender;
(2) the name of the
designated recipient;
(3) the date of the
transaction;
(4) the unique
transaction or identification number;
(5) the name of the licensee,
NMLS Unique ID, the licensee's business address, and the licensee's customer
service telephone number;
(6) the transaction
amount, expressed in United States dollars;
(7) any fee the licensee
charges the sender for the transaction; and
(8) any taxes the
licensee collects from the sender for the transaction.
(c) The receipt required
by this section must be provided in (1) English, and (2) the language
principally used by the licensee or authorized delegate to advertise, solicit,
or negotiate, either orally or in writing, for a transaction conducted in
person, electronically, or by telephone, if the language principally used is a
language other than English.
Sec. 43. [53B.57]
NOTICE.
Every licensee or
authorized delegate must include on a receipt or disclose on the licensee's
website or mobile application the name and telephone number of the department
and a statement that the licensee's customers can contact the department with
questions or complaints about the licensee's money transmission services.
Sec. 44. [53B.58]
PAYROLL PROCESSING SERVICES; DISCLOSURES.
(a) A licensee that
provides payroll processing services must:
(1) issue reports to
clients detailing client payroll obligations in advance of the payroll funds
being deducted from an account; and
(2) make available
worker pay stubs or an equivalent statement to workers.
(b) Paragraph (a) does
not apply to a licensee providing payroll processing services if the licensee's
client designates the intended recipients to the licensee and is responsible
for providing the disclosures required by paragraph (a), clause (2).
Sec. 45. [53B.59]
NET WORTH.
(a) A licensee under
this chapter must maintain at all times a tangible net worth that is the
greater of: (1) $100,000; or (2) three
percent of total assets for the first $100,000,000; two percent of additional
assets between $100,000,000 to $1,000,000,000; and one-half percent of
additional assets over $1,000,000,000.
(b) Tangible net worth
must be demonstrated in the initial application by the applicant's most recent
audited or unaudited financial statements under section 53B.38, paragraph (b),
clause (6).
(c) Notwithstanding
paragraphs (a) and (b), the commissioner has the authority, for good cause
shown, to exempt any applicant or licensee in-part or in whole from the
requirements of this section.
Sec. 46. [53B.60]
SURETY BOND.
(a) An applicant for a
money transmission license must provide and a licensee must at all times
maintain (1) security consisting of a surety bond in a form satisfactory to the
commissioner, or (2) with the commissioner's approval, a deposit instead of a bond
in accordance with this section.
(b) The amount of the required
security under this section is:
(1) the greater of (i)
$100,000, or (ii) an amount equal to one hundred percent of the licensee's
average daily money transmission liability in Minnesota, calculated for the
most recently completed three-month period, up to a maximum of $500,000; or
(2) in the event that
the licensee's tangible net worth exceeds ten percent of total assets, the
licensee must maintain a surety bond of $100,000.
(c) A licensee that
maintains a bond in the maximum amount provided for in paragraph (b), clause
(1) or (2), as applicable, is not required to calculate the licensee's average
daily money transmission liability in Minnesota for purposes of this section.
(d) A licensee may exceed the maximum required bond amount pursuant to
section 53B.62, paragraph (a), clause (5).
(e) The security device
remains effective until cancellation, which may occur only after 30 days'
written notice to the commissioner. Cancellation
does not affect the rights of any claimant for any liability incurred or
accrued during the period for which the bond was in force.
(f) The security device
must remain in place for no longer than five years after the licensee ceases
money transmission operations in Minnesota.
Notwithstanding this paragraph, the commissioner may permit the security
device to be reduced or eliminated before that time to the extent that the
amount of the licensee's payment instruments outstanding in Minnesota are
reduced. The commissioner may also
permit a licensee to substitute a letter of credit or other form of security
device acceptable to the commissioner for the security device in place at the
time the licensee ceases money transmission operations in Minnesota.
Sec. 47. [53B.61]
MAINTENANCE OF PERMISSIBLE INVESTMENTS.
(a) A licensee must
maintain at all times permissible investments that have a market value computed
in accordance with United States generally accepted accounting principles of
not less than the aggregate amount of all of the licensee's outstanding money
transmission obligations.
(b) Except for
permissible investments enumerated in section 53B.62, paragraph (a), the
commissioner may by administrative rule or order, with respect to any licensee,
limit the extent to which a specific investment maintained by a licensee within
a class of permissible investments may be considered a permissible investment,
if the specific investment represents undue risk to customers not reflected in
the market value of investments.
(c) Permissible
investments, even if commingled with other assets of the licensee, are held in
trust for the benefit of the purchasers and holders of the licensee's
outstanding money transmission obligations in the event of insolvency; the
filing of a petition by or against the licensee under the United States
Bankruptcy Code, United States Code, title 11, sections 101 to 110, as amended
or recodified from time to time, for bankruptcy or reorganization; the filing
of a petition by or against the licensee for receivership; the commencement of
any other judicial or administrative proceeding for the licensee's dissolution
or reorganization; or in the event of an action by a creditor against the
licensee who is not a beneficiary of this statutory trust. No permissible investments impressed with a
trust pursuant to this paragraph are subject to attachment, levy of execution,
or sequestration by order of any court, except for a beneficiary of the
statutory trust.
(d) Upon the
establishment of a statutory trust in accordance with paragraph (c), or when
any funds are drawn on a letter of credit pursuant to section 53B.62, paragraph
(a), clause (4), the commissioner must notify the applicable regulator of each
state in which the licensee is licensed to engage in money transmission, if
any, of the establishment of the trust or the funds drawn on the letter of
credit, as applicable. Notice is deemed
satisfied if performed pursuant
to a multistate agreement or
through NMLS. Funds drawn on a letter of
credit, and any other permissible investments held in trust for the benefit of
the purchasers and holders of the licensee's outstanding money transmission
obligations, are deemed held in trust for the benefit of the purchasers and
holders of the licensee's outstanding money transmission obligations on a pro
rata and equitable basis in accordance with statutes pursuant to which
permissible investments are required to be held in Minnesota and other states,
as defined by a substantially similar statute in the other state. Any statutory trust established under this
section terminates upon extinguishment of all of the licensee's outstanding
money transmission obligations.
(e) The commissioner may
by rule or by order allow other types of investments that the commissioner
determines are of sufficient liquidity and quality to be a permissible
investment. The commissioner is authorized
to participate in efforts with other state regulators to determine that other
types of investments are of sufficient liquidity and quality to be a
permissible investment.
Sec. 48. [53B.62]
PERMISSIBLE INVESTMENTS.
Subdivision 1. Certain
investments permissible. The
following investments are permissible under section 53B.61:
(1) cash, including
demand deposits, savings deposits, and funds in accounts held for the benefit
of the licensee's customers in a federally insured depository financial
institution; and cash equivalents, including ACH items in transit to the
licensee and ACH items or international wires in transit to a payee, cash in
transit via armored car, cash in smart safes, cash in licensee-owned locations,
debit card or credit card funded transmission receivables owed by any bank, or
money market mutual funds rated AAA or the equivalent from any eligible rating
service;
(2) certificates of
deposit or senior debt obligations of an insured depository institution, as
defined in section 3 of the Federal Deposit Insurance Act, United States Code,
title 12, section 1813, as amended or recodified from time to time, or as defined
under the federal Credit Union Act, United States Code, title 12, section 1781,
as amended or recodified from time to time;
(3) an obligation of the
United States or a commission, agency, or instrumentality thereof; an
obligation that is guaranteed fully as to principal and interest by the United
States; or an obligation of a state or a governmental subdivision, agency, or
instrumentality thereof;
(4) the full drawable
amount of an irrevocable standby letter of credit, for which the stated
beneficiary is the commissioner, that stipulates that the beneficiary need only
draw a sight draft under the letter of credit and present the sight draft to
obtain funds up to the letter of credit amount within seven days of
presentation of the items required by subdivision 2, paragraph (c); and
(5) one hundred percent
of the surety bond or deposit provided for under section 53B.60 that exceeds
the average daily money transmission liability in Minnesota.
Subd. 2. Letter
of credit; requirements. (a)
A letter of credit under subdivision 1, clause (4), must:
(1) be issued by a
federally insured depository financial institution, a foreign bank that is
authorized under federal law to maintain a federal agency or federal branch
office in a state or states, or a foreign bank that is authorized under state
law to maintain a branch in a state that:
(i) bears an eligible rating or whose parent company bears an eligible
rating; and (ii) is regulated, supervised, and examined by United States
federal or state authorities having regulatory authority over banks, credit
unions, and trust companies;
(2) be irrevocable,
unconditional, and indicate that it is not subject to any condition or
qualifications outside of the letter of credit;
(3) not contain reference to
any other agreements, documents, or entities, or otherwise provide for any
security interest in the licensee; and
(4) contain an issue
date and expiration date, and expressly provide for automatic extension without
a written amendment, for an additional period of one year from the present or
each future expiration date, unless the issuer of the letter of credit notifies
the commissioner in writing by certified or registered mail or courier mail or
other receipted means, at least 60 days before any expiration date, that the
irrevocable letter of credit will not be extended.
(b) In the event of any
notice of expiration or nonextension of a letter of credit issued under
paragraph (a), clause (4), the licensee must demonstrate to the satisfaction of
the commissioner, 15 days before the letter or credit's expiration, that the licensee
maintains and will maintain permissible investments in accordance with section
53B.61, paragraph (a), upon the expiration of the letter of credit. If the licensee is not able to do so, the
commissioner may draw on the letter of credit in an amount up to the amount
necessary to meet the licensee's requirements to maintain permissible
investments in accordance with section 53B.61, paragraph (a). Any draw under this paragraph must be offset
against the licensee's outstanding money transmission obligations. The drawn funds must be held in trust by the
commissioner or the commissioner's designated agent, to the extent authorized
by law, as agent for the benefit of the purchasers and holders of the
licensee's outstanding money transmission obligations.
(c) The letter of credit
must provide that the issuer of the letter of credit must honor, at sight, a
presentation made by the beneficiary to the issuer of the following documents
on or before the expiration date of the letter of credit:
(1) the original letter
of credit, including any amendments; and
(2) a written statement
from the beneficiary stating that any of the following events have occurred:
(i) the filing of a
petition by or against the licensee under the United States Bankruptcy Code,
United States Code, title 11, sections 101 to 110, as amended or recodified
from time to time, for bankruptcy or reorganization;
(ii) the filing of a
petition by or against the licensee for receivership, or the commencement of
any other judicial or administrative proceeding for the licensee's dissolution
or reorganization;
(iii) the seizure of
assets of a licensee by a commissioner of any other state pursuant to an
emergency order issued in accordance with applicable law, on the basis of an
action, violation, or condition that has caused or is likely to cause the
insolvency of the licensee; or
(iv) the beneficiary has
received notice of expiration or nonextension of a letter of credit and the
licensee failed to demonstrate to the satisfaction of the beneficiary that the
licensee will maintain permissible investments in accordance with section 53B.61,
paragraph (a), upon the expiration or nonextension of the letter of credit.
(d) The commissioner may
designate an agent to serve on the commissioner's behalf as beneficiary to a
letter of credit, provided the agent and letter of credit meet requirements the
commissioner establishes. The
commissioner's agent may serve as agent for multiple licensing authorities for
a single irrevocable letter of credit if the proceeds of the drawable amount
for the purposes of subdivision 1, clause (4), and this subdivision are
assigned to the commissioner.
(e) The commissioner is
authorized to participate in multistate processes designed to facilitate the
issuance and administration of letters of credit, including but not limited to
services provided by the NMLS and State Regulatory Registry, LLC.
Subd. 3. Other
permissible investments. Unless
the commissioner by administrative rule or order otherwise permits an
investment to exceed the limit set forth in this subdivision, the following
investments are permissible under section 53B.61 to the extent specified:
(1) receivables that are
payable to a licensee from its authorized delegates in the ordinary course of
business that are less than seven days old, up to 50 percent of the aggregate
value of the licensee's total permissible investments;
(2) of the receivables
permissible under clause (1), receivables that are payable to a licensee from a
single authorized delegate in the ordinary course of business may not exceed
ten percent of the aggregate value of the licensee's total permissible investments;
(3) the following
investments are permissible up to 20 percent per category and combined up to 50
percent of the aggregate value of the licensee's total permissible investments:
(i) a short-term
investment of up to six months bearing an eligible rating;
(ii) commercial paper
bearing an eligible rating;
(iii) a bill, note, bond,
or debenture bearing an eligible rating;
(iv) United States
tri-party repurchase agreements collateralized at 100 percent or more with
United States government or agency securities, municipal bonds, or other
securities bearing an eligible rating;
(v) money market mutual
funds rated less than "AAA" and equal to or higher than
"A-" by S&P, or the equivalent from any other eligible rating
service; and
(vi) a mutual fund or
other investment fund composed solely and exclusively of one or more
permissible investments listed in subdivision 1, clauses (1) to (3); and
(4) cash, including
demand deposits, savings deposits, and funds in accounts held for the benefit
of the licensee's customers, at foreign depository institutions are permissible
up to ten percent of the aggregate value of the licensee's total permissible
investments, if the licensee has received a satisfactory rating in the
licensee's most recent examination and the foreign depository institution:
(i) has an eligible
rating;
(ii) is registered under
the Foreign Account Tax Compliance Act, Public Law 111-147;
(iii) is not located in
any country subject to sanctions from the Office of Foreign Asset Control; and
(iv) is not located in a high-risk or noncooperative jurisdiction, as
designated by the Financial Action Task Force.
Sec. 49. [53B.63]
SUSPENSION; REVOCATION.
(a) The commissioner may
suspend or revoke a license or order a licensee to revoke the designation of an
authorized delegate if:
(1) the licensee violates
this chapter, or an administrative rule adopted or an order issued under this
chapter;
(2) the licensee does not
cooperate with an examination or investigation conducted by the commissioner;
(3) the licensee engages
in fraud, intentional misrepresentation, or gross negligence;
(4) an authorized delegate is
convicted of a violation of a state or federal statute prohibiting money
laundering, or violates an administrative rule adopted or an order issued under
this chapter, as a result of the licensee's willful misconduct or willful
blindness;
(5) the competence,
experience, character, or general fitness of the licensee, authorized delegate,
person in control of a licensee, key individual, or responsible person of the
authorized delegate indicates that it is not in the public interest to permit
the person to provide money transmission;
(6) the licensee engages
in an unsafe or unsound practice;
(7) the licensee is
insolvent, suspends payment of the licensee's obligations, or makes a general
assignment for the benefit of the licensee's creditors; or
(8) the licensee does
not remove an authorized delegate after the commissioner issues and serves upon
the licensee a final order that includes a finding that the authorized delegate
has violated this chapter.
(b) When determining
whether a licensee is engaging in an unsafe or unsound practice, the
commissioner may consider the size and condition of the licensee's money
transmission, the magnitude of the loss, the gravity of the violation of this
chapter, and the previous conduct of the person involved.
Sec. 50. [53B.64]
AUTHORIZED DELEGATES; SUSPENSION AND REVOCATION.
(a) The commissioner may
issue an order suspending or revoking the designation of an authorized delegate
if the commissioner finds:
(1) the authorized
delegate violated this chapter, or an administrative rule adopted or an order
issued under this chapter;
(2) the authorized
delegate did not cooperate with an examination or investigation conducted by
the commissioner;
(3) the authorized
delegate engaged in fraud, intentional misrepresentation, or gross negligence;
(4) the authorized
delegate is convicted of a violation of a state or federal anti-money
laundering statute;
(5) the competence,
experience, character, or general fitness of the authorized delegate or a
person in control of the authorized delegate indicates that it is not in the
public interest to permit the authorized delegate to provide money
transmission; or
(6) the authorized
delegate is engaging in an unsafe or unsound practice.
(b) When determining
whether an authorized delegate is engaging in an unsafe or unsound practice,
the commissioner may consider the size and condition of the authorized
delegate's provision of money transmission, the magnitude of the loss, the
gravity of the violation of this chapter, or an administrative rule adopted or
order issued under this chapter, and the previous conduct of the authorized
delegate.
(c) An authorized
delegate may apply for relief from a suspension or revocation of designation as
an authorized delegate in the same manner as a licensee.
Sec. 51. [53B.65]
ENFORCEMENT.
Section 45.027 applies to
this chapter.
Sec. 52. [53B.66]
CRIMINAL PENALTIES.
(a) A person who
intentionally makes a false statement, misrepresentation, or false
certification in a record filed or required to be maintained under this chapter
or that intentionally makes a false entry or omits a material entry in a record
filed or required to be maintained under this chapter is guilty of a felony.
(b) A person who
knowingly engages in an activity for which a license is required under this
chapter without being licensed under this chapter, and who receives more than
$1,000 in compensation within a 30-day period from the activity, is guilty of a
felony.
(c) A person who
knowingly engages in an activity for which a license is required under this
chapter without being licensed under this chapter, and who receives more than
$500 but less than $1,000 in compensation within a 30-day period from the
activity, is guilty of a gross misdemeanor.
(d) A person who
knowingly engages in an activity for which a license is required under this chapter
without being licensed under this chapter, and who receives no more than $500
in compensation within a 30-day period from the activity, is guilty of a
misdemeanor.
Sec. 53. [53B.67]
SEVERABILITY.
If any provision of this
chapter or the chapter's application to any person or circumstance is held
invalid, the invalidity does not affect other provisions or applications of
this chapter that can be given effect without the invalid provision or application.
Sec. 54. [53B.68]
TRANSITION PERIOD.
(a) A person licensed in
Minnesota to engage in the business of money transmission is not subject to the
provisions of this chapter to the extent that this chapter's provisions
conflict with current law or establish new requirements not imposed under current
law until the licensee renews the licensee's current license or for five months
after the effective date of this chapter, whichever is later.
(b) Notwithstanding
paragraph (a), a licensee is only required to amend the licensee's authorized
delegate contracts for contracts entered into or amended after the effective
date or the completion of any transition period contemplated under paragraph (a). Nothing in this section limits an authorized
delegate's obligations to operate in full compliance with this chapter, as
required under section 53B.51, paragraph (c).
Sec. 55. [53B.69]
DEFINITIONS.
Subdivision 1. Terms. For purposes of sections 53B.70 to
53B.74, the following terms have the meaning given them.
Subd. 2. Control
of virtual currency. "Control
of virtual currency," when used in reference to a transaction or
relationship involving virtual currency, means the power to execute
unilaterally or prevent indefinitely a virtual currency transaction.
Subd. 3. Exchange. "Exchange," used as a verb,
means to assume control of virtual currency from or on behalf of a person, at
least momentarily, to sell, trade, or convert:
(1) virtual currency for
money, bank credit, or one or more forms of virtual currency; or
(2) money or bank credit for
one or more forms of virtual currency.
Subd. 4. Transfer. "Transfer" means to assume
control of virtual currency from or on behalf of a person and to:
(1) credit the virtual
currency to the account of another person;
(2) move the virtual
currency from one account of a person to another account of the same person; or
(3) relinquish control
of virtual currency to another person.
Subd. 5. United
States dollar equivalent of virtual currency. "United States dollar equivalent
of virtual currency" means the equivalent value of a particular virtual
currency in United States dollars shown on a virtual‑currency exchange
based in the United States for a particular date or period specified in this
chapter.
Subd. 6. Virtual
currency. (a) "Virtual
currency" means a digital representation of value that:
(1) is used as a medium
of exchange, unit of account, or store of value; and
(2) is not money,
whether or not denominated in money.
(b) Virtual currency
does not include:
(1) a transaction in
which a merchant grants, as part of an affinity or rewards program, value that
cannot be taken from or exchanged with the merchant for money, bank credit, or
virtual currency; or
(2) a digital
representation of value issued by or on behalf of a publisher and used solely
within an online game, game platform, or family of games sold by the same
publisher or offered on the same game platform.
Subd. 7. Virtual-currency
administration. "Virtual-currency
administration" means issuing virtual currency with the authority to
redeem the currency for money, bank credit, or other virtual currency.
Subd. 8. Virtual-currency
business activity. "Virtual-currency
business activity" means:
(1) exchanging,
transferring, or storing virtual currency or engaging in virtual-currency
administration, whether directly or through an agreement with a
virtual-currency control-services vendor;
(2) holding electronic
precious metals or electronic certificates representing interests in precious
metals on behalf of another person or issuing shares or electronic certificates
representing interests in precious metals; or
(3) exchanging one or
more digital representations of value used within one or more online games,
game platforms, or family of games for:
(i) virtual currency
offered by or on behalf of the same publisher from which the original digital
representation of value was received; or
(ii) money or bank
credit outside the online game, game platform, or family of games offered by or
on behalf of the same publisher from which the original digital representation
of value was received.
Subd. 9. Virtual-currency
control-services vendor. "Virtual-currency
control-services vendor" means a person that has control of virtual
currency solely under an agreement with a person that, on behalf of another
person, assumes control of virtual currency.
Sec. 56. [53B.70]
SCOPE.
(a) Sections 53B.71 to
53B.74 do not apply to the exchange, transfer, or storage of virtual currency
or to virtual‑currency administration to the extent the Electronic Fund
Transfer Act of 1978, United States Code, title 15, sections 1693 to 1693r, as
amended or recodified from time to time; the Securities Exchange Act of 1934,
United States Code, title 15, sections 78a to 78oo, as amended or recodified
from time to time; the Commodities Exchange Act of 1936, United States Code,
title 7, sections 1 to 27f, as amended or recodified from time to time; or
chapter 80A govern the activity.
(b) Sections 53B.71 to
53B.74 do not apply to activity by:
(1) a person that:
(i) contributes only
connectivity software or computing power to a decentralized virtual currency,
or to a protocol governing transfer of the digital representation of value;
(ii) provides only data
storage or security services for a business engaged in virtual-currency
business activity and does not otherwise engage in virtual-currency business
activity on behalf of another person; or
(iii) provides only to a
person otherwise exempt from this chapter virtual currency as one or more
enterprise solutions used solely among each other and has no agreement or
relationship with a person that is an end-user of virtual currency;
(2) a person using
virtual currency, including creating, investing, buying or selling, or
obtaining virtual currency as payment for the purchase or sale of goods or
services, solely:
(i) on the person's own
behalf;
(ii) for personal,
family, or household purposes; or
(iii) for academic
purposes;
(3) a person whose
virtual-currency business activity with or on behalf of persons is reasonably
expected to be valued, in the aggregate, on an annual basis at $5,000 or less,
measured by the United States dollar equivalent of virtual currency;
(4) an attorney to the
extent of providing escrow services to a person;
(5) a title insurance
company to the extent of providing escrow services to a person; or
(6) a securities
intermediary, as defined under section 336.8-102(14), or a commodity
intermediary, as defined under section 336.9-102(17), that:
(i) does not engage in
the ordinary course of business in virtual-currency business activity with or
on behalf of a person in addition to maintaining securities accounts or
commodities accounts and is regulated as a securities intermediary or commodity
intermediary under federal law, law of Minnesota other than this chapter, or
law of another state; and
(ii) affords a person
protections comparable to those set forth under section 53B.37.
(c) Sections 53B.71 to 53B.74
do not apply to a secured creditor, as defined under sections 336.9-101 to
336.9‑809, or to a creditor with a judicial lien or lien arising by
operation of law on collateral that is virtual currency, if the
virtual-currency business activity of the creditor is limited to enforcement of
the security interest in compliance with sections 336.9-101 to 336.9-809 or
lien in compliance with the law applicable to the lien.
(d) Sections 53B.71 to
53B.74 do not apply to a virtual-currency control-services vendor.
(e) Sections 53B.71 to
53B.74 do not apply to a person that:
(1) does not receive
compensation from a person to:
(i) provide
virtual-currency products or services; or
(ii) conduct
virtual-currency business activity; or
(2) is engaged in
testing products or services with the person's own money.
(f) The commissioner may
determine that a person or class of persons, given facts particular to the
person or class, should be exempt from this chapter, whether the person or
class is covered by requirements imposed under federal law on a money-service business.
Sec. 57. [53B.71]
VIRTUAL CURRENCY BUSINESS ACTIVITY; CONDITIONS PRECEDENT.
(a) A person may not
engage in virtual-currency business activity, or hold itself out as being able
to engage in virtual-currency business activity, with or on behalf of another
person unless the person is:
(1) licensed in
Minnesota by the commissioner under section 53B.40; or
(2) exempt from
licensing under section 53B.29.
(b) A person that is
licensed to engage in virtual-currency business activity is engaged in the
business of money transmission and is subject to the requirements of this
chapter.
Sec. 58. [53B.72]
REQUIRED DISCLOSURES.
(a) A licensee that
engages in virtual currency business activity must provide to a person who uses
the licensee's products or services the disclosures required by paragraph (b)
and any additional disclosure the commissioner by administrative rule determines
reasonably necessary to protect persons.
The commissioner must determine by administrative rule the time and form
required for disclosure. A disclosure
required by this section must be made separately from any other information
provided by the licensee and in a clear and conspicuous manner in a record the
person may keep. A licensee may propose
for the commissioner's approval alternate disclosures as more appropriate for
the licensee's virtual-currency business activity with or on behalf of persons.
(b) Before establishing
a relationship with a person, a licensee must disclose, to the extent
applicable to the virtual-currency business activity the licensee undertakes
with the person:
(1) a schedule of fees
and charges the licensee may assess, the manner by which fees and charges are
calculated if the fees and charges are not set in advance and disclosed, and
the timing of the fees and charges;
(2) whether the product or
service provided by the licensee is covered by:
(i) a form of insurance
or is otherwise guaranteed against loss by an agency of the United States:
(A) up to the full
United States dollar equivalent of virtual currency purchased from the licensee
or for control of virtual currency by the licensee as of the date of the
placement or purchase, including the maximum amount provided by insurance under
the Federal Deposit Insurance Corporation or otherwise available from the
Securities Investor Protection Corporation; or
(B) if not provided at
the full United States dollar equivalent of virtual currency purchased from the
licensee or for control of virtual currency by the licensee, the maximum amount
of coverage for each person expressed in the United States dollar equivalent of
the virtual currency; or
(ii) private insurance
against theft or loss, including cyber theft or theft by other means;
(3) the irrevocability
of a transfer or exchange and any exception to irrevocability;
(4) a description of:
(i) liability for an
unauthorized, mistaken, or accidental transfer or exchange;
(ii) the person's
responsibility to provide notice to the licensee of the transfer or exchange;
(iii) the basis for any
recovery by the person from the licensee;
(iv) general
error-resolution rights applicable to the transfer or exchange; and
(v) the method for the
person to update the person's contact information with the licensee;
(5) that the date or
time when the transfer or exchange is made and the person's account is debited
may differ from the date or time when the person initiates the instruction to
make the transfer or exchange;
(6) whether the person
has a right to stop a preauthorized payment or revoke authorization for a
transfer, and the procedure to initiate a stop-payment order or revoke
authorization for a subsequent transfer;
(7) the person's right
to receive a receipt, trade ticket, or other evidence of the transfer or
exchange;
(8) the person's right
to at least 30 days' prior notice of a change in the licensee's fee schedule,
other terms and conditions of operating the licensee's virtual-currency
business activity with the person, and the policies applicable to the person's
account; and
(9) that virtual
currency is not money.
(c) Except as otherwise
provided in paragraph (d), at the conclusion of a virtual-currency transaction
with or on behalf of a person, a licensee must provide the person a
confirmation in a record. The record
must contain:
(1) the name and contact
information of the licensee, including information the person may need to ask a
question or file a complaint;
(2) the type, value,
date, precise time, and amount of the transaction; and
(3) the fee charged for the
transaction, including any charge for conversion of virtual currency to money,
bank credit, or other virtual currency.
(d) If a licensee
discloses that it provides a daily confirmation in the initial disclosure under
paragraph (c), the licensee may elect to provide a single, daily confirmation
for all transactions with or on behalf of a person on that day instead of a per-transaction
confirmation.
Sec. 59. [53B.73]
PROPERTY INTERESTS AND ENTITLEMENTS TO VIRTUAL CURRENCY.
(a) A licensee that has
control of virtual currency for one or more persons must maintain control of
virtual currency in each type of virtual currency sufficient to satisfy the
aggregate entitlements of the persons to the type of virtual currency.
(b) If a licensee
violates paragraph (a), the property interests of the persons in the virtual
currency are pro rata property interests in the type of virtual currency to
which the persons are entitled, without regard to the time the persons became
entitled to the virtual currency or the licensee obtained control of the
virtual currency.
(c) The virtual currency
referred to in this section is:
(1) held for the persons
entitled to the virtual currency;
(2) not property of the
licensee;
(3) not subject to the
claims of creditors of the licensee; and
(4) a permissible
investment under this chapter.
Sec. 60. [53B.74]
VIRTUAL CURRENCY BUSINESS ACTIVITIES; ADDITIONAL REQUIREMENTS.
(a) A licensee engaged
in virtual currency business activities may include virtual currency in the
licensee's calculation of tangible net worth, by measuring the average value of
the virtual currency in United States dollar equivalent over the prior six months,
excluding control of virtual currency for a person entitled to the protections
under section 53B.73.
(b) A licensee must
maintain, for all virtual-currency business activity with or on behalf of a
person five years after the date of the activity, a record of:
(1) each of the
licensee's transactions with or on behalf of the person, or for the licensee's
account in Minnesota, including:
(i) the identity of the
person;
(ii) the form of the
transaction;
(iii) the amount, date,
and payment instructions given by the person; and
(iv) the account number,
name, and United States Postal Service address of the person, and, to the
extent feasible, other parties to the transaction;
(2) the aggregate number of
transactions and aggregate value of transactions by the licensee with or on
behalf of the person and for the licensee's account in this state, expressed in
the United States dollar equivalent of the virtual currency for the previous 12
calendar months;
(3) each transaction in
which the licensee exchanges one form of virtual currency for money or another
form of virtual currency with or on behalf of the person;
(4) a general ledger
posted at least monthly that lists all of the licensee's assets, liabilities,
capital, income, and expenses;
(5) each business-call
report the licensee is required to create or provide to the department or NMLS;
(6) bank statements and
bank reconciliation records for the licensee and the name, account number, and
United States Postal Service address of each bank the licensee uses to conduct
virtual-currency business activity with or on behalf of the person;
(7) a report of any
dispute with the person; and
(8) a report of any
virtual-currency business activity transaction with or on behalf of a person
which the licensee was unable to complete.
(c) A licensee must
maintain records required by paragraph (b) in a form that enables the
commissioner to determine whether the licensee is in compliance with this
chapter, any court order, and law of Minnesota other than this chapter.
Sec. 61. Minnesota Statutes 2022, section 56.131, subdivision 1, is amended to read:
Subdivision 1. Interest rates and charges. (a) On any loan in a principal amount not exceeding $100,000 or 15 percent of a Minnesota corporate licensee's capital stock and surplus as defined in section 53.015, if greater, a licensee may contract for and receive interest, finance charges, and other charges as provided in section 47.59.
(b) A licensee making a
loan that is a consumer small loan, as defined in section 47.60, subdivision 1,
paragraph (a), must comply with section 47.60.
A licensee making a loan that is a consumer short-term loan, as defined
in section 47.601, subdivision 1, paragraph (d), must comply with section
47.601.
(b) (c) With
respect to a loan secured by an interest in real estate, and having a maturity
of more than 60 months, the original schedule of installment payments must
fully amortize the principal and interest on the loan. The original schedule of installment payments
for any other loan secured by an interest in real estate must provide for
payment amounts that are sufficient to pay all interest scheduled to be due on
the loan.
(c) (d) A
licensee may contract for and collect a delinquency charge as provided for in
section 47.59, subdivision 6, paragraph (a), clause (4).
(d) (e) A
licensee may grant extensions, deferments, or conversions to interest-bearing
as provided in section 47.59, subdivision 5.
EFFECTIVE DATE; APPLICATION.
This section is effective August 1, 2023, and applies to consumer
small loans and consumer short-term loans originated on or after that date.
Sec. 62. [58.20]
DEFINITIONS.
Subdivision 1. Scope. For purposes of this section to
section 58.23, the terms defined in this section have the meanings given.
Subd. 2. Allowable
assets for liquidity. "Allowable
assets for liquidity" means assets that may be used to satisfy the
liquidity requirements under section 58.22, including:
(1) unrestricted cash
and cash equivalents; and
(2) unencumbered
investment grade assets held for sale or trade, including agency
mortgage-backed securities, obligations of government-sponsored enterprises,
and United States Treasury obligations.
Subd. 3. Board
of directors. "Board of
directors" means the formal body established by a covered institution that
is responsible for corporate governance and compliance with sections 58.21 to
58.23.
Subd. 4. Corporate
governance. "Corporate
governance" means the structure of the covered institution and how the
covered institution is managed, including the corporate rules, policies,
processes, and practices used to oversee and manage the covered institution.
Subd. 5. Covered
institution. "Covered
institution" means a mortgage servicer that services or subservices for
others at least 2,000 or more residential mortgage loans in the United States,
excluding whole loans owned, and loans being interim serviced prior to sale as
of the most recent calendar year end, reported on the NMLS mortgage call
report.
Subd. 6. External
audit. "External
audit" means the formal report, prepared by an independent certified
public accountant, expressing an opinion on whether the financial statements
are:
(1) presented fairly, in
all material aspects, in accordance with the applicable financial reporting
framework; and
(2) inclusive of an
evaluation of the adequacy of a company's internal control structure.
Subd. 7. Government-sponsored
enterprises. "Government-sponsored
enterprises" means the Federal National Mortgage Association, and the
Federal Home Loan Mortgage Corporation.
Subd. 8. Interim
serviced prior to sale. "Interim
serviced prior to sale" means the collection of a limited number of
contractual mortgage payments immediately after origination on loans held for
sale but no longer than a period of ninety days prior to the loans being sold
into the secondary market.
Subd. 9. Internal
audit. "Internal
audit" means the internal activity of performing independent and objective
assurance and consulting to evaluate and improve the effectiveness of company
operations, risk management, internal controls, and governance processes.
Subd. 10. Mortgage-backed
security. "Mortgage-backed
security" means a financial instrument, often debt securities,
collateralized by residential mortgages.
Subd. 11. Mortgage
call report. "Mortgage
call report" means the quarterly or annual report of residential real
estate loan origination, servicing, and financial information completed by
companies licensed in NMLS.
Subd. 12. Mortgage
servicing rights. "Mortgage
servicing rights" means the contractual right to service a residential
mortgage loan on behalf of the owner of the associated mortgage in exchange for
compensation specified in the servicing contract.
Subd. 13. Mortgage
servicing rights investor. "Mortgage
servicing rights investor" or "master servicer" means an entity
that (1) invests in and owns mortgage servicing rights; and (2) relies on
subservicers to administer the loans on the mortgage servicing rights
investor's behalf.
Subd. 14. Nationwide
Multistate Licensing System. "Nationwide
Multistate Licensing System" or "NMLS" has the meaning given in
section 58A.02, subdivision 8.
Subd. 15. Operating
liquidity. "Operating
liquidity" means the money necessary for an entity to perform normal
business operations, including payment of rent, salaries, interest expenses,
and other typical expenses associated with operating the entity.
Subd. 16. Residential
mortgage loans serviced. "Residential
mortgage loans serviced" means the specific portfolio or portfolios of
residential mortgage loans for which a licensee is contractually responsible to
the owner or owners of the mortgage loans for the defined servicing activities.
Subd. 17. Reverse
mortgage. "Reverse
mortgage" has the meaning given in section 47.58, subdivision 1, paragraph
(a).
Subd. 18. Risk management assessment. "Risk management assessment" means the functional evaluations performed under the risk management program and the reports provided to the board of directors under the relevant governance protocol.
Subd. 19. Risk
management program. "Risk
management program" means the policies and procedures designed to
identify, measure, monitor, and mitigate risk commensurate with the covered
institution's size and complexity.
Subd. 20. Servicer. "Servicer" has the meaning
given in section 58.02, subdivision 20.
Subd. 21. Servicing
liquidity. "Servicing
liquidity" or "liquidity" means the financial resources
necessary to manage liquidity risk arising from servicing functions required in
acquiring and financing mortgage servicing rights; hedging costs, including
margin calls, associated with the mortgage servicing rights asset and financing
facilities; and advances or costs of advance financing for principal, interest,
taxes, insurance, and any other servicing related advances.
Subd. 22. Subservicer. "Subservicer" means the
entity performing routine administration of residential mortgage loans as the
agent of a servicer or mortgage servicing rights investor under the terms of a
subservicing contract.
Subd. 23. Subservicing
for others. "Subservicing
for others" means the contractual activities performed by subservicers on
behalf of a servicer or mortgage servicing rights investor.
Subd. 24. Tangible
net worth. "Tangible net
worth" means total equity less receivables due from related entities, less
goodwill and other intangibles, less pledged assets.
Subd. 25. Whole
loans. "Whole
loans" means a loan where a mortgage and the underlying credit risk is
owned and held on a balance sheet of the entity possessing all ownership
rights.
Sec. 63. [58.21]
APPLICABILITY; EXCLUSIONS.
Subdivision 1. Applicability. Sections 58.20 to 58.23 apply to
covered institutions. For entities
within a holding company or an affiliated group of companies, sections 58.20 to
58.23 apply at the covered institution level.
Subd. 2. Exclusions. (a) Sections 58.20 to 58.23 do not
apply to (1) persons exempt from licensing under sections 58.04 and 58.05, and
(2) an institution of the Farm Credit System established and authorized in
accordance with the Farm Credit Act of 1971, as amended, United States Code,
title 12, section 2001 et seq.
(b) Section 58.22 does
not apply to (1) servicers that solely own or conduct reverse mortgage
servicing, or (2) the reverse mortgage portfolio administered by a covered
institution.
Sec. 64. [58.22]
FINANCIAL CONDITION.
Subdivision 1. Compliance
required. A covered
institution must maintain capital and liquidity in compliance with this
section.
Subd. 2. Generally
accepted accounting principles. For
the purposes of complying with the capital and liquidity requirements of this
section, all financial data must be determined in accordance with generally
accepted accounting principles.
Subd. 3. Federal
Housing Finance Agency eligibility requirements; policies and procedures. (a) A covered institution that meets
the Federal Housing Finance Agency eligibility requirements for enterprise
single-family sellers and servicers with respect to capital, net worth ratio,
and liquidity meets the requirements of subdivisions 1 and 2, regardless of
whether the servicer is approved for government-sponsored enterprise servicing.
(b) A covered institution
must maintain written policies and procedures that implement the capital and
servicing liquidity requirements of this section. The policies and procedures implemented
pursuant to this paragraph must include a sustainable written methodology to
satisfy the requirements of paragraph (a) and must be made available to the
commissioner upon request.
Subd. 4. Operating
liquidity. (a) A covered
institution must maintain sufficient allowable assets for liquidity, in
addition to the amounts required for servicing liquidity, to cover normal
business operations.
(b) Covered institutions
must have sound cash management and business operating plans that (1) match the
complexity of the institution; and (2) ensure normal business operations.
(c) Management must
develop, establish, and implement plans, policies, and procedures to maintain
operating liquidity sufficient for the ongoing needs of the covered institution. Plans, policies, and procedures implemented
pursuant to this paragraph must contain sustainable, written methodologies to
maintain sufficient operating liquidity and must be made available to the
commissioner upon request.
Sec. 65. [58.23]
CORPORATE GOVERNANCE.
Subdivision 1. Board
of directors required. A
covered institution must establish and maintain a board of directors that is
responsible for oversight of the covered institution.
Subd. 2. Board
of directors; alternative. If
a covered institution has not received approval to service loans by a government-sponsored enterprise or
the Government National Mortgage Association, or if a government‑sponsored
enterprise or the Government National Mortgage Association has granted approval
for a board of directors alternative, the covered institution may establish a
similar body constituted to exercise oversight and fulfill the responsibilities
specified under subdivision 3.
Subd. 3. Board
of directors; responsibilities. The
board of directors must:
(1) establish a written
corporate governance framework, including appropriate internal controls
designed to monitor corporate governance and assess compliance with the
corporate governance framework, and must make the corporate governance
framework available to the commissioner upon request;
(2) monitor and ensure
the covered institution complies with (i) the corporate governance framework;
and (ii) sections 58.20 to this section; and
(3) perform accurate and
timely regulatory reporting, including filing the mortgage call report.
Subd. 4. Internal
audit. The board of directors
must establish internal audit requirements that (1) are appropriate for the
size, complexity, and risk profile of the servicer; and (2) ensure appropriate
independence to provide a reliable evaluation of the servicer's internal control
structure, risk management, and governance.
The board-established internal audit requirements and the results of
internal audits must be made available to the commissioner upon request.
Subd. 5. External
audit. (a) A covered
institution must receive an external audit, including audited financial
statements and audit reports, that is conducted by an independent public
accountant annually. The external audit
must be made available to the commissioner upon request.
(b) The external audit
must include, at a minimum:
(1) annual financial
statements, including (i) a balance sheet; (ii) a statement of operations and
income statement; and (iii) cash flows, including notes and supplemental
schedules prepared in accordance with generally accepted accounting principles;
(2) an assessment of the
internal control structure;
(3) a computation of
tangible net worth;
(4) validation of
mortgage servicing rights valuation and reserve methodology, if applicable;
(5) verification of
adequate fidelity and errors and omissions insurance; and
(6) testing of controls
related to risk management activities, including compliance and stress testing,
if applicable.
Subd. 6. Risk
management. (a) Under
oversight by the board of directors, a covered institution must establish a
risk management program that identifies, measures, monitors, and controls risk
commensurate with the covered institution's size and complexity. The risk management program must have
appropriate processes and models in place to measure, monitor, and mitigate
financial risks and changes to the servicer's risk profile and assets being
serviced.
(b) The risk management
program must be scaled to the size and complexity of the organization,
including but not limited to:
(1) the potential that a
borrower or counterparty fails to perform on an obligation;
(2) the potential that the
servicer (i) is unable to meet the servicer's obligations as the obligations
come due as a result of an inability to liquidate assets or obtain adequate
funding; or (ii) cannot easily unwind or offset specific exposures;
(3) the risk resulting
from (i) inadequate or failed internal processes, people, and systems; or (ii)
external events;
(4) the risk to the
servicer's condition resulting from adverse movements in market rates or
prices;
(5) the risk of
regulatory sanctions, fines, penalties, or losses resulting from the failure to
comply with laws, rules, regulations, or other supervisory requirements that
apply to the servicer;
(6) the potential that
legal proceedings against the institution resulting in unenforceable contracts,
lawsuits, legal sanctions, or adverse judgments can disrupt or otherwise
negatively affect the servicer's operations or condition; and
(7) the risk to earnings
and capital arising from negative publicity regarding the servicer's business
practices.
Subd. 7. Risk
management assessment. A
covered institution must conduct a risk management assessment on an annual
basis. The risk management assessment
must conclude with a formal report to the board of directors and must be made
available to the commissioner upon request.
A covered institution must maintain evidence of risk management
activities throughout the year and must include the evidence of risk management
activities as part of the report. The
risk management assessment must include issue findings and the response or
action taken to address the issue findings.
Sec. 66. [58B.011]
STUDENT LOAN ADVOCATE.
Subdivision 1. Designation
of a student loan advocate. The
commissioner of commerce must designate a student loan advocate within the
Department of Commerce to provide timely assistance to borrowers and to
effectuate this chapter.
Subd. 2. Duties. The student loan advocate has the
following duties:
(1) receive, review, and
attempt to resolve complaints from borrowers, including but not limited to
attempts to resolve borrower complaints in collaboration with institutions of
higher education, student loan servicers, and any other participants in student
loan lending;
(2) compile and analyze
data on borrower complaints received under clause (1);
(3) help borrowers
understand the rights and responsibilities under the terms of student loans;
(4) provide information
to the public, state agencies, legislators, and relevant stakeholders regarding
the problems and concerns of borrowers;
(5) make recommendations
to resolve the problems of borrowers;
(6) analyze and monitor
the development and implementation of federal, state, and local laws,
regulations, and policies relating to borrowers, and recommend any changes
deemed necessary;
(7) review the complete
student loan history for any borrower who has provided written consent to
conduct the review;
(8) increase public awareness
that the advocate is available to assist in resolving the student loan
servicing concerns of potential and actual borrowers, institutions of higher
education, student loan servicers, and any other participant in student loan
lending; and
(9) take other actions
as necessary to fulfill the duties of the advocate, as provided under this
section.
Subd. 3. Student
loan education course. The
advocate must establish and maintain a borrower education course. The course must include educational
presentations and materials regarding important topics in student loans,
including but not limited to:
(1) the meaning of
important terminology used in student lending;
(2) documentation
requirements;
(3) monthly payment
obligations;
(4) income-based
repayment options;
(5) the availability of
state and federal loan forgiveness programs; and
(6) disclosure requirements.
Subd. 4. Reporting. By January 15 of each odd-numbered
year, the advocate must report to the legislative committees with primary
jurisdiction over commerce and higher education. The report must describe the advocate's
implementation of this section, the outcomes achieved by the advocate during
the previous two years, and recommendations to improve the regulation of
student loan servicers.
Sec. 67. Minnesota Statutes 2022, section 80A.50, is amended to read:
80A.50 SECTION 302; FEDERAL COVERED SECURITIES; SMALL CORPORATE
OFFERING REGISTRATION.
(a) Federal covered securities.
(1) Required filing of records. With respect to a federal covered security, as defined in Section 18(b)(2) of the Securities Act of 1933 (15 U.S.C. Section 77r(b)(2)), that is not otherwise exempt under sections 80A.45 through 80A.47, a rule adopted or order issued under this chapter may require the filing of any or all of the following records:
(A) before the initial offer of a federal covered security in this state, all records that are part of a federal registration statement filed with the Securities and Exchange Commission under the Securities Act of 1933 and a consent to service of process complying with section 80A.88 signed by the issuer;
(B) after the initial offer of the federal covered security in this state, all records that are part of an amendment to a federal registration statement filed with the Securities and Exchange Commission under the Securities Act of 1933; and
(C) to the extent necessary or appropriate to compute fees, a report of the value of the federal covered securities sold or offered to persons present in this state, if the sales data are not included in records filed with the Securities and Exchange Commission.
(2) Notice filing effectiveness and renewal. A notice filing under subsection (a) is effective for one year commencing on the later of the notice filing or the effectiveness of the offering filed with the Securities and Exchange Commission. On or before expiration, the issuer may renew a notice filing by filing a copy of those records filed by the issuer with the Securities and Exchange Commission that are required by rule or order under this chapter to be filed. A previously filed consent to service of process complying with section 80A.88 may be incorporated by reference in a renewal. A renewed notice filing becomes effective upon the expiration of the filing being renewed.
(3) Notice filings for federal covered securities under section 18(b)(4)(D). With respect to a security that is a federal covered security under Section 18(b)(4)(D) of the Securities Act of 1933 (15 U.S.C. Section 77r(b)(4)(D)), a rule under this chapter may require a notice filing by or on behalf of an issuer to include a copy of Form D, including the Appendix, as promulgated by the Securities and Exchange Commission, and a consent to service of process complying with section 80A.88 signed by the issuer not later than 15 days after the first sale of the federal covered security in this state.
(4) Stop orders. Except with respect to a federal security under Section 18(b)(1) of the Securities Act of 1933 (15 U.S.C. Section 77r(b)(1)), if the administrator finds that there is a failure to comply with a notice or fee requirement of this section, the administrator may issue a stop order suspending the offer and sale of a federal covered security in this state. If the deficiency is corrected, the stop order is void as of the time of its issuance and no penalty may be imposed by the administrator.
(b) Small corporation offering registration.
(1) Registration required. A security meeting the conditions set forth in this section may be registered as set forth in this section.
(2) Availability. Registration under this section is available only to the issuer of securities and not to an affiliate of the issuer or to any other person for resale of the issuer's securities. The issuer must be organized under the laws of one of the states or possessions of the United States. The securities offered must be exempt from registration under the Securities Act of 1933 pursuant to Rule 504 of Regulation D (15 U.S.C. Section 77c).
(3) Disqualification. Registration under this section is not available to any of the following issuers:
(A) an issuer subject to the reporting requirements of Section 13 or
15(d) of the Securities Exchange Act of 1934;
(B) an investment company;
(C) a development stage company that either has no specific business plan or purpose or has indicated that its business plan is to engage in a merger or acquisition with an unidentified company or companies or other entity or person;
(D) an issuer if the issuer or any of its predecessors, officers, directors, governors, partners, ten percent stock or equity holders, promoters, or any selling agents of the securities to be offered, or any officer, director, governor, or partner of the selling agent:
(i) has filed a registration statement that is the subject of a currently effective registration stop order entered under a federal or state securities law within five years before the filing of the small corporate offering registration application;
(ii) has been convicted within five years before the filing of the small corporate offering registration application of a felony or misdemeanor in connection with the offer, purchase, or sale of a security or a felony involving fraud or deceit, including, but not limited to, forgery, embezzlement, obtaining money under false pretenses, larceny, or conspiracy to defraud;
(iii) is currently subject to a state administrative enforcement order or judgment entered by a state securities administrator or the Securities and Exchange Commission within five years before the filing of the small corporate offering registration application, or is subject to a federal or state administrative enforcement order or judgment in which fraud or deceit, including, but not limited to, making untrue statements of material facts or omitting to state material facts, was found and the order or judgment was entered within five years before the filing of the small corporate offering registration application;
(iv) is currently subject to an order, judgment, or decree of a court of competent jurisdiction temporarily restraining or enjoining, or is subject to an order, judgment, or decree of a court of competent jurisdiction permanently restraining or enjoining the party from engaging in or continuing any conduct or practice in connection with the purchase or sale of any security or involving the making of a false filing with a state or with the Securities and Exchange Commission entered within five years before the filing of the small corporate offering registration application; or
(v) is subject to a state's administrative enforcement order, or judgment that prohibits, denies, or revokes the use of an exemption for registration in connection with the offer, purchase, or sale of securities,
(I) except that clauses (i) to (iv) do not apply if the person subject to the disqualification is duly licensed or registered to conduct securities-related business in the state in which the administrative order or judgment was entered against the person or if the dealer employing the party is licensed or registered in this state and the form BD filed in this state discloses the order, conviction, judgment, or decree relating to the person, and
(II) except that the disqualification under this subdivision is automatically waived if the state securities administrator or federal agency that created the basis for disqualification determines upon a showing of good cause that it is not necessary under the circumstances to deny the registration.
(4) Filing and effectiveness of registration statement. A small corporate offering registration statement must be filed with the administrator. If no stop order is in effect and no proceeding is pending under section 80A.54, such registration statement shall become effective automatically at the close of business on the 20th day after filing of the registration statement or the last amendment of the registration statement or at such earlier time as the administrator may designate by rule or order. For the purposes of a nonissuer transaction, other than by an affiliate of the issuer, all outstanding securities of the same class identified in the small corporate offering registration statement as a security registered under this chapter are considered to be registered while the small corporate offering registration statement is effective. A small corporate offering registration statement is effective for one year after its effective date or for any longer period designated in an order under this chapter. A small corporate offering registration statement may be withdrawn only with the approval of the administrator.
(5) Contents of registration statement. A small corporate offering registration statement under this section shall be on Form U-7, including exhibits required by the instructions thereto, as adopted by the North American Securities Administrators Association, or such alternative form as may be designated by the administrator by rule or order and must include:
(A) a consent to service of process complying with section 80A.88;
(B) a statement of the type and amount of securities to be offered and the amount of securities to be offered in this state;
(C) a specimen or copy of the security being registered, unless the security is uncertificated, a copy of the issuer's articles of incorporation and bylaws or their substantial equivalents in effect, and a copy of any indenture or other instrument covering the security to be registered;
(D) a signed or conformed copy of an opinion of counsel concerning the legality of the securities being registered which states whether the securities, when sold, will be validly issued, fully paid, and nonassessable and, if debt securities, binding obligations of the issuer;
(E) the states (i) in which the securities are proposed to be offered; (ii) in which a registration statement or similar filing has been made in connection with the offering including information as to effectiveness of each such filing; and (iii) in which a stop order or similar proceeding has been entered or in which proceedings or actions seeking such an order are pending;
(F) a copy of the offering document proposed to be delivered to offerees; and
(G) a copy of any other pamphlet, circular, form letter, advertisement, or other sales literature intended as of the effective date to be used in connection with the offering and any solicitation of interest used in compliance with section 80A.46(17)(B).
(6) Copy to purchaser. A copy of the offering document as filed with the administrator must be delivered to each person purchasing the securities prior to sale of the securities to such person.
(c) Offering limit. Offers and sales of securities under a
small corporate offering registration as set forth in this section are allowed
up to the limit prescribed by Code of Federal Regulations, title 17, part
230.504(b)(2), as amended.
Sec. 68. [332.71]
DEFINITIONS.
Subdivision 1. Scope. For the purposes of sections 332.71 to
332.75, the definitions in this section have the meanings given them.
Subd. 2. Coerced
debt. (a) "Coerced
debt" means all or a portion of debt in a debtor's name that has been
incurred as a result of:
(1) the use of the
debtor's personal information without the debtor's knowledge, authorization, or
consent;
(2) the use or threat of
force, intimidation, undue influence, harassment, fraud, deception, coercion,
or other similar means against the debtor; or
(3) economic abuse
perpetrated against the debtor.
(b) Coerced debt does
not include secured debt.
Subd. 3. Creditor. "Creditor" means a person,
or the person's successor, assignee, or agent, claiming to own or have the
right to collect a debt owed by the debtor.
Subd. 4. Debtor. "Debtor" means a person who
(1) is a victim of domestic abuse, harassment, or sex or labor trafficking, and
(2) owes coerced debt.
Subd. 5. Documentation. "Documentation" means a
writing that identifies a debt or a portion of a debt as coerced debt,
describes the circumstances under which the coerced debt was incurred, and
takes the form of:
(1) a police report;
(2) a Federal Trade
Commission identity theft report;
(3) an order in a dissolution
proceeding under chapter 518 that declares that one or more debts are coerced;
or
(4) a sworn written
certification.
Subd. 6. Domestic
abuse. "Domestic
abuse" has the meaning given in section 518B.01, subdivision 2.
Subd. 7. Economic
abuse. "Economic
abuse" means behavior in the context of a domestic relationship that
controls, restrains, restricts, impairs, or interferes with the ability of a
victim of domestic abuse, harassment, or sex or labor trafficking to acquire,
use, or maintain economic resources, including but not limited to:
(1) withholding or
restricting access to, or the acquisition of, money, assets, credit, or
financial information;
(2) interfering with the
victim's ability to work and earn wages; or
(3) exerting undue
influence over a person's financial and economic behavior or decisions.
Subd. 8. Harassment. "Harassment" has the meaning
given in section 609.748.
Subd. 9. Labor
trafficking. "Labor
trafficking" has the meaning given in section 609.281, subdivision 5.
Subd. 10. Qualified
third-party professional. "Qualified
third-party professional" means:
(1) a domestic abuse
advocate, as defined under section 595.02, subdivision 1, paragraph (l);
(2) a sexual assault
counselor, as defined under section 595.02, subdivision 1, paragraph (k);
(3) a licensed health care provider, mental health care provider,
social worker, or marriage and family therapist; or
(4) a nonprofit
organization in Minnesota that provides direct assistance to victims of
domestic abuse, sexual assault, or sex or labor trafficking.
Subd. 11. Sex
trafficking. "Sex
trafficking" has the meaning given in section 609.321, subdivision 7a.
Subd. 12. Sworn
written certification. "Sworn
written certification" means a statement by a qualified third‑party
professional in the following form:
CERTIFICATION OF QUALIFIED THIRD-PARTY PROFESSIONAL
I, .................... (name
of qualified third-party professional), do hereby certify under penalty of
perjury as follows:
1. I am a licensed health care provider, mental
health care provider, social worker, marriage and family therapist, domestic
abuse advocate, as that term is defined in Minnesota Statutes, section 595.02,
subdivision 1, paragraph (l), or sexual assault counselor, as that term is
defined in Minnesota Statutes, section 595.02, subdivision 1, paragraph (k), or
a staff member of a nonprofit organization that provides direct assistance to
victims of domestic abuse, sexual assault, or sex or labor trafficking, who has
had in-person contact or face-to-face contact through an electronic medium with
.................... (name of debtor).
2. Based on my professional interactions with
the debtor and information presented to me in my professional capacity, I have
a reasonable basis to believe .................... (name of debtor) is a victim
of domestic abuse, harassment, sex trafficking or labor trafficking and has
incurred all or a portion of debt that is coerced debt, as that term is defined
in Minnesota Statutes, section 332.71, subdivision 2.
3. Based on my professional interactions with
the debtor and on information presented to me, I have reason to believe that
the circumstances under which the coerced debt was incurred are as follows:
4. The following debts or portions of the debts
have been identified to me as coerced:
I attest that the
foregoing is true and correct.
(Printed name of
qualified third party)
(Signature of qualified
third party)
(Business address and
business telephone)
(Date)
EFFECTIVE DATE; APPLICATION.
This section is effective January 1, 2024, and applies to all
debts incurred on or after that date.
Sec. 69. [332.72]
COERCED DEBT PROHIBITED.
A person is prohibited
from causing another person to incur coerced debt.
EFFECTIVE DATE; APPLICATION.
This section is effective January 1, 2024, and applies to all
debts incurred on or after that date.
Sec. 70. [332.73]
NOTICE TO CREDITOR OF COERCED DEBT.
Subdivision 1. Notification. (a) Before taking an affirmative
action under section 332.74, a debtor must, by certified mail, notify a
creditor that the debt or a portion of a debt on which the creditor demands
payment is coerced debt and request that the creditor cease all collection
activity on the coerced debt. The
notification and request must be in writing and include documentation. The creditor, within 30 days of the date the
notification and request is received, must notify the debtor in writing of the
creditor's decision to either immediately cease all collection activity or
continue to pursue collection.
(b) If a creditor ceases
collection but subsequently decides to resume collection activity, the creditor
must notify the debtor ten days prior to the date the collection activity
resumes.
(c) A debtor must not
proceed with an action under section 332.74 until the 30-day period provided
under paragraph (a) has expired.
Subd. 2. Sale
or assignment of coerced debt. A
creditor may sell or assign a debt to another party if the creditor selling or
assigning the debt includes notification to the buyer or assignee that the
debtor has asserted the debt is coerced debt.
Subd. 3. No
inference upon cessation of collection activity. The fact that a creditor ceases
collection activity under this section or section 332.74 does not create an
inference or presumption regarding the validity or invalidity of a debt for
which a debtor is liable or not liable. The
exercise or nonexercise of rights under this section is not a waiver of any
other debtor or creditor rights or defenses.
EFFECTIVE DATE; APPLICATION.
This section is effective January 1, 2024, and applies to all
debts incurred on or after that date.
Sec. 71. [332.74]
DEBTOR REMEDIES.
Subdivision 1. Right
to petition for declaration and injunction.
A debtor alleging violation of section 332.72 may petition for
equitable relief in the district court in the county where the debtor lives or
where the coerced debt was incurred. The
petition must include:
(1) the notice to the
creditor required under section 332.73, subdivision 1;
(2) consistent with Rule
11 of the Minnesota Rules of General Practice, information identifying (i) the
account or accounts associated with the coerced debt, and (ii) the person in
whose name the debt was incurred; and
(3) the identity and, if
known, contact information of the person who caused the debtor to incur coerced
debt, unless the debtor signs a sworn statement that disclosing the information
is likely to result in domestic abuse or other harm to the debtor, the debtor's
children, parents, other relatives, or a family pet.
Subd. 2. Procedural
safeguards. The court must
take appropriate steps necessary to prevent abuse of the debtor or to the
debtor, the debtor's children, parents, other relatives, or a family pet. For purposes of this subdivision, appropriate
steps include but are not limited to sealing the file, marking the file as
confidential, redacting personally identifiable information about the debtor,
and directing that any deposition or evidentiary hearing be conducted remotely.
Subd. 3. Relief. (a) If a debtor shows by a
preponderance of the evidence that the debtor has been aggrieved by a violation
of section 332.72 and the debtor has incurred coerced debt, the debtor is
entitled to one or more of the following:
(1) a declaratory
judgment that the debt or portion of a debt is coerced debt;
(2) an injunction
prohibiting the creditor from (i) holding or attempting to hold the debtor
liable for the debt or portion of a debt, or (ii) enforcing a judgment related
to the coerced debt; and
(3) an order dismissing
any cause of action brought by the creditor to enforce or collect the coerced
debt from the debtor or, if only a portion of the debt is established as
coerced debt, an order directing that the judgment, if any, in the action be amended
to reflect only the portion of the debt that is not coerced debt.
(b) If the court orders
relief for the debtor under paragraph (a), the court, after the creditor's
motion has been served by United States mail to the last known address of the
person who violated section 332.72, must issue a judgment in favor of the creditor
against the person in the amount of the debt or a portion of the debt.
(c) This subdivision
applies regardless of the judicial district in which the creditor's action or
the debtor's petition was filed.
Subd. 4. Affirmative
defense. In an action against
a debtor to satisfy a debt, it is an affirmative defense that the debtor
incurred coerced debt.
Subd. 5. Burden. In any affirmative action taken under
subdivision 1 or any affirmative defense asserted in subdivision 3, the debtor
bears the burden to show by a preponderance of the evidence that the debtor
incurred coerced debt. There is a
presumption that the debtor has incurred coerced debt if the person alleged to
have caused the debtor to incur the coerced debt has been criminally convicted,
entered a guilty plea, or entered an Alford plea under section 609.27, 609.282,
609.322, or 609.527.
Subd. 6. Statute
of limitations tolled. (a)
The statute of limitations under section 541.05 is tolled during the pendency
of a proceeding instituted under this section.
(b) A creditor is
prohibited from filing a collection action regarding a debt that is the subject
of a proceeding instituted under this section while the proceeding is pending.
(c) If a debtor
commences a proceeding under this section while a collection action is pending
against the debtor regarding a debt that is subject to the proceeding, the
court must immediately stay the collection action pending the disposition of
the proceeding under this section.
EFFECTIVE DATE; APPLICATION.
This section is effective January 1, 2024, and applies to all
debts incurred on or after that date.
Sec. 72. [332.75]
CREDITOR REMEDIES.
Nothing in sections
332.71 to 332.74 diminishes the rights of a creditor to seek payment recovery
for a coerced debt from the person who caused the debtor to incur the coerced
debt.
EFFECTIVE DATE; APPLICATION.
This section is effective January 1, 2024, and applies to all
debts incurred on or after that date.
Sec. 73. UNAUDITED
FINANCIAL STATEMENTS; RULEMAKING.
The commissioner of
commerce shall amend Minnesota Rules, part 2876.3021, subpart 2, to remove the
prohibition on use of unaudited financial statements if the aggregate amount of
all previous sales of securities by the applicant, exclusive of debt financing
with banks and similar commercial lenders, exceeds $1,000,000. The commissioner of commerce may use the good
cause exemption under Minnesota Statutes, section 14.388, subdivision 1, clause
(3), to amend the rule under this section, and Minnesota Statutes, section
14.386, does not apply except as provided under Minnesota Statutes, section
14.388.
Sec. 74. MINNESOTA
COUNCIL ON ECONOMIC EDUCATION; GRANTS.
(a) The grants provided
under article 1, section 3, to the Minnesota Council on Economic Education must
be used by the council to:
(1) provide professional
development to Minnesota teachers of courses or content related to personal
finance or consumer protection for students in grades 9 through 12;
(2) support the
direct-to-student ancillary personal finance programs that Minnesota teachers
supervise and coach or that the Minnesota Council on Economic Education
delivers directly to students; and
(3) provide support to
geographically diverse affiliated higher education-based centers for economic
education engaged in financial literacy education as it pertains to financial
literacy education initiatives, including those based at Minnesota State University
Mankato, St. Cloud State University, and St. Catherine University, as
their work relates to activities in clauses (1) and (2).
(b) The Minnesota
Council on Economic Education must prepare and submit reports to the
commissioner of education in the form and manner prescribed by the commissioner
that:
(1) describe the number
and type of in-person and online teacher professional development opportunities
provided by the Minnesota Council on Economic Education or its affiliated state
centers;
(2) list the content, length,
and location of the programs;
(3) identify the number
of preservice and licensed teachers receiving professional development through
each of these opportunities;
(4) summarize
evaluations of professional opportunities for teachers; and
(5) list the number,
types, and summary evaluations of the direct-to-student ancillary personal
finance programs that are supported with funds from the grant.
(c) By February 15 of
each year following the receipt of a grant, the Minnesota Council on Economic
Education must provide a mid-year report to the commissioner of education and,
on August 15 of each year following receipt of a grant, the Minnesota Council
on Economic Education must prepare a year-end report according to the
requirements of paragraph (b). The
reports must be prepared and filed according to Minnesota Statutes, section
3.195. The commissioner may request
additional information as necessary.
Sec. 75. REPEALER.
(a) Minnesota Statutes
2022, sections 53B.01; 53B.02; 53B.03; 53B.04; 53B.05; 53B.06; 53B.07; 53B.08;
53B.09; 53B.10; 53B.11; 53B.12; 53B.13; 53B.14; 53B.15; 53B.16; 53B.17; 53B.18;
53B.19; 53B.20; 53B.21; 53B.22; 53B.23; 53B.24; 53B.25; 53B.26; and 53B.27,
subdivisions 1, 2, 5, 6, and 7, are repealed.
(b) Minnesota Statutes
2022, section 48.10, is repealed.
(c) Minnesota Rules,
parts 2675.2610, subparts 1, 3, and 4; 2675.2620, subparts 1, 2, 3, 4, and 5;
and 2675.2630, subpart 3, are repealed.
ARTICLE 4
COMMERCIAL REGULATION AND CONSUMER PROTECTION
Section 1. [13.6505]
ATTORNEY GENERAL DATA CODED ELSEWHERE.
Subdivision 1. Scope. The sections referred to in this
section are codified outside this chapter.
Those sections classify attorney general data as other than public,
place restrictions on access to government data, or involve data sharing.
Subd. 2. Data
protection impact assessments. A
data protection impact assessment collected or maintained by the attorney
general under section 325O.04 is classified under section 325O.04, subdivision
4.
Sec. 2. Minnesota Statutes 2022, section 53C.01, is amended by adding a subdivision to read:
Subd. 4a. Global
positioning system starter interrupt device. "Global positioning system
starter interrupt device" or "GPS starter interrupt device"
means a device installed on a motor vehicle by a motor vehicle dealer that
enables an individual who is not in possession of the motor vehicle to remotely
disable the motor vehicle's ignition. GPS
starter interrupt device includes a device commonly referred to as a fuel or
ignition kill switch.
Sec. 3. Minnesota Statutes 2022, section 53C.01, subdivision 12c, is amended to read:
Subd. 12c. Theft deterrent device. "Theft deterrent device" means the following devices:
(1) a vehicle alarm system;
(2) a window etch product;
(3) a body part marking product;
(4) a steering lock; or
(5) a pedal or ignition lock;
or
(6) a fuel or ignition
kill switch.
Sec. 4. Minnesota Statutes 2022, section 53C.08, subdivision 1a, is amended to read:
Subd. 1a. Disclosures required. Prior to the execution of a retail installment contract, the seller shall provide to a buyer, and obtain the buyer's signature on, a written disclosure that sets forth the following information:
(1) a description and the total price of all items sold in the following categories if the contract includes a charge for the item:
(i) a service contract;
(ii) an insurance product;
(iii) a debt cancellation agreement;
(iv) a theft deterrent device; or
(v) a surface protection product;
(2) whether a GPS starter
interrupt device is installed on the motor vehicle, regardless of whether the
contract includes a charge for the GPS starter interrupt device;
(3) the amount that would be calculated under the contract as the regular installment payment if charges for the items referenced under clause (1) are not included in the contract;
(3) (4) the
amount that would be calculated under the contract as the regular installment
payment if charges for the items referenced under clause (1) are included in
the contract; and
(4) (5) the
disclosures required under this subdivision must be in at least ten-point type
and must be contained in a single document that is separate from the retail
installment contract and any other vehicle purchase documents.
Sec. 5. Minnesota Statutes 2022, section 80E.041, subdivision 4, is amended to read:
Subd. 4. Retail
rate for labor. (a) Compensation for
warranty labor must equal the dealer's effective nonwarranty labor rate
multiplied by the time allowances recognized by the manufacturer to
compensate its dealers for warranty work guide used by the dealer for
nonwarranty customer-paid service repair orders. If no time guide exists for a warranty
repair, compensation for warranty labor must equal the dealer's effective
nonwarranty labor rate multiplied by the time actually spent to complete the
repair order and must not be less than the time charged to retail customers for
the same or similar work performed.
The effective nonwarranty labor rate is determined by dividing the total
customer labor charges for qualifying nonwarranty repairs in the repair orders
submitted under subdivision 2 by the total number of labor hours that generated
those sales. Compensation for warranty
labor must include reasonable all diagnostic time for repairs
performed under this section, including but not limited to all time spent
communicating with the manufacturer's technical assistance or external manufacturer source in order to provide a warranty repair, and must not be less than the time charged to retail customers for the same or similar work performed.
(b) A manufacturer may disapprove a dealer's effective nonwarranty labor rate if:
(1) the disapproval is provided to the dealer in writing;
(2) the disapproval is sent to the dealer within 30 days of the submission of the effective nonwarranty labor rate by the dealer to the manufacturer;
(3) the disapproval includes a reasonable substantiation that the effective nonwarranty labor rate submission is inaccurate, incomplete, or unreasonable in light of a comparison to the retail rate charged by other similarly situated franchised motor vehicle dealers in a comparable geographic area in the state offering the same line-make vehicles; and
(4) the manufacturer proposes an adjustment of the effective nonwarranty labor rate.
(c) If a manufacturer fails to approve or disapprove the rate within this time period, the rate is approved. If a manufacturer disapproves a dealer's effective nonwarranty labor rate, and the dealer does not agree to the manufacturer's proposed adjustment, the parties shall use the manufacturer's internal dispute resolution procedure, if any, within a reasonable time after the dealer notifies the manufacturer of their failure to agree. If the manufacturer's internal dispute resolution procedure is unsuccessful, or if the procedure is not implemented within a reasonable time after the dealer notifies the manufacturer of their failure to agree, the dealer may use the civil remedies available under section 80E.17. A dealer must file a civil suit under section 80E.17, as permitted by this subdivision, within 60 days of receiving the manufacturer's proposed adjustment to the effective nonwarranty labor rate, or the conclusion of the manufacturer's internal dispute resolution procedure, whichever is later.
Sec. 6. Minnesota Statutes 2022, section 325D.01, subdivision 5, is amended to read:
Subd. 5. Cost. The term "cost," as applied to the wholesale or retail vendor, means:
(1) the actual current
delivered invoice or replacement cost, whichever is lower, without deducting
customary cash discounts, plus any excise or sales taxes imposed on such
commodity, goods, wares or merchandise subsequent to the purchase thereof and prior to the resale thereof, plus the cost
of doing business at that location by the vendor; and
(2) where a manufacturer
publishes a list price and discounts, in determining such "cost" the
manufacturer's published list price then currently in effect, less the
published trade discount but without deducting the customary cash discount, plus
any excise or sales taxes imposed on such commodity, goods, wares or
merchandise subsequent to the purchase thereof and prior to the resale thereof,
plus the cost of doing business by the vendor shall be prima facie evidence of
"cost";.
(3) for purposes of
gasoline offered for sale by way of posted price or indicating meter by a
retailer, at a retail location where gasoline is dispensed into passenger
automobiles and trucks by the consumer, "cost" means the average
terminal price on the day, at the terminal from which the most recent supply of
gasoline delivered to the retail location was acquired, plus all applicable
state and federal excise taxes and fees, plus the lesser of six percent or
eight cents.
Sec. 7. Minnesota Statutes 2022, section 325D.44, subdivision 1, is amended to read:
Subdivision 1. Acts constituting. A person engages in a deceptive trade practice when, in the course of business, vocation, or occupation, the person:
(1) passes off goods or services as those of another;
(2) causes likelihood of confusion or of misunderstanding as to the source, sponsorship, approval, or certification of goods or services;
(3) causes likelihood of confusion or of misunderstanding as to affiliation, connection, or association with, or certification by, another;
(4) uses deceptive representations or designations of geographic origin in connection with goods or services;
(5) represents that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities that they do not have or that a person has a sponsorship, approval, status, affiliation, or connection that the person does not have;
(6) represents that goods are original or new if they are deteriorated, altered, reconditioned, reclaimed, used, or secondhand;
(7) represents that goods or services are of a particular standard, quality, or grade, or that goods are of a particular style or model, if they are of another;
(8) disparages the goods, services, or business of another by false or misleading representation of fact;
(9) advertises goods or services with intent not to sell them as advertised;
(10) advertises goods or services with intent not to supply reasonably expectable public demand, unless the advertisement discloses a limitation of quantity;
(11) makes false or misleading statements of fact concerning the reasons for, existence of, or amounts of price reductions;
(12) in attempting to
collect delinquent accounts, implies or suggests that health care services will
be withheld in an emergency situation; or
(13) engages in (i)
unfair methods of competition, or (ii) unfair or unconscionable acts or
practices; or
(13) (14) engages
in any other conduct which similarly creates a likelihood of confusion or of
misunderstanding.
Sec. 8. Minnesota Statutes 2022, section 325D.44, subdivision 2, is amended to read:
Subd. 2. Proof. (a) In order to prevail in an action under sections 325D.43 to 325D.48, a complainant need not prove competition between the parties or actual confusion or misunderstanding.
(b) For purposes of
subdivision 1, clause (13), the standard of proof provided under section
325F.69, subdivision 7, applies.
Sec. 9. [325E.72]
DIGITAL FAIR REPAIR.
Subdivision 1. Short
title. This act may be cited
as the "Digital Fair Repair Act."
Subd. 2. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b) "Authorized
repair provider" means an individual or business who is unaffiliated with
an original equipment manufacturer and who has:
(1) an arrangement with the original equipment manufacturer, for a
definite or indefinite period, under which the original equipment manufacturer
grants to the individual or business a license to use a trade
name, service mark, or other
proprietary identifier to offer diagnostic, maintenance, or repair services for
digital electronic equipment under the name of the original equipment
manufacturer; or (2) an arrangement with the original equipment manufacturer to
offer diagnostic, maintenance, or repair services for digital electronic
equipment on behalf of the original equipment manufacturer. An original equipment manufacturer that
offers diagnostic, maintenance, or repair services for the original equipment manufacturer's
digital electronic equipment is considered an authorized repair provider with
respect to the digital electronic equipment if the original equipment
manufacturer does not have an arrangement described in this paragraph with an
unaffiliated individual or business.
(c) "Digital
electronic equipment" or "equipment" means any product that
depends, in whole or in part, on digital electronics embedded in or attached to
the product in order for the product to function.
(d)
"Documentation" means a manual, diagram, reporting output, service
code description, schematic diagram, or similar information provided to an
authorized repair provider to facilitate diagnostic, maintenance, or repair
services for digital electronic equipment.
(e) "Embedded
software" means any programmable instructions provided on firmware
delivered with digital electronic equipment, or with a part for the equipment,
in order to operate the equipment. Embedded
software includes all relevant patches and fixes made by the manufacturer of
the equipment or part in order to operate the equipment.
(f) "Fair and
reasonable terms" means, with respect to:
(1) parts offered by an original equipment manufacturer:
(i) costs that are fair
to both parties, considering the agreed-upon conditions, promised quality, and
timeliness of delivery; and
(ii) terms that do not
impose on an owner or an independent repair provider:
(A) a substantial
obligation to use or restrict the use of the part to diagnose, maintain, or
repair agricultural equipment sold, leased, or otherwise supplied by the
original equipment manufacturer, including a condition that the owner or independent repair provider become an
authorized repair provider of the original equipment manufacturer; or
(B) a requirement that a
part be registered, paired with, or approved by the original equipment
manufacturer or an authorized repair provider before the part is operational or
prohibit an original equipment manufacturer from imposing any additional cost or
burden that is not reasonably necessary or is designed to be an impediment on
the owner or independent repair provider;
(2) tools, software, and documentation offered by an original equipment manufacturer:
(i) costs that are
equivalent to the lowest actual cost for which the original equipment
manufacturer offers the tool, software, or documentation to an authorized
repair provider, including any discount, rebate, or other financial incentive
offered to an authorized repair provider; and
(ii) terms that are
equivalent to the most favorable terms under which an original equipment
manufacturer offers the tool, software, or documentation to an authorized
repair provider, including the methods and timeliness of delivery of the tool,
software, or documentation, do not impose on an owner or an independent repair
provider:
(A) a substantial
obligation to use or restrict the use of the tool, software, or documentation
to diagnose, maintain, or repair agricultural equipment sold, leased, or
otherwise supplied by the original equipment manufacturer, including a
condition that the owner or independent repair provider become an authorized
repair provider of the original equipment manufacturer; or
(B) a requirement that a tool
be registered, paired with, or approved by the original equipment manufacturer
or an authorized repair provider before the part or tool is operational; and
(3) documentation offered
by an original equipment manufacturer: that
the documentation is made available by the original equipment manufacturer at
no charge, except that when the documentation is requested in physical printed
form, a charge may be included for the reasonable actual costs of preparing and
sending the copy.
(g) "Firmware"
means a software program or set of instructions programmed on digital
electronic equipment, or on a part of the equipment, in order to allow the
equipment or part to communicate with other computer hardware.
(h) "Independent
repair provider" means an individual or business operating in Minnesota
that: (1) does not have an arrangement
described in paragraph (b) with an original equipment manufacturer; (2) is not
affiliated with any individual or business that has an arrangement described in
paragraph (b); and (3) is engaged in providing diagnostic, maintenance, or
repair services for digital electronic equipment. An original equipment manufacturer or, with
respect to the original equipment manufacturer, an individual or business that
has an arrangement with the original equipment manufacturer or is affiliated
with an individual or business that has an arrangement with that original
equipment manufacturer, is considered an independent repair provider for purposes
of the instances the original equipment manufacturer engages in diagnostic,
maintenance, or repair services for digital electronic equipment that is not
manufactured by or sold under the name of the original equipment manufacturer.
(i) "Manufacturer of
motor vehicle equipment" means a business engaged in the business of
manufacturing or supplying components used to manufacture, maintain, or repair
a motor vehicle.
(j) "Motor
vehicle" means a vehicle that is: (1)
designed to transport persons or property on a street or highway; and (2)
certified by the manufacturer under (i) all applicable federal safety and
emissions standards, and (ii) all requirements for distribution and sale in the
United States. Motor vehicle does not
include a motorcycle, a recreational vehicle, or an auto home equipped for
habitation.
(k) "Motor vehicle
dealer" means an individual or business that, in the ordinary course of
business: (1) is engaged in the business
of selling or leasing new motor vehicles to an individual or business pursuant
to a franchise agreement; (2) has obtained a license under section 168.27; and
(3) is engaged in providing diagnostic, maintenance, or repair services for
motor vehicles or motor vehicle engines pursuant to a franchise agreement.
(l) "Motor vehicle
manufacturer" means a business engaged in the business of manufacturing or
assembling new motor vehicles.
(m) "Original
equipment manufacturer" means a business engaged in the business of
selling or leasing to any individual or business new digital electronic
equipment manufactured by or on behalf of the original equipment manufacturer.
(n) "Owner"
means an individual or business that owns or leases digital electronic
equipment purchased or used in Minnesota.
(o) "Part"
means any replacement part, either new or used, made available by an original
equipment manufacturer to facilitate the maintenance or repair of digital
electronic equipment manufactured or sold by the original equipment
manufacturer.
(p) "Trade
secret" has the meaning given in section 325C.01, subdivision 5.
Subd. 3. Requirements. (a) For digital electronic equipment
and parts for the equipment sold or used in Minnesota, an original equipment
manufacturer must make available to any independent repair provider or to the
owner of digital electronic equipment manufactured by or on behalf of, or sold
by, the original equipment
manufacturer, on fair and
reasonable terms, documentation, parts, and tools, inclusive of any updates to
information or embedded software, for diagnostic, maintenance, or repair
purposes. Nothing in this section
requires an original equipment manufacturer to make available a part if the
part is no longer available to the original equipment manufacturer.
(b) For equipment that
contains an electronic security lock or other security-related function, the
original equipment manufacturer must make available to the owner and to
independent repair providers on fair and reasonable terms any special
documentation, tools, and parts needed to reset the lock or function when
disabled in the course of performing diagnostic, maintenance, or repair
services on the equipment. Documentation,
tools, and parts may be made available through appropriate secure release
systems.
Subd. 4. Enforcement
by attorney general. A
violation of this section is an unlawful practice under section 325D.44. All remedies, penalties, and authority
granted to the attorney general under section 8.31 are available to the
attorney general to enforce this section.
Subd. 5. Limitations. (a) Nothing in this section requires
an original equipment manufacturer to divulge a trade secret to an owner or an
independent service provider, except as necessary to provide documentation,
parts, and tools on fair and reasonable terms.
(b) Nothing in this
section alters the terms of any arrangement described in subdivision 2,
paragraph (b), including but not limited to the performance or provision of
warranty or recall repair work by an authorized repair provider on behalf of an
original equipment manufacturer pursuant to the arrangement, in force between
an authorized repair provider and an original equipment manufacturer. A provision in the terms of an arrangement
described in subdivision 2, paragraph (b), that purports to waive, avoid,
restrict, or limit the original equipment manufacturer's obligations to comply
with this section is void and unenforceable.
(c) Nothing in this
section requires an original equipment manufacturer or an authorized repair
provider to provide to an owner or independent repair provider access to
information, other than documentation, that is provided by the original
equipment manufacturer to an authorized repair provider pursuant to the terms
of an arrangement described in subdivision 2, paragraph (b).
(d) Nothing in this
section requires an original equipment manufacturer or authorized repair
provider to make available any parts, tools, or documentation for the purpose
of making modifications to any digital electronic equipment.
Subd. 6. Exclusions. (a) Nothing in this section applies
to: (1) a motor vehicle manufacturer,
manufacturer of motor vehicle equipment, or motor vehicle dealer acting in that
capacity; or (2) any product or service of a motor vehicle manufacturer,
manufacturer of motor vehicle equipment, or motor vehicle dealer acting in that
capacity.
(b) Nothing in this
section applies to manufacturers or distributors of a medical device, as
defined in the Federal Food, Drug, and Cosmetic Act under United States Code,
title 21, section 301 et seq., or a digital electronic product or software
manufactured for use in a medical setting, including diagnostic, monitoring, or
control equipment or any product or service that the manufacturer or
distributor of a medical device offers.
Subd. 7. Applicability. This section applies to equipment sold
or in use on or after January 1, 2024.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 10. [325E.80]
ABNORMAL MARKET DISRUPTIONS; UNCONSCIONABLY EXCESSIVE PRICES.
Subdivision 1. Definitions. (a) For purposes of this section, the
terms in this subdivision have the meanings given.
(b) "Essential
consumer good or service" means a good or service that is vital and
necessary for the health, safety, and welfare of the public, including without
limitation: food; water; fuel; gasoline;
shelter; transportation; health care services; pharmaceuticals; and medical,
personal hygiene, sanitation, and cleaning supplies.
(c) "Seller"
means a manufacturer, supplier, wholesaler, distributor, or retail seller of
goods and services.
(d) "Unconscionably
excessive price" means a price that represents a gross disparity compared
to the seller's average price of an essential good or service, offered for sale
or sold in the usual course of business, in the 60-day period before an
abnormal market disruption is declared under subdivision 2. None of the following is an unconscionably
excessive price:
(1) a price that is
substantially related to an increase in the cost of manufacturing, obtaining,
replacing, providing, or selling a good or service;
(2) a price that is no
more than 25 percent above the seller's average price during the 60-day period
before an abnormal market disruption is declared under subdivision 2;
(3) a price that is
consistent with the fluctuations in applicable commodity markets or seasonal
fluctuations; or
(4) a contract price, or
the results of a price formula, that was established before an abnormal market
disruption is declared under subdivision 2.
Subd. 2. Abnormal
market disruption. (a) The
governor may by executive order declare an abnormal market disruption if, in
the governor's sole determination, there has been or is likely to be a
substantial and atypical change in the market for an essential consumer good or
service caused by an event or circumstances that result in a declaration of a
state of emergency by the governor. The
governor may specify an effective period for a declaration under this section
that is shorter than the effective period for the state of emergency
declaration.
(b) The governor's
abnormal market disruption declaration must state that the declaration is
activating this section and must specify the geographic area of Minnesota to
which the declaration applies.
(c) Unless an earlier
date is specified by the governor, an abnormal market disruption declaration
under this subdivision terminates 30 days after the date that the state of
emergency for which it was activated ends.
Subd. 3. Notice. Upon the implementation, renewal,
limitation, or termination of an abnormal market disruption declaration made
under subdivision 2: (1) the governor
must immediately post notice on applicable government websites and provide
notice to the media; and (2) the commissioner of commerce must provide notice
directly to sellers by any practical means.
Subd. 4. Prohibition. If the governor declares an abnormal
market disruption, a person is prohibited from selling or offering to sell an
essential consumer good or service for an amount that represents an
unconscionably excessive price during the period in which the abnormal market
disruption declaration is effective.
Subd. 5. Civil
penalty. A person who is
found to have violated this section is subject to a civil penalty of not more
than $1,000 per sale or transaction, with a maximum penalty of $25,000 per day. No other penalties may be imposed for the
same conduct regulated under this section.
Subd. 6. Enforcement
authority. (a) The attorney
general may investigate and bring an action against a seller for an alleged
violation of this section.
(b) Nothing in this
section creates a private cause of action in favor of a person injured by a
violation of this section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 11. Minnesota Statutes 2022, section 325F.662, subdivision 2, is amended to read:
Subd. 2. Written warranty required. (a) Every used motor vehicle sold by a dealer is covered by an express warranty which the dealer shall provide to the consumer in writing. At a minimum, the express warranty applies for the following terms:
(1) if the used motor vehicle has less than 36,000 miles, the warranty must remain in effect for at least 60 days or 2,500 miles, whichever comes first;
(2) if the used motor
vehicle has 36,000 miles or more, but less than 75,000 miles, the warranty must
remain in effect for at least 30 days or 1,000 miles, whichever comes first;
and
(3) unless the vehicle is sold by a new motor vehicle dealer, as defined in section 168.27, subdivision 2, if the used motor vehicle has 75,000 miles or more, the warranty must remain in effect for at least 15 days or 500 miles, whichever comes first.
(b) The express warranty must require the dealer, in the event of a malfunction, defect, or failure in a covered part, to repair or replace the covered part, or at the dealer's election, to accept return of the used motor vehicle from the consumer and provide a refund to the consumer.
(c) For used motor vehicles with less than 36,000 miles, the dealer's express warranty shall cover, at minimum, the following parts:
(1) with respect to the engine, all lubricated parts, intake manifolds, engine block, cylinder head, rotary engine housings, and ring gear;
(2) with respect to the transmission, the automatic transmission case, internal parts, and the torque converter; or, the manual transmission case, and the internal parts;
(3) with respect to the drive axle, the axle housings and internal parts, axle shafts, drive shafts and output shafts, and universal joints; but excluding the secondary drive axle on vehicles, other than passenger vans, mounted on a truck chassis;
(4) with respect to the brakes, the master cylinder, vacuum assist booster, wheel cylinders, hydraulic lines and fittings, and disc brakes calipers;
(5) with respect to the steering, the steering gear housing and all internal parts, power steering pump, valve body, piston, and rack;
(6) the water pump;
(7) the externally mounted mechanical fuel pump;
(8) the radiator;
(9) the alternator, generator, and starter.
(d) For used motor vehicles
with 36,000 miles or more, but less than 75,000 miles, the dealer's
express warranty shall cover, at minimum, the following parts:
(1) with respect to the engine, all lubricated parts, intake manifolds, engine block, cylinder head, rotary engine housings, and ring gear;
(2) with respect to the transmission, the automatic transmission case, internal parts, and the torque converter; or, the manual transmission case, and internal parts;
(3) with respect to the drive axle, the axle housings and internal parts, axle shafts, drive shafts and output shafts, and universal joints; but excluding the secondary drive axle on vehicles, other than passenger vans, mounted on a truck chassis;
(4) with respect to the brakes, the master cylinder, vacuum assist booster, wheel cylinders, hydraulic lines and fittings, and disc brake calipers;
(5) with respect to the steering, the steering gear housing and all internal parts, power steering pump, valve body, and piston;
(6) the water pump;
(7) the externally mounted mechanical fuel pump.
(e)(1) A dealer's obligations under the express warranty remain in effect notwithstanding the fact that the warranty period has expired, if the consumer promptly notified the dealer of the malfunction, defect, or failure in the covered part within the specified warranty period and, within a reasonable time after notification, brings the vehicle or arranges with the dealer to have the vehicle brought to the dealer for inspection and repair.
(2) If a dealer does not have a repair facility, the dealer shall designate where the vehicle must be taken for inspection and repair.
(3) In the event the malfunction, defect, or failure in the covered part occurs at a location which makes it impossible or unreasonable to return the vehicle to the selling dealer, the consumer may have the repairs completed elsewhere with the consent of the selling dealer, which consent may not be unreasonably withheld.
(4) Notwithstanding the provisions of this paragraph, a consumer may have nonwarranty maintenance and nonwarranty repairs performed other than by the selling dealer and without the selling dealer's consent.
(f) Nothing in this section diminishes the obligations of a manufacturer under an express warranty issued by the manufacturer. The express warranties created by this section do not require a dealer to repair or replace a covered part if the repair or replacement is covered by a manufacturer's new car warranty, or the manufacturer otherwise agrees to repair or replace the part.
(g) The express warranties created by this section do not cover defects or repair problems which result from collision, abuse, negligence, or lack of adequate maintenance following sale to the consumer.
(h) The terms of the express warranty, including the duration of the warranty and the parts covered, must be fully, accurately, and conspicuously disclosed by the dealer on the front of the Buyers Guide.
Sec. 12. Minnesota Statutes 2022, section 325F.662, subdivision 3, is amended to read:
Subd. 3. Exclusions. Notwithstanding the provisions of subdivision 2, a dealer is not required to provide an express warranty for a used motor vehicle:
(1) except for a used motor vehicle described in subdivision 2, paragraph (a), clause (3), sold for a total cash sale price of less than $3,000, including the trade-in value of any vehicle traded in by the consumer, but excluding tax, license fees, registration fees, and finance charges;
(2) with an engine designed to use diesel fuel;
(3) with a gross weight, as defined in section 168.002, subdivision 13, in excess of 9,000 pounds;
(4) that has been custom-built or modified for show or for racing;
(5) except for a used motor vehicle described in subdivision 2, paragraph (a), clause (3), that is eight years of age or older, as calculated from the first day in January of the designated model year of the vehicle;
(6) that has been produced by a manufacturer which has never manufactured more than 10,000 motor vehicles in any one year;
(7) that has 75,000
miles or more at time of sale;
(8) (7) that
has not been manufactured in compliance with applicable federal emission
standards in force at the time of manufacture as provided by the Clean Air Act,
United States Code, title 42, sections 7401 through to 7642, and
regulations adopted pursuant thereto, and safety standards as provided by the
National Traffic and Motor Safety Act, United States Code, title 15, sections
1381 through to 1431, and regulations adopted pursuant thereto;
or
(9) (8) that
has been issued a certificate of title that bears a "salvage" brand
or stamp under section 168A.151.
Sec. 13. Minnesota Statutes 2022, section 325F.6641, subdivision 2, is amended to read:
Subd. 2. Disclosure
requirements. (a) If a motor vehicle
dealer licensed under section 168.27 offers a vehicle for sale in the course of
a sales presentation to any prospective buyer the dealer must provide a written
disclosure, and an oral disclosure, except for sales
performed online, an oral disclosure of:
(1) prior vehicle damage as required under subdivision 1;
(2) the existence or requirement of any title brand under section 168A.05, subdivision 3, 168A.151, 325F.6642, or 325F.665, subdivision 14, if the dealer has actual knowledge of the brand; and
(3) if a motor vehicle, which is part of a licensed motor vehicle dealer's inventory, has been submerged or flooded above the bottom dashboard while parked on the dealer's lot.
(b) If a person receives a flood disclosure as described in paragraph (a), clause (3), whether from a motor vehicle dealer or another seller, and subsequently offers that vehicle for sale, the person must provide the same disclosure to any prospective subsequent buyer.
(c) Written disclosure under this subdivision must be signed by the buyer and maintained in the motor vehicle dealer's sales file in the manner prescribed by the registrar of motor vehicles.
(d) The disclosure required in subdivision 1 must be made in substantially the following form: "To the best of my knowledge, this vehicle has ..... has not ..... sustained damage in excess of 80 percent actual cash value."
Sec. 14. Minnesota Statutes 2022, section 325F.69, subdivision 1, is amended to read:
Subdivision 1. Fraud, misrepresentation, deceptive or unfair practices. The act, use, or employment by any person of any fraud, unfair or unconscionable practice, false pretense, false promise, misrepresentation, misleading statement or deceptive practice, with the intent that others rely thereon in connection with the sale of any merchandise, whether or not any person has in fact been misled, deceived, or damaged thereby, is enjoinable as provided in section 325F.70.
Sec. 15. Minnesota Statutes 2022, section 325F.69, is amended by adding a subdivision to read:
Subd. 7. Unfair
or unconscionable acts or practices; standard of proof. For purposes of this section, an
unfair method of competition or an unfair or unconscionable act or practice is
any method of competition, act, or practice that: (1) offends public policy as established by
the statutes, rules, or common law of Minnesota; (2) is unethical, oppressive,
or unscrupulous; or (3) is substantially injurious to consumers.
Sec. 16. Minnesota Statutes 2022, section 325F.70, is amended by adding a subdivision to read:
Subd. 3. Private
enforcement. (a) In addition
to the remedies otherwise provided by law, an individual or family farmer
injured by a violation of sections 325F.68 to 325F.70 may bring a civil action
and recover damages, together with costs and disbursements, including costs of
investigation and reasonable attorney fees, and receive other equitable relief
as determined by the court. An action
brought under this section benefits the public.
(b) For the purposes of
this subdivision:
(1) "family
farmer" means a person or persons operating a family farm; and
(2) "family
farm" has the meaning given in section 116B.02, subdivision 6.
EFFECTIVE DATE. This
section is effective on August 1, 2023, and applies to causes of action
commenced on or after that date.
Sec. 17. [325F.995]
GENETIC INFORMATION PRIVACY ACT.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Biological
sample" means any material part of a human, discharge from a material part
of a human, or derivative from a material part of a human, including but not
limited to tissue, blood, urine, or saliva, that is known to contain deoxyribonucleic
acid (DNA).
(c) "Consumer"
means an individual who is a Minnesota resident.
(d) "Deidentified
data" means data that cannot reasonably be used to infer information
about, or otherwise be linked to, an identifiable consumer and that is subject
to:
(1) administrative and
technical measures to ensure the data cannot be associated with a particular
consumer;
(2) public commitment by
the company to (i) maintain and use data in deidentified form, and (ii) not
attempt to reidentify the data; and
(3) legally enforceable
contractual obligations that prohibit any recipients of the data from
attempting to reidentify the data.
(e)
"Direct-to-consumer genetic testing company" or "company"
means an entity that: (1) offers
consumer genetic testing products or services directly to consumers; or (2)
collects, uses, or analyzes genetic data that was (i) collected via a
direct-to-consumer genetic testing product or service, and (ii) provided to the
company by a consumer. Direct-to-consumer
genetic testing company does not include an entity that collects, uses, or
analyzes genetic data or biological samples only in the context of research, as
defined in Code of Federal Regulations, title 45, section 164.501, that is
conducted in a manner that complies with the federal policy for the protection
of human research subjects under Code of Federal Regulations, title 45, part
46; the Good Clinical Practice Guideline issued by the International Council
for Harmonisation; or the United States Food and Drug Administration Policy for
the Protection of Human Subjects under Code of Federal Regulations, title 21,
parts 50 and 56.
(f) "Express
consent" means a consumer's affirmative written response to a clear,
meaningful, and prominent written notice regarding the collection, use, or
disclosure of genetic data for a specific purpose. Written notices and responses may be
presented and captured electronically.
(g) "Genetic
data" means any data, regardless of the data's format, that concerns a
consumer's genetic characteristics. Genetic
data includes but is not limited to:
(1) raw sequence data
that results from sequencing a consumer's complete extracted DNA or a portion
of the extracted DNA;
(2) genotypic and
phenotypic information that results from analyzing the raw sequence data; and
(3) self-reported health
information that a consumer submits to a company regarding the consumer's
health conditions and that is (i) used for scientific research or product
development, and (ii) analyzed in connection with the consumer's raw sequence
data.
Genetic data does not include deidentified
data.
(h) "Genetic
testing" means any laboratory test of a consumer's complete DNA, regions
of a consumer's DNA, chromosomes, genes, or gene products to determine the
presence of genetic characteristics.
(i) "Person"
means an individual, partnership, corporation, association, business, business
trust, sole proprietorship, other entity, or representative of an organization.
(j) "Service
provider" means a person that is involved in the collection,
transportation, analysis of, or any other service in connection with a
consumer's biological sample, extracted genetic material, or genetic data on
behalf of the direct-to-consumer genetic testing company, or on behalf of any
other person that collects, uses, maintains, or discloses biological samples,
extracted genetic material, or genetic data collected or derived from a direct‑to‑consumer
genetic testing product or service, or is directly provided by a consumer, or
the delivery of the results of the analysis of the biological sample, extracted
genetic material, or genetic data.
Subd. 2. Disclosure
and consent requirements. (a)
To safeguard the privacy, confidentiality, security, and integrity of a
consumer's genetic data, a direct-to-consumer genetic testing company must:
(1) provide easily
accessible, clear, and complete information regarding the company's policies
and procedures governing the collection, use, maintenance, and disclosure of
genetic data by making available to a consumer all of the following written in
plain language:
(i) a high-level privacy policy overview that includes basic, essential information about the company's collection, use, or disclosure of genetic data;
(ii) a prominent,
publicly available privacy notice that includes at a minimum information about
the company's data collection, consent, use, access, disclosure, maintenance,
transfer, security, retention, and deletion practices of genetic data; and
(iii) information that
clearly describes how to file a complaint alleging a violation of this section,
pursuant to section 45.027;
(2) obtain a consumer's
express consent to collect, use, and disclose the consumer's genetic data,
including at a minimum:
(i) initial express
consent that clearly (A) describes the uses of the genetic data collected
through the genetic testing product service, and (B) specifies who has access
to the test results and how the genetic data may be shared;
(ii) separate express
consent, which must include the name of the person receiving the information,
for each transfer or disclosure of the consumer's genetic data or biological
sample to any person other than the company's vendors and service providers;
(iii) separate express
consent for each use of genetic data or the biological sample that is beyond
the primary purpose of the genetic testing product or service and inherent
contextual uses;
(iv) separate express
consent to retain any biological sample provided by the consumer following
completion of the initial testing service requested by the consumer;
(v) informed consent in
compliance with federal policy for the protection of human research subjects
under Code of Federal Regulations, title 45, part 46, to transfer or disclose
the consumer's genetic data to a third-party person for research purposes or
research conducted under the control of the company for publication or
generalizable knowledge purposes; and
(vi) express consent for
marketing by (A) the direct-to-consumer genetic testing company to a consumer
based on the consumer's genetic data, or (B) a third party to a consumer based
on the consumer having ordered or purchased a genetic testing product or
service. For purposes of this clause,
"marketing" does not include customized content or offers provided on
the websites or through the applications or services provided by the
direct-to-consumer genetic testing company with the first-party relationship to
the customer;
(3) not disclose genetic
data to law enforcement or any other governmental agency without a consumer's
express written consent, unless the disclosure is made pursuant to a valid
search warrant or court order;
(4) develop, implement,
and maintain a comprehensive security program and measures to protect a
consumer's genetic data against unauthorized access, use, or disclosure; and
(5) provide a process for a
consumer to:
(i) access the
consumer's genetic data;
(ii) delete the
consumer's account and genetic data; and
(iii) request and obtain
the destruction of the consumer's biological sample.
(b) Notwithstanding any
other provisions in this section, a direct-to-consumer genetic testing company
is prohibited from disclosing a consumer's genetic data without the consumer's
written consent to: (1) any entity
offering health insurance, life insurance, disability insurance, or long-term
care insurance; or (2) any employer of the consumer. Any consent under this paragraph must clearly
identify the recipient of the consumer's genetic data proposed to be disclosed.
(c) A company that is
subject to the requirements described in paragraph (a), clause (2), shall
provide effective mechanisms, without any unnecessary steps, for a consumer to
revoke any consent of the consumer or all of the consumer's consents after a consent
is given, including at least one mechanism which utilizes the primary medium
through which the company communicates to the consumer. If a consumer revokes consent provided
pursuant to paragraph (a), clause (2), the company shall honor the consumer's consent
revocation as soon as practicable, but not later than 30 days after the
consumer revokes consent. The company
shall destroy a consumer's biological sample within 30 days of receipt of
revocation of consent to store the sample.
(d) A direct-to-consumer
genetic testing company must provide a clear and complete notice to a consumer
that the consumer's deidentified data may be shared with or disclosed to third
parties for research purposes in accordance with Code of Federal Regulations,
title 45, part 46.
Subd. 3. Service
provider agreements. (a) A
contract between the company and a service provider must prohibit the service
provider from retaining, using, or disclosing any biological sample, extracted
genetic material, genetic data, or information regarding the identity of the
consumer, including whether that consumer has solicited or received genetic
testing, as applicable, for any purpose other than for the specific purpose of
performing the services specified in the service contract. The mandatory prohibition set forth in this
subdivision requires a service contract to include, at minimum, the following
provisions:
(1) a provision
prohibiting the service provider from retaining, using, or disclosing the
biological sample, extracted genetic material, genetic data, or any information
regarding the identity of the consumer, including whether the consumer has
solicited or received genetic testing, as applicable, for any purpose other
than providing the services specified in the service contract; and
(2) a provision
prohibiting the service provider from associating or combining the biological
sample, extracted genetic material, genetic data, or any information regarding
the identity of the consumer, including whether that consumer has solicited or
received genetic testing, as applicable, with information the service provider
has received from or on behalf of another person or persons, or has collected
from the service provider's own interaction with consumers or as required by
law.
(b) A service provider
subject to this subdivision is subject to the same confidentiality obligations
as a direct‑to‑consumer genetic testing company with respect to all
biological samples, extracted genetic materials, and genetic material, or any
information regarding the identity of any consumer in the service provider's
possession.
Subd. 4. Enforcement. The commissioner of commerce may
enforce this section under section 45.027.
Subd. 5. Limitations. This section does not apply to:
(1) protected health
information that is collected by a covered entity or business associate, as
those terms are defined in Code of Federal Regulations, title 45, parts 160 and
164;
(2) a public or private
institution of higher education; or
(3) an entity owned or
operated by a public or private institution of higher education.
Subd. 6. Construction. This section does not supersede the
requirements and rights described in section 13.386 or the remedies available
under chapter 13 for violations of section 13.386.
Sec. 18. Minnesota Statutes 2022, section 325G.051, subdivision 1, is amended to read:
Subdivision 1. Limitation;
prohibition. (a) A seller or
lessor of goods or services doing business in Minnesota may impose a
surcharge on transactions in Minnesota with a purchaser customer
who elects to use a credit or charge card in lieu of payment by cash,
check, or similar means, provided:
(1) if the sale or lease
of goods or services is processed in person, the seller or lessor
informs the purchaser customer of the surcharge both orally at
the time of sale and by a sign conspicuously posted on the seller's or
lessor's premises,;
(2) if the sale or lease
of goods or services is processed through a website or mobile device, the
seller or lessor informs the customer of the surcharge by conspicuously posting
a surcharge notice during the sale, at the point of sale, on the customer order
summary, or on the checkout page of the website;
(3) if the sale or lease of services is processed over the telephone, the seller or lessor informs the customer of the surcharge orally; and
(2) (4) the
surcharge does not exceed five percent of the purchase price.
(b) A seller or lessor
of goods or services that establishes and is responsible for its the
seller or lessor's own customer credit or charge card may not impose
a surcharge on a purchaser customer who elects to use that credit
or charge card in lieu of payment by cash, check, or similar means.
(c) For purposes of this
section "surcharge" means a fee or charge imposed by a seller or
lessor upon a buyer customer that increases the price of
goods or services to the buyer customer because the buyer customer
uses a credit or charge card to purchase or lease the goods or
services. The term does not include a
discount offered by a seller or lessor to a buyer customer
who makes payment for goods or services by cash, check, or similar means not
involving a credit or charge card if the discount is offered to all
prospective buyers customers and its availability is clearly and
conspicuously disclosed to all prospective buyers customers.
(d) This subdivision
applies to an agent of a seller or lessor.
Sec. 19. [325O.01]
CITATION; CONSTRUCTION.
Subdivision 1. Citation. This chapter may be cited as the
"Minnesota Age-Appropriate Design Code Act."
Subd. 2. Construction. (a) A business that develops and
provides online services, products, or features that children are likely to
access must consider the best interests of children when designing, developing,
and providing that online service, product, or feature.
(b) If a conflict arises
between commercial interests of a business and the best interests of children
likely to access an online product, service, or feature, the business must
prioritize the privacy, safety, and well-being of children over the business's
commercial interests.
Sec. 20. [325O.02]
DEFINITIONS.
(a) For purposes of this
chapter, the following terms have the meanings given.
(b)
"Affiliate" means a legal entity that controls, is controlled by, or
is under common control with that other legal entity. For these purposes, "control" or
"controlled" means: ownership
of or the power to vote more than 50 percent of the outstanding shares of
any class of voting security of a company; control in any manner over the
election of a majority of the directors or of individuals exercising similar
functions; or the power to exercise a controlling influence over the management
of a company.
(c) "Business"
means:
(1) a sole
proprietorship, partnership, limited liability company, corporation,
association, or other legal entity that is organized or operated for the profit
or financial benefit of its shareholders or other owners; and
(2) an affiliate of a
business that shares common branding with the business. For purposes of this clause, "common
branding" means a shared name, servicemark, or trademark that the average
consumer would understand that two or more entities are commonly owned.
For purposes of this chapter, for a joint
venture or partnership composed of businesses in which each business has at
least a 40 percent interest, the joint venture or partnership and each business
that composes the joint venture or partnership shall separately be considered a
single business, except that personal data in the possession of each business
and disclosed to the joint venture or partnership must not be shared with the
other business.
(d) "Child"
means a consumer who is under 18 years of age.
(e) "Collect"
means buying, renting, gathering, obtaining, receiving, or accessing any
personal data pertaining to a consumer by any means. This includes receiving data from the
consumer, either actively or passively, or by observing the consumer's
behavior.
(f) "Consumer"
means a natural person who is a Minnesota resident, however identified,
including by any unique identifier.
(g) "Dark
pattern" means a user interface designed or manipulated with the
substantial effect of subverting or impairing user autonomy, decision making,
or choice.
(h) "Data
protection impact assessment" means a systematic survey to assess and
mitigate risks to children who are reasonably likely to access the online
service, product, or feature that arise from the data management practices of
the business.
(i) "Default"
means a preselected option adopted by the business for the online service,
product, or feature.
(j)
"Deidentified" means data that cannot reasonably be used to infer
information about, or otherwise be linked to, an identified or identifiable natural
person, or a device linked to such person, provided that the business that
possesses the data:
(1) takes reasonable
measures to ensure that the data cannot be associated with a natural person;
(2) publicly commits to
maintain and use the data only in a deidentified fashion and not attempt to
reidentify the data; and
(3) contractually
obligates any recipients of the data to comply with all provisions of this
paragraph.
(k) "Likely to be
accessed by children" means an online service, product, or feature that it
is reasonable to expect would be accessed by children based on any of the
following indicators:
(1) the online service,
product, or feature is directed to children, as defined by the Children's
Online Privacy Protection Act, United States Code, title 15, section 6501 et
seq.;
(2) the online service,
product, or feature is determined, based on competent and reliable evidence
regarding audience composition, to be routinely accessed by a significant
number of children;
(3) the online service,
product, or feature contains advertisements marketed to children;
(4) the online service,
product, or feature is substantially similar or the same as an online service,
product, or feature subject to clause (2);
(5) the online service,
product, or feature has design elements that are known to be of interest to
children, including but not limited to games, cartoons, music, and celebrities
who appeal to children; or
(6) a significant amount
of the audience of the online service, product, or feature is determined, based
on internal company research, to be children.
(l) "Online
service, product, or feature" does not mean any of the following:
(1) telecommunications
service, as defined in United States Code, title 47, section 153;
(2) broadband service,
as defined in section 116J.39, subdivision 1; or
(3) the delivery or use
of a physical product.
(m) "Personal
data" means any information that is linked or reasonably linkable to an
identified or identifiable natural person.
Personal data does not include deidentified data or publicly available
information. For purposes of this
paragraph, "publicly available information" means information that
(1) is lawfully made available from federal, state, or local government records
or widely distributed media, and (2) a controller has a reasonable basis to believe
a consumer has lawfully made available to the general public.
(n) "Precise
geolocation" means any data that is derived from a device and that is used
or intended to be used to locate a consumer within a geographic area that is
equal to or less than the area of a circle with a radius of 1,850 feet, except as
prescribed by regulations.
(o) "Process"
or "processing" means any operation or set of operations that are
performed on personal data or on sets of personal data, whether or not by
automated means, such as the collection, use, storage, disclosure, analysis,
deletion, or modification of personal data.
(p)
"Profiling" means any form of automated processing of personal data
to evaluate, analyze, or predict personal aspects concerning an identified or
identifiable natural person's economic situation, health, personal preferences,
interests, reliability, behavior, location, or movements.
(q) "Sale,"
"sell," or "sold" means the exchange of personal data for
monetary or other valuable consideration by a business to a third party. Sale does not include the following:
(1) the disclosure of
personal data to a third party who processes the personal data on behalf of the
business;
(2) the disclosure of
personal data to a third party with whom the consumer has a direct relationship
for purposes of providing a product or service requested by the consumer;
(3) the disclosure or
transfer of personal data to an affiliate of the business;
(4) the disclosure of
data that the consumer intentionally made available to the general public via a
channel of mass media and did not restrict to a specific audience; or
(5) the disclosure or
transfer of personal data to a third party as an asset that is part of a
completed or proposed merger, acquisition, bankruptcy, or other transaction in
which the third party assumes control of all or part of the business's assets.
(r) "Share"
means sharing, renting, releasing, disclosing, disseminating, making available,
transferring, or otherwise communicating orally, in writing, or by electronic
or other means a consumer's personal data by the business to a third party for
cross-context behavioral advertising, whether or not for monetary or other
valuable consideration, including transactions between a business and a third
party for cross-context behavioral advertising for the benefit of a business in
which no money is exchanged.
(s) "Third
party" means a natural or legal person, public authority, agency, or body
other than the consumer or the business.
Sec. 21. [325O.03]
SCOPE; EXCLUSIONS.
(a) A business is
subject to this chapter if the business:
(1) collects consumers'
personal data or has consumers' personal data collected on the business's
behalf by a third party;
(2) alone or jointly with others, determines the purposes and means of
the processing of consumers' personal data;
(3) does business in
Minnesota; and
(4) satisfies one or
more of the following thresholds:
(i) has annual gross
revenues in excess of $25,000,000, as adjusted every odd-numbered year to
reflect the Consumer Price Index;
(ii) alone or in
combination, annually buys, receives for the business's commercial purposes,
sells, or shares for commercial purposes, alone or in combination, the personal
data of 50,000 or more consumers, households, or devices; or
(iii) derives 50 percent
or more of its annual revenues from selling consumers' personal data.
(b) This chapter does not apply
to:
(1) protected health
information that is collected by a covered entity or business associate
governed by the privacy, security, and breach notification rules issued by the
United States Department of Health and Human Services, Code of Federal
Regulations, title 45, parts 160 and 164, established pursuant to the Health
Insurance Portability and Accountability Act of 1996, Public Law 104-191, and
the Health Information Technology for Economic and Clinical Health Act, Public
Law 111-5;
(2) a covered entity
governed by the privacy, security, and breach notification rules issued by the
United States Department of Health and Human Services, Code of Federal
Regulations, title 45, parts 160 and 164, established pursuant to the Health
Insurance Portability and Accountability Act of 1996, Public Law 104-191, to
the extent the provider or covered entity maintains patient information in the
same manner as medical information or protected health information as described
in clause (1); or
(3) information
collected as part of a clinical trial subject to the federal policy for the
protection of human subjects, also known as the common rule, pursuant to good
clinical practice guidelines issued by the International Council for
Harmonisation or pursuant to human subject protection requirements of the
United States Food and Drug Administration.
Sec. 22. [325O.04]
BUSINESS OBLIGATIONS.
Subdivision 1. Requirements
for businesses. A business
that provides an online service, product, or feature likely to be accessed by
children must:
(1) before any new
online services, products, or features are offered to the public, complete a
data protection impact assessment for any online service, product, or feature
likely to be accessed by children and maintain documentation of this assessment
as long as the online service, product, or feature is likely to be accessed by
children;
(2) biennially review
all data protection impact assessments;
(3) document any risk of
material detriment to children that arises from the data management practices
of the business identified in the data protection impact assessment required by
clause (1) and create a timed plan to mitigate or eliminate the risk before the
online service, product, or feature is accessed by children;
(4) within three
business days of a written request by the attorney general, provide to the
attorney general a list of all data protection impact assessments the business
has completed;
(5) within five business
days of a written request by the attorney general, provide the attorney general
with a copy of any data protection impact assessment;
(6) estimate the age of
child users with a reasonable level of certainty appropriate to the risks that
arise from the data management practices of the business or apply the privacy
and data protections afforded to children to all consumers;
(7) configure all
default privacy settings provided to children by the online service, product,
or feature to settings that offer a high level of privacy, unless the business
can demonstrate a compelling reason that a different setting is in the best interests
of children;
(8) provide any privacy
information, terms of service, policies, and community standards concisely,
prominently, and using clear language suited to the age of children likely to
access that online service, product, or feature;
(9) if the online
service, product, or feature allows a child's parent, guardian, or any other
consumer to monitor the child's online activity or track the child's location,
provide an obvious signal to the child when the child is being monitored or
tracked;
(10) enforce published
terms, policies, and community standards established by the business, including
but not limited to privacy policies and those concerning children; and
(11) provide prominent,
accessible, and responsive tools to help children, or if applicable their
parents or guardians, exercise their privacy rights and report concerns.
Subd. 2. Data
protection impact assessments; requirements. (a) A data protection impact
assessment required by this section must:
(1) identify the purpose
of the online service, product, or feature; how it uses children's personal
data; and the risks of material detriment to children that arise from the data
management practices of the business; and
(2) address, to the
extent applicable:
(i) whether the design of the online product, service, or feature could harm children, including by exposing children to harmful, or potentially harmful, content on the online product, service, or feature;
(ii) whether the design
of the online product, service, or feature could lead to children experiencing
or being targeted by harmful, or potentially harmful, contacts on the online
product, service, or feature;
(iii) whether the design
of the online product, service, or feature could permit children to witness,
participate in, or be subject to harmful, or potentially harmful, conduct on
the online product, service, or feature;
(iv) whether the design
of the online product, service, or feature could allow children to be party to
or exploited by a harmful, or potentially harmful, contact on the online
product, service, or feature;
(v) whether algorithms
used by the online product, service, or feature could harm children;
(vi) whether targeted
advertising systems used by the online product, service, or feature could harm
children;
(vii) whether and how
the online product, service, or feature uses system design features to
increase, sustain, or extend use of the online product, service, or feature by
children, including the automatic playing of media, rewards for time spent, and
notifications; and
(viii) whether, how, and
for what purpose the online product, service, or feature collects or processes
personal data of children.
(b) A data protection
impact assessment conducted by a business for the purpose of compliance with
any other law complies with this section if the data protection impact
assessment meets the requirements of this chapter.
(c) A single data protection
impact assessment may contain multiple similar processing operations that
present similar risks only if each relevant online service, product, or feature
is addressed.
Subd. 3. Prohibitions
on businesses. A business
that provides an online service, product, or feature likely to be accessed by
children must not:
(1) use the personal
data of any child in a way that the business knows, or has reason to know, is
materially detrimental to the physical health, mental health, or well-being of
a child;
(2) profile a child by
default unless both of the following criteria are met:
(i) the business can
demonstrate it has appropriate safeguards in place to protect children; and
(ii) either of the
following is true:
(A) profiling is
necessary to provide the online service, product, or feature requested and only
with respect to the aspects of the online service, product, or feature with
which a child is actively and knowingly engaged; or
(B) the business can
demonstrate a compelling reason that profiling is in the best interests of
children;
(3) collect, sell,
share, or retain any personal data that is not necessary to provide an online
service, product, or feature with which a child is actively and knowingly
engaged, or as described below, unless the business can demonstrate a
compelling reason that the collecting, selling, sharing, or retaining of the
personal data is in the best interests of children likely to access the online
service, product, or feature;
(4) if the end user is a
child, use personal data for any reason other than a reason for which that
personal data was collected, unless the business can demonstrate a compelling
reason that use of the personal data is in the best interests of children;
(5) collect, sell, or
share any precise geolocation information of children by default, unless the
collection of that precise geolocation information is strictly necessary for
the business to provide the service, product, or feature requested and then only
for the limited time that the collection of precise geolocation information is
necessary to provide the service, product, or feature;
(6) collect any precise
geolocation information of a child without providing an obvious sign to the
child for the duration of that collection that precise geolocation information
is being collected;
(7) use dark patterns to
lead or encourage children to provide personal data beyond what is reasonably
expected to provide that online service, product, or feature to forego privacy
protections, or to take any action that the business knows, or has reason to
know, is materially detrimental to the child's physical health, mental health,
or well-being; or
(8) use any personal
data collected to estimate age or age range for any purpose other than to
fulfill the requirements of subdivision 1, clause (6), or retain that personal
data longer than necessary to estimate age.
Age assurance must be proportionate to the risks and data practice of an
online service, product, or feature.
Subd. 4. Data
practices. (a) A data protection
impact assessment collected or maintained by the attorney general under
subdivision 1 is classified as nonpublic data or private data on individuals
under section 13.02, subdivisions 9 and 12.
(b) To the extent any information contained in a data protection impact assessment disclosed to the attorney general includes information subject to attorney-client privilege or work product protection, disclosure pursuant to this section does not constitute a waiver of the privilege or protection.
Sec. 23. [325O.05]
ATTORNEY GENERAL ENFORCEMENT.
(a) A business that
violates this chapter may be subject to an injunction and liable for a civil
penalty of not more than $2,500 per affected child for each negligent
violation, or not more than $7,500 per affected child for each intentional
violation, which may be assessed and recovered only in a civil action brought
by the attorney general in accordance with section 8.31. If the state prevails in an action to enforce
this chapter, the state may, in addition to penalties provided by this
paragraph or other remedies provided by law, be allowed an amount determined by
the court to be the reasonable value of all or part of the state's litigation
expenses incurred.
(b) Any penalties, fees,
and expenses recovered in an action brought under this chapter must be
deposited in an account in the special revenue fund and are appropriated to the
attorney general to offset costs incurred by the attorney general in connection
with enforcement of this chapter.
(c) If a business is in
substantial compliance with the requirements of section 325O.04, subdivision 1,
clauses (1) to (5), the attorney general must, before initiating a civil action
under this section, provide written notice to the business identifying the
specific provisions of this chapter that the attorney general alleges have been
or are being violated. If, within 90
days of the notice required by this paragraph, the business cures any noticed
violation and provides the attorney general a written statement that the
alleged violations have been cured, and sufficient measures have been taken to
prevent future violations, the business is not liable for a civil penalty for
any violation cured pursuant to this section.
(d) Nothing in this
chapter provides a private right of action under this chapter, section 8.31, or
any other law.
Sec. 24. REPEALER.
Minnesota Statutes 2022,
section 325D.71, is repealed.
Sec. 25. EFFECTIVE
DATE.
(a) Sections 15 to 19
are effective July 1, 2024.
(b) By July 1, 2025, a
business must complete a data protection impact assessment for any online
service, product, or feature likely to be accessed by children offered to the
public before July 1, 2024, unless that online service, product, or feature is exempt
under paragraph (c).
(c) Sections 15 to 19 do
not apply to an online service, product, or feature that is not offered to the
public on or after July 1, 2024.
ARTICLE 5
MISCELLANEOUS COMMERCE POLICY
Section 1. Minnesota Statutes 2022, section 103G.291, subdivision 4, is amended to read:
Subd. 4. Demand reduction measures. (a) For the purposes of this section, "demand reduction measures" means measures that reduce water demand, water losses, peak water demands, and nonessential water uses. Demand reduction measures must include a conservation rate structure, or a uniform rate structure with a conservation program that achieves demand reduction. A "conservation rate structure" means a rate structure that encourages conservation and may include increasing block rates, seasonal rates, time of use rates, individualized goal rates, or excess use rates. If a conservation rate is applied to multifamily dwellings or a manufactured home park, as defined in section 327C.015, subdivision 8, the rate structure must consider each residential unit as an individual user.
(b) To encourage conservation, a public water supplier serving more than 1,000 people must implement demand reduction measures by January 1, 2015.
EFFECTIVE DATE. This
section is effective August 1, 2024, and applies to a billing period that
begins on or after that date.
Sec. 2. Minnesota Statutes 2022, section 237.066, is amended to read:
237.066 STATE GOVERNMENT PRICING PLANS.
Subdivision 1. Purpose. A state government or Tribal government telecommunications pricing plan is authorized and found to be in the public interest as it will:
(1) provide and ensure availability of high-quality, technologically advanced telecommunications services at a reasonable cost to the state or Tribal government; and
(2) further the state telecommunications goals as set forth in section 237.011.
Subd. 2. Program participation. A state government or Tribal government telecommunications pricing plan may be available to serve individually or collectively: state agencies; Tribal governments; educational institutions, including public schools and Tribal schools complying with section 120A.05, subdivision 9, 11, 13, or 17, and nonpublic schools complying with sections 120A.22, 120A.24, and 120A.41; private colleges; public corporations; and political subdivisions of the state or a Tribal Nation. Plans shall be available to carry out the commissioner of administration's duties under sections 16E.17 and 16E.18 and shall also be available to those entities not using the commissioner for contracting for telecommunications services.
Subd. 3. Rates. Notwithstanding section 237.09, 237.14,
237.60, subdivision 3, or 237.74, a telephone company or a telecommunications
carrier may, individually or in cooperation with other telephone companies or
telecommunications carriers, develop and offer basic or advanced
telecommunications services at discounted or reduced rates as a state
government or Tribal government telecommunications pricing plan. Any telecommunications services provided
under any state government or Tribal government telecommunications
pricing plan shall be used exclusively by those the entities
described in subdivision 2 subject to the plan solely for their
the entities' own use and shall not be made available to any other
entities by resale, sublease, or in any other way.
Subd. 4. Applicability to other customers. A telephone company or telecommunications carrier providing telecommunications services under a state government or Tribal government telecommunications pricing plan is not required to provide any other person or entity those services at the rates made available to the state or Tribal government.
Subd. 5. Commission
review. (a) The terms and
conditions of any state government or Tribal government
telecommunications pricing plan must be submitted to the commission for its
review and approval within 90 days before implementation to:
(1) ensure that the terms and conditions benefit the state or Tribal Nation and not any private entity;
(2) ensure that the rates for any telecommunications service in any state government or Tribal government telecommunications pricing plan are at or below any applicable tariffed rates; and
(3) ensure that the state telecommunications or Tribal government pricing plan meets the requirements of this section and is in the public interest.
(b) The commission shall
reject any state government or Tribal government telecommunications
pricing plan that does not meet these the criteria in
paragraph (a).
Sec. 3. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:
Subd. 3a. Commodity
rate. "Commodity
rate" means the per unit price for utility service that varies directly
with the volume of a resident's consumption of utility service and that is
established or approved by the Minnesota Public Utilities Commission or a
municipal public utilities commission, an electric cooperative association, or
a municipality and charged to a user of the service.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:
Subd. 11a. Public
utility. "Public
utility" has the meaning given in section 216B.02, subdivision 4.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2022, section 327C.015, subdivision 17, is amended to read:
Subd. 17. Substantial
modification. "Substantial
modification" means any change in a rule which: (a) significantly diminishes or eliminates
any material obligation of the park owner; (b) significantly diminishes or
eliminates any material right, privilege or freedom of action of a resident; or
(c) involves a significant new expense for a resident. The installation of water and sewer meters
and the subsequent metering of and billing for water and sewer service is not a
substantial modification of the lease, provided the park owner complies with
section 327C.04, subdivision 6.
EFFECTIVE DATE. This
section is effective for meter installations initiated on or after August 1,
2023.
Sec. 6. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:
Subd. 17a. Utility
provider. "Utility
provider" means a public utility, an electric cooperative association, or
a municipal utility.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 7. Minnesota Statutes 2022, section 327C.04, subdivision 1, is amended to read:
Subdivision 1. Billing permitted. A park owner who either provides utility service directly to residents or who redistributes to residents utility service provided to the park owner by a utility provider may charge the residents for that service, only if the charges comply with this section.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 8. Minnesota Statutes 2022, section 327C.04, subdivision 2, is amended to read:
Subd. 2. Metering
required. A park owner who charges
residents for a utility service must charge each household the same amount,
unless the park owner has installed measuring devices which accurately meter
each household's use of the utility. Utility
measuring devices installed by the park owner must be installed or repaired
only by a licensed plumber, licensed electrician, or licensed manufactured home
installer.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to meters installed or
repaired on or after that date.
Sec. 9. Minnesota Statutes 2022, section 327C.04, is amended by adding a subdivision to read:
Subd. 5. Utility
charge for metered service. (a)
A park owner who redistributes utility service may not charge a resident a
commodity rate that exceeds the commodity rate at which the park owner
purchases utility service from a utility provider. Before billing residents for redistributed
utility service, a park owner must deduct utility service used exclusively or
primarily for the park owner's purposes.
(b) If a utility bill
that a park owner receives from a utility provider separates from variable
consumption charges a fixed service or meter charge or fee, taxes, surcharges,
or other miscellaneous charges, the park owner must deduct the park owner's pro
rata share of these separately itemized charges and apportion the remaining
fixed portion of the bill equally among residents based on the total number of
occupied units in the park.
(c) A park owner may not
charge to or collect from residents any administrative, capital, or other
expenses associated with the distribution of utility services, including but
not limited to disconnection, reconnection, and late payment fees.
EFFECTIVE DATE. This
section is effective July 1, 2023.
Sec. 10. Minnesota Statutes 2022, section 327C.04, is amended by adding a subdivision to read:
Subd. 6. Rent
increases following the installation of water meters. A park owner may not increase lot
rents for 13 months following the commencement of utility bills for a resident
whose lease included water and sewer service.
In each of the three months prior to commencement of utility billing, a
park owner must provide the resident with a sample bill for water and sewer
service.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to meter installations
initiated on or after that date.
Sec. 11. Minnesota Statutes 2022, section 515B.3-102, is amended to read:
515B.3-102 POWERS OF UNIT OWNERS' ASSOCIATION.
(a) Except as provided in
subsections (b), (c), (d), and (e), and (f) and subject to the
provisions of the declaration or bylaws, the association shall have the power
to:
(1) adopt, amend and revoke rules and regulations not inconsistent with the articles of incorporation, bylaws and declaration, as follows: (i) regulating the use of the common elements; (ii) regulating the use of the units, and conduct of unit occupants, which may jeopardize the health, safety or welfare of other occupants, which involves noise or other disturbing activity, or which may damage the common elements or other units; (iii) regulating or prohibiting animals; (iv) regulating changes in the appearance of the common elements and conduct which may damage the common interest community; (v) regulating the exterior appearance of the common interest community, including, for example, balconies and patios, window treatments, and signs and other displays, regardless of whether inside a unit; (vi) implementing the articles of incorporation, declaration and bylaws, and exercising the powers granted by this section; and (vii) otherwise facilitating the operation of the common interest community;
(2) adopt and amend budgets for revenues, expenditures and reserves, and levy and collect assessments for common expenses from unit owners;
(3) hire and discharge managing agents and other employees, agents, and independent contractors;
(4) institute, defend, or intervene in litigation or administrative proceedings (i) in its own name on behalf of itself or two or more unit owners on matters affecting the common elements or other matters affecting the common interest community or, (ii) with the consent of the owners of the affected units on matters affecting only those units;
(5) make contracts and incur liabilities;
(6) regulate the use, maintenance, repair, replacement, and modification of the common elements and the units;
(7) cause improvements to be made as a part of the common elements, and, in the case of a cooperative, the units;
(8) acquire, hold, encumber, and convey in its own name any right, title, or interest to real estate or personal property, but (i) common elements in a condominium or planned community may be conveyed or subjected to a security interest only pursuant to section 515B.3-112, or (ii) part of a cooperative may be conveyed, or all or part of a cooperative may be subjected to a security interest, only pursuant to section 515B.3-112;
(9) grant or amend easements for public utilities, public rights-of-way or other public purposes, and cable television or other communications, through, over or under the common elements; grant or amend easements, leases, or licenses to unit owners for purposes authorized by the declaration; and, subject to approval by a vote of unit owners other than declarant or its affiliates, grant or amend other easements, leases, and licenses through, over or under the common elements;
(10) impose and receive any payments, fees, or charges for the use, rental, or operation of the common elements, other than limited common elements, and for services provided to unit owners;
(11) impose interest and late charges for late payment of assessments and, after notice and an opportunity to be heard before the board or a committee appointed by it, levy reasonable fines for violations of the declaration, bylaws, and rules and regulations of the association, provided that attorney fees and costs must not be charged or collected from a unit owner who disputes a fine or assessment and, if after being heard by the board or a committee of the board, the board does not adopt a resolution levying the fine or upholding the assessment against the unit owner or owner's unit;
(12) impose reasonable charges for the review, preparation and recordation of amendments to the declaration, resale certificates required by section 515B.4-107, statements of unpaid assessments, or furnishing copies of association records;
(13) provide for the indemnification of its officers and directors, and maintain directors' and officers' liability insurance;
(14) provide for reasonable procedures governing the conduct of meetings and election of directors;
(15) exercise any other powers conferred by law, or by the declaration, articles of incorporation or bylaws; and
(16) exercise any other powers necessary and proper for the governance and operation of the association.
(b) Notwithstanding subsection (a) the declaration or bylaws may not impose limitations on the power of the association to deal with the declarant which are more restrictive than the limitations imposed on the power of the association to deal with other persons.
(c) An association that
levies a fine pursuant to subsection (a)(11), or an assessment pursuant to
section 515B.3‑115(g), or 515B.3-1151(g), must provide a dated, written
notice to a unit owner that:
(1) states the amount and
reason for the fine or assessment;
(2) for fines levied under
section 515B.3-102(a)(11), specifies: (i)
the violation for which a fine is being levied; and (ii) the specific section
of the declaration, bylaws, rules, or regulations allegedly violated;
(3) for assessments
levied under section 515B.3-115(g) or 515B.3-1151(g), identifies: (i) the damage caused; and (ii) the act or
omission alleged to have caused the damage;
(4) states that all
unpaid fines and assessments are liens which, if not satisfied, could lead to
foreclosure of the lien against the owner's unit;
(5) describes the unit
owner's right to be heard by the board or a committee appointed by the board;
(6) states that if the
assessment, fine, late fees, and other allowable charges are not paid, the
amount may increase as a result of the imposition of attorney fees and other
collection costs; and
(7) informs the unit
owner that homeownership assistance is available from, and includes the contact
information for, the Minnesota Homeownership Center.
(c) (d) Notwithstanding
subsection (a), powers exercised under this section must comply with section
500.215.
(d) (e) Notwithstanding
subsection (a)(4) or any other provision of this chapter, the association,
before instituting litigation or arbitration involving construction defect
claims against a development party, shall:
(1) mail or deliver written notice of the anticipated commencement of the action to each unit owner at the addresses, if any, established for notices to owners in the declaration and, if the declaration does not state how notices are to be given to owners, to the owner's last known address. The notice shall specify the nature of the construction defect claims to be alleged, the relief sought, and the manner in which the association proposes to fund the cost of pursuing the construction defect claims; and
(2) obtain the approval of
owners of units to which a majority of the total votes in the association are
allocated. Votes allocated to units
owned by the declarant, an affiliate of the declarant, or a mortgagee who
obtained ownership of the unit through a foreclosure sale are excluded. The association may obtain the required
approval by a vote at an annual or special meeting of the members or, if
authorized by the statute under which the association is created and taken in
compliance with that statute, by a vote of the members taken by electronic
means or mailed ballots. If the
association holds a meeting and voting by electronic means or mailed ballots is
authorized by that statute, the association shall also provide for voting by
those methods. Section 515B.3-110(c)
applies to votes taken by electronic means or mailed ballots, except that the
votes must be used in combination with the vote taken at a meeting and are not
in lieu of holding a meeting, if a meeting is held, and are considered for purposes
of determining whether a quorum was present.
Proxies may not be used for a vote taken under this paragraph unless the
unit owner executes the proxy after receipt of the notice required under
subsection (d)(1) (e)(1) and the proxy expressly references this
notice.
(e) (f) The
association may intervene in a litigation or arbitration involving a
construction defect claim or assert a construction defect claim as a
counterclaim, crossclaim, or third-party claim before complying with
subsections (d)(1) (e)(1) and (d)(2) (e)(2) but the
association's complaint in an intervention, counterclaim, crossclaim, or third‑party
claim shall be dismissed without prejudice unless the association has complied
with the requirements of subsection (d) (e) within 90 days of the
association's commencement of the complaint in an intervention or the assertion
of the counterclaim, crossclaim, or third-party claim.
EFFECTIVE DATE. This
section is effective January 1, 2024, for fines and assessments levied on or
after that date.
Sec. 12. Minnesota Statutes 2022, section 515B.3-115, is amended to read:
515B.3-115 ASSESSMENTS FOR COMMON EXPENSES; CIC CREATED BEFORE AUGUST
1, 2010.
(a) The obligation of a unit owner to pay common expense assessments shall be as follows:
(1) If a common expense assessment has not been levied, the declarant shall pay all operating expenses of the common interest community, and shall fund the replacement reserve component of the common expenses as required by subsection (b).
(2) If a common expense assessment has been levied, all unit owners, including the declarant, shall pay the assessments allocated to their units, subject to the following:
(i) If the declaration so provides, a declarant's liability, and the assessment lien, for the common expense assessments, exclusive of replacement reserves, on any unit owned by the declarant may be limited to 25 percent or more of any assessment, exclusive of replacement reserves, until the unit or any building located in the unit is substantially completed. Substantial completion shall be evidenced by a certificate of occupancy in any jurisdiction that issues the certificate.
(ii) If the declaration provides for a reduced assessment pursuant to paragraph (2)(i), the declarant shall be obligated, within 60 days following the termination of the period of declarant control, to make up any operating deficit incurred by the association during the period of declarant control. The existence and amount, if any, of the operating deficit shall be determined using the accrual basis of accounting applied as of the date of termination of the period of declarant control, regardless of the accounting methodology previously used by the association to maintain its accounts.
(b) The replacement reserve component of the common expenses shall be funded for each unit in accordance with the projected annual budget required by section 515B.4-102(a)(23) provided that the funding of replacement reserves with respect to a unit shall commence no later than the date that the unit or any building located within the unit boundaries is substantially completed. Substantial completion shall be evidenced by a certificate of occupancy in any jurisdiction that issues the certificate.
(c) After an assessment has been levied by the association, assessments shall be levied at least annually, based upon a budget approved at least annually by the association.
(d) Except as modified by subsections (a)(1) and (2), (e), (f), and (g), all common expenses shall be assessed against all the units in accordance with the allocations established by the declaration pursuant to section 515B.2-108.
(e) Unless otherwise required by the declaration:
(1) any common expense associated with the maintenance, repair, or replacement of a limited common element shall be assessed against the units to which that limited common element is assigned, equally, or in any other proportion the declaration provides;
(2) any common expense or portion thereof benefiting fewer than all of the units may be assessed exclusively against the units benefited, equally, or in any other proportion the declaration provides;
(3) the costs of insurance may be assessed in proportion to risk or coverage, and the costs of utilities may be assessed in proportion to usage;
(4) reasonable attorneys
attorney fees and costs incurred by the association in connection with
(i) the collection of assessments against a unit owner, and, (ii)
the enforcement of this chapter, the articles, bylaws, declaration, or rules
and regulations, against a unit owner, may be assessed against the unit
owner's unit subject to section 515B.3‑116(h); and
(5) fees, charges, late charges, fines and interest may be assessed as provided in section 515B.3-116(a).
(f) Assessments levied under section 515B.3-116 to pay a judgment against the association may be levied only against the units in the common interest community at the time the judgment was entered, in proportion to their common expense liabilities.
(g) If any damage to the common elements or another unit is caused by the act or omission of any unit owner, or occupant of a unit, or their invitees, the association may assess the costs of repairing the damage exclusively against the unit owner's unit to the extent not covered by insurance.
(h) Subject to any shorter period specified by the declaration or bylaws, if any installment of an assessment becomes more than 60 days past due, then the association may, upon ten days' written notice to the unit owner, declare the entire amount of the assessment immediately due and payable in full, except that any portion of the assessment that represents installments that are not due and payable without acceleration as of the date of reinstatement must not be included in the amount that a unit owner must pay to reinstate under section 580.30 or chapter 581.
(i) If common expense liabilities are reallocated for any purpose authorized by this chapter, common expense assessments and any installment thereof not yet due shall be recalculated in accordance with the reallocated common expense liabilities.
(j) An assessment against fewer than all of the units must be levied within three years after the event or circumstances forming the basis for the assessment, or shall be barred.
(k) This section applies only to common interest communities created before August 1, 2010.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 13. Minnesota Statutes 2022, section 515B.3-1151, is amended to read:
515B.3-1151 ASSESSMENTS FOR COMMON EXPENSES; CIC CREATED ON OR AFTER
AUGUST 1, 2010.
(a) The association shall approve an annual budget of common expenses at or prior to the conveyance of the first unit in the common interest community to a purchaser and annually thereafter. The annual budget shall include all customary and necessary operating expenses and replacement reserves for the common interest community, consistent with this section and section 515B.3-114. For purposes of replacement reserves under subsection (b), until an annual budget has been approved, the reserves shall be paid based upon the budget contained in the disclosure statement required by section 515B.4-102. The obligation of a unit owner to pay common expenses shall be as follows:
(1) If a common expense assessment has not been levied by the association, the declarant shall pay all common expenses of the common interest community, including the payment of the replacement reserve component of the common expenses for all units in compliance with subsection (b).
(2) If a common expense assessment has been levied by the association, all unit owners, including the declarant, shall pay the assessments levied against their units, except as follows:
(i) The declaration may provide for an alternate common expense plan whereby the declarant's common expense liability, and the corresponding assessment lien against the units owned by the declarant, is limited to: (A) paying when due, in compliance with subsection (b), an amount equal to the full share of the replacement reserves allocated to units owned by the declarant, as set forth in the association's annual budget approved as provided in this subsection; and (B) paying when due all accrued expenses of the common interest community in excess of the aggregate assessments payable with respect to units owned by persons other than a declarant; provided, that the alternate common expense plan shall not affect a declarant's obligation to make up any operating deficit pursuant to item (iv), and shall terminate upon the termination of any period of declarant control unless terminated earlier pursuant to item (iii).
(ii) The alternate common expense plan may be authorized only by including in the declaration and the disclosure statement required by section 515B.4-102 provisions authorizing and disclosing the alternate common expense plan as described in item (i), and including in the disclosure statement either (A) a statement that the alternate common expense plan will have no effect on the level of services or amenities anticipated by the association's budget contained in the disclosure statement, or (B) a statement describing how the services or amenities may be affected.
(iii) A declarant shall give notice to the association of its intent to utilize the alternate common expense plan and a commencement date after the date the notice is given. The alternate common expense plan shall be valid only for periods after the notice is given. A declarant may terminate its right to utilize the alternate common expense plan prior to the termination of the period of declarant control only by giving notice to the association and the unit owners at least 30 days prior to a selected termination date set forth in the notice.
(iv) If a declarant utilizes an alternate common expense plan, that declarant shall cause to be prepared and delivered to the association, at the declarant's expense, within 90 days after the termination of the period of declarant control, an audited balance sheet and profit and loss statement certified to the association and prepared by an accountant having the qualifications set forth in section 515B.3-121(b). The audit shall be binding on the declarant and the association.
(v) If the audited profit and loss statement shows an accumulated operating deficit, the declarant shall be obligated to make up the deficit within 15 days after delivery of the audit to the association, and the association shall have a claim against the declarant for an amount equal to the deficit until paid. A declarant who does not utilize an alternate common expense plan is not liable to make up any operating deficit. If more than one declarant utilizes an alternate common expense plan, all declarants who utilize the plan are jointly and severally liable to the association for any operating deficit.
(vi) The existence and amount, if any, of the operating deficit shall be determined using the accrual method of accounting applied as of the date of termination of the period of declarant control, regardless of the accounting methodology previously used by the association to maintain its accounts.
(vii) Unless approved by a vote of the unit owners other than the declarant and its affiliates, the operating deficit shall not be made up, prior to the election by the unit owners of a board of directors pursuant to section 515B.3‑103(d), through the use of a special assessment described in subsection (c) or by assessments described in subsections (e), (f), and (g).
(viii) The use by a declarant of an alternate common expense plan shall not affect the obligations of the declarant or the association as provided in the declaration, the bylaws, or this chapter, or as represented in the disclosure statement required by section 515B.4-102, except as to matters authorized by this chapter.
(b) The replacement reserves required by section 515B.3-114 shall be paid to the association by each unit owner for each unit owned by that unit owner in accordance with the association's annual budget approved pursuant to subsection (a), regardless of whether an annual assessment has been levied or whether the declarant has utilized an alternate common expense plan under subsection (a)(2). Replacement reserves shall be paid with respect to a unit commencing as of the later of (1) the date of creation of the common interest community or (2) the date that the structure and exterior of the building containing the unit, or the structure and exterior of any building located within the unit boundaries, but excluding the interior finishing of the structure itself, are substantially completed. If the association has not approved an annual budget as of the commencement date for the payment of replacement reserves, then the reserves shall be paid based upon the budget contained in the disclosure statement required by section 515B.4-102.
(c) After an assessment has been levied by the association, assessments shall be levied at least annually, based upon an annual budget approved by the association. In addition to and not in lieu of annual assessments, an association may, if so provided in the declaration, levy special assessments against all units in the common interest community based upon the same formula required by the declaration for levying annual assessments. Special assessments may be levied only (1) to cover expenditures of an emergency nature, (2) to replenish underfunded replacement reserves, (3) to cover unbudgeted capital expenditures or operating expenses, or (4) to replace certain components of the common interest community described in section 515B.3-114(a), if such alternative method of funding is approved under section 515B.3-114(a)(5). The association may also levy assessments against fewer than all units as provided in subsections (e), (f), and (g). An assessment under subsection (e)(2) for replacement reserves is subject to the requirements of section 515B.3-1141(a)(5).
(d) Except as modified by subsections (a), clauses (1) and (2), (e), (f), and (g), all common expenses shall be assessed against all the units in accordance with the allocations established by the declaration pursuant to section 515B.2-108.
(e) Unless otherwise required by the declaration:
(1) any common expense associated with the maintenance, repair, or replacement of a limited common element shall be assessed against the units to which that limited common element is assigned, equally, or in any other proportion the declaration provides;
(2) any common expense or portion thereof benefiting fewer than all of the units may be assessed exclusively against the units benefited, equally, or in any other proportion the declaration provides;
(3) the costs of insurance may be assessed in proportion to risk or coverage, and the costs of utilities may be assessed in proportion to usage;
(4) reasonable attorney fees and costs incurred by the association in connection with (i) the collection of assessments, and (ii) the enforcement of this chapter, the articles, bylaws, declaration, or rules and regulations, against a unit owner, may be assessed against the unit owner's unit, subject to section 515B.3-116(h); and
(5) fees, charges, late charges, fines, and interest may be assessed as provided in section 515B.3-116(a).
(f) Assessments levied under section 515B.3-116 to pay a judgment against the association may be levied only against the units in the common interest community at the time the judgment was entered, in proportion to their common expense liabilities.
(g) If any damage to the common elements or another unit is caused by the act or omission of any unit owner, or occupant of a unit, or their invitees, the association may assess the costs of repairing the damage exclusively against the unit owner's unit to the extent not covered by insurance.
(h) Subject to any shorter period specified by the declaration or bylaws, if any installment of an assessment becomes more than 60 days past due, then the association may, upon ten days' written notice to the unit owner, declare the entire amount of the assessment immediately due and payable in full, except that any portion of the assessment that represents installments that are not due and payable without acceleration as of the date of reinstatement must not be included in the amount that a unit owner must pay to reinstate under section 580.30 or chapter 581.
(i) If common expense liabilities are reallocated for any purpose authorized by this chapter, common expense assessments and any installment thereof not yet due shall be recalculated in accordance with the reallocated common expense liabilities.
(j) An assessment against fewer than all of the units must be levied within three years after the event or circumstances forming the basis for the assessment, or shall be barred.
(k) This section applies only to common interest communities created on or after August 1, 2010.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 14. Minnesota Statutes 2022, section 515B.3-116, is amended to read:
515B.3-116 LIEN FOR ASSESSMENTS.
(a) The association has a lien on a unit for any assessment levied against that unit from the time the assessment becomes due. If an assessment is payable in installments, the full amount of the assessment is a lien from the time the first installment thereof becomes due. Unless the declaration otherwise provides, fees, charges, late charges, fines and interest charges pursuant to section 515B.3-102(a)(10), (11) and (12) are liens, and are enforceable as assessments, under this section. Recording of the declaration constitutes record notice and perfection of any assessment lien under this section, and no further recording of any notice of or claim for the lien is required.
(b) Subject to subsection (c), a lien under this section is prior to all other liens and encumbrances on a unit except (i) liens and encumbrances recorded before the declaration and, in a cooperative, liens and encumbrances which the association creates, assumes, or takes subject to, (ii) any first mortgage encumbering the fee simple interest in the unit, or, in a cooperative, any first security interest encumbering only the unit owner's interest in the unit, (iii) liens for real estate taxes and other governmental assessments or charges against the unit, and (iv) a master association lien under section 515B.2-121(h). This subsection shall not affect the priority of mechanic's liens.
(c) If a first mortgage on a unit is foreclosed, the first mortgage was recorded after June 1, 1994, and no owner or person who acquires the owner's interest in the unit redeems pursuant to chapter 580, 581, or 582, the holder of the sheriff's certificate of sale from the foreclosure of the first mortgage or any person who acquires title to the unit by redemption as a junior creditor shall take title to the unit subject to a lien in favor of the association for unpaid assessments for common expenses levied pursuant to section 515B.3-115(a), (e)(1) to (3), (f), and (i) which became due, without acceleration, during the six months immediately preceding the end of the owner's period of redemption. The common expenses shall be based upon the association's then current annual budget, notwithstanding the use of an alternate common expense plan under section 515B.3-115(a)(2). If a first security interest encumbering a unit owner's interest in a cooperative unit which is personal property is foreclosed, the secured party or the purchaser at the sale shall take title to the unit subject to unpaid assessments for common expenses levied pursuant to section 515B.3-115(a), (e)(1) to (3), (f), and (i) which became due, without acceleration, during the six months immediately preceding the first day following either the disposition date pursuant to section 336.9-610 or the date on which the obligation of the unit owner is discharged pursuant to section 336.9-622.
(d) Proceedings to enforce an assessment lien shall be instituted within three years after the last installment of the assessment becomes payable, or shall be barred.
(e) The unit owner of a unit at the time an assessment is due shall be personally liable to the association for payment of the assessment levied against the unit. If there are multiple owners of the unit, they shall be jointly and severally liable.
(f) This section does not prohibit actions to recover sums for which subsection (a) creates a lien nor prohibit an association from taking a deed in lieu of foreclosure.
(g) The association shall furnish to a unit owner or the owner's authorized agent upon written request of the unit owner or the authorized agent a statement setting forth the amount of unpaid assessments currently levied against the owner's unit. If the unit owner's interest is real estate, the statement shall be in recordable form. The statement shall be furnished within ten business days after receipt of the request and is binding on the association and every unit owner.
(h) The association's lien may be foreclosed as provided in this subsection.
(1) In a condominium or planned community, the association's lien may be foreclosed in a like manner as a mortgage containing a power of sale pursuant to chapter 580, or by action pursuant to chapter 581. The association shall have a power of sale to foreclose the lien pursuant to chapter 580, except that any portion of the assessment that represents attorney fees or costs shall not be included in the amount a unit owner must pay to reinstate under section 580.30 or chapter 581.
(2) In a cooperative whose unit owners' interests are real estate, the association's lien shall be foreclosed in a like manner as a mortgage on real estate as provided in paragraph (1).
(3) In a cooperative whose unit owners' interests in the units are personal property, the association's lien shall be foreclosed in a like manner as a security interest under article 9 of chapter 336. In any disposition pursuant to section 336.9-610 or retention pursuant to sections 336.9-620 to 336.9-622, the rights of the parties shall be the same as those provided by law, except (i) notice of sale, disposition, or retention shall be served on the unit owner 90 days prior to sale, disposition, or retention, (ii) the association shall be entitled to its reasonable costs and attorney fees not exceeding the amount provided by section 582.01, subdivision 1a, (iii) the amount of the association's lien shall be deemed to be adequate consideration for the unit subject to disposition or retention, notwithstanding the value of the unit, and (iv) the notice of sale, disposition, or retention shall contain the following statement in capital letters with the name of the association or secured party filled in:
"THIS IS TO INFORM YOU THAT BY THIS NOTICE (fill in name of association or secured party) HAS BEGUN PROCEEDINGS UNDER MINNESOTA STATUTES, CHAPTER 515B, TO FORECLOSE ON YOUR INTEREST IN YOUR UNIT FOR THE REASON SPECIFIED IN THIS NOTICE. YOUR INTEREST IN YOUR UNIT WILL TERMINATE 90 DAYS AFTER SERVICE OF THIS NOTICE ON YOU UNLESS BEFORE THEN:
(a) THE PERSON AUTHORIZED BY (fill in the name of association or secured party) AND DESCRIBED IN THIS NOTICE TO RECEIVE PAYMENTS RECEIVES FROM YOU:
(1) THE AMOUNT THIS NOTICE SAYS YOU OWE; PLUS
(2) THE COSTS INCURRED TO SERVE THIS NOTICE ON YOU; PLUS
(3) $500 TO APPLY TO ATTORNEYS ATTORNEY FEES ACTUALLY
EXPENDED OR INCURRED; PLUS
(4) ANY ADDITIONAL AMOUNTS FOR YOUR UNIT BECOMING DUE TO (fill in name of association or secured party) AFTER THE DATE OF THIS NOTICE; OR
(b) YOU SECURE FROM A DISTRICT COURT AN ORDER THAT THE FORECLOSURE OF YOUR RIGHTS TO YOUR UNIT BE SUSPENDED UNTIL YOUR CLAIMS OR DEFENSES ARE FINALLY DISPOSED OF BY TRIAL, HEARING, OR SETTLEMENT. YOUR ACTION MUST SPECIFICALLY STATE THOSE FACTS AND GROUNDS THAT DEMONSTRATE YOUR CLAIMS OR DEFENSES.
IF YOU DO NOT DO ONE OR THE OTHER OF THE ABOVE THINGS WITHIN THE TIME PERIOD SPECIFIED IN THIS NOTICE, YOUR OWNERSHIP RIGHTS IN YOUR UNIT WILL TERMINATE AT THE END OF THE PERIOD, YOU WILL LOSE ALL THE MONEY YOU HAVE PAID FOR YOUR UNIT, YOU WILL LOSE YOUR RIGHT TO POSSESSION OF YOUR UNIT, YOU MAY LOSE YOUR RIGHT TO ASSERT ANY CLAIMS OR DEFENSES THAT YOU MIGHT HAVE, AND YOU WILL BE EVICTED. IF YOU HAVE ANY QUESTIONS ABOUT THIS NOTICE, CONTACT AN ATTORNEY IMMEDIATELY."
(4) In any foreclosure
pursuant to chapter 580, 581, or 582, the rights of the parties shall be the
same as those provided by law, except (i) the period of redemption for unit
owners shall be six months from the date of sale or a lesser period authorized
by law, (ii) in a foreclosure by advertisement under chapter 580, the
foreclosing party shall be entitled to costs and disbursements of foreclosure
and attorneys attorney fees authorized by the declaration or
bylaws, notwithstanding the provisions of section 582.01, subdivisions 1 and
1a, (iii) in a foreclosure by action under chapter 581, the foreclosing party
shall be entitled to costs and disbursements of foreclosure and attorneys fees
as the court shall determine, and (iv) the amount of the association's lien
shall be deemed to be adequate consideration for the unit subject to
foreclosure, notwithstanding the value of the unit.
(i) If a holder of a sheriff's certificate of sale, prior to the expiration of the period of redemption, pays any past due or current assessments, or any other charges lienable as assessments, with respect to the unit described in the sheriff's certificate, then the amount paid shall be a part of the sum required to be paid to redeem under section 582.03.
(j) In a cooperative, if the unit owner fails to redeem before the expiration of the redemption period in a foreclosure of the association's assessment lien, the association may bring an action for eviction against the unit owner and any persons in possession of the unit, and in that case section 504B.291 shall not apply.
(k) An association may assign its lien rights in the same manner as any other secured party.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to foreclosures initiated on
or after that date.
Sec. 15. Laws 2022, chapter 93, article 1, section 2, subdivision 5, is amended to read:
|
Subd. 5. Enforcement
and Examinations |
|
-0- |
|
522,000 |
$522,000 in fiscal year 2023 is for the auto theft prevention library under Minnesota Statutes, section 65B.84, subdivision 1, paragraph (d). This is a onetime appropriation and is available until June 30, 2024.
Sec. 16. REPEALER.
Minnesota Statutes 2022,
section 327C.04, subdivision 4, is repealed.
EFFECTIVE DATE. This section is effective July 1, 2023."
Delete the title and insert:
"A bill for an act relating to commerce; establishing a biennial budget for Department of Commerce and related activities; adding and modifying various provisions governing health, property, life, homeowner's, and automobile insurance; regulating financial institutions; modifying provisions governing financial institutions; providing for certain consumer protections and privacy; modifying provisions governing commerce; making technical changes; establishing civil and criminal penalties; authorizing administrative rulemaking; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 46.131, subdivision 11; 47.0153, subdivision 1; 47.59, subdivision 2; 47.60, subdivisions 1, 2, by adding a subdivision; 47.601, subdivisions 1, 2, 6, by adding a subdivision; 53.04, subdivision 3a; 53C.01, subdivision 12c, by adding a subdivision; 53C.08, subdivision 1a; 56.131, subdivision 1; 60A.08, subdivision 15; 60A.14, subdivision 1; 61A.031; 61A.60, subdivision 3; 62A.152, subdivision 3; 62A.3099, by adding a subdivision; 62A.31, subdivisions 1, 1f, 1h, 1p, 1u, 4, by adding a subdivision; 62A.44, subdivision 2; 62D.02, by adding a subdivision; 62D.095, subdivisions 2, 3, 4, 5; 62J.26, subdivisions 1, 2; 62K.10, subdivision 4; 62Q.096; 62Q.19, subdivision 1; 62Q.46, subdivisions 1, 3; 62Q.47; 62Q.735, subdivisions 1, 5; 62Q.76, by adding a subdivision; 62Q.78, by adding subdivisions; 62Q.81, subdivision 4, by adding a subdivision; 65B.49, by adding a subdivision; 80A.50; 80E.041, subdivision 4; 103G.291, subdivision 4; 151.071, subdivisions 1, 2; 237.066; 256B.0631, subdivision 1; 256B.69, subdivision 5a; 256L.03, subdivision 5; 325D.01, subdivision 5; 325D.44, subdivisions 1, 2; 325F.662, subdivisions 2, 3; 325F.6641, subdivision 2; 325F.69, subdivision 1, by adding a subdivision; 325F.70, by adding a subdivision; 325G.051, subdivision 1; 327C.015, subdivision 17, by adding subdivisions; 327C.04, subdivisions 1, 2, by adding subdivisions; 515B.3-102; 515B.3‑115; 515B.3-1151; 515B.3-116; Laws 2022, chapter 93, article 1, section 2, subdivision 5; proposing coding for new law in Minnesota Statutes, chapters 13; 48; 52; 53B; 58; 58B; 60A; 62J; 62Q; 62W; 65A; 325E; 325F; 332; proposing coding for new law as Minnesota Statutes, chapter 325O; repealing Minnesota Statutes 2022, sections 48.10; 53B.01; 53B.02; 53B.03; 53B.04; 53B.05; 53B.06; 53B.07; 53B.08; 53B.09; 53B.10; 53B.11; 53B.12; 53B.13; 53B.14; 53B.15; 53B.16; 53B.17; 53B.18; 53B.19; 53B.20; 53B.21; 53B.22; 53B.23; 53B.24; 53B.25; 53B.26; 53B.27, subdivisions 1, 2, 5, 6, 7; 62A.31, subdivisions 1b, 1i; 325D.71; 327C.04, subdivision 4; Minnesota Rules, parts 2675.2610, subparts 1, 3, 4; 2675.2620, subparts 1, 2, 3, 4, 5; 2675.2630, subpart 3."
With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.
The
report was adopted.
Nelson, M., from the Committee on Labor and Industry Finance and Policy to which was referred:
H. F. No. 2755, A bill for an act relating to state government; establishing the governor's biennial budget for the Department of Labor and Industry, Workers' Compensation Court of Appeals, and Bureau of Mediation Services; providing earned sick and safe time; protecting agricultural and food processing workers; establishing nursing home workforce standards; protecting petroleum refinery workers; modifying combative sports; modifying other miscellaneous policy provisions; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 13.43, subdivision 6; 175.16, subdivision 1; 177.26, subdivisions 1, 2; 177.27, subdivisions 2, 4, 7; 178.01; 178.011, subdivision 7; 178.03, subdivision 1; 178.11; 179.86, subdivisions 1, 3, by adding subdivisions; 179A.041, by adding a subdivision; 181.14, subdivision 1; 181.635, subdivisions 1, 2, 3, 4, 6; 181.85, subdivisions 2, 4; 181.86, subdivision 1; 181.87, subdivisions 2, 3, 7; 181.88; 181.89, subdivision 2, by adding a subdivision; 181.942, subdivision 1; 181.9435, subdivision 1; 181.9436; 181.944; 182.666, subdivisions 1, 2, 3, 4, 5, by adding a subdivision; 326B.092, subdivision 6; 326B.096; 326B.103, subdivision 13, by adding subdivisions; 326B.106, subdivision 1, by adding a subdivision; 341.21, subdivisions 2a, 2b, 2c, 4f, 7, by adding a subdivision; 341.221; 341.25; 341.27; 341.28, subdivisions 2, 3, by adding subdivisions; 341.30, subdivision 4; 341.32, subdivision 2; 341.321; 341.33; 341.355; proposing coding for new law in Minnesota Statutes, chapters 13; 177; 181; 341; repealing Minnesota Statutes 2022, sections 177.26, subdivision 3; 181.9413.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
APPROPRIATIONS
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Section 1. APPROPRIATIONS. |
(a) The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second
year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
(b) If an appropriation in
this article is enacted more than once in the 2023 regular or special
legislative session, the appropriation must be given effect only once.
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APPROPRIATIONS |
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Available for the
Year |
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Ending June 30 |
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2024 |
2025 |
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Sec. 2. DEPARTMENT OF LABOR AND INDUSTRY |
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Subdivision 1. Total
Appropriation |
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$47,412,000 |
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$43,625,000 |
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Appropriations by Fund |
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2024 |
2025 |
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General |
7,244,000 |
4,854,000 |
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Workers'
Compensation |
29,854,000 |
31,603,000 |
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Workforce Development |
10,314,000 |
7,168,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
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Subd. 2. General
Support |
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8,765,000 |
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9,106,000 |
This appropriation is from
the workers' compensation fund.
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Subd. 3. Labor
Standards |
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6,564,000 |
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6,235,000 |
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Appropriations by Fund |
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General |
5,001,000 |
4,600,000 |
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Workforce Development |
1,563,000
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1,635,000
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(a) $2,046,000 each year is for
wage theft prevention.
(b) $1,563,000 the first
year and $1,635,000 the second year are from the workforce development fund for
prevailing wage enforcement.
(c) $268,000 the first year
and $276,000 the second year are for outreach and enforcement efforts related
to changes to the nursing mothers,
lactating employees, and pregnancy accommodations law.
(d) $184,000 the first year
and $142,000 the second year are to strengthen workplace protections for
agricultural and food processing workers.
(e) $50,000 the first year
is for outreach and education for the safe and skilled worker act, which
establishes minimum training standards for contractors performing work at
petroleum refineries in Minnesota.
(f) $641,000 the first year
and $322,000 the second year are to perform work for the Nursing Home Workforce
Standards Board.
(g) $225,000 the first year
and $169,000 the second year are for the purposes of the Safe Workplaces for
Meat and Poultry Processing Workers Act.
(h) $27,000 the first year
is for the creation and distribution of a veterans' benefits and services
poster under Minnesota Statutes, section 181.536.
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Subd. 4. Workers'
Compensation |
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15,190,000 |
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15,725,000 |
This appropriation is from
the workers' compensation fund.
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Subd. 5. Workplace
Safety |
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7,899,000 |
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6,772,000 |
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Appropriations by Fund |
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General |
2,000,000 |
-0- |
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Workers'
Compensation |
5,899,000 |
6,772,000 |
(a) $477,000 the first year
and $1,128,000 the second year are from the workers' compensation fund for
education and outreach, staffing, and technology development of the ergonomics
program under Minnesota Statutes, section 182.677. The base appropriation is $1,487,000 in
fiscal year 2026 and $1,196,000 in fiscal year 2027.
(b) $2,000,000 the first year
is for the ergonomics safety grant program.
This appropriation is available until June 30, 2026. This is a onetime appropriation.
(c) $115,000 the first year
and $91,000 the second year are from the workers' compensation fund for
enforcement and other duties related to warehouse distribution workers safety
under Minnesota Statutes, section 182.6526.
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Subd. 6. Workforce
Development Initiatives |
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2,359,000 |
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2,371,000 |
(a) This appropriation is
from the workforce development fund.
(b) $300,000 each year is
from the workforce development fund for the pipeline program.
(c) $200,000 each year is
from the workforce development fund for identification of competency standards
under Minnesota Statutes, section 175.45.
(d) $1,500,000 each year is
from the workforce development fund for youth skills training grants under
Minnesota Statutes, section 175.46.
(e) $359,000 the first year
and $371,000 the second year are from the workforce development fund for
administration of the youth skills training grants under Minnesota Statutes,
section 175.46.
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Subd. 7. Combative
Sports |
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243,000 |
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254,000 |
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Subd. 8. Apprenticeship
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6,392,000 |
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3,162,000 |
(a) This appropriation is
from the workforce development fund.
(b) $1,464,000 the first
year and $1,534,000 the second year are from the workforce development fund for
the apprenticeship program under Minnesota Statutes, chapter 178.
(c) $1,000,000 the first
year and $1,000,000 the second year are from the workforce development fund for
labor education and advancement program grants under Minnesota Statutes,
section 178.11.
(d) $3,000,000 the first
year is from the workforce development fund for grants to registered
apprenticeship programs for clean economy occupations. Of this amount, up to five percent is for
administration and monitoring of the program.
This appropriation is onetime and available until June 30, 2026. Grant money may be used to:
(1) purchase equipment or
training materials in clean technologies;
(2) fund instructor
professional development in clean technologies;
(3) design and refine
curriculum in clean technologies; and
(4) train apprentices and
upskill incumbent workers in clean technologies.
(e) $400,000 the first year
and $400,000 the second year are from the workforce development fund for a
grant to Building Strong Communities, Inc., for a statewide apprenticeship
readiness program to prepare women, BIPOC community members, and veterans to
enter the building and construction trades.
These are onetime appropriations and are not added to the base for this
purpose.
(f) $228,000 the first year
and $228,000 the second year are from the workforce development fund for grants
to Building Strong Communities, Inc., for the Helmets to Hardhats Minnesota
initiative. The following requirements
apply:
(1) grant money must be
used to recruit, retain, assist, and support National Guard, reserve, and
active duty military members' and veterans' participation in apprenticeship
programs registered with the Department of Labor and Industry and connect
service members and veterans with career training and employment in the
building and construction industry. The
recruitment, selection, employment, and training must be without discrimination
due to race, color, creed, religion, national origin, sex, sexual orientation,
marital status, physical or mental disability, receipt of public assistance, or
age; and
(2) Building Strong
Communities, Inc., must report to the commissioner of labor and industry and
the chairs and ranking members of the house of representatives and senate
committees overseeing labor and industry policy and finance and veterans
affairs policy and finance by January 15 of each year on the Helmets to
Hardhats program. The report must
include an overview of the program's budget, a detailed explanation of program
expenditures, the number of veterans and service members that participated in
apprenticeship programs, the number of veterans and service members that
received career training, the number of veterans and service members that
gained employment in the building and construction industry, and an audit
completed by an independent auditor.
(g) $300,000 the first year
is from the workforce development fund for a grant to Independent School
District No. 294, Houston, for the Minnesota Virtual Academy's career
pathways program with Operating Engineers Local 49. This appropriation does not cancel and is
available until June 30, 2025. The
following requirements apply:
(1) the career pathways program
must encourage, support, and provide continuity for student participation in
structured career pathways. The program
may include up to five semesters of coursework and must lead to eligibility for
the Operating Engineers Local 49 apprenticeship program. The career pathways program must provide
outreach to and encourage participation in the program by students of color,
Indigenous students, students from low-income families, students located
throughout Minnesota, and underserved students;
(2) the grant may be used
to encourage and support student participation in the career pathways program
through additional academic, counseling, and other support services provided by
the student's enrolling school district.
The Minnesota Virtual Academy may contract with a student's enrolling
school district to provide these services; and
(3) on January 15 of each
year following the receipt of a grant, Independent School District No. 294,
Houston, must submit a written report to the legislative committees having
jurisdiction over education and workforce development. A grant award and report must be in
accordance with the provisions of Minnesota Statutes, sections 3.195 and
127A.20. The report must describe
students' experiences with the program; document the program's spending and the
number of students participating in the program and entering into the
apprenticeship program; include geographic and demographic information on the
program participants; make recommendations to improve the support of career
pathways programs statewide; and make recommendations to improve student
participation in career pathways programs.
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Sec. 3. WORKERS'
COMPENSATION COURT OF APPEALS |
$2,583,000 |
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$2,563,000 |
This appropriation is from
the workers' compensation fund.
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Sec. 4. BUREAU
OF MEDIATION SERVICES |
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$3,707,000 |
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$3,789,000 |
(a) $750,000 each year is
for purposes of the Public Employment Relations Board under Minnesota Statutes,
section 179A.041.
(b) $68,000 each year is
for grants to area labor management committees.
Grants may be awarded for a 12-month period beginning July 1 each year. Any unencumbered balance remaining at the end
of the first year does not cancel but is available for the second year.
(c) $47,000 each year is
for rulemaking, staffing, and other costs associated with peace officer
grievance procedures.
ARTICLE 2
AGRICULTURE AND FOOD PROCESSING WORKERS
Section 1. Minnesota Statutes 2022, section 177.27, subdivision 4, is amended to read:
Subd. 4. Compliance orders. The commissioner may issue an order requiring an employer to comply with sections 177.21 to 177.435, 179.86, 181.02, 181.03, 181.031, 181.032, 181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, subdivision 2a, 181.635, 181.722, 181.79, 181.85 to 181.89, and 181.939 to 181.943, or with any rule promulgated under section 177.28. The commissioner shall issue an order requiring an employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes of this subdivision only, a violation is repeated if at any time during the two years that preceded the date of violation, the commissioner issued an order to the employer for violation of sections 177.41 to 177.435 and the order is final or the commissioner and the employer have entered into a settlement agreement that required the employer to pay back wages that were required by sections 177.41 to 177.435. The department shall serve the order upon the employer or the employer's authorized representative in person or by certified mail at the employer's place of business. An employer who wishes to contest the order must file written notice of objection to the order with the commissioner within 15 calendar days after being served with the order. A contested case proceeding must then be held in accordance with sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the employer fails to file a written notice of objection with the commissioner, the order becomes a final order of the commissioner.
Sec. 2. Minnesota Statutes 2022, section 179.86, subdivision 1, is amended to read:
Subdivision 1. Definition. For the purpose of this section, "employer" means an employer in the meatpacking or poultry processing industry.
Sec. 3. Minnesota Statutes 2022, section 179.86, subdivision 3, is amended to read:
Subd. 3. Information
provided to employee by employer. (a)
At the start of employment, an employer must provide an explanation in
an employee's native language of the employee's rights and duties as an
employee either both person to person or and
through written materials that, at a minimum, include:
(1) a complete description of the salary and benefits plans as they relate to the employee;
(2) a job description for the employee's position;
(3) a description of leave policies;
(4) a description of the work
hours and work hours policy; and
(5) a description of the
occupational hazards known to exist for the position.; and
(6) when workers'
compensation insurance coverage is required by chapter 176, the name of the
employer's workers' compensation insurance carrier, the carrier's telephone
number, and the insurance policy number.
(b) The explanation must also include information on the following employee rights as protected by state or federal law and a description of where additional information about those rights may be obtained:
(1) the right to organize and bargain collectively and refrain from organizing and bargaining collectively;
(2) the right to a safe
workplace; and
(3) the right to be free from
discrimination.; and
(4) the right to workers'
compensation insurance coverage.
(c) The Department of
Labor and Industry shall provide a standard explanation form for use at the
employer's option for providing the information required in this subdivision. The form shall be available in English and
Spanish and additional languages upon request.
(d) The requirements under
this subdivision are in addition to the requirements under section 181.032.
Sec. 4. Minnesota Statutes 2022, section 179.86, is amended by adding a subdivision to read:
Subd. 5. Civil
action. An employee injured
by a violation of this section has a cause of action for damages for the
greater of $1,000 per violation or twice the employee's actual damages, plus
costs and reasonable attorney fees. A
damage award shall be the greater of $1,400 or three times actual damages for
an employee injured by an intentional violation of this section.
Sec. 5. Minnesota Statutes 2022, section 179.86, is amended by adding a subdivision to read:
Subd. 6. Fine. The commissioner of labor and industry
shall fine an employer not less than $400 or more than $1,000 for each
violation of subdivision 3. The fine
shall be payable to the employee aggrieved.
Sec. 6. Minnesota Statutes 2022, section 181.14, subdivision 1, is amended to read:
Subdivision 1. Prompt payment required. (a) When any such employee quits or resigns employment, the wages or commissions earned and unpaid at the time the employee quits or resigns shall be paid in full not later than the first regularly scheduled payday following the employee's final day of employment, unless an employee is subject to a collective bargaining agreement with a different provision. Wages are earned and unpaid if the employee was not paid for all time worked at the employee's regular rate of pay or at the rate required by law, including any applicable statute, regulation, rule, ordinance, government resolution or policy, contract, or other legal authority, whichever rate of pay is greater. If the first regularly scheduled payday is less than five calendar days following the employee's final day of employment, full payment may be delayed until the second regularly scheduled payday but shall not exceed a total of 20 calendar days following the employee's final day of employment.
(b) Notwithstanding the
provisions of paragraph (a), in the case of migrant workers, as defined in
section 181.85, the wages or commissions earned and unpaid at the time the
employee quits or resigns shall become due and payable within five three
days thereafter.
Sec. 7. Minnesota Statutes 2022, section 181.635, subdivision 1, is amended to read:
Subdivision 1. Definitions. The definitions in this subdivision apply to this section.
(a) "Employer" means a person who employs another to perform a service for hire. Employer includes any agent or attorney of an employer who, for money or other valuable consideration paid or promised to be paid, performs any recruiting.
(b) "Person" means a corporation, partnership, limited liability company, limited liability partnership, association, individual, or group of persons.
(c) "Recruits" means to induce an individual, directly or through an agent, to relocate to Minnesota or within Minnesota to work in food processing by an offer of employment or of the possibility of employment.
(d) "Food processing" means canning, packing, or otherwise processing poultry or meat for consumption.
(e) "Terms and conditions of employment" means the following:
(1) nature of the work to be performed;
(2) wage rate, nature and amount of deductions for tools, clothing, supplies, or other items;
(3) anticipated hours of work per week, including overtime;
(4) anticipated slowdown or shutdown or if hours of work per week vary more than 25 percent from clause (3);
(5) duration of the work;
(6) workers' compensation coverage and name, address, and telephone number of insurer and Department of Labor and Industry;
(7) employee benefits available, including any health plans, sick leave, or paid vacation;
(8) transportation and relocation arrangements with allocation of costs between employer and employee;
(9) availability and description of housing and any costs to employee associated with housing; and
(10) any other item of value offered, and allocation of costs of item between employer and employee.
Sec. 8. Minnesota Statutes 2022, section 181.635, subdivision 2, is amended to read:
Subd. 2. Recruiting;
required disclosure. (a) An
employer shall provide written disclosure of the terms and conditions of
employment to a person at the time it recruits the person to relocate to work
in the food processing industry. The
disclosure requirement does not apply to an exempt employee as defined in
United States Code, title 29, section 213(a)(1). The disclosure must be written in English and
Spanish, or another language if the person's preferred language is not
Spanish, dated and signed by the employer and the person recruited, and
maintained by the employer for two three years. A copy of the signed and completed disclosure
must be delivered immediately to the recruited person. The disclosure may not be construed as an
employment contract.
(b) The requirements under
this subdivision are in addition to the requirements under section 181.032.
Sec. 9. Minnesota Statutes 2022, section 181.635, subdivision 3, is amended to read:
Subd. 3. Civil
action. A person injured by a
violation of this section has a cause of action for damages for the greater of $500
$1,000 per violation or twice their actual damages, plus costs and
reasonable attorney's fees. A damage
award shall be the greater of $750 $1,400 or three times actual
damages for a person injured by an intentional violation of this section.
Sec. 10. Minnesota Statutes 2022, section 181.635, subdivision 4, is amended to read:
Subd. 4. Fine. The Department of Labor and Industry
shall fine an employer not less than $200 $400 or more than $500
$1,000 for each violation of this section. The fine shall be payable to the employee
aggrieved.
Sec. 11. Minnesota Statutes 2022, section 181.635, subdivision 6, is amended to read:
Subd. 6. Standard disclosure form. The Department of Labor and Industry shall provide a standard form for use at the employer's option in making the disclosure required in subdivision 2. The form shall be available in English and Spanish and additional languages upon request.
Sec. 12. Minnesota Statutes 2022, section 181.85, subdivision 2, is amended to read:
Subd. 2. Agricultural labor. "Agricultural labor" means field labor associated with the cultivation and harvest of fruits and vegetables and work performed in processing fruits and vegetables for market, as well as labor performed in agriculture as defined in Minnesota Rules, part 5200.0260.
Sec. 13. Minnesota Statutes 2022, section 181.85, subdivision 4, is amended to read:
Subd. 4. Employer. "Employer" means a processor
of fruits or vegetables an individual, partnership, association,
corporation, business trust, or any person or group of persons that
employs, either directly or indirectly through
a recruiter, more than 30 one or more migrant workers per day
for more than seven days in any calendar year.
Sec. 14. Minnesota Statutes 2022, section 181.86, subdivision 1, is amended to read:
Subdivision 1. Terms. (a) An employer that recruits a migrant worker shall provide the migrant worker, at the time the worker is recruited, with a written employment statement which shall state clearly and plainly, in English and Spanish, or another language if the worker's preferred language is not Spanish:
(1) the date on which and the place at which the statement was completed and provided to the migrant worker;
(2) the name and permanent address of the migrant worker, of the employer, and of the recruiter who recruited the migrant worker;
(3) the date on which the migrant worker is to arrive at the place of employment, the date on which employment is to begin, the approximate hours of employment, and the minimum period of employment;
(4) the crops and the operations on which the migrant worker will be employed;
(5) the wage rates to be paid;
(6) the payment terms, as provided in section 181.87;
(7) any deduction to be
made from wages; and
(8) whether housing will be
provided.; and
(9) when workers'
compensation insurance coverage is required by chapter 176, the name of the
employer's workers' compensation insurance carrier, the carrier's telephone
number, and the insurance policy number.
(b) The Department of
Labor and Industry shall provide a standard employment statement form for use
at the employer's option for providing the information required in subdivision
1. The form shall be available in
English and Spanish and additional languages upon request.
(c) The requirements under
this subdivision are in addition to the requirements under section 181.032.
Sec. 15. Minnesota Statutes 2022, section 181.87, subdivision 2, is amended to read:
Subd. 2. Biweekly pay. The employer shall pay wages due to the migrant worker at least every two weeks, except on termination, when the employer shall pay within three days unless payment is required sooner pursuant to section 181.13.
Sec. 16. Minnesota Statutes 2022, section 181.87, subdivision 3, is amended to read:
Subd. 3. Guaranteed
hours. The employer shall guarantee
to each recruited migrant worker a minimum of 70 hours pay for work in any two
successive weeks and, should the pay for hours actually offered by the employer
and worked by the migrant worker provide a sum of pay less than the minimum
guarantee, the employer shall pay the migrant worker the difference within
three days after the scheduled payday for the pay period involved. Payment for the guaranteed hours shall be at
the hourly wage rate, if any, specified in the employment statement, or the
federal, state, or local minimum wage, whichever is higher highest. Any pay in addition to the hourly wage rate
specified in the employment statement shall be applied against the guarantee. This guarantee applies for the minimum period
of employment specified in the employment statement beginning with the date on
which employment is to begin as specified in the employment statement. The date on which employment is to begin may
be changed by the employer by written, telephonic, or telegraphic notice to the
migrant worker, at the worker's last known physical address or email
address, no later than ten days prior to the previously stated beginning
date. The migrant worker shall contact
the recruiter to obtain the latest information regarding the date upon which
employment is to begin no later than five days prior to the previously stated
beginning date. This guarantee shall be
reduced, when there is no work available for a period of seven or more
consecutive days during any two-week period subsequent to the commencement of
work, by five hours pay for each such day, when the unavailability of work is
caused by climatic conditions or an act of God, provided that the employer pays
the migrant worker, on the normal payday, the sum of $5 $50 for
each such day.
Sec. 17. Minnesota Statutes 2022, section 181.87, subdivision 7, is amended to read:
Subd. 7. Statement
itemizing deductions from wages. The
employer shall provide a written statement at the time wages are paid clearly
itemizing each deduction from wages. The
written statement shall also comply with all other requirements for an earnings
statement in section 181.032.
Sec. 18. Minnesota Statutes 2022, section 181.88, is amended to read:
181.88 RECORD KEEPING.
Every employer subject to
the provisions of sections 181.85 to 181.90 shall maintain complete and
accurate records of the names of, the daily hours worked by, the rate of pay
for and the wages paid each pay period to for every individual
migrant worker recruited by that employer, as required by section
177.30 and shall preserve the records also maintain the
employment statements required under section 181.86 for a period of at
least three years.
Sec. 19. Minnesota Statutes 2022, section 181.89, subdivision 2, is amended to read:
Subd. 2. Judgment; damages. If the court finds that any defendant has violated the provisions of sections 181.86 to 181.88, the court shall enter judgment for the actual damages incurred by the plaintiff or the appropriate penalty as provided by this subdivision, whichever is greater. The court may also award court costs and a reasonable attorney's fee. The penalties shall be as follows:
(1) whenever the court
finds that an employer has violated the record-keeping requirements of section
181.88, $50 $200;
(2) whenever the court finds
that an employer has recruited a migrant worker without providing a written
employment statement as provided in section 181.86, subdivision 1, $250 $800;
(3) whenever the court
finds that an employer has recruited a migrant worker after having provided a
written employment statement, but finds that the employment statement fails to
comply with the requirement of section 181.86, subdivision 1 or section 181.87,
$250 $800;
(4) whenever the court
finds that an employer has failed to comply with the terms of an employment
statement which the employer has provided to a migrant worker or has failed to
comply with any payment term required by section 181.87, $500 $1,600;
(5) whenever the court
finds that an employer has failed to pay wages to a migrant worker within a
time period set forth in section 181.87, subdivision 2 or 3, $500 $1,600;
and
(6) whenever penalties are awarded, they shall be awarded severally in favor of each migrant worker plaintiff and against each defendant found liable.
Sec. 20. Minnesota Statutes 2022, section 181.89, is amended by adding a subdivision to read:
Subd. 3. Enforcement. In addition to any other remedies
available, the commissioner may assess the penalties in subdivision 2 and
provide the penalty to the migrant worker aggrieved by the employer's
noncompliance.
ARTICLE 3
NURSING HOME WORKFORCE STANDARDS
Section 1. TITLE.
Minnesota Statutes,
sections 181.211 to 181.217, shall be known as the "Minnesota Nursing Home
Workforce Standards Board Act."
Sec. 2. Minnesota Statutes 2022, section 177.27, subdivision 4, is amended to read:
Subd. 4. Compliance orders. The commissioner may issue an order requiring an employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.214 to 181.217, 181.275, subdivision 2a, 181.722, 181.79, and 181.939 to 181.943, or with any rule promulgated under section 177.28, 181.213, or 181.215. The commissioner shall issue an order requiring an employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes of this subdivision only, a violation is repeated if at any time during the two years that preceded the date of violation, the commissioner issued an order to the employer for violation of sections 177.41 to 177.435 and the order is final or the commissioner and the employer have entered into a settlement agreement that required the employer to pay back wages that were required by sections 177.41 to 177.435. The department shall serve the order upon the employer or the employer's authorized representative in person or by certified mail at the employer's place of business. An employer who wishes to contest the order must file written notice of objection to the order with the commissioner within 15 calendar days after being served with the order. A contested case proceeding must then be held in accordance with sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the employer fails to file a written notice of objection with the commissioner, the order becomes a final order of the commissioner.
Sec. 3. Minnesota Statutes 2022, section 177.27, subdivision 7, is amended to read:
Subd. 7. Employer liability. If an employer is found by the commissioner to have violated a section identified in subdivision 4, or any rule adopted under section 177.28, 181.213, or 181.215, and the commissioner issues an order to comply, the commissioner shall order the employer to cease and desist from engaging in the violative practice and to take such affirmative steps that in the judgment of the commissioner will effectuate the purposes of the section or rule violated. The commissioner shall order the employer to pay to the aggrieved parties back pay, gratuities, and compensatory damages, less any amount actually paid to the employee by the employer, and for an additional equal amount as liquidated damages. Any employer who is found by the commissioner to have repeatedly or willfully violated a section or sections identified in subdivision 4 shall be subject to a civil penalty of up to $1,000 for each violation for each employee. In determining the amount of a civil penalty under this subdivision, the appropriateness of such penalty to the size of the employer's business and the gravity of the violation shall be considered. In addition, the commissioner may order the employer to reimburse the department and the attorney general for all appropriate litigation and hearing costs expended in preparation for and in conducting the contested case proceeding, unless payment of costs would impose extreme financial hardship on the employer. If the employer is able to establish extreme financial hardship, then the commissioner may order the employer to pay a percentage of the total costs that will not cause extreme financial hardship. Costs include but are not limited to the costs of services rendered by the attorney general, private attorneys if engaged by the department, administrative law judges, court reporters, and expert witnesses as well as the cost of transcripts. Interest shall accrue on, and be added to, the unpaid balance of a commissioner's order from the date the order is signed by the commissioner until it is paid, at an annual rate provided in section 549.09, subdivision 1, paragraph (c). The commissioner may establish escrow accounts for purposes of distributing damages.
Sec. 4. [181.211]
DEFINITIONS.
Subdivision 1. Application. The terms defined in this section
apply to sections 181.211 to 181.217.
Subd. 2. Board. "Board" means the Minnesota Nursing
Home Workforce Standards Board established under section 181.212.
Subd. 3. Certified
worker organization. "Certified
worker organization" means a worker organization that is certified by the
board to conduct nursing home worker trainings under section 181.214.
Subd. 4. Commissioner. "Commissioner" means the
commissioner of labor and industry.
Subd. 5. Compensation. "Compensation" means all
income and benefits paid by a nursing home employer to a nursing home worker or
on behalf of a nursing home worker, including but not limited to wages,
bonuses, differentials, paid leave, pay for scheduling changes, and pay for
training or occupational certification.
Subd. 6. Employer
organization. "Employer
organization" means:
(1) an organization that
is exempt from federal income taxation under section 501(c)(6) of the Internal
Revenue Code and that represents nursing home employers; or
(2) an entity that
employers, who together employ a majority of nursing home workers in Minnesota,
have selected as a representative.
Subd. 7. Nursing
home. "Nursing
home" means a nursing home licensed under chapter 144A, or a boarding care
home licensed under sections 144.50 to 144.56.
Subd. 8. Nursing
home employer. "Nursing
home employer" means an employer of nursing home workers in a licensed,
Medicaid-certified facility that is reimbursed under chapter 256R.
Subd. 9. Nursing
home worker. "Nursing
home worker" means any worker who provides services in a nursing home in
Minnesota, including direct care staff, non-direct care staff, and contractors,
but excluding administrative staff, medical directors, nursing directors,
physicians, and individuals employed by a supplemental nursing services agency.
Subd. 10. Worker
organization. "Worker
organization" means an organization that is exempt from federal income
taxation under section 501(c)(3), 501(c)(4), or 501(c)(5) of the Internal
Revenue Code, that is not interfered with or dominated by any nursing home
employer within the meaning of United States Code, title 29, section 158a(2),
and that has at least five years of demonstrated experience engaging with and
advocating for nursing home workers.
Sec. 5. [181.212]
MINNESOTA NURSING HOME WORKFORCE STANDARDS BOARD; ESTABLISHMENT.
Subdivision 1. Board
established; membership. (a)
The Minnesota Nursing Home Workforce Standards Board is created with the powers
and duties established by law. The board
is composed of the following voting members:
(1) the commissioner of
human services or a designee;
(2) the commissioner of
health or a designee;
(3) the commissioner of
labor and industry or a designee;
(4) three members who
represent nursing home employers or employer organizations, appointed by the
governor in accordance with section 15.066; and
(5) three members who
represent nursing home workers or worker organizations, appointed by the
governor in accordance with section 15.066.
(b) In making
appointments under clause (4), the governor shall consider the geographic
distribution of nursing homes within the state.
Subd. 2. Terms;
vacancies. (a) Board members
appointed under subdivision 1, clause (4) or (5), shall serve four-year terms
following the initial staggered-lot determination.
(b) For members
appointed under subdivision 1, clause (4) or (5), the governor shall fill
vacancies occurring prior to the expiration of a member's term by appointment
for the unexpired term. A member
appointed under subdivision 1, clause (4) or (5), must not be appointed to more
than two consecutive terms.
(c) A member serves
until a successor is appointed.
Subd. 3. Chairperson. The board shall elect a member by
majority vote to serve as its chairperson and shall determine the term to be
served by the chairperson.
Subd. 4. Staffing. The commissioner may employ an
executive director for the board and other personnel to carry out duties of the
board under sections 181.211 to 181.217.
Subd. 5. Board
compensation. Compensation of
board members is governed by section 15.0575.
Subd. 6. Application
of other laws. Meetings of
the board are subject to chapter 13D. The
board is subject to chapter 13. The
board shall comply with section 15.0597.
Subd. 7. Voting. The affirmative vote of five board
members is required for the board to take any action, including actions
necessary to establish minimum nursing home employment standards under section
181.213.
Subd. 8. Hearings
and investigations. To carry
out its duties, the board shall hold public hearings on, and conduct
investigations into, working conditions in the nursing home industry in
accordance with section 181.213.
Subd. 9. Department
support. The commissioner
shall provide staff support to the board.
The support includes professional, legal, technical, and clerical staff necessary
to perform rulemaking and other duties assigned to the board. The commissioner shall supply necessary
office space and supplies to assist the board in its duties.
Subd. 10. Antitrust
compliance. The board shall
establish operating procedures that meet all state and federal antitrust
requirements and may prohibit board member access to data to meet the
requirements of this subdivision.
Sec. 6. [181.213]
DUTIES OF THE BOARD; MINIMUM NURSING HOME EMPLOYMENT STANDARDS.
Subdivision 1. Authority
to establish minimum nursing home employment standards. (a) The board must adopt rules
establishing minimum nursing home employment standards that are reasonably
necessary and appropriate to protect the health and welfare of nursing home
workers, to ensure that nursing home workers are properly trained about and
fully informed of their rights under sections 181.211 to 181.217, and to
otherwise satisfy the purposes of sections 181.211 to 181.217. Standards established by the board must
include standards on compensation for nursing home workers, and may include
recommendations under paragraph (c). The
board may not adopt standards that are less protective of or beneficial to
nursing home workers as any other applicable statute or rule or any standard
previously established by the board unless there is a determination by the
board under subdivision 2 that existing standards exceed the operating payment
rate and external fixed costs payment rates included in the most recent budget
and economic forecast completed under section 16A.103. In establishing standards under this section,
the board must establish statewide standards, and may adopt standards that
apply to specific nursing home occupations.
(b) The board must adopt
rules establishing initial standards for wages for nursing home workers no
later than August 1, 2024. The board may
use the authority in section 14.389 to adopt rules under this paragraph. The board shall consult with the department
in the development of these standards prior to beginning the rule adoption
process.
(c) To the extent that
any minimum standards that the board finds are reasonably necessary and
appropriate to protect the health and welfare of nursing home workers fall
within the jurisdiction of chapter 182, the board shall not adopt rules
establishing the standards but shall instead recommend the occupational health
and safety standards to the commissioner.
The commissioner shall adopt nursing home health and safety standards
under section 182.655 as recommended by the board, unless the commissioner determines
that the recommended standard is outside the statutory authority of the
commissioner, presents enforceability challenges, is infeasible to implement,
or is otherwise unlawful and issues a written explanation of this
determination.
Subd. 2. Investigation of market conditions. (a) The board must investigate market conditions and the existing wages, benefits, and working conditions of nursing home workers for specific geographic areas of the state and specific nursing home occupations. Based on this information, the board must seek to adopt minimum nursing home employment standards that meet or exceed existing industry conditions for a majority of nursing home workers in the relevant geographic area and nursing home occupation. Except for standards exceeding the threshold determined in paragraph (d), initial employment standards established by the board are effective beginning January 1, 2025, and shall remain in effect until any subsequent standards are adopted by rules.
(b) The board must consider the
following types of information in making determinations that employment
standards are reasonably necessary to protect the health and welfare of nursing
home workers:
(1) wage rate and
benefit data collected by or submitted to the board for nursing home workers in
the relevant geographic area and nursing home occupations;
(2) statements showing
wage rates and benefits paid to nursing home workers in the relevant geographic
area and nursing home occupations;
(3) signed collective
bargaining agreements applicable to nursing home workers in the relevant
geographic area and nursing home occupations;
(4) testimony and
information from current and former nursing home workers, worker organizations,
nursing home employers, and employer organizations;
(5) local minimum
nursing home employment standards;
(6) information
submitted by or obtained from state and local government entities; and
(7) any other
information pertinent to establishing minimum nursing home employment
standards.
(c) In considering wage
and benefit increases, the board must determine the impact of nursing home
operating payment rates determined pursuant to section 256R.21, subdivision 3,
and the employee benefits portion of the external fixed costs payment rate
determined pursuant to section 256R.25. If
the board, in consultation with the commissioner of human services, determines
the operating payment rate and employee benefits portion of the external fixed
costs payment rate will increase to comply with the new employment standards,
the board shall report to the legislature the increase in funding needed to
increase payment rates to comply with the new employment standards and must
make implementation of any new nursing home employment standards contingent
upon an appropriation, as determined by sections 256R.21 and 256R.25, to fund
the rate increase necessary to comply with the new employment standards.
(d) In evaluating the
impact of the employment standards on payment rates determined by sections
256R.21 and 256R.25, the board, in consultation with the commissioner of human
services, must consider the following:
(1) the statewide average wage rates for employees pursuant to section 256R.10, subdivision 5, and benefit rates pursuant to section 256R.02, subdivisions 18 and 22, as determined by the annual Medicaid cost report used to determine the operating payment rate and the employee benefits portion of the external fixed costs payment rate for the first day of the calendar year immediately following the date the board has established minimum wage and benefit levels;
(2) compare the results of clause (1) to the operating payment rate and employee benefits portion of the external fixed costs payment rate increase for the first day of the second calendar year after the adoption of any nursing home employment standards included in the most recent budget and economic forecast completed under section 16A.103; and
(3) if the established
nursing home employment standards result in an increase in costs that exceed
the operating payment rate and external fixed costs payment rate increase
included in the most recent budget and economic forecast completed under
section 16A.103, effective on the proposed implementation date of the new
nursing home employment standards, the board must determine the rates will need
to be increased to meet the new employment standards and the standards must not
be effective until an appropriation sufficient to cover the rate increase and
federal approval of the rate increase is obtained.
(e) The budget and economic
forecasts completed under section 16A.103 shall not assume an increase in
payment rates determined under chapter 256R resulting from the new employment
standards until the board certifies the rates will need to be increased and the
legislature appropriates funding for the increase in payment rates.
Subd. 3. Review
of standards. At least once
every two years, the board shall:
(1) conduct a full
review of the adequacy of the minimum nursing home employment standards
previously established by the board; and
(2) following that
review, adopt new rules, amend or repeal existing rules, or make
recommendations to adopt new rules or amend or repeal existing rules for
minimum nursing home employment standards using the expedited rulemaking
process in section 14.389, as appropriate to meet the purposes of sections
181.211 to 181.217.
Subd. 4. Variance
and waiver. The board shall
adopt procedures for considering temporary variances and waivers of the
established standards for individual nursing homes based on the board's
evaluation of the risk of closure due to compliance with all or part of an
applicable standard.
Subd. 5. Conflict. (a) In the event of a conflict between
a standard established by the board in rule and a rule adopted by another state
agency, the rule adopted by the board shall apply to nursing home workers and
nursing home employers.
(b) Notwithstanding
paragraph (a), in the event of a conflict between a standard established by the
board in rule and a rule adopted by another state agency, the rule adopted by
the other state agency shall apply to nursing home workers and nursing home employers
if the rule adopted by the other state agency is adopted after the board's
standard and the rule adopted by the other state agency is more protective or
beneficial than the board's standard.
(c) Notwithstanding
paragraph (a), if the commissioner of health determines that a standard
established by the board in rule or recommended by the board conflicts with
requirements in federal regulations for nursing home certification or with
state statutes or rules governing licensure of nursing homes, the federal
regulations or state nursing home licensure statutes or rules shall take
precedence, and the conflicting board standard or rule shall not apply to
nursing home workers or nursing home employers.
Subd. 6. Effect
on other agreements. Nothing
in sections 181.211 to 181.217 shall be construed to:
(1) limit the rights of
parties to a collective bargaining agreement to bargain and agree with respect
to nursing home employment standards; or
(2) diminish the
obligation of a nursing home employer to comply with any contract, collective
bargaining agreement, or employment benefit program or plan that meets or
exceeds, and does not conflict with, the minimum standards and requirements in
sections 181.211 to 181.217 or established by the board.
Sec. 7. [181.214]
DUTIES OF THE BOARD; TRAINING FOR NURSING HOME WORKERS.
Subdivision 1. Certification
of worker organizations. The
board shall certify worker organizations that it finds are qualified to provide
training to nursing home workers according to this section. The board shall by rule establish
certification criteria that a worker organization must meet in order to be
certified and provide a process for renewal of certification upon the board's
review of the worker organization's compliance with this section. In adopting rules to establish certification
criteria under this subdivision, the board may use the authority in section
14.389. The criteria must ensure that a
worker organization, if certified, is able to provide:
(1) effective,
interactive training on the information required by this section; and
(2) follow-up written materials
and responses to inquiries from nursing home workers in the languages in which
nursing home workers are proficient.
Subd. 2. Curriculum. (a) The board shall establish
requirements for the curriculum for the nursing home worker training required
by this section. A curriculum must at
least provide the following information to nursing home workers:
(1) the applicable
compensation and working conditions in the minimum standards or local minimum
standards established by the board;
(2) the antiretaliation
protections established in section 181.216;
(3) information on how
to enforce sections 181.211 to 181.217 and on how to report violations of
sections 181.211 to 181.217 or of standards established by the board, including
contact information for the Department of Labor and Industry, the board, and any
local enforcement agencies, and information on the remedies available for
violations;
(4) the purposes and
functions of the board and information on upcoming hearings, investigations, or
other opportunities for nursing home workers to become involved in board
proceedings;
(5) other rights,
duties, and obligations under sections 181.211 to 181.217;
(6) any updates or
changes to the information provided according to clauses (1) to (5) since the
most recent training session;
(7) any other information the board deems appropriate to facilitate
compliance with sections 181.211 to 181.217; and
(8) information on labor
standards in other applicable local, state, and federal laws, rules, and
ordinances regarding nursing home working conditions or nursing home worker
health and safety.
(b) Before establishing
initial curriculum requirements, the board must hold at least one public
hearing to solicit input on the requirements.
Subd. 3. Topics
covered in training session. A
certified worker organization is not required to cover all of the topics listed
in subdivision 2 in a single training session.
A curriculum used by a certified worker organization may provide
instruction on each topic listed in subdivision 2 over the course of up to
three training sessions.
Subd. 4. Annual
review of curriculum requirements. The
board must review the adequacy of its curriculum requirements at least annually
and must revise the requirements as appropriate to meet the purposes of
sections 181.211 to 181.217. As part of
each annual review of the curriculum requirements, the board must hold at least
one public hearing to solicit input on the requirements.
Subd. 5. Duties
of certified worker organizations. A
certified worker organization:
(1) must use a
curriculum for its training sessions that meets requirements established by the
board;
(2) must provide
trainings that are interactive and conducted in the languages in which the
attending nursing home workers are proficient;
(3) must, at the end of each
training session, provide attending nursing home workers with follow-up written
or electronic materials on the topics covered in the training session, in order
to fully inform nursing home workers of their rights and opportunities under
sections 181.211 to 181.217;
(4) must make itself
reasonably available to respond to inquiries from nursing home workers during
and after training sessions; and
(5) may conduct surveys
of nursing home workers who attend a training session to assess the
effectiveness of the training session and industry compliance with sections
181.211 to 181.217 and other applicable laws, rules, and ordinances governing
nursing home working conditions or worker health and safety.
Subd. 6. Nursing
home employer duties regarding training.
(a) A nursing home employer must submit written documentation to
the board to certify that every two years each of its nursing home workers
completes one hour of training that meets the requirements of this section and
is provided by a certified worker organization.
A nursing home employer may but is not required to host training
sessions on the premises of the nursing home.
(b) If requested by a
certified worker organization, a nursing home employer must, after a training
session provided by the certified worker organization, provide the certified
worker organization with the names and contact information of the nursing home
workers who attended the training session, unless a nursing home worker opts
out according to paragraph (c).
(c) A nursing home
worker may opt out of having the worker's nursing home employer provide the
worker's name and contact information to a certified worker organization that
provided a training session attended by the worker by submitting a written
statement to that effect to the nursing home employer.
Subd. 7. Training
compensation. A nursing home
employer must compensate its nursing home workers at their regular hourly rate
of wages and benefits for each hour of training completed as required by this
section and reimburse any reasonable travel expenses associated with attending
training sessions not held on the premises of the nursing home.
Sec. 8. [181.215]
REQUIRED NOTICES.
Subdivision 1. Provision
of notice. (a) Nursing home
employers must provide notices informing nursing home workers of the rights and
obligations provided under sections 181.211 to 181.217 of applicable minimum
nursing home employment standards and local minimum standards and that for
assistance and information, nursing home workers should contact the Department
of Labor and Industry. A nursing home
employer must provide notice using the same means that the nursing home
employer uses to provide other work-related notices to nursing home workers. Provision of notice must be at least as
conspicuous as:
(1) posting a copy of
the notice at each work site where nursing home workers work and where the
notice may be readily seen and reviewed by all nursing home workers working at
the site; or
(2) providing a paper or
electronic copy of the notice to all nursing home workers and applicants for
employment as a nursing home worker.
(b) The notice required
by this subdivision must include text provided by the board that informs
nursing home workers that they may request the notice to be provided in a
particular language. The nursing home
employer must provide the notice in the language requested by the nursing home
worker. The board must assist nursing
home employers in translating the notice in the languages requested by their
nursing home workers.
Subd. 2. Minimum
content and posting requirements. The
board must adopt rules under section 14.389 specifying the minimum content and
posting requirements for the notices required in subdivision 1. The board must make available to nursing home
employers a template or sample notice that satisfies the requirements of this
section and rules adopted under this section.
Sec. 9. [181.216]
RETALIATION PROHIBITED.
(a) A nursing home
employer shall not discharge, discipline, penalize, interfere with, threaten,
restrain, coerce, or otherwise retaliate or discriminate against a nursing home
worker because the person has exercised or attempted to exercise rights
protected under this act, including but not limited to:
(1) exercising any right
afforded to the nursing home worker under sections 181.211 to 181.217;
(2) participating in any
process or proceeding under sections 181.211 to 181.217, including but not
limited to board hearings, board or department investigations, or other related
proceedings;
(3) attending or
participating in the training required by section 181.214;
(4) informing another
employer that a nursing home worker has engaged in activities protected under
sections 181.211 to 181.217; or
(5) reporting or
threatening to report the actual or suspected citizenship or immigration status
of a nursing home worker, former nursing home worker, or family member of a
nursing home worker to a federal, state, or local agency for exercising or
attempting to exercise any right protected under this act.
(b) A nursing home
worker found to have experienced retaliation in violation of this section shall
be entitled to reinstatement to the worker's previous position, wages,
benefits, hours, and other conditions of employment.
Sec. 10. [181.217]
ENFORCEMENT.
Subdivision 1. Minimum
nursing home employment standards. Except
as provided in section 181.213, subdivision 4, paragraph (b) or (c), the
minimum wages and other compensation established by the board in rule as
minimum nursing home employment standards shall be the minimum wages and other
compensation for nursing home workers or a subgroup of nursing home workers as
a matter of state law. Except as
provided in section 181.213, subdivision 4, paragraph (b) or (c), it shall be
unlawful for a nursing home employer to employ a nursing home worker for lower
wages or other compensation than that established as the minimum nursing home
employment standards.
Subd. 2. Investigations. The commissioner may investigate
possible violations of sections 181.214 to 181.217 or of the minimum nursing
home employment standards established by the board whenever it has cause to
believe that a violation has occurred, either on the basis of a report of a
suspected violation or on the basis of any other credible information,
including violations found during the course of an investigation.
Subd. 3. Civil
action by nursing home worker. (a)
One or more nursing home workers may bring a civil action in district court
seeking redress for violations of sections 181.211 to 181.217 or of any
applicable minimum nursing home employment standards or local minimum nursing
home employment standards. Such an
action may be filed in the district court of the county where a violation or
violations are alleged to have been committed or where the nursing home
employer resides, or in any other court of competent jurisdiction, and may
represent a class of similarly situated nursing home workers.
(b) Upon a finding of one or
more violations, a nursing home employer shall be liable to each nursing home
worker for the full amount of the wages, benefits, and overtime compensation,
less any amount the nursing home employer is able to establish was actually
paid to each nursing home worker, and for an additional equal amount as
liquidated damages. In an action under
this subdivision, nursing home workers may seek damages and other appropriate
relief provided by section 177.27, subdivision 7, or otherwise provided by law,
including reasonable costs, disbursements, witness fees, and attorney fees. A court may also issue an order requiring
compliance with sections 181.211 to 181.217 or with the applicable minimum
nursing home employment standards or local minimum nursing home employment
standards. A nursing home worker found
to have experienced retaliation in violation of section 181.216 shall be
entitled to reinstatement to the worker's previous position, wages, benefits,
hours, and other conditions of employment.
(c) An agreement between
a nursing home employer and nursing home worker or labor union that fails to
meet the minimum standards and requirements in sections 181.211 to 181.217 or
established by the board is not a defense to an action brought under this subdivision.
Sec. 11. INITIAL
APPOINTMENTS.
(a) The governor shall
make initial appointments to the Minnesota Nursing Home Workforce Standards
Board under Minnesota Statutes, section 181.212, no later than August 1, 2023.
(b) Notwithstanding
Minnesota Statutes, section 181.212, subdivision 2, the initial terms of
members appointed under Minnesota Statutes, section 181.212, subdivision 1,
paragraph (a), clauses (4) and (5), shall be determined by lot by the secretary
of state and shall be as follows:
(1) one member appointed
under each of Minnesota Statutes, section 181.212, subdivision 1, paragraph
(a), clauses (4) and (5), shall serve a two-year term;
(2) one member appointed
under each of Minnesota Statutes, section 181.212, subdivision 1, paragraph
(a), clauses (4) and (5), shall serve a three-year term; and
(3) one member appointed
under each of Minnesota Statutes, section 181.212, subdivision 1, paragraph
(a), clauses (4) and (5), shall serve a four-year term.
The commissioner of labor and industry must
convene the first meeting within 30 days after the governor completes
appointments to the board. The board
must elect a chair at its first meeting.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 4
PETROLEUM REFINERY SKILLED WORKERS
Section 1. Minnesota Statutes 2022, section 177.27, subdivision 4, is amended to read:
Subd. 4. Compliance
orders. The commissioner may issue
an order requiring an employer to comply with sections 177.21 to 177.435,
181.02, 181.03, 181.031, 181.032, 181.101, 181.11, 181.13, 181.14, 181.145,
181.15, 181.172, paragraph (a) or (d), 181.275, subdivision 2a, 181.722, 181.79,
and 181.939 to 181.943, and 181.987, or with any rule promulgated
under section 177.28. The commissioner
shall issue an order requiring an employer to comply with sections 177.41 to
177.435 or 181.987 if the violation is repeated. For purposes of this subdivision only, a
violation is repeated if at any time during the two years that preceded the
date of violation, the commissioner issued an order to the employer for
violation of sections 177.41 to 177.435 or 181.987 and the order is
final or the commissioner and the employer have entered into a settlement
agreement that required the employer to pay back
wages that were required by sections 177.41 to 177.435. The department shall serve the order upon the employer or the employer's authorized representative in person or by certified mail at the employer's place of business. An employer who wishes to contest the order must file written notice of objection to the order with the commissioner within 15 calendar days after being served with the order. A contested case proceeding must then be held in accordance with sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the employer fails to file a written notice of objection with the commissioner, the order becomes a final order of the commissioner.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 2. [181.987]
USE OF SKILLED AND TRAINED CONTRACTOR WORKFORCES AT PETROLEUM REFINERIES.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b)
"Contractor" means a vendor that enters into or seeks to enter into a
contract with an owner or operator of a petroleum refinery to perform
construction, alteration, demolition, installation, repair, maintenance, or
hazardous material handling work at the site of the petroleum refinery. Contractor includes all contractors or
subcontractors of any tier performing work as described in this paragraph at
the site of the petroleum refinery. Contractor
does not include employees of the owner or operator of a petroleum refinery.
(c) "Registered
apprenticeship program" means an apprenticeship program registered with
the Department of Labor and Industry under chapter 178 or with the United
States Department of Labor Office of Apprenticeship or a recognized state
apprenticeship agency under Code of Federal Regulations, title 29, parts 29 and
30.
(d) "Skilled and
trained workforce" means a workforce in which each employee of the
contractor or subcontractor of any tier working at the site of the petroleum
refinery in an apprenticeable occupation in the building and construction
trades meets one of the following criteria:
(1) is currently
registered as an apprentice in a registered apprenticeship program in the
applicable trade;
(2) has graduated from a registered apprenticeship program in the applicable trade;
(3) has completed all of
the related instruction and on-the-job learning requirements needed to graduate
from the registered apprenticeship program their employer participates in; or
(4) has at least five
years of experience working in the applicable trade and is currently
participating in journeyworker upgrade training in a registered apprenticeship
program in the applicable trade or has completed any training identified as
necessary by the registered apprenticeship training program for the employee to
become a qualified journeyworker in the applicable trade.
(e) "Petroleum
refinery" means a facility engaged in producing gasoline, kerosene,
distillate fuel oils, residual fuel oil, lubricants, or other products through
distillation of petroleum or through redistillation, cracking, or reforming of
unfinished petroleum derivatives. Petroleum
refinery includes fluid catalytic cracking unit catalyst regenerators, fluid catalytic
cracking unit incinerator-waste heat boilers, fuel gas combustion devices, and
indirect heating equipment associated with the refinery.
(f) "Apprenticeable
occupation" means any trade, form of employment, or occupation approved
for apprenticeship by the commissioner of labor and industry or the United
States Secretary of Labor.
(g) "OEM" means
original equipment manufacturer and refers to organizations that manufacture or
fabricate equipment for sale directly to purchasers or other resellers.
Subd. 2. Use
of contractors by owner, operator; requirement. (a) An owner or operator of a
petroleum refinery shall, when contracting with contractors for the performance
of construction, alteration, demolition, installation, repair, maintenance, or
hazardous material handling work at the site of the petroleum refinery, require
that the contractors performing that work, and any subcontractors of any tier,
use a skilled and trained workforce when performing that work at the site of
the petroleum refinery. The requirement
to use a safe and skilled workforce under this section shall apply to each
contractor and subcontractor of any tier when performing construction,
alteration, demolition, installation, repair, maintenance, or hazardous
material handling work at the site of the petroleum refinery.
(b) The requirement
under this subdivision applies only when each contractor and subcontractor of
any tier is performing work at the site of the petroleum refinery.
(c) The requirement
under this subdivision does not apply when an owner or operator contracts with
contractors or subcontractors hired to install OEM equipment and to perform OEM
work to comply with equipment warranty requirements.
(d) A contractor's
workforce must meet the requirements of subdivision 1, paragraph (d), according
to the following schedule:
(1) 30 percent by
January 1, 2024;
(2) 45 percent by
January 1, 2025; and
(3) 60 percent by January 1, 2026.
(e) If a contractor is
required under a collective bargaining agreement to hire workers referred by a
labor organization for the petroleum refinery worksite, and the labor
organization is unable to refer sufficient workers for the contractor to comply
with the applicable percentage provided in subdivision 2, paragraph (d), within
48 hours of the contractor's request excluding Saturdays, Sundays, and
holidays, the contractor shall be relieved of the obligation to comply with the
applicable percentage and shall use the maximum percentage of a skilled and
trained workforce that is available to the contractor from the labor
organization's referral procedure. The
contractor shall comply with the applicable percentage provided in subdivision
2, paragraph (d), once the labor organization is able to refer sufficient
workers for the contractor to comply with the applicable percentage.
(f) This section shall
not apply to a contractor to the extent that an emergency makes compliance with
this section impracticable for the contractor because the emergency requires
immediate action by the contractor to prevent harm to public health or safety
or to the environment. The requirements
of this section shall apply to the contractor once the emergency ends or it
becomes practicable for the contractor to obtain a skilled and trained
workforce for the refinery worksite, whichever occurs sooner.
(g) An owner or operator
is exempt from this section if:
(1) the owner or
operator has entered into a project labor agreement with a council of building
trades labor organizations requiring participation in registered apprenticeship
programs, or all contractors and subcontractors of any tier have entered into bona
fide collective bargaining agreements with labor organizations requiring
participation in registered apprenticeship programs; and
(2) all contracted work at the
petroleum refinery that is subject to this section is also subject to the
project labor agreement or collective bargaining agreements requiring participation
in such registered apprenticeship programs.
Subd. 3. Penalties. (a) The Division of Labor Standards
shall receive complaints of violations of this section. The commissioner of labor and industry shall
fine an owner or operator, contractor, or subcontractor of any tier not less
than $5,000 nor more than $10,000 for each violation of the requirements in
this section. An owner or operator,
contractor, or subcontractor of any tier shall be considered an employer for
purposes of section 177.27.
(b) An owner or operator
shall be found in violation of this section, and subject to fines and other
penalties, for failing to:
(1) require a skilled
and trained workforce in its contracts and subcontracts as required by
subdivision 2, paragraph (a); or
(2) enforce the
requirement of use of a skilled and trained workforce as required by
subdivision 2, paragraph (a).
(c) A contractor or
subcontractor shall be found in violation of this section, and subject to fines
and other penalties, if the contractor or subcontractor fails to use a skilled
and trained workforce as required by subdivision 2, paragraph (a).
(d) Each shift on which
a violation of this section occurs shall be considered a separate violation. This fine is in addition to any penalties
provided under section 177.27, subdivision 7.
In determining the amount of a fine under this subdivision, the
appropriateness of the fine to the size of the violator's business and the
gravity of the violation shall be considered.
EFFECTIVE DATE. This
section is effective January 1, 2024, and applies to contracts entered into,
extended, or renewed on or after that date.
Existing contracts entered into before January 1, 2024, must be
renegotiated to comply with Minnesota Statutes, section 181.987, by January 1,
2025.
ARTICLE 5
COMBATIVE SPORTS
Section 1. Minnesota Statutes 2022, section 341.21, subdivision 2a, is amended to read:
Subd. 2a. Combatant. "Combatant" means an individual
who employs the act of attack and defense as a professional boxer, professional
or amateur tough person, martial artist professional or amateur
kickboxer, or professional or amateur mixed martial artist while
engaged in a combative sport.
Sec. 2. Minnesota Statutes 2022, section 341.21, subdivision 2b, is amended to read:
Subd. 2b. Combative
sport. "Combative sport"
means a sport that employs the act of attack and defense with the fists, with
or without using padded gloves, or feet that is practiced as a sport under the
rules of the Association of Boxing Commissions, unified rules for mixed martial
arts, or their equivalent. Combative
sports include professional boxing and, professional and amateur
tough person, professional or amateur kickboxing, and professional and
amateur mixed martial arts contests.
Sec. 3. Minnesota Statutes 2022, section 341.21, subdivision 2c, is amended to read:
Subd. 2c. Combative
sports contest. "Combative
sports contest" means a professional boxing, a professional or amateur
tough person, a professional or amateur kickboxing, or a professional or
amateur martial art contest or mixed martial arts contest, bout,
competition, match, or exhibition.
Sec. 4. Minnesota Statutes 2022, section 341.21, subdivision 4f, is amended to read:
Subd. 4f. Martial
art. "Martial art" means a
variety of weaponless disciplines of combat or self-defense that utilize
physical skill and coordination, and are practiced as combat sports. The disciplines include, but are not limited to, Wing Chun, kickboxing, Tae kwon
do, savate, karate, Muay Thai, sanshou, Jiu Jitsu, judo, ninjitsu, kung
fu, Brazilian Jiu Jitsu, wrestling, grappling, tai chi, and other
weaponless martial arts disciplines.
Sec. 5. Minnesota Statutes 2022, section 341.21, is amended by adding a subdivision to read:
Subd. 4i. Kickboxing. "Kickboxing" means the act of attack and defense with the fists using padded gloves and bare feet.
Sec. 6. Minnesota Statutes 2022, section 341.21, subdivision 7, is amended to read:
Subd. 7. Tough
person contest. "Tough person
contest," including contests marketed as tough man or tough woman
contests, means a contest of two-minute rounds consisting of not more than
four rounds between two or more individuals who use their hands, or their feet,
or both in any manner. Tough person
contest includes kickboxing and other recognized martial art contest boxing
match or similar contest where each combatant wears headgear and gloves that
weigh at least 12 ounces.
Sec. 7. Minnesota Statutes 2022, section 341.221, is amended to read:
341.221 ADVISORY COUNCIL.
(a) The commissioner must appoint a Combative Sports Advisory Council to advise the commissioner on the administration of duties under this chapter.
(b) The council shall have nine
five members appointed by the commissioner. One member must be a retired judge of the
Minnesota District Court, Minnesota Court of Appeals, Minnesota Supreme Court,
the United States District Court for the District of Minnesota, or the Eighth
Circuit Court of Appeals. At least four
All five members must have knowledge of the boxing industry. At least four members must have knowledge of
the mixed martial arts industry combative sports. The commissioner shall make serious efforts
to appoint qualified women to serve on the council.
(c) Council members
shall serve terms of four years with the terms ending on the first Monday in
January.
(d) (c) The
council shall annually elect from its membership a chair.
(e) (d) Meetings
shall be convened by the commissioner, or by the chair with the approval of the
commissioner.
(f) The commissioner
shall designate two of the members to serve until the first Monday in January
2013; two members to serve until the first Monday in January 2014; two members
to serve until the first Monday in January 2015; and three members to serve until
the first Monday in January 2016.
(e) Appointments to the council and the terms of council members are governed by sections 15.059 and 15.0597.
(g) (f) Removal
of members, filling of vacancies, and compensation of members shall be as
provided in section 15.059.
(g) Meetings convened for the purpose of advising the commissioner on issues related to a challenge filed under section 341.345 are exempt from the open meeting requirements of chapter 13D.
Sec. 8. Minnesota Statutes 2022, section 341.25, is amended to read:
341.25 RULES.
(a) The commissioner may adopt rules that include standards for the physical examination and condition of combatants and referees.
(b) The commissioner may adopt other rules necessary to carry out the purposes of this chapter, including, but not limited to, the conduct of all combative sport contests and their manner, supervision, time, and place.
(c) The commissioner must
adopt unified rules for mixed martial arts contests.
(d) The commissioner may
adopt the rules of the Association of Boxing Commissions, with amendments.
(e) (c) The most
recent version of the Unified Rules of Mixed Martial Arts, as promulgated
by the Association of Boxing Commissions and amended August 2, 2016, are,
is incorporated by reference and made a part of this chapter except as
qualified by this chapter and Minnesota Rules, chapter 2202. In the event of a conflict between this
chapter and the Unified Rules, this chapter must govern.
(d) The most recent
version of the Unified Rules of Boxing, as promulgated by the Association of
Boxing Commissions, is incorporated by reference and made a part of this
chapter except as qualified by this chapter and Minnesota Rules, chapter 2201. In the event of a conflict between this
chapter and the Unified Rules, this chapter must govern.
(e) The most recent
version of the Unified Rules of Kickboxing, as promulgated by the Association
of Boxing Commissions, is incorporated by reference and made a part of this
chapter except as qualified by this chapter and any applicable Minnesota Rules. In the event of a conflict between this
chapter and the Unified Rules, this chapter must govern.
Sec. 9. Minnesota Statutes 2022, section 341.27, is amended to read:
341.27 COMMISSIONER DUTIES.
The commissioner shall:
(1) issue, deny, renew, suspend, or revoke licenses;
(2) make and maintain records of its acts and proceedings including the issuance, denial, renewal, suspension, or revocation of licenses;
(3) keep public records of the council open to inspection at all reasonable times;
(4) develop rules to be implemented under this chapter;
(5) conform to the rules adopted under this chapter;
(6) develop policies and procedures for regulating boxing, kickboxing, and mixed martial arts;
(7) approve regulatory
bodies to oversee martial arts and amateur boxing contests under section
341.28, subdivision 5;
(7) (8) immediately suspend an individual license for a medical condition, including but not limited to a medical condition resulting from an injury sustained during a match, bout, or contest that has been confirmed by the ringside physician. The medical suspension must be lifted after the commissioner receives written information from a physician licensed in the home state of the licensee indicating that the combatant may resume competition, and any other information that the commissioner may by rule require. Medical suspensions are not subject to section 326B.082 or the contested case procedures provided in sections 14.57 to 14.69; and
(8) (9) immediately
suspend an individual combatant license for a mandatory rest period, which must
commence at the conclusion of every combative sports contest in which the
license holder competes and does not receive a medical suspension. A rest suspension must automatically lift
after 14 calendar days from the date the combative sports contest passed
without notice or additional proceedings.
Rest suspensions are not subject to section 326B.082 or the contested
case procedures provided in sections 14.57 to 14.69.
Sec. 10. Minnesota Statutes 2022, section 341.28, subdivision 2, is amended to read:
Subd. 2. Regulatory
authority; tough person contests. All
professional and amateur tough person contests are subject to this chapter. All tough person contests are subject to the
most recent version of the Unified Rules of Boxing, as promulgated by the
Association of Boxing Commissions rules.
Every contestant in a tough person contest shall have a physical
examination prior to their bouts. Every
contestant in a tough person contest shall wear headgear and padded
gloves that weigh at least 12 ounces. All
tough person bouts are limited to two-minute rounds and a maximum of four total
rounds. Officials at all tough
person contests shall be licensed under this chapter.
Sec. 11. Minnesota Statutes 2022, section 341.28, subdivision 3, is amended to read:
Subd. 3. Regulatory
authority; mixed martial arts contests; similar sporting events. All professional and amateur mixed
martial arts contests, martial arts contests except amateur contests
regulated by the Minnesota State High School League (MSHSL), recognized martial
arts studios and schools in Minnesota, and recognized national martial arts
organizations holding contests between students, ultimate fight contests, and
similar sporting events are subject to this chapter and all officials at
these events must be licensed under this chapter.
Sec. 12. Minnesota Statutes 2022, section 341.28, is amended by adding a subdivision to read:
Subd. 4. Regulatory
authority; kickboxing contests. All
professional and amateur kickboxing contests are subject to this chapter and
all officials at these events must be licensed under this chapter.
Sec. 13. Minnesota Statutes 2022, section 341.28, is amended by adding a subdivision to read:
Subd. 5. Regulatory
authority; martial arts and amateur boxing.
(a) Unless this chapter specifically states otherwise, contests
or exhibitions for martial arts and amateur boxing are exempt from the
requirements of this chapter and officials at these events are not required to
be licensed under this chapter.
(b) Martial arts and
amateur boxing contests, unless subject to the exceptions set forth in
subdivision 6, must be regulated by a nationally recognized organization
approved by the commissioner. The
organization must have a set of written standards, procedures, or rules used to
sanction the combative sports it oversees.
(c) Any regulatory body
overseeing a martial arts or amateur boxing event must submit bout results to
the commissioner within 72 hours after the event. If the regulatory body issues suspensions,
the regulatory body must submit to the commissioner a list of any suspensions
resulting from the event within 72 hours after the event. Regulatory bodies that oversee combative
sports or martial arts contests under subdivision 6 are not subject to this
paragraph.
Sec. 14. Minnesota Statutes 2022, section 341.28, is amended by adding a subdivision to read:
Subd. 6. Regulatory
authority; certain students. Combative
sports or martial arts contests regulated by the Minnesota State High School
League, National Collegiate Athletic Association, National Junior Collegiate
Athletic Association, National Association of Intercollegiate Athletics, or any
similar organization that governs interscholastic athletics are not subject to
this chapter and officials at these events are not required to be licensed
under this chapter.
Sec. 15. Minnesota Statutes 2022, section 341.30, subdivision 4, is amended to read:
Subd. 4. Prelicensure
requirements. (a) Before the
commissioner issues a promoter's license to an individual, corporation, or
other business entity, the applicant shall, a minimum of six weeks before
the combative sport contest is scheduled to occur, complete a licensing
application on the Office of Combative Sports website or on forms furnished
or approved prescribed by the commissioner and shall:
(1) provide the
commissioner with a copy of any agreement between a combatant and the applicant
that binds the applicant to pay the combatant a certain fixed fee or percentage
of the gate receipts;
(2) (1) show on
the licensing application the owner or owners of the applicant entity and the
percentage of interest held by each owner holding a 25 percent or more interest
in the applicant;
(3) (2) provide
the commissioner with a copy of the latest financial statement of the
applicant;
(4) provide the
commissioner with a copy or other proof acceptable to the commissioner of the
insurance contract or policy required by this chapter;
(5) (3) provide
proof, where applicable, of authorization to do business in the state of
Minnesota; and
(6) (4) deposit
with the commissioner a cash bond or surety bond in an amount set by the
commissioner, which must not be less than $10,000. The bond shall be executed in favor of this
state and shall be conditioned on the faithful performance by the promoter of
the promoter's obligations under this chapter and the rules adopted under it.
(b) Before the commissioner issues a license to a combatant, the applicant shall:
(1) submit to the
commissioner the results of a current medical examination examinations
on forms furnished or approved prescribed by the commissioner that
state that the combatant is cleared to participate in a combative sport contest. The medical examination must include an
ophthalmological and neurological examination, and documentation of test
results for HBV, HCV, and HIV, and any other blood test as the commissioner by
rule may require. The ophthalmological
examination must be designed to detect any retinal defects or other damage or
condition of the eye that could be aggravated by combative sports. The neurological examination must include an
electroencephalogram or medically superior test if the combatant has been
knocked unconscious in a previous contest.
The commissioner may also order an electroencephalogram or other
appropriate neurological or physical examination before any contest if it
determines that the examination is desirable to protect the health of the
combatant. The commissioner shall not
issue a license to an applicant submitting positive test results for HBV, HCV,
or HIV; The applicant must undergo and submit the results of the
following medical examinations, which do not exempt a combatant from the
requirements in section 341.33:
(i) a physical examination
performed by a licensed medical doctor, doctor of osteopathic medicine, advance
practice nurse practitioner, or a physician assistant. Physical examinations are valid for one year
from the date of the exam;
(ii) an ophthalmological
examination performed by an ophthalmologist or optometrist that includes
dilation designed to detect any retinal defects or other damage or a condition
of the eye that could be aggravated by combative sports. Ophthalmological examinations are valid for
one year from the date of the exam;
(iii) blood work results
for HBsAg (Hepatitis B surface antigen), HCV (Hepatitis C antibody), and HIV. Blood work results are good for one year from
the date blood was drawn. The
commissioner shall not issue a license to an applicant submitting positive test
results for HBsAg, HCV, or HIV; and
(iv) other appropriate
neurological or physical examinations before any contest, if the commissioner
determines that the examination is desirable to protect the health of the
combatant;
(2) complete a licensing
application on the Office of Combative Sports website or on forms furnished
or approved prescribed by the commissioner; and
(3) provide proof that the applicant is 18 years of age. Acceptable proof is a photo driver's license, state photo identification card, passport, or birth certificate combined with additional photo identification.
(c) Before the commissioner issues a license to a referee, judge, or timekeeper, the applicant must submit proof of qualifications that may include certified training from the Association of Boxing Commissions, licensure with other regulatory bodies, professional references, or a log of bouts worked.
(d) Before the
commissioner issues a license to a ringside physician, the applicant must
submit proof that they are licensed to practice medicine in the state of
Minnesota and in good standing.
Sec. 16. Minnesota Statutes 2022, section 341.32, subdivision 2, is amended to read:
Subd. 2. Expiration
and application. Licenses issued
on or after January 1, 2023, shall expire annually on December 31 one
year after the date of issuance. A
license may be applied for each year by filing an application for licensure and
satisfying all licensure requirements established in section 341.30, and
submitting payment of the license fees established in section 341.321. An application for a license and renewal of a
license must be on a form provided by the commissioner.
Sec. 17. Minnesota Statutes 2022, section 341.321, is amended to read:
341.321 FEE SCHEDULE.
(a) The fee schedule for professional and amateur licenses issued by the commissioner is as follows:
(1) referees, $25;
(2) promoters, $700 $500;
(3) judges and knockdown judges, $25;
(4) trainers and seconds, $80
$40;
(5) timekeepers, $25;
(6) professional combatants, $70
$55;
(7) amateur combatants, $50
$35; and
(8) ringside physicians, $25.
License fees for promoters are
due at least six weeks prior to the combative sport contest. All other license fees shall be paid
no later than the weigh-in prior to the contest. No license may be issued until all
prelicensure requirements in section 341.30 are satisfied and fees are
paid.
(b) The commissioner shall
establish a contest fee for each combative sport contest and shall consider the
size and type of venue when establishing a contest fee. The A promoter or event organizer of
an event regulated by the Department of Labor and Industry must pay, per event,
a combative sport contest fee is $1,500 per event of $500 or not
more than four percent of the gross ticket sales, whichever is greater,
as determined by the commissioner when the combative sport contest is scheduled. The fee must be paid as follows:
(c) A professional or
amateur combative sport contest fee is nonrefundable and shall be paid as
follows:
(1) $500 at the time the
combative sport contest is scheduled; and
(2) $1,000 at the weigh-in
prior to the contest.
(2) if four percent of the
gross ticket sales is greater than $500, the balance is due to the commissioner
within 14 days of the completed contest; and
(3) the value of all
complimentary tickets distributed for an event, to the extent they exceed five
percent of total event attendance, counts toward gross tickets sales for the
purposes of determining a combative sports contest fee. For purposes of this clause, the lowest
advertised ticket price shall be used to calculate the value of complimentary
tickets.
If four percent of the gross ticket sales
is greater than $1,500, the balance is due to the commissioner within seven
days of the completed contest.
(d) The commissioner may establish the maximum number of complimentary
tickets allowed for each event by rule.
(e) (c) All
fees and penalties collected by the commissioner must be deposited in the
commissioner account in the special revenue fund.
Sec. 18. [341.322]
PAYMENT SCHEDULE.
The commissioner may establish a schedule of payments to be paid by a promoter to referees, judges and knockdown judges, timekeepers, and ringside physicians.
Sec. 19. [341.323]
EVENT APPROVAL.
Subdivision 1. Preapproval
documentation. Before the
commissioner approves a combative sports contest, the promoter shall provide
the commissioner, at least six weeks before the combative sport contest is
scheduled to occur, information about the time, date, and location of the
contest and at least 72 hours before the combative sport contest is scheduled
to occur:
(1) a copy of any
agreement between a combatant and the promoter that binds the promoter to pay
the combatant a certain fixed fee or percentage of the gate receipts;
(2) a copy or other
proof acceptable to the commissioner of the insurance contract or policy
required by this chapter;
(3) proof acceptable to the
commissioner that the promoter will provide, at the cost of the promoter, at
least one uniformed security guard or uniformed off-duty member of law
enforcement to provide security at any event regulated by the Department of Labor
and Industry. The commissioner may
require a promoter to take additional security measures to ensure the safety of
participants and spectators at an event; and
(4) proof acceptable to the commissioner that the promoter will provide an ambulance service as required by section 341.324.
Subd. 2. Proper
licensure. Before the
commissioner approves a combative sport contest, the commissioner must ensure
that the promoter is properly licensed under this chapter. The promoter must maintain proper licensure
from the time it schedules a combative sports contest through the date of the
contest.
Subd. 3. Discretion. Nothing in this section limits the commissioner's discretion in deciding whether to approve a combative sport contest or event.
Sec. 20. [341.324]
AMBULANCE.
A promoter must ensure,
at the cost of the promoter, that a licensed ambulance service with two
emergency medical technicians is on the premises during a combative sports
contest.
Sec. 21. Minnesota Statutes 2022, section 341.33, is amended to read:
341.33 PHYSICAL EXAMINATION REQUIRED; FEES.
Subdivision 1. Examination by physician. All combatants must be examined by a physician licensed by this state within 36 hours before entering the ring, and the examining physician shall immediately file with the commissioner a written report of the examination. Each female combatant shall take and submit a negative pregnancy test as part of the examination. The physician's examination may report on the condition of the combatant's heart and general physical and general neurological condition. The physician's report may record the condition of the combatant's nervous system and brain as required by the commissioner. The physician may prohibit the combatant from entering the ring if, in the physician's professional opinion, it is in the best interest of the combatant's health. The cost of the examination is payable by the promoter conducting the contest or exhibition.
Subd. 2. Attendance
of physician. A promoter holding or
sponsoring a combative sport contest shall have in attendance a physician
licensed by this state Minnesota.
The commissioner may establish a schedule of fees to be paid to each
attending physician by the promoter holding or sponsoring the contest.
Sec. 22. [341.331]
PROHIBITED PERFORMANCE ENHANCING SUBSTANCES AND TESTING.
Subdivision 1. Performance
enhancing substances and masking agents prohibited. All combatants are prohibited from
using the substances listed in the following classes contained in the World
Anti-Doping Code published by the World Anti-Doping Agency, unless a combatant
meets an applicable exception set forth therein:
(1) S0, nonapproved
substances;
(2) S1, anabolic agents;
(3) S2, peptide
hormones, growth factors, and related substances and mimetics;
(4) S3, beta-2 agonists;
(5) S4, hormone and metabolic
modulators; and
(6) S5, diuretics and
masking agents.
Subd. 2. Testing. The commissioner may administer drug
testing to discover violations of subdivision 1 as follows:
(a) The commissioner may require a combatant to submit to a drug test to determine if substances are present in the combatant's system in violation of subdivision 1. This testing may occur at any time after the official weigh-in, on the day of the contest in which the combatant is participating, or within 24 hours of competing in a combative sports contest in a manner prescribed by the commissioner. The commissioner may require testing based on reasonable cause or random selection. Grounds for reasonable cause includes observing or receiving credible information that a combatant has used prohibited performance enhancing drugs. If testing is based on random selection, both combatants competing in a selected bout shall submit to a drug test.
(b) Specimens may include urine, hair samples, or blood. Specimens shall be tested at a facility acceptable to the commissioner. Results of all drug tests shall be submitted directly to the commissioner.
(c) The promoter shall
pay the costs relating to drug testing combatants. Any requests for follow-up or additional
testing must be paid by the combatant.
Subd. 3. Discipline. (a) If a combatant fails to provide a
sample for drug testing when required, and the request is made before a bout,
the combatant shall not be allowed to compete in the bout. If the request is made after a bout, and the
combatant fails to provide a sample for drug testing, the combatant shall be
subject to disciplinary action under section 341.29.
(b) If a combatant's
specimen tests positive for any prohibited substances, the combatant shall be
subject to disciplinary action under section 341.29.
(c) A combatant who is
disciplined and was the winner of a bout shall be disqualified and the decision
shall be changed to no contest. The
results of a bout shall remain unchanged if a combatant who is disciplined was
the loser of the bout.
Sec. 23. [341.345]
CHALLENGING THE OUTCOME OF A COMBATIVE SPORT CONTEST.
Subdivision 1. Challenge. (a) If a combatant disagrees with the
outcome of a combative sport contest regulated by the Department of Labor and
Industry in which the combatant participated, the combatant may challenge the
outcome.
(b) If a third party makes a challenge on behalf of a combatant, the third party must provide written confirmation that they are authorized to make the challenge on behalf of the combatant. The written confirmation must contain the combatant's signature and must be submitted with the challenge.
Subd. 2. Form. A challenge must be submitted on a
form prescribed by the commissioner, set forth all relevant facts and the basis
for the challenge, and state what remedy is being sought. A combatant may submit photos, videos,
documents, or any other evidence the combatant would like the commissioner to
consider in connection to the challenge.
A combatant may challenge the outcome of a contest only if it is alleged
that:
(1) the referee made an
incorrect call or missed a rule violation that directly affected the outcome of
the contest;
(2) there was collusion
amongst officials to affect the outcome of the contest; or
(3) scores were miscalculated.
Subd. 3. Timing. A challenge must be submitted within
ten days of the contest.
(a) For purposes of this subdivision, the day of the contest shall not count toward the ten-day period. If the tenth day falls on a Saturday, Sunday, or legal holiday, then a combatant shall have until the next day that is not a Saturday, Sunday, or legal holiday to submit a challenge.
(b) The challenge must be submitted to the commissioner at the address, fax number, or email address designated on the commissioner's website. The date on which a challenge is submitted by mail shall be the postmark date on the envelope in which the challenge is mailed. If the challenge is faxed or emailed, it must be received by the commissioner by 4:30 p.m. Central Time on the day the challenge is due.
Subd. 4. Opponent's
response. If the requirements
of subdivisions 1 to 3 are met, the commissioner shall send a complete copy of
the challenge documents, along with any supporting materials submitted, to the
opposing combatant by mail, fax, or email.
The opposing combatant has 14 days from the date the commissioner sends
the challenge and supporting materials to submit a response to the commissioner. Additional response time is not added when
the commissioner sends the challenge to the opposing combatant by mail. The opposing combatant may submit photos,
videos, documents, or any other evidence the opposing combatant would like the
commissioner to consider in connection to the challenge. The response must be submitted to the
commissioner at the address, fax number, or email address designated on the
commissioner's website. The date on
which a response is submitted by mail is the postmark date on the envelope in
which the response is mailed. If the
response is faxed or emailed, it must be received by the commissioner by 4:30 p.m.
Central Time on the day the response is due.
Subd. 5. Licensed
official review. The
commissioner may, if the commissioner determines it would be helpful in
resolving the issues raised in the challenge, send a complete copy of the
challenge or response, along with any supporting materials submitted, to any
licensed official involved in the combative sport contest at issue by mail,
fax, or email and request the official's views on the issues raised in the
challenge.
Subd. 6. Order. The commissioner shall issue an order
on the challenge within 60 days after receiving the opposing combatant's
response. If the opposing combatant does
not submit a response, the commissioner shall issue an order on the challenge
within 75 days after receiving the challenge.
Subd. 7. Nonacceptance. If the requirements of subdivisions 1
through 3 are not met, the commissioner must not accept the challenge and may
send correspondence to the person who submitted the challenge stating the
reasons for nonacceptance of the challenge.
A combatant has no further appeal rights if the combatant's challenge is
not accepted by the commissioner.
Subd. 8. Administrative
hearing. After the
commissioner issues an order under subdivision 6, each combatant under section
326B.082, subdivision 8, has 30 days after service of the order to submit a
request for hearing before an administrative law judge.
Sec. 24. Minnesota Statutes 2022, section 341.355, is amended to read:
341.355 CIVIL PENALTIES.
When the commissioner finds
that a person has violated one or more provisions of any statute, rule, or
order that the commissioner is empowered to regulate, enforce, or issue, the
commissioner may impose, for each violation, a civil penalty of up to $10,000
for each violation, or a civil penalty that deprives the person of any economic
advantage gained by the violation, or both.
The commissioner may also impose these penalties against a person who
has violated section 341.28, subdivision 5, paragraph (b) or (c).
ARTICLE 6
MISCELLANEOUS
Section 1. Minnesota Statutes 2022, section 175.16, subdivision 1, is amended to read:
Subdivision 1. Established. The Department of Labor and Industry shall consist of the following divisions: Division of Workers' Compensation, Division of Construction Codes and Licensing, Division of Occupational Safety and Health, Division of Statistics, Division of Labor Standards, and Division of Apprenticeship, and such other divisions as the commissioner of the Department of Labor and Industry may deem necessary and establish. Each division of the department and persons in charge thereof shall be subject to the supervision of the commissioner of the Department of Labor and Industry and, in addition to such duties as are or may be imposed on them by statute, shall perform such other duties as may be assigned to them by the commissioner. Notwithstanding any other law to the contrary, the commissioner is the administrator and supervisor of all of the department's dispute resolution functions and personnel and may delegate authority to compensation judges and others to make determinations under sections 176.106, 176.238, and 176.239 and to approve settlement of claims under section 176.521.
Sec. 2. Minnesota Statutes 2022, section 177.26, subdivision 1, is amended to read:
Subdivision 1. Creation. The Division of Labor Standards and
Apprenticeship in the Department of Labor and Industry is supervised and
controlled by the commissioner of labor and industry.
Sec. 3. Minnesota Statutes 2022, section 177.26, subdivision 2, is amended to read:
Subd. 2. Powers
and duties. The Division of Labor
Standards and Apprenticeship shall administer this chapter and chapters 178,
181, 181A, and 184.
Sec. 4. Minnesota Statutes 2022, section 178.01, is amended to read:
178.01 PURPOSES.
The purposes of this chapter
are: to open to all people regardless of
race, sex, creed, color or national origin, the opportunity to obtain training
and on-the-job learning that will equip them for profitable employment and
citizenship; to establish as a means to this end, a program of voluntary
apprenticeship under approved apprenticeship agreements providing facilities
for their training and guidance in the arts, skills, and crafts of industry and
trade or occupation, with concurrent, supplementary instruction in related
subjects; to promote apprenticeship opportunities under conditions providing
adequate training and on-the-job learning and reasonable earnings; to relate
the supply of skilled workers to employment demands; to establish standards for
apprentice training; to establish an Apprenticeship Board and apprenticeship
committees to assist in effectuating the purposes of this chapter; to provide
for a Division of Labor Standards and Apprenticeship within the
Department of Labor and Industry; to provide for reports to the legislature
regarding the status of apprentice training in the state; to establish a
procedure for the determination of apprenticeship agreement controversies; and
to accomplish related ends.
Sec. 5. Minnesota Statutes 2022, section 178.011, subdivision 7, is amended to read:
Subd. 7. Division. "Division" means the
department's Labor Standards and Apprenticeship Division, established
under sections 175.16 and 178.03, and the State Apprenticeship Agency as
defined in Code of Federal Regulations, title 29, part 29, section 29.2.
Sec. 6. Minnesota Statutes 2022, section 178.03, subdivision 1, is amended to read:
Subdivision 1. Establishment
of division. There is established a
Division of Labor Standards and Apprenticeship in the Department of
Labor and Industry. This division shall
be administered by a director, and be under the supervision of the
commissioner.
Sec. 7. Minnesota Statutes 2022, section 178.11, is amended to read:
178.11 LABOR EDUCATION ADVANCEMENT GRANT PROGRAM.
The commissioner shall
establish the labor education advancement grant program for the purpose of
facilitating the participation or retention of minorities people
of color, Indigenous people, and women in apprenticeable trades and
occupations registered apprenticeship programs. The commissioner shall award grants to
community-based and nonprofit organizations and Minnesota Tribal
governments as defined in section 10.65, serving the targeted populations
on a competitive request-for-proposal basis.
Interested organizations shall apply for the grants in a form prescribed
by the commissioner. As part of the
application process, applicants must provide a statement of need for the grant,
a description of the targeted population and apprenticeship opportunities, a
description of activities to be funded by the grant, evidence supporting the
ability to deliver services, information related to coordinating grant
activities with other employment and learning programs, identification of
matching funds, a budget, and performance objectives. Each submitted application shall be evaluated
for completeness and effectiveness of the proposed grant activity.
Sec. 8. [181.536]
POSTING OF VETERANS' BENEFITS AND SERVICES.
Subdivision 1. Poster
creation; content. (a) The
commissioner shall consult with the commissioner of veterans affairs to create
and distribute a veterans' benefits and services poster.
(b) The poster must, at
a minimum, include information regarding the following benefits and services
available to veterans:
(1) contact and website
information for the Department of Veterans Affairs and the department's
veterans' services program;
(2) substance use
disorder and mental health treatment;
(3) educational,
workforce, and training resources;
(4) tax benefits;
(5) Minnesota state
veteran drivers' licenses and state identification cards;
(6) eligibility for
unemployment insurance benefits under state and federal law;
(7) legal services; and
(8) contact information
for the U.S. Department of Veterans Affairs Veterans Crisis Line.
(c) The commissioner
must annually review the poster's content and update the poster to include the
most current information available.
Subd. 2. Mandatory
posting. Every employer in
the state with more than 50 full-time equivalent employees shall display the
poster created pursuant to this section in a conspicuous place accessible to
employees in the workplace.
Sec. 9. Minnesota Statutes 2022, section 181.9435, subdivision 1, is amended to read:
Subdivision 1. Investigation. The Division of Labor Standards and
Apprenticeship shall receive complaints of employees against employers
relating to sections 181.172, paragraph (a) or (d), and 181.939 to 181.9436 and
investigate informally whether an employer may be in violation of sections
181.172, paragraph (a) or (d), and 181.939 to 181.9436. The division shall attempt to resolve
employee complaints by informing employees and employers of the provisions of
the law and directing employers to comply with the law. For complaints related to section 181.939,
the division must contact the employer within two business days and investigate
the complaint within ten days of receipt of the complaint.
Sec. 10. Minnesota Statutes 2022, section 181.9436, is amended to read:
181.9436 POSTING OF LAW.
The Division of Labor
Standards and Apprenticeship shall develop, with the assistance of
interested business and community organizations, an educational poster stating
employees' rights under sections 181.940 to 181.9436. The department shall make the poster
available, upon request, to employers for posting on the employer's premises.
Sec. 11. Minnesota Statutes 2022, section 182.666, subdivision 1, is amended to read:
Subdivision 1. Willful
or repeated violations. Any employer
who willfully or repeatedly violates the requirements of section 182.653, or
any standard, rule, or order adopted under the authority of the commissioner as
provided in this chapter, may be assessed a fine not to exceed $70,000 $156,259
for each violation. The minimum fine for
a willful violation is $5,000 $11,162.
Sec. 12. Minnesota Statutes 2022, section 182.666, subdivision 2, is amended to read:
Subd. 2. Serious
violations. Any employer who has
received a citation for a serious violation of its duties under section
182.653, or any standard, rule, or order adopted under the authority of the
commissioner as provided in this chapter, shall be assessed a fine not to
exceed $7,000 $15,625 for each violation. If a serious violation under section 182.653,
subdivision 2, causes or contributes to the death of an employee, the employer
shall be assessed a fine of up to $25,000 for each violation.
Sec. 13. Minnesota Statutes 2022, section 182.666, subdivision 3, is amended to read:
Subd. 3. Nonserious
violations. Any employer who has
received a citation for a violation of its duties under section 182.653,
subdivisions 2 to 4, where the violation is specifically determined not to be
of a serious nature as provided in section 182.651, subdivision 12, may be
assessed a fine of up to $7,000 $15,625 for each violation.
Sec. 14. Minnesota Statutes 2022, section 182.666, subdivision 4, is amended to read:
Subd. 4. Failure
to correct a violation. Any employer
who fails to correct a violation for which a citation has been issued under
section 182.66 within the period permitted for its correction, which period
shall not begin to run until the date of the final order of the commissioner in
the case of any review proceedings under this chapter initiated by the employer
in good faith and not solely for delay or avoidance of penalties, may be
assessed a fine of not more than $7,000 $15,625 for each day
during which the failure or violation continues.
Sec. 15. Minnesota Statutes 2022, section 182.666, subdivision 5, is amended to read:
Subd. 5. Posting
violations. Any employer who
violates any of the posting requirements, as prescribed under this chapter,
except those prescribed under section 182.661, subdivision 3a, shall be
assessed a fine of up to $7,000 $15,625 for each violation.
Sec. 16. Minnesota Statutes 2022, section 182.666, is amended by adding a subdivision to read:
Subd. 6a. Increases
for inflation. (a) Each year,
beginning in 2023, the commissioner shall determine the percentage change in
the Minneapolis-St. Paul-Bloomington, MN-WI, Consumer Price Index for All
Urban Consumers (CPI-U) from the month of October in the preceding calendar
year to the month of October in the current calendar year.
(b) The commissioner
shall increase the fines in subdivisions 1 to 5, except for the fine for a
serious violation under section 182.653, subdivision 2, that causes or
contributes to the death of an employee, by the percentage change determined by
the commissioner under paragraph (a), if the percentage change is greater than
zero. The fines shall be increased to
the nearest one dollar.
(c) If the percentage change determined by the commissioner under paragraph (a) is not greater than zero, the commissioner shall not change any of the fines in subdivisions 1 to 5.
(d) A fine increased
under this subdivision takes effect on the next January 15 after the
commissioner determines the percentage change under paragraph (a) and applies
to all fines assessed on or after the next January 15.
(e) No later than
December 1 of each year, the commissioner shall give notice in the State
Register of any increase to the fines in subdivisions 1 to 5.
Sec. 17. [182.677]
ERGONOMICS.
Subdivision 1. Definitions. (a) For purposes of this section, the
definitions in this subdivision apply unless otherwise specified.
(b) "Health care
facility" means a hospital with a North American Industrial Classification
system code of 622110, 622210, or 622310; an outpatient surgical center with a
North American Industrial Classification system code of 621493; and a nursing
home with a North American Industrial Classification system code of 623110.
(c) "Warehouse
distribution center" means an employer with 100 or more employees in
Minnesota and a North American Industrial Classification system code of 493110,
423110 to 423990, 424110 to 424990, 454110, or 492110.
(d) "Meatpacking site" means a meatpacking or poultry processing site with 100 or more employees in Minnesota and a North American Industrial Classification system code of 311611 to 311615, except 311613.
(e)
"Musculoskeletal disorder" or "MSD" means a disorder of the
muscles, nerves, tendons, ligaments, joints, cartilage, blood vessels, or
spinal discs.
Subd. 2. Ergonomics
program required. (a) Every
licensed health care facility, warehouse distribution center, or meatpacking
site in the state shall create and implement an effective written ergonomics
program establishing the employer's plan to minimize the risk of its employees
developing or aggravating musculoskeletal disorders by utilizing an ergonomics
process. The ergonomics program shall
focus on eliminating the risk. To the
extent risk exists, the ergonomics program must include feasible administrative
or engineering controls to reduce the risk.
(b) The program shall include:
(1) an assessment of hazards with regard to prevention of musculoskeletal disorders;
(2) an initial and
ongoing training of employees on ergonomics and its benefits, including the
importance of reporting early symptoms of musculoskeletal disorders;
(3) a procedure to ensure
early reporting of musculoskeletal disorders to prevent or reduce the
progression of symptoms, the development of serious injuries, and lost-time
claims;
(4) a process for
employees to provide possible solutions that may be implemented to reduce,
control, or eliminate workplace musculoskeletal disorders;
(5) procedures to ensure
that physical plant modifications and major construction projects are
consistent with program goals; and
(6) annual evaluations of
the ergonomics program and whenever a change to the work process occurs.
Subd. 3. Annual
evaluation of program required. There
must be an established procedure to annually assess the effectiveness of the
ergonomics program, including evaluation of corrective actions taken in
response to reporting of symptoms by employees.
The annual assessment shall determine the success of the implemented
ergonomic solutions and whether goals set by the ergonomics program have been
met.
Subd. 4. Employee
training. (a) An employer
subject to this section must train all new and existing employees on the
following:
(1) the name of each individual on the employer's safety committee;
(2) the facility's hazard
prevention and control plan;
(3) the early signs and
symptoms of musculoskeletal injuries and the procedures for reporting them;
(4) the procedures for
reporting injuries and other hazards;
(5) any administrative or
engineering controls related to ergonomic hazards that are in place or will be
implemented at the facility;
(6) how to use personal
protective equipment, whether it is available, and where it is located; and
(7) the requirements of
subdivision 9.
(b) New and current
employees must be trained according to paragraph (a) prior to starting work. The employer must provide the training during
working hours and compensate the employee for attending the training at the
employee's standard rate of pay. All
training must be in a language and with vocabulary that the employee can
understand.
(c) Updates to the
information conveyed in the training shall be communicated to employees as soon
as practicable.
Subd. 5. Involvement
of employees. Employers
subject to this section must solicit feedback for its ergonomics program
through its safety committee required by section 182.676, in addition to any
other opportunities for employee participation the employer may provide. The safety committee must be directly
involved in ergonomics worksite assessments and participate in the annual
evaluation required by subdivision 3.
Subd. 6. Workplace
program or AWAIR. An employer
subject to this section must reference its ergonomics program in a written
Workplace Accident and Injury Reduction (AWAIR) program required by section
182.653, subdivision 8.
Subd. 7. Recordkeeping. An employer subject to this section
must maintain:
(1) a written
certification dated and signed by each person who provides training and each
employee who receives training pursuant to this section. The certification completed by the training
providers must state that the employer has provided training consistent with
the requirements of this section;
(2) a record of all
worker visits to on-site medical or first aid personnel for the last five
years, regardless of severity or type of illness or injury; and
(3) a record of all
ergonomic injuries suffered by employees for the last five years.
Subd. 8. Availability
of records. (a) The employer
must ensure that the certification records required by subdivision 7, clause
(1), are up to date and available to the commissioner, employees, and
authorized employee representatives, if any, upon request.
(b) Upon the request of
the commissioner, an employee, or an authorized employee representative, the
employer must provide the requestor a redacted version of the medical or first
aid records and records of all ergonomic injuries. The name, contact information, and occupation
of an employee, and any other information that would reveal the identity of an employee,
must be removed in the redacted version.
The redacted version must only include, to the extent it would not
reveal identity of an employee, the location where the employee worked, the
date of the injury or visit, a description of the medical treatment or first
aid provided, and a description of the injury suffered.
(c) The employer must
also make available to the commissioner the unredacted medical or first aid
records and unredacted records of ergonomic injuries required by subdivision 7,
clause (2), upon request.
Subd. 9. Reporting
encouraged. Any employer
subject to this section must not institute or maintain any program, policy, or
practice that discourages employees from reporting injuries, hazards, or safety
and health standard violations, including ergonomic-related hazards and
symptoms of musculoskeletal disorders.
Subd. 10. Training
materials. The commissioner
shall make training materials on implementation of this section available to
all employers, upon request, at no cost as part of the duties of the
commissioner under section 182.673.
Subd. 11. Enforcement. This section shall be enforced by the
commissioner under sections 182.66 and 182.661.
A violation of this section is subject to the penalties provided under
section 182.666.
Subd. 12. Grant
program. (a) The commissioner
shall establish an ergonomics grant program to provide matching funding for
employers who are subject to this section to make ergonomic improvements
recommended by an on-site safety survey.
Minnesota Rules, chapter 5203, applies to the administration of the
grant program.
(b) To be eligible for a
grant under this section, an employer must:
(1) be a licensed health
care facility, warehouse distribution center, or meatpacking site as defined by
subdivision 1;
(2) have current workers'
compensation insurance provided through the assigned risk plan, provided by an
insurer subject to penalties under chapter 176, or as an approved self-insured
employer; and
(3) have an on-site
safety survey with results that recommend specific equipment or practices that
will reduce the risk of injury or illness to employees and prevent
musculoskeletal disorders. This survey
must have been conducted by a Minnesota occupational safety and health
compliance investigator or workplace safety consultant, an in-house safety and
health committee, a workers' compensation insurance underwriter, a private
consultant, or a person under contract with the assigned risk plan.
(c) Grant funds may be
used for all or part of the cost of the following:
(1) purchasing and
installing recommended equipment intended to prevent musculoskeletal disorders;
(2) operating or
maintaining recommended equipment intended to prevent musculoskeletal
disorders;
(3) property, if the
property is necessary to meet the recommendations of the on-site safety survey
that are related to prevention of musculoskeletal disorders;
(4) training required to
operate recommended safety equipment to prevent musculoskeletal disorders; and
(5) tuition
reimbursement for educational costs related to identifying ergonomic-related
issues that are related to the recommendations of the on-site safety survey.
(d) The commissioner
shall evaluate applications, submitted on forms developed by the commissioner,
based on whether the proposed project:
(1) is technically and
economically feasible;
(2) is consistent with
the recommendations of the on-site safety survey and the objective of reducing
risk of injury or illness to employees and preventing musculoskeletal
disorders;
(3) was submitted by an
applicant with sufficient experience, knowledge, and commitment for the project
to be implemented in a timely manner;
(4) has the necessary
financial commitments to cover all project costs;
(5) has the support of
all public entities necessary for its completion; and
(6) complies with
federal, state, and local regulations.
(e) Grants under this
section shall provide a match of up to $10,000 for private funds committed by
the employer to implement the recommended ergonomics-related equipment or
practices.
(f) Grants will be
awarded to all applicants that meet the eligibility and evaluation criteria
under paragraphs (b), (c), and (d) until funding is depleted. If there are more eligible requests than funding,
awards will be prorated.
(g) Grant recipients are
not eligible to apply for another grant under chapter 176 until two years after
the date of the award.
Subd. 13. Standard
development. The commissioner
may propose an ergonomics standard using the authority provided in section
182.655.
Sec. 18. Minnesota Statutes 2022, section 326B.092, subdivision 6, is amended to read:
Subd. 6. Fees nonrefundable. Application and examination fees, license fees, license renewal fees, and late fees are nonrefundable except for:
(1) license renewal fees received more than two years after expiration of the license, as described in section 326B.094, subdivision 2;
(2) any overpayment of fees; and
(3) if the license is not issued or renewed, the contractor recovery fund fee and any additional assessment paid under subdivision 7, paragraph (e).
Sec. 19. Minnesota Statutes 2022, section 326B.096, is amended to read:
326B.096 REINSTATEMENT OF LICENSES.
Subdivision 1. Reinstatement after revocation. (a) If a license is revoked under this chapter and if an applicant for a license needs to pass an examination administered by the commissioner before becoming licensed, then, in order to have the license reinstated, the person who holds the revoked license must:
(1) retake the examination and achieve a passing score; and
(2) meet all other requirements for an initial license, including payment of the application and examination fee and the license fee. The person holding the revoked license is not eligible for Minnesota licensure without examination based on reciprocity.
(b) If a license is revoked under a chapter other than this chapter, then, in order to have the license reinstated, the person who holds the revoked license must:
(1) apply for reinstatement to the commissioner no later than two years after the effective date of the revocation;
(2) pay a $100 $50
reinstatement application fee and any applicable renewal license fee; and
(3) meet all applicable requirements for licensure, except that, unless required by the order revoking the license, the applicant does not need to retake any examination and does not need to repay a license fee that was paid before the revocation.
Subd. 2. Reinstatement after suspension. If a license is suspended, then, in order to have the license reinstated, the person who holds the suspended license must:
(1) apply for reinstatement to the commissioner no later than two years after the completion of the suspension period;
(2) pay a $100 $50
reinstatement application fee and any applicable renewal license fee; and
(3) meet all applicable requirements for licensure, except that, unless required by the order suspending the license, the applicant does not need to retake any examination and does not need to repay a license fee that was paid before the suspension.
Subd. 3. Reinstatement after voluntary termination. A licensee who is not an individual may voluntarily terminate a license issued to the person under this chapter. If a licensee has voluntarily terminated a license under this subdivision, then, in order to have the license reinstated, the person who holds the terminated license must:
(1) apply for reinstatement to the commissioner no later than the date that the license would have expired if it had not been terminated;
(2) pay a $100 $25
reinstatement application fee and any applicable renewal license fee; and
(3) meet all applicable requirements for licensure, except that the applicant does not need to repay a license fee that was paid before the termination.
Sec. 20. Minnesota Statutes 2022, section 326B.103, is amended by adding a subdivision to read:
Subd. 6a. Electric
vehicle capable space. "Electric
vehicle capable space" means a designated automobile parking space that
has electrical infrastructure, including but not limited to raceways, cables,
electrical capacity, and panelboard or other electrical distribution space
necessary for the future installation of an electric vehicle charging station.
Sec. 21. Minnesota Statutes 2022, section 326B.103, is amended by adding a subdivision to read:
Subd. 6b. Electric
vehicle charging station. "Electric
vehicle charging station" means a designated automobile parking space that
has a dedicated connection for charging an electric vehicle.
Sec. 22. Minnesota Statutes 2022, section 326B.103, is amended by adding a subdivision to read:
Subd. 6c. Electric
vehicle ready space. "Electric
vehicle ready space" means a designated automobile parking space that has
a branch circuit capable of supporting the installation of an electric vehicle
charging station.
Sec. 23. Minnesota Statutes 2022, section 326B.103, is amended by adding a subdivision to read:
Subd. 10a. Parking
facilities. "Parking
facilities" includes parking lots, garages, ramps, or decks.
Sec. 24. Minnesota Statutes 2022, section 326B.103, subdivision 13, is amended to read:
Subd. 13. State licensed facility. "State licensed facility" means a building and its grounds that are licensed by the state as a hospital, nursing home, supervised living facility, assisted living facility, including assisted living facility with dementia care, free-standing outpatient surgical center, correctional facility, boarding care home, or residential hospice.
Sec. 25. Minnesota Statutes 2022, section 326B.106, subdivision 1, is amended to read:
Subdivision 1. Adoption of code. (a) Subject to paragraphs (c) and (d) and sections 326B.101 to 326B.194, the commissioner shall by rule and in consultation with the Construction Codes Advisory Council establish a code of standards for the construction, reconstruction, alteration, and repair of buildings, governing matters of structural materials, design and construction, fire protection, health, sanitation, and safety, including design and construction standards regarding heat loss control, illumination, and climate control. The code must also include duties and responsibilities for code administration, including procedures for administrative action, penalties, and suspension and revocation of certification. The code must conform insofar as practicable to model building codes generally accepted and in use throughout the United States, including a code for building conservation. In the preparation of the code, consideration must be given to the existing statewide specialty codes presently in use in the state. Model
codes with necessary modifications and statewide specialty codes may be adopted by reference. The code must be based on the application of scientific principles, approved tests, and professional judgment. To the extent possible, the code must be adopted in terms of desired results instead of the means of achieving those results, avoiding wherever possible the incorporation of specifications of particular methods or materials. To that end the code must encourage the use of new methods and new materials. Except as otherwise provided in sections 326B.101 to 326B.194, the commissioner shall administer and enforce the provisions of those sections.
(b) The commissioner shall develop rules addressing the plan review fee assessed to similar buildings without significant modifications including provisions for use of building systems as specified in the industrial/modular program specified in section 326B.194. Additional plan review fees associated with similar plans must be based on costs commensurate with the direct and indirect costs of the service.
(c) Beginning with the 2018 edition of the model building codes and every six years thereafter, the commissioner shall review the new model building codes and adopt the model codes as amended for use in Minnesota, within two years of the published edition date. The commissioner may adopt amendments to the building codes prior to the adoption of the new building codes to advance construction methods, technology, or materials, or, where necessary to protect the health, safety, and welfare of the public, or to improve the efficiency or the use of a building.
(d) Notwithstanding paragraph (c), the commissioner shall act on each new model residential energy code and the new model commercial energy code in accordance with federal law for which the United States Department of Energy has issued an affirmative determination in compliance with United States Code, title 42, section 6833. The commissioner shall consider amendments to the model energy codes that mitigate the impact of climate change and reduce greenhouse gas emissions by increasing and optimizing energy efficiency and improving resiliency of new buildings and existing buildings undergoing additions, alterations, and changes of use. The commissioner may adopt amendments prior to adoption of the new energy codes, as amended for use in Minnesota, to advance construction methods, technology, or materials, or, where necessary to protect the health, safety, and welfare of the public, or to improve the efficiency or use of a building.
(e) Beginning in 2024, the commissioner shall act on the new model commercial energy code by adopting each new published edition of ASHRAE 90.1 or a more efficient standard. The commercial energy code in effect in 2036 and thereafter must achieve an 80 percent reduction in annual net energy consumption or greater, using the ASHRAE 90.1-2004 as a baseline. The commissioner shall adopt commercial energy codes from 2024 to 2036 that incrementally move toward achieving the 80 percent reduction in annual net energy consumption. By January 15 of the year following each new code adoption, the commissioner shall make a report on progress under this section to the legislative committees with jurisdiction over the energy code.
(f) Nothing in this
section shall be interpreted to limit the ability of a public utility to offer
code support programs, or to claim energy savings resulting from such programs,
through its energy conservation and optimization plans approved by the commissioner
of commerce under section 216B.241.
Sec. 26. Minnesota Statutes 2022, section 326B.106, subdivision 4, is amended to read:
Subd. 4. Special requirements. (a) Space for commuter vans. The code must require that any parking ramp or other parking facility constructed in accordance with the code include an appropriate number of spaces suitable for the parking of motor vehicles having a capacity of seven to 16 persons and which are principally used to provide prearranged commuter transportation of employees to or from their place of employment or to or from a transit stop authorized by a local transit authority.
(b) Smoke detection devices. The code must require that all dwellings, lodging houses, apartment houses, and hotels as defined in section 299F.362 comply with the provisions of section 299F.362.
(c) Doors in nursing homes and hospitals. The State Building Code may not require that each door entering a sleeping or patient's room from a corridor in a nursing home or hospital with an approved complete standard automatic fire extinguishing system be constructed or maintained as self-closing or automatically closing.
(d) Child care facilities in churches; ground level exit. A licensed day care center serving fewer than 30 preschool age persons and which is located in a belowground space in a church building is exempt from the State Building Code requirement for a ground level exit when the center has more than two stairways to the ground level and its exit.
(e) Family and group family day care. Until the legislature enacts legislation specifying appropriate standards, the definition of dwellings constructed in accordance with the International Residential Code as adopted as part of the State Building Code applies to family and group family day care homes licensed by the Department of Human Services under Minnesota Rules, chapter 9502.
(f) Enclosed stairways. No provision of the code or any appendix chapter of the code may require stairways of existing multiple dwelling buildings of two stories or less to be enclosed.
(g) Double cylinder dead bolt locks. No provision of the code or appendix chapter of the code may prohibit double cylinder dead bolt locks in existing single-family homes, townhouses, and first floor duplexes used exclusively as a residential dwelling. Any recommendation or promotion of double cylinder dead bolt locks must include a warning about their potential fire danger and procedures to minimize the danger.
(h) Relocated residential buildings. A residential building relocated within or into a political subdivision of the state need not comply with the State Energy Code or section 326B.439 provided that, where available, an energy audit is conducted on the relocated building.
(i) Automatic garage door opening systems. The code must require all residential buildings as defined in section 325F.82 to comply with the provisions of sections 325F.82 and 325F.83.
(j) Exterior wood decks, patios, and balconies. The code must permit the decking surface and upper portions of exterior wood decks, patios, and balconies to be constructed of (1) heartwood from species of wood having natural resistance to decay or termites, including redwood and cedars, (2) grades of lumber which contain sapwood from species of wood having natural resistance to decay or termites, including redwood and cedars, or (3) treated wood. The species and grades of wood products used to construct the decking surface and upper portions of exterior decks, patios, and balconies must be made available to the building official on request before final construction approval.
(k) Bioprocess piping and equipment. No permit fee for bioprocess piping may be imposed by municipalities under the State Building Code, except as required under section 326B.92 subdivision 1. Permits for bioprocess piping shall be according to section 326B.92 administered by the Department of Labor and Industry. All data regarding the material production processes, including the bioprocess system's structural design and layout, are nonpublic data as provided by section 13.7911.
(l) Use of ungraded lumber. The code must allow the use of ungraded lumber in geographic areas of the state where the code did not generally apply as of April 1, 2008, to the same extent that ungraded lumber could be used in that area before April 1, 2008.
(m) Window cleaning safety. The
code must require the installation of dedicated anchorages for the purpose of
suspended window cleaning on (1) new buildings four stories or greater; and (2)
buildings four stories or greater, only on those areas undergoing
reconstruction, alteration, or repair that includes the exposure of primary
structural
components of the roof. The commissioner shall adopt rules, using
the expedited rulemaking process in section 14.389, requiring window cleaning
safety features that comply with a nationally recognized standard as part of
the State Building Code. Window cleaning
safety features shall be provided for all windows on:
(1) new buildings where
determined by the code; and
(2) existing buildings
undergoing alterations where both of the following conditions are met:
(i) the windows do not
currently have safe window cleaning features; and
(ii) the proposed work
area being altered can include provisions for safe window cleaning.
The commissioner may
waive all or a portion of the requirements of this paragraph related to
reconstruction, alteration, or repair, if the installation of dedicated
anchorages would not result in significant safety improvements due to limits on
the size of the project, or other factors as determined by the commissioner.
(n) Adult-size changing facilities. The commissioner shall adopt rules
requiring adult-size changing facilities as part of the State Building Code.
Sec. 27. Minnesota Statutes 2022, section 326B.106, is amended by adding a subdivision to read:
Subd. 16. Electric
vehicle charging. The code
shall require a minimum number of electric vehicle ready spaces, electric
vehicle capable spaces, and electric vehicle charging stations either within or
adjacent to new commercial and multifamily structures that provide on-site
parking facilities. Residential
structures with fewer than four dwelling units are exempt from this
subdivision.
Sec. 28. Minnesota Statutes 2022, section 326B.802, subdivision 15, is amended to read:
Subd. 15. Special skill. "Special skill" means one of the following eight categories:
(a) Excavation. Excavation includes work in any of the following areas:
(1) excavation;
(2) trenching;
(3) grading; and
(4) site grading.
(b) Masonry and concrete. Masonry and concrete includes work in any of the following areas:
(1) drain systems;
(2) poured walls;
(3) slabs and poured-in-place footings;
(4) masonry walls;
(5) masonry fireplaces;
(6) masonry veneer; and
(7) water resistance and waterproofing.
(c) Carpentry. Carpentry includes work in any of the following areas:
(1) rough framing;
(2) finish carpentry;
(3) doors, windows, and skylights;
(4) porches and decks, excluding footings;
(5) wood foundations; and
(6) drywall installation, excluding taping and finishing.
(d) Interior finishing. Interior finishing includes work in any of the following areas:
(1) floor covering;
(2) wood floors;
(3) cabinet and counter top installation;
(4) insulation and vapor barriers;
(5) interior or exterior painting;
(6) ceramic, marble, and quarry tile;
(7) ornamental guardrail and installation of prefabricated stairs; and
(8) wallpapering.
(e) Exterior finishing. Exterior finishing includes work in any of the following areas:
(1) siding;
(2) soffit, fascia, and trim;
(3) exterior plaster and stucco;
(4) painting; and
(5) rain carrying systems, including gutters and down spouts.
(f) Drywall and plaster. Drywall and plaster includes work in any of the following areas:
(1) installation;
(2) taping;
(3) finishing;
(4) interior plaster;
(5) painting; and
(6) wallpapering.
(g) Residential roofing. Residential roofing includes work in any of the following areas:
(1) roof coverings;
(2) roof sheathing;
(3) roof weatherproofing and
insulation; and
(4) repair of roof support
system, but not construction of new roof support system.; and
(5) penetration of roof
coverings for purposes of attaching a solar photovoltaic system.
(h) General installation specialties. Installation includes work in any of the following areas:
(1) garage doors and openers;
(2) pools, spas, and hot tubs;
(3) fireplaces and wood stoves;
(4) asphalt paving and seal
coating; and
(5) ornamental guardrail and
prefabricated stairs.; and
(6) assembly of the
support system for a solar photovoltaic system.
Sec. 29. RULEMAKING
AUTHORITY.
The commissioner of
labor and industry shall adopt rules, using the expedited rulemaking process in
Minnesota Statutes, section 14.389, that set forth adult-size changing
facilities to conform with the addition of Minnesota Statutes, section
326B.106, subdivision 4, paragraph (n), under this act.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 30. REPEALER.
Minnesota Statutes 2022,
section 177.26, subdivision 3, is repealed.
ARTICLE 7
PUBLIC EMPLOYMENT RELATIONS BOARD
Section 1. Minnesota Statutes 2022, section 13.43, subdivision 6, is amended to read:
Subd. 6. Access
by labor organizations, Bureau of Mediation Services, Public Employment
Relations Board. Personnel data
may be disseminated to labor organizations and the Public Employment
Relations Board to the extent that the responsible authority determines
that the dissemination is necessary to conduct elections, notify employees of
fair share fee assessments, and implement the provisions of chapters 179 and
179A. Personnel data shall be
disseminated to labor organizations, the Public Employment Relations Board,
and to the Bureau of Mediation Services to the extent the dissemination
is ordered or authorized by the commissioner of the Bureau of Mediation
Services or the Public Employment Relations Board or its employees or agents.
Sec. 2. [13.7909]
PUBLIC EMPLOYMENT RELATIONS BOARD DATA.
Subdivision 1. Definition. For purposes of this section,
"board" means the Public Employment Relations Board.
Subd. 2. Charge
and complaint data. (a)
Except as provided in paragraphs (b) and (c), all data maintained by the board
about a charge of unfair labor practices and appeals of determinations of the
commissioner under section 179A.12, subdivision 11, are classified as protected
nonpublic data or confidential data prior to being admitted into evidence at a
hearing conducted pursuant to section 179A.13.
Data that are admitted into evidence at a hearing conducted pursuant to
section 179A.13 are public unless subject to a protective order as determined
by the board or a hearing officer.
(b) Statements by
individuals that are provided to the board are private data on individuals, as
defined by section 13.02, subdivision 12, prior to being admitted into evidence
at a hearing conducted pursuant to section 179A.13, and become public once admitted
into evidence.
(c) The following data
are public at all times:
(1) the filing date of
unfair labor practice charges;
(2) the status of unfair
labor practice charges as an original or amended charge;
(3) the names and job
classifications of charging parties and charged parties;
(4) the provisions of
law alleged to have been violated in unfair labor practice charges;
(5) the complaint issued
by the board; and
(6) unless subject to a
protective order:
(i) the full and
complete record of an evidentiary hearing before a hearing officer, including
the hearing transcript, exhibits admitted into evidence, and posthearing
briefs;
(ii) recommended decisions and orders of hearing officers pursuant to
section 179A.13, subdivision 1, paragraph (i);
(iii) exceptions to the
hearing officer's recommended decision and order filed with the board pursuant
to section 179A.13, subdivision 1, paragraph (k);
(iv) party and nonparty
briefs filed with the board; and
(v) decisions and orders issued
by the board.
(d) The board may make
any data classified as private, protected nonpublic, or confidential pursuant
to this subdivision accessible to any person or party if the access will aid
the implementation of chapters 179 and 179A or ensure due process protection of
the parties.
Sec. 3. Minnesota Statutes 2022, section 179A.041, is amended by adding a subdivision to read:
Subd. 10. Open
Meeting Law; exceptions. Chapter
13D does not apply to meetings of the board when it is deliberating on the
merits of unfair labor practice charges under sections 179.11, 179.12, and
179A.13; reviewing a recommended decision and order of a hearing officer under
section 179A.13; or reviewing decisions of the commissioner of the Bureau of
Mediation Services relating to unfair labor practices under section 179A.12,
subdivision 11.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 8
MEAT AND POULTRY PROCESSING
Section 1. [179.87]
TITLE.
Sections 179.87 to
179.8757 may be titled the "Safe Workplaces for Meat and Poultry
Processing Workers Act."
Sec. 2. [179.871]
DEFINITIONS.
Subdivision 1. Definitions. For purposes of sections 179.87 to
179.8757, the terms in this section have the meanings given.
Subd. 2. Authorized
employee representative. "Authorized
employee representative" has the meaning given in section 182.651,
subdivision 22.
Subd. 3. Commissioner. "Commissioner" means the
commissioner of labor and industry or the commissioner's designee.
Subd. 4. Coordinator. "Coordinator" means the
meatpacking industry worker rights coordinator or the coordinator's designee.
Subd. 5. Meat-processing
worker. "Meat-processing
worker" or "worker" means any individual who a meat‑processing
employer suffers or permits to work directly in contact with raw meatpacking
products in a meatpacking operation, including independent contractors and
persons performing work for an employer through a temporary service or staffing
agency. Workers in a meatpacking
operation who inspect or package meatpacking products and workers who clean,
maintain, or sanitize equipment or surfaces are included in the definition of a
meat‑processing worker.
Subd. 6. Meatpacking
operation. "Meatpacking
operation" or "meat-processing employer" means a meatpacking or
poultry processing site with 100 or more employees in Minnesota and a North
American Industrial Classification system code of 311611 to 311615, except
311613. Meatpacking operation or
meat-processing employer does not mean a grocery store, deli, restaurant, or
other business preparing meatpacking products for immediate consumption.
Subd. 7. Meatpacking
products. "Meatpacking
products" means meat food products and poultry food products as defined in
section 31A.02, subdivision 10.
Sec. 3. [179.8715]
WORKER RIGHTS COORDINATOR.
(a) The commissioner must
appoint a meatpacking industry worker rights coordinator in the Department of
Labor and Industry and provide the coordinator with necessary office space,
furniture, equipment, supplies, and assistance.
(b) The commissioner must
enforce sections 179.87 to 179.8757, including inspecting, reviewing, and
recommending improvements to the practices and procedures of meatpacking
operations in Minnesota. A meat‑processing
employer must grant the commissioner full access to all meatpacking operations
in this state at any time that meatpacking products are being processed or
meat-processing workers are on the job.
(c) No later than December 1 each year, beginning December 1, 2024, the coordinator must submit a report to the governor and the chairs and ranking minority members of the legislative committees with jurisdiction over labor. The report must include recommendations to promote better treatment of meat-processing workers. The coordinator shall also post the report on the Department of Labor and Industry's website.
Sec. 4. [179.872]
REFUSAL TO WORK UNDER DANGEROUS CONDITIONS.
A meat-processing worker
has the right to refuse to work under dangerous conditions in accordance with
section 182.654, subdivision 11. Pursuant
to section 182.654, subdivision 11, the worker shall continue to receive pay
and shall not be subject to discrimination.
Sec. 5. [179.875]
ENFORCEMENT AND COMPLIANCE.
Subdivision 1. Administrative
enforcement. The
commissioner, either on the commissioner's initiative or in response to a
complaint, may inspect a meatpacking operation and subpoena records and
witnesses as provided in sections 175.20, 177.27, and 182.659. If a meat-processing employer does not comply
with the commissioner's inspection, the commissioner may seek relief as
provided in this section or chapter 175 or 182.
Subd. 2. Compliance
authority. The commissioner
may issue a compliance order under section 177.27, subdivision 4, requiring an
employer to comply with sections 179.8755, paragraphs (b) and (c); 179.8756,
subdivisions 1 to 3 and 4, paragraphs (f) and (g); and 179.8757. The commissioner also has authority, pursuant
to section 182.662, subdivision 1, to issue a stop-work or business-closure
order when there is a condition or practice that could result in death or
serious physical harm.
Subd. 3. Private
civil action. If a
meat-processing employer does not comply with a provision in sections 179.87 to
179.8757, an aggrieved worker, authorized employee representative, or other
person may bring a civil action in a court of competent jurisdiction within
three years of an alleged violation and, upon prevailing, must be awarded the
relief provided in this section. Pursuing
administrative relief is not a prerequisite for bringing a civil action.
Subd. 4. Other
government enforcement. The
attorney general may enforce sections 179.87 to 179.8757 under section 8.31. A city or county attorney may also enforce
these sections. Such law enforcement
agencies may inspect meatpacking operations and subpoena records and witnesses
and, where such agencies determine that a violation has occurred, may bring a
civil action as provided in this section.
Subd. 5. Relief. (a) In a civil action or
administrative proceeding brought to enforce sections 179.87 to 179.8757, the
court or commissioner must order relief as provided in this subdivision.
(b) For any violation of
sections 179.87 to 179.8757:
(1) an injunction to
order compliance and restrain continued violations;
(2) payment to a prevailing
worker by a meat-processing employer of reasonable costs, disbursements, and
attorney fees; and
(3) a civil penalty
payable to the state of not less than $100 per day per worker affected by the
meat-processing employer's noncompliance with sections 179.87 to 179.8757.
(c) Any worker who
brings a complaint under sections 179.87 to 179.8757 and suffers retaliation is
entitled to treble damages in addition to lost pay and recovery of attorney
fees and costs.
(d) Any company who is
found to have retaliated against a meat-processing worker must pay a fine of up
to $10,000 to the commissioner, in addition to other penalties available under
the law.
Subd. 6. Whistleblower
enforcement; penalty distribution. (a)
The relief provided in this section may be recovered through a private civil
action brought on behalf of the commissioner in a court of competent
jurisdiction by another individual, including an authorized employee
representative, pursuant to this subdivision.
(b) The individual must
give written notice to the coordinator of the specific provision or provisions
of sections 179.87 to 179.8757 alleged to have been violated. The individual or representative organization
may commence a civil action under this subdivision if no enforcement action is
taken by the commissioner within 30 days.
(c) Civil penalties
recovered pursuant to this subdivision must be distributed as follows:
(1) 70 percent to the
commissioner for enforcement of sections 179.87 to 179.8757; and
(2) 30 percent to the
individual or authorized employee representative.
(d) The right to bring
an action under this subdivision shall not be impaired by private contract. A public enforcement action must be tried
promptly, without regard to concurrent adjudication of a private claim for the
same alleged violation.
Sec. 6. [179.8755]
RETALIATION AGAINST EMPLOYEES AND WHISTLEBLOWERS PROHIBITED.
(a) Pursuant to section
182.669, no meat-processing employer or other person may discharge or
discriminate against a worker because the worker has raised a concern about a
meatpacking operation's health and safety practices to the employer or
otherwise exercised any right authorized under sections 182.65 to 182.674.
(b) No meat-processing
employer or other person may attempt to require any worker to sign a contract
or other agreement that would limit or prevent the worker from disclosing
information about workplace health and safety practices or hazards, or to otherwise
abide by a workplace policy that would limit or prevent such disclosures. Any such agreements or policies are hereby
void and unenforceable as contrary to the public policy of this state. An employer's attempt to impose such a
contract, agreement, or policy shall constitute an adverse action enforceable
under section 179.875.
(c) Reporting or
threatening to report a meat-processing worker's suspected citizenship or
immigration status, or the suspected citizenship or immigration status of a
family member of the worker, to a federal, state, or local agency because the
worker exercises a right under sections 179.87 to 179.8757 constitutes an
adverse action for purposes of establishing a violation of that worker's rights. For purposes of this paragraph, "family
member" means a spouse, parent, sibling, child, uncle, aunt, niece, nephew,
cousin, grandparent, or grandchild related by blood, adoption, marriage, or
domestic partnership.
Sec. 7. [179.8756]
MEATPACKING WORKER CHRONIC INJURIES AND WORKPLACE SAFETY.
Subdivision 1. Facility
committee. (a) The
meat-processing employer's ergonomics program under section 182.677,
subdivision 2, must be developed and implemented by a committee of individuals
who are knowledgeable of the tasks and work processes performed by workers at
the employer's facility. The committee
must include:
(1) a certified
professional ergonomist;
(2) a licensed,
board-certified physician, with preference given to a physician who has
specialized experience and training in occupational medicine; and
(3) at least three
workers employed in the employer's facility who have completed a general
industry outreach course approved by the commissioner, one of whom must be an
authorized employee representative if the employer is party to a collective
bargaining agreement.
(b) If it is not
practicable for a certified professional ergonomist or a licensed,
board-certified physician to be a member of the committee required by paragraph
(a), the meatpacking employer must have their safe-worker program reviewed by a
certified professional ergonomist and a licensed, board-certified physician
prior to implementation of the program and annually thereafter.
Subd. 2. New
task and annual safety training. (a)
Meat-processing employers must provide every worker who is assigned a new task
if the worker has no previous work experience with training on how to safely
perform the task, the ergonomic and other hazards associated with the task, and
training on the early signs and symptoms of musculoskeletal injuries and the
procedures for reporting them. The
employer must give a worker an opportunity within 30 days of receiving the new
task training to receive refresher training on the topics covered in the new
task training. The employer must provide
this training in a language and with vocabulary that the employee can
understand.
(b) Meat-processing
employers must provide each worker with no less than eight hours of safety
training each year. This annual training
must address health and safety topics that are relevant to the establishment
and the worker's job assignment, such as cuts, lacerations, amputations,
machine guarding, biological hazards, lockout/tagout, hazard communication,
ergonomic hazards, and personal protective equipment. At least two of the eight hours of annual
training must be on topics related to the facility's ergonomic injury
prevention program, including the assessment of surveillance data, the
ergonomic hazard prevention and control plan, and the early signs and symptoms
of musculoskeletal disorders and the procedures for reporting them. The employer must provide this training in a
language and with vocabulary that the employee can understand.
Subd. 3. Medical
services and qualifications. (a)
Meat-processing employers must ensure that:
(1) all first-aid
providers, medical assistants, nurses, and physicians engaged by the employer
are licensed and perform their duties within the scope of their licensed
practice;
(2) medical management of
musculoskeletal disorders is under direct supervision of a licensed physician
specializing in occupational medicine who will advise on best practices for
management and prevention of work‑related musculoskeletal disorders; and
(3) medical management of
musculoskeletal injuries follows the most current version of the American
College of Occupational and Environmental Medicine practice guidelines.
(b) The coordinator may
compile, analyze, and publish annually, either in summary or detailed form, all
reports or information obtained under sections 179.87 to 179.8757, including
information about ergonomics programs, and may cooperate with the United States
Department of Labor in obtaining national summaries of occupational deaths,
injuries, and illnesses. The coordinator
and authorized employee representative must preserve the anonymity of each
employee with respect to whom medical reports or information is obtained.
Subd. 4. Pandemic
protections. (a) This
subdivision applies during a peacetime public health emergency declared under
section 12.31, subdivision 2, that involves airborne transmission.
(b) Meat-processing
employers must maintain at least a six-foot radius of space around and between
each worker unless a nonporous barrier separates the workers. An employer may accomplish such distancing by
increasing physical space between workstations, slowing production speeds,
staggering shifts and breaks, adjusting shift size, or a combination thereof. The employer must reconfigure common or
congregate spaces to allow for such distancing, including lunch rooms, break
rooms, and locker rooms. The employer
must reinforce social distancing by allowing workers to maintain six feet of
distance along with the use of nonporous barriers.
(c) Meat-processing
employers must provide employees with face masks and must make face shields
available on request. Face masks,
including replacement face masks, and face shields must be provided at no cost
to the employee. All persons present at
the meatpacking operation must wear face masks in the facility except in those
parts of the facility where infection risk is low because workers work in
isolation.
(d) Meat-processing
employers must provide all meat-processing workers with the ability to
frequently and routinely sanitize their hands with either hand-washing or
hand-sanitizing stations. The employer
must ensure that restrooms have running hot and cold water and paper towels and
are in sanitary condition. The employer
must provide gloves to those who request them.
(e) Meat-processing
employers must clean and regularly disinfect all frequently touched surfaces in
the workplace, such as workstations, training rooms, machinery controls, tools,
protective garments, eating surfaces, bathrooms, showers, and other similar
areas. Employers must install and
maintain ventilation systems that ensure unidirectional air flow, outdoor air,
and filtration in both production areas and common areas such as cafeterias and
locker rooms.
(f) Meat-processing
employers must disseminate all required communications, notices, and any
published materials regarding these protections in English, Spanish, and other
languages as required for employees to understand the communication.
(g) Consistent with
sections 177.253 and 177.254, meat-processing employers must provide adequate
break time for workers to use the bathroom, wash their hands, and don and doff
protective equipment. Nothing in this
subdivision relieves an employer of its obligation to comply with federal and
state wage and hour laws.
(h) Meat-processing
employers must provide sufficient personal protective equipment for each
employee for each shift, plus replacements, at no cost to the employee. Meat-processing employers must provide
training in proper use of personal protective equipment, safety procedures, and
sanitation.
(i) Meat-processing
employers must record all injuries and illnesses in the facility and make these
records available upon request to the health and safety committee. The name, contact information, and occupation
of an employee, and any other information that would reveal the identity of an
employee, must be removed. The redacted
records must only include, to the extent it would not reveal the identity of an
employee, the location where the employee worked, the date of the injury or
visit, a description of the medical treatment or first aid provided, and a
description of the injury suffered. The
employer also must make its records available to the commissioner, and where
there is a collective bargaining agreement, to the authorized bargaining
representative.
(j) Except for
paragraphs (f) and (g), this subdivision shall be enforced by the commissioner
under sections 182.66 and 182.661. A
violation of this subdivision is subject to the penalties provided under
section 182.666. Paragraphs (f) and (g)
are enforceable by the commissioner as described in section 179.875,
subdivision 2.
(k) The entirety of this
subdivision may also be enforced as described in section 179.875, subdivisions
3 to 6.
Sec. 8. [179.8757]
NOTIFICATION REQUIRED.
(a) Meat-processing
employers must provide written information and notifications about employee
rights under section 179.86 and sections 179.87 to 179.8757 to workers in their
language of fluency at least annually. If
a worker is unable to understand written information and notifications, the
employer must provide such information and notices orally in the worker's
language of fluency.
(b) The coordinator must
notify covered employers of the provisions of sections 179.87 to 179.8757 and
any recent updates at least annually.
(c) The coordinator must
place information explaining sections 179.87 to 179.8757 on the Department of
Labor and Industry's website in at least English, Spanish, and any other
language that at least ten percent of meat‑processing workers communicate
in fluently. The coordinator must also
make the information accessible to persons with impaired visual acuity.
Sec. 9. Minnesota Statutes 2022, section 182.654, subdivision 11, is amended to read:
Subd. 11. Refusal to work under dangerous conditions. An employee acting in good faith has the right to refuse to work under conditions which the employee reasonably believes present an imminent danger of death or serious physical harm to the employee.
A reasonable belief of imminent danger of death or serious physical harm includes but is not limited to a reasonable belief of the employee that the employee has been assigned to work in an unsafe or unhealthful manner with a hazardous substance, harmful physical agent or infectious agent.
An employer may not discriminate against an employee for a good faith refusal to perform assigned tasks if the employee has requested that the employer correct the hazardous conditions but the conditions remain uncorrected.
An employee who has refused in good faith to perform assigned tasks and who has not been reassigned to other tasks by the employer shall, in addition to retaining a right to continued employment, receive pay for the tasks which would have been performed if (1) the employee requests the commissioner to inspect and determine the nature of the hazardous condition, and (2) the commissioner determines that the employee, by performing the assigned tasks, would have been placed in imminent danger of death or serious physical harm.
Additionally, an
administrative law judge may order, in addition to the relief found in section
182.669:
(1) reinstatement of the
worker to the same position held before any adverse personnel action or to an
equivalent position; reinstatement of full fringe benefits and seniority
rights; compensation for unpaid wages, benefits, and other remuneration; or front
pay in lieu of reinstatement; and
(2) compensatory damages
payable to the aggrieved worker equal to the greater of $5,000 or twice the
actual damages, including unpaid wages, benefits, and other remuneration and
punitive damages.
ARTICLE 9
WAREHOUSE WORKERS
Section 1. [182.6526]
WAREHOUSE DISTRIBUTION WORKER SAFETY.
Subdivision 1. Definitions. (a) The terms defined in this
subdivision have the meanings given them.
(b)
"Commissioner" means the commissioner of labor and industry.
(c)(1) Except as provided in
clause (2), "employee" means a nonexempt employee who works at a
warehouse distribution center.
(2) For the purposes of
subdivisions 2, 3, and 4 only, "employee" means a nonexempt employee
performing warehouse work occurring on the property of a warehouse distribution
center, and does not include a nonexempt employee performing solely manufacturing,
administrative, sales, accounting, human resources, or driving work at a
warehouse distribution center.
(d) "Work speed
data" means information an employer collects, stores, analyzes, or
interprets relating to an individual employee's or group of employees' pace of
work, including but not limited to quantities of tasks performed, quantities of
items or materials handled or produced, rates or speeds of tasks performed,
measurements or metrics of employee performance in relation to a quota, and
time categorized as performing tasks or not performing tasks.
(e) "Employer"
means a person who directly or indirectly, or through an agent or any other
person, including through the services of a third-party employer, temporary
service, or staffing agency or similar entity, employs or exercises control over
the wages, hours, or working conditions of 250 or more employees at a single
warehouse distribution center or 1,000 or more employees at one or more
warehouse distribution centers in the state.
For purposes of this paragraph, all employees of an employer's unitary
business, as that term is defined in section 290.17, subdivision 4, shall be
counted in determining the number of employees employed at a single warehouse
distribution center or at one or more warehouse distribution centers in the
state.
(f) "Warehouse
distribution center" means an establishment as defined by any of the
following North American Industry Classification System (NAICS) codes:
(1) 493110 for General
Warehousing and Storage;
(2) 423 for Merchant
Wholesalers, Durable Goods;
(3) 424 for Merchant
Wholesalers, Nondurable Goods;
(4) 454110 for
Electronic Shopping and Mail-Order Houses; and
(5) 492110 for Couriers
and Express Delivery Services.
(g) "Quota"
means a work standard under which:
(1) an employee or group
of employees is assigned or required to perform at a specified productivity
speed, or perform a quantified number of tasks, or handle or produce a
quantified amount of material, or perform without a certain number of errors or
defects, as measured at the individual or group level within a defined time
period; or
(2) an employee's
actions are categorized between time performing tasks and not performing tasks,
and the employee's failure to complete a task performance standard or recommendation
may have an adverse impact on the employee's continued employment.
Subd. 2. Written
description required. (a)
Each employer shall provide to each employee a written description of each
quota to which the employee is subject and how it is measured, including the
quantified number of tasks to be performed or materials to be produced or
handled or the limit on time categorized as not performing tasks, within the
defined time period, and any potential adverse employment action that could
result from failure to meet the quota.
(b) The written description
must be understandable in plain language and in the employee's language of
preference.
(c) The written
description must be provided:
(1) upon hire or within
30 days of the effective date of this section; and
(2) no fewer than two
working days prior to the effective date of any modification of existing
quotas.
(d) An employer shall not
take adverse employment action against an employee for failure to meet a quota
that has not been disclosed to the employee.
Subd. 3. Breaks. An employee shall not be required to
meet a quota that prevents compliance with meal or rest or prayer periods, use
of restroom facilities, including reasonable travel time to and from restroom
facilities as provided under section 177.253, subdivision 1, or occupational
health and safety standards under this chapter or Minnesota Rules, chapter 5205. An employer shall not take adverse employment
action against an employee for failure to meet a quota that does not allow a
worker to comply with meal or rest or prayer periods, or occupational health
and safety standards under this chapter.
Subd. 4. Work
speed data. (a) Employees
have the right to request orally or in writing from any supervisor, and the
employer shall provide within 72 hours: (1)
a written description of each quota to which the employee is subject; (2) a
copy of the most recent 90 days of the employee's own personal work speed data;
and (3) a copy of the prior six months of aggregated work speed data for
similar employees at the same work site.
The written description of each quota must
meet the requirements of subdivision 2, paragraph (b), and the work speed data
must be provided in a manner understandable to the employee. An employee may make a request under this
paragraph no more than four times per year.
(b) If an employer
disciplines an employee for failure to meet a quota, the employer must, at the
time of discipline, provide the employee with a written copy of the most recent
90 days of the employee's own personal work speed data. If an employer dismisses an employee for any
reason, they must, at the time of firing, provide the employee with a written
copy of the most recent 90 days of the employee's own personal work speed data. An employer shall not retaliate against an
employee for requesting data under this subdivision.
Subd. 5. High
rates of injury. If a
particular work site or employer is found to have an employee incidence rate in
a given year, based on data reported to the federal Occupational Safety and
Health Administration, of at least 30 percent higher than that year's average
incidence rate for the relevant NAICS code's nonfatal occupational injuries and
illnesses by industry and case types, released by the United States Bureau of
Labor Statistics, the commissioner shall open an investigation of violations
under this section. The employer must
also hold its safety committee meetings as provided under section 182.676
monthly until, for two consecutive years, the work site or employer does not
have an employee incidence rate 30 percent higher than the average yearly
incidence rate for the relevant NAICS code.
Subd. 6. Enforcement. (a) Subdivision 2, paragraphs (a) to
(c), subdivision 4, and subdivision 5 shall be enforced by the commissioner
under sections 182.66, 182.661, and 182.669.
A violation of this section is subject to the penalties provided under
sections 182.666 and 182.669.
(b) A current or former
employee aggrieved by a violation of this section may bring a civil cause of
action for damages and injunctive relief to obtain compliance with this
section, may receive other equitable relief as determined by a court, including
reinstatement with back pay, and may, upon prevailing in the action, recover
costs and reasonable attorney fees in that action. A cause of action under this section must be
commenced within one year of the date of the violation.
(c) Nothing in this section
shall be construed to prevent local enforcement of occupational health and
safety standards that are more restrictive than this section.
Sec. 2. SEVERABILITY.
If any provision of this
act or the application thereof to any person or circumstance is held invalid,
the invalidity does not affect other provisions or applications of the act
which can be given effect without the invalid provision or application.
ARTICLE 10
CONSTRUCTION WORKER WAGE PROTECTIONS
Section 1. Minnesota Statutes 2022, section 177.27, subdivision 1, is amended to read:
Subdivision 1. Examination of records. The commissioner may enter during reasonable office hours or upon request and inspect the place of business or employment of any employer of employees working in the state, to examine and inspect books, registers, payrolls, and other records of any employer that in any way relate to wages, hours, and other conditions of employment of any employees. The commissioner may transcribe any or all of the books, registers, payrolls, and other records as the commissioner deems necessary or appropriate and may question the employees to ascertain compliance with sections 177.21 to 177.435 and 181.165. The commissioner may investigate wage claims or complaints by an employee against an employer if the failure to pay a wage may violate Minnesota law or an order or rule of the department.
Sec. 2. Minnesota Statutes 2022, section 177.27, subdivision 4, is amended to read:
Subd. 4. Compliance
orders. The commissioner may issue
an order requiring an employer to comply with sections 177.21 to 177.435,
181.02, 181.03, 181.031, 181.032, 181.101, 181.11, 181.13, 181.14, 181.145,
181.15, 181.165, 181.172, paragraph (a) or (d), 181.275, subdivision 2a,
181.722, 181.79, and 181.939 to 181.943, or with any rule promulgated under
section 177.28. The commissioner shall
issue an order requiring an employer to comply with sections 177.41 to 177.435 or
181.165 if the violation is repeated.
For purposes of this subdivision only, a violation is repeated if at any
time during the two years that preceded the date of violation, the commissioner
issued an order to the employer for violation of sections 177.41 to 177.435 or
181.165 and the order is final or the commissioner and the employer have
entered into a settlement agreement that required the employer to pay back
wages that were required by sections 177.41 to 177.435. The department shall serve the order upon the
employer or the employer's authorized representative in person or by certified
mail at the employer's place of business.
An employer who wishes to contest the order must file written notice of
objection to the order with the commissioner within 15 calendar days after
being served with the order. A contested
case proceeding must then be held in accordance with sections 14.57 to 14.69 or
181.165. If, within 15 calendar days
after being served with the order, the employer fails to file a written notice
of objection with the commissioner, the order becomes a final order of the
commissioner. For the purposes of
this subdivision, an employer includes a contractor that has assumed a
subcontractor's liability within the meaning of section 181.165.
Sec. 3. Minnesota Statutes 2022, section 177.27, subdivision 8, is amended to read:
Subd. 8. Court actions; suits brought by private parties. An employee may bring a civil action seeking redress for a violation or violations of sections 177.21 to 177.44 and 181.165 directly to district court. An employer who pays an employee less than the wages and overtime compensation to which the employee is entitled under sections 177.21 to 177.44 or a contractor that has assumed a subcontractor's liability as required by section 181.165, is liable to the employee for the full amount of the wages, gratuities, and overtime compensation, less any amount the employer or contractor is able to establish was actually paid to the employee and for an additional equal amount as liquidated damages. In addition, in an action under this subdivision the employee may seek damages and other appropriate relief provided by subdivision 7 and otherwise provided by law. An agreement between the employee and the employer to work for less than the applicable wage is not a defense to the action.
Sec. 4. Minnesota Statutes 2022, section 177.27, subdivision 9, is amended to read:
Subd. 9. District court jurisdiction. Any action brought under subdivision 8 may be filed in the district court of the county wherein a violation or violations of sections 177.21 to 177.44 or 181.165 are alleged to have been committed, where the respondent resides or has a principal place of business, or any other court of competent jurisdiction. The action may be brought by one or more employees.
Sec. 5. Minnesota Statutes 2022, section 177.27, subdivision 10, is amended to read:
Subd. 10. Attorney fees and costs. In any action brought pursuant to subdivision 8, the court shall order an employer who is found to have committed a violation or violations of sections 177.21 to 177.44 or 181.165 to pay to the employee or employees reasonable costs, disbursements, witness fees, and attorney fees.
Sec. 6. [181.165]
WAGE PROTECTION; CONSTRUCTION WORKERS.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Claimant"
means any person claiming unpaid wages, fringe benefits, penalties, or
resulting liquidated damages that are owed as required by law, including any
applicable statute, regulation, rule, ordinance, government resolution or
policy, contract, or other legal authority.
(c)
"Commissioner" refers to the commissioner of labor and industry.
(d) "Construction
contract" means a written or oral agreement for the construction,
reconstruction, erection, alteration, remodeling, repairing, maintenance,
moving, or demolition of any building, structure, or improvement, or relating
to the excavation of or development or improvement to land. For purposes of this section, a construction
contract shall not include a home improvement contract for the performance of a
home improvement between a home improvement contractor and the owner of an
owner-occupied dwelling, and a home construction contract for one- or
two-family dwelling units except where such contract or contracts results in
the construction of more than ten one- or two-family owner-occupied dwellings
at one project site annually.
(e)
"Contractor" means any person, firm, partnership, corporation,
association, company, organization, or other entity, including a construction
manager, general or prime contractor, joint venture, or any combination
thereof, along with their successors, heirs, and assigns, which enters into a
construction contract with an owner. An
owner shall be deemed a contractor and liable as such under this section if
said owner has entered into a construction contract with more than one
contractor or subcontractor on any construction site.
(f) "Owner"
means any person, firm, partnership, corporation, association, company,
organization, or other entity, or a combination of any thereof, with an
ownership interest, whether the interest or estate is in fee, as vendee under a
contract to purchase, as lessee or another interest or estate less than fee
that causes a building, structure, or improvement, new or existing, to be
constructed, reconstructed, erected, altered, remodeled, repaired, maintained,
moved, or demolished or that causes land to be excavated or otherwise developed
or improved.
(g)
"Subcontractor" means any person, firm, partnership, corporation,
company, association, organization or other entity, or any combination thereof,
that is a party to a contract with a contractor or party to a contract with the
contractor's subcontractors at any tier to perform any portion of work within
the scope of the contractor's construction contract with the owner, including
where the subcontractor has no direct privity of contract with the contractor. When the owner is deemed a contractor,
subcontractor also includes the owner's contractors.
Subd. 2. Assumption
of liability. (a) A
contractor entering into a construction contract shall assume and is liable for
any unpaid wages, fringe benefits, penalties, and resulting liquidated damages
owed to a claimant or third party acting on the claimant's behalf by a
subcontractor at any tier acting under, by, or for the contractor or its
subcontractors for the claimant's performance of labor.
(b) A contractor or any other
person shall not evade or commit any act that negates the requirements of this
section. No agreement by an employee or
subcontractor to indemnify a contractor or otherwise release or transfer
liability assigned to a contractor under this section shall be valid. However, if a contractor has satisfied unpaid
wage claims of an employee and incurred fees and costs in doing so, such
contractor may then pursue actual and liquidated damages from any subcontractor
who caused the contractor to incur those damages.
(c) A contractor shall
not evade liability under this section by claiming that a person is an
independent contractor rather than an employee of a subcontractor unless the
person meets the criteria required by section 181.723, subdivision 4.
Subd. 3. Enforcement. (a) In the case of a complaint filed
with the commissioner under section 177.27, subdivision 1, or a private civil
action by an employee under section 177.27, subdivision 8, such employee may
designate any person, organization, or collective bargaining agent authorized
to file a complaint with the commissioner or in court pursuant to this section
to make a wage claim on the claimant's behalf.
(b) In the case of an
action against a subcontractor, the contractor shall be jointly and severally
liable for any unpaid wages, benefits, penalties, and any other remedies
available pursuant to this section.
(c) Claims shall be
brought consistent with section 541.07, clause (5), for the initiation of such
claim under this section in a court of competent jurisdiction or the filing of
a complaint with the commissioner or attorney general. The provisions of this section do not
diminish, impair, or otherwise infringe on any other right of an employee to
bring an action or file a complaint against any employer.
Subd. 4. Payroll
records; data. (a) Within 15
days of a request by a contractor to a subcontractor, the subcontractor, and
any other subcontractors hired under contract to the subcontractor shall
provide payroll records, which, at minimum, contain all lawfully required
information for all workers providing labor on the project. The payroll records shall contain sufficient
information to apprise the contractor or subcontractor of such subcontractor's
payment of wages and fringe benefit contributions to a third party on the
workers' behalf. Payroll records shall
be marked or redacted to an extent only to prevent disclosure of the employee's
Social Security number.
(b) Within 15 days of a
request of a contractor or a contractor's subcontractor, any subcontractor that
performs any portion of work within the scope of the contractor's construction
contract with an owner shall provide:
(1) the names of all
employees and independent contractors of the subcontractor on the project,
including the names of all those designated as independent contractors and,
when applicable, the name of the contractor's subcontractor with whom the
subcontractor is under contract;
(2) the anticipated
contract start date;
(3) the scheduled
duration of work;
(4) when applicable,
local unions with which such subcontractor is a signatory contractor; and
(5) the name and
telephone number of a contact for the subcontractor.
(c) Unless otherwise
required by law, a contractor or subcontractor shall not disclose an
individual's personal identifying information to the general public, except
that the contractor or subcontractor can confirm that the individual works for
them and provide the individual's full name.
Subd. 5. Payments
to contractors and subcontractors. Nothing
in this section shall alter the owner's obligation to pay a contractor, or a
contractor's obligation to pay a subcontractor as set forth in section 337.10,
except as expressly permitted by this section.
Subd. 6. Exemptions. (a) Nothing in this section shall be
deemed to diminish the rights, privileges, or remedies of any employee under
any collective bargaining agreement. This
section shall not apply to any contractor or subcontractor that is a signatory
to a bona fide collective bargaining agreement with a building and construction
trade labor organization that: (1)
contains a grievance procedure that may be used to recover unpaid wages on
behalf of employees covered by the agreement; and (2) provides for collection
of unpaid contributions to fringe benefit trust funds established pursuant to
United States Code, title 29, section 186(c)(5)-(6), by or on behalf of such
trust funds.
(b) This section does
not apply to work for which prevailing wage rates apply under sections 177.41
to 177.44.
Sec. 7. Minnesota Statutes 2022, section 181.171, subdivision 4, is amended to read:
Subd. 4. Employer; definition. "Employer" means any person having one or more employees in Minnesota and includes the state or a contractor that has assumed a subcontractor's liability within the meaning of section 181.165 and any political subdivision of the state. This definition applies to this section and sections 181.02, 181.03, 181.031, 181.032, 181.06, 181.063, 181.10, 181.101, 181.13, 181.14, and 181.16.
Sec. 8. EFFECTIVE
DATE.
Sections 1 to 7 are effective August 1, 2023, and apply to contracts or agreements entered into, renewed, modified, or amended on or after that date."
Delete the title and insert:
"A bill for an act relating to labor and industry; establishing a biennial budget for the Department of Labor and Industry, Bureau of Mediation Services, Public Employment Relations Board, and Workers' Compensation Court of Appeals; modifying labor and employment provisions; authorizing rulemaking; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 13.43, subdivision 6; 175.16, subdivision 1; 177.26, subdivisions 1, 2; 177.27, subdivisions 4, 7; 178.01; 178.011, subdivision 7; 178.03, subdivision 1; 178.11; 179.86, subdivisions 1, 3, by adding subdivisions; 179A.041, by adding a subdivision; 181.14, subdivision 1; 181.635, subdivisions 1, 2, 3, 4, 6; 181.85, subdivisions 2, 4; 181.86, subdivision 1; 181.87, subdivisions 2, 3, 7; 181.88; 181.89, subdivision 2, by adding a subdivision; 181.9435, subdivision 1; 181.9436; 182.654, subdivision 11; 182.666, subdivisions 1, 2, 3, 4, 5, by adding a subdivision; 326B.092, subdivision 6; 326B.096; 326B.103, subdivision 13, by adding subdivisions; 326B.106, subdivisions 1, 4, by adding a subdivision; 326B.802, subdivision 15; 341.21, subdivisions 2a, 2b, 2c, 4f, 7, by adding a subdivision; 341.221; 341.25; 341.27; 341.28, subdivisions 2, 3, by adding subdivisions; 341.30, subdivision 4; 341.32, subdivision 2; 341.321; 341.33; 341.355; proposing coding for new law in Minnesota Statutes, chapters 13; 179; 181; 182; 341; repealing Minnesota Statutes 2022, section 177.26, subdivision 3."
With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.
The
report was adopted.
Moller from the Committee on Public Safety Finance and Policy to which was referred:
H. F. No. 2890, A bill for an act relating to state government; amending certain judiciary, public safety, corrections, human rights, firearm, and 911 Emergency Communication System statutory policy provisions; providing for reports; authorizing rulemaking; appropriating money for judiciary, courts, civil legal services, Guardian ad Litem Board, Uniform Laws Commission, Board on Judicial Standards, Board of Public Defense, human rights, sentencing guidelines, public safety, emergency management, criminal apprehension, fire marshal, firefighters, Office of Justice programs, Peace Officer Standards and Training Board, Private Detective Board, corrections, incarceration and release, probation, juveniles, and Ombudsperson for Corrections; amending Minnesota Statutes 2022, sections 13.072, subdivision 1; 244.03; 244.05, subdivisions 1b, 2, 5; 297I.06, subdivision 1; 299A.38; 299A.41, subdivision 3; 299A.52; 299N.02, subdivision 3; 326.32, subdivision 10; 326.3381, subdivision 3; 363A.09, subdivisions 1, 2, by adding a subdivision; 403.02, subdivisions 7, 9a, 11b, 16a, 17, 17c, 18, 19, 19a, 20, 20a, 21, by adding subdivisions; 403.025; 403.03, subdivision 2; 403.05; 403.06; 403.07; 403.08; 403.09, subdivision 2; 403.10, subdivisions 2, 3; 403.11; 403.113; 403.15, subdivisions 1, 2, 3, 4, 5, 6, by adding a subdivision; 611.23; 611A.211, subdivision 1; 611A.31, subdivisions 2, 3, by adding a subdivision; 611A.32; 624.712, by adding a subdivision; 624.713, subdivision 1; 624.7131, subdivisions 4, 5, 7, 9, 11; 624.7132, subdivisions 4, 5, 8, 12, 15; proposing coding for new law in Minnesota Statutes, chapters 244; 299A; 299C; 624; 626; repealing Minnesota Statutes 2022, sections 299C.80, subdivision 7; 403.02, subdivision 13; 403.09, subdivision 3; 624.7131, subdivision 10; 624.7132, subdivisions 6, 14.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
PUBLIC SAFETY APPROPRIATIONS
|
Section 1. APPROPRIATIONS. |
The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second year"
is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
Appropriations for the fiscal year ending June 30, 2023, are effective
the day following final enactment.
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
Available for the
Year |
|
|
|
|
|
Ending June 30 |
|
|
|
|
2023 |
2024 |
2025 |
|
Sec. 2. SENTENCING
GUIDELINES |
|
$1,549,000
|
|
$1,488,000 |
The general fund base is
$1,071,000 in fiscal year 2026 and $1,071,000 in fiscal year 2027.
|
Sec. 3. PUBLIC SAFETY |
|
|
|
|
|
Subdivision
1. Total
Appropriation |
$1,000,000 |
|
$295,624,000 |
|
$279,032,000 |
|
Appropriations by Fund |
|||
|
|
2023 |
2024 |
2025 |
|
General |
1,000,000 |
199,570,000 |
189,449,000 |
|
Special Revenue
|
|
18,074,000 |
18,327,000 |
|
State
Government Special Revenue |
|
103,000 |
103,000 |
|
Environmental |
|
119,000 |
127,000 |
|
Trunk Highway |
|
2,429,000 |
2,429,000 |
|
911 Fund |
|
75,329,000 |
68,597,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Public Safety Administration |
1,000,000 |
|
2,500,000 |
|
2,500,000 |
(a) Public Safety Officer Survivor Benefits
$1,000,000 in fiscal year
2023, $1,500,000 in fiscal year 2024, and $1,500,000 in fiscal year 2025 are
for payment of public safety officer survivor benefits under Minnesota
Statutes, section 299A.44. If the
appropriation for either year is insufficient, the appropriation for the other
year is available.
(b) Soft Body Armor Reimbursements
$1,000,000 each year is for
soft body armor reimbursements under Minnesota Statutes, section 299A.38.
|
Subd. 3. Emergency
Management |
|
9,080,000 |
|
6,166,000 |
|
Appropriations by Fund |
||
|
General |
8,961,000 |
6,039,000 |
|
Environmental |
119,000 |
127,000 |
(a) Supplemental Nonprofit Security Grants
$250,000 each year is for
supplemental nonprofit security grants under this paragraph. This appropriation is onetime.
Nonprofit organizations
whose applications for funding through the Federal Emergency Management
Agency's nonprofit security grant program 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.
(b) School Safety Center
$300,000 each year is to
fund two new school safety specialists at the Minnesota School Safety Center.
(c) Local Government Emergency Management
$2,000,000 each year is to
award grants in equal amounts to the emergency management organization of the
87 counties, 11 federally recognized Tribes, and four cities of the first class
for reimbursement of planning and preparedness activities, including capital
purchases, that are eligible under federal emergency management grant
guidelines. Local emergency management
organizations must make a request to Homeland Security and Emergency Management
Division (HSEM) for these grants. Current
local funding for emergency management and preparedness activities may not be
supplanted by these additional state funds.
Of this amount, up to one percent may be used for the administrative
costs of the agency. Funds appropriated
for this purpose do not cancel and are available until expended. Unspent money may be redistributed to
eligible local emergency management organizations. This appropriation is onetime.
By March 15, 2024, 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 give detailed information on how the grantees used the money
received.
(d) Lake Superior Chippewa Tribal Emergency Management Coordinator
$145,000 each year is for a
grant to the Grand Portage Band of Lake Superior Chippewa to establish and
maintain a Tribal emergency management coordinator under Minnesota Statutes,
section 12.25.
(e) Grand Portage Band of Lake Superior
Chippewa Tribe Coast Guard Services
$3,000,000 in fiscal year
2024 is for a grant to the Grand Portage Band of Lake Superior Chippewa to
purchase equipment and fund a position for coast guard services off the north
shore of Lake Superior. This is a
onetime appropriation.
|
Subd. 4. Criminal Apprehension |
99,637,000 |
|
96,679,000 |
|
Appropriations by Fund |
||
|
General |
97,201,000 |
94,243,000 |
|
State
Government Special Revenue |
7,000 |
7,000 |
|
Trunk Highway |
2,429,000 |
2,429,000 |
The base from the general fund
is $94,152,000 in fiscal year 2026 and $94,157,000 in fiscal year 2027.
(a) DWI Lab Analysis; Trunk Highway Fund
Notwithstanding Minnesota
Statutes, section 161.20, subdivision 3, $2,429,000 the first year and
$2,429,000 the second year are from the trunk highway fund for staff and
operating costs for laboratory analysis related to driving-while-impaired
cases.
(b) State Fraud Unit
$1,300,000 each year is for
staff and operating costs to create the State Fraud Unit to centralize the
state's response to activities of fraud with an estimated impact of $100,000 or
more.
(c) FBI Compliance, Critical IT
Infrastructure, and Cybersecurity Upgrades
$3,000,000 the first year
and $2,000,000 the second year are for cybersecurity investments, critical
infrastructure upgrades, and Federal Bureau of Investigation audit compliance.
(d) Costs of Medical Examinations
$3,967,000 in fiscal year
2024 and $3,767,000 in fiscal year 2025 are to reimburse qualified health care
providers for the expenses associated with medical examinations administered to
victims of criminal sexual conduct as required under Minnesota Statutes,
section 609.35. The base for this
program is $3,771,000 in fiscal year 2026 and $3,776,000 in fiscal year 2027.
(e) Clean Slate
$3,737,000 in fiscal year
2024 and $190,000 in fiscal year 2025 are for costs associated with automatic
expungements and changes to expungements by petition.
(f) Firearm Eligibility Background Checks
$70,000 in fiscal year 2024
is to purchase and integrate information technology hardware and software
necessary to process additional firearms eligibility background checks.
(g) Firearm Storage Grants
$250,000 in fiscal year 2024
is for grants to local or state law enforcement agencies to support the safe
and secure storage of firearms owned by persons subject to extreme risk
protection orders. The commissioner must
apply for a grant from the Byrne State Crisis Intervention Program to
supplement the funds appropriated by the legislature for implementation of
Minnesota Statutes, sections 624.7171 to 624.7178 and 62.8481. Of the federal funds received, the
commissioner must dedicate at least an amount that is equal to this
appropriation to fund safe and secure firearms storage grants provided for
under this paragraph. This is onetime
appropriation.
(h) Use of Force Investigations
$4,419,000 each year is for
operation of the independent Use of Force Investigations Unit pursuant to
Minnesota Statutes, section 299C.80.
(i) Fusion Center Report
$115,000 each year is to
fund the fusion center report mandated under Minnesota Statutes, section
299C.055. The appropriation is added to
the agency's base.
|
Subd. 5. Fire
Marshal |
|
16,013,000 |
|
16,272,000 |
|
Appropriations by Fund |
||
|
General |
4,184,000 |
4,190,000 |
|
Special Revenue |
11,829,000
|
12,082,000
|
The special revenue fund
appropriation is from the fire safety account in the special revenue fund and
is for activities under Minnesota Statutes, section 299F.012. The base appropriation from this account is
$12,082,000 beginning in fiscal year 2026.
(a) Hazardous Materials and Emergency Response Teams
$453,000 each year from the
fire safety account in the special revenue fund for hazardous materials and
emergency response teams.
(b) Hometown Heroes Assistance Program
$4,000,000 each year from
the general fund is for grants to the Minnesota Firefighter Initiative to fund
the hometown heroes assistance program established in Minnesota Statutes,
section 299A.477.
|
Subd. 6. Firefighter
Training and Education Board |
|
6,175,000 |
|
6,175,000 |
|
Appropriations by Fund |
||
|
Special Revenue |
6,175,000 |
6,175,000 |
The special revenue fund
appropriation is from the fire safety account in the special revenue fund and
is for activities under Minnesota Statutes, section 299F.012.
|
(a) Firefighter Training and Education |
|
|
|
|
$4,500,000 each year from
the special revenue fund is for firefighter training and education.
(b) Task Force 1
$1,125,000 each year is for
the Minnesota Task Force 1.
(c) Task Force 2
$200,000 each year is for
Minnesota Task Force 2.
(d) Air Rescue
$350,000 each year is for
the Minnesota Air Rescue Team.
|
(e) Unappropriated Revenue |
|
|
|
|
Any additional
unappropriated money collected in fiscal year 2023 is appropriated to the
commissioner of public safety for the purposes of Minnesota Statutes, section
299F.012. The commissioner may transfer
appropriations and base amounts between activities in this subdivision.
|
Subd. 7. Alcohol and Gambling Enforcement |
3,500,000 |
|
3,754,000 |
|
Appropriations by Fund |
||
|
General |
3,430,000 |
3,684,000 |
|
Special Revenue
|
70,000 |
70,000 |
$70,000 each year is from
the lawful gambling regulation account in the special revenue fund.
|
Subd. 8. Office
of Justice Programs |
|
82,390,000 |
|
77,889,000 |
|
Appropriations by Fund |
||
|
General |
82,294,000 |
77,793,000 |
|
State
Government Special Revenue |
96,000 |
96,000 |
(a) Domestic and Sexual Violence Housing
$1,250,000 each year is to
establish a Domestic Violence Housing First grant program to provide resources
for survivors of violence to access safe and stable housing and for staff to
provide mobile advocacy and expertise in housing resources in their community,
and a Minnesota Domestic and Sexual Violence Transitional Housing program to
develop and support medium to long term transitional housing for survivors of
domestic and sexual violence with supportive services.
(b) Office for Missing and Murdered African
American Women
$1,248,000 each year is to
establish and maintain the Minnesota Office for Missing and Murdered African
American Women.
(c) Office of Restorative Practices
$500,000 each year is to
establish and maintain the Office of Restorative Practices.
(d) Crossover and Dual-Status Youth Model
Grants
$1,000,000 each year is to
provide grants to local units of government to initiate or expand crossover
youth practices model and dual-status youth programs that provide services for
youth who are involved with or at risk of becoming involved with both the child
welfare and juvenile justice systems, in accordance with the Robert F. Kennedy
National Resource Center for Juvenile Justice model.
(e) Restorative Practices Initiatives Grants
$5,000,000 each year is for
grants to establish and support restorative practices initiatives pursuant to
Minnesota Statutes, section 260B.020, subdivision 6. The base for this activity is $2,500,000
beginning in fiscal year 2026.
(f) Ramsey County Youth Treatment Homes
Acquisition and Betterment
$5,000,000 in fiscal year
2024 is for a grant to Ramsey County to establish, with input from community
stakeholders, including impacted youth and families, up to seven intensive
trauma‑informed therapeutic treatment homes in Ramsey County that are
licensed by the Department of Human Services, culturally specific,
community-based, and can be secured. These
residential spaces must provide intensive treatment and intentional healing for
youth as ordered by the court as part of the disposition of a case in juvenile
court.
(g) Ramsey County Violence Prevention
$1,250,000 each year is for
a grant to Ramsey County to award grants to develop new and further enhance
existing community‑based organizational support through violence
prevention and community wellness grants.
Grantees must use the money to create family support groups and
resources to support families during the time a young person is placed out of
home following a juvenile delinquency adjudication and support the family
through the period of postplacement reentry; create community-based respite
options for conflict or crisis de-escalation to prevent incarceration or
further systems involvement for families; and establish additional meaningful
employment opportunities for systems-involved youth.
(h) Youth Intervention Programs
$7,500,000 each year is for
youth intervention programs under Minnesota Statutes, section 299A.73.
(i) Community-Co-Responder Grants
$3,000,000 each year is for
grants to local law enforcement agencies and local governments to build or
maintain partnerships with mental health professionals, mental health
practitioners, peer specialists, or mobile crisis teams in order to respond to
people experiencing or having experienced a mental health crisis. The Office of Justice Programs must
prioritize grants to law enforcement agencies and local governments that
partner with mobile crisis teams providing mobile crisis services pursuant to
Minnesota Statutes, sections 245.469 and 256B.0624. Grant
proposals should define the
types of calls to which mental health professionals, mental health
practitioners, peer specialists, or mobile crisis teams will respond; the types
of services that will be provided; the training that will be provided; and the types
of records that will be kept. The
proposal should also address the respective roles of the peace officers and
mental health workers, including but not limited to their respective roles in
relation to transport holds, and data that will be collected to demonstrate the
impact of the partnership. The base for
this activity is $4,500,000 beginning in fiscal year 2026.
(j) Prosecutor Training
$100,000 each year is for a
grant to the Minnesota County Attorneys Association to be used for
prosecutorial and law enforcement training, including trial school training and
train‑the‑trainer courses. All
training funded with grant proceeds must contain blocks of instruction on
racial disparities in the criminal justice system, collateral consequences to
criminal convictions, and trauma-informed responses to victims. This is a onetime appropriation.
The Minnesota County
Attorneys Association must report to the chairs and ranking minority members of
the legislative committees with jurisdiction over public safety policy and
finance on the training provided with grant proceeds, including a description of
each training and the number of prosecutors and law enforcement officers who
received training. The report is due by
February 15, 2025. The report may
include trainings scheduled to be completed after the date of submission with
an estimate of expected participants.
(k) Violence Prevention Research Center
$250,000 each year is to
fund a violence prevention project research center that operates as a 501(c)(3)
nonprofit organization and is a nonpartisan research center dedicated to
reducing violence in society and using data and analysis to improve criminal
justice‑related policy and practice in Minnesota. The research center must place an emphasis on
issues related to deaths and injuries involving firearms.
Beginning January 15, 2025,
the grant recipient must submit an annual report to the chairs and ranking
minority members of the legislative committees with jurisdiction over public
safety policy and finance on its work and findings. The report must include a description of the
data reviewed, an analysis of that data, and recommendations to improve
criminal justice-related policy and practice in Minnesota with specific
recommendations to address deaths and injuries involving firearms.
(l) First Responder Mental Health Curriculum
$25,000 in fiscal year 2024
is for a grant to a nonprofit graduate school that trains mental health
professionals. The grantee must use the
grant to develop a curriculum for a 24-week certificate to train licensed
therapists to understand the nuances, culture, and stressors of the work
environments of first responders to allow those therapists to provide effective
treatment to first responders in distress.
The grantee must collaborate with first responders who are familiar with
the psychological, cultural, and professional issues of their field to develop
the curriculum and promote it upon completion.
(m) First Responder Therapy Grant
$100,000 in fiscal year
2024 is to issue a grant to a nonprofit organization that operates at a class A
race track and provides equine experiential mental health therapy to first
responders suffering from job-related trauma and post-traumatic stress disorder. This is a onetime appropriation.
For purposes of this
section, a "first responder" is 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,
subdivision 7.
The grant recipient must
report to the commissioner of public safety and the chairs and ranking minority
members of the house of representatives and senate committees overseeing public
safety policy and finance on the equine experiential mental health therapy
provided to first responders under this section. 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, 2024,
and a final report is due by January 15, 2025.
(n) Peer-to-Peer First Responder Mental
Health Treatment Grant
$250,000 in fiscal year
2024 is to provide a grant to a nonprofit that provides and facilitates
peer-to-peer mental health treatment for present and former law enforcement
officers and first responders facing employment-related mental health issues,
utilizing interactive group activity and other methods. This is a onetime appropriation.
(o) Report on Approaches to Address Illicit Drug Use in Minnesota
$118,000 each year is to
enter into an agreement with Rise Research LLC for a study and set of reports
on illicit drug use in Minnesota describing current responses to that use,
reviewing alternative approaches utilized in other jurisdictions, and making
policy and funding recommendations for a holistic and effective response to
illicit drug use and the illicit drug trade.
The agreement must establish a budget and schedule with clear
deliverables. This appropriation is
onetime.
The study must include a
review of current policies, practices, and funding; identification of
alternative approaches utilized effectively in other jurisdictions; and policy
and funding recommendations for a response to illicit drug use and the illicit
drug trade that reduces and, where possible, prevents harm and expands
individual and community health, safety, and autonomy. Recommendations must consider impacts on
public safety, racial equity, accessibility of health and ancillary supportive
social services, and the intersections between drug policy and mental health,
housing and homelessness, overdose and infectious disease, child welfare, and
employment.
Rise Research may
subcontract and coordinate with other organizations or individuals to conduct
research, provide analysis, and prepare the reports required by this section.
Rise Research shall submit
reports to the chairs and ranking minority members of the legislative
committees with jurisdiction over public safety finance and policy, human
services finance and policy, health finance and policy, and judiciary finance
and policy. Rise Research shall submit
an initial report by February 15, 2024, and a final report by March 1, 2025.
(p) Legal Representation for Children
$150,000 each year is for a
grant to an organization that provides legal representation for children in
need of protection or services and children in out-of-home placement. The grant is contingent upon a match in an
equal amount from nonstate funds. The
match may be in kind, including the value of volunteer attorney time, in cash,
or a combination of the two. These
appropriations are in addition to any other appropriations for the legal
representation of children. This
appropriation is onetime.
(q) Mental Health Services for First
Responders Grant Program
$1,000,000 each year is to
administer the mental health services for first responders grant program under
section 21.
(r) Pretrial Release Study and Report
$250,000 each year are for
a grant to the Minnesota Justice Research Center to study and report on
pretrial release practices in Minnesota and other jurisdictions, including but
not limited to the use of bail as a condition of pretrial release. This appropriation is onetime.
(s) Increased Staffing
$667,000 in fiscal year
2024 and $1,334,000 in fiscal year 2025 are to increase staffing in the Office
of Justice Programs for grant monitoring and compliance; provide training and
technical assistance to grantees and potential grantees; conduct community
outreach and engagement to improve the experiences and outcomes of applicants,
grant recipients, and crime victims throughout Minnesota; expand the Minnesota
Statistical Analysis Center; and increase staffing for the crime victim
reimbursement program.
(t) Administration Costs
Up to 2.5 percent of the
grant funds appropriated in this subdivision may be used by the commissioner to
administer the grant program.
|
Subd. 9. Emergency
Communication Networks |
|
76,329,000 |
|
69,597,000 |
|
Appropriations by Fund |
||
|
General |
1,000,000 |
1,000,000 |
|
911 Fund |
75,329,000 |
68,597,000 |
|
(a) Public Safety Answering Points |
|
|
|
|
$28,011,000 the first year
and $28,011,000 the second year shall be distributed as provided under
Minnesota Statutes, section 403.113, subdivision 2.
(b) Transition to Next Generation 911
$7,000,000 in the first
year is to support Public Safety Answering Points' transition to Next
Generation 911. Funds may be used for
planning, cybersecurity, GIS data collection and maintenance, 911 call
processing equipment, and new Public Safety Answering Point technology to
improve service delivery. Funds shall be
distributed by October 1, 2023, as provided in Minnesota Statutes, section
403.113, subdivision 2. Funds are
available until June 30, 2025, and any unspent funds must be returned to the
911 emergency telecommunications service account. This is a onetime appropriation.
Each eligible entity receiving
these funds must provide a detailed report on how the funds were used to the
commissioner of public safety by August 1, 2025.
(c) ARMER State Backbone Operating Costs
$10,116,000 the first year
and $10,384,000 the second year are transferred to the commissioner of
transportation for costs of maintaining and operating the statewide radio
system backbone.
(d) Statewide Emergency Communications Board
$1,000,000 each year is to
the Statewide Emergency Communications Board.
Funds may be used for operating costs, to provide competitive grants to
local units of government to fund enhancements to a communication system,
technology, or support activity that directly provides the ability to deliver
the 911 call between the entry point to the 911 system and the first responder,
and to further the strategic goals set forth by the SECB Statewide
Communication Interoperability Plan.
(e) Statewide Public Safety Radio Communication System Equipment Grants
$1,000,000 each year from
the general fund is for grants to local units of government, federally
recognized Tribal entities, and state agencies participating in the statewide
Allied Radio Matrix for Emergency Response (ARMER) public safety radio communication
system established under Minnesota Statutes, section 403.36, subdivision 1e. The grants must be used to purchase or
upgrade portable radios, mobile radios, and related equipment that is
interoperable with the 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 Department of Public Safety Emergency Communication Networks
division, in consultation with the Statewide Emergency Communications Board,
must administer the grant program. This
appropriation is available until June 30, 2026.
This is a onetime appropriation.
|
Sec. 4. PEACE OFFICER STANDARDS AND TRAINING (POST) BOARD |
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$13,286,000 |
|
$12,892,000 |
The general fund base is
$6,892,000 beginning in fiscal year 2026.
The amounts that may be spent for each purpose are specified in the
following subdivisions.
|
Subd. 2. Peace
Officer Training Reimbursements |
|
|
|
|
$2,949,000 each year is for
reimbursements to local governments for peace officer training costs.
|
Sec. 5. PRIVATE DETECTIVE BOARD |
|
$758,000 |
|
$688,000 |
|
Sec. 6. CORRECTIONS
|
|
|
|
|
|
Subdivision
1. Total Appropriation |
$12,643,000 |
|
$621,203,000 |
|
$658,025,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Incarceration
and Prerelease Services |
$12,643,000 |
|
$525,389,000 |
|
$557,640,000 |
(a) Body-worn Camera Program
$1,000,000 each year is to
create a body-worn camera program for corrections officers and intensive
supervised release agents.
(b) Prison Rape Elimination Act
$1,000,000 each year is for
Prison Rape Elimination Act (PREA) compliance.
(c) ARMER Radio System
$1,500,000 each year is to
upgrade and maintain the ARMER radio system within correctional facilities.
(d) Special Investigations Office
$999,000 in fiscal year 2024
and $1,865,000 in fiscal year 2025 are to establish and maintain a special
investigations office within the fugitive apprehension unit. The base for this purpose in fiscal year 2026
is $1,461,000. Beginning in fiscal year
2027, the base for this purpose is $1,462,000.
(e) Health Services
$1,072,000 in fiscal year
2024 and $2,542,000 in fiscal year 2025 are for the health services division to
provide 24-hour nursing capacity at correctional facilities in Rush City, Moose
Lake, St. Cloud, Lino Lakes, and Stillwater.
(f) Educational Programming and Support Services
$2,320,000 in fiscal year
2024 and $3,145,000 in fiscal year 2025 are for educational programming and
support services. Beginning in fiscal
year 2026, the base for this purpose is $2,901,000.
(g) Inmate External Communication Fees
$2,000,000 each year is to
reduce or eliminate the fees for inmates to communicate with nonincarcerated
persons.
(h) Supportive Arts for Incarcerated Persons
$150,000 in fiscal year
2024 is for supportive arts for incarcerated persons grants. Of this amount, up to ten percent is for
administration, including facility space, access, liaison, and monitoring. Any unencumbered balance remaining at the end
of the first year does not cancel but is available for the second year.
(i) Operating Deficiency
$12,643,000 in fiscal year
2023 is to meet financial obligations in fiscal year 2023. This is a onetime appropriation.
(j) Incarceration and Prerelease Services
Base Budget
The general fund base for
Department of Corrections incarceration and prerelease services is $552,247,000
in fiscal year 2026 and $552,553,000 in fiscal year 2027.
|
Subd. 3. Community Supervision and Postrelease Services |
48,400,000 |
|
49,484,000 |
(a) Tribal Nation Supervision
$2,750,000 each year is for
grants to Tribal Nations to provide supervision in tandem with the department.
(b) Alternatives to Incarceration
$160,000 each year is for
funding to Mower County to facilitate access to community treatment options
under the alternatives to incarceration program.
(c) Peer Support Project
$266,000 each year is to
create a reentry peer support project.
(d) Postrelease Sex Offender Program
$2,415,000 each year is for
postrelease sex offender treatment.
(e) Regional and County Jails Study and
Report
$150,000 in fiscal year
2024 is to fund the commissioner's study and report on the consolidation or
merger of county jails and alternatives to incarceration for persons
experiencing mental health disorders.
(f) Work Release Programs
$500,000 each year is for
work release programs.
(g) County Discharge Plans
$1,080,000 each year is for
counties to establish or maintain jail reentry coordination programs. The commissioner shall develop a request for
proposal for counties to establish or maintain reentry programs. The commissioner must disburse 50 percent of
the funding to counties outside the metropolitan area, as defined in Minnesota
Statutes, section 473.121, subdivision 2.
The commissioner may retain up to five percent of the appropriation
amount to monitor and administer the grant under this section.
(h) Housing Initiatives
$2,130,000 each year is for
housing initiatives to support stable housing of incarcerated individuals upon
release. The base for this purpose in
fiscal year 2026 and beyond is $1,685,000.
Of this amount:
(1) $1,000,000 each year is
for housing stabilization prerelease services and program evaluation. The base for this purpose in fiscal year 2026
and beyond is $760,000;
(2) $500,000 each year is
for rental assistance for incarcerated individuals approaching release, on
supervised release, or on probation who are at risk of homelessness;
(3) $405,000 each year is
for culturally responsive trauma‑informed transitional housing. The base for this purpose in fiscal year 2026
and beyond is $200,000; and
(4) $225,000 each year is
for housing coordination activities.
(i) Community Supervision and Postrelease Services Base Budget
The general fund base for
Department of Corrections community supervision and postrelease services is
$48,371,000 in fiscal year 2026 and $48,271,000 in fiscal year 2027.
|
Subd. 4. Organizational, Regulatory, and Administrative Services |
47,414,000 |
|
50,901,000 |
(a) Public Safety Data Infrastructure
$1,000,000 each year s for
the development and management of statewide public safety information sharing
infrastructure and foundation technologies.
The department shall consult with county correctional supervision
providers, the Judicial Branch, the Minnesota Sheriff's Association, the
Minnesota Chiefs of Police Association, and the Bureau of Criminal
Apprehension, among other public safety stakeholders, in the development,
design, and implementation of a statewide public safety information sharing
infrastructure.
(b) Indeterminate Sentence Release Board
$40,000 each year is to
establish an indeterminate sentence release board to review eligible cases and
make release decisions for persons serving indeterminate sentences under the
authority of the commissioner of corrections.
(c) Clemency Review Commission
$986,000 each year is for
the Clemency Review Commission established under Minnesota Statutes, section
638.09.
(d) Organizational, Regulatory, and
Administrative Services Base Budget
The general fund base for
Department of Corrections organizational, regulatory, and administrative
services is $50,831,000 in fiscal year 2026 and $50,622,000 in fiscal year
2027.
|
Sec. 7. OMBUDSPERSON
FOR CORRECTIONS |
|
$1,105,000 |
|
$1,099,000 |
|
Sec. 8. BOARD
OF PUBLIC DEFENSE |
|
$750,000 |
|
$-0- |
$750,000 in fiscal year
2024 is for costs related to assisting offenders convicted of felony murder
with petitions for resentencing.
|
Sec. 9. BOARD
OF TRUSTEES OF THE MINNESOTA STATE COLLEGES AND UNIVERSITIES |
$500,000 |
|
$500,000 |
$500,000 each year is for
transfer to Metropolitan State University.
Of this amount, $280,000 each year is to provide juvenile justice
services and resources, including the Juvenile Detention Alternatives
Initiative, to Minnesota counties and federally recognized Tribes and $220,000
each year is for funding to local units of government, federally recognized
Tribes, and agencies to support local Juvenile Detention Alternatives
Initiatives, including but not limited to Alternatives to Detention. The unencumbered balance in the first year of
the biennium does not cancel but is available throughout the biennium.
|
Sec. 10. OFFICE
OF HIGHER EDUCATION |
|
$2,500,000 |
|
$-0- |
$2,500,000 in fiscal year
2024 is to provide reimbursement grants to postsecondary schools certified to
provide programs of professional peace officer education for providing
in-service training programs on the use of force, including deadly force, by peace
officers. Of this amount, up to 2.5
percent is for administration and monitoring of the program.
|
Sec. 11. SUPREME COURT |
|
$91,000 |
|
$182,000 |
$91,000 in fiscal year 2024
and $182,000 in fiscal year 2025 are for hearing costs related to extreme risk
protection orders.
Sec. 12. VIOLENT
CRIME REDUCTION AND CLEARANCE SUPPORT ACCOUNT.
$75,000,000 in fiscal
year 2024 is transferred from the general fund to the violent crime reduction
and clearance support account in the special revenue fund.
Sec. 13. COMMUNITY
CRIME AND VIOLENCE PREVENTION ACCOUNT.
$100,000,000 in fiscal
year 2024 is transferred from the general fund to the community crime and
violence prevention account in the special revenue fund.
Sec. 14. INTENSIVE
COMPREHENSIVE PEACE OFFICER EDUCATION AND TRAINING ACCOUNT.
$5,000,000 each year is
transferred from the general fund to the intensive comprehensive peace officer
education and training account in the special revenue fund. This transfer is onetime.
Sec. 15. GAAGIGE-MIKWENDAAGOZIWAG
REWARD ACCOUNT.
$250,000 in fiscal year
2024 is transferred from the general fund to the account for rewards for
information on missing and murdered Indigenous women, girls, boys, and Two-Spirit
relatives in the special revenue fund.
Sec. 16. COMMUNITY
SUPERVISION TARGETED INNOVATION ACCOUNT; TRANSFER.
$5,000,000 in fiscal
year 2024 and each year thereafter is transferred from the general fund to the
community supervision targeted innovation account in the special revenue fund.
Sec. 17. ACCOUNT
ESTABLISHED; TRANSFER; APPROPRIATION.
(a) A community
supervision account is established as a special revenue account in the state
treasury.
(b) $142,975,000 in
fiscal year 2024 and $142,971,000 in fiscal year 2025 and each year thereafter
are transferred from the general fund to the community supervision account in
the special revenue fund and appropriated to the commissioner of corrections
for offender community supervision. This
appropriation is added to the base.
Sec. 18. COMMUNITY
SUPERVISION TARGETED INNOVATION GRANTS; SPECIAL REVENUE ACCOUNT; APPROPRIATION.
(a) The community
supervision targeted innovation account is created in the special revenue fund
consisting of money deposited, donated, allotted, transferred, or otherwise
provided to the account. Of the amount
in the account, up to $5,000,000 each year is appropriated to the commissioner
of corrections for grants to be awarded to local and Tribal community
supervision agencies and nonprofits that provide services to persons on
community supervision.
(b) The commissioner shall
award grants to applicants that operate, or intend to operate, innovative
programs that target specific aspects of community supervision such as:
(1) access to community
options, including but not limited to inpatient substance use disorder
treatment for nonviolent controlled substance offenders to address and correct
behavior that is, or is likely to result in, a technical violation of the
conditions of release;
(2) reentry services;
(3) restorative justice;
(4) juvenile diversion;
(5) family-centered
approaches to supervision; and
(6) funding the cost of
mandated services and equipment as a means to improve compliance rates for
persons on community supervision.
(c) Grant recipients must
provide an annual report to the commissioner that includes:
(1) the services provided
by the grant recipient;
(2) the number of
individuals served in the previous year;
(3) measurable outcomes
of the recipient's program; and
(4) any other information
required by the commissioner.
(d) By January 15, 2025,
the commissioner shall report to the chairs and ranking minority members of the
legislative committees with jurisdiction over criminal justice policy and
finance on how the appropriations in this section were used. The report must detail the impact the
appropriations had on improving community supervision practices and outcomes.
(e) The commissioner may
use up to 2.5 percent of the annual appropriation to administer the grants.
Sec. 19. VIOLENT
CRIME REDUCTION AND CLEARANCE SUPPORT; SPECIAL REVENUE ACCOUNT; APPROPRIATION.
(a) The violent crime
reduction and clearance support account is created in the special revenue fund
consisting of money deposited, donated, allotted, transferred, or otherwise
provided to the account. Of the amount
in the account, $15,000,000 each year is appropriated to the Bureau of Criminal
Apprehension to support violent crime reduction strategies. This includes funding for staff and supplies
to enhance forensic, analytical, and investigations capacity, and financially
support investigative partnerships with other law enforcement agencies to
conduct forensic and investigatory work to expedite clearance rates.
(b) Funds allocated shall
be used where there is the most acute need for supplemental resources based on
the rate of violent crime and the need to improve clearance rates for violent
crime investigations. The superintendent
of the Bureau of Criminal Apprehension shall prioritize allocating resources to
political subdivisions that have recorded at least three violent crimes in the
previous fiscal year and that rank in the 20 highest per capita crime rates among
Minnesota political subdivisions in the previous fiscal year based on the
Uniform Crime Reports or National Incident Based Reporting System. As a condition of receiving investigatory
assistance from the Bureau of Criminal Apprehension from this account, the
local unit of government must enter a joint powers agreement with the
commissioner of Public Safety and the superintendent of the Bureau of Criminal
Apprehension.
(c) By December 15 of each
calendar year, the commissioner shall report to the chairs and ranking minority
members of the legislative committees and divisions with jurisdiction over
public safety finance and policy on how funds in the violent crime reduction
and clearance support account were used.
Each report must, at a minimum, summarize the expenditures made,
indicate the purpose of those expenditures, and provide an overview of the
criminal cases where funds from the account were used, including a summary of
the cases that identifies each case's disposition or outcome.
Sec. 20. COMMUNITY
CRIME AND VIOLENCE PREVENTION GRANTS; SPECIAL REVENUE ACCOUNT; APPROPRIATION.
(a) The community crime
and violence prevention account is created in the special revenue fund
consisting of money deposited, donated, allotted, transferred, or otherwise
provided to the account. Of the amount
in the account, up to $30,000,000 each year is appropriated to the commissioner
of public safety for grants administered by the Office of Justice Programs to
be awarded to community violence prevention and intervention programs.
(b) Grants may be
awarded to community-based nonprofit organizations, local governments, or the
governing bodies of federally recognized Indian Tribes. Applicants that are nonprofit organizations
must demonstrate the support of the local government or Indian Tribe where the
nonprofit will be offering services. Support
may be demonstrated by partnerships with the local government or Indian Tribe,
or letters or other affirmations of support.
(c) Grant recipients
must operate crime or violence prevention programs with an established record
of providing direct services to community members. Programs must be culturally competent and
identify specific outcomes that can be tracked and measured to demonstrate the
impact the program has on community crime and violence. Crime or violence prevention programs may
include but are not limited to:
(1) programs that
provide services to victims of crime or violence;
(2) programs that
provide services to individuals and families harmed by gun violence;
(3) programs that
provide support services for victims of crimes where there is a reasonable
belief that the crimes were committed in whole or in substantial part because
of the victim's or another's actual or perceived race, color, ethnicity,
religion, sex, gender, sexual orientation, gender identity, gender expression,
age, national origin, or disability as defined in Minnesota Statutes, section
363A.03, or because of the victim's actual or perceived association with
another person or group of a certain actual or perceived race, color,
ethnicity, religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in Minnesota
Statutes, section 363A.03;
(4) homelessness
assistance programs;
(5) programs that
intervene in volatile situations to mediate disputes before they become
violent;
(6) juvenile diversion
programs; and
(7) programs that
support a community response to violence that addresses trauma in the community
and promotes community leadership development and coalition building.
(d) As part of the
narrative and statistical progress reports provided to the Office of Justice
Programs, grant recipients must report on the specific outcomes identified
pursuant to paragraph (c).
(e) The Office of
Justice Programs may use up to 2.5 percent of the annual appropriation to
administer the grants.
Sec. 21. Laws 2021, First Special Session chapter 11, article 1, section 15, subdivision 3, is amended to read:
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Subd. 3. Peace
Officer Training Assistance |
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Philando Castile Memorial Training Fund. $6,000,000 each year is to
support and strengthen law enforcement training and implement best practices. This funding shall be named the
"Philando Castile Memorial Training Fund." These funds may only be used to reimburse
costs related to training courses that qualify for reimbursement under
Minnesota Statutes, sections 626.8452 (use of force), 626.8469 (training in
crisis response, conflict management, and cultural diversity), and 626.8474
(autism training).
Each sponsor of a training
course is required to include the following in the sponsor's application for
approval submitted to the board: course
goals and objectives; a course outline including at a minimum a timeline and
teaching hours for all courses; instructor qualifications, including skills
and concepts such as crisis intervention, de-escalation, and cultural
competency that are relevant to the course provided; and a plan for
learning assessments of the course and documenting the assessments to the board
during review. Upon completion of each
course, instructors must submit student evaluations of the instructor's
teaching to the sponsor.
The board shall keep records of the applications of all approved and denied courses. All continuing education courses shall be reviewed after the first year. The board must set a timetable for recurring review after the first year. For each review, the sponsor must submit its learning assessments to the board to show that the course is teaching the learning outcomes that were approved by the board.
A list of licensees who successfully complete the course shall be maintained by the sponsor and transmitted to the board following the presentation of the course and the completed student evaluations of the instructors. Evaluations are available to chief law enforcement officers. The board shall establish a data retention schedule for the information collected in this section.
Each year, if funds are available after reimbursing all eligible requests for courses approved by the board under this subdivision, the board may use the funds to reimburse law enforcement agencies for other board-approved law enforcement training courses. The base for this activity is $0 in fiscal year 2026 and thereafter.
Sec. 22. PRETRIAL
RELEASE STUDY AND REPORT.
(a) Pursuant to the
terms of a grant, the Minnesota Justice Research Center shall study and report
on pretrial release practices in Minnesota and other jurisdictions.
(b) The Minnesota
Justice Research Center shall examine pretrial release practices in Minnesota
and community perspectives about those practices; conduct a robust study of
pretrial release practices in other jurisdictions to identify effective
approaches to pretrial release that use identified best practices; provide
analysis and recommendations describing if, and how, practices in other
jurisdictions could be adopted and implemented in Minnesota, including but not
limited to analysis addressing how changes would impact public safety,
appearance rates, treatment of defendants with different financial means,
disparities in pretrial detention, and community perspectives about pretrial
release; and make recommendations for policy changes for consideration by the
legislature.
(c) By February 15,
2024, the Minnesota Justice Research Center must provide a preliminary report
to the legislative committees and divisions with jurisdiction over public
safety finance and policy including a summary of the preliminary findings, any
legislative proposals to improve the ability of the Minnesota Justice Research
Center to complete its work, and any proposals for legislation related to
pretrial release. The Minnesota Justice
Research Center shall submit a final report to the legislative committees and
divisions with jurisdiction over public safety finance and policy by February
15, 2025. The final report shall include
a description of the Minnesota Justice Research Center's work, findings, and
any legislative proposals.
Sec. 23. MENTAL
HEALTH SERVICES FOR FIRST RESPONDERS GRANT PROGRAM.
Subdivision 1. Establishment. The commissioner of public safety
through the Office of Justice Programs shall establish and administer a grant
program to fund mental health services to first responders employed by local
units of government.
Subd. 2. Eligibility. Each local unit of government that
employs peace officers or firefighters may apply for a grant.
Subd. 3. Qualifying
programs. To qualify for a
grant, an applicant must present a viable plan to the commissioner to offer a
program that ensures at least one hour of mental health services every six
months for any peace officers and firefighters employed by the applicant.
Subd. 4. Selection;
grant cap. The commissioner
may award grants up to $........ Grant
amounts must be based on the total number of peace officers and firefighters
employed by the applicant.
Subd. 5. Reports. (a) Each grant recipient must submit a
report to the commissioner by June 30 of each year that identifies the services
provided, total number of employees served, total number of hours of services
provided, and expenditures of grant money.
The report must also include an evaluation of the program's impact.
(b) By September 1 of
each year, the commissioner shall report aggregate data received from grant
recipients under paragraph (a) to the chairs and ranking minority members of
the senate and house of representatives committees with jurisdiction over public
safety policy and finance.
Subd. 6. Definitions. For the purposes of this section, the
following terms have the meanings given:
(1)
"firefighter" means a firefighter employed full-time by a fire
department and licensed by the Board of Firefighter Training and Education;
(2) "local unit of
government" means a statutory or home rule charter city that employs its
own law enforcement agency, or a county; and
(3) "peace
officer" means a full-time peace officer employed by a local unit of
government's law enforcement agency and licensed by the Minnesota Board of
Peace Officer Standards and Training.
EFFECTIVE DATE. This
section is effective July 1, 2023, and applies to services administered on or
after that date.
Sec. 24. LAW
ENFORCEMENT MENTAL HEALTH AND WELLNESS TRAINING GRANT.
(a) The commissioner of
public safety must award a grant to the Adler Graduate School to develop and
implement a law enforcement mental health and wellness training program to
train licensed counselors to understand the nuances, culture, and stressors of
the law enforcement profession so that the trainees can provide effective and
successful treatment to peace officers in distress. The grantee must request and incorporate the
advice and counsel of law enforcement officers and mental health professionals
who are familiar with the psychological, cultural, and professional issues of
law enforcement to develop and implement the program.
(b) The grantee may
offer the program online.
(c) The grantee must
seek to recruit licensed counselors providing services outside of the 11-county
metropolitan area as defined in Minnesota Statutes, section 115A.1314,
subdivision 2, paragraph (b).
(d) The grantee must
create a resource directory to provide law enforcement agencies with the names
of counselors who have completed the program and other resources to support law
enforcement professionals with overall wellness. The grantee must collaborate with the
commissioner of public safety and law enforcement organizations to promote the
directory.
Sec. 25. USE
OF FORCE TRAINING; REIMBURSEMENT.
(a) The commissioner of
the Office of Higher Education shall issue reimbursement grants to
postsecondary schools certified to provide programs of professional peace
officer education for providing in-service training programs on the use of
force, including deadly force, by peace officers.
(b) To be eligible for
reimbursement, training offered by a postsecondary school must:
(1) satisfy the
requirements of Minnesota Statutes, section 626.8452, and be approved by the
Board of Peace Officer Standards and Training;
(2) utilize
scenario-based training that simulates real-world situations and involves the
use of real firearms that fire nonlethal ammunition;
(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
(5) be offered to peace
officers at no charge to the peace officer or law enforcement agency.
(c) A postsecondary school that
offers training consistent with the requirements of paragraph (b) may apply for
reimbursement for the costs of offering the training. Reimbursement shall be made at a rate of $450
for each officer who completes the training.
The postsecondary school must submit the name and peace officer license
number of the peace officer who received the training to the Office of Higher
Education.
(d) As used in this
section:
(1) "law
enforcement agency" has the meaning given in Minnesota Statutes, section
626.84, subdivision 1, paragraph (f); and
(2) "peace
officer" has the meaning given in Minnesota Statutes, section 626.84,
subdivision 1, paragraph (c).
Sec. 26. SUPPORTIVE
ARTS GRANT PROGRAM.
(a) The commissioner of
corrections shall establish a supportive arts grant program to award grants to
nonprofit organizations to provide supportive arts programs to incarcerated
persons and persons on supervised release.
The supportive arts programs must use the arts, including but not
limited to visual art, poetry, literature, theater, dance, and music, to
address the supportive, therapeutic, and rehabilitative needs of incarcerated
persons and persons on supervised release and promote a safer correctional
facility environment and community environment.
The commissioner may not require the participation of incarcerated
persons and persons on supervised release in a supportive arts program provided
in a correctional facility or community under a grant.
(b) Applicants for
grants under this section must submit an application in the form and manner
established by the commissioner. The
applicants must specify the arts program to be offered and describe how the
program is supportive, therapeutic, and rehabilitative for incarcerated persons
and persons on supervised release and the use of the grant funds.
(c) Organizations are
not required to apply for or receive grant funds under this section in order to
be eligible to provide supportive arts programming inside the facilities.
(d) By March 1 of each
year, the commissioner shall report to the chairs and ranking members of the
legislative committees and divisions having jurisdiction over criminal justice
finance and policy on the implementation, use, and administration of the grant
program established under this section. At
a minimum, the report must provide:
(1) the names of the
organizations receiving grants;
(2) the total number of
individuals served by all grant recipients, disaggregated by race, ethnicity,
and gender;
(3) the names of the
correctional facilities and communities where incarcerated persons and persons
on supervised release are participating in supportive arts programs offered
under this section;
(4) the total amount of
money awarded in grants and the total amount remaining to be awarded, if any;
(5) the amount of money
granted to each recipient;
(6) a description of the
program, mission, goals, and objectives by the organization using the money;
and
(7) a description of and
measures of success, either qualitative or quantitative.
Sec. 27. APPROPRIATIONS
GIVEN EFFECT ONCE.
If an appropriation or
transfer in this article is enacted more than once during the 2023 regular
session, the appropriation or transfer must be given effect once.
ARTICLE 2
GENERAL CRIMES
Section 1. Minnesota Statutes 2022, section 243.166, subdivision 1b, is amended to read:
Subd. 1b. Registration required. (a) A person shall register under this section if:
(1) the person was charged with or petitioned for a felony violation of or attempt to violate, or aiding, abetting, or conspiracy to commit, any of the following, and convicted of or adjudicated delinquent for that offense or another offense arising out of the same set of circumstances:
(i) murder under section 609.185, paragraph (a), clause (2);
(ii) kidnapping under section 609.25;
(iii) criminal sexual conduct under section 609.342; 609.343; 609.344; 609.345; 609.3451, subdivision 3, paragraph (b); or 609.3453;
(iv) indecent exposure under section 617.23, subdivision 3; or
(v) surreptitious intrusion
under the circumstances described in section 609.746, subdivision 1, paragraph (f)
(h);
(2) the person was charged with or petitioned for a violation of, or attempt to violate, or aiding, abetting, or conspiring to commit any of the following and convicted of or adjudicated delinquent for that offense or another offense arising out of the same set of circumstances:
(i) criminal abuse in violation of section 609.2325, subdivision 1, paragraph (b);
(ii) false imprisonment in violation of section 609.255, subdivision 2;
(iii) solicitation, inducement, or promotion of the prostitution of a minor or engaging in the sex trafficking of a minor in violation of section 609.322;
(iv) a prostitution offense in violation of section 609.324, subdivision 1, paragraph (a);
(v) soliciting a minor to engage in sexual conduct in violation of section 609.352, subdivision 2 or 2a, clause (1);
(vi) using a minor in a sexual performance in violation of section 617.246; or
(vii) possessing pornographic work involving a minor in violation of section 617.247;
(3) the person was sentenced as a patterned sex offender under section 609.3455, subdivision 3a; or
(4) the person was charged with or petitioned for, including pursuant to a court martial, violating a law of the United States, including the Uniform Code of Military Justice, similar to an offense or involving similar circumstances to an offense described in clause (1), (2), or (3), and convicted of or adjudicated delinquent for that offense or another offense arising out of the same set of circumstances.
(b) A person also shall register under this section if:
(1) the person was charged with or petitioned for an offense in another state similar to an offense or involving similar circumstances to an offense described in paragraph (a), clause (1), (2), or (3), and convicted of or adjudicated delinquent for that offense or another offense arising out of the same set of circumstances;
(2) the person enters this state to reside, work, or attend school, or enters this state and remains for 14 days or longer or for an aggregate period of time exceeding 30 days during any calendar year; and
(3) ten years have not elapsed since the person was released from confinement or, if the person was not confined, since the person was convicted of or adjudicated delinquent for the offense that triggers registration, unless the person is subject to a longer registration period under the laws of another state in which the person has been convicted or adjudicated, or is subject to lifetime registration.
If a person described in this paragraph is subject to a longer registration period in another state or is subject to lifetime registration, the person shall register for that time period regardless of when the person was released from confinement, convicted, or adjudicated delinquent.
(c) A person also shall register under this section if the person was committed pursuant to a court commitment order under Minnesota Statutes 2012, section 253B.185, chapter 253D, Minnesota Statutes 1992, section 526.10, or a similar law of another state or the United States, regardless of whether the person was convicted of any offense.
(d) A person also shall register under this section if:
(1) the person was charged with or petitioned for a felony violation or attempt to violate any of the offenses listed in paragraph (a), clause (1), or a similar law of another state or the United States, or the person was charged with or petitioned for a violation of any of the offenses listed in paragraph (a), clause (2), or a similar law of another state or the United States;
(2) the person was found not guilty by reason of mental illness or mental deficiency after a trial for that offense, or found guilty but mentally ill after a trial for that offense, in states with a guilty but mentally ill verdict; and
(3) the person was committed pursuant to a court commitment order under section 253B.18 or a similar law of another state or the United States.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 2. Minnesota Statutes 2022, 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
or coerced 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, 2023.
Sec. 3. Minnesota Statutes 2022, 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 or coerced
labor and or services, prostitution, and other coercive tactics;
and risks of assault, criminal sexual conduct, exposure to sexually transmitted
diseases, and psychological harm;
(3) crime victims' rights; and
(4) reporting recruitment activities involved in trafficking.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 4. Minnesota Statutes 2022, 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, paragraph (a) (third-degree murder); 609.20, clauses (1), (2), and (5) (first-degree manslaughter); 609.205, clauses (1) and (5) (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); 609.582, subdivision 1, clause (c) (burglary in the first degree); 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, 2023.
Sec. 5. Minnesota Statutes 2022, section 609.05, is amended by adding a subdivision to read:
Subd. 2a. Exception. (a) A person may not be held
criminally liable for a violation of section 609.185, paragraph (a), clause
(3), committed by another unless the person intentionally aided, advised,
hired, counseled, or conspired with or otherwise procured the other with the
intent to cause the death of a human being.
(b) A person may not be
held criminally liable for a violation of section 609.19, subdivision 2, clause
(1), committed by another unless the person was a major participant in the
underlying felony and acted with extreme indifference to human life.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 6. Minnesota Statutes 2022, section 609.2231, subdivision 4, is amended to read:
Subd. 4. Assaults
motivated by bias. (a) Whoever
assaults another in whole or in substantial part because of the victim's
or another's actual or perceived race, color, ethnicity, religion, sex, gender,
sexual orientation, gender identity, gender expression, age, national
origin, or disability as defined in section 363A.03, age, or national
origin or because of the victim's actual or perceived association with
another person or group of a certain actual or perceived race, color,
ethnicity, religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section 363A.03,
may be sentenced to imprisonment for not more than one year or to payment of a
fine of not more than $3,000, or both.
(b) Whoever violates the provisions of paragraph (a) within five years of a previous conviction under paragraph (a) is guilty of a felony and may be sentenced to imprisonment for not more than one year and a day or to payment of a fine of not more than $3,000, or both.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 7. Minnesota Statutes 2022, section 609.2233, is amended to read:
609.2233 FELONY ASSAULT MOTIVATED BY BIAS; INCREASED STATUTORY MAXIMUM
SENTENCE.
A person who violates
section 609.221, 609.222, or 609.223 in whole or in substantial part
because of the victim's or another person's actual or perceived race, color, ethnicity,
religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section
363A.03, age, or national origin or because of the victim's actual or
perceived association with another person or group of a certain actual or
perceived race, color, ethnicity, religion, sex, gender, sexual orientation,
gender identity, gender expression, age, national origin, or disability as
defined in section 363A.03, is subject to a statutory maximum penalty of 25
percent longer than the maximum penalty otherwise applicable.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 8. Minnesota Statutes 2022, section 609.25, subdivision 2, is amended to read:
Subd. 2. Sentence. Whoever violates subdivision 1 may be sentenced as follows:
(1) if the victim is released in a safe place without great bodily harm, to imprisonment for not more than 20 years or to payment of a fine of not more than $35,000, or both; or
(2) if the victim is not
released in a safe place, or if the victim suffers great bodily harm during the
course of the kidnapping, or if the person kidnapped is under the age of 16,
to imprisonment for not more than 40 years or to payment of a fine of not more
than $50,000, or both if:
(i) the victim is not
released in a safe place;
(ii) the victim suffers
great bodily harm during the course of the kidnapping; or
(iii) the person kidnapped is under the age of 16.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 9. Minnesota Statutes 2022, section 609.269, is amended to read:
609.269 EXCEPTION.
Sections 609.2661 to
609.268 do not apply to any act described in section 145.412. a
person providing reproductive health care offered, arranged, or furnished:
(1) for the purpose of
terminating a pregnancy; and
(2) with the consent of
the pregnant individual or the pregnant individual's representative, except in
a medical emergency in which consent cannot be obtained.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 10. Minnesota Statutes 2022, 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, 2023, and applies to crimes committed on or
after that date.
Sec. 11. Minnesota Statutes 2022, 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;
(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, 2023, and applies to crimes committed on or
after that date.
Sec. 12. Minnesota Statutes 2022, 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 or coerced 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, 2023, and applies to crimes committed on or
after that date.
Sec. 13. Minnesota Statutes 2022, 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, 2023, and applies to crimes committed on or
after that date.
Sec. 14. Minnesota Statutes 2022, 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, 2023, and applies to crimes committed on or
after that date.
Sec. 15. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 15. Debt
bondage. "Debt
bondage" has the meaning given in section 609.281, subdivision 3.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 16. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 16. Forced
or coerced labor or services. "Forced
or coerced labor or services" has the meaning given in section 609.281,
subdivision 4.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 17. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 17. Labor
trafficking. "Labor
trafficking" has the meaning given in section 609.281, subdivision 5.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 18. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 18. Labor
trafficking victim. "Labor
trafficking victim" has the meaning given in section 609.281, subdivision
6.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 19. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 19. Trafficking. "Trafficking" includes labor
trafficking and sex trafficking.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 20. Minnesota Statutes 2022, section 609.321, is amended by adding a subdivision to read:
Subd. 20. Trafficking
victim. "Trafficking
victim" includes a labor trafficking victim and a sex trafficking victim.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 21. Minnesota Statutes 2022, section 609.322, subdivision 1, is amended to read:
Subdivision 1. Solicitation, inducement, and promotion of prostitution; sex trafficking in the first degree. (a) Whoever, while acting other than as a prostitute or patron, intentionally does any of the following may be sentenced to imprisonment for not more than 25 years or to payment of a fine of not more than $50,000, or both:
(1) solicits or induces an individual under the age of 18 years to practice prostitution;
(2) promotes the prostitution of an individual under the age of 18 years;
(3) receives profit, knowing or having reason to know that it is derived from the prostitution, or the promotion of the prostitution, of an individual under the age of 18 years; or
(4) engages in the sex trafficking of an individual under the age of 18 years.
(b) Whoever violates paragraph (a) or subdivision 1a may be sentenced to imprisonment for not more than 30 years or to payment of a fine of not more than $60,000, or both, if one or more of the following aggravating factors are present:
(1) the offender has committed a prior qualified human trafficking-related offense;
(2) the offense involved a sex trafficking victim who suffered bodily harm during the commission of the offense;
(3) the time period that a sex trafficking victim was held in debt bondage or forced or coerced labor or services exceeded 180 days; or
(4) the offense involved more than one sex trafficking victim.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 22. Minnesota Statutes 2022, section 609.52, subdivision 3, is amended to read:
Subd. 3. Sentence. Whoever commits theft may be sentenced as follows:
(1) to imprisonment for not more than 20 years or to payment of a fine of not more than $100,000, or both, if the property is a firearm, or the value of the property or services stolen is more than $35,000 and the conviction is for a violation of subdivision 2, clause (3), (4), (15), (16), or (19), or section 609.2335, subdivision 1, clause (1) or (2), item (i); or
(2) to imprisonment for not more than ten years or to payment of a fine of not more than $20,000, or both, if the value of the property or services stolen exceeds $5,000, or if the property stolen was an article representing a trade secret, an explosive or incendiary device, or a controlled substance listed in Schedule I or II pursuant to section 152.02 with the exception of marijuana; or
(3) to imprisonment for not more than five years or to payment of a fine of not more than $10,000, or both, if any of the following circumstances exist:
(a) the value of the property or services stolen is more than $1,000 but not more than $5,000; or
(b) the property stolen was a controlled substance listed in Schedule III, IV, or V pursuant to section 152.02; or
(c) the value of the property or services stolen is more than $500 but not more than $1,000 and the person has been convicted within the preceding five years for an offense under this section, section 256.98; 268.182; 609.24; 609.245; 609.522; 609.53; 609.582, subdivision 1, 2, or 3; 609.625; 609.63; 609.631; or 609.821, or a statute from another state, the United States, or a foreign jurisdiction, in conformity with any of those sections, and the person received a felony or gross misdemeanor sentence for the offense, or a sentence that was stayed under section 609.135 if the offense to which a plea was entered would allow imposition of a felony or gross misdemeanor sentence; or
(d) the value of the property or services stolen is not more than $1,000, and any of the following circumstances exist:
(i) the property is taken from the person of another or from a corpse, or grave or coffin containing a corpse; or
(ii) the property is a record of a court or officer, or a writing, instrument or record kept, filed or deposited according to law with or in the keeping of any public officer or office; or
(iii) the property is taken from a burning, abandoned, or vacant building or upon its removal therefrom, or from an area of destruction caused by civil disaster, riot, bombing, or the proximity of battle; or
(iv) the property consists of public funds belonging to the state or to
any political subdivision or agency thereof; or
(v) the property stolen is a motor vehicle; or
(4) to imprisonment for not more than one year or to payment of a fine of not more than $3,000, or both, if the value of the property or services stolen is more than $500 but not more than $1,000; or
(5) in all other cases where the value of the property or services stolen is $500 or less, to imprisonment for not more than 90 days or to payment of a fine of not more than $1,000, or both, provided, however, in any prosecution under subdivision 2, clauses (1), (2), (3), (4), (13), and (19), the value of the money or property or services received by the defendant in violation of any one or more of the above provisions within any six-month period may be aggregated and the defendant charged accordingly in applying the provisions of this subdivision; provided that when two or more offenses are committed by the same person in two or more counties, the accused may be prosecuted in any county in which one of the offenses was committed for all of the offenses aggregated under this paragraph.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 23. [609.522]
ORGANIZED RETAIL THEFT.
Subdivision 1. Definitions. (a) As used in this section, the terms
in this subdivision have the meanings given.
(b) "Article
surveillance system" means any electronic device or other security device
that is designed to detect or prevent the unauthorized removal of retail
merchandise from a retailer.
(c) "Retailer"
means a person or entity that sells retail merchandise.
(d) "Retail
merchandise" means all forms of tangible property, without limitation,
held out for sale by a retailer.
(e) "Value"
means the retail market value at the time of the theft or, if the retail market
value cannot be ascertained, the cost of replacement of the property within a
reasonable time after the theft.
Subd. 2. Organized
retail theft. (a) Whoever
steals or fraudulently obtains retail merchandise from a retailer commits
organized retail theft and may be sentenced as provided in subdivision 3 if the
actor:
(1) resells or intends to
resell the retail merchandise;
(2) advertises or
displays any item of the retail merchandise for sale;
(3) returns any item of
the retail merchandise to a retailer for anything of value; or
(4) steals retail
merchandise within five years of a conviction under this section.
(b) Whoever receives,
purchases, or possesses retail merchandise knowing or having reason to know the
retail merchandise was stolen from a retailer and with the intent to resell
that merchandise may be sentenced as provided in subdivision 3.
(c) Whoever possesses any
device, gear, or instrument designed to assist in shoplifting or defeating an
electronic article surveillance system with intent to use the same to shoplift
and thereby commit theft may be sentenced pursuant to subdivision 3, clause
(3).
Subd. 3. Sentence. Whoever commits organized retail theft
may be sentenced as follows:
(1) to imprisonment for
not more than 15 years or to payment of a fine of not more than $35,000, or
both, if the value of the property stolen exceeds $5,000;
(2) to imprisonment for
not more than seven years or to payment of a fine of not more than $14,000, or
both, if either of the following circumstances exist:
(i) the value of the
property stolen is more than $1,000 but not more than $5,000; or
(ii) the person commits
the offense within ten years of the first of two or more convictions under this
section;
(3) to imprisonment for
not more than two years or to payment of a fine of not more than $5,000, or
both, if either of the following circumstances exist:
(i) the value of the
property stolen is more than $500 but not more than $1,000; or
(ii) the person commits
the offense within ten years of a previous conviction under this section; or
(4) to imprisonment of
not more than one year or to payment of a fine of not more than $3,000, or
both, if the value of the property stolen is $500 or less.
Subd. 4. Aggregation. The value of the retail merchandise
received by the defendant in violation of this section within any six-month
period may be aggregated and the defendant charged accordingly in applying the
provisions of this subdivision, provided that when two or more offenses are
committed by the same person in two or more counties, the accused may be
prosecuted in any county in which one of the offenses was committed for all of
the offenses aggregated under this paragraph.
Subd. 5. Enhanced
penalty. If a violation of
this section creates a reasonably foreseeable risk of bodily harm to another,
the penalties described in subdivision 3 are enhanced as follows:
(1) if the penalty is a
gross misdemeanor, the person is guilty of a felony and may be sentenced to
imprisonment for not more than three years or to payment of a fine of not more
than $5,000, or both; and
(2) if the penalty is a felony,
the statutory maximum sentence for the offense is 50 percent longer than for
the underlying crime.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 24. Minnesota Statutes 2022, section 609.582, subdivision 3, is amended to read:
Subd. 3. Burglary in the third degree. (a) Except as otherwise provided in this section, whoever enters a building without consent and with intent to steal or commit any felony or gross misdemeanor while in the building, or enters a building without consent and steals or commits a felony or gross misdemeanor while in the building, either directly or as an accomplice, commits burglary in the third degree and may be sentenced to imprisonment for not more than five years or to payment of a fine of not more than $10,000, or both.
(b) Whoever enters a
building that is open to the public, other than a building identified in
subdivision 2, paragraph (b), with intent to steal while in the building, or
enters a building that is open to the public, other than a building identified
in subdivision 2, paragraph (b), and steals while in the building, either
directly or as an accomplice, commits burglary in the third degree and may be
sentenced to imprisonment for not more than five years or to payment of a fine
of not more than $10,000, or both, if:
(1) the person enters
the building within one year after being told to leave the building and not
return; and
(2) the person has been
convicted within the preceding five years for an offense under this section,
section 256.98, 268.182, 609.24, 609.245, 609.52, 609.522, 609.53, 609.625,
609.63, 609.631, or 609.821, or a statute from another state, the United States,
or a foreign jurisdiction, in conformity with any of those sections, and the
person received a felony sentence for the offense or a sentence that was stayed
under section 609.135 if the offense to which a plea was entered would allow
imposition of a felony sentence.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 25. Minnesota Statutes 2022, section 609.582, subdivision 4, is amended to read:
Subd. 4. Burglary
in the fourth degree. (a)
Whoever enters a building without consent and with intent to commit a
misdemeanor other than to steal, or enters a building without consent and
commits a misdemeanor other than to steal while in the building, either
directly or as an accomplice, commits burglary in the fourth degree and may be sentenced to imprisonment for not more than
one year or to payment of a fine of not more than $3,000, or both.
(b) Whoever enters a
building that is open to the public, other than a building identified in
subdivision 2, paragraph (b), with intent to steal while in the building, or
enters a building that is open to the public, other than a building identified
in subdivision 2, paragraph (b), and steals while in the building, either
directly or as an accomplice, commits burglary in the fourth degree and may be
sentenced to imprisonment for not more than one year or to payment of a fine of
not more than $3,000, or both, if the person enters the building within one
year after being told to leave the building and not return.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 26. Minnesota Statutes 2022, section 609.595, subdivision 1a, is amended to read:
Subd. 1a. Criminal
damage to property in the second degree.
(a) Whoever intentionally causes damage described in subdivision 2,
paragraph (a), because of the property owner's or another's actual or
perceived race, color, religion, sex, sexual orientation, disability as defined
in section 363A.03, age, or national origin is guilty of a felony and may
be sentenced to imprisonment for not more than one year and a day or to payment
of a fine of not more than $3,000, or both., if the damage:
(1) was committed in
whole or in substantial part because of the property owner's or another's
actual or perceived race, color, ethnicity, religion, sex, gender, sexual
orientation, gender identity, gender expression, age, national origin, or
disability as defined in section 363A.03;
(2) was committed in
whole or in substantial part because of the victim's actual or perceived
association with another person or group of a certain actual or perceived race,
color, ethnicity, religion, sex, gender, sexual orientation, gender identity,
gender expression, age, national origin, or disability as defined in section
363A.03; or
(3) was motivated in
whole or in substantial part by an intent to intimidate or harm an individual
or group of individuals because of actual or perceived race, color, ethnicity,
religion, sex, gender, sexual orientation, gender identity, gender expression,
age, national origin, or disability as defined in section 363A.03.
(b) In any prosecution under paragraph (a), the value of property damaged by the defendant in violation of that paragraph within any six-month period may be aggregated and the defendant charged accordingly in applying this section. When two or more offenses are committed by the same person in two or more counties, the accused may be prosecuted in any county in which one of the offenses was committed for all of the offenses aggregated under this paragraph.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 27. Minnesota Statutes 2022, section 609.595, subdivision 2, is amended to read:
Subd. 2. Criminal damage to property in the third degree. (a) Except as otherwise provided in subdivision 1a, whoever intentionally causes damage to another person's physical property without the other person's consent may be sentenced to imprisonment for not more than one year or to payment of a fine of not more than $3,000, or both, if: (1) the damage reduces the value of the property by more than $500 but not more than $1,000 as measured by the cost of repair and replacement; or (2) the damage was to a public safety motor vehicle and the defendant knew the vehicle was a public safety motor vehicle.
(b) Whoever intentionally
causes damage to another person's physical property without the other person's
consent because of the property owner's or another's actual or perceived
race, color, religion, sex, sexual orientation, disability as defined in
section 363A.03, age, or national origin may be sentenced to imprisonment
for not more than one year or to payment of a fine of not more than $3,000, or
both, if the damage reduces the value of the property by not more than $500.
and:
(1) was committed in whole
or in substantial part because of the property owner's or another's actual or
perceived race, color, ethnicity, religion, sex, gender, sexual orientation,
gender identity, gender expression, age, national origin, or disability as
defined in section 363A.03;
(2) was committed in whole
or in substantial part because of the victim's actual or perceived association
with another person or group of a certain actual or perceived race, color,
ethnicity, religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section 363A.03;
or
(3) was motivated in whole or
in substantial part by an intent to intimidate or harm an individual or group
of individuals because of actual or perceived race, color, ethnicity, religion,
sex, gender, sexual orientation, gender identity, gender expression, age,
national origin, or disability as defined in section 363A.03.
(c) In any prosecution under paragraph (a), clause (1), the value of property damaged by the defendant in violation of that paragraph within any six-month period may be aggregated and the defendant charged accordingly in applying this section. When two or more offenses are committed by the same person in two or more counties, the accused may be prosecuted in any county in which one of the offenses was committed for all of the offenses aggregated under this paragraph.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 28. Minnesota Statutes 2022, section 609.67, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) "Machine gun" means any firearm designed to discharge, or capable of discharging automatically more than once by a single function of the trigger.
(b) "Shotgun" means a weapon designed, redesigned, made or remade which is intended to be fired from the shoulder and uses the energy of the explosive in a fixed shotgun shell to fire through a smooth bore either a number of ball shot or a single projectile for each single pull of the trigger.
(c) "Short-barreled shotgun" means a shotgun having one or more barrels less than 18 inches in length and any weapon made from a shotgun if such weapon as modified has an overall length less than 26 inches.
(d) "Trigger
activator" means:
(1) a removable
manual or power driven trigger activating device constructed and designed so
that, when attached to a firearm, the rate at which the trigger may be pulled
increases and the rate of fire of the firearm increases to that of a machine
gun; or
(2) a device that allows a semiautomatic firearm to shoot more than one shot with a single pull of the trigger or by harnessing the recoil of energy of the semiautomatic firearm to which it is affixed so that the trigger resets and continues firing without additional physical manipulation of the trigger.
(e) "Machine gun conversion kit" means any part or combination of parts designed and intended for use in converting a weapon into a machine gun, and any combination of parts from which a machine gun can be assembled, but does not include a spare or replacement part for a machine gun that is possessed lawfully under section 609.67, subdivision 3.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to offenses that occur on or
after that date.
Sec. 29. Minnesota Statutes 2022, section 609.67, subdivision 2, is amended to read:
Subd. 2. Acts
prohibited. (a) Except as
otherwise provided herein, whoever owns, possesses, or operates a machine gun, or
any trigger activator or machine gun conversion kit, or a short-barreled
shotgun may be sentenced to imprisonment for not more than five 20
years or to payment of a fine of not more than $10,000 $35,000,
or both.
(b) Except as otherwise
provided herein, whoever owns, possesses, or operates a short-barreled shotgun
may be sentenced to imprisonment for not more than five years or to payment of
a fine of not more than $10,000, or both.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to offenses that occur on or
after that date.
Sec. 30. Minnesota Statutes 2022, section 609.746, subdivision 1, is amended to read:
Subdivision 1. Surreptitious intrusion; observation
device. (a) A person is guilty of a
gross misdemeanor who:
(1) enters upon another's property;
(2) surreptitiously gazes, stares, or peeps in the window or any other aperture of a house or place of dwelling of another; and
(3) does so with intent to intrude upon or interfere with the privacy of a member of the household.
(b) A person is guilty of a gross misdemeanor who:
(1) enters upon another's property;
(2) surreptitiously installs or uses any device for observing, photographing, recording, amplifying, or broadcasting sounds or events through the window or any other aperture of a house or place of dwelling of another; and
(3) does so with intent to intrude upon or interfere with the privacy of a member of the household.
(c) A person is guilty of a gross misdemeanor who:
(1) surreptitiously gazes, stares, or peeps in the window or other aperture of a sleeping room in a hotel, as defined in section 327.70, subdivision 3, a tanning booth, or other place where a reasonable person would have an expectation of privacy and has exposed or is likely to expose their intimate parts, as defined in section 609.341, subdivision 5, or the clothing covering the immediate area of the intimate parts; and
(2) does so with intent to intrude upon or interfere with the privacy of the occupant.
(d) A person is guilty of a gross misdemeanor who:
(1) surreptitiously installs or uses any device for observing, photographing, recording, amplifying, or broadcasting sounds or events through the window or other aperture of a sleeping room in a hotel, as defined in section 327.70, subdivision 3, a tanning booth, or other place where a reasonable person would have an expectation of privacy and has exposed or is likely to expose their intimate parts, as defined in section 609.341, subdivision 5, or the clothing covering the immediate area of the intimate parts; and
(2) does so with intent to intrude upon or interfere with the privacy of the occupant.
(e) A person is guilty
of a gross misdemeanor who:
(1) uses any device for
photographing, recording, or broadcasting an image of an individual in a house
or place of dwelling; a sleeping room of a hotel as defined in section 327.70,
subdivision 3; a tanning booth; a bathroom; a locker room; a changing room; an
indoor shower facility; or any place where a reasonable person would have an
expectation of privacy; and
(2) does so with the
intent to photograph, record, or broadcast an image of the individual's
intimate parts, as defined in section 609.341, subdivision 5, without the
consent of the individual.
(f) A person is guilty of a
misdemeanor who:
(1) surreptitiously
installs or uses any device for observing, photographing, recording, or
broadcasting an image of an individual's intimate parts, as defined in section
609.341, subdivision 5, or the clothing covering the immediate area of the
intimate parts;
(2) observes,
photographs, or records the image under or around the individual's clothing;
and
(3) does so with intent
to intrude upon or interfere with the privacy of the individual.
(e) (g) A
person is guilty of a felony and may be sentenced to imprisonment for not more
than two years or to payment of a fine of not more than $5,000, or both, if the
person:
(1) violates this
subdivision paragraph (a), (b), (c), (d), or (e) after a previous
conviction under this subdivision or section 609.749; or
(2) violates this
subdivision paragraph (a), (b), (c), (d), or (e) against a minor
under the age of 18, knowing or having reason to know that the minor is
present.
(f) (h) A
person is guilty of a felony and may be sentenced to imprisonment for not more
than four years or to payment of a fine of not more than $5,000, or both, if: (1) the person violates paragraph (b) or,
(d), or (e) against a minor victim under the age of 18; (2) the person
is more than 36 months older than the minor victim; (3) the person knows or has
reason to know that the minor victim is present; and (4) the violation is
committed with sexual intent.
(i) A person is guilty
of a gross misdemeanor if the person:
(1) violates paragraph
(f) after a previous conviction under this subdivision or section 609.749; or
(2) violates paragraph
(f) against a minor under the age of 18, knowing or having reason to know that
the victim is a minor.
(j) A person is guilty
of a felony if the person violates paragraph (f) after two or more convictions
under this subdivision or section 609.749.
(g) Paragraphs (k)
Paragraph (b) and, (d) do, or (e) does not
apply to law enforcement officers or corrections investigators, or to those
acting under their direction, while engaged in the performance of their lawful
duties. Paragraphs (c) and,
(d), and (e) do not apply to conduct in:
(1) a medical facility; or (2) a commercial establishment if the owner
of the establishment has posted conspicuous signs warning that the premises are
under surveillance by the owner or the owner's employees.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 31. Minnesota Statutes 2022, section 609.749, subdivision 3, is amended to read:
Subd. 3. Aggravated violations. (a) A person who commits any of the following acts is guilty of a felony and may be sentenced to imprisonment for not more than five years or to payment of a fine of not more than $10,000, or both:
(1) commits any offense
described in subdivision 2 in whole or in substantial part because of
the victim's or another's actual or perceived race, color, ethnicity,
religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section
363A.03, age, or national origin or because of the
victim's actual or perceived association with another person or group of a certain actual or perceived race, color, ethnicity, religion, sex, gender, sexual orientation, gender identity, gender expression, age, national origin, or disability as defined in section 363A.03;
(2) commits any offense described in subdivision 2 by falsely impersonating another;
(3) commits any offense described in subdivision 2 and a dangerous weapon was used in any way in the commission of the offense;
(4) commits any offense described in subdivision 2 with intent to influence or otherwise tamper with a juror or a judicial proceeding or with intent to retaliate against a judicial officer, as defined in section 609.415, or a prosecutor, defense attorney, or officer of the court, because of that person's performance of official duties in connection with a judicial proceeding; or
(5) commits any offense described in subdivision 2 against a victim under the age of 18, if the actor is more than 36 months older than the victim.
(b) A person who commits any offense described in subdivision 2 against a victim under the age of 18, if the actor is more than 36 months older than the victim, and the act is committed with sexual or aggressive intent, is guilty of a felony and may be sentenced to imprisonment for not more than ten years or to payment of a fine of not more than $20,000, or both.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 32. [609.771]
USE OF DEEP FAKE TECHNOLOGY TO INFLUENCE AN ELECTION.
Subdivision 1. Definitions. (a) As used in this section, the
following terms have the meanings given.
(b)
"Candidate" means an individual who seeks nomination or election to a
federal, statewide, legislative, judicial, or local office including special
districts, school districts, towns, home rule charter and statutory cities, and
counties.
(c) "Deep
fake" means any video recording, motion-picture film, sound recording,
electronic image, or photograph, or any technological representation of speech
or conduct substantially derivative thereof:
(1) which appears to
authentically depict any speech or conduct of an individual who did not in fact
engage in such speech or conduct; and
(2) the production of
which was substantially dependent upon technical means, rather than the ability
of another individual to physically or verbally impersonate such individual.
(d) "Depicted
individual" means an individual in a deep fake who appears to be engaging
in speech or conduct in which the individual did not engage.
Subd. 2. Use
of deep fake to influence an election; violation. A person who disseminates a deep fake
or enters into a contract or other agreement to disseminate a deep fake is
guilty of a crime and may be sentenced as provided in subdivision 3 if the
person knows or reasonably should know that the item being disseminated is a
deep fake and dissemination:
(1) takes place within
90 days before an election;
(2) is made without the consent
of the depicted individual; and
(3) is made with the
intent to injure a candidate or influence the result of an election.
Subd. 3. Use
of deep fake to influence an election; penalty. A person convicted of violating
subdivision 2 may be sentenced as follows:
(1) if the person
commits the violation within five years of one or more prior convictions under
this section, to imprisonment for not more than five years or to payment of a
fine of not more than $10,000, or both;
(2) if the person
commits the violation with the intent to cause violence or bodily harm, to
imprisonment for not more than one year or to payment of a fine of not more
than $3,000, or both; or
(3) in other cases, to imprisonment for not more than 90 days or to
payment of a fine of not more than $1,000, or both.
Subd. 4. Injunctive
relief. A cause of action for
injunctive relief may be maintained against any person who is reasonably
believed to be about to violate or who is in the course of violating this
section by:
(1) the attorney
general;
(2) a county attorney or
city attorney;
(3) the depicted
individual; or
(4) a candidate for
nomination or election to a public office who is injured or likely to be
injured by dissemination.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 33. [617.262]
NONCONSENSUAL DISSEMINATION OF A DEEP FAKE DEPICTING INTIMATE PARTS OR SEXUAL
ACTS.
Subdivision 1. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b) "Deep
fake" means any video recording, motion-picture film, sound recording,
electronic image, or photograph, or any technological representation of speech
or conduct substantially derivative thereof:
(1) which appears to
authentically depict any speech or conduct of an individual who did not in fact
engage in such speech or conduct; and
(2) the production of
which was substantially dependent upon technical means, rather than the ability
of another individual to physically or verbally impersonate such individual.
(c) "Depicted
individual" means an individual in a deep fake who appears to be engaging
in speech or conduct in which the individual did not engage.
(d)
"Dissemination" means distribution to one or more persons, other than
the person depicted in the deep fake, or publication by any publicly available
medium.
(e) "Harass" means an
act that would cause a substantial adverse effect on the safety, security, or
privacy of a reasonable person.
(f) "Intimate
parts" means the genitals, pubic area, or anus of an individual, or if the
individual is female, a partially or fully exposed nipple.
(g) "Personal
information" means any identifier that permits communication or in-person
contact with a person, including:
(1) a person's first and
last name, first initial and last name, first name and last initial, or
nickname;
(2) a person's home,
school, or work address;
(3) a person's telephone
number, email address, or social media account information; or
(4) a person's geolocation
data.
(h) "Sexual
act" means either sexual contact or sexual penetration.
(i) "Sexual
contact" means the intentional touching of intimate parts or intentional
touching with seminal fluid or sperm onto another person's body.
(j) "Sexual
penetration" means any of the following acts:
(1) sexual intercourse,
cunnilingus, fellatio, or anal intercourse; or
(2) any intrusion,
however slight, into the genital or anal openings of an individual by another's
body part or an object used by another for this purpose.
(k) "Social
media" means any electronic medium, including an interactive computer
service, telephone network, or data network, that allows users to create,
share, and view user-generated content.
Subd. 2. Crime. It is a crime to intentionally
disseminate a deep fake when:
(1) the actor knows or
reasonably should know that the depicted individual does not consent to the
dissemination;
(2) the deep fake
realistically depicts any of the following:
(i) the intimate parts
of another individual presented as the intimate parts of the depicted
individual;
(ii) artificially
generated intimate parts presented as the intimate parts of the depicted
individual; or
(iii) the depicted
individual engaging in a sexual act; and
(3) the depicted individual
is identifiable:
(i) from the deep fake
itself, by the depicted individual or by another person; or
(ii) from the personal
information displayed in connection with the deep fake.
Subd. 3. Penalties. (a) Except as provided in paragraph
(b), whoever violates subdivision 2 is guilty of a gross misdemeanor.
(b) Whoever violates
subdivision 2 may be sentenced to imprisonment for not more than three years or
to payment of a fine of $5,000, or both, if one of the following factors is
present:
(1) the depicted person
suffers financial loss due to the dissemination of the deep fake;
(2) the actor
disseminates the deep fake with intent to profit from the dissemination;
(3) the actor maintains
an Internet website, online service, online application, or mobile application
for the purpose of disseminating the deep fake;
(4) the actor posts the
deep fake on a website;
(5) the actor
disseminates the deep fake with intent to harass the depicted person;
(6) the actor obtained
the deep fake by committing a violation of section 609.52, 609.746, 609.89, or
609.891; or
(7) the actor has
previously been convicted under this chapter.
Subd. 4. No
defense. It is not a defense
to a prosecution under this section that the person consented to the creation
or possession of the deep fake.
Subd. 5. Venue. Notwithstanding anything to the
contrary in section 627.01, an offense committed under this section may be
prosecuted in:
(1) the county where the
offense occurred;
(2) the county of
residence of the actor or victim or in the jurisdiction of the victim's
designated address if the victim participates in the address confidentiality
program established by chapter 5B; or
(3) only if the venue
cannot be located in the counties specified under clause (1) or (2), the county
where any deep fake is produced, reproduced, found, stored, received, or
possessed in violation of this section.
Subd. 6. Exemptions. Subdivision 2 does not apply when:
(1) the dissemination is
made for the purpose of a criminal investigation or prosecution that is
otherwise lawful;
(2) the dissemination is
for the purpose of, or in connection with, the reporting of unlawful conduct;
(3) the dissemination is
made in the course of seeking or receiving medical or mental health treatment,
and the image is protected from further dissemination;
(4) the deep fake was
obtained in a commercial setting for the purpose of the legal sale of goods or
services, including the creation of artistic products for sale or display, and
the depicted individual knew, or should have known, that a deep fake would be
created and disseminated;
(5) the deep fake
relates to a matter of public interest and dissemination serves a lawful public
purpose;
(6) the dissemination is
for legitimate scientific research or educational purposes; or
(7) the dissemination is made
for legal proceedings and is consistent with common practice in civil
proceedings necessary for the proper functioning of the criminal justice
system, or protected by court order which prohibits any further dissemination.
Subd. 7. Immunity. Nothing in this section shall be
construed to impose liability upon the following entities solely as a result of
content or information provided by another person:
(1) an interactive computer service as defined in United States Code,
title 47, section 230, paragraph (f), clause (2);
(2) a provider of public
mobile services or private radio services; or
(3) a telecommunications
network or broadband provider.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 34. Minnesota Statutes 2022, 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.
(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, 2023, and applies to crimes committed on or
after that date and to crimes committed before that date if the limitations
period for the crime did not expire before August 1, 2023.
Sec. 35. REPEALER.
Minnesota Statutes 2022,
sections 609.281, subdivision 2; 609.293, subdivisions 1 and 5; 609.34; and
609.36, are repealed.
EFFECTIVE DATE. This
section is effective August 1, 2023.
ARTICLE 3
PUBLIC SAFETY AND CRIME VICTIMS
Section 1. Minnesota Statutes 2022, section 144.6586, subdivision 2, is amended to read:
Subd. 2. Contents of notice. The commissioners of health and public safety, in consultation with sexual assault victim advocates and health care professionals, shall develop the notice required by subdivision 1. The notice must inform the victim, at a minimum, of:
(1) the obligation under
section 609.35 of the county where the criminal sexual conduct occurred state
to pay for the examination performed for the purpose of gathering evidence,
that payment is not contingent on the victim reporting the criminal sexual
conduct to law enforcement, and that the victim may incur expenses for
treatment of injuries;
(2) the victim's rights if the crime is reported to law enforcement, including the victim's right to apply for reparations under sections 611A.51 to 611A.68, information on how to apply for reparations, and information on how to obtain an order for protection or a harassment restraining order; and
(3) the opportunity under section 611A.27 to obtain status information about an unrestricted sexual assault examination kit, as defined in section 299C.106, subdivision 1, paragraph (h).
Sec. 2. Minnesota Statutes 2022, section 145.4712, is amended to read:
145.4712 EMERGENCY CARE TO SEXUAL ASSAULT VICTIMS.
Subdivision 1. Emergency care to female sexual assault victims. (a) It shall be the standard of care for all hospitals and other health care providers that provide emergency care to, at a minimum:
(1) provide each female sexual assault victim with medically and factually accurate and unbiased written and oral information about emergency contraception from the American College of Obstetricians and Gynecologists and distributed to all hospitals by the Department of Health;
(2) orally inform each female sexual assault victim of the option of being provided with emergency contraception at the hospital or other health care facility; and
(3) immediately provide emergency contraception to each sexual assault victim who requests it provided it is not medically contraindicated and is ordered by a legal prescriber. Emergency contraception shall be administered in accordance with current medical protocols regarding timing and dosage necessary to complete the treatment.
(b) A hospital or health care provider may administer a pregnancy test. If the pregnancy test is positive, the hospital or health care provider does not have to comply with the provisions in paragraph (a).
Subd. 2. Emergency care to male and female sexual assault victims. It shall be the standard of care for all hospitals and health care providers that provide emergency care to, at a minimum:
(1) provide each sexual
assault victim with factually accurate and unbiased written and oral medical
information about prophylactic antibiotics for treatment of sexually
transmitted diseases infections;
(2) orally inform each
sexual assault victim of the option of being provided prophylactic antibiotics
for treatment of sexually transmitted diseases infections at the
hospital or other health care facility; and
(3) immediately provide
prophylactic antibiotics for treatment of sexually transmitted diseases infections
to each sexual assault victim who requests it, provided it is not medically
contraindicated and is ordered by a legal prescriber.
Sec. 3. [260B.020]
OFFICE OF RESTORATIVE PRACTICES.
Subdivision 1. Definition. As used in this section,
"restorative practices" means programs, practices, and policies that
incorporate core principles, including but not limited to voluntariness,
prioritization of agreement by the people closest to the harm on what is needed
to repair the harm, reintegration into the community, honesty, and respect. Further, restorative practices are rooted in
community values and create meaningful outcomes that may include but are not
limited to:
(1) establishing and
meeting goals related to increasing connection to community, restoring
relationships, and increasing empathy, perspective taking, and taking
responsibility for impact of actions by all parties involved;
(2) addressing the needs
of those who have been harmed;
(3) recognizing and
addressing the underlying issues of behavior;
(4) engaging with those
most directly affected by an incident and including community members that
reflect the diversity of the child's environment;
(5) having broad authority to
determine the complete and appropriate responses to specific incidents through
the use of a collaborative process;
(6) providing solutions
and approaches that affirm and are tailored to specific cultures; and
(7) implementing
policies and procedures that are informed by the science of the social,
emotional, and cognitive development of children.
Subd. 2. Establishment. The Office of Restorative Practices is
established within the Department of Public Safety. The Office of Restorative Practices shall
have the powers and duties described in this section.
Subd. 3. Department
of Children, Youth, and Family; automatic transfer. In the event that a Department of
Children, Youth, and Family is created as an independent agency, the Office of
Restorative Practices shall be transferred to that department pursuant to
section 15.039 effective six months following the effective date for
legislation creating that department.
Subd. 4. Director;
other staff. (a) The
commissioner of public safety shall appoint a director of the Office of
Restorative Practices. The director
should have qualifications that include or are similar to the following:
(1) experience in the
many facets of restorative justice and practices such as peacemaking circles,
sentencing circles, community conferencing, community panels, and family group
decision making;
(2) experience in
victim-centered and trauma-informed practices;
(3) knowledge of the
range of social problems that bring children and families to points of crisis
such as poverty, racism, unemployment, and unequal opportunity;
(4) knowledge of the
many ways youth become involved in other systems such as truancy, juvenile
delinquency, child protection; and
(5) understanding of
educational barriers.
(b) The director shall
hire additional staff to perform the duties of the Office of Restorative
Practices. The staff shall be in the
classified service of the state and their compensation shall be established
pursuant to chapter 43A.
Subd. 5. Duties. (a) The Office of Restorative
Practices shall promote the use of restorative practices across multiple
disciplines, including but not limited to:
(1) pretrial diversion
programs established pursuant to section 388.24;
(2) delinquency,
criminal justice, child welfare, and education systems; and
(3) community violence
prevention practices.
(b) The Office of
Restorative Practices shall collaborate with Tribal communities, counties,
multicounty agencies, other state agencies, nonprofit agencies, and other
jurisdictions, and with existing restorative practices initiatives in those
jurisdictions to establish new restorative practices initiatives, support
existing restorative practices initiatives, and identify effective restorative
practices initiatives.
(c) The Office of
Restorative Practices shall encourage collaboration between jurisdictions by
creating a statewide network, led by restorative practitioners, to share
effective methods and practices.
(d) The Office of Restorative
Practices shall create a statewide directory of restorative practices
initiatives. The office shall make this
directory available to all restorative practices initiatives, counties,
multicounty agencies, nonprofit agencies, and Tribes in order to facilitate
referrals to restorative practices initiatives and programs.
(e) The Office of
Restorative Practices shall work throughout the state to build capacity for the
use of restorative practices in all jurisdictions and shall encourage every
county to have at least one available restorative practices initiative.
(f) The Office of
Restorative Practices shall engage restorative practitioners in discerning ways
to measure the effectiveness of restorative efforts throughout the state.
(g) The Office of
Restorative Practices shall oversee the coordination and establishment of local
restorative practices advisory committees.
The office shall oversee compliance with the conditions of this funding
program. If a complaint or concern about
a local advisory committee or a grant recipient is received, the Office of
Restorative Practices shall exercise oversight as provided in this section.
(h) The Office of
Restorative Practices shall provide information to local restorative practices
advisory committees, or restorative practices initiatives in Tribal communities
and governments, counties, multicounty agencies, other state agencies, and other
jurisdictions about best practices that are developmentally tailored to youth,
trauma-informed, and healing-centered, and provide technical support. Providing information includes but is not
limited to sharing data on successful practices in other jurisdictions, sending
notification about available training opportunities, and sharing known
resources for financial support. The
Office of Restorative Practices shall also provide training and technical
support to local restorative practices advisory committees. Training includes but is not limited to the
use and scope of restorative practices, victim-centered restorative practices,
and trauma-informed care.
(i) The Office of
Restorative Practices shall annually establish minimum requirements for the
grant application process.
(j) The Office of
Restorative Practices shall work with Tribes, counties, multicounty agencies,
and nonprofit agencies throughout the state to educate those entities about the
application process for grants and encourage applications.
Subd. 6. Grants. (a) Within available appropriations,
the director shall award grants to establish and support restorative practices
initiatives. An approved applicant must
receive a grant of up to $500,000 each year.
(b) On an annual basis,
the Office of Restorative Practices shall establish a minimum number of
applications that must be received during the application process. If the minimum number of applications is not
received, the office must reopen the application process.
(c) Grants may be
awarded to private and public nonprofit agencies; local units of government,
including cities, counties, and townships; local educational agencies; and
Tribal governments. A restorative
practices advisory committee may support multiple entities applying for grants
based on community needs, the number of youth and families in the jurisdiction,
and the number of restorative practices available to the community. Budgets supported by grant funds can include
contracts with partner agencies.
(d) Applications must
include the following:
(1) a list of willing
restorative practices advisory committee members;
(2) letters of support
from potential restorative practices advisory committee members;
(3) a description of the
planning process that includes:
(i) a description of the
origins of the initiative, including how the community provided input; and
(ii) an estimated number
of participants to be served; and
(4) a formal document
containing a project description that outlines the proposed goals, activities,
and outcomes of the initiative including, at a minimum:
(i) a description of how
the initiative meets the minimum eligibility requirements of the grant;
(ii) the roles and
responsibilities of key staff assigned to the initiative;
(iii) identification of
any key partners, including a summary of the roles and responsibilities of
those partners;
(iv) a description of
how volunteers and other community members are engaged in the initiative; and
(v) a plan for
evaluation and data collection.
(e) In determining the
appropriate amount of each grant, the Office of Restorative Practices shall
consider the number of individuals likely to be served by the local restorative
practices initiative.
Subd. 7. Restorative
practices advisory committees; membership and duties. (a) Restorative practices advisory
committees must include:
(1) a judge of the
judicial district that will be served by the restorative practices initiative;
(2) the county attorney
of a county that will be served by the restorative practices initiative or a
designee;
(3) the chief district
public defender in the district that will be served by the local restorative
justice program or a designee;
(4) a representative
from the children's unit of a county social services agency assigned to the
area that will be served by the restorative practices initiative;
(5) a representative
from the local probation department or community corrections agency that works
with youth in the area that will be served by the restorative practices
initiative;
(6) a representative
from a local law enforcement agency that operates in the area that will be
served by the restorative practices initiative;
(7) a school
administrator or designee from a school or schools that operate in the area
that will be served by the restorative practices initiative;
(8) multiple community
members that reflect the racial, socioeconomic, and other diversity of the
population of a county that will be served by the local restorative justice
program and the individuals most frequently involved in the truancy, juvenile
offender, and juvenile safety and placement systems;
(9) restorative
practitioners, including restorative practitioners from within the community if
available and, if not, from nearby communities;
(10) parents, youth, and
justice-impacted participants; and
(11) at least one
representative from a victims advocacy group.
(b) Community members
described in paragraph (a), clause (8), must make up at least one-third of the
restorative practices advisory committee.
(c) Community members,
parents, youth, and justice-impacted participants participating in the advisory
committee may receive a per diem from grant funds in the amount determined by
the General Services Administration.
(d) The restorative
practices advisory committees must utilize restorative practices in their
decision-making process and come to consensus when developing, expanding, and
maintaining restorative practices criteria and referral processes for their
communities.
(e) Restorative
practices advisory committees shall be responsible for establishing eligibility
requirements for referrals to the local restorative practices initiative. Once restorative practices criteria and
referral processes are developed, children, families, and cases, depending upon
the point of prevention or intervention, must be referred to the local
restorative practices initiatives or programs that serve the county, local
community, or Tribal community where the child and family reside.
(f) Referrals may be
made under circumstances, including but not limited to:
(1) as an alternative to
arrest as outlined in section 260B.1755;
(2) for a juvenile petty
offense;
(3) for a juvenile
traffic offense;
(4) for a juvenile
delinquency offense, including before and after a delinquency petition has been
filed;
(5) for a child
protection case, including before and after adjudication;
(6) for a children's
mental health case;
(7) for a juvenile
status offense, including but not limited to truancy or running away;
(8) for substance use
issues;
(9) for situations involving
transition to or from the community; and
(10) through
self-referral.
Subd. 8. Oversight
of restorative practices advisory committees. (a) Complaints by restorative
practices advisory committee members, community members, restorative practices
initiatives, or restorative practices practitioners regarding concerns about
grant recipients may be made to the Office of Restorative Practices.
(b) The Office of
Restorative Practices may prescribe the methods by which complaints to the
office are to be made, reviewed, and acted upon.
(c) The Office of Restorative
Practices shall establish and use a restorative process to respond to
complaints so that grant recipients are being held to their agreed upon
responsibilities and continue to meet the minimum eligibility requirements for
grants to local restorative practices initiatives for the duration of the
grant.
Subd. 9. Report. By February 15 of each year, the
director shall report to the chairs and ranking minority members of the
legislative committees and divisions with jurisdiction over public safety,
human services, and education, on the work of the Office of Restorative Practices,
any grants issued pursuant to this section, and the status of local restorative
practices initiatives in the state that were reviewed in the previous year.
Sec. 4. Minnesota Statutes 2022, section 297I.06, subdivision 1, is amended to read:
Subdivision 1. Insurance
policies surcharge. (a) Except as
otherwise provided in subdivision 2, each licensed insurer engaged in writing
policies of homeowner's insurance authorized in section 60A.06, subdivision 1, clause
(1)(c), or commercial fire policies or commercial nonliability policies shall
collect a surcharge as provided in this paragraph. Through June 30, 2013, The surcharge
is equal to 0.65 percent of the gross premiums and assessments, less return
premiums, on direct business received by the company, or by its agents for it,
for homeowner's insurance policies, commercial fire policies, and commercial
nonliability insurance policies in this state.
Beginning July 1, 2013, the surcharge is 0.5 percent.
(b) The surcharge amount collected under paragraph (a) or subdivision 2, paragraph (b), may not be considered premium for any other purpose. The surcharge amount under paragraph (a) must be separately stated on either a billing or policy declaration or document containing similar information sent to an insured.
(c) Amounts collected by the commissioner under this section must be deposited in the fire safety account established pursuant to subdivision 3.
Sec. 5. Minnesota Statutes 2022, section 299A.38, is amended to read:
299A.38 SOFT BODY ARMOR REIMBURSEMENT.
Subdivision 1. Definitions. As used in this section:
(a) (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;
(b) (3) "peace
officer" means a person who is licensed under section 626.84, subdivision
1, paragraph (c).;
(4) "public safety
officer" means a firefighter or qualified emergency medical service
provider;
(5) "qualified
emergency medical service provider" means a person certified under section
144E.101 who is actively employed by a Minnesota licensed ambulance service;
and
(c) (6) "vest"
means bullet-resistant soft body armor that is flexible, concealable, and
custom fitted to the peace officer to provide ballistic and trauma protection.
Subd. 2. State and local reimbursement. Peace officers and heads of local law enforcement agencies and public safety officers and heads of agencies and entities who buy vests for the use of peace officer employees, public safety officer employees, or both 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 $600, as adjusted according to subdivision 2a. The political subdivision, agency, or entity that employs the peace officer or public safety officer shall pay at least the lesser of one-half of the vest's purchase price or $600, as adjusted according to subdivision 2a. The political subdivision, agency, or entity may not deduct or pay its share of the vest's cost from any clothing, maintenance, or similar allowance otherwise provided to the peace officer by the law enforcement agency or public safety officer by the employing agency or entity.
Subd. 2a. Adjustment of reimbursement amount. On October 1, 2006, the commissioner of public safety shall adjust the $600 reimbursement amounts specified in subdivision 2, and in each subsequent year, on October 1, the commissioner shall adjust the reimbursement amount applicable immediately preceding that October 1 date. The adjusted rate must reflect the annual percentage change in the Consumer Price Index for all urban consumers, published by the federal Bureau of Labor Statistics, occurring in the one-year period ending on the preceding June 1.
Subd. 3. Eligibility requirements. (a) Only vests that either meet or exceed the requirements of standard 0101.03 of the National Institute of Justice or that meet or exceed the requirements of that standard, except wet armor conditioning, are eligible for reimbursement.
(b) Eligibility for reimbursement is limited to vests bought after December 31, 1986, by or for peace officers (1) who did not own a vest meeting the requirements of paragraph (a) before the purchase, or (2) who owned a vest that was at least five years old.
(c) The requirement set forth in paragraph (b), clauses (1) and (2), shall not apply to any peace officer who purchases a vest constructed from a zylon-based material, provided that the peace officer provides proof of purchase or possession of the vest prior to July 1, 2005.
Subd. 4. Rules. The commissioner may adopt rules under chapter 14 to administer this section.
Subd. 5. Limitation
of liability. A state agency,
political subdivision of the state, or state or local government
employee, or other entity that provides reimbursement for purchase of a
vest under this section is not liable to a peace officer or the peace officer's
heirs or a public safety officer or the public safety officer's heirs
for negligence in the death of or injury to the peace officer because
the vest was defective or deficient.
Subd. 6. Right to benefits unaffected. A peace officer or 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.
Sec. 6. Minnesota Statutes 2022, section 299A.41, subdivision 3, is amended to read:
Subd. 3. Killed in the line of duty. "Killed in the line of duty" does not include deaths from natural causes, except as provided in this subdivision. In the case of a public safety officer, killed in the line of duty includes the death of a public safety officer caused by accidental means while the public safety officer is acting in the course and scope of duties as a public safety officer. Killed in the line of duty also means if a public safety officer dies as the direct and proximate result of a heart attack, stroke, or vascular rupture, that officer shall be presumed to have died as the direct and proximate result of a personal injury sustained in the line of duty if:
(1) that officer, while on duty:
(i) engaged in a situation, and that engagement involved nonroutine stressful or strenuous physical law enforcement, fire suppression, rescue, hazardous material response, emergency medical services, prison security, disaster relief, or other emergency response activity; or
(ii) participated in a training exercise, and that participation involved nonroutine stressful or strenuous physical activity;
(2) that officer died as a result of a heart attack, stroke, or vascular rupture suffered:
(i) while engaging or participating under clause (1);
(ii) while still on duty after engaging or participating under clause (1); or
(iii) not later than 24
hours after engaging or participating under clause (1); and
(3) that officer died due
to suicide secondary to a diagnosis of posttraumatic stress disorder as
described in the most recent edition of the Diagnostic and Statistical Manual
of Mental Disorders published by the American Psychiatric Association;
(4) within 45 days of the
end of exposure, while on duty, to a traumatic event. As used in this section, "traumatic
event" means an officer exposed to an event that is:
(i) a homicide, suicide,
or the violent or gruesome death of another individual, including but not
limited to a death resulting from a mass casualty event, mass fatality event,
or mass shooting;
(ii) a harrowing
circumstance posing an extraordinary and significant danger or threat to the
life of or of serious bodily harm to any individual, including but not limited
to a death resulting from a mass casualty event, mass fatality event, or mass
shooting; or
(iii) an act of criminal
sexual violence committed against any individual; and
(3) (5) the
presumption is not overcome by competent medical evidence to the contrary.
Sec. 7. Minnesota Statutes 2022, section 299A.85, subdivision 6, is amended to read:
Subd. 6. 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 Indigenous women, children, and Two-Spirit relatives in Minnesota, including names, dates of disappearance, and dates of death, to the extent the data is publicly available. The report must also identify and describe the work of any reward advisory group and itemize the expenditures of the Gaagige‑Mikwendaagoziwag reward account, if any. 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.
Sec. 8. [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.
(c) The director and
full-time staff shall be members of the Minnesota State Retirement Association.
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) 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;
(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) analyze and 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) analyze and 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: cold cases for missing Black women and girls
and 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, including but not limited to the Bureau of Criminal Apprehension, 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;
(20) consult with the
Council for Minnesotans of African Heritage established in section 15.0145; and
(21) 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.
Subd. 4. Coordination
with other organizations. In
fulfilling its duties, the office may coordinate, as useful, 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. Acceptance
of gifts and receipt of grants. (a)
A missing and murdered Black women and girls account is established in the
special revenue fund. Money in the
account, including interest earned, is appropriated to the office for the
purposes of carrying out the office's duties, including but not limited to
issuing grants to community-based organizations.
(b) Notwithstanding sections
16A.013 to 16A.016, the office may accept funds contributed by individuals and
may apply for and receive grants from public and private entities. The funds accepted or received under this subdivision must be deposited in the missing and
murdered Black women and girls account created under paragraph (a).
Subd. 7. Grants
to organizations. (a) The
office shall issue grants to community-based organizations that provide
services designed to prevent or end the targeting of Black women or girls, or
to provide assistance to victims of offenses that targeted Black women or
girls.
(b) Grant recipients
must use money to:
(1) provide services
designed to reduce or prevent crimes or other negative behaviors that target
Black women or girls;
(2) provide training to
the community about how to handle situations and crimes involving the targeting
of Black women and girls, including but not limited to training for law
enforcement officers, county attorneys, city attorneys, judges, and other criminal
justice partners; or
(3) provide services to
Black women and girls who are victims of crimes or other offenses, or to the
family members of missing and murdered Black women and girls.
(c) Applicants must
apply in a form and manner established by the office.
(d) Grant recipients
must provide an annual report to the office that includes:
(1) the services
provided by the grant recipient;
(2) the number of
individuals served in the previous year; and
(3) any other
information required by the office.
(e) On or before
February 1 of each year, the office shall report to the legislative committees
and divisions with jurisdiction over public safety on the work of grant
recipients, including a description of the number of entities awarded grants,
the amount of those grants, and the number of individuals served by the
grantees.
(f) The office may enter
into agreements with the Office of Justice Programs for the administration of
grants issued under this subdivision.
Subd. 8. 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. 9. [299C.055]
LEGISLATIVE REPORT ON FUSION CENTER ACTIVITIES.
(a) The superintendent
must prepare an annual report for the public and the legislature on the
Minnesota Fusion Center (MNFC) that includes general information about the
MNFC; the types of activities it monitors; the scale of information it collects;
the local, state, and federal agencies with which it shares information; and
the quantifiable benefits it produces. None
of the reporting requirements in this section supersede chapter 13 or any other
state or federal law. The superintendent
must report on activities for the preceding calendar year unless another time
period is specified. The report must
include the following information, to the extent allowed by other law:
(1) the MNFC's operating
budget for the current biennium, number of staff, and staff duties;
(2) the number of publications
generated and an overview of the type of information provided in the
publications, including products such as law enforcement briefs, partner
briefs, risk assessments, threat assessments, and operational reports;
(3) a summary of audit
findings for the MNFC and what corrective actions were taken pursuant to
audits;
(4) the number of data
requests received by the MNFC and a general description of those requests;
(5) the types of
surveillance and data analysis technologies utilized by the MNFC, such as
artificial intelligence or social media analysis tools;
(6) a description of the commercial and governmental databases utilized
by the MNFC to the extent permitted by law;
(7) the number of
suspicious activity reports (SARs) received and processed by the MNFC;
(8) the number of SARs
received and processed by the MNFC that were converted into Bureau of Criminal
Apprehension case files, that were referred to the Federal Bureau of
Investigation, or that were referred to local law enforcement agencies;
(9) the number of SARs
received and processed by the MNFC that involve an individual on the Terrorist
Screening Center watchlist;
(10) the number of
requests for information (RFIs) that the MNFC received from law enforcement
agencies and the number of responses to federal requests for RFIs;
(11) the names of the
federal agencies the MNFC received data from or shared data with;
(12) the names of the
agencies that submitted SARs;
(13) a summary description
of the MNFC's activities with the Joint Terrorism Task Force; and
(14) the number of
investigations aided by the MNFC's use of SARs and RFIs.
(b) The agency must use
existing appropriations to fund preparation of reports required under this
section.
(c) The report shall be
provided to the chairs and ranking minority members of the committees of the
house of representatives and senate with jurisdiction over data practices and
public safety issues, and shall be posted on the MNFC website by February 15
each year beginning on February 15, 2024.
Sec. 10. [299C.061]
STATE FRAUD UNIT.
Subdivision 1. Definitions. As used in this section, the following
terms have the meanings provided:
(1) "fraud"
includes any violation of sections 609.466, 609.611, 609.651, 609.7475, or
609.821;
(2) "peace
officer" has the meaning given in section 626.84, subdivision 1, paragraph
(c);
(3) "state
agency" has the meaning given in section 13.02, subdivision 17;
(4)
"superintendent" means the superintendent of the Bureau of Criminal
Apprehension; and
(5) "unit"
means the State Fraud Unit housed at the Bureau of Criminal Apprehension.
Subd. 2. State
Fraud Unit. The
superintendent shall form a State Fraud Unit within the Bureau of Criminal
Apprehension to conduct investigations into fraud involving state-funded
programs or services subject to availability of funds.
Subd. 3. Mandatory
referral; duty to investigate. A
state agency shall refer all suspected fraudulent activity under the provisions
noted within subdivision 1, clause (1), equaling $100,000 or more, to the unit
for evaluation and investigation or appropriate referral. Upon receipt of this referral, the unit shall
review and, where appropriate, conduct criminal investigations into such
allegations. The unit has sole
discretion as to which allegations are investigated further, referred back to
the reporting agency for appropriate regulatory investigation, or referred to
another law enforcement agency with appropriate jurisdiction.
Subd. 4. Discretionary
referral. (a) A state agency
may refer suspected fraudulent activity related to any state‑funded
programs or services equaling less than $100,000 to the unit for investigation. Upon referral, the unit shall:
(1) accept the referral
and, where appropriate, conduct criminal investigations into the allegations
and make appropriate referrals for criminal prosecution; or
(2) redirect the referral
to another appropriate law enforcement agency or civil investigative authority,
offering assistance where appropriate.
Subd. 5. State
agency reporting. By January
15 of each year, each state agency must report all suspected fraudulent
activities equaling $10,000 or more to the unit to be summarized in the report
under subdivision 6.
Subd. 6. State
Fraud Unit annual report. By
February 1 of each odd-numbered year, the superintendent shall report to the commissioner,
the governor, and the chairs and ranking minority members of the legislative
committees with jurisdiction over public safety finance and policy the
following information about the unit:
(1) the number of
investigations initiated;
(2) the number of
allegations investigated;
(3) the outcomes or
current status of each investigation;
(4) the charging
decisions made by the prosecuting authority of incidents investigated by the
unit;
(5) the number of plea
agreements reached in incidents investigated by the unit;
(6) the number of reports
received under subdivision 5; and
(7) any other information
relevant to the unit's mission.
EFFECTIVE DATE. Subdivisions
1, 3, 5, and 6 are effective July 1, 2023.
Subdivisions 3 and 4 are effective January 1, 2024.
Sec. 11. Minnesota Statutes 2022, section 299C.106, subdivision 3, is amended to read:
Subd. 3. Submission and storage of sexual assault examination kits. (a) Within 60 days of receiving an unrestricted sexual assault examination kit, a law enforcement agency shall submit the kit for testing to a forensic laboratory. The testing laboratory shall return unrestricted sexual assault examination kits to the submitting agency for storage after testing is complete. The submitting agency must store unrestricted sexual assault examination kits indefinitely.
(b) Within 60 days of a
hospital preparing a restricted sexual assault examination kit or a law
enforcement agency receiving a restricted sexual assault examination kit from a
hospital, the hospital or the agency shall submit the kit to the Bureau of
Criminal Apprehension a forensic laboratory. The bureau laboratory shall
store all restricted sexual assault examination kits collected by hospitals or
law enforcement agencies in the state. The
bureau laboratory shall retain a restricted sexual assault examination
kit for at least 30 months from the date the bureau laboratory
receives the kit.
(c) The receiving
forensic laboratory must test the sexual assault examination kit within 90 days
of receipt from a hospital or law enforcement agency. Upon completion of testing, the forensic
laboratory will update the kit‑tracking database to indicate that testing
is complete. The forensic laboratory
must notify the submitting agency when any kit testing does not meet the 90-day
deadline and provide an estimated time frame for testing completion.
Sec. 12. Minnesota Statutes 2022, section 299C.53, subdivision 3, is amended to read:
Subd. 3. Missing
and endangered persons. The
Bureau of Criminal Apprehension must operate a missing person alert program. If the Bureau of Criminal Apprehension
receives a report from a law enforcement agency indicating that a person is
missing and endangered, the superintendent must originate an alert. The superintendent may assist the law
enforcement agency in conducting the preliminary investigation, offer
resources, and assist the agency in helping implement the investigation policy
with particular attention to the need for immediate action. The law enforcement agency shall promptly
notify all appropriate law enforcement agencies in the state and is required
to issue a missing person alert utilizing the Crime Alert Network as prescribed
in section 299A.61 and, if deemed appropriate, law enforcement agencies in
adjacent states or jurisdictions of any information that may aid in the prompt
location and safe return of a missing and endangered person. The superintendent shall provide guidance
on issuing alerts using this system and provide the system for law enforcement
agencies to issue these alerts. The
Bureau of Criminal Apprehension may provide assistance to agencies in issuing
missing person alerts as required by this section.
Sec. 13. Minnesota Statutes 2022, section 299F.46, subdivision 1, is amended to read:
Subdivision 1. Hotel inspection. (a) It shall be the duty of the commissioner of public safety to inspect, or cause to be inspected, at least once every three years, every hotel in this state; and, for that purpose, the commissioner, or the commissioner's deputies or designated alternates or agents, shall have the right to enter or have access thereto at any reasonable hour; and, when, upon such inspection, it shall be found that the hotel so inspected does not conform to or is not being operated in accordance with the provisions of sections 157.011 and 157.15 to 157.22, in so far as the same relate to fire prevention or fire protection of hotels, or the rules promulgated thereunder, or is being maintained or operated in such manner as to violate the Minnesota State Fire Code promulgated pursuant to section 326B.02, subdivision 6, 299F.51, or any other law of this state relating to fire prevention and fire protection of hotels, the commissioner and the deputies or designated alternates or agents shall report such a situation to the hotel inspector who shall proceed as provided for in chapter 157.
(b) The word "hotel", as used in this subdivision, has the meaning given in section 299F.391.
Sec. 14. Minnesota Statutes 2022, section 299F.50, is amended by adding a subdivision to read:
Subd. 11. Hotel. "Hotel" means 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.
Sec. 15. Minnesota Statutes 2022, section 299F.50, is amended by adding a subdivision to read:
Subd. 12. Lodging
house. "Lodging
house" means 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.
Sec. 16. Minnesota Statutes 2022, section 299F.51, subdivision 1, is amended to read:
Subdivision 1. Generally. (a) Every single family single-family
dwelling and every dwelling unit in a multifamily dwelling must have an
approved and operational carbon monoxide alarm installed within ten feet of
each room lawfully used for sleeping purposes.
(b) Every guest room in a
hotel or lodging house must have an approved and operational carbon monoxide
alarm installed in each room lawfully used for sleeping purposes.
Sec. 17. Minnesota Statutes 2022, section 299F.51, subdivision 2, is amended to read:
Subd. 2. Owner's duties. (a) The owner of a multifamily dwelling unit which is required to be equipped with one or more approved carbon monoxide alarms must:
(1) provide and install one approved and operational carbon monoxide alarm within ten feet of each room lawfully used for sleeping; and
(2) replace any required carbon monoxide alarm that has been stolen, removed, found missing, or rendered inoperable during a prior occupancy of the dwelling unit and which has not been replaced by the prior occupant prior to the commencement of a new occupancy of a dwelling unit.
(b) The owner of a hotel
or lodging house that is required to be equipped with one or more approved
carbon monoxide alarms must:
(1) provide and install
one approved and operational carbon monoxide alarm in each room lawfully used
for sleeping; and
(2) replace any required
carbon monoxide alarm that has been stolen, removed, found missing, or rendered
inoperable during a prior occupancy and that has not been replaced by the prior
occupant prior to the commencement of a new occupancy of a hotel guest room or
lodging house.
Sec. 18. Minnesota Statutes 2022, section 299F.51, subdivision 5, is amended to read:
Subd. 5. Exceptions;
certain multifamily dwellings and state-operated facilities. (a) In lieu of requirements of
subdivision 1, multifamily dwellings may have approved and operational carbon
monoxide alarms detectors installed between 15 and 25 feet of
carbon monoxide-producing central fixtures and equipment, provided there is a
centralized alarm system or other mechanism for responsible parties to hear the
alarm at all times.
(b) An owner of a multifamily dwelling that contains minimal or no sources of carbon monoxide may be exempted from the requirements of subdivision 1, provided that such owner certifies to the commissioner of public safety that such multifamily dwelling poses no foreseeable carbon monoxide risk to the health and safety of the dwelling units.
(c) The requirements of this section do not apply to facilities owned or operated by the state of Minnesota.
Sec. 19. Minnesota Statutes 2022, section 299F.51, is amended by adding a subdivision to read:
Subd. 6. Safety
warning. A first violation of
this section shall not result in a penalty, but is punishable by a safety
warning. A second or subsequent
violation is a petty misdemeanor.
Sec. 20. Minnesota Statutes 2022, section 299M.10, is amended to read:
299M.10 MONEY CREDITED TO GENERAL FUND.
The fees and penalties
collected under this chapter, except as provided in section 299M.07, must
be deposited in the state treasury and credited to the general fund. Money received by the State Fire Marshal
Division in the form of gifts, grants, reimbursements, or appropriation from
any source for the administration of this chapter must also be deposited in the
state treasury and credited to the general fund. state fire marshal
account, which is established in the special revenue fund. Money in the state fire marshal account is
annually appropriated to the commissioner of public safety to administer the
programs under this chapter.
Sec. 21. Minnesota Statutes 2022, section 326.32, subdivision 10, is amended to read:
Subd. 10. License holder. "License holder" means any individual, partnership as defined in section 323A.0101, clause (8), or corporation licensed to perform the duties of a private detective or a protective agent.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. [604.32]
CAUSE OF ACTION FOR NONCONSENSUAL DISSEMINATION OF A DEEP FAKE DEPICTING
INTIMATE PARTS OR SEXUAL ACTS.
Subdivision 1. Definitions. (a) As used in this section, the
following terms have the meanings given.
(b) "Deep
fake" means any video recording, motion-picture film, sound recording,
electronic image, or photograph, or any technological representation of speech
or conduct substantially derivative thereof:
(1) which appears to
authentically depict any speech or conduct of an individual who did not in fact
engage in such speech or conduct; and
(2) the production of
which was substantially dependent upon technical means, rather than the ability
of another individual to physically or verbally impersonate such individual.
(c) "Depicted
individual" means an individual in a deep fake who appears to be engaging
in speech or conduct in which the individual did not engage.
(d) "Intimate
parts" means the genitals, pubic area, partially or fully exposed nipple,
or anus of an individual.
(e) "Personal
information" means any identifier that permits communication or in-person
contact with a person, including:
(1) a person's first and
last name, first initial and last name, first name and last initial, or
nickname;
(2) a person's home,
school, or work address;
(3) a person's telephone
number, email address, or social media account information; or
(4) a person's geolocation
data.
(f) "Sexual
act" means either sexual contact or sexual penetration.
(g) "Sexual
contact" means the intentional touching of intimate parts or intentional
touching with seminal fluid or sperm onto another person's body.
(h) "Sexual
penetration" means any of the following acts:
(1) sexual intercourse,
cunnilingus, fellatio, or anal intercourse; or
(2) any intrusion,
however slight, into the genital or anal openings of an individual by another's
body part or an object used by another for this purpose.
Subd. 2. Nonconsensual
dissemination of a deep fake. (a)
A cause of action against a person for the nonconsensual dissemination of a
deep fake exists when:
(1) a person
disseminated a deep fake without the consent of the depicted individual;
(2) the deep fake
realistically depicts any of the following:
(i) the intimate parts
of another individual presented as the intimate parts of the depicted
individual;
(ii) artificially
generated intimate parts presented as the intimate parts of the depicted
individual; or
(iii) the depicted
individual engaging in a sexual act; and
(3) the depicted
individual is identifiable:
(i) from the deep fake
itself, by the depicted individual or by another person; or
(ii) from the personal
information displayed in connection with the deep fake.
(b) The fact that the
depicted individual consented to the creation of the deep fake or to the
voluntary private transmission of the deep fake is not a defense to liability
for a person who has disseminated the deep fake without consent.
Subd. 3. Damages. The court may award the following
damages to a prevailing plaintiff from a person found liable under subdivision
2:
(1) general and special
damages, including all finance losses due to the dissemination of the deep fake
and damages for mental anguish;
(2) an amount equal to
any profit made from the dissemination of the deep fake by the person who
intentionally disclosed the deep fake;
(3) a civil penalty
awarded to the plaintiff of an amount up to $10,000; and
(4) court costs, fees,
and reasonable attorney fees.
Subd. 4. Injunction;
temporary relief. (a) A court
may issue a temporary or permanent injunction or restraining order to prevent
further harm to the plaintiff.
(b) The court may issue
a civil fine for the violation of a court order in an amount up to $1,000 per
day for failure to comply with an order granted under this section.
Subd. 5. Confidentiality. The court shall allow confidential
filings to protect the privacy of the plaintiff in cases filed under this
section.
Subd. 6. Liability;
exceptions. (a) No person
shall be found liable under this section when:
(1) the dissemination is
made for the purpose of a criminal investigation or prosecution that is
otherwise lawful;
(2) the dissemination is
for the purpose of, or in connection with, the reporting of unlawful conduct;
(3) the dissemination is
made in the course of seeking or receiving medical or mental health treatment,
and the image is protected from further dissemination;
(4) the deep fake was
obtained in a commercial setting for the purpose of the legal sale of goods or
services, including the creation of artistic products for sale or display, and
the depicted individual knew that a deep fake would be created and disseminated
in a commercial setting;
(5) the deep fake
relates to a matter of public interest and dissemination serves a lawful public
purpose and the person disseminating the deep fake as a matter of public
interest clearly identifies that the video recording, motion‑picture
film, sound recording, electronic image, or photograph, or other item is a deep
fake, and acts in good faith to prevent further dissemination of the deep fake;
(6) the dissemination is
for legitimate scientific research or educational purposes and the deep fake is
clearly identified as such, and the person acts in good faith to minimize the
risk that the deep fake will be further disseminated; or
(7) the dissemination is
made for legal proceedings and is consistent with common practice in civil
proceedings necessary for the proper functioning of the criminal justice
system, or protected by court order which prohibits any further dissemination.
(b) This section does not
alter or amend the liabilities and protections granted by United States Code,
title 47, section 230, and shall be construed in a manner consistent with
federal law.
(c) A cause of action
arising under this section does not prevent the use of any other cause of
action or remedy available under the law.
Subd. 7. Jurisdiction. A court has jurisdiction over a cause
of action filed pursuant to this section if the plaintiff or defendant resides
in this state.
Subd. 8. Venue. A cause of action arising under this
section may be filed in either:
(1) the county of
residence of the defendant or plaintiff or in the jurisdiction of the
plaintiff's designated address if the plaintiff participates in the address
confidentiality program established by chapter 5B; or
(2) the county where any
deep fake is produced, reproduced, or stored in violation of this section.
Subd. 9. Discovery
of dissemination. In a civil
action brought under subdivision 2, the statute of limitations is tolled until
the plaintiff discovers the deep fake has been disseminated.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to dissemination of a deep
fake that takes place on or after that date.
Sec. 23. Minnesota Statutes 2022, section 609.35, is amended to read:
609.35 COSTS OF MEDICAL EXAMINATION.
(a) Costs incurred by a county,
city, or private hospital or other emergency medical facility or by a private
physician, sexual assault nurse examiner, forensic nurse, or other licensed
health care provider for the examination of a victim of criminal sexual
conduct when the examination is performed for the purpose of gathering
evidence that occurred in the state shall be paid by the county
in which the criminal sexual conduct occurred state. These costs include, but are not
limited to, the full cost of the rape kit medical
forensic examination, associated tests and treatments relating to the
complainant's sexually transmitted disease status infection,
and pregnancy status, including emergency contraception. A hospital, emergency medical facility, or
health care provider shall submit the costs for examination and any associated
tests and treatment to the Office of Justice Programs for payment. Upon receipt of the costs, the commissioner
shall provide payment to the facility or health care provider. The cost of the examination and any
associated test and treatments shall not exceed the amount of $1,400. Beginning on January 1, 2024, the maximum
amount of an award shall be adjusted annually by the inflation rate.
(b) Nothing in this section
shall be construed to limit the duties, responsibilities, or liabilities of any
insurer, whether public or private. However,
a county The hospital or other licensed health care provider performing
the examination may seek insurance reimbursement from the victim's insurer
only if authorized by the victim. This
authorization may only be sought after the examination is performed. When seeking this authorization, the county
hospital or other licensed health care provider shall inform the victim
that if the victim does not authorize this, the county state is
required by law to pay for the examination and that the victim is in no way
liable for these costs or obligated to authorize the reimbursement.
(c) The applicability of this section does not depend upon whether the victim reports the offense to law enforcement or the existence or status of any investigation or prosecution.
EFFECTIVE DATE. This
section is effective July 1, 2023, and applies to any examination that occurs
on or after that date.
Sec. 24. Minnesota Statutes 2022, section 611A.211, subdivision 1, is amended to read:
Subdivision 1. Grants. The commissioner of public safety shall award grants to programs which provide support services or emergency shelter and housing supports as defined by section 611A.31 to victims of sexual assault. The commissioner shall also award grants for training, technical assistance, and the development and implementation of education programs to increase public awareness of the causes of sexual assault, the solutions to preventing and ending sexual assault, and the problems faced by sexual assault victims.
Sec. 25. Minnesota Statutes 2022, section 611A.31, subdivision 2, is amended to read:
Subd. 2. Battered
woman Domestic abuse victim. "Battered
woman" "Domestic abuse victim" means a woman person
who is being or has been victimized by domestic abuse as defined in section
518B.01, subdivision 2.
Sec. 26. Minnesota Statutes 2022, section 611A.31, subdivision 3, is amended to read:
Subd. 3. Emergency
shelter services. "Emergency
shelter services" include, but are not limited to, secure crisis shelters
for battered women domestic abuse victims and housing networks
for battered women domestic abuse victims.
Sec. 27. Minnesota Statutes 2022, section 611A.31, is amended by adding a subdivision to read:
Subd. 3a. Housing
supports. "Housing
supports" means services and supports used to enable victims to secure and
maintain transitional and permanent housing placement. Housing supports include but are not limited
to rental assistance and financial assistance to maintain housing stability. Transitional housing placements may take
place in communal living, clustered site or scattered site programs, or other
transitional housing models.
Sec. 28. Minnesota Statutes 2022, section 611A.32, is amended to read:
611A.32 BATTERED WOMEN DOMESTIC ABUSE PROGRAMS.
Subdivision 1. Grants
awarded. The commissioner shall
award grants to programs which provide emergency shelter services to
battered women, housing supports, and support services to battered
women and domestic abuse victims and their children. The commissioner shall also award grants for
training, technical assistance, and for the development and implementation of
education programs to increase public awareness of the causes of battering
domestic abuse, the solutions to preventing and ending domestic
violence, and the problems faced by battered women and domestic abuse
victims. Grants shall be awarded in a
manner that ensures that they are equitably distributed to programs serving
metropolitan and nonmetropolitan populations.
By July 1, 1995, community-based domestic abuse advocacy and support
services programs must be established in every judicial assignment district.
Subd. 1a. Program
for American Indian women domestic abuse victims. The commissioner shall establish at least
one program under this section to provide emergency shelter services and
support services to battered American Indian women domestic
abuse victims and their children. The
commissioner shall grant continuing operating expenses to the program
established under this subdivision in the same manner as operating expenses are
granted to programs established under subdivision 1.
Subd. 2. Applications. Any public or private nonprofit agency
may apply to the commissioner for a grant to provide emergency shelter services
to battered women, housing supports, support services, and one
or more of these services and supports to domestic abuse victims, or
both, to battered women and their children.
The application shall be submitted in a form approved by the
commissioner by rule adopted under chapter 14 and shall include:
(1) a proposal for the
provision of emergency shelter services for battered women, housing
supports, support services, and one or more of these services and
supports for domestic abuse victims, or both, for battered women and
their children;
(2) a proposed budget;
(3) the agency's overall operating budget, including documentation on the retention of financial reserves and availability of additional funding sources;
(4) evidence of an ability to integrate into the proposed program the uniform method of data collection and program evaluation established under section 611A.33;
(5) evidence of an ability to
represent the interests of battered women and domestic abuse victims and
their children to local law enforcement agencies and courts, county welfare
agencies, and local boards or departments of health;
(6) evidence of an ability to do outreach to unserved and underserved populations and to provide culturally and linguistically appropriate services; and
(7) any other content the
commissioner may require by rule adopted under chapter 14, after considering
the recommendations of the advisory council.
Programs which have been approved for grants in prior years may submit materials which indicate changes in items listed in clauses (1) to (7), in order to qualify for renewal funding. Nothing in this subdivision may be construed to require programs to submit complete applications for each year of renewal funding.
Subd. 3. Duties
of grantees. Every public or private
nonprofit agency which receives a grant to provide emergency shelter services to
battered women and, housing supports, or support services to battered
women and domestic abuse victims shall comply with all rules of the
commissioner related to the administration of the pilot programs.
Subd. 5. Classification of data collected by grantees. Personal history information and other information collected, used or maintained by a grantee from which the identity or location of any victim of domestic abuse may be determined is private data on individuals, as defined in section 13.02, subdivision 12, and the grantee shall maintain the data in accordance with the provisions of chapter 13.
Sec. 29. RULES;
SOFT BODY ARMOR REIMBURSEMENT.
The commissioner of
public safety shall amend rules adopted under Minnesota Statutes, section
299A.38, subdivision 4, to reflect the soft body armor reimbursement for public
safety officers under that section.
Sec. 30. GAAGIGE-MIKWENDAAGOZIWAG
REWARD ACCOUNT FOR INFORMATION ON MISSING AND MURDERED INDIGENOUS RELATIVES.
Subdivision 1. Definitions. As used in this section:
(1)
"Gaagige-Mikwendaagoziwag" means "they will be remembered
forever";
(2) "missing and
murdered Indigenous relatives" means missing and murdered Indigenous
people from or descended from a federally recognized Indian Tribe; and
(3)
"Two-Spirit" means cultural, spiritual, sexual, and gender identity
as reflected in complex Indigenous understandings of gender roles,
spirituality, and the long history of gender diversity in Indigenous cultures.
Subd. 2. Account
created. An account for
rewards for information on missing and murdered Indigenous women, girls, boys,
and Two-Spirit relatives is created in the special revenue fund. Money deposited into the account is
appropriated to the commissioner of public safety to pay rewards and for the
purposes provided under this section.
Subd. 3. Reward. The director of the Office for Missing
and Murdered Indigenous Relatives, in consultation with the
Gaagige-Mikwendaagoziwag reward advisory group:
(1) shall determine the
eligibility criteria and procedures for granting rewards under this section;
and
(2) is authorized to pay a
reward to any person who provides relevant information relating to a missing
and murdered Indigenous woman, girl, boy, and Two-Spirit relative
investigation.
Subd. 4. Reward
advisory group. (a) The
director of the Office for Missing and Murdered Indigenous Relatives, in
consultation with the stakeholder groups described in Minnesota Statutes,
section 299A.85, subdivision 5, shall appoint an advisory group to make
recommendations on:
(1) paying rewards under
this section;
(2) supporting
community-based efforts through funding community-led searches and search kits,
including but not limited to global position system devices and vests;
community-led communications, including but not limited to flyers, staples, and
duct tape; and other justice-related expenses;
(3) funding for
community-led communications and outreach, including but not limited to
billboards and other media-related expenses;
(4) funding activities
and programs to gather information on missing and murdered Indigenous women,
girls, boys, and Two-Spirit relatives and to partner with and support
community-led efforts;
(5) developing,
implementing, and coordinating prevention and awareness programming based on
best practices and data-driven research; and
(6) any other funding
activities and needs.
(b) 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;
(6) a representative
from the Minnesota Human Trafficking Task Force; and
(7) a survivor or family
member of a missing and murdered Indigenous woman, girl, boy, or Two-Spirit
relative.
(c) Each member shall
serve as long as the member occupies the position which made the member
eligible for the appointment. Vacancies
shall be filled by the appointing authority.
(d) 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 Minnesota
Statutes, section 15.059.
(e) 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. 5. 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.
Subd. 6. 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. The commissioner of public safety shall
deposit any grants or donations received under this subdivision into the
account established under subdivision 1.
Subd. 7. Expiration. This section expires on June 30, 2025.
Sec. 31. REPEALER.
Minnesota Statutes 2022,
section 299C.80, subdivision 7, is repealed.
ARTICLE 4
SENTENCING
Section 1. Minnesota Statutes 2022, section 244.09, subdivision 2, is amended to read:
Subd. 2. Members. The Sentencing Guidelines Commission shall consist of the following:
(1) the chief justice of the supreme court or a designee;
(2) one judge of the court of appeals, appointed by the chief justice
of the supreme court judge of the appellate court;
(3) one district court
judge appointed by the chief justice of the supreme court Judicial
Council upon recommendation of the Minnesota District Judges Association;
(4) one public defender appointed by the governor upon recommendation of the state public defender;
(5) one county attorney appointed by the governor upon recommendation of the board of directors of the Minnesota County Attorneys Association;
(6) the commissioner of corrections or a designee;
(7) one peace officer as defined in section 626.84 appointed by the governor;
(8) one probation officer
or parole supervised release officer appointed by the governor; and
(9) one person who works
for an organization that provides treatment or rehabilitative services for
individuals convicted of felony offenses appointed by the governor;
(10) one person who is
an academic with a background in criminal justice or corrections appointed by
the governor; and
(11) three public members appointed by the governor, one of whom shall be a person who has been the victim of a crime defined as a felony or a victims' advocate, and one of whom shall be a person who has been formerly convicted of and discharged from a felony-level sentence.
When an appointing authority selects individuals for membership on the commission, the authority shall make reasonable efforts to appoint qualified members of protected groups, as defined in section 43A.02, subdivision 33.
One of the members shall be designated by the governor as chair of the commission.
Sec. 2. Minnesota Statutes 2022, section 244.09, subdivision 3, is amended to read:
Subd. 3. Appointment terms. (a) Except as provided in paragraph (b), each appointed member shall be appointed for four years and shall continue to serve during that time as long as the member occupies the position which made the member eligible for the appointment. Each member shall continue in office until a successor is duly appointed. Members shall be eligible for reappointment, and appointment may be made to fill an unexpired term.
(b) The term of any
member appointed or reappointed by the governor before the first Monday in
January 1991 2027 expires on that date. The term of any member appointed or
reappointed by the governor after the first Monday in January 1991 is
coterminous with the governor. The
terms of members appointed or reappointed by the governor to fill the vacancies
that occur on the first Monday in January 2027 shall be staggered so that five
members shall be appointed for initial terms of four years and four members
shall be appointed for initial terms of two years.
(c) The members of the commission shall elect any additional officers necessary for the efficient discharge of their duties.
Sec. 3. Minnesota Statutes 2022, section 244.09, is amended by adding a subdivision to read:
Subd. 15. Report
on sentencing adjustments. The
Sentencing Guidelines Commission shall include in its annual report to the
legislature a summary and analysis of sentence adjustments issued under section
609.133. At a minimum, the summary and
analysis must include information on the counties where a sentencing adjustment
was granted and on the race, sex, and age of individuals who received a
sentence adjustment.
Sec. 4. Minnesota Statutes 2022, section 609.02, subdivision 2, is amended to read:
Subd. 2. Felony. "Felony" means a crime for
which a sentence of imprisonment for more than one year or more
may be imposed.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2022, section 609.03, is amended to read:
609.03 PUNISHMENT WHEN NOT OTHERWISE FIXED.
If a person is convicted of a crime for which no punishment is otherwise provided the person may be sentenced as follows:
(1) If the crime is a felony, to imprisonment for not more than five years or to payment of a fine of not more than $10,000, or both; or
(2) If the crime is a gross
misdemeanor, to imprisonment for not more than one year 364 days
or to payment of a fine of not more than $3,000, or both; or
(3) If the crime is a misdemeanor, to imprisonment for not more than 90 days or to payment of a fine of not more than $1,000, or both; or
(4) If the crime is other than a misdemeanor and a fine is imposed but the amount is not specified, to payment of a fine of not more than $1,000, or to imprisonment for a specified term of not more than six months if the fine is not paid.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to offenders
receiving a gross misdemeanor sentence on or after that date and retroactively
to offenders who received a gross misdemeanor sentence before that date.
Sec. 6. [609.0342]
MAXIMUM PUNISHMENT FOR GROSS MISDEMEANORS.
(a) Any law of this state
that provides for a maximum sentence of imprisonment of one year or is defined
as a gross misdemeanor shall be deemed to provide for a maximum fine of $3,000
and a maximum sentence of imprisonment of 364 days.
(b) Any sentence of
imprisonment for one year or 365 days imposed or executed before July 1, 2023,
shall be deemed to be a sentence of imprisonment for 364 days. A court may at any time correct or reduce
such a sentence pursuant to rule 27.03, subdivision 9, of the Rules of Criminal
Procedure and shall issue a corrected sentencing order upon motion of any
eligible defendant.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to offenders
receiving a gross misdemeanor sentence on or after that date and retroactively
to offenders who received a gross misdemeanor sentence before that date.
Sec. 7. Minnesota Statutes 2022, section 609.105, subdivision 1, is amended to read:
Subdivision 1. Sentence
to more than one year or more.
A felony sentence to imprisonment for more than one year or
more shall commit the defendant to the custody of the commissioner of
corrections.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 8. Minnesota Statutes 2022, section 609.105, subdivision 3, is amended to read:
Subd. 3. Sentence
to less than one year or less.
A sentence to imprisonment for a period of less than one year
or any lesser period shall be to a workhouse, work farm, county jail, or
other place authorized by law.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 9. Minnesota Statutes 2022, section 609.1055, is amended to read:
609.1055 OFFENDERS WITH SERIOUS AND PERSISTENT MENTAL ILLNESS;
ALTERNATIVE PLACEMENT.
When a court intends to
commit an offender with a serious and persistent mental illness, as defined in section
245.462, subdivision 20, paragraph (c), to the custody of the commissioner of
corrections for imprisonment at a state correctional facility, either when
initially pronouncing a sentence or when revoking an offender's probation, the
court, when consistent with public safety, may instead place the offender on
probation or continue the offender's probation and require as a condition of
the probation that the offender successfully complete an appropriate supervised
alternative living program having a mental health treatment component. This section applies only to offenders who
would have a remaining term of imprisonment after adjusting for credit for
prior imprisonment, if any, of more than one year or more.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 10. [609.133]
SENTENCE ADJUSTMENT.
Subdivision 1. Definitions. As used in this section:
(1)
"prosecutor" means the attorney general, county attorney, or city
attorney responsible for the prosecution of individuals charged with a crime;
and
(2) "victim"
has the meaning given in section 611A.01.
Subd. 2. Prosecutor-initiated
sentence adjustment. The
prosecutor responsible for the prosecution of an individual convicted of a
crime may commence a proceeding to adjust the sentence of that individual at
any time after the initial sentencing provided the prosecutor does not seek to
increase the period of confinement or, if the individual is serving a stayed
sentence, increase the period of supervision.
Subd. 3. Review
by prosecutor. (a) A
prosecutor may review individual cases at the prosecutor's discretion.
(b) Prior to filing a
petition under this section, a prosecutor shall make a reasonable and good
faith effort to seek input from any identifiable victim and shall consider the
impact an adjusted sentence would have on the victim.
(c) The commissioner of
corrections, a supervising agent, or an offender may request that a prosecutor
review an individual case. A prosecutor
is not required to respond to a request.
Inaction by a prosecutor shall not be considered by any court as grounds
for an offender, a supervising agent, or the commissioner of corrections to
petition for a sentence adjustment under this section or for a court to adjust
a sentence without a petition.
Subd. 4. Petition;
contents; fee. (a) A
prosecutor's petition for sentence adjustment shall be filed in the district
court where the individual was convicted and include the following:
(1) the full name of the
individual on whose behalf the petition is being brought and, to the extent
possible, all other legal names or aliases by which the individual has been
known at any time;
(2) the individual's
date of birth;
(3) the individual's
address;
(4) a brief statement of
the reason the prosecutor is seeking a sentence adjustment for the individual;
(5) the details of the
offense for which an adjustment is sought, including:
(i) the date and
jurisdiction of the occurrence;
(ii) either the names of
any victims or that there were no identifiable victims;
(iii) whether there is a
current order for protection, restraining order, or other no contact order
prohibiting the individual from contacting the victims or whether there has
ever been a prior order for protection or restraining order prohibiting the individual
from contacting the victims;
(iv) the court file
number; and
(v) the date of
conviction;
(6) what steps the individual
has taken since the time of the offense toward personal rehabilitation,
including treatment, work, good conduct within correctional facilities, or
other personal history that demonstrates rehabilitation;
(7) the individual's
criminal conviction record indicating all convictions for misdemeanors, gross
misdemeanors, or felonies in this state, and for all comparable convictions in
any other state, federal court, or foreign country, whether the convictions occurred
before or after the conviction for which an adjustment is sought;
(8) the individual's
criminal charges record indicating all prior and pending criminal charges
against the individual in this state or another jurisdiction, including all
criminal charges that have been continued for dismissal, stayed for
adjudication, or were the subject of pretrial diversion; and
(9) to the extent known,
all prior requests by the individual, whether for the present offense or for
any other offenses in this state or any other state or federal court, for
pardon, return of arrest records, or expungement or sealing of a criminal
record, whether granted or not, and all stays of adjudication or imposition of
sentence involving the petitioner.
(b) The filing fee for a
petition brought under this section shall be waived.
Subd. 5. Service
of petition. (a) The
prosecutor shall serve the petition for sentence adjustment on the individual
on whose behalf the petition is being brought.
(b) The prosecutor shall
make a good faith and reasonable effort to notify any person determined to be a
victim of the offense for which adjustment is sought of the existence of a
petition. Notification under this
paragraph does not constitute a violation of an existing order for protection,
restraining order, or other no contact order.
(c) Notice to victims of
the offense under this subdivision must:
(1) specifically inform
the victim of the right to object, orally or in writing, to the proposed
adjustment of sentence; and
(2) inform the victims
of the right to be present and to submit an oral or written statement at the
hearing described in subdivision 6.
(d) If a victim notifies
the prosecutor of an objection to the proposed adjustment of sentence and is
not present when the court considers the sentence adjustment, the prosecutor
shall make these objections known to the court.
Subd. 6. Hearing. (a) The court shall hold a hearing on
the petition no sooner than 60 days after service of the petition. The hearing shall be scheduled so that the
parties have adequate time to prepare and present arguments regarding the issue
of sentence adjustment. The parties may
submit written arguments to the court prior to the date of the hearing and may
make oral arguments before the court at the hearing. The individual on whose behalf the petition
has been brought must be present at the hearing, unless excused under Minnesota
Rules of Criminal Procedure, rule 26.03, subdivision 1, clause (3).
(b) A victim of the
offense for which sentence adjustment is sought has a right to submit an oral
or written statement to the court at the time of the hearing describing the
harm suffered by the victim as a result of the crime and the victim's
recommendation on whether adjustment should be granted or denied. The judge shall consider the victim's
statement when making a decision.
(c) Representatives of the
Department of Corrections, supervising agents, community treatment providers,
and any other individual with relevant information may submit an oral or
written statement to the court at the time of the hearing.
Subd. 7. Nature
of remedy; standard. (a) The
court shall determine whether there are substantial and compelling reasons to
adjust the individual's sentence. In
making this determination, the court shall consider what impact, if any, a
sentence adjustment would have on public safety, including whether an
adjustment would promote the rehabilitation of the individual, properly reflect
the severity of the underlying offense, or reduce sentencing disparities. In making this determination, the court may
consider factors relating to both the offender and the offense, including but
not limited to:
(1) the presentence
investigation report used at sentencing, if available;
(2) the individual's
performance on probation or supervision;
(3) the individual's
disciplinary record during any period of incarceration;
(4) records of any
rehabilitation efforts made by the individual since the date of offense and any
plan to continue those efforts in the community;
(5) evidence that
remorse, age, diminished physical condition, or any other factor has
significantly reduced the likelihood that the individual will commit a future
offense;
(6) the amount of time
the individual has served in custody or under supervision; and
(7) significant changes
in law or sentencing practice since the date of offense.
(b) Notwithstanding any
law to the contrary, if the court determines by a preponderance of the evidence
that there are substantial and compelling reasons to adjust the individual's
sentence, the court may modify the sentence in any way provided the adjustment
does not:
(1) increase the period
of confinement or, if the individual is serving a stayed sentence, increase the
period of supervision;
(2) reduce or eliminate
the amount of court-ordered restitution; or
(3) reduce or eliminate a
term of conditional release required by law when a court commits an offender to
the custody of the commissioner of corrections.
The court may stay imposition or execution
of sentence pursuant to section 609.135.
(c) A sentence adjustment
is not a valid basis to vacate the judgment of conviction, enter a judgment of
conviction for a different offense, or impose sentence for any other offense.
(d) The court shall state
in writing or on the record the reasons for its decision on the petition. If the court grants a sentence adjustment,
the court shall provide the information in section 244.09, subdivision 15, to
the Sentencing Guidelines Commission.
Subd. 8. Appeals. An order issued under this section
shall not be considered a final judgment, but shall be treated as an order
imposing or staying a sentence.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 11. Minnesota Statutes 2022, section 609.135, subdivision 1a, is amended to read:
Subd. 1a. Failure
to pay restitution. If the court
orders payment of restitution as a condition of probation and if the defendant
fails to pay the restitution in accordance with the payment schedule or
structure established by the court or the probation officer, the prosecutor or
the defendant's probation officer may, on the prosecutor's or the officer's own
motion or at the request of the victim, ask the court to hold a hearing to
determine whether or not the conditions of probation should be changed or
probation should be revoked. The
defendant's probation officer shall ask for the hearing if the restitution
ordered has not been paid prior to 60 days before the term of probation expires. The court shall schedule and hold this
hearing and take appropriate action, including action under subdivision 2,
paragraph (g) (h), before the defendant's term of probation
expires.
Nothing in this subdivision limits the court's ability to refer the case to collections under section 609.104 when a defendant fails to pay court-ordered restitution.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 12. Minnesota Statutes 2022, section 609.135, subdivision 1c, is amended to read:
Subd. 1c. Failure
to complete court-ordered treatment. If
the court orders a defendant to undergo treatment as a condition of probation
and if the defendant fails to successfully complete treatment at least 60 days
before the term of probation expires, the prosecutor or the defendant's
probation officer may ask the court to hold a hearing to determine whether the
conditions of probation should be changed or probation should be revoked. The court shall schedule and hold this
hearing and take appropriate action, including action under subdivision 2,
paragraph (h) (i), before the defendant's term of probation
expires.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 13. Minnesota Statutes 2022, section 609.135, subdivision 2, is amended to read:
Subd. 2. Stay
of sentence maximum periods. (a) Except
as provided in paragraph (b), if the conviction is for a felony other
than section 609.2113, subdivision 1 or 2, 609.2114, subdivision 2, or section
609.3451, subdivision 1 or 1a, or Minnesota Statutes 2012, section 609.21,
subdivision 1a, paragraph (b) or (c), the stay shall be for not more than four
five years or the maximum period for which the sentence of imprisonment
might have been imposed, whichever is longer less.
(b) If the conviction is
for a felony described in section 609.19, 609.195, 609.20, 609.2112, 609.2662,
609.2663, 609.2664, 609.268, 609.342, 609.343, 609.344, 609.345, 609.3451,
609.3458, or 609.749, the stay shall be for not more than the maximum period
for which the sentence of imprisonment might have been imposed.
(b) (c) If the
conviction is for a gross misdemeanor violation of section 169A.20, 609.2113,
subdivision 3, or 609.3451, or for a felony described in section 609.2113,
subdivision 1 or 2, 609.2114, subdivision 2, or 609.3451, subdivision 1 or 1a,
the stay shall be for not more than six five years. The court shall provide for unsupervised
probation for the last year of the stay unless the court finds that the
defendant needs supervised probation for all or part of the last year.
(c) (d) If the
conviction is for a gross misdemeanor not specified in paragraph (b) (c),
the stay shall be for not more than two years.
(d) (e) If the
conviction is for any misdemeanor under section 169A.20; 609.746, subdivision
1; 609.79; or 617.23; or for a misdemeanor under section 609.2242 or 609.224,
subdivision 1, in which the victim of the crime was a family or household
member as defined in section 518B.01, the stay shall be for not more than two
years. The court shall provide for
unsupervised probation for the second year of the stay unless the court finds
that the defendant needs supervised probation for all or part of the second
year.
(e) (f) If the
conviction is for a misdemeanor not specified in paragraph (d) (e),
the stay shall be for not more than one year.
(f) (g) The
defendant shall be discharged six months after the term of the stay expires,
unless the stay has been revoked or extended under paragraph (g) (h),
or the defendant has already been discharged.
(g) (h) Notwithstanding
the maximum periods specified for stays of sentences under paragraphs (a) to (f)
(g), a court may extend a defendant's term of probation for up to one
year if it finds, at a hearing conducted under subdivision 1a, that:
(1) the defendant has not paid court-ordered restitution in accordance
with the payment schedule or structure; and
(2) the defendant is likely to not pay the restitution the defendant owes before the term of probation expires.
This one-year extension of probation for failure to pay restitution may be extended by the court for up to one additional year if the court finds, at another hearing conducted under subdivision 1a, that the defendant still has not paid the court-ordered restitution that the defendant owes.
Nothing in this subdivision limits the court's ability to refer the case to collections under section 609.104.
(h) (i) Notwithstanding
the maximum periods specified for stays of sentences under paragraphs (a) to (f)
(g), a court may extend a defendant's term of probation for up to three
years if it finds, at a hearing conducted under subdivision 1c, that:
(1) the defendant has failed to complete court-ordered treatment successfully; and
(2) the defendant is likely not to complete court-ordered treatment before the term of probation expires.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to sentences announced on or
after that date.
Sec. 14. LIABILITY
FOR MURDER COMMITTED BY ANOTHER; RETROACTIVE APPLICATION.
Subdivision 1. Purpose. Any person convicted of a violation of
Minnesota Statutes, section 609.185, paragraph (a), clause (3), or 609.19,
subdivision 2, clause (1), and in the custody of the commissioner of
corrections or under court supervision is entitled to petition to have the
person's conviction vacated pursuant to this section.
Subd. 2. Notification. (a) By October 1, 2023, the
commissioner of corrections shall notify individuals convicted for a violation
of Minnesota Statutes, section 609.185, paragraph (a), clause (3), or 609.19,
subdivision 2, clause (1), of the right to file a preliminary application for
relief if:
(1) the person was
convicted for a violation of Minnesota Statutes, section 609.185, paragraph
(a), clause (3), and did not actually cause the death of a human being or
intentionally aid, advise, hire, counsel, or conspire with or otherwise procure
another with the intent to cause the death of a human being; or
(2) the person was
convicted for a violation of Minnesota Statutes, section 609.19, subdivision 2,
clause (1), and did not actually cause the death of a human being or was not a
major participant in the underlying felony who acted with extreme indifference
to human life.
(b) The notice shall
include the address of the Ramsey County District Court court administration.
(c) The commissioner of
corrections may coordinate with the judicial branch to establish a standardized
notification form.
Subd. 3. Preliminary
application. (a) An applicant
shall submit a preliminary application to the Ramsey County District Court. The preliminary application must contain:
(1) the applicant's name
and, if different, the name under which the person was convicted;
(2) the applicant's date
of birth;
(3) the district court
case number of the case for which the person is seeking relief;
(4) a statement as to
whether the applicant was convicted following a trial or pursuant to a plea;
(5) a statement as to
whether the person filed a direct appeal from the conviction, a petition for
postconviction relief, or both;
(6) a brief statement,
not to exceed 2,000 words, explaining why the applicant is entitled to relief
from a conviction for the death of a human being caused by another; and
(7) the name and address
of any attorney representing the applicant.
(b) The preliminary
application may contain:
(1) the name, date of
birth, and district court case number of any other person charged with, or
convicted of, a crime arising from the same set of circumstances for which the
applicant was convicted; and
(2) a copy of a criminal
complaint or indictment, or the relevant portions of a presentence
investigation or life imprisonment report, describing the facts of the case for
which the applicant was convicted.
(c) The judicial branch
may establish a standardized preliminary application form, but shall not reject
a preliminary application for failure to use a standardized form.
(d) Any person seeking
relief under this section must submit a preliminary application no later than
October 1, 2024. Submission is complete
upon mailing.
(e) Submission of a
preliminary application shall be without costs or any fees charged to the
applicant.
Subd. 4. Review
of preliminary application. (a)
Upon receipt of a preliminary application, the court administrator of the
Ramsey County District Court shall immediately direct attention of the filing
thereof to the chief judge or judge acting on the chief judge's behalf who
shall promptly assign the matter to a judge in said district.
(b) The judicial branch
may appoint a special master to review preliminary applications and may assign
additional staff as needed to assist in the review of preliminary applications.
(c) The reviewing judge
shall determine whether, in the discretion of that judge, there is a reasonable
probability that the applicant is entitled to relief under this section.
(d) In making the
determination under paragraph (c), the reviewing judge shall consider the
preliminary application and any materials submitted with the preliminary
application and may consider relevant records in the possession of the judicial
branch.
(e) The court may summarily
deny an application when the applicant is not in the custody of the
commissioner of corrections or under court supervision; the applicant was not
convicted of a violation of Minnesota Statutes, section 609.185, paragraph (a),
clause (3), or 609.19, subdivision 2, clause (1), before August 1, 2023; the
issues raised in the application are not relevant to the relief available under
this section or have previously been decided by the court of appeals or the
supreme court in the same case; or the applicant has filed a second or
successive preliminary application.
(f) If the reviewing
judge determines that there is a reasonable probability that the applicant is
entitled to relief, the judge shall send notice to the applicant and the
applicant's attorney, if any, and the prosecutorial office responsible for
prosecuting the applicant. In the event
the applicant is without counsel, the reviewing judge shall send notice to the
state public defender and shall advise the applicant of such referral.
(g) If the reviewing
judge determines that there is not a reasonable probability that the applicant
is entitled to relief, the judge shall send notice to the applicant and the
applicant's attorney, if any.
Subd. 5. Petition
for relief; hearing. (a)
Within 60 days of receipt of the notice sent pursuant to subdivision 4,
paragraph (f), the individual seeking relief shall file and serve a petition to
vacate the conviction. The petition
shall contain the information identified in subdivision 3, paragraph (a), and a
statement of why the petitioner is entitled to relief. The petition may contain any other relevant
information including police reports, trial transcripts, and plea transcripts
involving the petitioner or any other person investigated for, charged with, or
convicted of a crime arising out of the same set of circumstances for which the
petitioner was convicted. The filing of
the petition and any document subsequent thereto and all proceedings thereon
shall be without costs or any fees charged to the petitioner.
(b) A county attorney
representing the prosecutorial office shall respond to the petition by answer
or motion within 30 days after the filing of the petition pursuant to paragraph
(a), unless extended for good cause. The
response shall be filed with the court administrator of the district court and
served on the petitioner if unrepresented or on the petitioner's attorney. The response may serve notice of the intent
to support the petition or include a statement explaining why the petitioner is
not entitled to relief along with any supporting documents. The filing of the response and any document
subsequent thereto and all proceedings thereon shall be without costs or any
fees charged to the county attorney.
(c) Within 30 days of
receipt of the response from the county attorney, the court shall:
(1) issue an order
pursuant to subdivision 6 and schedule the matter for sentencing or
resentencing pursuant to subdivision 6, paragraph (e), if the county attorney
indicates an intent to support the petition;
(2) issue an order
denying the petition if additional information or submissions establish that
there is not a reasonable probability that the applicant is entitled to relief
under this section; or
(3) schedule the matter
for a hearing and issue any appropriate order regarding submission of evidence
or identification of witnesses.
(d) The hearing shall be
held in open court and conducted pursuant to Minnesota Statutes, section
590.04, except that the petitioner must be present at the hearing, unless
excused under Rules of Criminal Procedure, rule 26.03, subdivision 1, clause
(3).
Subd. 6. Determination;
order; resentencing. (a) A
petitioner who was convicted of a violation of Minnesota Statutes, section
609.185, paragraph (a), clause (3), is entitled to relief if the petitioner:
(1) did not cause the
death of a human being; and
(2) did not intentionally aid,
advise, hire, counsel, or conspire with or otherwise procure another with the
intent to cause the death of a human being.
(b) A petitioner who was
convicted of a violation of Minnesota Statutes, section 609.19, subdivision 2,
clause (1), is entitled to relief if the petitioner:
(1) did not cause the
death of a human being; and
(2) was not a major
participant in the underlying felony and did not act with extreme indifference
to human life.
(c) If the court
determines that the petitioner does not qualify for relief, the court shall
issue an order denying the petition. If
the court determines that the petitioner is entitled to relief, the court shall
issue an order vacating the conviction for a violation of Minnesota Statutes,
section 609.185, paragraph (a), clause (3), or 609.19, subdivision 2, clause
(1), and either:
(1) resentence the
petitioner for any other offense for which the petitioner was convicted; or
(2) enter a conviction
and impose a sentence for any other predicate felony arising out of the course
of conduct that served as the factual basis for the conviction vacated by the
court.
(d) The court shall state
in writing or on the record the reasons for its decision on the petition.
(e) If the court intends
to resentence a petitioner or impose a sentence on a petitioner, the court must
hold the hearing at a time that allows any victim an opportunity to submit a
statement consistent with Minnesota Statutes, section 611A.038. The prosecutor shall make a good faith and
reasonable effort to notify any person determined to be a victim of the hearing
and the right to submit or make a statement.
A sentence imposed under this subdivision shall not increase the
petitioner's period of confinement or, if the petitioner was serving a stayed
sentence, increase the period of supervision.
A person resentenced under this paragraph is entitled to credit for time
served in connection with the vacated offense.
(f) Relief granted under
this section shall not be treated as an exoneration for purposes of the
Incarceration and Exoneration Remedies Act.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 15. PROBATION
LIMITS; RETROACTIVE APPLICATION.
(a) Any person placed on
probation before August 1, 2023, is eligible for resentencing if:
(1) the person was placed
on probation for a felony violation;
(2) the court placed the
person on probation for a length of time that exceeded five years;
(3) under Minnesota
Statutes, section 609.135, subdivision 2, the maximum length of probation the
court could have ordered the person to serve on or after August 1, 2023, is
five years; and
(4) the sentence of
imprisonment has not been executed.
(b) Eligibility for
resentencing within the maximum length of probation the court could have
ordered the person to serve on or after August 1, 2023, applies to each period
of probation ordered by the court. Upon
resentencing, periods of probation must be served consecutively if a court
previously imposed consecutive periods of probation on the person. The court may not increase a previously
ordered period of probation under this section or order that periods of
probation be served consecutively unless the court previously imposed
consecutive periods of probation.
(c) Resentencing may take place
without a hearing.
(d) The term of the stay
of probation for any person who is eligible for resentencing under paragraph
(a) and who has served five or more years of
probation as of August 1, 2023, shall be considered to have expired on October
1, 2023, unless:
(1) the term of the stay
of probation would have expired before that date under the original sentence;
or
(2) the length of
probation is extended pursuant to Minnesota Statutes, section 609.135,
subdivision 2, paragraph (h) or (i).
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to sentences announced before
that date.
Sec. 16. SENTENCING
GUIDELINES COMMISSION; MODIFICATION.
The Sentencing
Guidelines Commission shall modify the Sentencing Guidelines to be consistent
with changes to Minnesota Statutes, section 609.135, subdivision 2, governing
the maximum length of probation a court may order.
Sec. 17. REVISOR
INSTRUCTION.
In Minnesota Statutes,
the revisor of statutes shall substitute "364 days" for "one
year" consistent with the change in this act. The revisor shall also make other technical
changes resulting from the change of term to the statutory language if
necessary to preserve the meaning of the text.
ARTICLE 5
EXPUNGEMENT
Section 1. Minnesota Statutes 2022, section 13.871, subdivision 14, is amended to read:
Subd. 14. Expungement petitions. (a) Provisions regarding the classification and sharing of data contained in a petition for expungement of a criminal record are included in section 609A.03.
(b) Provisions regarding
the classification and sharing of data related to automatic expungements are
included in sections 299C.097 and 609A.015.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 2. Minnesota Statutes 2022, section 152.18, subdivision 1, is amended to read:
Subdivision 1. Deferring prosecution for certain first time drug offenders. (a) A court may defer prosecution as provided in paragraph (c) for any person found guilty, after trial or upon a plea of guilty, of a violation of section 152.023, subdivision 2, 152.024, subdivision 2, 152.025, subdivision 2, or 152.027, subdivision 2, 3, 4, or 6, paragraph (d), for possession of a controlled substance, who:
(1) has not previously participated in or completed a diversion program authorized under section 401.065;
(2) has not previously been placed on probation without a judgment of guilty and thereafter been discharged from probation under this section; and
(3) has not been convicted of a felony violation of this chapter, including a felony-level attempt or conspiracy, or been convicted by the United States or another state of a similar offense that would have been a felony under this chapter if committed in Minnesota, unless ten years have elapsed since discharge from sentence.
(b) The court must defer prosecution as provided in paragraph (c) for any person found guilty of a violation of section 152.025, subdivision 2, who:
(1) meets the criteria listed in paragraph (a), clauses (1) to (3); and
(2) has not previously been convicted of a felony offense under any state or federal law or of a gross misdemeanor under section 152.025.
(c) In granting relief under this section, the court shall, without entering a judgment of guilty and with the consent of the person, defer further proceedings and place the person on probation upon such reasonable conditions as it may require and for a period, not to exceed the maximum sentence provided for the violation. The court may give the person the opportunity to attend and participate in an appropriate program of education regarding the nature and effects of alcohol and drug abuse as a stipulation of probation. Upon violation of a condition of the probation, the court may enter an adjudication of guilt and proceed as otherwise provided. The court may, in its discretion, dismiss the proceedings against the person and discharge the person from probation before the expiration of the maximum period prescribed for the person's probation. If during the period of probation the person does not violate any of the conditions of the probation, then upon expiration of the period the court shall discharge the person and dismiss the proceedings against that person. Discharge and dismissal under this subdivision shall be without court adjudication of guilt, but a not public record of it shall be retained by the Bureau of Criminal Apprehension for the purpose of use by the courts in determining the merits of subsequent proceedings against the person. The not public record may also be opened only upon court order for purposes of a criminal investigation, prosecution, or sentencing. Upon receipt of notice that the proceedings were dismissed, the Bureau of Criminal Apprehension shall notify the arresting or citing law enforcement agency and direct that agency to seal its records related to the charge. Upon request by law enforcement, prosecution, or corrections authorities, the bureau shall notify the requesting party of the existence of the not public record and the right to seek a court order to open it pursuant to this section. The court shall forward a record of any discharge and dismissal under this subdivision to the bureau which shall make and maintain the not public record of it as provided under this subdivision. The discharge or dismissal shall not be deemed a conviction for purposes of disqualifications or disabilities imposed by law upon conviction of a crime or for any other purpose.
For purposes of this subdivision, "not public" has the meaning given in section 13.02, subdivision 8a.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 3. Minnesota Statutes 2022, section 181.981, subdivision 1, is amended to read:
Subdivision 1. Limitation on admissibility of criminal history. Information regarding a criminal history record of an employee or former employee may not be introduced as evidence in a civil action against a private employer or its employees or agents that is based on the conduct of the employee or former employee, if:
(1) the duties of the position of employment did not expose others to a greater degree of risk than that created by the employee or former employee interacting with the public outside of the duties of the position or that might be created by being employed in general;
(2) before the occurrence
of the act giving rise to the civil action,:
(i) a court order
sealed any record of the criminal case;
(ii) any record of the criminal case was sealed as the result of an automatic expungement, including but not limited to a grant of expungement made pursuant to section 609A.015; or
(iii) the employee or former employee received a pardon;
(3) the record is of an arrest or charge that did not result in a criminal conviction; or
(4) the action is based solely upon the employer's compliance with section 364.021.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 4. Minnesota Statutes 2022, section 245C.08, subdivision 1, is amended to read:
Subdivision 1. Background studies conducted by Department of Human Services. (a) For a background study conducted by the Department of Human Services, the commissioner shall review:
(1) information related to names of substantiated perpetrators of maltreatment of vulnerable adults that has been received by the commissioner as required under section 626.557, subdivision 9c, paragraph (j);
(2) the commissioner's records relating to the maltreatment of minors in licensed programs, and from findings of maltreatment of minors as indicated through the social service information system;
(3) information from juvenile courts as required in subdivision 4 for individuals listed in section 245C.03, subdivision 1, paragraph (a), when there is reasonable cause;
(4) information from the Bureau of Criminal Apprehension, including information regarding a background study subject's registration in Minnesota as a predatory offender under section 243.166;
(5) except as provided in clause (6), information received as a result of submission of fingerprints for a national criminal history record check, as defined in section 245C.02, subdivision 13c, when the commissioner has reasonable cause for a national criminal history record check as defined under section 245C.02, subdivision 15a, or as required under section 144.057, subdivision 1, clause (2);
(6) for a background study related to a child foster family setting application for licensure, foster residence settings, children's residential facilities, a transfer of permanent legal and physical custody of a child under sections 260C.503 to 260C.515, or adoptions, and for a background study required for family child care, certified license‑exempt child care, child care centers, and legal nonlicensed child care authorized under chapter 119B, the commissioner shall also review:
(i) information from the child abuse and neglect registry for any state in which the background study subject has resided for the past five years;
(ii) when the background study subject is 18 years of age or older, or a minor under section 245C.05, subdivision 5a, paragraph (c), information received following submission of fingerprints for a national criminal history record check; and
(iii) when the background study subject is 18 years of age or older or a minor under section 245C.05, subdivision 5a, paragraph (d), for licensed family child care, certified license-exempt child care, licensed child care centers, and legal nonlicensed child care authorized under chapter 119B, information obtained using non-fingerprint-based data including information from the criminal and sex offender registries for any state in which the background study subject resided for the past five years and information from the national crime information database and the national sex offender registry; and
(7) for a background study required for family child care, certified license-exempt child care centers, licensed child care centers, and legal nonlicensed child care authorized under chapter 119B, the background study shall also include, to the extent practicable, a name and date-of-birth search of the National Sex Offender Public website.
(b) Notwithstanding
expungement by a court, the commissioner may consider information obtained
under paragraph (a), clauses (3) and (4), unless:
(1) the commissioner
received notice of the petition for expungement and the court order for
expungement is directed specifically to the commissioner; or
(2) the commissioner received notice of the expungement order issued pursuant to section 609A.017, 609A.025, or 609A.035, and the order for expungement is directed specifically to the commissioner.
(c) The commissioner shall also review criminal case information received according to section 245C.04, subdivision 4a, from the Minnesota court information system that relates to individuals who have already been studied under this chapter and who remain affiliated with the agency that initiated the background study.
(d) When the commissioner has reasonable cause to believe that the identity of a background study subject is uncertain, the commissioner may require the subject to provide a set of classifiable fingerprints for purposes of completing a fingerprint-based record check with the Bureau of Criminal Apprehension. Fingerprints collected under this paragraph shall not be saved by the commissioner after they have been used to verify the identity of the background study subject against the particular criminal record in question.
(e) The commissioner may inform the entity that initiated a background study under NETStudy 2.0 of the status of processing of the subject's fingerprints.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 5. Minnesota Statutes 2022, section 245C.08, subdivision 2, is amended to read:
Subd. 2. Background studies conducted by a county agency for family child care. (a) Before the implementation of NETStudy 2.0, for a background study conducted by a county agency for family child care services, the commissioner shall review:
(1) information from the county agency's record of substantiated maltreatment of adults and the maltreatment of minors;
(2) information from juvenile courts as required in subdivision 4 for:
(i) individuals listed in section 245C.03, subdivision 1, paragraph (a), who are ages 13 through 23 living in the household where the licensed services will be provided; and
(ii) any other individual listed under section 245C.03, subdivision 1, when there is reasonable cause; and
(3) information from the Bureau of Criminal Apprehension.
(b) If the individual has resided in the county for less than five years, the study shall include the records specified under paragraph (a) for the previous county or counties of residence for the past five years.
(c) Notwithstanding expungement
by a court, the county agency may consider information obtained under paragraph
(a), clause (3), unless:
(1) the commissioner
received notice of the petition for expungement and the court order for
expungement is directed specifically to the commissioner; or
(2) the commissioner received notice of the expungement order issued pursuant to section 609A.017, 609A.025, or 609A.035, and the order for expungement is directed specifically to the commissioner.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 6. [299C.097]
DATABASE FOR IDENTIFYING INDIVIDUALS ELIGIBLE FOR EXPUNGEMENT.
(a) The superintendent
of the Bureau of Criminal Apprehension shall maintain a computerized data
system relating to petty misdemeanor and misdemeanor offenses that may become
eligible for expungement pursuant to section 609A.015 and which do not require fingerprinting
pursuant to section 299C.10 and are not linked to an arrest record in the
criminal history system.
(b) These data are
private data on individuals under section 13.02, subdivision 12.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 7. Minnesota Statutes 2022, section 299C.10, subdivision 1, is amended to read:
Subdivision 1. Required
fingerprinting. (a) Sheriffs, peace
officers, and community corrections agencies operating secure juvenile
detention facilities shall take or cause to be taken immediately finger fingerprints
and thumb prints thumbprints, photographs, distinctive physical
mark identification data, information on any known aliases or street names, and
other identification data requested or required by the superintendent of the
bureau, of the following:
(1) persons arrested for, appearing in court on a charge of, or convicted of a felony, gross misdemeanor, or targeted misdemeanor;
(2) juveniles arrested for, appearing in court on a charge of, adjudicated delinquent for, or alleged to have committed felonies or gross misdemeanors as distinguished from those committed by adult offenders;
(3) adults and juveniles admitted to jails or detention facilities;
(4) persons reasonably believed by the arresting officer to be fugitives from justice;
(5) persons in whose possession, when arrested, are found concealed firearms or other dangerous weapons, burglar tools or outfits, high-power explosives, or articles, machines, or appliances usable for an unlawful purpose and reasonably believed by the arresting officer to be intended for such purposes;
(6) juveniles referred by a law enforcement agency to a diversion program for a felony or gross misdemeanor offense; and
(7) persons currently involved in the criminal justice process, on probation, on parole, or in custody for any offense whom the superintendent of the bureau identifies as being the subject of a court disposition record which cannot be linked to an arrest record, and whose fingerprints are necessary to reduce the number of suspense files, or
to comply with the mandates of section 299C.111, relating to the reduction of the number of suspense files. This duty to obtain fingerprints for the offenses in suspense at the request of the bureau shall include the requirement that fingerprints be taken in post-arrest interviews, while making court appearances, while in custody, or while on any form of probation, diversion, or supervised release.
(b) Unless the superintendent of the bureau requires a shorter period, within 24 hours of taking the fingerprints and data, the fingerprint records and other identification data specified under paragraph (a) must be electronically entered into a bureau-managed searchable database in a manner as may be prescribed by the superintendent.
(c) Prosecutors, courts, and probation officers and their agents, employees, and subordinates shall attempt to ensure that the required identification data is taken on a person described in paragraph (a). Law enforcement may take fingerprints of an individual who is presently on probation.
(d) Finger Fingerprints
and thumb prints thumbprints must be obtained no later than:
(1) release from booking; or
(2) if not booked prior to acceptance of a plea of guilty or not guilty.
Prior to acceptance of a plea of guilty or not guilty, an individual's finger and thumb prints must be submitted to the Bureau of Criminal Apprehension for the offense. If finger and thumb prints have not been successfully received by the bureau, an individual may, upon order of the court, be taken into custody for no more than eight hours so that the taking of prints can be completed. Upon notice and motion of the prosecuting attorney, this time period may be extended upon a showing that additional time in custody is essential for the successful taking of prints.
(e) For purposes of this section, a targeted misdemeanor is a misdemeanor violation of section 169A.20 (driving while impaired), 518B.01 (order for protection violation), 609.224 (fifth-degree assault), 609.2242 (domestic assault), 609.746 (interference with privacy), 609.748 (harassment or restraining order violation), 609.749 (obscene or harassing telephone calls), 617.23 (indecent exposure), or 629.75 (domestic abuse no contact order).
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to violations that occur on or
after that date.
Sec. 8. Minnesota Statutes 2022, section 299C.11, subdivision 1, is amended to read:
Subdivision 1. Identification
data other than DNA. (a) Each
sheriff and chief of police shall furnish the bureau, upon such form as the
superintendent shall prescribe, with such finger and thumb prints fingerprints
and thumbprints, photographs, distinctive physical mark identification
data, information on known aliases and street names, and other identification
data as may be requested or required by the superintendent of the bureau, which
must be taken under the provisions of section 299C.10. In addition, sheriffs and chiefs of police
shall furnish this identification data to the bureau for individuals found to
have been convicted of a felony, gross misdemeanor, or targeted misdemeanor,
within the ten years immediately preceding their arrest. When the bureau learns that an individual who
is the subject of a background check has used, or is using, identifying
information, including, but not limited to, name and date of birth, other than
those listed on the criminal history, the bureau shall convert into an
electronic format, if necessary, and enter into a bureau-managed searchable
database the new identifying information when supported by fingerprints within
three business days of learning the information if the information is not
entered by a law enforcement agency.
(b) No petition under chapter 609A is required if the person has not been convicted of any felony or gross misdemeanor, either within or without the state, within the period of ten years immediately preceding the determination of all pending criminal actions or proceedings in favor of the arrested person, and either of the following occurred:
(1) all charges were dismissed prior to a determination of probable cause; or
(2) the prosecuting authority declined to file any charges and a grand jury did not return an indictment.
Where these conditions are met, the bureau or
agency shall, upon demand, destroy the arrested person's finger and thumb
prints fingerprints and thumbprints, photographs, distinctive
physical mark identification data, information on known aliases and street
names, and other identification data, and all copies and duplicates of them.
(c) The bureau or agency
shall destroy an arrested person's fingerprints and thumbprints, photographs,
distinctive physical mark identification data, information on known aliases and
street names, and other identification data and all copies and duplicates of them without the demand of any person or
the granting of a petition under chapter 609A if:
(1) the sheriff, chief
of police, bureau, or other arresting agency determines that the person was
arrested or identified as the result of mistaken identity before presenting
information to the prosecuting authority for a charging decision; or
(2) the prosecuting
authority declines to file any charges or a grand jury does not return an
indictment based on a determination that the person was identified or arrested
as the result of mistaken identity.
(d) A prosecuting
authority that determines a person was arrested or identified as the result of
mistaken identity and either declines to file any charges or receives notice
that a grand jury did not return an indictment shall notify the bureau and the
applicable sheriff, chief of police, or other arresting agency of the
determination.
(c) (e) Except
as otherwise provided in paragraph (b) or (c), upon the determination of
all pending criminal actions or proceedings in favor of the arrested person,
and the granting of the petition of the arrested person under chapter 609A, the
bureau shall seal finger and thumb prints fingerprints and
thumbprints, photographs, distinctive physical mark identification data,
information on known aliases and street names, and other identification data,
and all copies and duplicates of them if the arrested person has not been
convicted of any felony or gross misdemeanor, either within or without the
state, within the period of ten years immediately preceding such determination.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to determinations that a
person was identified as the result of mistaken identity made on or after that
date.
Sec. 9. Minnesota Statutes 2022, section 299C.11, subdivision 3, is amended to read:
Subd. 3. Definitions. For purposes of this section:
(1) "determination of all pending criminal actions or proceedings in favor of the arrested person" does not include:
(i) the sealing of a criminal record pursuant to section 152.18, subdivision 1, 242.31, or chapter 609A;
(ii) the arrested person's successful completion of a diversion program;
(iii) an order of discharge under section 609.165; or
(iv) a pardon granted under
section 638.02; and
(2) "mistaken
identity" means the person was incorrectly identified as being a different
person:
(i) because the person's
identity had been transferred, used, or possessed in violation of section
609.527; or
(ii) as a result of
misidentification by a witness or law enforcement, confusion on the part of a
witness or law enforcement as to the identity of the person who committed the
crime, misinformation provided to law enforcement as to the identity of the person
who committed the crime, or some other mistake on the part of a witness or law
enforcement as to the identity of the person who committed the crime; and
(2) (3) "targeted
misdemeanor" has the meaning given in section 299C.10, subdivision 1.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 10. Minnesota Statutes 2022, section 299C.111, is amended to read:
299C.111 SUSPENSE FILE REPORTING.
The superintendent shall immediately notify the appropriate entity or individual when a disposition record for a felony, gross misdemeanor, or targeted misdemeanor is received that cannot be linked to an arrest record.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 11. Minnesota Statutes 2022, section 299C.17, is amended to read:
299C.17 REPORT BY COURT ADMINISTRATOR.
The superintendent shall
require the court administrator of every court which sentences a defendant for
a felony, gross misdemeanor, or targeted misdemeanor, or petty
misdemeanor to electronically transmit within 24 hours of the disposition
of the case a report, in a form prescribed by the superintendent providing
information required by the superintendent with regard to the prosecution and
disposition of criminal cases. A copy of
the report shall be kept on file in the office of the court administrator.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 12. Minnesota Statutes 2022, section 609A.01, is amended to read:
609A.01 EXPUNGEMENT OF CRIMINAL RECORDS.
This chapter provides the grounds and procedures for expungement of criminal records under section 13.82; 152.18, subdivision 1; 299C.11, where expungement is automatic under sections 609A.015, 609A.017, or 609A.035, or a petition is authorized under section 609A.02, subdivision 3; or other applicable law. The remedy available is limited to a court order or grant of expungement under section 609A.015 sealing the records and prohibiting the disclosure of their existence or their opening except under court order or statutory authority. Nothing in this chapter authorizes the destruction of records or their return to the subject of the records.
EFFECTIVE DATE. This
section is effective January 1, 2025.
Sec. 13. [609A.015]
AUTOMATIC EXPUNGEMENT OF RECORDS.
Subdivision 1. Eligibility;
dismissal; exoneration. (a) A
person who is the subject of a criminal record or delinquency record is
eligible for a grant of expungement relief without the filing of a petition:
(1) if the person was
arrested and all charges were dismissed after a case was filed unless dismissal
was based on a finding that the defendant was incompetent to proceed;
(2) upon the dismissal
and discharge of proceedings against a person under section 152.18, subdivision
1, for violation of section 152.024, 152.025, or 152.027 for possession of a
controlled substance; or
(3) if all pending
actions or proceedings were resolved in favor of the person.
(b) For purposes of this
chapter, a verdict of not guilty by reason of mental illness is not a
resolution in favor of the person. For
purposes of this chapter, an action or proceeding is resolved in favor of the
person if the petitioner received an order under section 590.11 determining
that the person is eligible for compensation based on exoneration.
Subd. 2. Eligibility;
diversion and stay of adjudication. A
person is eligible for a grant of expungement relief if the person has
successfully completed the terms of a diversion program or stay of adjudication
for a qualifying offense that is not a felony and has not been petitioned or
charged with a new offense, other than an offense that would be a petty
misdemeanor, in Minnesota:
(1) for one year
immediately following completion of the diversion program or stay of
adjudication; or
(2) for one year
immediately preceding a subsequent review performed pursuant to subdivision 5,
paragraph (a).
Subd. 3. Eligibility;
certain criminal proceedings. (a)
A person is eligible for a grant of expungement relief if the person:
(1) was convicted of a
qualifying offense;
(2) has not been
convicted of a new offense, other than an offense that would be a petty
misdemeanor, in Minnesota:
(i) during the applicable
waiting period immediately following discharge of the disposition or sentence
for the crime; or
(ii) during the
applicable waiting period immediately preceding a subsequent review performed
pursuant to subdivision 5, paragraph (a); and
(3) is not charged with
an offense, other than an offense that would be a petty misdemeanor, in
Minnesota at the time the person reaches the end of the applicable waiting
period or at the time of a subsequent review.
(b) As used in this
subdivision, "qualifying offense" means a conviction for:
(1) any petty misdemeanor
offense other than a violation of a traffic regulation relating to the
operation or parking of motor vehicles;
(2) any misdemeanor
offense other than:
(i) section 169A.20 under
the terms described in section 169A.27 (fourth-degree driving while impaired);
(ii) section 518B.01,
subdivision 14 (violation of an order for protection);
(iii) section 609.224
(assault in the fifth degree);
(iv) section 609.2242
(domestic assault);
(v) section 609.748
(violation of a harassment restraining order);
(vi) section 609.78
(interference with emergency call);
(vii) section 609.79
(obscene or harassing phone calls);
(viii) section 617.23
(indecent exposure);
(ix) section 609.746
(interference with privacy); or
(x) section 629.75
(violation of domestic abuse no contact order);
(3) any gross
misdemeanor offense other than:
(i) section 169A.25
(second-degree driving while impaired);
(ii) section 169A.26
(third-degree driving while impaired);
(iii) section 518B.01,
subdivision 14 (violation of an order for protection);
(iv) section 609.2113,
subdivision 3 (criminal vehicular operation);
(v) section 609.2231
(assault in the fourth degree);
(vi) section 609.224
(assault in the fifth degree);
(vii) section 609.2242
(domestic assault);
(viii) section 609.233
(criminal neglect);
(ix) section 609.3451
(criminal sexual conduct in the fifth degree);
(x) section 609.377
(malicious punishment of child);
(xi) section 609.485
(escape from custody);
(xii) section 609.498 (tampering
with witness);
(xiii) section 609.582,
subdivision 4 (burglary in the fourth degree);
(xiv) section 609.746
(interference with privacy);
(xv) section 609.748
(violation of a harassment restraining order);
(xvi) section 609.749
(harassment; stalking);
(xvii) section 609.78
(interference with emergency call);
(xviii) section 617.23
(indecent exposure);
(xix) section 617.261
(nonconsensual dissemination of private sexual images); or
(xx) section 629.75
(violation of domestic abuse no contact order); or
(4) any felony offense
listed in section 609A.02, subdivision 3, paragraph (b), other than:
(i) section 152.023,
subdivision 2 (possession of a controlled substance in the third degree);
(ii) 152.024,
subdivision 2 (possession of a controlled substance in the fourth degree);
(iii) section 609.485,
subdivision 4, paragraph (a), clause (2) or (4) (escape from civil commitment
for mental illness); or
(iv) section 609.746,
subdivision 1, paragraph (e) (interference with privacy; subsequent violation
or minor victim).
(c) As used in this
subdivision, "applicable waiting period" means:
(1) if the offense was a
petty misdemeanor, two years since discharge of the sentence;
(2) if the offense was a
misdemeanor, two years since discharge of the sentence for the crime;
(3) if the offense was a
gross misdemeanor, three years since discharge of the sentence for the crime;
(4) if the offense was a
felony violation of section 152.025, four years since the discharge of the
sentence for the crime; and
(5) if the offense was
any other felony, five years since discharge of the sentence for the crime.
(d) Felony offenses
deemed to be a gross misdemeanor or misdemeanor pursuant to section 609.13,
subdivision 1, remain ineligible for expungement under this section. Gross misdemeanor offenses ineligible for a
grant of expungement under this section remain ineligible if deemed to be for a
misdemeanor pursuant to section 609.13, subdivision 2.
Subd. 4. Notice. (a) The court shall notify a person
who may become eligible for an automatic expungement under this section of that
eligibility at any hearing where the court dismisses and discharges proceedings
against a person under section 152.18, subdivision 1, for violation of section
152.024, 152.025, or 152.027 for possession of a controlled substance;
concludes that all pending actions or proceedings were resolved in favor of the
person; grants a person's placement into a diversion program; or sentences a
person or otherwise imposes a consequence for a qualifying offense.
(b) To the extent
possible, prosecutors, defense counsel, supervising agents, and coordinators or
supervisors of a diversion program shall notify a person who may become
eligible for an automatic expungement under this section of that eligibility.
(c) If any party gives
notification under this subdivision, the notification shall inform the person
that:
(1) a record expunged
under this section may be opened for purposes of a background study by the
Department of Human Services under section 245C.08 and for purposes of a
background check by the Professional Educator Licensing and Standards Board as
required under section 122A.18, subdivision 8; and
(2) the person can file
a petition to expunge the record and request that the petition be directed to
the commissioner of human services and the Professional Educator Licensing and
Standards Board.
Subd. 5. Bureau
of Criminal Apprehension to identify eligible persons and grant expungement
relief. (a) The Bureau of
Criminal Apprehension shall identify any records that qualify for a grant of
expungement relief pursuant to this subdivision or subdivision 1, 2, or 3. The Bureau of Criminal Apprehension shall
make an initial determination of eligibility within 30 days of the end of the
applicable waiting period. If a record
is not eligible for a grant of expungement at the time of the initial determination,
the Bureau of Criminal Apprehension shall make subsequent eligibility
determinations annually until the record is eligible for a grant of
expungement.
(b) In making the
determination under paragraph (a), the Bureau of Criminal Apprehension shall
identify individuals who are the subject of relevant records through the use of
fingerprints and thumbprints where fingerprints and thumbprints are available. Where fingerprints and thumbprints are not
available, the Bureau of Criminal Apprehension shall identify individuals
through the use of the person's name and date of birth. Records containing the same name and date of
birth shall be presumed to refer to the same individual unless other evidence
establishes, by a preponderance of the evidence, that they do not refer to the
same individual. The Bureau of Criminal
Apprehension is not required to review any other evidence in making a
determination.
(c) The Bureau of
Criminal Apprehension shall grant expungement relief to qualifying persons and
seal its own records without requiring an application, petition, or motion. Records shall be sealed 60 days after notice
is sent to the judicial branch pursuant to paragraph (e) unless an order of the
judicial branch prohibits sealing the records or additional information
establishes that the records are not eligible for expungement.
(d) Nonpublic criminal
records maintained by the Bureau of Criminal Apprehension and subject to a
grant of expungement relief shall display a notation stating "expungement
relief granted pursuant to section 609A.015."
(e) The Bureau of
Criminal Apprehension shall inform the judicial branch of all cases for which
expungement relief was granted pursuant to this section. Notification may be through electronic means
and may be made in real time or in the form of a monthly report. Upon receipt of notice, the judicial branch
shall seal all records relating to an arrest, indictment or information, trial,
verdict, or dismissal and discharge for any case in which expungement relief
was granted and shall issue any order deemed necessary to achieve this purpose.
(f) The Bureau of
Criminal Apprehension shall inform each law enforcement agency that its records
may be affected by a grant of expungement relief. Notification may be through electronic means. Each notified law enforcement agency that
receives a request to produce records shall first contact the Bureau of
Criminal Apprehension to determine if the records were subject to a grant of
expungement under this section. The law
enforcement agency must not disclose records relating to an arrest, indictment
or information, trial, verdict, or dismissal and discharge for any case in
which expungement relief was granted and must maintain the data consistent with
the classification in paragraph (g). This
paragraph does not apply to requests from a criminal justice agency as defined
in section 609A.03, subdivision 7a, paragraph (f), for the purposes of:
(1) initiating,
furthering, or completing a criminal investigation or prosecution or for
sentencing purposes or providing probation or other correctional services; or
(2) evaluating a
prospective employee in a criminal justice agency without a court order.
(g) Data on the person whose
offense has been expunged under this subdivision, including any notice sent
pursuant to paragraph (f), are private data on individuals as defined in
section 13.02, subdivision 12.
(h) The prosecuting
attorney shall notify the victim that an offense qualifies for automatic
expungement under this section in the manner provided in section 611A.03,
subdivisions 1 and 2.
(i) In any subsequent
prosecution of a person granted expungement relief, the expunged criminal
record may be pleaded and has the same effect as if the relief had not been
granted.
(j) The Bureau of
Criminal Apprehension is directed to develop, modify, or update a system to
provide criminal justice agencies with uniform statewide access to criminal
records sealed by expungement.
Subd. 6. Immunity
from civil liability. Employees
of the Bureau of Criminal Apprehension shall not be held civilly liable for the
exercise or the failure to exercise, or the decision to exercise or the
decision to decline to exercise, the powers granted by this section or for any
act or omission occurring within the scope of the performance of their duties
under this section.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to offenses that meet the
eligibility criteria on or after that date and retroactively to offenses that
met those qualifications before January 1, 2025, and are stored in the Bureau
of Criminal Apprehension's criminal history system as of January 1, 2025.
Sec. 14. [609A.017]
MISTAKEN IDENTITY; AUTOMATIC EXPUNGEMENT.
Subdivision 1. Definitions. (a) As used in this section, the
following terms have the meanings given.
(b)
"Conviction" means a plea of guilty, a verdict of guilty by a jury,
or a finding of guilty by a court.
(c) "Mistaken
identity" means a person was incorrectly identified as being a different
person:
(1) because the person's
identity had been transferred, used, or possessed in violation of section
609.527; or
(2) as a result of
misidentification by a witness or law enforcement, confusion on the part of a
witness or law enforcement as to the identity of the person who committed the
crime, misinformation provided to law enforcement as to the identity of the person
who committed the crime, or some other mistake on the part of a witness or law
enforcement as to the identity of the person who committed the crime.
Subd. 2. Determination
by prosecutor; notification. If,
before a conviction, a prosecutor determines that a defendant was issued a
citation, charged, indicted, or otherwise prosecuted as the result of mistaken
identity, the prosecutor must dismiss or move to dismiss the action or
proceeding and must state in writing or on the record that mistaken identity is
the reason for the dismissal.
Subd. 3. Order
of expungement. (a) The court
shall issue an order of expungement without the filing of a petition when an
action or proceeding is dismissed based on a determination that a defendant was
issued a citation, charged, indicted, or otherwise prosecuted as the result of
mistaken identity. The order shall cite
this section as the basis for the order.
(b) An order issued
under this section is not subject to the considerations or standards identified
in section 609A.025 or 609A.03, subdivision 5, paragraph (a), (b), or (c).
Subd. 4. Effect
of order. (a) An order issued
under this section is not subject to the limitations in section 609A.03,
subdivision 7a or 9. The effect of the
court order to seal the record of the proceedings shall be to restore the
person, in the contemplation of the law, to the status the person occupied
before the arrest, indictment, or information.
The person shall not be guilty of perjury or otherwise of giving a false
statement if the person fails to acknowledge the arrest, indictment,
information, or trial in response to any inquiry made for any purpose.
(b) A criminal justice
agency may seek access to a record that was sealed under this section for
purposes of determining whether the subject of the order was identified in any
other action or proceeding as the result of mistaken identity or for a criminal
investigation, prosecution, or sentencing involving any other person. The requesting agency must obtain an ex parte
court order after stating a good-faith basis to believe that opening the record
may lead to relevant information.
(c) The court
administrator must distribute and confirm receipt of an order issued under this
section pursuant to section 609A.03, subdivision 8.
(d) Data on the person
whose offense has been expunged contained in a letter or other notification
sent under this subdivision are private data on individuals as defined in
section 13.02.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to determinations that a
person was identified as the result of mistaken identity on or after that date.
Sec. 15. Minnesota Statutes 2022, section 609A.02, subdivision 3, is amended to read:
Subd. 3. Certain criminal proceedings. (a) A petition may be filed under section 609A.03 to seal all records relating to an arrest, indictment or information, trial, or verdict if the records are not subject to section 299C.11, subdivision 1, paragraph (b), and if:
(1) all pending actions or proceedings were resolved in favor of the petitioner. For purposes of this chapter, a verdict of not guilty by reason of mental illness is not a resolution in favor of the petitioner. For the purposes of this chapter, an action or proceeding is resolved in favor of the petitioner, if the petitioner received an order under section 590.11 determining that the petitioner is eligible for compensation based on exoneration;
(2) the petitioner has successfully completed the terms of a diversion program or stay of adjudication and has not been charged with a new crime for at least one year since completion of the diversion program or stay of adjudication;
(3) the petitioner was
convicted of or received a stayed sentence for a petty misdemeanor or
misdemeanor or the sentence imposed was within the limits provided by law
for a misdemeanor and the petitioner has not been convicted of a new
crime for at least two years since discharge of the sentence for the crime;
(4) the petitioner was
convicted of or received a stayed sentence for a gross misdemeanor or
the sentence imposed was within the limits provided by law for a gross
misdemeanor and the petitioner has not been convicted of a new crime
for at least four three years since discharge of the sentence for
the crime; or
(5) the petitioner was
convicted of a gross misdemeanor that is deemed to be for a misdemeanor
pursuant to section 609.13, subdivision 2, clause (2), and has not been
convicted of a new crime for at least three years since discharge of the
sentence for the crime;
(6) the petitioner was
convicted of a felony violation of section 152.025 and has not been convicted
of a new crime for at least four years since discharge of the sentence for the
crime;
(7) the petitioner was
convicted of a felony that is deemed to be for a gross misdemeanor or
misdemeanor pursuant to section 609.13, subdivision 1, clause (2), and has not
been convicted of a new crime for at least five years since discharge of the
sentence for the crime; or
(5) (8) the
petitioner was convicted of or received a stayed sentence for a felony
violation of an offense listed in paragraph (b), and has not been convicted of
a new crime for at least five four years since discharge of the
sentence for the crime.
(b) Paragraph (a), clause (5)
(7), applies to the following offenses:
(1) section 35.824 (altering livestock certificate);
(2) section 62A.41 (insurance regulations);
(3) section 86B.865, subdivision 1 (certification for title on watercraft);
(4) section 152.023, subdivision 2 (possession of a controlled substance in the third degree); 152.024, subdivision 2 (possession of a controlled substance in the fourth degree); 152.025 (controlled substance in the fifth degree); or 152.097 (sale of simulated controlled substance);
(5) section 168A.30, subdivision 1 (certificate of title false information); or 169.09, subdivision 14, paragraph (a), clause (2) (accident resulting in great bodily harm);
(6) chapter 201; 203B; or 204C (voting violations);
(7) section 228.45; 228.47; 228.49; 228.50; or 228.51 (false bill of lading);
(8) section 256.984 (false declaration in assistance application);
(9) section 296A.23, subdivision 2 (willful evasion of fuel tax);
(10) section 297D.09, subdivision 1 (failure to affix stamp on scheduled substances);
(11) section 297G.19 (liquor taxation); or 340A.701 (unlawful acts involving liquor);
(12) section 325F.743 (precious metal dealers); or 325F.755, subdivision 7 (prize notices and solicitations);
(13) section 346.155, subdivision 10 (failure to control regulated animal);
(14) section 349.2127; or 349.22 (gambling regulations);
(15) section 588.20 (contempt);
(16) section 609.27, subdivision 1, clauses (2) to (5) (coercion);
(17) section 609.31 (leaving state to evade establishment of paternity);
(18) section 609.485, subdivision 4, paragraph (a), clause (2) or (4) (escape from civil commitment for mental illness);
(19) section 609.49 (failure to appear in court);
(20) section 609.52,
subdivision 2, when sentenced pursuant to section 609.52, subdivision 3,
clause (3)(a) (theft of $5,000 or less), or other theft offense that is
sentenced under this provision; or 609.52, subdivision 3a, clause (1)
(theft of $1,000 or less with risk of bodily harm); or any other offense
sentenced pursuant to section 609.52, subdivision 3, clause (3)(a);
(21) section 609.521
(possession of shoplifting gear);
(21) (22) section
609.525 (bringing stolen goods into state);
(22) (23) section
609.526, subdivision 2, clause (2) (metal dealer receiving stolen goods);
(23) (24) section
609.527, subdivision 5b (possession or use of scanning device or reencoder);
609.528, subdivision 3, clause (3) (possession or sale of stolen or counterfeit
check); or 609.529 (mail theft);
(24) (25) section
609.53 (receiving stolen goods);
(25) (26) section
609.535, subdivision 2a, paragraph (a), clause (1) (dishonored check over
$500);
(26) (27) section
609.54, clause (1) (embezzlement of public funds $2,500 or less);
(27) (28) section
609.551 (rustling and livestock theft);
(28) (29) section
609.5641, subdivision 1a, paragraph (a) (wildfire arson);
(29) (30) section
609.576, subdivision 1, clause (3), item (iii) (negligent fires);
(31) section 609.582,
subdivision 3 (burglary in the third degree);
(32) section 609.59
(possession of burglary or theft tools);
(30) (33) section
609.595, subdivision 1, clauses (3) to (5), and subdivision 1a, paragraph (a)
(criminal damage to property);
(31) (34) section
609.597, subdivision 3, clause (3) (assaulting or harming police horse);
(32) (35) section
609.625 (aggravated forgery); 609.63 (forgery); 609.631, subdivision 4, clause
(3)(a) (check forgery $2,500 or less); 609.635 (obtaining signature by false
pretense); 609.64 (recording, filing forged instrument); or 609.645 (fraudulent
statements);
(33) (36) section
609.65, clause (1) (false certification by notary); or 609.651, subdivision 4,
paragraph (a) (lottery fraud);
(34) (37) section
609.652 (fraudulent driver's license and identification card);
(35) (38) section
609.66, subdivision 1a, paragraph (a) (discharge of firearm; silencer); or
609.66, subdivision 1b (furnishing firearm to minor);
(36) (39) section
609.662, subdivision 2, paragraph (b) (duty to render aid);
(37) (40) section
609.686, subdivision 2 (tampering with fire alarm);
(38) (41) section
609.746, subdivision 1, paragraph (e) (g) (interference with
privacy; subsequent violation or minor victim);
(39) (42) section
609.80, subdivision 2 (interference with cable communications system);
(40) (43) section
609.821, subdivision 2 (financial transaction card fraud);
(41) (44) section
609.822 (residential mortgage fraud);
(42) (45) section
609.825, subdivision 2 (bribery of participant or official in contest);
(43) (46) section
609.855, subdivision 2, paragraph (c), clause (1) (interference with transit
operator);
(44) (47) section
609.88 (computer damage); or 609.89 (computer theft);
(45) (48) section
609.893, subdivision 2 (telecommunications and information services fraud);
(46) (49) section
609.894, subdivision 3 or 4 (cellular counterfeiting);
(47) (50) section
609.895, subdivision 3, paragraph (a) or (b) (counterfeited intellectual
property);
(48) (51) section
609.896 (movie pirating);
(49) (52) section
624.7132, subdivision 15, paragraph (b) (transfer pistol to minor); 624.714,
subdivision 1a (pistol without permit; subsequent violation); or 624.7141,
subdivision 2 (transfer of pistol to ineligible person); or
(50) (53) section
624.7181 (rifle or shotgun in public by minor).
EFFECTIVE DATE. This
section is effective July 1, 2023, and applies to all offenses that meet the
eligibility criteria on or after that date.
Sec. 16. Minnesota Statutes 2022, section 609A.03, subdivision 5, is amended to read:
Subd. 5. Nature of remedy; standard. (a) Except as otherwise provided by paragraph (b), expungement of a criminal record under this section is an extraordinary remedy to be granted only upon clear and convincing evidence that it would yield a benefit to the petitioner commensurate with the disadvantages to the public and public safety of:
(1) sealing the record; and
(2) burdening the court and public authorities to issue, enforce, and monitor an expungement order.
(b) Except as otherwise provided by this paragraph, if the petitioner is petitioning for the sealing of a criminal record under section 609A.02, subdivision 3, paragraph (a), clause (1) or (2), the court shall grant the petition to seal the record unless the agency or jurisdiction whose records would be affected establishes by clear and convincing evidence that the interests of the public and public safety outweigh the disadvantages to the petitioner of not sealing the record.
(c) In making a determination under this subdivision, the court shall consider:
(1) the nature and severity of the underlying crime, the record of which would be sealed;
(2) the risk, if any, the petitioner poses to individuals or society;
(3) the length of time since the crime occurred;
(4) the steps taken by the petitioner toward rehabilitation following the crime;
(5) aggravating or mitigating factors relating to the underlying crime, including the petitioner's level of participation and context and circumstances of the underlying crime;
(6) the reasons for the expungement, including the petitioner's attempts to obtain employment, housing, or other necessities;
(7) the petitioner's criminal record;
(8) the petitioner's record of employment and community involvement;
(9) the recommendations of interested law enforcement, prosecutorial, and corrections officials;
(10) the recommendations of victims or whether victims of the underlying crime were minors;
(11) the amount, if any, of restitution outstanding, past efforts made by the petitioner toward payment, and the measures in place to help ensure completion of restitution payment after expungement of the record if granted; and
(12) other factors deemed relevant by the court.
(d) Notwithstanding section 13.82, 13.87, or any other law to the contrary, if the court issues an expungement order it may require that the criminal record be sealed, the existence of the record not be revealed, and the record not be opened except as required under subdivision 7. Records must not be destroyed or returned to the subject of the record.
(e) Information relating to a criminal history record of an employee, former employee, or tenant that has been expunged before the occurrence of the act giving rise to the civil action may not be introduced as evidence in a civil action against a private employer or landlord or its employees or agents that is based on the conduct of the employee, former employee, or tenant.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 17. Minnesota Statutes 2022, section 609A.03, subdivision 7a, is amended to read:
Subd. 7a. Limitations of order effective January 1, 2015, and later. (a) Upon issuance of an expungement order related to a charge supported by probable cause, the DNA samples and DNA records held by the Bureau of Criminal Apprehension and collected under authority other than section 299C.105 shall not be sealed, returned to the subject of the record, or destroyed.
(b) Notwithstanding the issuance of an expungement order:
(1) except as provided in clause (2), an expunged record may be opened, used, or exchanged between criminal justice agencies without a court order for the purposes of initiating, furthering, or completing a criminal investigation or prosecution or for sentencing purposes or providing probation or other correctional services;
(2) when a criminal justice agency seeks access to a record that was sealed under section 609A.02, subdivision 3, paragraph (a), clause (1), after an acquittal or a court order dismissing for lack of probable cause, for purposes of a criminal investigation, prosecution, or sentencing, the requesting agency must obtain an ex parte court order after stating a good-faith basis to believe that opening the record may lead to relevant information;
(3) an expunged record of a conviction may be opened for purposes of evaluating a prospective employee in a criminal justice agency without a court order;
(4) an expunged record of a conviction may be opened for purposes of a background study under section 245C.08 unless the commissioner had been properly served with notice of the petition for expungement and the court order for expungement is directed specifically to the commissioner of human services following proper service of a petition, or following proceedings under section 609A.025 or 609A.035 upon service of an order to the commissioner of human services;
(5) an expunged record of a
conviction may be opened for purposes of a background check required under
section 122A.18, subdivision 8, unless the court order for expungement is
directed specifically to the Professional Educator Licensing and Standards Board;
and
(6) the court may order an
expunged record opened upon request by the victim of the underlying offense if
the court determines that the record is substantially related to a matter for
which the victim is before the court.;
(7) a prosecutor may
request, and the district court shall provide, certified records of conviction
for a record expunged pursuant to sections 609A.015, 609A.017, 609A.02,
609A.025, and 609A.035, and the certified records of conviction may be
disclosed and introduced in criminal court proceedings as provided by the rules
of court and applicable law; and
(8) the subject of an
expunged record may request, and the court shall provide, certified or
uncertified records of conviction for a record expunged pursuant to sections
609A.015, 609A.017, 609A.02, 609A.025, and 609A.035.
(c) An agency or jurisdiction subject to an expungement order shall maintain the record in a manner that provides access to the record by a criminal justice agency under paragraph (b), clause (1) or (2), but notifies the recipient that the record has been sealed. The Bureau of Criminal Apprehension shall notify the commissioner of human services or the Professional Educator Licensing and Standards Board of the existence of a sealed record and of the right to obtain access under paragraph (b), clause (4) or (5). Upon request, the agency or jurisdiction subject to the expungement order shall provide access to the record to the commissioner of human services or the Professional Educator Licensing and Standards Board under paragraph (b), clause (4) or (5).
(d) An expunged record that is opened or exchanged under this subdivision remains subject to the expungement order in the hands of the person receiving the record.
(e) A criminal justice agency that receives an expunged record under paragraph (b), clause (1) or (2), must maintain and store the record in a manner that restricts the use of the record to the investigation, prosecution, or sentencing for which it was obtained.
(f) For purposes of this section, a "criminal justice agency" means a court or government agency that performs the administration of criminal justice under statutory authority.
(g) This subdivision applies to expungement orders subject to its limitations and effective on or after January 1, 2015, and grants of expungement relief issued on or after January 1, 2025.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 18. Minnesota Statutes 2022, section 609A.03, subdivision 9, is amended to read:
Subd. 9. Stay of order; appeal. An expungement order issued under this section shall be stayed automatically for 60 days after the order is filed and, if the order is appealed, during the appeal period. A person or an agency or jurisdiction whose records would be affected by the order may appeal the order within 60 days of service of notice of filing of the order. An agency or jurisdiction or its officials or employees need not file a cost bond or supersedeas bond in order to further stay the proceedings or file an appeal.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 19. [609A.035]
PARDON EXTRAORDINARY; NO PETITION REQUIRED.
(a) Notwithstanding
section 609A.02, if the Board of Pardons grants a petition for a pardon
extraordinary pursuant to section 638.02, subdivision 2, it shall file a copy
of the pardon extraordinary with the district court of the county in which the
conviction occurred.
(b) The district court
shall issue an expungement order sealing all records wherever held relating to
the arrest, indictment or information, trial, verdict, and pardon for the
pardoned offense without the filing of a petition and send an expungement order
to each government entity whose records are affected.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 20. Minnesota Statutes 2022, section 611A.03, subdivision 1, is amended to read:
Subdivision 1. Plea agreements; notification of victim. Prior to the entry of the factual basis for a plea pursuant to a plea agreement recommendation, a prosecuting attorney shall make a reasonable and good faith effort to inform the victim of:
(1) the contents of the plea
agreement recommendation, including the amount of time recommended for the
defendant to serve in jail or prison if the court accepts the agreement; and
(2) the right to be present
at the sentencing hearing and at the hearing during which the plea is presented
to the court and to express orally or in writing, at the victim's option, any
objection to the agreement or to the proposed disposition. If the victim is not present when the court
considers the recommendation, but has communicated objections to the
prosecuting attorney, the prosecuting attorney shall make these objections
known to the court.; and
(3) the eligibility of
the offense for automatic expungement pursuant to section 609A.015.
EFFECTIVE DATE. This
section is effective January 1, 2025, and applies to plea agreements entered
into on or after that date.
Sec. 21. Minnesota Statutes 2022, section 638.02, subdivision 2, is amended to read:
Subd. 2. Petition; pardon extraordinary. Any person, convicted of a crime in any court of this state, who has served the sentence imposed by the court and has been discharged of the sentence either by order of court or by operation of law, may petition the Board of Pardons for the granting of a pardon extraordinary. Unless the Board of Pardons expressly provides otherwise in writing by unanimous vote, the application for a pardon extraordinary may not be filed until the applicable time period in clause (1) or (2) has elapsed:
(1) if the person was convicted of a crime of violence as defined in section 624.712, subdivision 5, ten years must have elapsed since the sentence was discharged and during that time the person must not have been convicted of any other crime; and
(2) if the person was convicted of any crime not included within the definition of crime of violence under section 624.712, subdivision 5, five years must have elapsed since the sentence was discharged and during that time the person must not have been convicted of any other crime.
If the Board of Pardons determines that the
person is of good character and reputation, the board may, in its discretion,
grant the person a pardon extraordinary.
The pardon extraordinary, when granted, has the effect of setting aside
and nullifying the conviction and of purging the person of it, and the person
shall never after that be required to disclose the conviction at any time or
place other than in a judicial proceeding or as part of the licensing process
for peace officers. The pardon
extraordinary, after being granted and filed with the district court in which
the conviction occurred, will also seal all records wherever held related to
the arrest, indictment or information, trial, verdict, and pardon.
The application for a pardon extraordinary, the proceedings to review an application, and the notice requirements are governed by the statutes and the rules of the board in respect to other proceedings before the board. The application shall contain any further information that the board may require.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 22. Minnesota Statutes 2022, section 638.02, subdivision 3, is amended to read:
Subd. 3. Pardon
extraordinary; filing; copies sent. Upon
granting a pardon extraordinary, the Board of Pardons shall file a copy
of it with the district court of the county in which the conviction occurred,
and the court shall order the conviction set aside and include a copy of the
pardon in the court file. The court
shall order all records wherever held relating to the arrest, indictment or
information, trial, verdict, and pardon sealed and prohibit the disclosure of
the existence of the records or the opening of the records except under court
order or pursuant to section 609A.03, subdivision 7a, paragraph (b), clause
(1), (7) or (8). The court shall
send a copy of its order and the pardon to the Bureau of Criminal Apprehension and
all other government entities that hold affected records. The court administrator under section
609A.03, subdivision 8, shall send a copy of the expungement order to each
government entity whose records are affected by the order, including but not
limited to the Department of Corrections, the Department of Public Safety, and
law enforcement agencies.
EFFECTIVE DATE. This
section is effective August 1, 2023.
ARTICLE 6
CLEMENCY REFORM
Section 1. Minnesota Statutes 2022, section 13.871, subdivision 8, is amended to read:
Subd. 8. Board
of Pardons Clemency Review Commission records. Access to Board of Pardons records
of the Clemency Review Commission is governed by section 638.07 638.20.
Sec. 2. Minnesota Statutes 2022, section 299C.11, subdivision 3, is amended to read:
Subd. 3. Definitions. For purposes of this section:
(1) "determination of all pending criminal actions or proceedings in favor of the arrested person" does not include:
(i) the sealing of a criminal record pursuant to section 152.18, subdivision 1, 242.31, or chapter 609A;
(ii) the arrested person's successful completion of a diversion program;
(iii) an order of discharge under section 609.165; or
(iv) a pardon granted under
section 638.02 chapter 638; and
(2) "targeted misdemeanor" has the meaning given in section 299C.10, subdivision 1.
Sec. 3. Minnesota Statutes 2022, section 638.01, is amended to read:
638.01 BOARD OF PARDONS; HOW CONSTITUTED; POWERS.
The Board of Pardons shall
consist consists of the governor, the chief justice of the supreme
court, and the attorney general. The board
governor in conjunction with the board may grant pardons and
reprieves and commute the sentence of any person convicted of any offense
against the laws of the state, in the manner and under the conditions and rules
hereinafter prescribed, but not otherwise clemency according to this
chapter.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. [638.011]
DEFINITIONS.
Subdivision 1. Scope. For purposes of this chapter, the
terms defined in this section have the meanings given.
Subd. 2. Board. "Board" means the Board of
Pardons under section 638.01.
Subd. 3. Clemency. Unless otherwise provided,
"clemency" includes a pardon, commutation, and reprieve after
conviction for a crime against the state except in cases of impeachment.
Subd. 4. Commission. "Commission" means the
Clemency Review Commission under section 638.09.
Subd. 5. Department. "Department" means the
Department of Corrections.
Subd. 6. Waiver
request. "Waiver
request" means a request to waive a time restriction under sections
638.12, subdivisions 2 and 3, and 638.19, subdivision 1.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 5. [638.09]
CLEMENCY REVIEW COMMISSION.
Subdivision 1. Establishment;
duties. (a) The Clemency
Review Commission is established to:
(1) review each eligible clemency application and waiver request that it receives;
(2) recommend to the
board, in writing, whether to grant or deny the application or waiver request,
with each member's vote reported;
(3) recommend to the
board, in writing, whether the board should conduct a hearing on a clemency
application, with each member's vote reported; and
(4) provide victim
support services, assistance to applicants, and other assistance as the board
requires.
(b) Unless otherwise provided:
(1) the commission's
recommendations under this chapter are nonbinding on the governor or the board;
and
(2) chapter 15 applies
unless otherwise inconsistent with this chapter.
Subd. 2. Composition. (a) The commission consists of nine
members, each serving a term coterminous with the governor.
(b) The governor, the attorney general, and the chief justice of the supreme court must each appoint three members to serve on the commission and replace members when the members' terms expire. Members serve at the pleasure of their appointing authority.
Subd. 3. Appointments
to commission. (a) An
appointing authority is encouraged to consider the following criteria when
appointing a member:
(1) expertise in law,
corrections, victims' services, correctional supervision, mental health, and
substance abuse treatment; and
(2) experience
addressing systemic disparities, including but not limited to disparities based
on race, gender, and ability.
(b) An appointing
authority must seek out and encourage qualified individuals to apply to serve
on the commission, including:
(1) members of
Indigenous communities, Black communities, and other communities of color;
(2) members diverse as
to gender identity; and
(3) members diverse as
to age and ability.
(c) If there is a
vacancy, the appointing authority who selected the vacating member must make an
interim appointment to expire at the end of the vacating member's term.
(d) A member may
continue to serve until the member's successor is appointed, but a member may
not serve more than eight years in total.
Subd. 4. Commission;
generally. (a) The commission
must biennially elect one of its members as chair and one as vice-chair. The chair serves as the board's secretary.
(b) Each commission
member must be:
(1) compensated at a
rate of $150 for each day or part of the day spent on commission activities;
and
(2) reimbursed for all
reasonable expenses actually paid or incurred by the member while performing
official duties.
(c) Beginning January 1,
2025, and annually thereafter, the board may set a new per diem rate for
commission members, not to exceed an amount ten percent higher than the
previous year's rate.
Subd. 5. Executive
director. (a) The board must
appoint a commission executive director knowledgeable about clemency and
criminal justice. The executive director
serves at the pleasure of the board in the unclassified service as an executive
branch employee.
(b) The executive
director's salary is set in accordance with section 15A.0815, subdivision 3.
(c) The executive
director may obtain office space and supplies and hire administrative staff
necessary to carry out the commission's official functions, including providing
administrative support to the board and attending board meetings. Any additional staff serve in the
unclassified service at the pleasure of the executive director.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 6. [638.10]
CLEMENCY APPLICATION.
Subdivision 1. Required
contents. A clemency
application must:
(1) be in writing;
(2) be signed under oath
by the applicant; and
(3) state the clemency
sought, state why the clemency should be granted, and contain the following
information and any additional information that the commission or board
requires:
(i) the applicant's
name, address, and date and place of birth, and every alias by which the
applicant is or has been known;
(ii) the applicant's
demographic information, including race, ethnicity, gender, disability status,
and age, only if voluntarily reported;
(iii) the name of the
crime for which clemency is requested, the date and county of conviction, the
sentence imposed, and the sentence's expiration or discharge date;
(iv) the names of the
sentencing judge, the prosecuting attorney, and any victims of the crime;
(v) a brief description
of the crime and the applicant's age at the time of the crime;
(vi) the date and outcome of any prior clemency application, including
any application submitted before July 1, 2024;
(vii) to the best of the
applicant's knowledge, a statement of any past criminal conviction and any
pending criminal charge or investigation;
(viii) for an applicant
under the department's custody, a statement describing the applicant's reentry
plan should clemency be granted; and
(ix) an applicant
statement acknowledging and consenting to the disclosure to the commission,
board, and public of any private data on the applicant in the application or in
any other record relating to the clemency being sought, including conviction
and arrest records.
Subd. 2. Required
form. (a) An application must
be made on a commission-approved form or forms and filed with the commission by
commission-prescribed deadlines. The
commission must consult with the board on the forms and deadlines.
(b) The application must
include language informing the applicant that the board and the commission will
consider any and all past convictions and that the applicant may provide
information about the convictions.
Subd. 3. Reviewing
application for completeness. The
commission must review an application for completeness. An incomplete application must be returned to
the applicant, who may then provide the missing information and resubmit the
application within a commission-prescribed period.
Subd. 4. Notice
to applicant. After the commission's
initial investigation of a clemency application, the commission must notify the
applicant of the scheduled date, time, and location that the applicant must
appear before the commission for a meeting under section 638.14.
Subd. 5. Equal
access to information. Each
board and commission member must have equal access to information under this
chapter that is used when making a clemency decision.
Sec. 7. [638.11]
THIRD-PARTY NOTIFICATIONS.
Subdivision 1. Notice to victim; victim rights. (a) After receiving a clemency application, the commission must make all reasonable efforts to locate any victim of the applicant's crime.
(b) At least 30 calendar
days before the commission meeting at which the application will be heard, the
commission must notify any located victim of:
(1) the application;
(2) the meeting's
scheduled date, time, and location; and
(3) the victim's right to
attend the meeting and submit an oral or written statement to the commission.
(c) The commission must
make all reasonable efforts to ensure that a victim can:
(1) submit an oral or
written statement; and
(2) receive victim
support services as necessary to help the victim submit a statement and
participate in the clemency process.
Subd. 2. Notice
to sentencing judge and prosecuting attorney. (a) At least 30 calendar days before
the commission meeting at which the application will be heard, the commission
must notify the sentencing judge and prosecuting attorney or their successors
of the application and solicit the judge's and attorney's written statements on
whether to grant clemency.
(b) Unless otherwise
provided in this chapter, "law enforcement agency" includes the
sentencing judge and prosecuting attorney or their successors.
Subd. 3. Notice
to public. At least 30
calendar days before the commission meeting at which the application will be
heard, the commission must publish notice of an application in a qualified
newspaper of general circulation in the county in which the applicant's crime
occurred.
Sec. 8. [638.12]
TYPES OF CLEMENCY; ELIGIBILITY AND WAIVER.
Subdivision 1. Types
of clemency; requirements. (a)
The board may:
(1) pardon a criminal
conviction imposed under the laws of this state;
(2) commute a criminal sentence
imposed by a court of this state to time served or a lesser sentence; or
(3) grant a reprieve of a
sentence imposed by a court of this state.
(b) A grant of clemency
must be in writing and has no force or effect if the governor or a board
majority duly convened opposes the clemency.
Every conditional grant of clemency must state the terms and conditions
upon which it was granted, and every commutation must specify the terms of the
commuted sentence.
(c) A granted pardon sets
aside the conviction and purges the conviction from an individual's criminal
record. The individual is not required
to disclose the conviction at any time or place other than:
(1) in a judicial
proceeding; or
(2) during the licensing
process for peace officers.
Subd. 2. Pardon
eligibility; waiver. (a) An
individual convicted of a crime in a court of this state may apply for a pardon
of the individual's conviction on or after five years from the sentence's
expiration or discharge date.
(b) An individual may
request the board to waive the waiting period if there is a showing of unusual
circumstances and special need.
(c) The commission must
review a waiver request and recommend to the board whether to grant the request. When considering a waiver request, the
commission is exempt from the meeting requirements under section 638.14 and
chapter 13D.
(d) The board must grant
a waiver request unless the governor or a board majority opposes the waiver.
Subd. 3. Commutation
eligibility. (a) An
individual may apply for a commutation of an unexpired criminal sentence
imposed by a court of this state, including an individual confined in a
correctional facility or on probation, parole, supervised release, or
conditional release. An application for
commutation may not be filed until the date that the individual has served at
least one-half of the sentence imposed or on or after five years from the
conviction date, whichever is earlier.
(b) An individual may
request the board to waive the waiting period if there is a showing of unusual
circumstances and special need.
(c) The commission must
review a waiver request and recommend to the board whether to grant the request. When considering a waiver request, the
commission is exempt from the meeting requirements under section 638.14 and
chapter 13D.
(d) The board must grant
a waiver request unless the governor or a board majority opposes the waiver.
Sec. 9. [638.13]
ACCESS TO RECORDS; ISSUING SUBPOENA.
Subdivision 1. Access
to records. (a)
Notwithstanding chapter 13 or any other law to the contrary, upon receiving a
clemency application, the board or commission may request and obtain any
relevant reports, data, and other information from state courts, law
enforcement agencies, or state agencies.
The board and the commission must have access to all relevant sealed or
otherwise inaccessible court records, presentence investigation reports, police
reports, criminal history reports, prison records, and any other relevant
information.
(b) State courts, law
enforcement agencies, and state agencies must promptly respond to record
requests from the board or the commission.
Subd. 2. Issuing
subpoena. The board or the commission
may issue a subpoena requiring the presence of any person before the commission
or board and the production of papers, records, and exhibits in any pending
matter. When a person is summoned before
the commission or the board, the person may be allowed compensation for travel
and attendance as the commission or the board considers reasonable.
Sec. 10. [638.14]
COMMISSION MEETINGS.
Subdivision 1. Frequency. The commission must meet at least four
times each year for one or more days at each meeting to hear eligible clemency
applications and recommend appropriate action to the board on each application. One or more of the meetings may be held at a
department-operated correctional facility.
Subd. 2. When open to the public. All commission meetings are open to the public as provided under chapter 13D, but the commission may hold closed meetings:
(1) as provided under
chapter 13D; or
(2) as necessary to
protect sensitive or confidential information, including (i) a victim's
identity, and (ii) sensitive or confidential victim testimony.
Subd. 3. Recording. When possible, the commission must
record its meetings by audio or audiovisual means.
Subd. 4. Board
attendance. The governor,
attorney general, and chief justice, or their designees, may attend commission
meetings as ex officio nonvoting members, but their attendance does not affect
whether the commission has a quorum.
Subd. 5. Applicant
appearance; third-party statements. (a)
An applicant for clemency must appear before the commission either in person or
through available forms of telecommunication.
(b) The victim of an
applicant's crime may appear and speak at the meeting or submit a written
statement to the commission. The
commission may treat a victim's written statement as confidential and not
disclose the statement to the applicant or the public if there is or has been
an order for protection, harassment restraining order, or other no‑contact
order prohibiting the applicant from contacting the victim.
(c) A law enforcement
agency's representative may provide the agency's position on whether the
commission should recommend clemency by:
(1) appearing and
speaking at the meeting; or
(2) submitting a written
statement to the commission.
(d) The sentencing judge
and the prosecuting attorney, or their successors, may provide their positions
on whether the commission should recommend clemency by:
(1) appearing and
speaking at the meeting; or
(2) submitting their
statements under section 638.11, subdivision 2.
Sec. 11. [638.15]
COMMISSION RECOMMENDATION.
Subdivision 1. Grounds
for recommending clemency. (a)
When recommending whether to grant clemency, the commission must consider any
factors that the commission deems appropriate, including but not limited to:
(1) the nature,
seriousness, and circumstances of the applicant's crime; the applicant's age at
the time of the crime; and the time that has elapsed between the crime and the
application;
(2) the successful completion
or revocation of previous probation, parole, supervised release, or conditional
release;
(3) the number, nature,
and circumstances of the applicant's other criminal convictions;
(4) the extent to which
the applicant has demonstrated rehabilitation through postconviction conduct,
character, and reputation;
(5) the extent to which
the applicant has accepted responsibility, demonstrated remorse, and made
restitution to victims;
(6) whether the sentence
is clearly excessive in light of the applicant's crime and criminal history and
any sentence received by an accomplice and with due regard given to:
(i) any plea agreement;
(ii) the sentencing judge's views; and
(iii) the sentencing
ranges established by law;
(7) whether the
applicant's age or medical status indicates that it is in the best interest of
society that the applicant receive clemency;
(8) the applicant's asserted need for clemency, including family needs and barriers to housing or employment created by the conviction;
(9) for an applicant under the department's custody, the adequacy of the applicant's reentry plan;
(10) the amount of time already served by the applicant and the availability of other forms of judicial or administrative relief;
(11) the extent to which
there is credible evidence indicating that the applicant is or may be innocent
of the crime for which they were convicted; and
(12) if provided by the
applicant, the applicant's demographic information, including race, ethnicity,
gender, disability status, and age.
(b) Unless an applicant
knowingly omitted past criminal convictions on the application, the commission
or the board must not prejudice an applicant for failing to identify past
criminal convictions.
Subd. 2. Recommending
denial of commutation without hearing.
(a) At a meeting under section 638.14, the commission may
recommend denying a commutation application without a board hearing if:
(1) the applicant is
challenging the conviction or sentence through court proceedings;
(2) the applicant has
failed to exhaust all available state court remedies for challenging the
sentence; or
(3) the commission
determines that the matter should first be considered by the parole authority.
(b) A commission
recommendation to deny an application under paragraph (a) must be sent to the
board along with the application.
Subd. 3. Considering
public statements. When
making its recommendation on an application, the commission must consider any
statement provided by a victim or law enforcement agency.
Subd. 4. Commission recommendation; notifying applicant. (a) Before the board's next meeting at which the clemency application may be considered, the commission must send to the board:
(1) the application;
(2) the commission's
recommendation;
(3) any recording of the
commission's meeting related to the application; and
(4) all statements from victims
and law enforcement agencies.
(b) No later than 14
calendar days after its dated recommendation, the commission must notify the
applicant in writing of its recommendation.
Sec. 12. [638.16]
BOARD MEETINGS.
Subdivision 1. Frequency. (a) The board must meet at least two
times each year to consider clemency applications that have received favorable
recommendations under section 638.09, subdivision 1, paragraph (a), clauses (2)
and (3), from the commission and any other applications for which at least one
board member seeks consideration.
(b) Any board member may
request a hearing on any application.
Subd. 2. When
open to the public. All board
meetings are open to the public as provided under chapter 13D, but the board
may hold closed meetings:
(1) as provided under
chapter 13D; or
(2) as necessary to
protect sensitive or confidential information, including (i) a victim's
identity, and (ii) sensitive or confidential victim testimony.
Subd. 3. Executive
director; attendance required. Unless
excused by the board, the executive director and the commission's chair or
vice-chair must attend all board meetings.
Subd. 4. Considering
statements. (a) Applicants,
victims, and law enforcement agencies may not submit oral or written statements
at a board meeting unless:
(1) a board member
requests a hearing on an application; or
(2) the commission has
recommended a hearing on an application.
(b) The board must
consider any statements provided to the commission when determining whether to consider
a clemency application.
Sec. 13. [638.17]
BOARD DECISION; NOTIFYING APPLICANT.
Subdivision 1. Board
decision. (a) At each
meeting, the board must render a decision on each clemency application
considered at the meeting or continue the matter to a future board meeting. If the board continues consideration of an
application, the commission must notify the applicant in writing and explain
why the matter was continued.
(b) If the commission
recommends denying an application and no board member seeks consideration of
the recommendation, it is presumed that the board concurs with the adverse
recommendation and that the application has been considered and denied on the
merits.
Subd. 2. Notifying
applicant. The commission
must notify the applicant in writing of the board's decision to grant or deny
clemency no later than 14 calendar days from the date of the board's decision.
Sec. 14. [638.18]
FILING COPY OF CLEMENCY; COURT ACTION.
Subdivision 1. Filing with district court. After clemency has been granted, the commission must file a copy of the pardon, commutation, or reprieve with the district court of the county in which the conviction and sentence were imposed.
Subd. 2. Court action; pardon. For a pardon, the court must:
(1) order the conviction set aside;
(2) include a copy of the pardon in the court file; and
(3) send a copy of the
order and the pardon to the Bureau of Criminal Apprehension.
Subd. 3. Court
action; commutation. For a
commutation, the court must:
(1) amend the sentence to reflect the specific relief granted by the board;
(2) include a copy of
the commutation in the court file; and
(3) send a copy of the
amended sentencing order and commutation to the commissioner of corrections and
the Bureau of Criminal Apprehension.
Sec. 15. [638.19]
REAPPLYING FOR CLEMENCY.
Subdivision 1. Time-barred
from reapplying; exception. (a)
After the board has considered and denied a clemency application on the merits,
an applicant may not file a subsequent application for five years after the
date of the most recent denial.
(b) An individual may
request permission to reapply before the five-year period expires based only on
new and substantial information that was not and could not have been previously
considered by the board or commission.
(c) If a waiver request
contains new and substantial information, the commission must review the
request and recommend to the board whether to waive the time restriction. When considering a waiver request, the
commission is exempt from the meeting requirements under section 638.14 and
chapter 13D.
(d) The board must grant
a waiver request unless the governor or a board majority opposes the waiver.
Subd. 2. Applying
for pardon not precluded. An
applicant who is denied or granted a commutation is not precluded from later
seeking a pardon of the criminal conviction once the eligibility requirements
of this chapter have been met.
Sec. 16. [638.20]
COMMISSION RECORD KEEPING.
Subdivision 1. Record
keeping. The commission must
keep a record of every application received, its recommendation on each
application, and the final disposition of each application.
Subd. 2. When
open to public. The
commission's records and files are open to public inspection at all reasonable
times, except for:
(1) sealed court
records;
(2) presentence
investigation reports;
(3) Social Security
numbers;
(4) financial account
numbers;
(5) driver's license
information;
(6) medical records;
(7) confidential Bureau of Criminal Apprehension records;
(8) the identities of
victims who wish to remain anonymous and confidential victim statements; and
(9) any other
confidential data on individuals, private data on individuals, not public data,
or nonpublic data under chapter 13.
Sec. 17. [638.21]
LANGUAGE ACCESS AND VICTIM SUPPORT.
Subdivision 1. Language
access. The commission and
the board must take reasonable steps to provide meaningful language access to
applicants and victims. Applicants and
victims must have language access to information, documents, and services under
this chapter, with each communicated in a language or manner that the applicant
or victim can understand.
Subd. 2. Interpreters. (a) Applicants and victims are
entitled to interpreters as necessary to fulfill the purposes of this chapter,
including oral or written communication.
Sections 546.42 to 546.44 apply, to the extent consistent with this
section.
(b) The commission or the board may not discriminate against an applicant or victim who requests or receives interpretation services.
Subd. 3. Victim
services. The commission and
the board must provide or contract for victim support services as necessary to
support victims under this chapter.
Sec. 18. [638.22]
LEGISLATIVE REPORT.
Beginning February 15,
2025, and every February 15 thereafter, the commission must submit a written
report to the chairs and ranking minority members of the house of
representatives and senate committees with jurisdiction over public safety,
corrections, and judiciary that contains at least the following information:
(1) the number of
clemency applications received by the commission during the preceding calendar
year;
(2) the number of favorable and
adverse recommendations made by the commission for each type of clemency;
(3) the number of
applications granted and denied by the board for each type of clemency;
(4) the crimes for which
the applications were granted by the board, the year of each conviction, and
the individual's age at the time of the crime; and
(5) summary data
voluntarily reported by applicants, including but not limited to demographic
information on race, ethnicity, gender, disability status, and age, of
applicants recommended or not recommended for clemency by the commission.
Sec. 19. [638.23]
RULEMAKING.
(a) The board and
commission may jointly adopt rules, including amending Minnesota Rules, chapter
6600, to:
(1) enforce their powers
and duties under this chapter and ensure the efficient processing of
applications; and
(2) allow for expedited
review of applications if there is unanimous support from the sentencing judge
or successor, the prosecuting attorney or successor, and any victims of the
crime.
(b) The time limit to
adopt rules under section 14.125 does not apply.
Sec. 20. TRANSITION
PERIOD.
(a) Beginning August 1,
2023, through March 1, 2024, the Department of Corrections must provide the
Clemency Review Commission with administrative assistance, technical
assistance, office space, and other assistance necessary for the commission to
carry out its duties under sections 4 to 21.
(b) Beginning July 1,
2024, the Clemency Review Commission must begin reviewing applications for
pardons, commutations, and reprieves. Applications
received after the effective date of this section but before July 1, 2024, must
be considered according to Minnesota Statutes 2022, sections 638.02,
subdivisions 2 to 5, and 638.03 to 638.08.
(c) A pardon,
commutation, or reprieve that is granted during the transition period has no
force or effect if the governor or a board majority duly convened opposes the
clemency.
(d) By July 1, 2024, the
Clemency Review Commission must develop application forms in consultation with
the Board of Pardons.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 21. REPEALER.
Minnesota Statutes 2022,
sections 638.02; 638.03; 638.04; 638.05; 638.06; 638.07; 638.075; and 638.08, are
repealed.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. EFFECTIVE
DATE.
Sections 1, 2, and 6 to
19 are effective July 1, 2024.
ARTICLE 7
EVIDENCE GATHERING AND REPORTING
Section 1. Minnesota Statutes 2022, section 13A.02, subdivision 1, is amended to read:
Subdivision 1. Access by government. Except as authorized by this chapter, no government authority may have access to, or obtain copies of, or the information contained in, the financial records of any customer from a financial institution unless the financial records are reasonably described and:
(1) the customer has authorized the disclosure;
(2) the financial records are disclosed in response to a search warrant;
(3) the financial records are disclosed in response to a judicial or administrative subpoena;
(4) the financial records are disclosed to law enforcement, a lead investigative agency as defined in section 626.5572, subdivision 13, or prosecuting authority that is investigating financial exploitation of a vulnerable adult in response to a judicial subpoena or administrative subpoena under section 388.23; or
(5) the financial records are disclosed pursuant to section 609.527 or 609.535 or other statute or rule.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 2. Minnesota Statutes 2022, section 13A.02, subdivision 2, is amended to read:
Subd. 2. Release prohibited. No financial institution, or officer, employee, or agent of a financial institution, may provide to any government authority access to, or copies of, or the information contained in, the financial records of any customer except in accordance with the provisions of this chapter.
Nothing in this chapter shall require a financial institution to inquire or determine that those seeking disclosure have duly complied with the requirements of this chapter, provided only that the customer authorization, search warrant, subpoena, or written certification pursuant to section 609.527, subdivision 8; 609.535, subdivision 6; 626.557; or other statute or rule, served on or delivered to a financial institution shows compliance on its face.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 3. Minnesota Statutes 2022, section 609.527, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) As used in this section, the following terms have the meanings given them in this subdivision.
(b) "Direct victim" means any person or entity described in section 611A.01, paragraph (b), whose identity has been transferred, used, or possessed in violation of this section.
(c) "False pretense" means any false, fictitious, misleading, or fraudulent information or pretense or pretext depicting or including or deceptively similar to the name, logo, website address, email address, postal address, telephone number, or any other identifying information of a for-profit or not-for-profit business or organization or of a government agency, to which the user has no legitimate claim of right.
(d) "Financial
institution" has the meaning given in section 13A.01, subdivision 2.
(e) "Identity" means any name, number, or data transmission that may be used, alone or in conjunction with any other information, to identify a specific individual or entity, including any of the following:
(1) a name, Social Security number, date of birth, official government-issued driver's license or identification number, government passport number, or employer or taxpayer identification number;
(2) unique electronic identification number, address, account number, or routing code; or
(3) telecommunication identification information or access device.
(e) (f) "Indirect
victim" means any person or entity described in section 611A.01, paragraph
(b), other than a direct victim.
(f) (g) "Loss"
means value obtained, as defined in section 609.52, subdivision 1, clause (3),
and expenses incurred by a direct or indirect victim as a result of a violation
of this section.
(g) (h) "Unlawful
activity" means:
(1) any felony violation of the laws of this state or any felony violation of a similar law of another state or the United States; and
(2) any nonfelony violation of the laws of this state involving theft, theft by swindle, forgery, fraud, or giving false information to a public official, or any nonfelony violation of a similar law of another state or the United States.
(h) (i) "Scanning
device" means a scanner, reader, or any other electronic device that is
used to access, read, scan, obtain, memorize, or store, temporarily or
permanently, information encoded on a computer chip or magnetic strip or stripe
of a payment card, driver's license, or state-issued identification card.
(i) (j) "Reencoder"
means an electronic device that places encoded information from the computer
chip or magnetic strip or stripe of a payment card, driver's license, or
state-issued identification card, onto the computer chip or magnetic strip or
stripe of a different payment card, driver's license, or state-issued
identification card, or any electronic medium that allows an authorized
transaction to occur.
(j) (k) "Payment
card" means a credit card, charge card, debit card, or any other card
that:
(1) is issued to an authorized card user; and
(2) allows the user to obtain, purchase, or receive credit, money, a good, a service, or anything of value.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 4. Minnesota Statutes 2022, section 609.527, is amended by adding a subdivision to read:
Subd. 8. Release
of limited account information to law enforcement authorities. (a) A financial institution may
release the information described in paragraph (b) to a law enforcement or
prosecuting authority that certifies in writing that it is investigating or
prosecuting a crime of identity theft under this section. The certification must describe with
reasonable specificity the nature of the suspected identity theft that is being
investigated or prosecuted, including the dates of the suspected criminal
activity.
(b) This subdivision applies to
requests for the following information relating to a potential victim's
account:
(1) the name of the
account holder or holders; and
(2) the last known home
address and telephone numbers of the account holder or holders.
(c) A financial
institution may release the information requested under this subdivision that
it possesses within a reasonable time after the request. The financial institution may not impose a
fee for furnishing the information.
(d) A financial
institution is not liable in a criminal or civil proceeding for releasing
information in accordance with this subdivision.
(e) Release of limited
account information to a law enforcement agency under this subdivision is
criminal investigative data under section 13.82, subdivision 7, except that
when the investigation becomes inactive the account information remains
confidential data on individuals or protected nonpublic data.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 5. Minnesota Statutes 2022, section 626.14, subdivision 2, is amended to read:
Subd. 2. Definition. For the purposes of this section,
"no-knock search warrant" means a search warrant authorizing peace
officers to enter certain premises a dwelling without first knocking
and loudly and understandably announcing the officer's presence or
purpose and waiting a reasonable amount of time thereafter prior to
entering the premises dwelling to allow the subject to become alert
and able to comply. No-knock search
warrants may also be referred to as dynamic entry warrants.
Sec. 6. Minnesota Statutes 2022, section 626.14, is amended by adding a subdivision to read:
Subd. 2a. No-knock
search warrants prohibited. A
court may not issue or approve a no-knock search warrant.
Sec. 7. Minnesota Statutes 2022, section 626.14, is amended by adding a subdivision to read:
Subd. 2b. Execution. If a peace officer enters a dwelling
to serve or execute a search warrant without loudly and understandably
announcing the officer's presence or purpose and waiting a reasonable amount of
time thereafter prior to entering the dwelling, any evidence seized,
discovered, or obtained as a result of the entry must be suppressed and may not
be used as evidence unless exigent circumstances or another exception to the
warrant requirement would justify a warrantless entry.
Sec. 8. Minnesota Statutes 2022, section 626.15, is amended to read:
626.15 EXECUTION AND RETURN OF WARRANT; TIME.
(a) Except as provided in
paragraph (b) (c), a search warrant must be executed and returned
to the court which issued it within ten days after its date. After the expiration of this time, the
warrant is void unless previously executed.
(b) A search warrant on a financial institution for financial records is valid for 30 days.
(c) A district court
judge may grant an extension of a the warrant on a financial
institution for financial records upon an application under oath stating
that the financial institution has not produced the requested financial records
within ten days the 30-day period and that an extension is
necessary to achieve the purposes for which the search warrant was granted. Each extension may not exceed 30 days.
(d) For the purposes of
this paragraph section, "financial institution" has the
meaning given in section 13A.01, subdivision 2, and "financial
records" has the meaning given in section 13A.01, subdivision 3.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 9. Minnesota Statutes 2022, section 626.21, is amended to read:
626.21 RETURN OF PROPERTY AND SUPPRESSION OF EVIDENCE.
(a) A person
aggrieved by an unlawful search and seizure may move the district court for the
district in which the property was seized or the district court having
jurisdiction of the substantive offense for the return of the property and to
suppress the use, as evidence, of anything so obtained on the ground that:
(1) the property was
illegally seized, or;
(2) the property was
illegally seized without warrant, or;
(3) the warrant is
insufficient on its face, or;
(4) the property seized is
not that described in the warrant, or;
(5) there was not probable
cause for believing the existence of the grounds on which the warrant was
issued, or;
(6) the warrant was
illegally executed, or;
(7) the warrant was
improvidently issued.; or
(8) the warrant was
executed or served in violation of section 626.14.
(b) The judge shall receive evidence on any issue of fact necessary to the decision of the motion. If the motion is granted the property shall be restored unless otherwise subject to lawful detention, and it shall not be admissible in evidence at any hearing or trial. The motion to suppress evidence may also be made in the district where the trial is to be had. The motion shall be made before trial or hearing unless opportunity therefor did not exist or the defendant was not aware of the grounds for the motion, but the court in its discretion may entertain the motion at the trial or hearing.
Sec. 10. [626.5535]
CARJACKING; REPORTING REQUIRED.
Subdivision 1. Definition. For purposes of this section,
"carjacking" means taking a motor vehicle from a person or in the
presence of another while having knowledge of not being entitled to the motor
vehicle and using or threatening the imminent use of force against any person
to overcome the person's resistance or powers of resistance to, or to compel
acquiescence in, the taking of the motor vehicle.
Subd. 2. Use
of information collected. (a)
The head of a local law enforcement agency or state law enforcement department
that employs peace officers, as defined in section 626.84, subdivision 1,
paragraph (c), must forward the following carjacking information from the
agency's or department's jurisdiction for the previous year to the commissioner
of public safety by January 15 each year:
(1) the number of
carjacking attempts;
(2) the number of
carjackings;
(3) the ages of the offenders;
(4) the number of
persons injured in each offense;
(5) the number of
persons killed in each offense; and
(6) weapons used in each
offense, if any.
(b) The commissioner of
public safety must include the data received under paragraph (a) in a separate
carjacking category in the department's annual uniform crime report.
Sec. 11. Minnesota Statutes 2022, 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
(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.
(e) By August 1, 2024,
and each year thereafter, the chief law enforcement officer of an agency that
obtains a search warrant under paragraph (b), must provide notice to the
superintendent of the Bureau of Criminal Apprehension of the number of search
warrants the agency obtained under this subdivision in the preceding 12 months. The superintendent must provide a summary of
the data received pursuant to this paragraph in the bureau's biennial report to
the legislature required under section 299C.18.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 12. REPEALER.
Minnesota Statutes 2022,
section 626.14, subdivisions 3 and 4, are repealed.
ARTICLE 8
POLICING AND PRIVATE SECURITY
Section 1. Minnesota Statutes 2022, 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 record, describe, or otherwise document actions and circumstances surrounding either 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) subject to paragraphs (b) to (d), 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, when an individual dies as a result of a use of
force by a peace officer, an involved officer's law enforcement agency must
allow the following individuals, upon their request, to inspect all portable
recording system data, redacted no more than what is required by law,
documenting the incident within five days of the request, subject to paragraphs
(c) and (d):
(1) the deceased
individual's next of kin;
(2) the legal
representative of the deceased individual's next of kin; and
(3) the other parent of
the deceased individual's child.
(c) A law enforcement
agency may deny a request to inspect portable recording system data under
paragraph (b) if the agency determines that there is a compelling reason that
inspection would interfere with an active investigation. If the agency denies access under this
paragraph, the chief law enforcement officer must provide a prompt, written
denial to the individual in paragraph (b) who requested the data with a short
description of the compelling reason access was denied and must provide notice
that relief may be sought from the district court pursuant to section 13.82,
subdivision 7.
(d) When an individual
dies as a result of a use of force by a peace officer, an involved officer's
law enforcement agency shall release all portable recording system data,
redacted no more than what is required by law, documenting the incident no
later than 14 days after the incident, unless the chief law enforcement officer
asserts in writing that the public classification would interfere with an
ongoing investigation, in which case the data remain classified by section
13.82, subdivision 7.
(b) (e) 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) (f) Section
13.04, subdivision 2, does not apply to collection of data classified by this
subdivision.
(d) (g) 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. 2. Minnesota Statutes 2022, section 214.10, subdivision 10, is amended to read:
Subd. 10. Board
of Peace Officers Standards and Training; receipt of complaint. Notwithstanding the provisions of
subdivision 1 to the contrary, when the executive director or any member of the
Board of Peace Officer Standards and Training produces or receives a written
statement or complaint that alleges a violation of a statute or rule that the
board is empowered to enforce, the executive director shall designate the
appropriate law enforcement agency to investigate the complaint and shall
may order it to conduct an inquiry into the complaint's allegations. The investigating agency must complete the
inquiry and submit a written summary of it to the executive director within 30
days of the order for inquiry.
Sec. 3. Minnesota Statutes 2022, section 326.3311, is amended to read:
326.3311 POWERS AND DUTIES.
The board has the following powers and duties:
(1) to receive and review all applications for private detective and protective agent licenses;
(2) to approve applications for private detective and protective agent licenses and issue, or reissue licenses as provided in sections 326.32 to 326.339;
(3) to deny applications for private detective and protective agent licenses if the applicants do not meet the requirements of sections 326.32 to 326.339; upon denial of a license application, the board shall notify the applicant of the denial and the facts and circumstances that constitute the denial; the board shall advise the applicant of the right to a contested case hearing under chapter 14;
(4) to enforce all laws and
rules governing private detectives and protective agents; and
(5) to suspend or revoke the
license of a license holder or impose a civil penalty on a license holder for
violations of any provision of sections 326.32 to 326.339 or the rules of the
board.;
(6) to investigate and
refer for prosecution all criminal violations by individuals and entities; and
(7) to investigate and
refer for prosecution any individuals and entities operating as private
detectives or protective agents without a license.
Sec. 4. Minnesota Statutes 2022, section 326.336, subdivision 2, is amended to read:
Subd. 2. Identification
card. An identification card must be
issued by the license holder to each employee.
The card must be in the possession of the employee to whom it is issued
at all times. The identification card
must contain the license holder's name, logo (if any), address or Minnesota
office address, and the employee's photograph and physical description. The card must be signed by the employee and
by the license holder, qualified representative, or Minnesota office manager. The card must be presented upon request.
Sec. 5. Minnesota Statutes 2022, 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. Upon a current or former employee's request, a current or former licensed employer must provide a copy of a certificate demonstrating the employee's successful completion of training to the current or former employee. The current or former licensed employer must not charge the employee a fee for a copy of the certificate. The employee who completed the training is entitled to access a copy of the certificate at no charge according to sections 181.960 to 181.966. A current or former employer must comply with sections 181.960 to 181.966;
(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. 6. Minnesota Statutes 2022, section 326.3387, subdivision 1, is amended to read:
Subdivision 1. Basis for action. The board may revoke or suspend or refuse to issue or reissue a private detective or protective agent license if:
(1) the license holder violates a provision of sections 326.32 to 326.339 or a rule adopted under those sections;
(2) the license holder has engaged in fraud, deceit, or misrepresentation while in the business of private detective or protective agent;
(3) the license holder has
made a false statement in an application submitted to the board or in a
document required to be submitted to the board; or
(4) the license holder
violates an order of the board; or
(5) the individual or entity previously operated without a license.
Sec. 7. Minnesota Statutes 2022, section 626.5531, subdivision 1, is amended to read:
Subdivision 1. Reports
required. A peace officer must
report to the head of the officer's department every violation of chapter 609
or a local criminal ordinance if the officer has reason to believe, or if the
victim alleges, that the offender was motivated to commit the act by
was committed in whole or in substantial part because of the victim's actual
or perceived race, color, ethnicity, religion, national origin,
sex, gender, sexual orientation, gender
identity, gender expression,
age, national origin, or disability as defined in section 363A.03,
or characteristics identified as sexual orientation because of the
victim's actual or perceived association with another person or group of a
certain actual or perceived race, color, ethnicity, religion, sex, gender,
sexual orientation, gender identity, gender expression, age, national origin,
or disability as defined in section 363A.03. The superintendent of the Bureau of Criminal
Apprehension shall adopt a reporting form to be used by law enforcement
agencies in making the reports required under this section. The reports must include for each incident
all of the following:
(1) the date of the offense;
(2) the location of the offense;
(3) whether the target of the incident is a person, private property, or public property;
(4) the crime committed;
(5) the type of bias and information about the offender and the victim that is relevant to that bias;
(6) any organized group involved in the incident;
(7) the disposition of the case;
(8) whether the determination that the offense was motivated by bias was based on the officer's reasonable belief or on the victim's allegation; and
(9) any additional information the superintendent deems necessary for
the acquisition of accurate and relevant data.
Sec. 8. Minnesota Statutes 2022, section 626.843, is amended by adding a subdivision to read:
Subd. 1c. Rules
governing certain misconduct. No
later than January 1, 2024, the board must adopt rules under chapter 14 that
permit the board to take disciplinary action on a licensee for a violation of a
standard of conduct in Minnesota Rules, chapter 6700, whether or not criminal
charges have been filed and in accordance with the evidentiary standards and
civil processes for boards under chapter 214.
Sec. 9. Minnesota Statutes 2022, section 626.8432, subdivision 1, is amended to read:
Subdivision 1. Grounds for revocation, suspension, or denial. (a) The board may refuse to issue, refuse to renew, refuse to reinstate, suspend, revoke eligibility for licensure, or revoke a peace officer or part-time peace officer license for any of the following causes:
(1) fraud or misrepresentation in obtaining a license;
(2) failure to meet
licensure requirements; or
(3) a violation of
section 626.8436, subdivision 1; or
(4) a violation of the standards of conduct set forth in Minnesota Rules, chapter 6700.
(b) Unless otherwise provided by the board, a revocation or suspension applies to each license, renewal, or reinstatement privilege held by the individual at the time final action is taken by the board. A person whose license or renewal privilege has been suspended or revoked shall be ineligible to be issued any other license by the board during the pendency of the suspension or revocation.
Sec. 10. [626.8436]
HATE OR EXTREMIST GROUPS.
Subdivision 1. Prohibition. (a) A peace officer may not join,
support, advocate for, maintain membership, or participate in the activities
of:
(1) a hate or extremist
group; or
(2) a criminal gang as
defined in section 609.229, subdivision 1.
(b) This section does not
apply when the conduct is sanctioned by the law enforcement agency as part of
the officer's official duties.
Subd. 2. Definitions. (a) "Hate or extremist
group" means a group that, as demonstrated by its official statements or
principles, the statements of its leaders or members, or its activities:
(1) promotes the use of threats,
force, violence, or criminal activity:
(i) against a local,
state, or federal entity, or the officials of such an entity;
(ii) to deprive, or
attempt to deprive, individuals of their civil rights under the Minnesota or
United States Constitution; or
(iii) to achieve goals
that are political, religious, discriminatory, or ideological in nature;
(2) promotes seditious
activities; or
(3) advocates for
differences in the right to vote, speak, assemble, travel, or maintain
citizenship based on a person's perceived race, color, creed, religion,
national origin, disability, sex, sexual orientation, gender identity, public
assistance status, or any protected class as defined in Minnesota Statutes or
federal law.
(b) For the purposes of
this section, advocacy, membership, or participation in a hate or extremist
group or criminal gang is demonstrated by:
(1) dissemination of
material that promotes:
(i) the use of threats,
force, violence, or criminal activity;
(ii) seditious
activities; or
(iii) the objectives
described in paragraph (a), clause (3);
(2) engagement in cyber
or social media posts, chats, forums, and other forms of promotion of the
group's activities;
(3) display or use of
insignia, colors, tattoos, hand signs, slogans, or codes associated with the
group;
(4) direct financial or
in-kind contributions to the group;
(5) a physical or cyber
presence in the group's events; or
(6) other conduct that
could reasonably be considered support, advocacy, or participation in the
group's activities.
Sec. 11. Minnesota Statutes 2022, section 626.8451, subdivision 1, is amended to read:
Subdivision 1. Training
course; crimes motivated by bias. (a)
The board must prepare a approve a list of training course
courses to assist peace officers in identifying and,
responding to, and reporting crimes motivated by committed in
whole or in substantial part because of the victim's or another's actual
or perceived race, color, ethnicity, religion, national origin,
sex, gender, sexual orientation, gender identity, gender expression,
age, national origin, or disability as defined in section 363A.03,
or characteristics identified as sexual orientation because of the
victim's actual or perceived association with another person or group of a
certain actual or perceived race, color, ethnicity, religion, sex, gender,
sexual orientation, gender identity, gender expression, age, national origin,
or disability as defined in section 363A.03. The course must include material to help
officers distinguish bias crimes from other crimes, to help officers in
understanding and assisting victims of these crimes, and to ensure that bias
crimes will be accurately reported as required under section 626.5531. The course must be updated periodically
board must review the approved courses every three years and update the list
of approved courses as the board, in consultation with communities most
targeted by hate crimes because of their characteristics as described above,
organizations with expertise in providing training on hate crimes, and the
statewide coalition of organizations representing communities impacted by hate
crimes, considers appropriate.
(b) In updating the list
of approved training courses described in paragraph (a), the board must consult
and significantly incorporate input from communities most targeted by hate
crimes because of their characteristics as described in paragraph (a), organizations
with expertise in providing training on hate crimes, and the statewide
coalition of organizations representing communities impacted by hate crimes.
Sec. 12. Minnesota Statutes 2022, section 626.8457, is amended by adding a subdivision to read:
Subd. 4. Data
to be shared with board. (a)
Upon receiving written notice that the board is investigating any allegation of
misconduct within its regulatory authority, a chief law enforcement officer,
city, county, or public official must cooperate with the board's investigation
and any data request from the board.
(b) Upon written request
from the board that a matter alleging misconduct within its regulatory
authority has occurred regarding a licensed peace officer, a chief law
enforcement officer, city, county, or public official shall provide the board
with all requested public and private data about the alleged misconduct
involving the licensed peace officer, including any pending or final
disciplinary or arbitration proceeding, any settlement or compromise, and any
investigative files including but not limited to body worn camera or other
audio or video files. Confidential data
must only be disclosed when the board specifies that the particular identified
data is necessary to fulfill its investigatory obligation concerning an
allegation of misconduct within its regulatory authority.
(c) If a licensed peace
officer is discharged or resigns from employment after engaging in any conduct
that initiates and results in an investigation of alleged misconduct within the
board's regulatory authority, regardless of whether the licensee was criminally
charged or an administrative or internal affairs investigation was commenced or
completed, a chief law enforcement officer must report the conduct to the board
and provide the board with all public and not public data requested under
paragraph (b). If the conduct involves
the chief law enforcement officer, the overseeing city, county, or public
official must report the conduct to the board and provide the board with all
public and not public data requested under paragraph (b).
(d) Data obtained by the
board shall be classified and governed as articulated in sections 13.03,
subdivision 4, and 13.09, as applicable.
(e) A chief law
enforcement officer, city, county, or public official is not required to comply
with this subdivision when there is an active criminal investigation or active
criminal proceeding regarding the same incident or misconduct that is being investigated
by the board.
Sec. 13. Minnesota Statutes 2022, section 626.8457, is amended by adding a subdivision to read:
Subd. 5. Immunity
from liability. A chief law
enforcement officer, city, county, or public official and employees of the law
enforcement agency are immune from civil or criminal liability, including any
liability under chapter 13, for reporting or releasing public or not public
data to the board under subdivisions 3 and 4, unless the chief law enforcement
officer, city, county, or public official or employees of the law enforcement
agency presented false information to the board with the intention of causing
reputational harm to the peace officer.
Sec. 14. Minnesota Statutes 2022, section 626.8469, subdivision 1, is amended to read:
Subdivision 1. In-service
training required. (a) Beginning
July 1, 2018, the chief law enforcement officer of every state and local law
enforcement agency shall provide in-service training in crisis intervention and
mental illness crises; conflict management and mediation; and
recognizing and valuing community diversity and cultural differences to include
implicit bias training; and training to assist peace officers in
identifying, responding to, and reporting incidents committed in whole or in
substantial part because of the victim's actual or perceived race, color,
ethnicity, religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section 363A.03,
or because of the victim's actual or perceived association with another person
or group of a certain actual or perceived race, color, ethnicity, religion,
sex, gender, sexual orientation, gender identity, gender expression, age,
national origin, or disability as defined in section 363A.03, to every
peace officer and part-time peace officer employed by the agency. The training shall comply with learning
objectives developed and approved by the board and shall meet board
requirements for board-approved continuing education credit. Every three years the board shall review
the learning objectives and must consult and collaborate with communities most
targeted by hate crimes because of their characteristics as described above,
organizations with expertise in providing training on hate crimes, and the
statewide coalition of organizations representing communities impacted by hate
crimes in identifying appropriate objectives and training courses related to
identifying, responding to, and reporting incidents committed in whole or in
substantial part because of the victim's or another's actual or perceived race,
color, ethnicity, religion, sex, gender, sexual orientation, gender identity,
gender expression, age, national origin, or disability as defined in section
363A.03, or because of the victim's actual or perceived association with
another person or group of a certain actual or perceived race, color,
ethnicity, religion, sex, gender, sexual orientation, gender identity, gender
expression, age, national origin, or disability as defined in section 363A.03. The training shall consist of at least 16
continuing education credits within an officer's three-year licensing cycle. Each peace officer with a license renewal
date after June 30, 2018, is not required to complete this training until the
officer's next full three-year licensing cycle.
(b) Beginning July 1, 2021, the training mandated under paragraph (a) must be provided by an approved entity. The board shall create a list of approved entities and training courses and make the list available to the chief law enforcement officer of every state and local law enforcement agency. Each peace officer (1) with a license renewal date before June 30, 2022, and (2) who received the training mandated under paragraph (a) before July 1, 2021, is not required to receive this training by an approved entity until the officer's next full three-year licensing cycle.
(c) For every peace officer and part-time peace officer with a license renewal date of June 30, 2022, or later, the training mandated under paragraph (a) must:
(1) include a minimum of six hours for crisis intervention and mental illness crisis training that meets the standards established in subdivision 1a; and
(2) include a minimum of four hours to ensure safer interactions between peace officers and persons with autism in compliance with section 626.8474.
Sec. 15. Minnesota Statutes 2022, section 626.8473, subdivision 3, is amended to read:
Subd. 3. Written policies and procedures required. (a) The chief officer of every state and local law enforcement agency that uses or proposes to use a portable recording system must establish and enforce a written policy governing its use. In developing and adopting the policy, the law enforcement agency must provide for public comment and input as provided in subdivision 2. Use of a portable recording system without adoption of a written policy meeting the requirements of this section is prohibited. The written policy must be posted on the agency's website, if the agency has a website.
(b) At a minimum, the written policy must incorporate and require compliance with the following:
(1) the requirements of section 13.825 and other data classifications, access procedures, retention policies, and data security safeguards that, at a minimum, meet the requirements of chapter 13 and other applicable law. The policy must prohibit altering, erasing, or destroying any recording made with a peace officer's portable recording system or data and metadata related to the recording prior to the expiration of the applicable retention period under section 13.825, subdivision 3, except that the full, unedited, and unredacted recording of a peace officer using deadly force must be maintained indefinitely;
(2) mandate that a
portable recording system be:
(i) worn where it
affords an unobstructed view, and above the mid-line of the waist;
(ii) activated during
all contacts with citizens in the performance of official duties other than
community engagement, to the extent practical without compromising officer
safety; and
(iii) activated when the
officer arrives on scene of an incident and remain active until the conclusion
of the officer's duties at the scene of the incident;
(3) mandate that
officers assigned a portable recording system wear and operate the system in
compliance with the agency's policy adopted under this section while performing
law enforcement activities under the command and control of another chief law
enforcement officer or federal law enforcement official;
(4) mandate that,
notwithstanding any law to the contrary, when an individual dies as a result of
a use of force by a peace officer, an involved officer's law enforcement agency
must allow the following individuals, upon their request, to inspect all portable
recording system data, redacted no more than what is required by law,
documenting the incident within five days of the request, except as otherwise
provided in this clause and clause (5):
(i) the deceased
individual's next of kin;
(ii) the legal
representative of the deceased individual's next of kin; and
(iii) the other parent
of the deceased individual's child.
A law enforcement agency may deny a request
if the agency determines that there is a compelling reason that inspection
would interfere with an active investigation.
If the agency denies access, the chief law enforcement officer must
provide a prompt, written denial to the individual who requested the data with
a short description of the compelling reason access was denied and must provide
notice that relief may be sought from the district court pursuant to section
13.82, subdivision 7;
(5) mandate that, when an
individual dies as a result of a use of force by a peace officer, an involved
officer's law enforcement agency shall release all portable recording system
data, redacted no more than what is required by law, documenting the incident
no later than 14 days after the incident, unless the chief law enforcement
officer asserts in writing that the public classification would interfere with
an ongoing investigation, in which case the data remain classified by section
13.82, subdivision 7;
(6) procedures for testing the portable recording system to ensure adequate functioning;
(3) (7) procedures
to address a system malfunction or failure, including requirements for
documentation by the officer using the system at the time of a malfunction or
failure;
(4) (8) circumstances
under which recording is mandatory, prohibited, or at the discretion of the
officer using the system;
(5) (9) circumstances
under which a data subject must be given notice of a recording;
(6) (10) circumstances
under which a recording may be ended while an investigation, response, or
incident is ongoing;
(7) (11) procedures
for the secure storage of portable recording system data and the creation of
backup copies of the data; and
(8) (12) procedures
to ensure compliance and address violations of the policy, which must include,
at a minimum, supervisory or internal audits and reviews, and the employee
discipline standards for unauthorized access to data contained in section
13.09.
(c) The board has
authority to inspect state and local law enforcement agency policies to ensure
compliance with this section. The board
may conduct this inspection based upon a complaint it receives about a
particular agency or through a random selection process. The board may impose licensing sanctions and
seek injunctive relief under section 214.11 for an agency's or licensee's
failure to comply with this section.
Sec. 16. [626.8516]
INTENSIVE COMPREHENSIVE PEACE OFFICER EDUCATION AND TRAINING PROGRAM.
Subdivision 1. Establishment;
title. A program is
established within the Department of Public Safety to fund the intensive
comprehensive law enforcement education and training of college degree holders. The program shall be known as the intensive
comprehensive peace officer education and training program.
Subd. 2. Purpose. The program is intended to address the
critical shortage of peace officers in the state. The program shall reimburse law enforcement
agencies that recruit, educate, and train highly qualified college graduates to
become licensed peace officers in the state.
Subd. 3. Eligibility
for reimbursement grant; grant cap. (a)
The chief law enforcement officer of a law enforcement agency may apply to the
commissioner for reimbursement of the cost of educating, training, paying, and
insuring an eligible peace officer candidate until the candidate is licensed by
the board as a peace officer.
(b) The commissioner
must reimburse an agency for the actual cost of educating, training, paying,
and insuring an eligible peace officer candidate up to $50,000.
(c) The commissioner
shall not award a grant under this section until the candidate has been
licensed by the board.
Subd. 4. Eligibility
for retention bonus reimbursement grant.
(a) The chief law enforcement officer of a law enforcement agency
may apply to the commissioner for a onetime reimbursement grant for a retention
bonus awarded to an eligible peace officer candidate after the candidate has
worked for a minimum of two years as a licensed peace officer for the
applicant's agency.
(b) The commissioner
must reimburse an agency for the actual cost of an eligible retention bonus up
to $10,000.
Subd. 5. Eligibility
for student loan reimbursement grant.
(a) An eligible peace officer candidate, after serving for
....... consecutive years as a licensed peace officer in good standing for a
law enforcement agency, may apply to the commissioner for a grant to cover
student loan debt incurred by the applicant in earning the applicant's two- or
four-year degree.
(b) The commissioner
shall reimburse the applicant for the amount of the applicant's student loan
debt up to $20,000.
Subd. 6. Forms. The commissioner must prepare the
necessary grant application forms and make them available on the agency's
public website.
Subd. 7. Intensive
education and skills training program.
No later than February 1, 2024, the commissioner, in consultation
with the executive director of the board and the institutions designated as
education providers under subdivision 8, shall develop an intensive
comprehensive law enforcement education and skills training curriculum that
will provide eligible peace officer candidates with the law enforcement
education and skills training needed to be licensed as a peace officer. The curriculum must be designed to be
completed in eight months or less and shall be offered at the institutions
designated under subdivision 8. The
curriculum may overlap, coincide with, or draw upon existing law enforcement
education and training programs at institutions designated as education
providers under subdivision 8. The
commissioner may designate existing law enforcement education and training
programs that are designed to be completed in eight months or less as intensive
comprehensive law enforcement education and skills training programs for
purposes of this section.
Subd. 8. Education
providers; sites. (a) No
later than September 1, 2023, the Board of Trustees of the Minnesota State
Colleges and Universities shall designate at least two regionally diverse
system campuses to provide the required intensive comprehensive law enforcement
education and skills training to eligible peace officer candidates.
(b) In addition to the
campuses designated under paragraph (a), the commissioner may designate
private, nonprofit postsecondary institutions to provide the required intensive
comprehensive law enforcement education and skills training to eligible peace officer
candidates.
Subd. 9. Account
established. An intensive
comprehensive peace officer education and training program account is created
in the special revenue fund for depositing money appropriated to or received by
the department for this program. Money
deposited in the account is appropriated to the commissioner, does not cancel,
and is continuously available to fund the requirements of this section.
Subd. 10. Definitions. (a) For purposes of this section, the
following terms have the meanings given.
(b)
"Commissioner" means the commissioner of public safety.
(c) "Eligible peace
officer candidate" means a person who:
(1) holds a two- or
four-year degree from an accredited college or university;
(2) is a citizen of the United
States;
(3) passed a thorough
background check, including searches by local, state, and federal agencies, to
disclose the existence of any criminal record or conduct which would adversely
affect the candidate's performance of peace officer duties;
(4) possesses a valid
Minnesota driver's license or, in case of residency therein, a valid driver's
license from another state, or eligibility to obtain either license; and
(5) is sponsored by a
state or local law enforcement agency.
(d) "Law enforcement
agency" has the meaning given in section 626.84, subdivision 1, paragraph
(f), clause (1).
(e) "Program"
means the intensive comprehensive peace officer education and training program.
Sec. 17. Minnesota Statutes 2022, section 626.87, is amended by adding a subdivision to read:
Subd. 1a. Background
checks. (a) The law
enforcement agency must request a criminal history background check from the
superintendent of the Bureau of Criminal Apprehension on an applicant for
employment as a licensed peace officer or an applicant for a position leading
to employment as a licensed peace officer within the state of Minnesota to
determine eligibility for licensing. Applicants
must provide, for submission to the superintendent of the Bureau of Criminal
Apprehension:
(1) an executed criminal
history consent form, authorizing the dissemination of state and federal
records to the law enforcement agency and the Board of Peace Officer Standards
and Training and fingerprints; and
(2) a money order or
cashier's check payable to the Bureau of Criminal Apprehension for the fee for
conducting the criminal history background check.
(b) The superintendent of
the Bureau of Criminal Apprehension shall perform the background check required
under paragraph (a) by retrieving criminal history data as defined in section
13.87 and shall also conduct a search of the national criminal records
repository. The superintendent is
authorized to exchange the applicant's fingerprints with the Federal Bureau of
Investigation to obtain their national criminal history record information. The superintendent must return the results of
the Minnesota and federal criminal history records checks to the law
enforcement agency who is authorized to share with the Board of Peace Officer
Standards and Training to determine if the individual is eligible for licensing
under Minnesota Rules, chapter 6700.
Sec. 18. Minnesota Statutes 2022, section 626.87, subdivision 2, is amended to read:
Subd. 2. Disclosure
of employment information. Upon
request of a law enforcement agency, an employer shall disclose or otherwise
make available for inspection employment information of an employee or former
employee who is the subject of an investigation under subdivision 1 or who
is a candidate for employment with a law enforcement agency in any other
capacity. The request for disclosure
of employment information must be in writing, must be accompanied by an original
authorization and release signed by the employee or former employee, and must
be signed by a sworn peace officer or other an authorized
representative of the law enforcement agency conducting the background
investigation.
Sec. 19. Minnesota Statutes 2022, section 626.87, subdivision 3, is amended to read:
Subd. 3. Refusal
to disclose a personnel record. If
an employer refuses to disclose employment information in accordance with this
section, upon request the district court may issue an ex parte order directing
the disclosure of the employment information.
The request must be made by a sworn peace officer an
authorized representative from
the law enforcement agency
conducting the background investigation and must include a copy of the original
request for disclosure made upon the employer or former employer and the
authorization and release signed by the employee or former employee. The request must be signed by the peace
officer person requesting the order and an attorney representing the
state or the political subdivision on whose behalf the background investigation
is being conducted. It is not necessary
for the request or the order to be filed with the court administrator. Failure to comply with the court order
subjects the person or entity who fails to comply to civil or criminal
contempt of court.
Sec. 20. Minnesota Statutes 2022, section 626.87, subdivision 5, is amended to read:
Subd. 5. Notice
of investigation. Upon initiation of
a background investigation under this section for a person described
in subdivision 1, the law enforcement agency shall give written notice to
the Peace Officer Standards and Training Board of:
(1) the candidate's full name and date of birth; and
(2) the candidate's peace officer license number, if known.
The initiation of a background investigation does not include the submission of an application for employment. Initiation of a background investigation occurs when the law enforcement agency begins its determination of whether an applicant meets the agency's standards for employment as a law enforcement employee.
Sec. 21. Minnesota Statutes 2022, section 626.89, subdivision 17, is amended to read:
Subd. 17. Civilian
review. (a) As used in this
subdivision, the following terms have the meanings given:
(1) "civilian
oversight council" means a civilian review board, commission, or other
oversight body established by a local unit of government to provide civilian
oversight of a law enforcement agency and officers employed by the agency; and
(2)
"misconduct" means a violation of law, standards promulgated by the
Peace Officer Standards and Training Board, or agency policy.
(b) A local unit of
government may establish a civilian review board, commission, or other
oversight body shall not have council and grant the council the
authority to make a finding of fact or determination regarding a complaint
against an officer or impose discipline on an officer. A civilian review board, commission, or
other oversight body may make a recommendation regarding the merits of a
complaint, however, the recommendation shall be advisory only and shall not be
binding on nor limit the authority of the chief law enforcement officer of any
unit of government.
(c) At the conclusion of
any criminal investigation or prosecution, if any, a civilian oversight council
may conduct an investigation into allegations of peace officer misconduct and
retain an investigator to facilitate an investigation. Subject to other applicable law, a council
may subpoena or compel testimony and documents in an investigation. Upon completion of an investigation, a
council may make a finding of misconduct and recommend appropriate discipline
against peace officers employed by the agency.
If the governing body grants a council the authority, the council may
impose discipline on peace officers employed by the agency. A council may submit investigation reports
that contain findings of peace officer misconduct to the chief law enforcement
officer and the Peace Officer Standards and Training Board's complaint
committee. A council may also make
policy recommendations to the chief law enforcement officer and the Peace
Officer Standards and Training Board.
(d) The chief law enforcement
officer of a law enforcement agency under the jurisdiction of a civilian
oversight council shall cooperate with the council and facilitate the council's
achievement of its goals. However, the
officer is under no obligation to agree with individual recommendations of the
council and may oppose a recommendation.
If the officer fails to implement a recommendation that is within the
officer's authority, the officer shall inform the council of the failure along
with the officer's underlying reasons.
(e) Peace officer
discipline decisions imposed pursuant to the authority granted under this
subdivision shall be subject to the applicable grievance procedure established
or agreed to under chapter 179A.
(f) Data collected,
created, received, maintained, or disseminated by a civilian oversight council
related to an investigation of a peace officer are personnel data as defined by
section 13.43, subdivision 1, and are governed by that section.
Sec. 22. Minnesota Statutes 2022, section 626.90, subdivision 2, is amended to read:
Subd. 2. Law enforcement agency. (a) The band has the powers of a law enforcement agency, as defined in section 626.84, subdivision 1, paragraph (f), if all of the requirements of clauses (1) to (4) are met:
(1) the band agrees to be subject to liability for its torts and those of its officers, employees, and agents acting within the scope of their employment or duties arising out of a law enforcement agency function conferred by this section, to the same extent as a municipality under chapter 466, and the band further agrees, notwithstanding section 16C.05, subdivision 7, to waive its sovereign immunity for purposes of claims of this liability;
(2) the band files with the Board of Peace Officer Standards and Training a bond or certificate of insurance for liability coverage with the maximum single occurrence amounts set forth in section 466.04 and an annual cap for all occurrences within a year of three times the single occurrence amount;
(3) the band files with the Board of Peace Officer Standards and Training a certificate of insurance for liability of its law enforcement officers, employees, and agents for lawsuits under the United States Constitution; and
(4) the band agrees to be subject to section 13.82 and any other laws of the state relating to data practices of law enforcement agencies.
(b) The band shall may
enter into mutual aid/cooperative agreements with the Mille Lacs County sheriff
under section 471.59 to define and regulate the provision of law enforcement
services under this section. The
agreements must define the trust property involved in the joint powers
agreement.
(c) Only if the
requirements of paragraph (a) are met, the band shall have concurrent
jurisdictional authority under this section with the Mille Lacs County
Sheriff's Department only if the requirements of paragraph (a) are met and
under the following circumstances:
(1) over all persons
in the geographical boundaries of the property held by the United States in
trust for the Mille Lacs Band or the Minnesota Chippewa tribe;
(2) over all Minnesota
Chippewa tribal members within the boundaries of the Treaty of February 22,
1855, 10 Stat. 1165, in Mille Lacs County, Minnesota; and.
(3) concurrent
jurisdiction over any person who commits or attempts to commit a crime in the
presence of an appointed band peace officer within the boundaries of the Treaty
of February 22, 1855, 10 Stat. 1165, in Mille Lacs County, Minnesota.
Sec. 23. Minnesota Statutes 2022, section 626.91, subdivision 2, is amended to read:
Subd. 2. Law enforcement agency. (a) The community has the powers of a law enforcement agency, as defined in section 626.84, subdivision 1, paragraph (f), if all of the requirements of clauses (1) to (4) are met:
(1) the community agrees to be subject to liability for its torts and those of its officers, employees, and agents acting within the scope of their employment or duties arising out of the law enforcement agency powers conferred by this section to the same extent as a municipality under chapter 466, and the community further agrees, notwithstanding section 16C.05, subdivision 7, to waive its sovereign immunity with respect to claims arising from this liability;
(2) the community files with the Board of Peace Officer Standards and Training a bond or certificate of insurance for liability coverage with the maximum single occurrence amounts set forth in section 466.04 and an annual cap for all occurrences within a year of three times the single occurrence amount;
(3) the community files with the Board of Peace Officer Standards and Training a certificate of insurance for liability of its law enforcement officers, employees, and agents for lawsuits under the United States Constitution; and
(4) the community agrees to be subject to section 13.82 and any other laws of the state relating to data practices of law enforcement agencies.
(b) The community shall
may enter into an agreement under section 471.59 with the Redwood County
sheriff to define and regulate the provision of law enforcement services under
this section and to provide for mutual aid and cooperation. If entered, the agreement must
identify and describe the trust property involved in the agreement. For purposes of entering into this agreement,
the community shall be considered a "governmental unit" as that term
is defined in section 471.59, subdivision 1.
Sec. 24. Minnesota Statutes 2022, section 626.91, subdivision 4, is amended to read:
Subd. 4. Peace officers. If the community complies with the requirements set forth in subdivision 2, paragraph (a), the community is authorized to appoint peace officers, as defined in section 626.84, subdivision 1, paragraph (c), who have the same powers as peace officers employed by the Redwood County sheriff over the persons and the geographic areas described in subdivision 3.
Sec. 25. Minnesota Statutes 2022, section 626.92, subdivision 2, is amended to read:
Subd. 2. Law enforcement agency. (a) The band has the powers of a law enforcement agency, as defined in section 626.84, subdivision 1, paragraph (f), if all of the requirements of clauses (1) to (4) and paragraph (b) are met:
(1) the band agrees to be subject to liability for its torts and those of its officers, employees, and agents acting within the scope of their employment or duties arising out of the law enforcement agency powers conferred by this section to the same extent as a municipality under chapter 466, and the band further agrees, notwithstanding section 16C.05, subdivision 7, to waive its sovereign immunity for purposes of claims arising out of this liability;
(2) the band files with the Board of Peace Officer Standards and Training a bond or certificate of insurance for liability coverage with the maximum single occurrence amounts set forth in section 466.04 and an annual cap for all occurrences within a year of three times the single occurrence amount or establishes that liability coverage exists under the Federal Torts Claims Act, United States Code, title 28, section 1346(b), et al., as extended to the band pursuant to the Indian Self-Determination and Education Assistance Act of 1975, United States Code, title 25, section 450f(c);
(3) the band files with the Board of Peace Officer Standards and Training a certificate of insurance for liability of its law enforcement officers, employees, and agents for lawsuits under the United States Constitution or establishes that liability coverage exists under the Federal Torts Claims Act, United States Code, title 28, section 1346(b) et al., as extended to the band pursuant to the Indian Self-Determination and Education Assistance Act of 1975, United States Code, title 25, section 450F(c); and
(4) the band agrees to be subject to section 13.82 and any other laws of the state relating to data practices of law enforcement agencies.
(b) By July 1, 1998,
The band shall may enter into written mutual aid or cooperative
agreements with the Carlton County sheriff, the St. Louis County sheriff,
and the city of Cloquet under section 471.59 to define and regulate the
provision of law enforcement services under this section. If entered, the agreements must define
the following:
(1) the trust property involved in the joint powers agreement;
(2) the responsibilities of the county sheriffs;
(3) the responsibilities of the county attorneys; and
(4) the responsibilities of the city of Cloquet city attorney and police department.
Sec. 26. Minnesota Statutes 2022, section 626.92, subdivision 3, is amended to read:
Subd. 3. Concurrent
jurisdiction. The band shall have
concurrent jurisdictional authority under this section with the Carlton County
and St. Louis County Sheriffs' Departments over crimes committed within
the boundaries of the Fond du Lac Reservation as indicated by the mutual aid
or cooperative agreements entered into under subdivision 2, paragraph (b), and
any exhibits or attachments to those agreements if the requirements of
subdivision 2, paragraph (a), are met, regardless of whether a cooperative agreement
pursuant to subdivision 2, paragraph (b), is entered into.
Sec. 27. Minnesota Statutes 2022, section 626.93, subdivision 3, is amended to read:
Subd. 3. Concurrent
jurisdiction. If the requirements of
subdivision 2 are met and the tribe enters into a cooperative agreement
pursuant to subdivision 4, the Tribe shall have has
concurrent jurisdictional authority under this section with the local county
sheriff within the geographical boundaries of the Tribe's reservation to
enforce state criminal law.
Sec. 28. Minnesota Statutes 2022, section 626.93, subdivision 4, is amended to read:
Subd. 4. Cooperative
agreements. In order to coordinate,
define, and regulate the provision of law enforcement services and to provide
for mutual aid and cooperation, governmental units and the Tribe shall may
enter into agreements under section 471.59.
For the purposes of entering into these agreements, the Tribe shall
be is considered a "governmental unit" as that term is
defined in section 471.59, subdivision 1.
Sec. 29. REPEALER.
Minnesota Statutes 2022,
section 626.93, subdivision 7, is repealed.
ARTICLE 9
CORRECTIONS POLICY
Section 1. Minnesota Statutes 2022, 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. After July 1, 2023, the commissioner shall not allow inmates who have not been conditionally released from prison, whether on parole, supervised release, work release, or an early release program, to be housed in correctional facilities that are not owned and operated by the state, a local unit of government, or a group of local units of government. Inmates shall not exercise custodial functions or have authority over other inmates.
(c) To administer the money and property of the department.
(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.
(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 publish,
administer, and award grant contracts with state agencies, local units of
government, and other entities for correctional programs embodying
rehabilitative concepts, for restorative programs for crime victims and the
overall community, and for implementing legislative directives.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 2. Minnesota Statutes 2022, section 241.021, subdivision 1d, is amended to read:
Subd. 1d. Public notice of restriction, revocation, or suspension. If the license of a facility under this section is revoked or suspended, or use of the facility is restricted for any reason under a conditional license order, or a correction order is issued to a facility, the commissioner shall post the facility, the status of the facility's license, and the reason for the correction order, restriction, revocation, or suspension publicly and on the department's website.
Sec. 3. Minnesota Statutes 2022, section 241.021, subdivision 2a, is amended to read:
Subd. 2a. Affected
municipality; notice. The
commissioner must not issue grant a license without giving 30
calendar days' written notice to any affected municipality or other political
subdivision unless the facility has a licensed capacity of six or fewer persons
and is occupied by either the licensee or the group foster home parents. The notification must be given before the license
is first issuance of a license granted and annually after
that time if annual notification is requested in writing by any affected
municipality or other political subdivision.
State funds must not be made available to or be spent by an agency or
department of state, county, or municipal government for payment to a foster
care facility licensed under subdivision 2 until the provisions of this
subdivision have been complied with in full.
Sec. 4. Minnesota Statutes 2022, section 241.021, subdivision 2b, is amended to read:
Subd. 2b. Licensing; facilities; juveniles from outside state. The commissioner may not:
(1) issue grant
a license under this section to operate a correctional facility for the
detention or confinement of juvenile offenders if the facility accepts
juveniles who reside outside of Minnesota without an agreement with the entity
placing the juvenile at the facility that obligates the entity to pay the
educational expenses of the juvenile; or
(2) renew a license under this section to operate a correctional facility for the detention or confinement of juvenile offenders if the facility accepts juveniles who reside outside of Minnesota without an agreement with the entity placing the juvenile at the facility that obligates the entity to pay the educational expenses of the juvenile.
Sec. 5. [241.0215]
JUVENILE DETENTION FACILITIES; RESTRICTIONS ON STRIP SEARCHES AND DISCIPLINE.
Subdivision 1. Applicability. This section applies to juvenile
facilities licensed by the commissioner of corrections under section 241.021, subdivision
2.
Subd. 2. Definitions. (a) As used in this section, the
following terms have the meanings given.
(b) "Health care
professional" means an individual who is licensed or permitted by a
Minnesota health-related licensing board, as defined in section 214.01,
subdivision 2, to perform health care services in Minnesota within the
professional's scope of practice.
(c) "Strip
search" means a visual inspection of a juvenile's unclothed breasts,
buttocks, or genitalia.
Subd. 3. Searches
restricted. (a) A staff
person working in a facility may not conduct a strip search unless:
(1) a specific,
articulable, and immediate contraband concern is present;
(2) other search
techniques and technology cannot be used or have failed to identify the
contraband; and
(3) the facility's chief
administrator or designee has reviewed the situation and approved the strip
search.
(b) A strip search must be
conducted by:
(1) a health care
professional; or
(2) a staff person
working in a facility who has received training on trauma-informed search
techniques and other applicable training under Minnesota Rules, chapter 2960.
(c) A strip search must
be documented in writing and describe the contraband concern, summarize other
inspection techniques used or considered, and verify the approval from the
facility's chief administrator or, in the temporary absence of the chief administrator,
the staff person designated as the person in charge of the facility. A copy of the documentation must be provided
to the commissioner within 24 hours of the strip search.
(d) Nothing in this
section prohibits or limits a strip search as part of a health care procedure
conducted by a health care professional.
Subd. 4. Discipline
restricted. (a) A staff
person working in a facility may not discipline a juvenile by physically or
socially isolating the juvenile.
(b) Nothing in this
subdivision restricts a facility from isolating a juvenile for the juvenile's
safety, staff safety, or the safety of other facility residents when the
isolation is consistent with rules adopted by the commissioner.
Subd. 5. Commissioner
action. The commissioner may
take any action authorized under section 241.021, subdivisions 2 and 3, to
address a violation of this section.
Subd. 6. Report. (a) By February 15 each year, the
commissioner must report to the chairs and ranking minority members of the
legislative committees and divisions with jurisdiction over public safety
finance and policy on the use of strip searches and isolation.
(b) The report must
consist of summary data from the previous calendar year and must, at a minimum,
include:
(1) how often strip
searches were performed;
(2) how often juveniles
were isolated;
(3) the length of each
period of isolation used and, for juveniles isolated in the previous year, the
total cumulative amount of time that the juvenile was isolated that year; and
(4) any injury to a
juvenile related to a strip search or isolation, or both, that was reportable
as a critical incident.
(c) Data in the report
must provide information on the demographics of juveniles who were subject to a
strip search and juveniles who were isolated.
At a minimum, data must be disaggregated by age, race, and gender.
(d) The report must
identify any facility that performed a strip search or used isolation, or both,
in a manner that did not comply with this section or rules adopted by the
commissioner in conformity with this section.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 6. Minnesota Statutes 2022, section 241.025, subdivision 1, is amended to read:
Subdivision 1. Authorization. The commissioner of corrections may appoint peace officers, as defined in section 626.84, subdivision 1, paragraph (c), who shall serve in the classified service subject to the provisions of section 43A.01, subdivision 2, and establish a law enforcement agency, as defined in section 626.84, subdivision 1,
paragraph (f), known as the
Department of Corrections Fugitive Apprehension Unit, to perform the duties
necessary to make statewide arrests under sections 629.30 and 629.34. The jurisdiction of the law enforcement
agency is limited to primarily the arrest of Department of
Corrections' discretionary and statutory released violators and Department of
Corrections' escapees and this must be its primary focus. The Department of Corrections Fugitive
Apprehension Unit may respond to a law enforcement agency's request to exercise
general law enforcement duties during the course of official duties by carrying
out law enforcement activities at the direction of the law enforcement agency
of jurisdiction. In addition, the unit
may investigate criminal offenses in agency-operated correctional facilities
and surrounding property.
Sec. 7. Minnesota Statutes 2022, section 241.025, subdivision 2, is amended to read:
Subd. 2. Limitations. The initial processing of a person
arrested by the fugitive apprehension unit for an offense within the
agency's jurisdiction is the responsibility of the fugitive apprehension
unit unless otherwise directed by the law enforcement agency with primary
jurisdiction. A subsequent investigation
is the responsibility of the law enforcement agency of the jurisdiction in
which a new crime is committed unless the law enforcement agency
authorizes the fugitive apprehension unit to assume the subsequent
investigation. At the request of
the primary jurisdiction, the fugitive apprehension unit may assist in
subsequent investigations or law enforcement efforts being carried out by the
primary jurisdiction. Persons arrested
for violations that the fugitive apprehension unit determines are not within
the agency's jurisdiction must be referred to the appropriate local law
enforcement agency for further investigation or disposition.
Sec. 8. Minnesota Statutes 2022, section 241.025, subdivision 3, is amended to read:
Subd. 3. Policies. The fugitive apprehension unit must
develop and file all policies required under state law for law enforcement
agencies. The fugitive apprehension unit
also must develop a policy for contacting law enforcement agencies in a city or
county before initiating any fugitive surveillance, investigation, or
apprehension within the city or county. These
policies must be filed with the board of peace officers standards and training
by November 1, 2000. Revisions of
any of these policies must be filed with the board within ten days of the
effective date of the revision. The
Department of Corrections shall train all of its peace officers regarding the
application of these policies.
Sec. 9. Minnesota Statutes 2022, section 241.90, is amended to read:
241.90 OFFICE OF OMBUDSPERSON; CREATION; QUALIFICATIONS; FUNCTION.
The Office of Ombudsperson
for the Department of Corrections is hereby created. The ombudsperson shall serve at the
pleasure of be appointed by the governor in the unclassified service,
and may be removed only for just cause.
The ombudsperson shall be selected without regard to political
affiliation, and shall be a person highly competent and qualified to analyze
questions of law, administration, and public policy. No person may serve as ombudsperson while
holding any other public office. The
ombudsperson for corrections shall be accountable to the governor and shall
have the authority to investigate decisions, acts, and other matters of the
Department of Corrections so as to promote the highest attainable standards of
competence, efficiency, and justice in the administration of corrections.
Sec. 10. [243.95]
PRIVATE PRISON CONTRACTS PROHIBITED.
(a) The commissioner may
not contract with privately owned and operated prisons for the care, custody,
and rehabilitation of inmates committed to the custody of the commissioner.
(b) Notwithstanding
section 43A.047, nothing in this section prohibits the commissioner from
contracting with privately owned residential facilities, such as halfway
houses, group homes, work release centers, or treatment facilities, to provide
for the care, custody, and rehabilitation of inmates who have been released
from prison under section 241.26, 244.05, 244.0513, 244.065, or 244.172, or any
other form of supervised or conditional release.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 11. [244.049]
INDETERMINATE SENTENCE RELEASE BOARD.
Subdivision 1. Establishment;
membership. (a) As provided
under paragraph (b) and section 244.05, subdivision 5, the Indeterminate
Sentence Release Board is established to review eligible cases and make release
and final discharge decisions for:
(1) inmates serving life
sentences with the possibility of parole or supervised release under sections
243.05, subdivision 1, and 244.05, subdivision 5; and
(2) inmates serving
indeterminate sentences for crimes committed on or before April 30, 1980.
(b) Beginning July 1,
2024, the authority to grant discretionary release and final discharge
previously vested in the commissioner under sections 243.05, subdivisions 1,
paragraph (a), and 3; 244.08; and 609.12 is transferred to the board.
(c) The board consists of
five members as follows:
(1) four members
appointed by the governor from which each of the majority leaders and minority
leaders of the house of representatives and the senate provides two candidate
recommendations for consideration; and
(2) the commissioner, who
serves as chair.
(d) Appointed board
members must meet the following qualifications, at a minimum:
(1) a law degree or a
bachelor's degree in criminology, corrections, or a related social science;
(2) five years of
experience in corrections, a criminal justice or community corrections field,
rehabilitation programming, behavioral health, or criminal law; and
(3) demonstrated
knowledge of victim issues and correctional processes.
Subd. 2. Terms;
compensation. (a) Appointed
board members serve four-year staggered terms, but the terms of the initial
members are as follows:
(1) two members must be
appointed for terms that expire January 1, 2026; and
(2) two members must be
appointed for terms that expire January 1, 2028.
(b) An appointed member
is eligible for reappointment, and a vacancy must be filled according to
subdivision 1.
(c) For appointed
members, compensation and removal are as provided in section 15.0575.
Subd. 3. Quorum;
administrative duties. (a)
The majority of members constitutes a quorum.
(b) An appointed board
member must visit at least one state correctional facility every 12 months.
(c) The commissioner must
provide the board with personnel, supplies, equipment, office space, and other
administrative services necessary and incident to fulfilling the board's
functions.
Subd. 4. Limitation. Nothing in this section or section
244.05, subdivision 5:
(1) supersedes the
commissioner's authority to set conditions of release or revoke an inmate's
release for violating any of the conditions; or
(2) impairs the power of the
Board of Pardons to grant a pardon or commutation in any case.
Subd. 5. Report. (a) Beginning February 15, 2025, and
each year thereafter, the board must submit to the legislative committees with
jurisdiction over criminal justice policy a written report that:
(1) details the number
of inmates reviewed;
(2) identifies inmates
granted release or final discharge in the preceding year; and
(3) provides demographic
data of inmates who were granted release or final discharge and inmates who
were denied release or final discharge.
(b) The report must also
include the board's recommendations to the commissioner for policy
modifications that influence the board's duties.
Sec. 12. Minnesota Statutes 2022, section 244.05, subdivision 2, is amended to read:
Subd. 2. Rules. (a) Notwithstanding section 14.03,
subdivision 3, paragraph (b), clause (1), the commissioner of
corrections shall must adopt by rule standards and procedures for the
revocation of revoking supervised or conditional release, and
shall must specify the period of revocation for each violation of
release except in accordance with subdivision 5, paragraph (i), for inmates
serving life sentences.
(b) Procedures for the
revocation of revoking release shall must provide due
process of law for the inmate.
EFFECTIVE DATE. This
section is effective July 1, 2024.
Sec. 13. Minnesota Statutes 2022, section 244.05, subdivision 5, is amended to read:
Subd. 5. Supervised
release,; life sentence and indeterminate sentences. (a) The commissioner of corrections
board may, under rules promulgated adopted by the
commissioner, give grant supervised release or parole to
an inmate serving a mandatory life sentence under section 609.185, paragraph
(a), clause (3), (5), or (6); 609.3455, subdivision 3 or 4; 609.385; or
Minnesota Statutes 2004, section 609.109, subdivision 3,:
(1) after the inmate
has served the minimum term of imprisonment specified in subdivision 4 or
section 243.05, subdivision 1, paragraph (a); or
(2) at any time for an inmate serving a nonlife indeterminate sentence for a crime committed on or before April 30, 1980.
(b) No earlier than
three years before an inmate reaches their minimum term of imprisonment or
parole eligibility date, the commissioner must conduct a formal review and make
programming recommendations relevant to the inmate's release review under this
subdivision.
(c) The commissioner
shall board must require the preparation of a community
investigation report and shall consider the findings of the report when
making a supervised release or parole decision under this
subdivision. The report shall must:
(1) reflect the
sentiment of the various elements of the community toward the inmate, both at
the time of the offense and at the present time.;
The report shall (2)
include the views of the sentencing judge, the prosecutor, any law enforcement
personnel who may have been involved in the case, and any successors to these
individuals who may have information relevant to the supervised release
decision.; and
The report shall also
(3) include the views of the victim and the victim's family unless the
victim or the victim's family chooses not to participate.
(c) (d) The
commissioner shall must make reasonable efforts to notify the
victim, in advance, of the time and place of the inmate's supervised
release review hearing. The victim has a
right to submit an oral or written statement at the review hearing. The statement may summarize the harm suffered
by the victim as a result of the crime and give the victim's recommendation on
whether the inmate should be given supervised release or parole at this
time. The commissioner must consider
the victim's statement when making the supervised release decision.
(d) (e)
Supervised release or parole must be granted with a majority vote of the board
members. When considering whether to
give grant supervised release or parole to an inmate
serving a life sentence under section 609.3455, subdivision 3 or 4 or
indeterminate sentence, the commissioner shall board must
consider, at a minimum, the following:
(1) the risk the
inmate poses to the community if released,;
(2) the inmate's
progress in treatment,;
(3) the inmate's
behavior while incarcerated,;
(4) psychological or
other diagnostic evaluations of the inmate,;
(5) the inmate's
criminal history,;
(6) a victim statement under paragraph (d), if submitted; and
(7) any other relevant conduct of the inmate while incarcerated or before incarceration.
(f) The commissioner
board may not give grant supervised release or parole
to the an inmate unless:
(1) while in prison:
(i) the inmate has successfully completed appropriate sex offender treatment, if applicable;
(ii) the inmate has been assessed for substance use disorder needs and, if appropriate, has successfully completed substance use disorder treatment; and
(iii) the inmate has been assessed for mental health needs and, if appropriate, has successfully completed mental health treatment; and
(2) a comprehensive
individual release plan is in place for the inmate that:
(i) ensures that,
after release, the inmate will have suitable housing and receive appropriate
aftercare and community-based treatment.
The comprehensive plan also must include; and
(ii) includes a postprison employment or education plan for the inmate.
(e) (g) When granting
supervised release under this subdivision, the board must set prerelease
conditions to be followed by the inmate before their actual release or before
constructive parole becomes effective. If
the inmate violates any of the prerelease conditions, the commissioner may
rescind the grant of supervised release without a hearing at any time before
the inmate's release or before constructive parole becomes effective. A grant of constructive parole becomes
effective once the inmate begins serving the consecutive sentence.
(h) If the commissioner
rescinds a grant of supervised release or parole, the board:
(1) must set a release
review date that occurs within 90 days of the commissioner's rescission; and
(2) by majority vote,
may set a new supervised release date or set another review date.
(i) If the commissioner
revokes supervised release or parole for an inmate serving a life sentence, the
revocation is not subject to the limitations under section 244.30 and the
board:
(1) must set a release review date that occurs within one year of the
commissioner's final revocation decision; and
(2) by majority vote,
may set a new supervised release date or set another review date.
(j) The board may, by a
majority vote, grant a person on supervised release or parole for a life or
indeterminate sentence a final discharge from their sentence in accordance with
section 243.05, subdivision 3. In no
case, however, may a person subject to a mandatory lifetime conditional release
term under section 609.3455, subdivision 7, be discharged from that term.
As used in (k)
For purposes of this subdivision,:
(1) "board"
means the Indeterminate Sentence Release Board under section 244.049;
(2) "constructive
parole" means the status of an inmate who has been paroled from an
indeterminate sentence to begin serving a consecutive sentence in prison; and
(3) "victim"
means the an individual who has directly suffered loss
or harm as a result of the from an inmate's crime or, if the individual is deceased, the
deceased's a murder victim's surviving spouse or, next
of kin, or family kin.
EFFECTIVE DATE. This
section is effective July 1, 2024.
Sec. 14. Minnesota Statutes 2022, section 260B.176, is amended by adding a subdivision to read:
Subd. 1a. Risk-assessment
instrument. (a) If a peace
officer, probation officer, or parole officer who takes a child into custody
does not release the child according to subdivision 1, the officer must
communicate with or deliver the child to a juvenile secure detention facility
to determine whether the child should be released or detained.
(b) To determine whether
a child should be released or detained, a facility's supervisor must use an
objective and racially, ethnically, and gender-responsive juvenile detention
risk-assessment instrument developed by the commissioner of corrections, county,
group of counties, or judicial district, in consultation with the state
coordinator or coordinators of the Minnesota Juvenile Detention Alternative
Initiative.
(c) The risk-assessment
instrument must:
(1) assess the
likelihood that a child released from preadjudication detention under this
section or section 260B.178 would endanger others or not return for a court
hearing;
(2) identify the appropriate
setting for a child who might endanger others or not return for a court hearing
pending adjudication, with either continued detention or placement in a
noncustodial community-based supervision setting; and
(3) identify the type of
noncustodial community-based supervision setting necessary to minimize the risk
that a child who is released from custody will endanger others or not return
for a court hearing.
(d) If, after using the
instrument, a determination is made that the child should be released, the
person taking the child into custody or the facility supervisor must release
the child according to subdivision 1.
EFFECTIVE DATE. This
section is effective August 15, 2023.
Sec. 15. [641.015]
PLACEMENT IN PRIVATE PRISONS PROHIBITED.
Subdivision 1. Placement
prohibited. After August 1,
2023, a sheriff shall not allow inmates committed to the custody of the sheriff
who are not on probation, work release, or some other form of approved release
status to be housed in facilities that are not owned and operated by a local government,
or a group of local units of government.
Subd. 2. Contracts
prohibited. (a) Except as
provided in paragraph (b), the county board may not authorize the sheriff to
contract with privately owned and operated prisons for the care, custody, and
rehabilitation of offenders committed to the custody of the sheriff.
(b) Nothing in this
section prohibits a county board from contracting with privately owned
residential facilities, such as halfway houses, group homes, work release
centers, or treatment facilities, to provide for the care, custody, and
rehabilitation of offenders who are on probation, work release, or some other
form of approved release status.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 16. Minnesota Statutes 2022, section 641.15, subdivision 2, is amended to read:
Subd. 2. Medical aid. Except as provided in section 466.101, the county board shall pay the costs of medical services provided to prisoners pursuant to this section. The amount paid by the county board for a medical service shall not exceed the maximum allowed medical assistance payment rate for the service, as determined by the commissioner of human services. In the absence of a health or medical insurance or health plan that has a contractual obligation with the provider or the prisoner, medical providers shall charge no higher than the rate negotiated between the county and the provider. In the absence of an agreement between the county and the provider, the provider may not charge an amount that exceeds the maximum allowed medical assistance payment rate for the service, as determined by the commissioner of human services. The county is entitled to reimbursement from the prisoner for payment of medical bills to the extent that the prisoner to whom the medical aid was provided has the ability to pay the bills. The prisoner shall, at a minimum, incur co-payment obligations for health care services provided by a county correctional facility. The county board shall determine the co-payment amount. Notwithstanding any law to the contrary, the co-payment shall be deducted from any of the prisoner's funds held by the county, to the extent possible. If there is a disagreement between the county and a prisoner concerning the prisoner's ability to pay, the court with jurisdiction over the defendant shall determine the extent, if any, of the prisoner's ability to pay for the medical services. If a prisoner is covered by health or medical insurance or other health plan when medical services are provided, the medical provider shall bill that health or medical insurance or other plan. If the county providing the medical services for a prisoner that has coverage under health or medical insurance or other plan, that county has a right of subrogation to be reimbursed by the insurance carrier for all sums spent by it for medical services to the prisoner that are covered by the policy of insurance or health plan, in accordance with the benefits, limitations, exclusions, provider restrictions, and other provisions of the policy or health plan. The county may maintain an action to enforce this subrogation right. The county does not have a right
of subrogation against the
medical assistance program. The
county shall not charge prisoners for telephone calls to MNsure navigators, the
Minnesota Warmline, a mental health provider, or calls for the purpose of
providing case management or mental health services as defined in section
245.462 to prisoners.
Sec. 17. Minnesota Statutes 2022, section 641.155, is amended to read:
641.155 DISCHARGE PLANS; OFFENDERS WITH SERIOUS AND PERSISTENT
MENTAL ILLNESS.
Subdivision 1. Discharge
plans. The commissioner of
corrections shall develop and distribute a model discharge planning
process for every offender with a serious and persistent mental illness, as
defined in section 245.462, subdivision 20, paragraph (c), who has been
convicted and sentenced to serve three or more months and is being released
from a county jail or county regional jail.
The commissioner may specify different model discharge plans for
prisoners who have been detained pretrial and prisoners who have been sentenced
to jail. The commissioner must consult
best practices and the most current correctional health care standards from
national accrediting organizations. The
commissioner must review and update the model process as needed.
Subd. 2. Discharge
plans for people with serious and persistent mental illnesses. An offender A person with a
serious and persistent mental illness, as defined in section 245.462,
subdivision 20, paragraph (c), who has been convicted and sentenced to serve
three or more months and is being released from a county jail or county
regional jail shall be referred to the appropriate staff in the county human
services department at least 60 days before being released. The county human services department may
carry out provisions of the model discharge planning process such as must
complete a discharge plan with the prisoner no less than 14 days before release
that may include:
(1) providing assistance in filling out an application for medical assistance or MinnesotaCare;
(2) making a referral for case management as outlined under section 245.467, subdivision 4;
(3) providing assistance in obtaining a state photo identification;
(4) securing a timely appointment with a psychiatrist or other
appropriate community mental health providers; and
(5) providing prescriptions for a 30-day supply of all necessary medications.
Subd. 3. Reentry
coordination programs. (a) A
county may establish a program to provide services and assist prisoners with
reentering the community. Reentry
services may include but are not limited to:
(1) providing assistance
in meeting the basic needs of the prisoner immediately after release including
but not limited to provisions for transportation, clothing, food, and shelter;
(2) providing assistance
in filling out an application for medical assistance or MinnesotaCare;
(3) providing assistance
in obtaining a state photo identification;
(4) providing assistance
in obtaining prescriptions for all necessary medications;
(5) coordinating
services with the local county services agency or the social services agency in
the county where the prisoner is a resident; and
(6) coordinating
services with a community mental health or substance use disorder provider.
Sec. 18. MENTAL
HEALTH UNIT PILOT PROGRAM.
(a) The commissioner of
corrections shall establish a pilot program with interested counties to provide
mental health care to individuals with serious and persistent mental illness
who are incarcerated in county jails. The
pilot program must require the participating counties to pay according to
Minnesota Statutes, section 243.51, a per diem for reimbursement of the Mental
Health Unit at the Minnesota Correctional Facility - Oak Park Heights, and
other costs incurred by the Department of Corrections.
(b) The commissioner in
consultation with the Minnesota Sheriffs' Association shall develop program
protocols, guidelines, and procedures and qualifications for participating
counties and incarcerated individuals to be treated in the Mental Health Unit. The program is limited to a total of five
incarcerated individuals from the participating counties at any one time. Incarcerated individuals must volunteer to be
treated in the unit and be able to participate in programming with other
incarcerated individuals.
(c) The Minnesota
Correctional Facility - Oak Park Heights warden, director of psychology, and
associate director of behavioral health, or a designee of each, in consultation
with the Minnesota Sheriffs' Association, the Minnesota branch of the National
Association on Mental Illness, and the Department of Human Services, shall
oversee the pilot program.
(d) On November 15, 2024,
the warden shall submit a report to the chairs and ranking minority members of
the legislative committees and divisions with jurisdiction over corrections
describing the protocols, guidelines, and procedures for participation in the
pilot program by counties and incarcerated individuals, challenges with
staffing, cost sharing with counties, capacity of the program, services
provided to the incarcerated individuals, program outcomes, concerns regarding
the program, and recommendations for the viability of a long-term program.
(e) The pilot program
expires November 16, 2024.
Sec. 19. REVISED
FACILITY PLANS.
The commissioner of
corrections must direct any juvenile facility licensed by the commissioner to
revise its plan under Minnesota Rules, part 2960.0270, subpart 6, and its
restrictive-procedures plan under Minnesota Rules, part 2960.0710, subpart 2,
to be consistent with Minnesota Statutes, section 241.0215. After receiving notice from the commissioner,
a facility must submit the revised plans to the commissioner within 60 days.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 20. RULEMAKING.
(a) The commissioner of
corrections must amend Minnesota Rules, chapter 2960, to enforce the
requirements under Minnesota Statutes, section 241.0215, including but not
limited to training, facility audits, strip searches, disciplinary room time,
time-outs, and seclusion. The
commissioner may amend the rules to make technical changes and ensure
consistency with Minnesota Statutes, section 241.0215.
(b) In amending or
adopting rules according to paragraph (a), the commissioner must use the exempt
rulemaking process under Minnesota Statutes, section 14.386. Notwithstanding Minnesota Statutes, section
14.386, paragraph (b), a rule adopted under this section is permanent. After the rule is adopted, the authorization
to use the exempt rulemaking process expires.
(c) Notwithstanding
Minnesota Laws 1995, chapter 226, article 3, sections 50, 51, and 60, or any
other law to the contrary, the joint rulemaking authority with the commissioner
of human services does not apply to rule amendments applicable only to the Department
of Corrections. A rule that is amending
jointly administered rule parts must be related to requirements on strip
searches, disciplinary room time, time-outs, and seclusion and be necessary for
consistency with this section.
EFFECTIVE DATE. This
section is effective January 1, 2024.
Sec. 21. REGIONAL
AND COUNTY JAILS; STUDY AND REPORT.
Subdivision 1. Study. The commissioner of corrections must
study and make recommendations on the consolidation or merger of county jails
and alternatives to incarceration for persons experiencing mental health
disorders. The commissioner must engage
and solicit feedback from citizens who live in communities served by facilities
that may be impacted by the commissioner's recommendations for the
consolidation or merger of jails. The
commissioner must consult with the following individuals on the study and
recommendations:
(1) county sheriffs;
(2) county and city
attorneys who prosecute offenders;
(3) chief law
enforcement officers;
(4) administrators of
county jail facilities; and
(5) district court
administrators.
Each party receiving a request for
information from the commissioner under this section shall provide the
requested information in a timely manner.
Subd. 2. Report. The commissioner of corrections must
file a report with the chairs and ranking minority members of the senate and
house of representatives committees and divisions with jurisdiction over public
safety and capital investment on the study and recommendations under
subdivision 1 on or before December 1, 2024.
The report must, at a minimum, provide the following information:
(1) the daily average
number of offenders incarcerated in each county jail facility:
(i) who are in pretrial
detention;
(ii) who cannot afford
to pay bail;
(iii) for failure to pay
fines and fees;
(iv) for offenses that
stem from controlled substance addiction or mental health disorders;
(v) for nonfelony
offenses;
(vi) who are detained
pursuant to contracts with other authorities; and
(vii) for supervised
release and probation violations;
(2) the actual cost of
building a new jail facility, purchasing another facility, or repairing a
current facility;
(3) the age of current
jail facilities;
(4) county population
totals and trends;
(5) county crime rates
and trends;
(6) the proximity of current
jails to courthouses, probation services, social services, treatment providers,
and work-release employment opportunities;
(7) specific recommendations for alternatives to incarceration for
persons experiencing mental health disorders; and
(8) specific
recommendations on the consolidation or merger of county jail facilities and
operations, including:
(i) where consolidated
facilities should be located;
(ii) which counties are
best suited for consolidation;
(iii) the projected costs
of construction, renovation, or purchase of the facility; and
(iv) the projected cost
of operating the facility.
Subd. 3. Evaluation. The commissioner, in consultation with
the commissioner of management and budget, must evaluate the need of any
capital improvement project that requests an appropriation of state capital
budget money during an odd-numbered year to construct a jail facility or for
capital improvements to expand the number of incarcerated offenders at an
existing jail facility. The commissioner
shall use the report under subdivision 2 to inform the evaluation. The commissioner must submit all evaluations
under this subdivision by January 15 of each even-numbered year to the chairs
and ranking minority members of the senate and house of representatives
committees and divisions with jurisdiction over public safety and capital
investment on the study and recommendations under this subdivision.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 22. INDETERMINATE
SENTENCE RELEASE BOARD.
Notwithstanding Minnesota
Statutes, section 244.049, subdivision 1, paragraph (a), the Indeterminate
Sentence Release Board may not begin to review eligible cases and make release
and final discharge decisions until July 1, 2024.
Sec. 23. REVISOR
INSTRUCTION.
When necessary to reflect
the transfer under Minnesota Statutes, section 244.049, subdivision 1, the
revisor of statutes must change the term "commissioner" or
"commissioner of corrections" to "Indeterminate Sentence Release
Board" or "board" in Minnesota Statutes, sections 243.05,
subdivisions 1, paragraph (a), and 3; 244.08; and 609.12, and make any other
necessary grammatical changes.
EFFECTIVE DATE. This
section is effective July 1, 2024.
ARTICLE 10
MINNESOTA REHABILITATION AND REINVESTMENT ACT
Section 1. Minnesota Statutes 2022, section 244.03, is amended to read:
244.03 REHABILITATIVE PROGRAMS.
Subdivision 1. Commissioner
responsibility. (a) For
individuals committed to the commissioner's authority, the commissioner shall
provide appropriate mental health programs and vocational and educational
programs with employment-related goals for inmates. The selection, design and implementation of
programs under this section shall be the sole responsibility of the
commissioner, acting within the limitations imposed by the funds appropriated
for such programs. must develop,
implement, and provide, as appropriate:
(1) substance use
disorder treatment programs;
(2) sexual offender treatment
programming;
(3) domestic abuse
programming;
(4) medical and mental
health services;
(5) spiritual and
faith-based programming;
(6) culturally
responsive programming;
(7) vocational,
employment and career, and educational programming; and
(8) other rehabilitative
programs.
(b) While evidence-based programs must be prioritized, selecting, designing, and implementing programs under this section are the sole responsibility of the commissioner, acting within the limitations imposed by the funds appropriated for the programs under this section.
Subd. 2. Challenge prohibited. No action challenging the level of expenditures for rehabilitative programs authorized under this section, nor any action challenging the selection, design, or implementation of these programs, including employee assignments, may be maintained by an inmate in any court in this state.
Subd. 3. Disciplinary
sanctions. The commissioner may
impose disciplinary sanctions upon on any inmate who refuses to
participate in rehabilitative programs.
Sec. 2. Minnesota Statutes 2022, section 244.05, subdivision 1b, is amended to read:
Subd. 1b. Supervised
release; offenders inmates who commit crimes on or after August
1, 1993. (a) Except as provided in
subdivisions 4 and 5, every inmate sentenced to prison for a felony offense
committed on or after August 1, 1993, shall serve a supervised release term
upon completion of the inmate's term of imprisonment and any disciplinary confinement
period imposed by the commissioner due to the inmate's violation of any
disciplinary rule adopted by the commissioner or refusal to participate in a
rehabilitative program required under section 244.03. The amount of time the inmate serves on
supervised release shall be is equal in length to the amount
of time remaining in to one-third of the inmate's fixed
executed sentence after the inmate has served the term of imprisonment and
any disciplinary confinement period imposed by the commissioner, less
any disciplinary confinement period imposed by the commissioner and regardless
of any earned incentive release credit applied toward the individual's term of imprisonment
under section 244.44.
(b) No inmate who violates
a disciplinary rule or refuses to participate in a rehabilitative program as
required under section 244.03 shall be placed on supervised release until the
inmate has served the disciplinary confinement period for that disciplinary
sanction or until the inmate is discharged or released from punitive segregation
restrictive-housing confinement, whichever is later. The imposition of a disciplinary confinement
period shall be considered to be a disciplinary sanction imposed upon an inmate,
and the procedure for imposing the disciplinary confinement period and the
rights of the inmate in the procedure shall be those in effect for the
imposition of other disciplinary sanctions at each state correctional
institution.
(c) For purposes of this
subdivision, "earned incentive release credit" has the meaning given
in section 244.41, subdivision 7.
Sec. 3. [244.40]
MINNESOTA REHABILITATION AND REINVESTMENT ACT.
Sections 244.40 to
244.51 may be cited as the "Minnesota Rehabilitation and Reinvestment Act."
Sec. 4. [244.41]
DEFINITIONS.
Subdivision 1. Scope. For purposes of the act, the terms
defined in this section have the meanings given.
Subd. 2. Act. "Act" means the Minnesota
Rehabilitation and Reinvestment Act.
Subd. 3. Commissioner. "Commissioner" means the
commissioner of corrections.
Subd. 4. Correctional
facility. "Correctional
facility" means a state facility under the direct operational authority of
the commissioner but does not include a commissioner-licensed local detention
facility.
Subd. 5. Direct-cost
per diem. "Direct-cost
per diem" means the actual nonsalary expenditures, including encumbrances
as of July 31 following the end of the fiscal year, from the Department of
Corrections expense budgets for food preparation; food provisions; personal
support for incarcerated persons, including clothing, linen, and other personal
supplies; transportation; and professional technical contracted health care
services.
Subd. 6. Earned
compliance credit. "Earned
compliance credit" means a one-month reduction from the period during
active supervision of the supervised release term for every two months that a
supervised individual exhibits compliance with the conditions and goals of the
individual's supervision plan.
Subd. 7. Earned
incentive release credit. "Earned
incentive release credit" means credit that is earned and included in
calculating an incarcerated person's term of imprisonment for completing
objectives established by their individualized rehabilitation plan under
section 244.42.
Subd. 8. Earned
incentive release savings. "Earned
incentive release savings" means the calculation of the direct-cost per
diem multiplied by the number of incarcerated days saved for the period of one
fiscal year.
Subd. 9. Executed
sentence. "Executed
sentence" means the total period for which an incarcerated person is
committed to the custody of the commissioner.
Subd. 10. Incarcerated
days saved. "Incarcerated
days saved" means the number of days of an incarcerated person's original
term of imprisonment minus the number of actual days served, excluding days not
served due to death or as a result of time earned in the challenge incarceration
program under sections 244.17 to 244.173.
Subd. 11. Incarcerated
person. "Incarcerated
person" has the meaning given "inmate" in section 244.01,
subdivision 2.
Subd. 12. Supervised
release. "Supervised
release" means the release of an incarcerated person according to section
244.05.
Subd. 13. Supervised
release term. "Supervised
release term" means the period equal to one-third of the individual's
fixed executed sentence, less any disciplinary confinement period or punitive
restrictive-housing confinement imposed under section 244.05, subdivision 1b.
Subd. 14. Supervision
abatement status. "Supervision
abatement status" means an end to active correctional supervision of a
supervised individual without effect on the legal expiration date of the
individual's executed sentence less any earned incentive release credit.
Subd. 15. Term
of imprisonment. "Term
of imprisonment" has the meaning given in section 244.01, subdivision 8.
Sec. 5. [244.42]
COMPREHENSIVE ASSESSMENT AND INDIVIDUALIZED REHABILITATION PLAN REQUIRED.
Subdivision 1. Comprehensive
assessment. (a) The
commissioner must develop a comprehensive assessment process for each person
who:
(1) is committed to the
commissioner's custody and confined in a state correctional facility on or
after January 1, 2025; and
(2) has 365 or more days
remaining until the person's scheduled supervised release date or parole
eligibility date.
(b) As part of the
assessment process, the commissioner must take into account appropriate
rehabilitative programs under section 244.03.
Subd. 2. Individualized
rehabilitation plan. After
completing the assessment process, the commissioner must ensure the development
of an individualized rehabilitation plan, along with identified goals, for
every person committed to the commissioner's custody. The individualized rehabilitation plan must
be holistic in nature by identifying intended outcomes for addressing:
(1) the incarcerated
person's needs and risk factors;
(2) the person's
identified strengths; and
(3) available and needed
community supports, including victim safety considerations as required under
section 244.47, if applicable.
Subd. 3. Victim
input. (a) If an individual
is committed to the commissioner's custody for a crime listed in section
609.02, subdivision 16, the commissioner must make reasonable efforts to notify
a victim of the opportunity to provide input during the assessment and
rehabilitation plan process. Victim
input may include:
(1) a summary of victim
concerns relative to release;
(2) concerns related to
victim safety during the committed individual's term of imprisonment; or
(3) requests for
imposing victim safety protocols as additional conditions of imprisonment or
supervised release.
(b) The commissioner
must consider all victim input statements when developing an individualized
rehabilitation plan and establishing conditions governing confinement or
release.
Subd. 4. Transition
and release plan. For an
incarcerated person with less than 365 days remaining until the person's
supervised release date, the commissioner, in consultation with the
incarcerated person, must develop a transition and release plan.
Subd. 5. Scope
of act. This act is separate
and distinct from other legislatively authorized release programs, including
the challenge incarceration program, work release, conditional medical release,
or the program for the conditional release of nonviolent controlled substance
offenders.
Sec. 6. [244.43]
EARNED INCENTIVE RELEASE CREDIT.
Subdivision 1. Policy
for earned incentive release credit; stakeholder consultation. (a) To encourage and support
rehabilitation when consistent with the public interest and public safety, the
commissioner must establish a policy providing for earned incentive release
credit as a part of the term of imprisonment.
The policy must be established in consultation with the following
organizations:
(1) Minnesota County
Attorneys Association;
(2) Minnesota Board of
Public Defense;
(3) Minnesota Association
of Community Corrections Act Counties;
(4) Minnesota Indian
Women's Sexual Assault Coalition;
(5) Violence Free
Minnesota;
(6) Minnesota Coalition
Against Sexual Assault;
(7) Minnesota Alliance on
Crime;
(8) Minnesota Sheriffs'
Association;
(9) Minnesota Chiefs of
Police Association;
(10) Minnesota Police and
Peace Officers Association; and
(11) faith-based
organizations that reflect the demographics of the incarcerated population.
(b) The policy must:
(1) provide circumstances
upon which an incarcerated person may receive earned incentive release credits,
including participation in rehabilitative programming under section 244.03; and
(2) address circumstances
where:
(i) the capacity to
provide rehabilitative programming in the correctional facility is diminished
but the programming is available in the community; and
(ii) the conditions under
which the incarcerated person could be released to the community-based resource
but remain subject to commitment to the commissioner and could be considered
for earned incentive release credit.
Subd. 2. Policy
on disparities. The
commissioner must develop a policy establishing a process for assessing and
addressing any systemic and programmatic gender and racial disparities that may
be identified when awarding earned incentive release credits.
Sec. 7. [244.44]
APPLYING EARNED INCENTIVE RELEASE CREDIT.
Earned incentive release
credits are included in calculating the term of imprisonment but are not added
to the person's supervised release term, the total length of which remains
unchanged. The maximum amount of earned
incentive release credit that can be earned and subtracted from the term of
imprisonment is 17 percent of the total executed sentence. Earned credit cannot reduce the term of
imprisonment to less than one-half of the incarcerated person's executed
sentence. Once earned, earned incentive
release credits are nonrevocable.
Sec. 8. [244.45]
INELIGIBILITY FOR EARNED INCENTIVE RELEASE CREDIT.
The following
individuals are ineligible for earned incentive release credit:
(1) those serving life
sentences;
(2) those given
indeterminate sentences for crimes committed on or before April 30, 1980; or
(3) those subject to
good time under section 244.04 or similar laws.
Sec. 9. [244.46]
EARNED COMPLIANCE CREDIT AND SUPERVISION ABATEMENT STATUS.
Subdivision 1. Adopting
policy for earned compliance credit; supervision abatement status. (a) The commissioner must adopt a
policy providing for earned compliance credit.
(b) Except as otherwise
provided in the act, once the time served on active supervision plus earned
compliance credits equals the total length of the supervised release term, the
commissioner must place the individual on supervision abatement status for the
remainder of the supervised release term.
Subd. 2. Violating
conditions of release; commissioner action.
If an individual violates the conditions of release while on
supervision abatement status, the commissioner may:
(1) return the
individual to active supervision for the remainder of the supervised release
term, with or without modifying the conditions of release; or
(2) revoke the
individual's supervised release in accordance with section 244.05, subdivision
3.
Subd. 3. Supervision
abatement status; requirements. A
person who is placed on supervision abatement status under this section must
not be required to regularly report to a supervised release agent or pay a
supervision fee but must continue to:
(1) obey all laws;
(2) report any new
criminal charges; and
(3) abide by section
243.1605 before seeking written authorization to relocate to another state.
Subd. 4. Applicability. This section does not apply to
individuals:
(1) serving life
sentences;
(2) given indeterminate
sentences for crimes committed on or before April 30, 1980; or
(3) subject to good time
under section 244.04 or similar laws.
Sec. 10. [244.47]
VICTIM INPUT.
Subdivision 1. Notifying
victim; victim input. (a) If
an individual is committed to the custody of the commissioner for a crime
listed in section 609.02, subdivision 16, and is eligible for earned incentive
release credit, the commissioner must make reasonable efforts to notify the
victim that the committed individual is eligible for earned incentive release
credit.
(b) Victim input may include:
(1) a summary of victim
concerns relative to eligibility of earned incentive release credit;
(2) concerns related to
victim safety during the committed individual's term of imprisonment; or
(3) requests for
imposing victim safety protocols as additional conditions of imprisonment or
supervised release.
Subd. 2. Victim
input statements. The
commissioner must consider victim input statements when establishing
requirements governing conditions of release.
The commissioner must provide the name and telephone number of the local
victim agency serving the jurisdiction of release to any victim providing input
on earned incentive release credit.
Sec. 11. [244.48]
VICTIM NOTIFICATION.
Nothing in this act
limits any victim notification obligations of the commissioner required by
statute related to a change in custody status, committing offense,
end-of-confinement review, or notification registration.
Sec. 12. [244.49]
INTERSTATE COMPACT.
(a) This section applies
to a person serving a Minnesota sentence while being supervised in another
state according to the Interstate Compact for Adult Supervision.
(b) As may be allowed
under section 243.1605, a person may be eligible for supervision abatement
status according to the act only if they meet eligibility criteria for earned
compliance credit as established under section 244.46.
Sec. 13. [244.50]
REALLOCATING EARNED INCENTIVE RELEASE SAVINGS.
Subdivision 1. Establishing
reallocation revenue account. The
reallocation of earned incentive release savings account is established in the
special revenue fund in the state treasury.
Funds in the account are appropriated to the commissioner and must be
expended in accordance with the allocation established in subdivision 4 after
the requirements of subdivision 2 are met.
Funds in the account are available until expended.
Subd. 2. Certifying
earned incentive release savings. On
or before the final closeout date of each fiscal year, the commissioner must
certify to Minnesota Management and Budget the earned incentive release savings
from the previous fiscal year. The
commissioner must provide the detailed calculation substantiating the savings
amount, including accounting-system-generated data where possible, supporting
the direct-cost per diem and the incarcerated days saved.
Subd. 3. Savings
to be transferred to reallocation revenue account. After the certification in subdivision
2 is completed, the commissioner must transfer funds from the appropriation
from which the savings occurred to the reallocation revenue account according
to the allocation in subdivision 4. Transfers
must occur by September 1 each year.
Subd. 4. Distributing
reallocation funds. The
commissioner must distribute funds as follows:
(1) 25 percent must be
transferred to the Office of Justice Programs in the Department of Public
Safety for crime victim services;
(2) 25 percent must be
transferred to the Community Corrections Act subsidy appropriation and to the
Department of Corrections for supervised release and intensive supervision
services, based upon a three-year average of the release jurisdiction of supervised
releasees and intensive supervised releasees across the state;
(3) 25 percent must be
transferred to the Department of Corrections for:
(i) grants to develop
and invest in community-based services that support the identified needs of
correctionally involved individuals or individuals at risk of becoming involved
in the criminal justice system; and
(ii) sustaining the
operation of evidence-based programming in state and local correctional
facilities; and
(4) 25 percent must be
transferred to the general fund.
Sec. 14. [244.51]
REPORTING REQUIRED.
Subdivision 1. Annual
report required. (a)
Beginning January 15, 2026, and by January 15 each year thereafter for ten
years, the commissioner must provide a report to the chairs and ranking
minority members of the house of representatives and senate committees and
divisions with jurisdiction over public safety and judiciary.
(b) For the 2026 report,
the commissioner must report on implementing the requirements in this act. Starting with the 2027 report, the
commissioner must report on the status of the requirements in this act for the
previous fiscal year.
(c) Each report must be
provided to the sitting president of the Minnesota Association of Community
Corrections Act Counties and the executive directors of the Minnesota
Sentencing Guidelines Commission, the Minnesota Indian Women's Sexual Assault
Coalition, the Minnesota Alliance on Crime, Violence Free Minnesota, the
Minnesota Coalition Against Sexual Assault, and the Minnesota County Attorneys
Association.
(d) The report must
include but not be limited to:
(1) a qualitative
description of policy development; implementation status; identified
implementation or operational challenges; strategies identified to mitigate and
ensure that the act does not create or exacerbate gender, racial, and ethnic
disparities; and proposed mechanisms for projecting future savings and
reallocation of savings;
(2) the number of
persons who were granted earned incentive release credit, the total number of
days of incentive release earned, a summary of committing offenses for those
persons who earned incentive release credit, a summary of earned incentive
release savings, and the demographic data for all persons eligible for earned
incentive release credit and the reasons and demographic data of those eligible
persons for whom earned incentive release credit was unearned or denied;
(3) the number of
persons who earned supervision abatement status, the total number of days of
supervision abatement earned, the committing offenses for those persons granted
supervision abatement status, the number of revocations for reoffense while on supervision
abatement status, and the demographic data for all persons eligible for,
considered for, granted, or denied supervision abatement status and the reasons
supervision abatement status was unearned or denied;
(4) the number of
persons deemed ineligible to receive earned incentive release credits and
supervise abatement and the demographic data for the persons; and
(5) the number of
victims who submitted input, the number of referrals to local victim-serving
agencies, and a summary of the kinds of victim services requested.
Subd. 2. Soliciting
feedback. (a) The
commissioner must solicit feedback on victim-related operational concerns from
the Minnesota Indian Women's Sexual Assault Coalition, Minnesota Alliance on
Crime, Minnesota Coalition Against Sexual Assault, and Violence Free Minnesota.
(b) The feedback should
relate to applying earned incentive release credit and supervision abatement
status options. A summary of the
feedback from the organizations must be included in the annual report.
Subd. 3. Evaluating
earned incentive release credit and act.
The commissioner must direct the Department of Corrections'
research unit to regularly evaluate earned incentive release credits and other
provisions of the act. The findings must
be published on the Department of Corrections' website and in the annual
report.
Sec. 15. EFFECTIVE
DATE.
Sections 1 to 14 are
effective August 1, 2023.
ARTICLE 11
FIREARMS BACKGROUND CHECKS
Section 1. Minnesota Statutes 2022, section 624.7131, subdivision 4, is amended to read:
Subd. 4. Grounds
for disqualification. A
determination by (a) The chief of police or sheriff that shall
refuse to grant a transferee permit if the applicant is: (1) prohibited by section 624.713 state
or federal law from possessing a pistol or semiautomatic military-style
assault weapon shall be the only basis for refusal to grant a transferee
permit; (2) determined to be a danger to self or the public when in
possession of firearms under paragraph (b); or (3) listed in the criminal gang
investigative data system under section 299C.091.
(b) A chief of police or sheriff shall refuse to grant a permit to a person if there exists a substantial likelihood that the applicant is a danger to self or the public when in possession of a firearm. To deny the application pursuant to paragraph (a), clause (2), the chief of police or sheriff must provide the applicant with written notification and the specific factual basis justifying the denial, including the source of the factual basis. The chief of police or sheriff must inform the applicant of the applicant's right to submit, within 20 business days, any additional documentation relating to the propriety of the denial. Upon receiving any additional documentation, the chief of police or sheriff must reconsider the denial and inform the applicant within 15 business days of the result of the reconsideration. Any denial after reconsideration must be in the same form and substance as the original denial and must specifically address any continued deficiencies in light of the additional documentation submitted by the applicant. The applicant must be informed of the right to seek de novo review of the denial as provided in subdivision 8.
(c) A person is not
eligible to submit a permit application under this section if the person has
had an application denied pursuant to paragraph (b) and less than six months
have elapsed since the denial was issued or the person's appeal under
subdivision 8 was denied, whichever is later.
(d) A chief of police or
sheriff who denies a permit application pursuant to paragraph (b) must provide
a copy of the notice of disqualification to the chief of police or sheriff with
joint jurisdiction over the proposed transferee's residence.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 2. Minnesota Statutes 2022, section 624.7131, subdivision 5, is amended to read:
Subd. 5. Granting
of permits. (a) The chief of
police or sheriff shall issue a transferee permit or deny the application
within seven 30 days of application for the permit.
(b) In the case of a denial, the chief of police or sheriff shall provide an applicant with written notification of a denial and the specific reason for the denial.
(c) The permits and their renewal shall be granted free of charge.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 3. Minnesota Statutes 2022, section 624.7131, subdivision 7, is amended to read:
Subd. 7. Permit voided; revocation. (a) The transferee permit shall be void at the time that the holder becomes prohibited from possessing or receiving a pistol under section 624.713, in which event the holder shall return the permit within five days to the issuing authority. If the chief law enforcement officer who issued the permit has knowledge that the permit holder is ineligible to possess firearms, the chief law enforcement officer must revoke the permit and give notice to the holder in writing. Failure of the holder to return the permit within the five days of learning that the permit is void or revoked is a gross misdemeanor unless the court finds that the circumstances or the physical or mental condition of the permit holder prevented the holder from complying with the return requirement.
(b) When a permit holder
receives a court disposition that prohibits the permit holder from possessing a
firearm, the court must take possession of the permit, if it is available, and
send it to the issuing law enforcement agency.
If the permit holder does not have the permit when the court imposes a
firearm prohibition, the permit holder must surrender the permit to the
assigned probation officer, if applicable.
When a probation officer is assigned upon disposition of the case, the
court shall inform the probation agent of the permit holder's obligation to
surrender the permit. Upon surrender,
the probation officer must send the permit to the issuing law enforcement
agency. If a probation officer is not assigned to the permit holder, the holder shall
surrender the permit as provided in paragraph (a).
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 4. Minnesota Statutes 2022, section 624.7131, subdivision 8, is amended to read:
Subd. 8. Hearing
upon denial. (a) Any person
aggrieved by denial of a transferee permit may appeal the denial to the
district court having jurisdiction over the county or municipality in which the
denial occurred. by petition to the district court having jurisdiction
over the county or municipality where the application was submitted. The petition must list the applicable chief
of police or sheriff as the respondent. The
district court must hold a hearing at the earliest practicable date and in any
event no later than 60 days following the filing of the petition for review. The court may not grant or deny any relief
before the completion of the hearing. The
record of the hearing must be sealed. The
matter must be heard de novo without a jury.
(b) The court must issue
written findings of fact and conclusions of law regarding the issues submitted
by the parties. The court must issue its
writ of mandamus directing that the permit be issued and order other
appropriate relief unless the chief of police or sheriff establishes by clear
and convincing evidence that:
(1) the applicant is
disqualified from possessing a firearm under state or federal law;
(2) there exists a substantial
likelihood that the applicant is a danger to self or the public when in
possession of a firearm. Incidents of alleged criminal misconduct that
are not investigated and documented may not be considered; or
(3) the applicant is
listed in the criminal gang investigative data system under section 299C.091.
(c) If an application is
denied because the proposed transferee is listed in the criminal gang
investigative data system under section 299C.091, the applicant may challenge
the denial, after disclosure under court supervision of the reason for that
listing, based on grounds that the person:
(1) was erroneously
identified as a person in the data system;
(2) was improperly
included in the data system according to the criteria outlined in section
299C.091, subdivision 2, paragraph (b); or
(3) has demonstrably
withdrawn from the activities and associations that led to inclusion in the
data system.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 5. Minnesota Statutes 2022, section 624.7131, subdivision 9, is amended to read:
Subd. 9. Permit
to carry. A valid permit to carry
issued pursuant to section 624.714 constitutes a transferee permit for the
purposes of this section and section sections 624.7132 and
624.7134.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 6. Minnesota Statutes 2022, section 624.7131, subdivision 11, is amended to read:
Subd. 11. Penalty. A person who makes a false statement in
order to obtain a transferee permit knowing or having reason to know the
statement is false is guilty of a gross misdemeanor felony.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 7. Minnesota Statutes 2022, section 624.7132, subdivision 4, is amended to read:
Subd. 4. Delivery. Except as otherwise provided in
subdivision 7 or 8, no person shall deliver a pistol or semiautomatic
military-style assault weapon to a proposed transferee until five business
30 days after the date the agreement to transfer is delivered to a chief
of police or sheriff in accordance with subdivision 1 unless the chief of
police or sheriff waives all or a portion of the seven-day waiting
period. The chief of police or sheriff
may waive all or a portion of the five business day waiting period in
writing if the chief of police or sheriff:
(1) determines the proposed transferee is not disqualified prior to the
waiting period concluding; or (2) finds that the transferee requires access
to a pistol or semiautomatic military-style assault weapon because of a threat
to the life of the transferee or of any member of the household of the
transferee. Prior to modifying the
waiting period under the authority granted in clause (2), the chief of police
or sheriff must first determine that the proposed transferee is not prohibited
from possessing a firearm under state or federal law.
No person shall deliver a pistol
or semiautomatic military-style assault weapon firearm to a proposed
transferee after receiving a written notification that the chief of police or
sheriff has determined that the proposed transferee is prohibited by section
624.713 from possessing a pistol or semiautomatic military-style assault
weapon firearm.
If the transferor makes a
report of transfer and receives no written notification of disqualification of
the proposed transferee within five 30 business days after
delivery of the agreement to transfer, the pistol or semiautomatic
military-style assault weapon firearm may be delivered to the
transferee, unless the transferor knows the transferee is ineligible to
possess firearms.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 8. Minnesota Statutes 2022, section 624.7132, subdivision 5, is amended to read:
Subd. 5. Grounds
for disqualification. A
determination by (a) The chief of police or sheriff that shall
deny an application if the proposed transferee is: (1) prohibited by section 624.713 state
or federal law from possessing a pistol or semiautomatic military-style
assault weapon shall be the sole basis for a notification of
disqualification under this section; (2) determined to be a danger to
self or the public when in possession of firearms under paragraph (b); or (3)
listed in the criminal gang investigative data system under section 299C.091.
(b) A chief of police or sheriff shall deny an application if there exists a substantial likelihood that the proposed transferee is a danger to self or the public when in possession of a firearm. To deny the application under this paragraph, the chief of police or sheriff must provide the applicant with written notification and the specific factual basis justifying the denial, including the source of the factual basis. The chief of police or sheriff must inform the applicant of the applicant's right to submit, within 20 business days, any additional documentation relating to the propriety of the denial. Upon receiving any additional documentation, the chief of police or sheriff must reconsider the denial and inform the applicant within 15 business days of the result of the reconsideration. Any denial after reconsideration must be in the same form and substance as the original denial and must specifically address any continued deficiencies in light of the additional documentation submitted by the applicant. The applicant must be informed of the right to seek de novo review of the denial as provided in subdivision 13.
(c) A chief of police or
sheriff need not process an application under this section if the person has
had an application denied pursuant to paragraph (b) and less than six months
have elapsed since the denial was issued or the person's appeal under subdivision
13 was denied, whichever is later.
(d) A chief of police or
sheriff who denies an application pursuant to paragraph (b) must provide a copy
of the notice of disqualification to the chief of police or sheriff with joint
jurisdiction over the applicant's residence.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 9. Minnesota Statutes 2022, section 624.7132, subdivision 8, is amended to read:
Subd. 8. Report
not required. If the proposed
transferee presents a valid transferee permit issued under section 624.7131
or a valid permit to carry issued under section 624.714, the transferor
need not file a transfer report.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 10. Minnesota Statutes 2022, section 624.7132, subdivision 10, is amended to read:
Subd. 10. Restriction on records. Except as provided in section 624.7134, subdivision 3, paragraph (e), if, after a determination that the transferee is not a person prohibited by section 624.713 from possessing a pistol or semiautomatic military-style assault weapon, a transferee requests that no record be maintained of the fact of who is the transferee of a pistol or semiautomatic military-style assault weapon, the chief of police or sheriff shall sign the
transfer report and return it to the transferee as soon as possible. Thereafter, no government employee or agency shall maintain a record of the transfer that identifies the transferee, and the transferee shall retain the report of transfer.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 11. Minnesota Statutes 2022, section 624.7132, subdivision 13, is amended to read:
Subd. 13. Appeal. (a) A person aggrieved by the
determination of a chief of police or sheriff that the person is prohibited
by section 624.713 from possessing a pistol or semiautomatic military-style
assault weapon may appeal the determination as provided in this subdivision. The district court shall have jurisdiction of
proceedings under this subdivision. under subdivision 5 may appeal by
petition to the district court having jurisdiction over the county or
municipality where the application was submitted. The petition must list the applicable chief
of police or sheriff as the respondent. The
district court must hold a hearing at the earliest practicable date and in any
event no later than 60 days following the filing of the petition for review. The court may not grant or deny any relief
before the completion of the hearing. The record of the hearing must be
sealed. The matter must be heard de novo
without a jury.
On review pursuant to
this subdivision, the court shall be limited to a determination of whether the proposed
transferee is a person prohibited from possessing a pistol or semiautomatic
military-style assault weapon by section 624.713.
(b) The court must issue
written findings of fact and conclusions of law regarding the issues submitted
by the parties. The court must issue its
writ of mandamus directing that the permit be issued and order other
appropriate relief unless the chief of police or sheriff establishes by clear
and convincing evidence that:
(1) the applicant is
disqualified under state or federal law from possession of firearms;
(2) there exists a
substantial likelihood that the applicant is a danger to self or the public
when in possession of a firearm. Incidents of alleged criminal misconduct that
are not investigated and documented may not be considered; or
(3) the applicant is
listed in the criminal gang investigative data system under section 299C.091.
(c) If an application is
denied because the proposed transferee is listed in the criminal gang
investigative data system under section 299C.091, the proposed transferee may
challenge the denial, after disclosure under court supervision of the reason
for that listing, based on grounds that the person:
(1) was erroneously
identified as a person in the data system;
(2) was improperly
included in the data system according to the criteria outlined in section
299C.091, subdivision 2, paragraph (b); or
(3) has demonstrably
withdrawn from the activities and associations that led to inclusion in the
data system.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 12. [624.7134]
PRIVATE PARTY TRANSFERS; BACKGROUND CHECK REQUIRED.
Subdivision 1. Definitions. (a) As used in this section, the
following terms have the meanings provided in this subdivision.
(b) "Firearms dealer"
means a person who is licensed by the United States Department of Justice,
Bureau of Alcohol, Tobacco, Firearms and Explosives, under United States Code,
title 18, section 923(a).
(c) "State or
federally issued identification" means a document or card made or issued
by or under the authority of the United States government or the state that
contains the person's name, residence address, date of birth, and photograph
and is of a type commonly accepted for the purpose of identification of
individuals.
(d) "Unlicensed
person" means a person who does not hold a license under United States
Code, title 18, section 923(a).
Subd. 2. Background
check and evidence of identity. An
unlicensed person is prohibited from transferring a pistol or semiautomatic
military-style assault weapon to any other unlicensed person, unless: (1) the transfer is made through a firearms
dealer as provided for in subdivision 3; or (2) the transferee presents a valid
transferee permit issued under section 624.7131 and a current state or
federally issued identification.
Subd. 3. Background
check conducted by federally licensed firearms dealer. (a) Where both parties to a
prospective transfer of a pistol or semiautomatic military-style assault weapon
are unlicensed persons, the transferor and transferee may appear jointly before
a federally licensed firearms dealer with the firearm and request that the
federally licensed firearms dealer conduct a background check on the transferee
and facilitate the transfer.
(b) Except as otherwise
provided in this section, a federally licensed firearms dealer who agrees to
facilitate a transfer under this section shall:
(1) process the transfer
as though transferring the firearm from the dealer's inventory to the
transferee; and
(2) comply with all
requirements of federal and state law that would apply if the firearms dealer
were making the transfer, including, at a minimum, all background checks and
record-keeping requirements. The
exception to the report of transfer process in section 624.7132, subdivision
12, clause (1), does not apply to transfers completed under this subdivision.
(c) If the transferee is
prohibited by federal law from purchasing or possessing the firearm or not
entitled under state law to possess the firearm, neither the federally licensed
firearms dealer nor the transferor shall transfer the firearm to the transferee.
(d) Notwithstanding any
other law to the contrary, this section shall not prevent the transferor from:
(1) removing the firearm
from the premises of the federally licensed firearms dealer, or the gun show or
event where the federally licensed firearms dealer is conducting business, as
applicable, while the background check is being conducted, provided that the
transferor must return to the federally licensed firearms dealer with the
transferee before the transfer takes place, and the federally licensed firearms
dealer must take possession of the firearm in order to complete the transfer;
and
(2) removing the firearm
from the business premises of the federally licensed firearms dealer if the
results of the background check indicate the transferee is prohibited by
federal law from purchasing or possessing the firearm or not entitled under
state law to possess the firearm.
(e) A transferee who
consents to participate in a transfer under this subdivision is not entitled to
have the transfer report returned as provided for in section 624.7132,
subdivision 10.
(f) A firearms dealer
may charge a reasonable fee for conducting a background check and facilitating
a transfer between the transferor and transferee pursuant to this section.
Subd. 4. Record
of transfer; required information. (a)
Unless a transfer is made through a firearms dealer as provided in subdivision
3, when two unlicensed persons complete the transfer of a pistol or
semiautomatic military‑style assault weapon, the transferor and
transferee must complete a record of transfer on a form designed and made
publicly available without fee for this purpose by the superintendent of the
Bureau of Criminal Apprehension. Each
page of the record of transfer must be signed and dated by the transferor and
the transferee and contain the serial number of the pistol or semiautomatic
military-style assault weapon.
(b) The record of
transfer must contain the following information:
(1) a clear copy of each
person's current state or federally issued identification;
(2) a clear copy of the
transferee permit presented by the transferee; and
(3) a signed statement
by the transferee swearing that the transferee is not currently prohibited by
state or federal law from possessing a firearm.
(c) The record of
transfer must also contain the following information regarding the transferred
pistol or semiautomatic military-style assault weapon:
(1) the type of pistol
or semiautomatic military-style assault weapon;
(2) the manufacturer,
make, and model of the pistol or semiautomatic military-style assault weapon;
and
(3) the pistol or semiautomatic
military-style assault weapon's manufacturer-assigned serial number.
(d) Both the transferor
and the transferee must retain a copy of the record of transfer and any
attachments to the record of transfer for 20 years from the date of the
transfer. A copy in digital form shall
be acceptable for the purposes of this paragraph.
Subd. 5. Compulsory
production of a record of transfer; gross misdemeanor penalty. (a) Unless a transfer was completed
under subdivision 3, the transferor and transferee of a pistol or semiautomatic
military-style assault weapon transferred under subdivision 4 must produce the
record of transfer when a peace officer requests the record as part of a
criminal investigation.
(b) A person who refuses
or is unable to produce a record of transfer for a firearm transferred under
this section in response to a request for production made by a peace officer
pursuant to paragraph (a) is guilty of a gross misdemeanor. A prosecution or conviction for violation of
this subdivision is not a bar to conviction of, or punishment for, any other
crime committed involving the transferred firearm.
Subd. 6. Immunity. A person is immune to a charge of
violating this section if the person presents a record of transfer that
satisfies the requirements of subdivision 4.
Subd. 7. Exclusions. (a) This section shall not apply to
the following transfers:
(1) a transfer by or to
a federally licensed firearms dealer;
(2) a transfer by or to
any law enforcement agency;
(3) to the extent the transferee is acting within the course and scope
of employment and official duties, a transfer to:
(i) a peace officer, as
defined in section 626.84, subdivision 1, paragraph (c);
(ii) a member of the United
States armed forces, the National Guard, or the Reserves of the United States
armed forces;
(iii) a federal law
enforcement officer; or
(iv) a security guard
employed by a protective agent licensed pursuant to chapter 326;
(4) a transfer between
immediate family members, which for the purposes of this section means spouses,
domestic partners, parents, children, siblings, grandparents, and
grandchildren;
(5) a transfer to an
executor, administrator, trustee, or personal representative of an estate or a
trust that occurs by operation of law upon the death of the former owner of the
firearm;
(6) a transfer of an
antique firearm as defined in section 624.712, subdivision 3;
(7) a transfer of a
curio or relic, as defined in Code of Federal Regulations, title 27, section
478.11, if the transfer is between collectors of firearms as curios or relics
as defined by United States Code, title 18, section 921(a)(13), who each have in
their possession a valid collector of curio and relics license issued by the
United States Department of Justice, Bureau of Alcohol, Tobacco, Firearms and
Explosives;
(8) the temporary
transfer of a firearm if:
(i) the transfer is
necessary to prevent imminent death or great bodily harm; and
(ii) the person's
possession lasts only as long as immediately necessary to prevent such imminent
death or great bodily harm;
(9) transfers by or to
an auctioneer who is in compliance with chapter 330 and acting in the person's
official role as an auctioneer to facilitate or conduct an auction of the
firearm; and
(10) a temporary
transfer if the transferee's possession of the firearm following the transfer
is only:
(i) at a shooting range
that operates in compliance with the performance standards under chapter 87A or
is a nonconforming use under section 87A.03, subdivision 2, or, if compliance
is not required by the governing body of the jurisdiction, at an established
shooting range operated consistently with local law in the jurisdiction;
(ii) at a lawfully
organized competition involving the use of a firearm, or while participating in
or practicing for a performance by an organized group that uses firearms as
part of the performance;
(iii) while hunting or trapping if the hunting or trapping is legal in all places where the transferee possesses the firearm and the transferee holds all licenses or permits required for hunting or trapping;
(iv) at a lawfully
organized educational or instructional course and under the direct supervision
of a certified instructor, as that term is defined in section 624.714,
subdivision 2a, paragraph (d); or
(v) while in the actual
presence of the transferor.
(b) A transfer under
this subdivision is permitted only if the transferor has no reason to believe:
(1) that the transferee
is prohibited by federal law from buying or possessing firearms or not entitled
under state law to possess firearms;
(2) if the transferee is under
18 years of age and is receiving the firearm under direct supervision and
control of an adult, that the adult is prohibited by federal law from buying or
possessing firearms or not entitled under state law to possess firearms; or
(3) that the transferee
will use or intends to use the firearm in the commission of a crime.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 13. REPEALER.
Minnesota Statutes 2022,
sections 624.7131, subdivision 10; and 624.7132, subdivisions 6 and 14, are
repealed.
ARTICLE 12
EXTREME RISK PROTECTION ORDERS
Section 1. Minnesota Statutes 2022, section 624.713, subdivision 1, is amended to read:
Subdivision 1. Ineligible persons. The following persons shall not be entitled to possess ammunition or a pistol or semiautomatic military-style assault weapon or, except for clause (1), any other firearm:
(1) a person under the age of 18 years except that a person under 18 may possess ammunition designed for use in a firearm that the person may lawfully possess and may carry or possess a pistol or semiautomatic military-style assault weapon (i) in the actual presence or under the direct supervision of the person's parent or guardian, (ii) for the purpose of military drill under the auspices of a legally recognized military organization and under competent supervision, (iii) for the purpose of instruction, competition, or target practice on a firing range approved by the chief of police or county sheriff in whose jurisdiction the range is located and under direct supervision; or (iv) if the person has successfully completed a course designed to teach marksmanship and safety with a pistol or semiautomatic military-style assault weapon and approved by the commissioner of natural resources;
(2) except as otherwise provided in clause (9), a person who has been convicted of, or adjudicated delinquent or convicted as an extended jurisdiction juvenile for committing, in this state or elsewhere, a crime of violence. For purposes of this section, crime of violence includes crimes in other states or jurisdictions which would have been crimes of violence as herein defined if they had been committed in this state;
(3) a person who is or has ever been committed in Minnesota or elsewhere by a judicial determination that the person is mentally ill, developmentally disabled, or mentally ill and dangerous to the public, as defined in section 253B.02, to a treatment facility, or who has ever been found incompetent to stand trial or not guilty by reason of mental illness, unless the person's ability to possess a firearm and ammunition has been restored under subdivision 4;
(4) a person who has been convicted in Minnesota or elsewhere of a misdemeanor or gross misdemeanor violation of chapter 152, unless three years have elapsed since the date of conviction and, during that time, the person has not been convicted of any other such violation of chapter 152 or a similar law of another state; or a person who is or has ever been committed by a judicial determination for treatment for the habitual use of a controlled substance or marijuana, as defined in sections 152.01 and 152.02, unless the person's ability to possess a firearm and ammunition has been restored under subdivision 4;
(5) a person who has been committed to a treatment facility in Minnesota or elsewhere by a judicial determination that the person is chemically dependent as defined in section 253B.02, unless the person has completed treatment or the person's ability to possess a firearm and ammunition has been restored under subdivision 4. Property rights may not be abated but access may be restricted by the courts;
(6) a peace officer who is informally admitted to a treatment facility pursuant to section 253B.04 for chemical dependency, unless the officer possesses a certificate from the head of the treatment facility discharging or provisionally discharging the officer from the treatment facility. Property rights may not be abated but access may be restricted by the courts;
(7) a person, including a person under the jurisdiction of the juvenile court, who has been charged with committing a crime of violence and has been placed in a pretrial diversion program by the court before disposition, until the person has completed the diversion program and the charge of committing the crime of violence has been dismissed;
(8) except as otherwise provided in clause (9), a person who has been convicted in another state of committing an offense similar to the offense described in section 609.224, subdivision 3, against a family or household member or section 609.2242, subdivision 3, unless three years have elapsed since the date of conviction and, during that time, the person has not been convicted of any other violation of section 609.224, subdivision 3, or 609.2242, subdivision 3, or a similar law of another state;
(9) a person who has been convicted in this state or elsewhere of assaulting a family or household member and who was found by the court to have used a firearm in any way during commission of the assault is prohibited from possessing any type of firearm or ammunition for the period determined by the sentencing court;
(10) a person who:
(i) has been convicted in any court of a crime punishable by imprisonment for a term exceeding one year;
(ii) is a fugitive from justice as a result of having fled from any state to avoid prosecution for a crime or to avoid giving testimony in any criminal proceeding;
(iii) is an unlawful user of any controlled substance as defined in chapter 152;
(iv) has been judicially committed to a treatment facility in Minnesota or elsewhere as a person who is mentally ill, developmentally disabled, or mentally ill and dangerous to the public, as defined in section 253B.02;
(v) is an alien who is illegally or unlawfully in the United States;
(vi) has been discharged from the armed forces of the United States under dishonorable conditions;
(vii) has renounced the person's citizenship having been a citizen of the United States; or
(viii) is disqualified from possessing a firearm under United States Code, title 18, section 922(g)(8) or (9), as amended through March 1, 2014;
(11) a person who has been convicted of the following offenses at the gross misdemeanor level, unless three years have elapsed since the date of conviction and, during that time, the person has not been convicted of any other violation of these sections: section 609.229 (crimes committed for the benefit of a gang); 609.2231, subdivision 4 (assaults motivated by bias); 609.255 (false imprisonment); 609.378 (neglect or endangerment of a child); 609.582, subdivision 4 (burglary in the fourth degree); 609.665 (setting a spring gun); 609.71 (riot); or 609.749 (harassment or stalking). For purposes of this paragraph, the specified gross misdemeanor convictions include crimes committed in other states or jurisdictions which would have been gross misdemeanors if conviction occurred in this state;
(12) a person who has been
convicted of a violation of section 609.224 if the court determined that the
assault was against a family or household member in accordance with section
609.2242, subdivision 3 (domestic assault), unless three years have elapsed
since the date of conviction and, during that time, the person has not been
convicted of another violation of section 609.224 or a violation of a section
listed in clause (11); or
(13) a person who is subject to
an order for protection as described in section 260C.201, subdivision 3,
paragraph (d), or 518B.01, subdivision 6, paragraph (g); or
(14) a person who is subject to an extreme risk protection order as described in section 624.7172 or 624.7174.
A person who issues a certificate pursuant to this section in good faith is not liable for damages resulting or arising from the actions or misconduct with a firearm or ammunition committed by the individual who is the subject of the certificate.
The prohibition in this subdivision relating to the possession of firearms other than pistols and semiautomatic military-style assault weapons does not apply retroactively to persons who are prohibited from possessing a pistol or semiautomatic military-style assault weapon under this subdivision before August 1, 1994.
The lifetime prohibition on possessing, receiving, shipping, or transporting firearms and ammunition for persons convicted or adjudicated delinquent of a crime of violence in clause (2), applies only to offenders who are discharged from sentence or court supervision for a crime of violence on or after August 1, 1993.
For purposes of this section, "judicial determination" means a court proceeding pursuant to sections 253B.07 to 253B.09 or a comparable law from another state.
Sec. 2. [624.7171]
EXTREME RISK PROTECTION ORDERS.
Subdivision 1. Definitions. (a) As used in sections 624.7171 to
624.7178, the following terms have the meanings given.
(b) "Family or
household members" means:
(1) spouses and former
spouses of the respondent;
(2) parents and children
of the respondent;
(3) persons who are
presently residing with the respondent; or
(4) a person involved in
a significant romantic or sexual relationship with the respondent.
In determining whether persons are in a
significant romantic or sexual relationship under clause (4), the court shall
consider the length of time of the relationship; type of relationship; and
frequency of interaction between the parties.
(c) "Firearm"
has the meaning given in section 609.666, subdivision 1, paragraph (a).
(d) "Mental health
professional" has the meaning given in section 245I.02, subdivision 27.
Subd. 2. Court
jurisdiction. (a) An
application for relief under sections 624.7172 and 624.7174 may be filed in the
county of residence of the respondent except as provided for in paragraph (b). Actions under sections 624.7172 and 624.7174
shall be given docket priorities by the court.
(b) At the time of
filing, a petitioner may request that the court allow the petitioner to appear
virtually at all proceedings. If the
court denies the petitioner's request for virtual participation, the petitioner
may refile the petition in the county where the petitioner resides or is
officed.
Subd. 3. Information
on petitioner's location or residence.
Upon the petitioner's request, information maintained by the
court regarding the petitioner's location or residence is not accessible to the
public and may be disclosed only to court personnel or law enforcement for
purposes of service of process, conducting an investigation, or enforcing an
order.
Subd. 4. Generally. (a) There shall exist an action known
as a petition for an extreme risk protection order, which order shall enjoin
and prohibit the respondent from possessing or purchasing firearms for as long
as the order remains in effect.
(b) A petition for
relief under sections 624.7171 to 624.7178 may be made by the chief law
enforcement officer, the chief law enforcement officer's designee, a city or
county attorney, any family or household members of the respondent, or a
guardian, as defined in section 524.1-201, clause (27), of the respondent.
(c) A petition for
relief shall allege that the respondent poses a significant danger of bodily
harm to other persons or is at significant risk of suicide by possessing a
firearm. The petition shall be
accompanied by an affidavit made under oath stating specific facts and
circumstances forming a basis to allege that an extreme risk protection order
should be granted. The affidavit may
include but is not limited to evidence showing any of the factors described in
section 624.7172, subdivision 2.
(d) A petition for
emergency relief under section 624.7174 shall additionally allege that the
respondent presents an immediate and present danger of either bodily harm to
others or of taking their life.
(e) A petition for
relief must describe, to the best of the petitioner's knowledge, the types and
location of any firearms believed by the petitioner to be possessed by the
respondent.
(f) The court shall
provide simplified forms and clerical assistance to help with the writing and
filing of a petition under this section.
(g) The state court
administrator shall create all forms necessary under sections 624.7171 to 624.7178.
(h) The filing fees for
an extreme risk protection order under this section are waived for the
petitioner and respondent. The court
administrator, the sheriff of any county in this state, and other law
enforcement and corrections officers shall perform their duties relating to
service of process without charge to the petitioner. The court shall direct payment of the
reasonable costs of service of process if served by a private process server
when the sheriff or other law enforcement or corrections officer is unavailable
or if service is made by publication, without requiring the petitioner to make
application under section 563.01.
(i) The court shall
advise the petitioner of the right to serve the respondent by alternate notice
under section 624.7172, subdivision 1, paragraph (e), if the respondent is
avoiding personal service by concealment or otherwise, and shall assist in the
writing and filing of the affidavit.
(j) The court shall
advise the petitioner of the right to request a hearing under section 624.7174. If the petitioner does not request a hearing,
the court shall advise the petitioner that the respondent may request a hearing
and that notice of the hearing date and time will be provided to the petitioner
by mail at least five days before the hearing.
(k) Any proceeding under
sections 624.7171 to 624.7178 shall be in addition to other civil or criminal
remedies.
(l) All health records
and other health information provided in a petition or considered as evidence
in a proceeding under sections 624.7171 to 624.7178 shall be protected from
public disclosure but may be provided to law enforcement agencies as described
in this section.
(m) Any extreme risk protection
order or subsequent extension issued under sections 624.7171 to 624.7178 shall
be forwarded by the court administrator within 24 hours to the local law
enforcement agency with jurisdiction over the residence of the respondent and
electronically transmitted within three business days to the National Instant
Criminal Background Check System. When
an order expires or is terminated by the court, the court must submit a request
that the order be removed from the National Instant Background Check System. Each appropriate law enforcement agency shall
make available to other law enforcement officers, through a system for
verification, information as to the existence and status of any extreme risk
protection order issued under sections 624.7171 to 624.7178.
Subd. 5. Mental
health professionals. When a
mental health professional has a statutory duty to warn another of a client's
serious threat of physically violent behavior or determines that a client
presents a significant risk of suicide by possessing a firearm, the mental
health professional must communicate the threat or risk to the sheriff of the
county where the client resides and make a recommendation to the sheriff
regarding the client's fitness to possess firearms.
Sec. 3. [624.7172]
EXTREME RISK PROTECTION ORDERS ISSUED AFTER HEARING.
Subdivision 1. Hearing. (a) Upon receipt of the petition for an order after a hearing, the court must schedule and hold a hearing within 14 days from the date the petition was received.
(b) The court shall
advise the petitioner of the right to request an emergency extreme risk
protection order under section 624.7174 separately from or simultaneously with
the petition under this subdivision.
(c) The petitioning
agency shall be responsible for service of an extreme risk protection order
issued by the court and shall further be the agency responsible for the
execution of any legal process required for the seizure and storage of firearms
subject to the order. Nothing in this
provision limits the ability of the law enforcement agency of record from
cooperating with other law enforcement entities. When a court issues an extreme risk
protection order for a person who resides on Tribal territory, the chief law
enforcement officer of the law enforcement agency responsible for serving the
order must request the assistance and counsel of the appropriate Tribal police
department prior to serving the respondent.
When the petitioner is a family or household member of the respondent,
the primary law enforcement agency serving the jurisdiction of residency of the
respondent shall be responsible for the execution of any legal process required
for the seizure and storage of firearms subject to the order.
(d) Personal service of
notice for the hearing may be made upon the respondent at any time up to 48
hours prior to the time set for the hearing, provided that the respondent at
the hearing may request a continuance of up to 14 days if the respondent
is served less than five days prior to the hearing, which continuance shall be
granted unless there are compelling reasons not to do so. If the court grants the requested
continuance, and an existing emergency order under section 624.7174 will expire
due to the continuance, the court shall also issue a written order continuing
the emergency order pending the new time set for the hearing.
(e) If personal service
cannot be made, the court may order service of the petition and any order
issued under this section by alternate means.
The application for alternate service must include the last known
location of the respondent; the petitioner's most recent contacts with the
respondent; the last known location of the respondent's employment; the names
and locations of the respondent's parents, siblings, children, and other close
relatives; the names and locations of other persons who are likely to know the
respondent's whereabouts; and a description of efforts to locate those persons. The court shall consider the length of time
the respondent's location has been unknown, the likelihood that the
respondent's location will become known, the nature of the relief sought, and
the nature of efforts made to locate the respondent. The court shall order service by first class
mail, forwarding address requested, to any addresses where there is a
reasonable possibility that mail or information will be forwarded or communicated
to the respondent. The court may also
order publication, within or without the state, but only if it might reasonably
succeed in notifying the respondent of the proceeding. Service shall be deemed complete 14 days
after mailing or 14 days after court-ordered publication.
(f) When a petitioner who is
not the sheriff of the county where the respondent resides, the sheriff's
designee, or a family or household member files a petition, the petitioner must
provide notice of the action to the sheriff of the county where the respondent
resides. When a family or household
member is the petitioner, the court must provide notice of the action to the
sheriff of the county where the respondent resides.
Subd. 2. Relief
by court. (a) At the hearing,
the petitioner must prove by clear and convincing evidence that the respondent
poses a significant danger to other persons or is at significant risk of
suicide by possessing a firearm.
(b) In determining
whether to grant the order after a hearing, the court shall consider evidence
of the following, whether or not the petitioner has provided evidence of the
same:
(1) a history of threats
or acts of violence by the respondent directed toward another person;
(2) the history of use,
attempted use, or threatened use of physical force by the respondent against
another person;
(3) a violation of any
court order, including but not limited to orders issued under sections 624.7171
to 624.7178 or chapter 260C or 518B;
(4) a prior arrest for a
felony offense;
(5) a conviction or
prior arrest for a violent misdemeanor offense, for a stalking offense under
section 609.749, or for domestic assault under section 609.2242;
(6) a conviction for an
offense of cruelty to animals under chapter 343;
(7) the unlawful and
reckless use, display, or brandishing of a firearm by the respondent;
(8) suicide attempts by
the respondent or a serious mental illness; and
(9) whether the
respondent is named in an existing order in effect under sections 624.7171 to
624.7178 or chapter 260C or 518B, or party to a pending lawsuit, complaint,
petition, or other action under sections 624.7171 to 624.7178 or chapter 518B.
(c) In determining
whether to grant the order after a hearing, the court may:
(1) subpoena peace
officers who have had contact with the respondent to provide written or sworn
testimony regarding the officer's contacts with the respondent; and
(2) consider any other
evidence that bears on whether the respondent poses a danger to others or is at
risk of suicide.
(d) If the court finds
there is clear and convincing evidence to issue an extreme risk protection
order, the court shall issue the order prohibiting the person from possessing
or purchasing a firearm for the duration of the order. The court shall inform the respondent that
the respondent is prohibited from possessing or purchasing firearms and shall
issue a transfer order under section 624.7175.
The court shall also give notice to the county attorney's office, which
may take action as it deems appropriate.
(e) The court shall
determine the length of time the order is in effect, but may not set the length
of time for less than six months or more than one year, subject to renewal or
extension under section 624.7173.
(f) If there is no existing
emergency order under section 624.7174 at the time an order is granted under
this section, the court shall determine by clear and convincing evidence
whether the respondent presents an immediate and present danger of bodily harm. If the court so determines, the transfer
order shall include the provisions described in section 624.7175, paragraph
(d).
(g) If, after a hearing,
the court does not issue an order of protection, the court shall vacate any
emergency extreme risk protection order currently in effect.
(h) A respondent may
waive the respondent's right to contest the hearing and consent to the court's
imposition of an extreme risk protection order.
The court shall seal the petition filed under this section and section
624.7144 if a respondent who consents to imposition of an extreme risk
protection order requests that the petition be sealed, unless the court finds
that there is clear and convincing evidence that the interests of the public
and public safety outweigh the disadvantages to the respondent of not sealing
the petition. All extreme risk
protection orders based on the respondent being a danger to others shall remain
public. Extreme risk protection orders
issued for respondents who are solely at risk of suicide shall not be public.
Sec. 4. [624.7173]
SUBSEQUENT EXTENSIONS AND TERMINATION.
(a) Upon application by
any party entitled to petition for an order under section 624.7172, and after
notice to the respondent and a hearing, the court may extend the relief granted
in an existing order granted after a hearing under section 624.7172. Application for an extension may be made any
time within the three months before the expiration of the existing order. The court may extend the order if the court
makes the same findings by clear and convincing evidence as required for
granting of an initial order under section 624.7172, subdivision 2, paragraph
(d). The minimum length of time of an
extension is six months and the maximum length of time of an extension is one
year. The court shall consider the same
types of evidence as required for the initial order under section 624.7172,
subdivision 2, paragraphs (b) and (c).
(b) Upon application by
the respondent to an order issued under section 624.7172, the court may
terminate an order after a hearing at which the respondent shall bear the
burden of proving by clear and convincing evidence that the respondent does not
pose a significant danger to other persons or is at significant risk of suicide
by possessing a firearm. Application for
termination may be made one time for each year an order is in effect. If an order has been issued for a period of
six months, the respondent may apply for termination one time.
Sec. 5. [624.7174]
EMERGENCY ISSUANCE OF EXTREME RISK PROTECTION ORDER.
(a) In determining
whether to grant an emergency extreme risk protection order, the court shall
consider evidence of all facts identified in section 624.7172, subdivision 2,
paragraphs (b) and (c).
(b) The court shall
advise the petitioner of the right to request an order after a hearing under
section 624.7172 separately from or simultaneously with the petition.
(c) If the court finds
there is probable cause that (1) the respondent poses a significant danger of
bodily harm to other persons or is at significant risk of suicide by possessing
a firearm, and (2) the respondent presents an immediate and present danger of
either bodily harm to others or of taking their life, the court shall issue an
ex parte emergency order prohibiting the respondent from possessing or
purchasing a firearm for the duration of the order. The order shall inform the respondent that
the respondent is prohibited from possessing or purchasing a firearm and shall
issue a transfer order under section 624.7175, paragraph (d).
(d) A finding by the
court that there is a basis for issuing an emergency extreme risk protection
order constitutes a finding that sufficient reasons exist not to require notice
under applicable court rules governing applications for ex parte relief.
(e) The emergency order shall
have a fixed period of 14 days unless a hearing is set under section 624.7172
on an earlier date, in which case the order shall expire upon a judge's finding
that no order is issued under section 624.7172.
(f) Except as provided in
paragraph (g), the respondent shall be personally served immediately with a
copy of the emergency order and a copy of the petition and, if a hearing is
requested by the petitioner under section 624.7172, notice of the date set for
the hearing. If the petitioner does not
request a hearing under section 624.7172, an order served on a respondent under
this section must include a notice advising the respondent of the right to
request a hearing challenging the issuance of the emergency order, and must be
accompanied by a form that can be used by the respondent to request a hearing.
(g) Service of the
emergency order may be made by alternate service as provided under section
624.7172, subdivision 1, paragraph (e), provided that the petitioner files the
affidavit required under that subdivision.
If the petitioner does not request a hearing under section 624.7172, the
petition mailed to the respondent's residence, if known, must be accompanied by
the form for requesting a hearing described in paragraph (f).
Sec. 6. [624.7175]
TRANSFER OF FIREARMS.
(a) Except as provided in
paragraph (b), upon issuance of an extreme risk protection order, the court
shall direct the respondent to transfer any firearms the person possesses as
soon as reasonably practicable, but in no case later than 24 hours, to a federally
licensed firearms dealer or a law enforcement agency. If the respondent elects to transfer the
respondent's firearms to a law enforcement agency, the agency must accept the
transfer. The transfer may be permanent
or temporary. A temporary firearm
transfer only entitles the receiving party to possess the firearm and does not
transfer ownership or title. If the
respondent makes a temporary transfer, a federally licensed firearms dealer or
law enforcement agency may charge the respondent a reasonable fee to store the
firearms and may establish policies for disposal of abandoned firearms,
provided these policies require that the respondent be notified prior to
disposal of abandoned firearms. If a
respondent permanently transfers the respondent's firearms to a law enforcement
agency, the agency is not required to compensate the respondent and may charge
the respondent a reasonable processing fee.
(b) A person directed to
transfer any firearms pursuant to paragraph (a) may transfer any antique
firearm, as defined in United States Code, title 18, section 921, paragraph
(a), clause (16), as amended, or a curio or relic as defined in Code of Federal
Regulations, title 27, section 478.11, as amended, to a relative who does not
live with the respondent after confirming that the relative may lawfully own or
possess a firearm.
(c) The respondent must
file proof of transfer as provided in this paragraph.
(1) A law enforcement
agency or federally licensed firearms dealer accepting transfer of a firearm
pursuant to this section shall provide proof of transfer to the respondent. The proof of transfer must specify whether
the firearms were permanently or temporarily transferred and must include the
name of the respondent, date of transfer, and the serial number, manufacturer,
and model of all transferred firearms. If
transfer is made to a federally licensed firearms dealer, the respondent shall,
within two business days after being served with the order, file a copy of
proof of transfer with the law enforcement agency and attest that all firearms
owned or possessed at the time of the order have been transferred in accordance
with this section and that the person currently does not possess any firearms. If the respondent claims not to own or
possess firearms, the respondent shall file a declaration of nonpossession with
the law enforcement agency attesting that, at the time of the order, the
respondent neither owned nor possessed any firearms, and that the respondent
currently neither owns nor possesses any firearms. If the transfer is made to a relative
pursuant to paragraph (b), the relative must sign an affidavit under oath
before a notary public either acknowledging that the respondent permanently
transferred the respondent's antique firearms, curios, or relics to the
relative or agreeing to temporarily store the respondent's antique firearms,
curios, or relics until such time as the respondent is legally permitted to
possess firearms. To the extent
possible, the affidavit shall indicate the serial number, make, and model of
all antique firearms, curios, or relics transferred by the respondent to the
relative.
(2) The court shall seal
affidavits, proofs of transfer, and declarations of nonpossession filed
pursuant to this paragraph.
(d) If a court issues an
emergency order under section 624.7174, or makes a finding of immediate and
present danger under section 624.7172, subdivision 2, paragraph (f), and there
is probable cause to believe the respondent possesses firearms, the court shall
issue a search warrant to the local law enforcement agency to take possession
of all firearms in the respondent's possession as soon as practicable. The chief law enforcement officer or the
chief's designee shall notify the respondent of the option to voluntarily
comply with the order by surrendering the respondent's firearms to law
enforcement prior to execution of the search warrant. Only if the respondent refuses to voluntarily
comply with the order to surrender the respondent's firearms shall the officer
or officers tasked with serving the search warrant execute the warrant. The local law enforcement agency shall, upon
written notice from the respondent, transfer the firearms to a federally
licensed firearms dealer. Before a local
law enforcement agency transfers a firearm under this paragraph, the agency
shall require the federally licensed firearms dealer receiving the firearm to
submit a proof of transfer that complies with the requirements for proofs of
transfer established in paragraph (c). The
agency shall file all proofs of transfer received by the court within two
business days of the transfer. A
federally licensed firearms dealer who accepts a firearm transfer pursuant to
this paragraph shall comply with paragraphs (a) and (c) as if accepting
transfer directly from the respondent. If
the law enforcement agency does not receive written notice from the respondent
within three business days, the agency may charge a reasonable fee to store the
respondent's firearms. A law enforcement
agency may establish policies for disposal of abandoned firearms, provided
these policies require that the respondent be notified prior to disposal of
abandoned firearms.
Sec. 7. [624.7176]
RETURN OF FIREARMS.
Subdivision 1. Law
enforcement. A local law enforcement
agency that accepted temporary transfer of firearms under section 624.7175
shall return the firearms to the respondent after the expiration of the order,
provided the respondent is not otherwise prohibited from possessing firearms
under state or federal law.
Subd. 2. Firearms
dealer. A federally licensed
firearms dealer that accepted temporary transfer of firearms under section
624.7175 shall return the transferred firearms to the respondent upon request
after the expiration of the order, provided the respondent is not otherwise
prohibited from possessing firearms under state or federal law. A federally licensed firearms dealer
returning firearms shall comply with state and federal law as though
transferring a firearm from the dealer's own inventory.
Sec. 8. [624.7177]
OFFENSES.
Subdivision 1. False
information or harassment. A
person who petitions for an extreme risk protection order under section
624.7172 or 624.7174, knowing any information in the petition to be materially
false or with the intent to harass, abuse, or threaten, is guilty of a gross
misdemeanor.
Subd. 2. Violation
of order. A person who
possesses a firearm and knows or should have known that the person is
prohibited from doing so by an extreme risk protection order under section
624.7172 or 624.7174, or by an order of protection granted by a judge or
referee pursuant to a substantially similar law of another state, is guilty of
a misdemeanor and shall be prohibited from possessing firearms for a period of
five years. Each extreme risk protection
order granted under this chapter must contain a conspicuous notice to the
respondent regarding the penalty for violation of the order.
Sec. 9. [624.7178]
LIABILITY PROTECTION.
Subdivision 1. Liability
protection for petition. A
chief law enforcement officer, the chief law enforcement officer's designee, or
a city or county attorney who, in good faith, decides not to petition for an
extreme risk protection order or emergency extreme risk protection order shall
be immune from criminal or civil liability.
Subd. 2. Liability
protection for storage of firearms. A
law enforcement agency shall be immune from civil or criminal liability for any
damage or deterioration of firearms, ammunition, or weapons stored or
transported pursuant to section 624.7175.
This subdivision shall not apply if the damage or deterioration occurred
as a result of recklessness, gross negligence, or intentional misconduct by the
law enforcement agency.
Subd. 3. Liability
protection for harm following service of an order or execution of a search
warrant. A peace officer, law
enforcement agency, and the state or a political subdivision by which a peace
officer is employed has immunity from any liability, civil or criminal, for
harm caused by a person who is the subject of an extreme risk protection order,
a search warrant issued pursuant to section 624.7175, paragraph (d), or both,
after service of the order or execution of the warrant, whichever comes first,
if the peace officer acts in good faith in serving the order or executing the
warrant.
Subd. 4. Liability
protection for mental health professionals.
A mental health professional who provides notice to the sheriff
under section 624.7171, subdivision 5, is immune from monetary liability and no
cause of action, or disciplinary action by the person's licensing board, may
arise against the mental health professional for disclosure of confidences to
the sheriff, for failure to disclose confidences to the sheriff, or for
erroneous disclosure of confidences to the sheriff in a good faith effort to
warn against or take precautions against a client's violent behavior or threat
of suicide.
Sec. 10. [626.8481]
EXTREME RISK PROTECTION ORDER; DEVELOPMENT OF MODEL PROCEDURES.
By December 1, 2023, the
Peace Officer Standards and Training Board, after consulting with the National
Alliance on Mental Illness Minnesota, the Minnesota County Attorneys
Association, the Minnesota Sheriffs' Association, the Minnesota Chiefs of
Police Association, and the Minnesota Police and Peace Officers Association,
shall develop model procedures and standards for the storage of firearms
transferred to law enforcement under section 624.7175.
Sec. 11. FEDERAL
BYRNE STATE CRISIS INTERVENTION PROGRAM.
The Department of Public Safety
is designated the state agency with the exclusive authority to apply for
federal Byrne State Crisis Intervention Program grants.
Sec. 12. EFFECTIVE
DATE.
Sections 1 to 9 are
effective January 1, 2024, and apply to firearm permit background checks made
on or after that date.
ARTICLE 13
CONTROLLED SUBSTANCES POLICY
Section 1. Minnesota Statutes 2022, section 121A.28, is amended to read:
121A.28 LAW ENFORCEMENT RECORDS.
A law enforcement agency
shall provide notice of any drug incident occurring within the agency's
jurisdiction, in which the agency has probable cause to believe a student
violated section 152.021, 152.022, 152.023, 152.024, 152.025, 152.0262,
152.027, 152.092, 152.097, or 340A.503, subdivision 1, 2, or 3. The notice shall be in writing and shall be
provided, within two weeks after an incident occurs, to the chemical abuse
preassessment team in the school where the student is enrolled.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 2. Minnesota Statutes 2022, section 151.01, is amended by adding a subdivision to read:
Subd. 43. Syringe
services provider. "Syringe
services provider" means a community-based public health program that
offers cost-free comprehensive harm reduction services, which may include: providing sterile needles, syringes, and
other injection equipment; making safe disposal containers for needles and
syringes available; educating participants and others about overdose
prevention, safer injection practices, and infectious disease prevention;
providing blood-borne pathogen testing or referrals to blood-borne pathogen
testing; offering referrals to substance use disorder treatment, including
substance use disorder treatment with medications for opioid use disorder; and
providing referrals to medical treatment and services, mental health programs
and services, and other social services.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 3. Minnesota Statutes 2022, section 151.40, subdivision 1, is amended to read:
Subdivision 1. Generally. It is unlawful for any person to possess,
control, manufacture, or sell, furnish, dispense, or
otherwise dispose of hypodermic syringes or needles or any instrument or
implement which can be adapted for subcutaneous injections, except for:
(1) the following persons when acting in the course of their practice or employment:
(i) licensed practitioners and their employees, agents, or delegates;
(ii) licensed pharmacies and their employees or agents;
(iii) licensed pharmacists;
(iv) registered nurses and licensed practical nurses;
(v) registered medical technologists;
(vi) medical interns and residents;
(vii) licensed drug wholesalers and their employees or agents;
(viii) licensed hospitals;
(ix) bona fide hospitals in which animals are treated;
(x) licensed nursing homes;
(xi) licensed morticians;
(xii) syringe and needle manufacturers and their dealers and agents;
(xiii) persons engaged in animal husbandry;
(xiv) clinical laboratories and their employees;
(xv) persons engaged in bona
fide research or education or industrial use of hypodermic syringes and needles
provided such persons cannot use hypodermic syringes and needles for the
administration of drugs to human beings unless such drugs are prescribed,
dispensed, and administered by a person lawfully authorized to do so; and
(xvi) persons who
administer drugs pursuant to an order or direction of a licensed practitioner; and
(xvii) syringe services
providers and their employees and agents;
(2) a person who self-administers drugs pursuant to either the prescription or the direction of a practitioner, or a family member, caregiver, or other individual who is designated by such person to assist the person in obtaining and using needles and syringes for the administration of such drugs;
(3) a person who is
disposing of hypodermic syringes and needles through an activity or program
developed under section 325F.785; or
(4) a person who sells,
possesses, or handles hypodermic syringes and needles pursuant to
subdivision 2.; or
(5) a participant
receiving services from a syringe services provider, who accesses or receives
new syringes or needles from a syringe services provider or returns used
syringes or needles to a syringe services provider.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 4. Minnesota Statutes 2022, section 151.40, subdivision 2, is amended to read:
Subd. 2. Sales of
limited quantities of clean needles and syringes. (a) A registered pharmacy or a licensed
pharmacist may sell, without the prescription or direction of a practitioner,
unused hypodermic needles and syringes in quantities of ten or fewer, provided
the pharmacy or pharmacist complies with all of the requirements of this
subdivision.
(b) At any location where hypodermic needles and syringes are kept for retail sale under this subdivision, the needles and syringes shall be stored in a manner that makes them available only to authorized personnel and not openly available to customers.
(c) A registered pharmacy or licensed pharmacist that sells hypodermic needles or syringes under this subdivision may give the purchaser the materials developed by the commissioner of health under section 325F.785.
(d) A registered pharmacy or licensed pharmacist that sells hypodermic needles or syringes under this subdivision must certify to the commissioner of health participation in an activity, including but not limited to those developed under section 325F.785, that supports proper disposal of used hypodermic needles or syringes.
Sec. 5. Minnesota Statutes 2022, section 152.01, subdivision 12a, is amended to read:
Subd. 12a. Park
zone. "Park zone" means an
area designated as a public park by the federal government, the state, a local
unit of government, a park district board, or a park and recreation
board in a city of the first class, or a federally recognized Indian Tribe. "Park zone" includes the area
within 300 feet or one city block, whichever distance is greater, of the park
boundary.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 6. Minnesota Statutes 2022, section 152.01, subdivision 18, is amended to read:
Subd. 18. Drug
paraphernalia. (a) Except as
otherwise provided in paragraph (b), "drug paraphernalia" means all
equipment, products, and materials of any kind, except those items used in
conjunction with permitted uses of controlled substances under this chapter or
the Uniform Controlled Substances Act, which are knowingly or intentionally
used primarily in (1) manufacturing a controlled substance, (2) injecting,
ingesting, inhaling, or otherwise introducing into the human body a controlled
substance, or (3) testing the strength, effectiveness, or purity of a
controlled substance, or (4) enhancing the effect of a controlled
substance.
(b) "Drug
paraphernalia" does not include the possession, manufacture, delivery, or
sale of: (1) hypodermic needles or
syringes in accordance with section 151.40, subdivision 2 hypodermic
syringes or needles or any instrument or implement which can be adapted for
subcutaneous injections; or (2) products that detect the presence of
fentanyl or a fentanyl analog in a controlled substance.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 7. Minnesota Statutes 2022, section 152.01, is amended by adding a subdivision to read:
Subd. 25. Fentanyl. As used in sections 152.021 to
152.025, "fentanyl" includes fentanyl, carfentanil, and any fentanyl
analogs and fentanyl-related substances listed in section 152.02, subdivisions
2 and 3.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 8. Minnesota Statutes 2022, section 152.021, subdivision 1, is amended to read:
Subdivision 1. Sale crimes. A person is guilty of controlled substance crime in the first degree if:
(1) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of 17 grams or more containing cocaine or methamphetamine;
(2) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of ten grams or more containing cocaine or methamphetamine and:
(i) the person or an accomplice possesses on their person or within immediate reach, or uses, whether by brandishing, displaying, threatening with, or otherwise employing, a firearm; or
(ii) the offense involves two aggravating factors;
(3) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of ten grams or more, or 40 dosage units or more, containing heroin or fentanyl;
(4) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of 50 grams or more containing a narcotic drug other than cocaine, heroin, fentanyl, or methamphetamine;
(5) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of 50 grams or more containing amphetamine, phencyclidine, or hallucinogen or, if the controlled substance is packaged in dosage units, equaling 200 or more dosage units; or
(6) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of 25 kilograms or more containing marijuana or Tetrahydrocannabinols.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to crimes
committed on or after that date.
Sec. 9. Minnesota Statutes 2022, section 152.021, subdivision 2, is amended to read:
Subd. 2. Possession crimes. (a) A person is guilty of a controlled substance crime in the first degree if:
(1) the person unlawfully possesses one or more mixtures of a total weight of 50 grams or more containing cocaine or methamphetamine;
(2) the person unlawfully possesses one or more mixtures of a total weight of 25 grams or more containing cocaine or methamphetamine and:
(i) the person or an accomplice possesses on their person or within immediate reach, or uses, whether by brandishing, displaying, threatening with, or otherwise employing, a firearm; or
(ii) the offense involves two aggravating factors;
(3) the person unlawfully possesses one or more mixtures of a total weight of 25 grams or more, or 100 dosage units or more, containing heroin or fentanyl;
(4) the person unlawfully possesses one or more mixtures of a total weight of 500 grams or more containing a narcotic drug other than cocaine, heroin, fentanyl, or methamphetamine;
(5) the person unlawfully possesses one or more mixtures of a total weight of 500 grams or more containing amphetamine, phencyclidine, or hallucinogen or, if the controlled substance is packaged in dosage units, equaling 500 or more dosage units; or
(6) the person unlawfully possesses one or more mixtures of a total weight of 50 kilograms or more containing marijuana or Tetrahydrocannabinols, or possesses 500 or more marijuana plants.
(b) For the purposes of this subdivision, the weight of fluid used in a water pipe may not be considered in measuring the weight of a mixture except in cases where the mixture contains four or more fluid ounces of fluid.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to crimes
committed on or after that date.
Sec. 10. Minnesota Statutes 2022, section 152.022, subdivision 1, is amended to read:
Subdivision 1. Sale crimes. A person is guilty of controlled substance crime in the second degree if:
(1) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of ten grams or more containing a narcotic drug other than heroin or fentanyl;
(2) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of three grams or more containing cocaine or methamphetamine and:
(i) the person or an accomplice possesses on their person or within immediate reach, or uses, whether by brandishing, displaying, threatening with, or otherwise employing, a firearm; or
(ii) the offense involves three aggravating factors;
(3) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of three grams or more, or 12 dosage units or more, containing heroin or fentanyl;
(4) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of ten grams or more containing amphetamine, phencyclidine, or hallucinogen or, if the controlled substance is packaged in dosage units, equaling 50 or more dosage units;
(5) on one or more occasions within a 90-day period the person unlawfully sells one or more mixtures of a total weight of ten kilograms or more containing marijuana or Tetrahydrocannabinols;
(6) the person unlawfully sells any amount of a Schedule I or II narcotic drug to a person under the age of 18, or conspires with or employs a person under the age of 18 to unlawfully sell the substance; or
(7) the person unlawfully sells any of the following in a school zone, a park zone, a public housing zone, or a drug treatment facility:
(i) any amount of a Schedule I or II narcotic drug, lysergic acid diethylamide (LSD), 3,4-methylenedioxy amphetamine, or 3,4-methylenedioxymethamphetamine;
(ii) one or more mixtures containing methamphetamine or amphetamine; or
(iii) one or more mixtures of a total weight of five kilograms or more containing marijuana or Tetrahydrocannabinols.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to crimes
committed on or after that date.
Sec. 11. Minnesota Statutes 2022, section 152.022, subdivision 2, is amended to read:
Subd. 2. Possession crimes. (a) A person is guilty of controlled substance crime in the second degree if:
(1) the person unlawfully possesses one or more mixtures of a total weight of 25 grams or more containing cocaine or methamphetamine;
(2) the person unlawfully possesses one or more mixtures of a total weight of ten grams or more containing cocaine or methamphetamine and:
(i) the person or an accomplice possesses on their person or within immediate reach, or uses, whether by brandishing, displaying, threatening with, or otherwise employing, a firearm; or
(ii) the offense involves three aggravating factors;
(3) the person unlawfully possesses one or more mixtures of a total weight of six grams or more, or 50 dosage units or more, containing heroin or fentanyl;
(4) the person unlawfully possesses one or more mixtures of a total weight of 50 grams or more containing a narcotic drug other than cocaine, heroin, fentanyl, or methamphetamine;
(5) the person unlawfully possesses one or more mixtures of a total weight of 50 grams or more containing amphetamine, phencyclidine, or hallucinogen or, if the controlled substance is packaged in dosage units, equaling 100 or more dosage units; or
(6) the person unlawfully possesses one or more mixtures of a total weight of 25 kilograms or more containing marijuana or Tetrahydrocannabinols, or possesses 100 or more marijuana plants.
(b) For the purposes of this subdivision, the weight of fluid used in a water pipe may not be considered in measuring the weight of a mixture except in cases where the mixture contains four or more fluid ounces of fluid.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to crimes
committed on or after that date.
Sec. 12. Minnesota Statutes 2022, section 152.023, subdivision 2, is amended to read:
Subd. 2. Possession crimes. (a) A person is guilty of controlled substance crime in the third degree if:
(1) on one or more occasions within a 90-day period the person unlawfully possesses one or more mixtures of a total weight of ten grams or more containing a narcotic drug other than heroin or fentanyl;
(2) on one or more occasions within a 90-day period the person unlawfully possesses one or more mixtures of: (i) a total weight of three grams or more containing heroin; or (ii) a total weight of five grams or more, or 25 dosage units or more, containing fentanyl;
(3) on one or more occasions within a 90-day period the person unlawfully possesses one or more mixtures containing a narcotic drug other than heroin or fentanyl, it is packaged in dosage units, and equals 50 or more dosage units;
(4) on one or more occasions within a 90-day period the person unlawfully possesses any amount of a schedule I or II narcotic drug or five or more dosage units of lysergic acid diethylamide (LSD), 3,4-methylenedioxy amphetamine, or 3,4-methylenedioxymethamphetamine in a school zone, a park zone, a public housing zone, or a drug treatment facility;
(5) on one or more occasions within a 90-day period the person unlawfully possesses one or more mixtures of a total weight of ten kilograms or more containing marijuana or Tetrahydrocannabinols; or
(6) the person unlawfully possesses one or more mixtures containing methamphetamine or amphetamine in a school zone, a park zone, a public housing zone, or a drug treatment facility.
(b) For the purposes of this subdivision, the weight of fluid used in a water pipe may not be considered in measuring the weight of a mixture except in cases where the mixture contains four or more fluid ounces of fluid.
EFFECTIVE DATE. This
section is effective the day following final enactment and applies to crimes
committed on or after that date.
Sec. 13. Minnesota Statutes 2022, section 152.025, subdivision 2, is amended to read:
Subd. 2. Possession and other crimes. A person is guilty of controlled substance crime in the fifth degree and upon conviction may be sentenced as provided in subdivision 4 if:
(1) the person unlawfully possesses one or more mixtures containing a controlled substance classified in Schedule I, II, III, or IV, except a small amount of marijuana or a residual amount of one or more mixtures of controlled substances contained in drug paraphernalia; or
(2) the person procures, attempts to procure, possesses, or has control over a controlled substance by any of the following means:
(i) fraud, deceit, misrepresentation, or subterfuge;
(ii) using a false name or giving false credit; or
(iii) falsely assuming the title of, or falsely representing any person to be, a manufacturer, wholesaler, pharmacist, physician, doctor of osteopathic medicine licensed to practice medicine, dentist, podiatrist, veterinarian, or other authorized person for the purpose of obtaining a controlled substance.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 14. Minnesota Statutes 2022, section 152.093, is amended to read:
152.093 MANUFACTURE OR DELIVERY OF DRUG PARAPHERNALIA PROHIBITED.
It is unlawful for any
person knowingly or intentionally to deliver drug paraphernalia or knowingly
or to intentionally to possess or manufacture drug
paraphernalia for delivery. Any
violation of this section is a misdemeanor.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to crimes committed on or
after that date.
Sec. 15. Minnesota Statutes 2022, section 152.205, is amended to read:
152.205 LOCAL REGULATIONS.
Sections 152.01, subdivision
18, and 152.092 152.093 to 152.095 do not preempt enforcement or
preclude adoption of municipal or county ordinances prohibiting or otherwise
regulating the manufacture, delivery, possession, or advertisement of drug
paraphernalia.
EFFECTIVE DATE. This
section is effective August 1, 2023.
Sec. 16. [626.8443]
OPIATE ANTAGONISTS; TRAINING; CARRYING; USE.
Subdivision 1. Training. A chief law enforcement officer must
provide basic training to peace officers employed by the chief's agency on:
(1) identifying persons
who are suffering from narcotics overdoses; and
(2) the proper use of
opiate antagonists to treat a narcotics overdose.
Subd. 2. Mandatory
supply. A chief law
enforcement officer must maintain a sufficient supply of opiate antagonists to
ensure that officers employed by the chief's agency can satisfy the
requirements of subdivision 3.
Subd. 3. Mandatory
carrying. Each on-duty peace
officer who is assigned to respond to emergency calls must have at least two
unexpired opiate antagonist doses readily available when the officer's shift
begins. An officer who depletes their
supply of opiate antagonists during the officer's shift shall replace the
expended doses from the officer's agency's supply so long as replacing the
doses will not compromise public safety.
Subd. 4. Authorization
of use. (a) A chief law
enforcement officer must authorize peace officers employed by the chief's
agency to perform administration of an opiate antagonist when an officer
believes a person is suffering a narcotics overdose.
(b) In order to
administer opiate antagonists, a peace officer must comply with section 151.37,
subdivision 12, paragraph (b), clause (1).
Sec. 17. REPEALER.
Minnesota Statutes 2022,
section 152.092, is repealed.
EFFECTIVE DATE. This
section is effective August 1, 2023.
ARTICLE 14
CONTROLLED SUBSTANCES SCHEDULES
Section 1. Minnesota Statutes 2022, section 152.02, subdivision 2, is amended to read:
Subd. 2. Schedule I. (a) Schedule I consists of the substances listed in this subdivision.
(b) Opiates. Unless specifically excepted or unless listed in another schedule, any of the following substances, including their analogs, isomers, esters, ethers, salts, and salts of isomers, esters, and ethers, whenever the existence of the analogs, isomers, esters, ethers, and salts is possible:
(1) acetylmethadol;
(2) allylprodine;
(3) alphacetylmethadol (except levo-alphacetylmethadol, also known as levomethadyl acetate);
(4) alphameprodine;
(5) alphamethadol;
(6) alpha-methylfentanyl benzethidine;
(7) betacetylmethadol;
(8) betameprodine;
(9) betamethadol;
(10) betaprodine;
(11) clonitazene;
(12) dextromoramide;
(13) diampromide;
(14) diethyliambutene;
(15) difenoxin;
(16) dimenoxadol;
(17) dimepheptanol;
(18) dimethyliambutene;
(19) dioxaphetyl butyrate;
(20) dipipanone;
(21) ethylmethylthiambutene;
(22) etonitazene;
(23) etoxeridine;
(24) furethidine;
(25) hydroxypethidine;
(26) ketobemidone;
(27) levomoramide;
(28) levophenacylmorphan;
(29) 3-methylfentanyl;
(30) acetyl-alpha-methylfentanyl;
(31) alpha-methylthiofentanyl;
(32) benzylfentanyl beta-hydroxyfentanyl;
(33) beta-hydroxy-3-methylfentanyl;
(34) 3-methylthiofentanyl;
(35) thenylfentanyl;
(36) thiofentanyl;
(37) para-fluorofentanyl;
(38) morpheridine;
(39) 1-methyl-4-phenyl-4-propionoxypiperidine;
(40) noracymethadol;
(41) norlevorphanol;
(42) normethadone;
(43) norpipanone;
(44) 1-(2-phenylethyl)-4-phenyl-4-acetoxypiperidine (PEPAP);
(45) phenadoxone;
(46) phenampromide;
(47) phenomorphan;
(48) phenoperidine;
(49) piritramide;
(50) proheptazine;
(51) properidine;
(52) propiram;
(53) racemoramide;
(54) tilidine;
(55) trimeperidine;
(56) N-(1-Phenethylpiperidin-4-yl)-N-phenylacetamide (acetyl fentanyl);
(57) 3,4-dichloro-N-[(1R,2R)-2-(dimethylamino)cyclohexyl]-N-methylbenzamide(U47700);
(58) N-phenyl-N-[1-(2-phenylethyl)piperidin-4-yl]furan-2-carboxamide(furanylfentanyl);
(59) 4-(4-bromophenyl)-4-dimethylamino-1-phenethylcyclohexanol (bromadol);
(60) N-(1-phenethylpiperidin-4-yl)-N-phenylcyclopropanecarboxamide (Cyclopropryl fentanyl);
(61) N-(1-phenethylpiperidin-4-yl)-N-phenylbutanamide) (butyryl fentanyl);
(62) 1-cyclohexyl-4-(1,2-diphenylethyl)piperazine) (MT-45);
(63) N-(1-phenethylpiperidin-4-yl)-N-phenylcyclopentanecarboxamide (cyclopentyl fentanyl);
(64) N-(1-phenethylpiperidin-4-yl)-N-phenylisobutyramide (isobutyryl fentanyl);
(65) N-(1-phenethylpiperidin-4-yl)-N-phenylpentanamide (valeryl fentanyl);
(66) N-(4-chlorophenyl)-N-(1-phenethylpiperidin-4-yl)isobutyramide (para-chloroisobutyryl fentanyl);
(67) N-(4-fluorophenyl)-N-(1-phenethylpiperidin-4-yl)butyramide (para-fluorobutyryl fentanyl);
(68) N-(4-methoxyphenyl)-N-(1-phenethylpiperidin-4-yl)butyramide (para-methoxybutyryl fentanyl);
(69) N-(2-fluorophenyl)-2-methoxy-N-(1-phenethylpiperidin-4-yl)acetamide (ocfentanil);
(70) N-(4-fluorophenyl)-N-(1-phenethylpiperidin-4-yl)isobutyramide (4-fluoroisobutyryl fentanyl or para-fluoroisobutyryl fentanyl);
(71) N-(1-phenethylpiperidin-4-yl)-N-phenylacrylamide (acryl fentanyl or acryloylfentanyl);
(72) 2-methoxy-N-(1-phenethylpiperidin-4-yl)-N-phenylacetamide (methoxyacetyl fentanyl);
(73) N-(2-fluorophenyl)-N-(1-phenethylpiperidin-4-yl)propionamide (ortho-fluorofentanyl or 2-fluorofentanyl);
(74)
N-(1-phenethylpiperidin-4-yl)-N-phenyltetrahydrofuran-2-carboxamide
(tetrahydrofuranyl fentanyl); and
(75) Fentanyl-related substances, their isomers, esters, ethers, salts and salts of isomers, esters and ethers, meaning any substance not otherwise listed under another federal Administration Controlled Substance Code Number or not otherwise listed in this section, and for which no exemption or approval is in effect under section 505 of the Federal Food, Drug, and Cosmetic Act, United States Code, title 21, section 355, that is structurally related to fentanyl by one or more of the following modifications:
(i) replacement of the phenyl portion of the phenethyl group by any monocycle, whether or not further substituted in or on the monocycle;
(ii) substitution in or on the phenethyl group with alkyl, alkenyl, alkoxyl, hydroxyl, halo, haloalkyl, amino, or nitro groups;
(iii) substitution in or on the piperidine ring with alkyl, alkenyl, alkoxyl, ester, ether, hydroxyl, halo, haloalkyl, amino, or nitro groups;
(iv) replacement of the aniline ring with any aromatic monocycle whether or not further substituted in or on the aromatic monocycle; or
(v) replacement of the
N-propionyl group by another acyl group.;
(76)
1-(1-(1-(4-bromophenyl)ethyl)piperidin-4-yl)-1,3-
dihydro-2H-benzo[d]imidazol-2-one (brorphine);
(77) 4'-methyl acetyl
fentanyl;
(78)
beta-hydroxythiofentanyl;
(79) beta-methyl
fentanyl;
(80) beta'-phenyl
fentanyl;
(81) crotonyl fentanyl ((E)-N-(1-phenethylpiperidin-4-yl)-N-phenylbut-2-enamide);
(82) cyclopropyl
fentanyl (N-(1-phenethylpiperidin-4-yl)-N-phenylcyclopropanecarboxamide);
(83) fentanyl carbamate;
(84) isotonitazene
(N,N-diethyl-2-(2-(4
isopropoxybenzyl)-5-nitro-1H-benzimidazol-1-yl)ethan-1-amine);
(85) para-fluoro furanyl
fentanyl;
(86) para-methylfentanyl;
(87) phenyl fentanyl;
(88) ortho-fluoroacryl
fentanyl;
(89) ortho-fluorobutyryl
fentanyl;
(90)
ortho-fluoroisobutyryl fentanyl;
(91) ortho-methyl acetylfentanyl;
(92) thiofuranyl
fentanyl;
(93) metonitazene
(N,N-diethyl-2-(2-(4-methoxybenzyl)-5-nitro-1H-benzimidazol-1-yl)ethan-1-amine);
(94) metodesnitazene
(N,N-diethyl-2-(2-(4-methoxybenzyl)-1H-benzimidazol-1-yl)ethan-1-amine);
(95) etodesnitazene;
etazene (2-(2-(4-ethoxybenzyl)-1H-benzimidazol-1-yl)-N,N-diethylethan-1-amine);
(96) protonitazene
(N,N-diethyl-2-(5-nitro-2-(4-propoxybenzyl)-1H-benzimidazol-1-yl)ethan-1-amine);
(97) butonitazene
(2-(2-(4-butoxybenzyl)-5-nitro-1H-benzimidazol-1-yl)-N,N-diethylethan-1-amine);
(98) flunitazene
(N,N-diethyl-2-(2-(4-fluorobenzyl)-5-nitro-1H-benzimidazol-1-yl)ethan-1-amine);
and
(99) N-pyrrolidino
etonitazene; etonitazepyne
(2-(4-ethoxybenzyl)-5-nitro-1-(2-(pyrrolidin-1-yl)ethyl)-1H-benzimidazole).
(c) Opium derivatives. Any of the following substances, their analogs, salts, isomers, and salts of isomers, unless specifically excepted or unless listed in another schedule, whenever the existence of the analogs, salts, isomers, and salts of isomers is possible:
(1) acetorphine;
(2) acetyldihydrocodeine;
(3) benzylmorphine;
(4) codeine methylbromide;
(5) codeine-n-oxide;
(6) cyprenorphine;
(7) desomorphine;
(8) dihydromorphine;
(9) drotebanol;
(10) etorphine;
(11) heroin;
(12) hydromorphinol;
(13) methyldesorphine;
(14) methyldihydromorphine;
(15) morphine methylbromide;
(16) morphine methylsulfonate;
(17) morphine-n-oxide;
(18) myrophine;
(19) nicocodeine;
(20) nicomorphine;
(21) normorphine;
(22) pholcodine; and
(23) thebacon.
(d) Hallucinogens. Any material, compound, mixture or preparation which contains any quantity of the following substances, their analogs, salts, isomers (whether optical, positional, or geometric), and salts of isomers, unless specifically excepted or unless listed in another schedule, whenever the existence of the analogs, salts, isomers, and salts of isomers is possible:
(1) methylenedioxy amphetamine;
(2) methylenedioxymethamphetamine;
(3) methylenedioxy-N-ethylamphetamine (MDEA);
(4) n-hydroxy-methylenedioxyamphetamine;
(5) 4-bromo-2,5-dimethoxyamphetamine (DOB);
(6) 2,5-dimethoxyamphetamine (2,5-DMA);
(7) 4-methoxyamphetamine;
(8) 5-methoxy-3, 4-methylenedioxyamphetamine;
(9) alpha-ethyltryptamine;
(10) bufotenine;
(11) diethyltryptamine;
(12) dimethyltryptamine;
(13) 3,4,5-trimethoxyamphetamine;
(14) 4-methyl-2, 5-dimethoxyamphetamine (DOM);
(15) ibogaine;
(16) lysergic acid diethylamide (LSD);
(17) mescaline;
(18) parahexyl;
(19) N-ethyl-3-piperidyl benzilate;
(20) N-methyl-3-piperidyl benzilate;
(21) psilocybin;
(22) psilocyn;
(23) tenocyclidine (TPCP or TCP);
(24) N-ethyl-1-phenyl-cyclohexylamine (PCE);
(25) 1-(1-phenylcyclohexyl) pyrrolidine (PCPy);
(26) 1-[1-(2-thienyl)cyclohexyl]-pyrrolidine (TCPy);
(27) 4-chloro-2,5-dimethoxyamphetamine (DOC);
(28) 4-ethyl-2,5-dimethoxyamphetamine (DOET);
(29) 4-iodo-2,5-dimethoxyamphetamine (DOI);
(30) 4-bromo-2,5-dimethoxyphenethylamine (2C-B);
(31) 4-chloro-2,5-dimethoxyphenethylamine (2C-C);
(32) 4-methyl-2,5-dimethoxyphenethylamine (2C-D);
(33) 4-ethyl-2,5-dimethoxyphenethylamine (2C-E);
(34) 4-iodo-2,5-dimethoxyphenethylamine (2C-I);
(35) 4-propyl-2,5-dimethoxyphenethylamine (2C-P);
(36) 4-isopropylthio-2,5-dimethoxyphenethylamine (2C-T-4);
(37) 4-propylthio-2,5-dimethoxyphenethylamine (2C-T-7);
(38) 2-(8-bromo-2,3,6,7-tetrahydrofuro [2,3-f][1]benzofuran-4-yl)ethanamine (2-CB-FLY);
(39) bromo-benzodifuranyl-isopropylamine (Bromo-DragonFLY);
(40) alpha-methyltryptamine (AMT);
(41) N,N-diisopropyltryptamine (DiPT);
(42) 4-acetoxy-N,N-dimethyltryptamine (4-AcO-DMT);
(43) 4-acetoxy-N,N-diethyltryptamine (4-AcO-DET);
(44) 4-hydroxy-N-methyl-N-propyltryptamine (4-HO-MPT);
(45) 4-hydroxy-N,N-dipropyltryptamine (4-HO-DPT);
(46) 4-hydroxy-N,N-diallyltryptamine (4-HO-DALT);
(47) 4-hydroxy-N,N-diisopropyltryptamine (4-HO-DiPT);
(48) 5-methoxy-N,N-diisopropyltryptamine (5-MeO-DiPT);
(49) 5-methoxy-α-methyltryptamine (5-MeO-AMT);
(50) 5-methoxy-N,N-dimethyltryptamine (5-MeO-DMT);
(51) 5-methylthio-N,N-dimethyltryptamine (5-MeS-DMT);
(52) 5-methoxy-N-methyl-N-isopropyltryptamine (5-MeO-MiPT);
(53) 5-methoxy-α-ethyltryptamine (5-MeO-AET);
(54) 5-methoxy-N,N-dipropyltryptamine (5-MeO-DPT);
(55) 5-methoxy-N,N-diethyltryptamine (5-MeO-DET);
(56) 5-methoxy-N,N-diallyltryptamine (5-MeO-DALT);
(57) methoxetamine (MXE);
(58) 5-iodo-2-aminoindane (5-IAI);
(59) 5,6-methylenedioxy-2-aminoindane (MDAI);
(60) 2-(4-bromo-2,5-dimethoxyphenyl)-N-(2-methoxybenzyl)ethanamine (25B-NBOMe);
(61) 2-(4-chloro-2,5-dimethoxyphenyl)-N-(2-methoxybenzyl)ethanamine (25C-NBOMe);
(62) 2-(4-iodo-2,5-dimethoxyphenyl)-N-(2-methoxybenzyl)ethanamine (25I-NBOMe);
(63) 2-(2,5-Dimethoxyphenyl)ethanamine (2C-H);
(64) 2-(4-Ethylthio-2,5-dimethoxyphenyl)ethanamine (2C-T-2);
(65) N,N-Dipropyltryptamine (DPT);
(66) 3-[1-(Piperidin-1-yl)cyclohexyl]phenol (3-HO-PCP);
(67) N-ethyl-1-(3-methoxyphenyl)cyclohexanamine (3-MeO-PCE);
(68) 4-[1-(3-methoxyphenyl)cyclohexyl]morpholine (3-MeO-PCMo);
(69) 1-[1-(4-methoxyphenyl)cyclohexyl]-piperidine (methoxydine, 4-MeO-PCP);
(70) 2-(2-Chlorophenyl)-2-(ethylamino)cyclohexan-1-one (N-Ethylnorketamine, ethketamine, NENK);
(71) methylenedioxy-N,N-dimethylamphetamine (MDDMA);
(72) 3-(2-Ethyl(methyl)aminoethyl)-1H-indol-4-yl (4-AcO-MET); and
(73) 2-Phenyl-2-(methylamino)cyclohexanone (deschloroketamine).
(e) Peyote. All parts of the plant presently classified botanically as Lophophora williamsii Lemaire, whether growing or not, the seeds thereof, any extract from any part of the plant, and every compound, manufacture, salts, derivative, mixture, or preparation of the plant, its seeds or extracts. The listing of peyote as a controlled substance in Schedule I does not apply to the nondrug use of peyote in bona fide religious ceremonies of the American Indian Church, and members of the American Indian Church are exempt from registration. Any person who manufactures peyote for or distributes peyote to the American Indian Church, however, is required to obtain federal registration annually and to comply with all other requirements of law.
(f) Central nervous system depressants. Unless specifically excepted or unless listed in another schedule, any material compound, mixture, or preparation which contains any quantity of the following substances, their analogs, salts, isomers, and salts of isomers whenever the existence of the analogs, salts, isomers, and salts of isomers is possible:
(1) mecloqualone;
(2) methaqualone;
(3) gamma-hydroxybutyric acid (GHB), including its esters and ethers;
(4) flunitrazepam;
(5) 2-(2-Methoxyphenyl)-2-(methylamino)cyclohexanone (2-MeO-2-deschloroketamine, methoxyketamine);
(6) tianeptine;
(7) clonazolam;
(8) etizolam;
(9) flubromazolam; and
(10) flubromazepam.
(g) Stimulants. Unless specifically excepted or unless listed in another schedule, any material compound, mixture, or preparation which contains any quantity of the following substances, their analogs, salts, isomers, and salts of isomers whenever the existence of the analogs, salts, isomers, and salts of isomers is possible:
(1) aminorex;
(2) cathinone;
(3) fenethylline;
(4) methcathinone;
(5) methylaminorex;
(6) N,N-dimethylamphetamine;
(7) N-benzylpiperazine (BZP);
(8) methylmethcathinone (mephedrone);
(9) 3,4-methylenedioxy-N-methylcathinone (methylone);
(10) methoxymethcathinone (methedrone);
(11) methylenedioxypyrovalerone (MDPV);
(12) 3-fluoro-N-methylcathinone (3-FMC);
(13) methylethcathinone (MEC);
(14) 1-benzofuran-6-ylpropan-2-amine (6-APB);
(15) dimethylmethcathinone (DMMC);
(16) fluoroamphetamine;
(17) fluoromethamphetamine;
(18) α-methylaminobutyrophenone (MABP or buphedrone);
(19) 1-(1,3-benzodioxol-5-yl)-2-(methylamino)butan-1-one (butylone);
(20) 2-(methylamino)-1-(4-methylphenyl)butan-1-one (4-MEMABP or BZ-6378);
(21) 1-(naphthalen-2-yl)-2-(pyrrolidin-1-yl) pentan-1-one (naphthylpyrovalerone or naphyrone);
(22) (alpha-pyrrolidinopentiophenone (alpha-PVP);
(23) (RS)-1-(4-methylphenyl)-2-(1-pyrrolidinyl)-1-hexanone (4-Me-PHP or MPHP);
(24) 2-(1-pyrrolidinyl)-hexanophenone (Alpha-PHP);
(25) 4-methyl-N-ethylcathinone (4-MEC);
(26) 4-methyl-alpha-pyrrolidinopropiophenone (4-MePPP);
(27) 2-(methylamino)-1-phenylpentan-1-one (pentedrone);
(28) 1-(1,3-benzodioxol-5-yl)-2-(methylamino)pentan-1-one (pentylone);
(29) 4-fluoro-N-methylcathinone (4-FMC);
(30) 3,4-methylenedioxy-N-ethylcathinone (ethylone);
(31) alpha-pyrrolidinobutiophenone (α-PBP);
(32) 5-(2-Aminopropyl)-2,3-dihydrobenzofuran (5-APDB);
(33) 1-phenyl-2-(1-pyrrolidinyl)-1-heptanone (PV8);
(34) 6-(2-Aminopropyl)-2,3-dihydrobenzofuran (6-APDB);
(35) 4-methyl-alpha-ethylaminopentiophenone (4-MEAPP);
(36) 4'-chloro-alpha-pyrrolidinopropiophenone (4'-chloro-PPP);
(37) 1-(1,3-Benzodioxol-5-yl)-2-(dimethylamino)butan-1-one (dibutylone, bk-DMBDB);
(38) 1-(3-chlorophenyl) piperazine (meta-chlorophenylpiperazine or mCPP);
(39)
1-(1,3-benzodioxol-5-yl)-2-(ethylamino)-pentan-1-one (N-ethylpentylone,
ephylone); and
(40) any other substance, except bupropion or compounds listed under a different schedule, that is structurally derived from 2-aminopropan-1-one by substitution at the 1-position with either phenyl, naphthyl, or thiophene ring systems, whether or not the compound is further modified in any of the following ways:
(i) by substitution in the ring system to any extent with alkyl, alkylenedioxy, alkoxy, haloalkyl, hydroxyl, or halide substituents, whether or not further substituted in the ring system by one or more other univalent substituents;
(ii) by substitution at the 3-position with an acyclic alkyl substituent;
(iii) by substitution at the 2-amino nitrogen atom with alkyl, dialkyl, benzyl, or methoxybenzyl groups; or
(iv) by inclusion of the
2-amino nitrogen atom in a cyclic structure.;
(41)
4,4'-dimethylaminorex (4,4'-DMAR;
4,5-dihydro-4-methyl-5-(4-methylphenyl)-2-oxazolamine);
(42)
4-chloro-alpha-pyrrolidinovalerophenone (4-chloro-A-PVP);
(43)
para-methoxymethamphetamine (PMMA), 1-(4-methoxyphenyl)-N-methylpropan-2-amine;
and
(44) N-ethylhexedrone.
(h) Marijuana, tetrahydrocannabinols, and synthetic cannabinoids. Unless specifically excepted or unless listed in another schedule, any natural or synthetic material, compound, mixture, or preparation that contains any quantity of the following substances, their analogs, isomers, esters, ethers, salts, and salts of isomers, esters, and ethers, whenever the existence of the isomers, esters, ethers, or salts is possible:
(1) marijuana;
(2) tetrahydrocannabinols naturally contained in a plant of the genus Cannabis, except that tetrahydrocannabinols do not include any material, compound, mixture, or preparation that qualifies as industrial hemp as defined in section 18K.02, subdivision 3; synthetic equivalents of the substances contained in the cannabis plant or in the resinous extractives of the plant; or synthetic substances with similar chemical structure and pharmacological activity to those substances contained in the plant or resinous extract, including, but not limited to, 1 cis or trans tetrahydrocannabinol, 6 cis or trans tetrahydrocannabinol, and 3,4 cis or trans tetrahydrocannabinol;
(3) synthetic cannabinoids, including the following substances:
(i) Naphthoylindoles, which are any compounds containing a 3-(1-napthoyl)indole structure with substitution at the nitrogen atom of the indole ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group, whether or not further substituted in the indole ring to any extent and whether or not substituted in the naphthyl ring to any extent. Examples of naphthoylindoles include, but are not limited to:
(A) 1-Pentyl-3-(1-naphthoyl)indole (JWH-018 and AM-678);
(B) 1-Butyl-3-(1-naphthoyl)indole (JWH-073);
(C) 1-Pentyl-3-(4-methoxy-1-naphthoyl)indole (JWH-081);
(D) 1-[2-(4-morpholinyl)ethyl]-3-(1-naphthoyl)indole (JWH-200);
(E) 1-Propyl-2-methyl-3-(1-naphthoyl)indole (JWH-015);
(F) 1-Hexyl-3-(1-naphthoyl)indole (JWH-019);
(G) 1-Pentyl-3-(4-methyl-1-naphthoyl)indole (JWH-122);
(H) 1-Pentyl-3-(4-ethyl-1-naphthoyl)indole (JWH-210);
(I) 1-Pentyl-3-(4-chloro-1-naphthoyl)indole (JWH-398);
(J) 1-(5-fluoropentyl)-3-(1-naphthoyl)indole (AM-2201).
(ii) Napthylmethylindoles, which are any compounds containing a 1H-indol-3-yl-(1-naphthyl)methane structure with substitution at the nitrogen atom of the indole ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group, whether or not further substituted in the indole ring to any extent and whether or not substituted in the naphthyl ring to any extent. Examples of naphthylmethylindoles include, but are not limited to:
(A) 1-Pentyl-1H-indol-3-yl-(1-naphthyl)methane (JWH-175);
(B) 1-Pentyl-1H-indol-3-yl-(4-methyl-1-naphthyl)methane (JWH-184).
(iii) Naphthoylpyrroles, which are any compounds containing a 3-(1-naphthoyl)pyrrole structure with substitution at the nitrogen atom of the pyrrole ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group whether or not further substituted in the pyrrole ring to any extent, whether or not substituted in the naphthyl ring to any extent. Examples of naphthoylpyrroles include, but are not limited to, (5-(2-fluorophenyl)-1-pentylpyrrol-3-yl)-naphthalen-1-ylmethanone (JWH-307).
(iv) Naphthylmethylindenes, which are any compounds containing a naphthylideneindene structure with substitution at the 3-position of the indene ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group whether or not further substituted in the indene ring to any extent, whether or not substituted in the naphthyl ring to any extent. Examples of naphthylemethylindenes include, but are not limited to, E-1-[1-(1-naphthalenylmethylene)-1H-inden-3-yl]pentane (JWH-176).
(v) Phenylacetylindoles, which are any compounds containing a 3-phenylacetylindole structure with substitution at the nitrogen atom of the indole ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group whether or not further substituted in the indole ring to any extent, whether or not substituted in the phenyl ring to any extent. Examples of phenylacetylindoles include, but are not limited to:
(A) 1-(2-cyclohexylethyl)-3-(2-methoxyphenylacetyl)indole (RCS-8);
(B) 1-pentyl-3-(2-methoxyphenylacetyl)indole (JWH-250);
(C) 1-pentyl-3-(2-methylphenylacetyl)indole (JWH-251);
(D) 1-pentyl-3-(2-chlorophenylacetyl)indole (JWH-203).
(vi) Cyclohexylphenols, which are compounds containing a 2-(3-hydroxycyclohexyl)phenol structure with substitution at the 5-position of the phenolic ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group whether or not substituted in the cyclohexyl ring to any extent. Examples of cyclohexylphenols include, but are not limited to:
(A) 5-(1,1-dimethylheptyl)-2-[(1R,3S)-3-hydroxycyclohexyl]-phenol (CP 47,497);
(B) 5-(1,1-dimethyloctyl)-2-[(1R,3S)-3-hydroxycyclohexyl]-phenol (Cannabicyclohexanol or CP 47,497 C8 homologue);
(C) 5-(1,1-dimethylheptyl)-2-[(1R,2R)-5-hydroxy-2-(3-hydroxypropyl)cyclohexyl] -phenol (CP 55,940).
(vii) Benzoylindoles, which are any compounds containing a 3-(benzoyl)indole structure with substitution at the nitrogen atom of the indole ring by an alkyl, haloalkyl, alkenyl, cycloalkylmethyl, cycloalkylethyl, 1-(N-methyl-2-piperidinyl)methyl or 2-(4-morpholinyl)ethyl group whether or not further substituted in the indole ring to any extent and whether or not substituted in the phenyl ring to any extent. Examples of benzoylindoles include, but are not limited to:
(A) 1-Pentyl-3-(4-methoxybenzoyl)indole (RCS-4);
(B) 1-(5-fluoropentyl)-3-(2-iodobenzoyl)indole (AM-694);
(C) (4-methoxyphenyl-[2-methyl-1-(2-(4-morpholinyl)ethyl)indol-3-yl]methanone (WIN 48,098 or
Pravadoline).
(viii) Others specifically named:
(A) (6aR,10aR)-9-(hydroxymethyl)-6,6-dimethyl-3-(2-methyloctan-2-yl)‑6a,7,10,10a‑tetrahydrobenzo[c]chromen-1-ol
(HU-210);
(B) (6aS,10aS)-9-(hydroxymethyl)-6,6-dimethyl-3-(2-methyloctan-2-yl)
-6a,7,10,10a-tetrahydrobenzo[c]chromen-1-ol (Dexanabinol or HU-211);
(C) 2,3-dihydro-5-methyl-3-(4-morpholinylmethyl)pyrrolo[1,2,3-de]
-1,4-benzoxazin-6-yl-1-naphthalenylmethanone (WIN 55,212-2);
(D) (1-pentylindol-3-yl)-(2,2,3,3-tetramethylcyclopropyl)methanone (UR-144);
(E) (1-(5-fluoropentyl)-1H-indol-3-yl)(2,2,3,3-tetramethylcyclopropyl)methanone (XLR-11);
(F) 1-pentyl-N-tricyclo[3.3.1.13,7]dec-1-yl-1H-indazole-3-carboxamide (AKB-48(APINACA));
(G) N-((3s,5s,7s)-adamantan-1-yl)-1-(5-fluoropentyl)-1H-indazole-3-carboxamide (5-Fluoro-AKB-48);
(H) 1-pentyl-8-quinolinyl ester-1H-indole-3-carboxylic acid (PB-22);
(I) 8-quinolinyl ester-1-(5-fluoropentyl)-1H-indole-3-carboxylic acid (5-Fluoro PB-22);
(J) N-[(1S)-1-(aminocarbonyl)-2-methylpropyl]-1-pentyl-1H-indazole- 3-carboxamide (AB-PINACA);
(K) N-[(1S)-1-(aminocarbonyl)-2-methylpropyl]-1-[(4-fluorophenyl)methyl]- 1H-indazole-3-carboxamide (AB-FUBINACA);
(L) N-[(1S)-1-(aminocarbonyl)-2-methylpropyl]-1-(cyclohexylmethyl)-1H- indazole-3-carboxamide(AB-CHMINACA);
(M) (S)-methyl 2-(1-(5-fluoropentyl)-1H-indazole-3-carboxamido)-3- methylbutanoate (5-fluoro-AMB);
(N) [1-(5-fluoropentyl)-1H-indazol-3-yl](naphthalen-1-yl) methanone (THJ-2201);
(O) (1-(5-fluoropentyl)-1H-benzo[d]imidazol-2-yl)(naphthalen-1-yl)methanone) (FUBIMINA);
(P) (7-methoxy-1-(2-morpholinoethyl)-N-((1S,2S,4R)-1,3,3-trimethylbicyclo [2.2.1]heptan-2-yl)-1H-indole-3-carboxamide (MN-25 or UR-12);
(Q) (S)-N-(1-amino-3-methyl-1-oxobutan-2-yl)-1-(5-fluoropentyl)
-1H-indole-3-carboxamide (5-fluoro-ABICA);
(R) N-(1-amino-3-phenyl-1-oxopropan-2-yl)-1-(5-fluoropentyl) -1H-indole-3-carboxamide;
(S) N-(1-amino-3-phenyl-1-oxopropan-2-yl)-1-(5-fluoropentyl) -1H-indazole-3-carboxamide;
(T) methyl 2-(1-(cyclohexylmethyl)-1H-indole-3-carboxamido) -3,3-dimethylbutanoate;
(U) N-(1-amino-3,3-dimethyl-1-oxobutan-2-yl)-1(cyclohexylmethyl)-1 H-indazole-3-carboxamide (MAB-CHMINACA);
(V) N-(1-Amino-3,3-dimethyl-1-oxo-2-butanyl)-1-pentyl-1H-indazole-3-carboxamide (ADB-PINACA);
(W) methyl (1-(4-fluorobenzyl)-1H-indazole-3-carbonyl)-L-valinate (FUB-AMB);
(X) N-[(1S)-2-amino-2-oxo-1-(phenylmethyl)ethyl]-1-(cyclohexylmethyl)-1H-Indazole-3-carboxamide. (APP-CHMINACA);
(Y) quinolin-8-yl 1-(4-fluorobenzyl)-1H-indole-3-carboxylate (FUB-PB-22); and
(Z) methyl N-[1-(cyclohexylmethyl)-1H-indole-3-carbonyl]valinate (MMB-CHMICA).
(ix) Additional substances specifically named:
(A) 1-(5-fluoropentyl)-N-(2-phenylpropan-2-yl)-1
H-pyrrolo[2,3-B]pyridine-3-carboxamide (5F-CUMYL-P7AICA);
(B) 1-(4-cyanobutyl)-N-(2- phenylpropan-2-yl)-1 H-indazole-3-carboxamide (4-CN-Cumyl-Butinaca);
(C) naphthalen-1-yl-1-(5-fluoropentyl)-1-H-indole-3-carboxylate (NM2201; CBL2201);
(D) N-(1-amino-3-methyl-1-oxobutan-2-yl)-1-(5-fluoropentyl)-1 H-indazole-3-carboxamide (5F-ABPINACA);
(E) methyl-2-(1-(cyclohexylmethyl)-1H-indole-3-carboxamido)-3,3-dimethylbutanoate (MDMB CHMICA);
(F) methyl
2-(1-(5-fluoropentyl)-1H-indazole-3-carboxamido)-3,3-dimethylbutanoate (5F-ADB;
5F-MDMB-PINACA); and
(G) N-(1-amino-3,3-dimethyl-1-oxobutan-2-yl)-1-(4-fluorobenzyl)
1H-indazole-3-carboxamide (ADB-FUBINACA).;
(H)
1-(5-fluoropentyl)-N-(2-phenylpropan-2-yl)-1H-indazole-3-carboxamide;
(I)
(1-(4-fluorobenzyl)-1H-indol-3-yl)(2,2,3,3- tetramethylcyclopropyl)methanone;
(J) methyl
2-(1-(4-fluorobenzyl)-1Hindazole-3-carboxamido)-3,3-dimethylbutanoate;
(K) methyl 2-(1-(5-fluoropentyl)-1H-indole-3-carboxamido)-3,3-dimethylbutanoate;
(L) ethyl
2-(1-(5-fluoropentyl)-1H-indazole-3-carboxamido)-3,3-dimethylbutanoate;
(M) methyl
2-(1-(4-fluorobenzyl)-1Hindazole-3-carboxamido)-3- methylbutanoate;
(N)
N-(adamantan-1-yl)-1-(4-fluorobenzyl)-1H-indazole-3-carboxamide; and
(O)
N-(adamantan-1-yl)-1-(5-fluoropentyl)-1H-indazole-3-carboxamide.
(i) A controlled substance analog, to the extent that it is implicitly or explicitly intended for human consumption.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 2. Minnesota Statutes 2022, section 152.02, subdivision 3, is amended to read:
Subd. 3. Schedule II. (a) Schedule II consists of the substances listed in this subdivision.
(b) Unless specifically excepted or unless listed in another schedule, any of the following substances whether produced directly or indirectly by extraction from substances of vegetable origin or independently by means of chemical synthesis, or by a combination of extraction and chemical synthesis:
(1) Opium and opiate, and any salt, compound, derivative, or preparation of opium or opiate.
(i) Excluding:
(A) apomorphine;
(B) thebaine-derived butorphanol;
(C) dextrophan;
(D) nalbuphine;
(E) nalmefene;
(F) naloxegol;
(G) naloxone;
(H) naltrexone; and
(I) their respective salts;
(ii) but including the following:
(A) opium, in all forms and extracts;
(B) codeine;
(C) dihydroetorphine;
(D) ethylmorphine;
(E) etorphine hydrochloride;
(F) hydrocodone;
(G) hydromorphone;
(H) metopon;
(I) morphine;
(J) oxycodone;
(K) oxymorphone;
(L) thebaine;
(M) oripavine;
(2) any salt, compound, derivative, or preparation thereof which is chemically equivalent or identical with any of the substances referred to in clause (1), except that these substances shall not include the isoquinoline alkaloids of opium;
(3) opium poppy and poppy straw;
(4) coca leaves and any salt, cocaine compound, derivative, or preparation of coca leaves (including cocaine and ecgonine and their salts, isomers, derivatives, and salts of isomers and derivatives), and any salt, compound, derivative, or preparation thereof which is chemically equivalent or identical with any of these substances, except that the substances shall not include decocainized coca leaves or extraction of coca leaves, which extractions do not contain cocaine or ecgonine;
(5) concentrate of poppy straw (the crude extract of poppy straw in either liquid, solid, or powder form which contains the phenanthrene alkaloids of the opium poppy).
(c) Any of the following opiates, including their isomers, esters, ethers, salts, and salts of isomers, esters and ethers, unless specifically excepted, or unless listed in another schedule, whenever the existence of such isomers, esters, ethers and salts is possible within the specific chemical designation:
(1) alfentanil;
(2) alphaprodine;
(3) anileridine;
(4) bezitramide;
(5) bulk dextropropoxyphene (nondosage forms);
(6) carfentanil;
(7) dihydrocodeine;
(8) dihydromorphinone;
(9) diphenoxylate;
(10) fentanyl;
(11) isomethadone;
(12) levo-alpha-acetylmethadol (LAAM);
(13) levomethorphan;
(14) levorphanol;
(15) metazocine;
(16) methadone;
(17) methadone - intermediate, 4-cyano-2-dimethylamino-4, 4-diphenylbutane;
(18) moramide - intermediate, 2-methyl-3-morpholino-1, 1-diphenyl-propane-carboxylic acid;
(19) pethidine;
(20) pethidine - intermediate - a, 4-cyano-1-methyl-4-phenylpiperidine;
(21) pethidine - intermediate - b, ethyl-4-phenylpiperidine-4-carboxylate;
(22) pethidine - intermediate - c, 1-methyl-4-phenylpiperidine-4-carboxylic acid;
(23) phenazocine;
(24) piminodine;
(25) racemethorphan;
(26) racemorphan;
(27) remifentanil;
(28) sufentanil;
(29) tapentadol;
(30)
4-Anilino-N-phenethylpiperidine.;
(31) oliceridine;
(32) norfentanyl
(N-phenyl-N-(piperidin-4-yl) propionamide).
(d) Unless specifically excepted or unless listed in another schedule, any material, compound, mixture, or preparation which contains any quantity of the following substances having a stimulant effect on the central nervous system:
(1) amphetamine, its salts, optical isomers, and salts of its optical isomers;
(2) methamphetamine, its salts, isomers, and salts of its isomers;
(3) phenmetrazine and its salts;
(4) methylphenidate;
(5) lisdexamfetamine.
(e) Unless specifically excepted or unless listed in another schedule, any material, compound, mixture, or preparation which contains any quantity of the following substances having a depressant effect on the central nervous system, including its salts, isomers, and salts of isomers whenever the existence of such salts, isomers, and salts of isomers is possible within the specific chemical designation:
(1) amobarbital;
(2) glutethimide;
(3) secobarbital;
(4) pentobarbital;
(5) phencyclidine;
(6) phencyclidine immediate precursors:
(i) 1-phenylcyclohexylamine;
(ii) 1-piperidinocyclohexanecarbonitrile;
(7) phenylacetone.
(f) Cannabinoids:
(1) nabilone;
(2) dronabinol [(-)-delta-9-trans-tetrahydrocannabinol (delta-9-THC)] in an oral solution in a drug product approved for marketing by the United States Food and Drug Administration.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2022, section 152.02, subdivision 5, is amended to read:
Subd. 5. Schedule IV. (a) Schedule IV consists of the substances listed in this subdivision.
(b) Narcotic drugs. Unless specifically excepted or unless listed in another schedule, any material, compound, mixture, or preparation containing any of the following narcotic drugs, or their salts calculated as the free anhydrous base or alkaloid, in limited quantities as follows:
(1) not more than one milligram of difenoxin and not less than 25
micrograms of atropine sulfate per dosage unit;
(2) dextropropoxyphene (Darvon and Darvocet);
(3) 2-[(dimethylamino)methyl]-1-(3-methoxyphenyl)cyclohexanol, its salts, optical and geometric isomers, and salts of these isomers (including tramadol);
(4) eluxadoline;
(5) pentazocine; and
(6) butorphanol (including its optical isomers).
(c) Depressants. Unless specifically excepted or unless listed in another schedule, any material, compound, mixture, or preparation containing any quantity of the following substances, including its salts, isomers, and salts of isomers whenever the existence of the salts, isomers, and salts of isomers is possible:
(1) alfaxalone (5α-pregnan-3α-ol-11,20-dione);
(2) alprazolam;
(3) barbital;
(4) bromazepam;
(5) camazepam;
(6) carisoprodol;
(7) chloral betaine;
(8) chloral hydrate;
(9) chlordiazepoxide;
(10) clobazam;
(11) clonazepam;
(12) clorazepate;
(13) clotiazepam;
(14) cloxazolam;
(15) delorazepam;
(16) diazepam;
(17) dichloralphenazone;
(18) estazolam;
(19) ethchlorvynol;
(20) ethinamate;
(21) ethyl loflazepate;
(22) fludiazepam;
(23) flurazepam;
(24) fospropofol;
(25) halazepam;
(26) haloxazolam;
(27) ketazolam;
(28) loprazolam;
(29) lorazepam;
(30) lormetazepam mebutamate;
(31) medazepam;
(32) meprobamate;
(33) methohexital;
(34) methylphenobarbital;
(35) midazolam;
(36) nimetazepam;
(37) nitrazepam;
(38) nordiazepam;
(39) oxazepam;
(40) oxazolam;
(41) paraldehyde;
(42) petrichloral;
(43) phenobarbital;
(44) pinazepam;
(45) prazepam;
(46) quazepam;
(47) suvorexant;
(48) temazepam;
(49) tetrazepam;
(50) triazolam;
(51) zaleplon;
(52) zolpidem;
(53) zopiclone.;
(54) brexanolone
(3α-hydroxy-5α-pregnan-20-one);
(55) lemborexant;
(56) remimazolam
(4H-imidazol[1,2-a][1,4]benzodiazepine4-propionic acid).
(d) Any material, compound, mixture, or preparation which contains any quantity of the following substance including its salts, isomers, and salts of such isomers, whenever the existence of such salts, isomers, and salts of isomers is possible: fenfluramine.
(e) Stimulants. Unless specifically excepted or unless listed in another schedule, any material, compound, mixture, or preparation which contains any quantity of the following substances having a stimulant effect on the central nervous system, including its salts, isomers, and salts of isomers:
(1) cathine (norpseudoephedrine);
(2) diethylpropion;
(3) fencamfamine;
(4) fenproporex;
(5) mazindol;
(6) mefenorex;
(7) modafinil;
(8) pemoline (including organometallic complexes and chelates thereof);
(9) phentermine;
(10) pipradol;
(11) sibutramine;
(12) SPA
(1-dimethylamino-1,2-diphenylethane).;
(13) serdexmethylphenidate;
(14) solriamfetol
(2-amino-3-phenylpropyl car-bamate; benzenepropanol, beta-amino-, carbamate
(ester)).
(f) lorcaserin.
EFFECTIVE DATE. This
section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2022, section 152.02, subdivision 6, is amended to read:
Subd. 6. Schedule V; restrictions on methamphetamine precursor drugs. (a) As used in this subdivision, the following terms have the meanings given:
(1) "methamphetamine precursor drug" means any compound, mixture, or preparation intended for human consumption containing ephedrine or pseudoephedrine as its sole active ingredient or as one of its active ingredients; and
(2) "over-the-counter sale" means a retail sale of a drug or product but does not include the sale of a drug or product pursuant to the terms of a valid prescription.
(b) The following items are listed in Schedule V:
(1) any compound, mixture, or preparation containing any of the following limited quantities of narcotic drugs, which shall include one or more nonnarcotic active medicinal ingredients in sufficient proportion to confer upon the compound, mixture or preparation valuable medicinal qualities other than those possessed by the narcotic drug alone:
(i) not more than 100 milligrams of dihydrocodeine per 100 milliliters or per 100 grams;
(ii) not more than 100 milligrams of ethylmorphine per 100 milliliters or per 100 grams;
(iii) not more than 2.5 milligrams of diphenoxylate and not less than 25 micrograms of atropine sulfate per dosage unit;
(iv) not more than 100 milligrams of opium per 100 milliliters or per 100 grams; or
(v) not more than 0.5 milligrams of difenoxin and not less than 25
micrograms of atropine sulfate per dosage unit.
(2) Stimulants. Unless specifically exempted or excluded or unless listed in another schedule, any material, compound, mixture, or preparation that contains any quantity of the following substance having a stimulant effect on the central nervous system, including its salts, isomers, and salts of isomers: pyrovalerone.
(3) Depressants. Unless specifically exempted or excluded or unless listed in another schedule, any material, compound, mixture, or preparation that contains any quantity of the following substance having a depressant effect on the central nervous system, including its salts, isomers, and salts of isomers:
(i) ezogabine;
(ii) pregabalin;
(iii) lacosamide.;
(iv) cenobamate
[(1R)-1-(2-chlorophenyl)-2-(tetrazol-2-yl)ethyl]carbamate.
(4) Any compound, mixture, or preparation containing ephedrine or pseudoephedrine as its sole active ingredient or as one of its active ingredients.
(c) No person may sell in a single over-the-counter sale more than two packages of a methamphetamine precursor drug or a combination of methamphetamine precursor drugs or any combination of packages exceeding a total weight of six grams, calculated as the base.
(d) Over-the-counter sales of methamphetamine precursor drugs are limited to:
(1) packages containing not more than a total of three grams of one or more methamphetamine precursor drugs, calculated in terms of ephedrine base or pseudoephedrine base; or
(2) for nonliquid products, sales in blister packs, where each blister contains not more than two dosage units, or, if the use of blister packs is not technically feasible, sales in unit dose packets or pouches.
(e) A business establishment that offers for sale methamphetamine precursor drugs in an over-the-counter sale shall ensure that all packages of the drugs are displayed behind a checkout counter where the public is not permitted and are offered for sale only by a licensed pharmacist, a registered pharmacy technician, or a pharmacy clerk. The establishment shall ensure that the person making the sale requires the buyer:
(1) to provide photographic identification showing the buyer's date of birth; and
(2) to sign a written or electronic document detailing the date of the sale, the name of the buyer, and the amount of the drug sold.
A document described under clause (2) must be retained by the establishment for at least three years and must at all reasonable times be open to the inspection of any law enforcement agency.
Nothing in this paragraph requires the buyer to obtain a prescription for the drug's purchase.
(f) No person may acquire through over-the-counter sales more than six grams of methamphetamine precursor drugs, calculated as the base, within a 30-day period.
(g) No person may sell in an over-the-counter sale a methamphetamine precursor drug to a person under the age of 18 years. It is an affirmative defense to a charge under this paragraph if the defendant proves by a preponderance of the evidence that the defendant reasonably and in good faith relied on proof of age as described in section 340A.503, subdivision 6.
(h) A person who knowingly violates paragraph (c), (d), (e), (f), or (g) is guilty of a misdemeanor and may be sentenced to imprisonment for not more than 90 days, or to payment of a fine of not more than $1,000, or both.
(i) An owner, operator, supervisor, or manager of a business establishment that offers for sale methamphetamine precursor drugs whose employee or agent is convicted of or charged with violating paragraph (c), (d), (e), (f), or (g) is not subject to the criminal penalties for violating any of those paragraphs if the person:
(1) did not have prior knowledge of, participate in, or direct the employee or agent to commit the violation; and
(2) documents that an employee training program was in place to provide the employee or agent with information on the state and federal laws and regulations regarding methamphetamine precursor drugs.
(j) Any person employed by a business establishment that offers for sale methamphetamine precursor drugs who sells such a drug to any person in a suspicious transaction shall report the transaction to the owner, supervisor, or manager of the establishment. The owner, supervisor, or manager may report the transaction to local law enforcement. A person who reports information under this subdivision in good faith is immune from civil liability relating to the report.
(k) Paragraphs (b) to (j) do not apply to:
(1) pediatric products labeled pursuant to federal regulation primarily intended for administration to children under 12 years of age according to label instructions;
(2) methamphetamine precursor drugs that are certified by the Board of Pharmacy as being manufactured in a manner that prevents the drug from being used to manufacture methamphetamine;
(3) methamphetamine precursor drugs in gel capsule or liquid form; or
(4) compounds, mixtures, or preparations in powder form where pseudoephedrine constitutes less than one percent of its total weight and is not its sole active ingredient.
(l) The Board of Pharmacy, in consultation with the Department of Public Safety, shall certify methamphetamine precursor drugs that meet the requirements of paragraph (k), clause (2), and publish an annual listing of these drugs.
(m) Wholesale drug
distributors licensed and regulated by the Board of Pharmacy pursuant to
sections 151.42 to 151.51 151.43 to 151.471 and registered with
and regulated by the United States Drug Enforcement Administration are exempt
from the methamphetamine precursor drug storage requirements of this section.
(n) This section preempts all local ordinances or regulations governing the sale by a business establishment of over-the-counter products containing ephedrine or pseudoephedrine. All ordinances enacted prior to the effective date of this act are void.
EFFECTIVE DATE. This
section is effective the day following final enactment.
ARTICLE 15
911 EMERGENCY COMMUNICATION SYSTEM
Section 1. Minnesota Statutes 2022, section 403.02, subdivision 7, is amended to read:
Subd. 7. Automatic
location identification. "Automatic
location identification" means the process of electronically identifying
and displaying the name of the subscriber and the location, where
available, of the calling telephone number the name of the
subscriber, the communications device's current location, and the callback
number to a person public safety telecommunicator answering a
911 emergency call.
Sec. 2. Minnesota Statutes 2022, section 403.02, subdivision 9a, is amended to read:
Subd. 9a. Callback
number. "Callback number"
means a telephone number or functionally equivalent Internet address
or device identification number used by the public safety answering point
to recontact contact the location device from which
the 911 call was placed.
Sec. 3. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 10a. Cost
recovery. "Cost
recovery" means costs incurred by commissioner-approved originating
service providers specifically for the purpose of providing access to the 911
network for their subscribers or maintenance of 911 customer databases. These costs may be reimbursed to the
requesting originating service provider.
Recoverable costs include only those costs that the requesting provider
would avoid if the provider were not providing access to the 911 network or
maintenance of 911 customer databases.
Sec. 4. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 10b. Cybersecurity. "Cybersecurity" means the
prevention of damage to, unauthorized use of, exploitation of, and if needed,
the restoration of, electronic information and communications systems and
services and the information contained therein to ensure confidentiality,
integrity, and availability.
Sec. 5. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 10c. Emergency
communications network service provider (ECNSP). "Emergency communications network
service provider" or "ECNSP" means a service provider,
determined by the commissioner to be capable of providing effective and
efficient components of the 911 network or its management that provides or
manages all or portions of the statewide 911 emergency communications network. The ECNSP is the entity or entities that the
state contracts with to provide facilities and services associated with operating
and maintaining the Minnesota statewide 911 network.
Sec. 6. Minnesota Statutes 2022, section 403.02, subdivision 11b, is amended to read:
Subd. 11b. Emergency
response location. "Emergency
response location" means a location to which a 911 emergency
response team services may be dispatched. The location must be specific enough to
provide a reasonable opportunity for the emergency response team to locate
a caller to be located anywhere within it.
Sec. 7. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 11c. Emergency
services. "Emergency
services" includes but is not limited to firefighting, police, ambulance,
medical, or other mobile services dispatched, monitored, or controlled by a
public safety answering point.
Sec. 8. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 11d. Emergency
Services Internet (ESInet). "Emergency
Services Internet" or "ESInet" means an Internet protocol-based
and multipurpose network supporting local, regional, and national public safety
communications services in addition to 911 services. The ESInet is comprised of three network
components, including ingress network, next generation core services, and
egress network.
Sec. 9. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 12a. End
user equipment. "End
user equipment" means any device held or operated by an employee of a
public safety agency, except for public safety telecommunicators, for the
purpose of receiving voice or data communications outside of a public safety
answering point. This includes but is
not limited to mobile radios, portable radios, pagers, mobile computers,
tablets, and cellular telephones.
Sec. 10. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 13a. Geographical
Information System (GIS). "Geographical
Information System" or "GIS" means a system for capturing,
storing, displaying, analyzing, and managing data and associated attributes
that are spatially referenced.
Sec. 11. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 14a. Internet
protocol (IP). "Internet
protocol" or "IP" means the method by which data are sent from
one computer to another on the Internet or other networks.
Sec. 12. Minnesota Statutes 2022, section 403.02, subdivision 16a, is amended to read:
Subd. 16a. Multiline
telephone system (MLTS). "Multiline
telephone system" or "MLTS" means a private telephone
system comprised of common control units, telephones, and telephone
sets, control hardware and, software that share a common
interface to the public switched telephone network, and adjunct systems
used to support the capabilities outlined in this chapter. This includes network and premises-based
systems such as Centrex, VoIP, PBX, Hybrid, and Key Telephone Systems, as
classified by the Federal Communications Commission requirements under Code of
Federal Regulations, title 47, part 68, and systems owned or leased by
governmental agencies and, nonprofit entities, as well as and
for-profit businesses.
Sec. 13. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16c. Next
generation core services (NGCS). "Next
generation core services" or "NGCS" means the base set of
services needed to process a 911 call on an ESInet. These services include but are not limited to
the Emergency Services Routing Proxy, Emergency Call Routing Function, Location
Validation Function, Border Control Function, Bridge, Policy Store, Logging
Services, and typical IP services such as DNS and DHCP. Next generation core services includes only
the services and not the network on which they operate.
Sec. 14. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16d. Next
generation 911 (NG911). "Next
generation 911" or "NG911" means an Internet protocol‑based
system comprised of managed Emergency Services IP networks, functional elements
and applications, and databases that replicate the traditional E911 features
and functions and that also provides additional capabilities based on industry
standards. NG911 is designed to provide
access to emergency services from all connected communications services and
provide multimedia data capabilities for public safety answering points and
other emergency services organizations.
Sec. 15. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16e. 911
call. "911 call"
means any form of communication requesting any type of emergency services by
contacting a public safety answering point, including voice or nonvoice
communications, as well as transmission of any analog or digital data. 911 call includes a voice call, video call,
text message, or data-only call.
Sec. 16. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16f. 911
network. "911
network" means:
(1) a legacy
telecommunications network that supports basic and enhanced 911 service; or
(2) the ESInet that is
used for 911 calls that can be shared by all public safety answering points and
that provides the IP transport infrastructure upon which independent public
safety application platforms and core functional processes can be deployed,
including but not limited to those necessary for providing next generation 911
service capability.
A network may be constructed from a mix of
dedicated and shared facilities and may be interconnected at local, regional,
state, national, and international levels.
Sec. 17. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16g. 911
system. "911
system" means a coordinated system of technologies, networks, hardware,
and software applications that a public safety answering point must procure and
maintain in order to connect to the state 911 network and provide 911 services.
Sec. 18. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 16h. Originating
service provider (OSP). "Originating
service provider" or "OSP" means an entity that provides the
capability for customers to originate 911 calls to public safety answering
points, including wire-line communications service providers, Voice over
Internet Protocol service providers, and wireless communications service
providers.
Sec. 19. Minnesota Statutes 2022, section 403.02, subdivision 17, is amended to read:
Subd. 17. 911
service. "911 service"
means a telecommunications service that automatically connects a person
dialing the digits 911 to an established public safety answering point. 911 service includes: the emergency
response service a public safety answering point provides as a result of
processing 911 calls through its 911 system.
(1) customer data and
network components connecting to the common 911 network and database;
(2) common 911 network
and database equipment, as appropriate, for automatically selectively routing
911 calls to the public safety answering point serving the caller's
jurisdiction; and
(3) provision of
automatic location identification if the public safety answering point has the
capability of providing that service.
Sec. 20. Minnesota Statutes 2022, section 403.02, subdivision 17c, is amended to read:
Subd. 17c. 911
Public safety telecommunicator. "911
Public safety telecommunicator" means a person employed by a public
safety answering point, an emergency medical dispatch service provider, or
both, who is qualified to answer incoming emergency telephone calls, text
messages, and computer notifications or provide for the appropriate
emergency response either directly or through communication with the
appropriate public safety answering point.
Sec. 21. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 17e. Point
of interconnection (POI). "Point
of interconnection" or "POI" means the location or locations
within the 911 network where OSPs deliver 911 calls on behalf of their users or
subscribers for delivery to the appropriate public service answering point.
Sec. 22. Minnesota Statutes 2022, section 403.02, subdivision 18, is amended to read:
Subd. 18. Public
safety agency. "Public safety
agency" means a functional division of a public agency which provides
firefighting, police, medical, or other emergency services, or a private entity
which provides emergency medical or ambulance services an agency that
provides emergency services to the public.
Sec. 23. Minnesota Statutes 2022, section 403.02, subdivision 19, is amended to read:
Subd. 19. Public
safety answering point (PSAP). "Public
safety answering point" or "PSAP" means a governmental
agency operating a 24-hour communications facility operated on a 24-hour
basis which that first receives 911 and other emergency calls
from persons in a 911 service area and which may, as appropriate, central
station notifications, text
messages, and computer notifications and directly dispatch public safety
dispatches emergency response services or extend, transfer, or relay
911 calls relays communications to appropriate public safety
agencies according to a specific operational policy.
Sec. 24. Minnesota Statutes 2022, section 403.02, subdivision 19a, is amended to read:
Subd. 19a. Secondary
public safety answering point. "Secondary
public safety answering point" means a communications facility that: (1) is operated on a 24-hour basis, in which
a minimum of three public safety answering points (PSAPs) route calls for
postdispatch or prearrival instructions; (2) receives calls directly from
medical facilities to reduce call volume at the PSAPs; and (3) is able to
receive 911 calls routed to it from a PSAP when the PSAP is unable to receive
or answer 911 calls receives calls transferred from a public safety
answering point and is connected to the 911 network.
Sec. 25. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 19c. Public
Utilities Commission (PUC). "Public
Utilities Commission" or "PUC" means the Minnesota state
commission defined in section 216A.03.
Sec. 26. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 19d. Regional
board. "Regional
board" means one of the seven emergency services and emergency
communications boards in this state.
Sec. 27. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 19e. Service
user. "Service
user" means any person who initiates a 911 call to receive emergency
services.
Sec. 28. Minnesota Statutes 2022, section 403.02, is amended by adding a subdivision to read:
Subd. 19f. Voice
over Internet Protocol (VoIP) service provider. "Voice over Internet Protocol
service provider" or "VoIP service provider" means an entity
that provides distinct packetized voice information in a digital format using
the Internet protocol directly or through a third party, marketed or sold as
either a telephone service or an information service interconnected with the
PSTN, including both facilities-based service providers and resellers of such
services.
Sec. 29. Minnesota Statutes 2022, section 403.02, subdivision 20, is amended to read:
Subd. 20. Wire-line
telecommunications communications service provider. "Wire-line telecommunications
communications service provider" means a person, firm, association,
corporation, or other legal entity, however organized, or combination of them,
authorized by state or federal regulatory agencies to furnish telecommunications
communications service, including local service, over wire-line
facilities.
Sec. 30. Minnesota Statutes 2022, section 403.02, subdivision 20a, is amended to read:
Subd. 20a. Wireless
telecommunications communications service. "Wireless telecommunications communications
service" means a commercial mobile radio service, as that term is defined
in Code of Federal Regulations, title 47, section 20.3, including all broadband
personal communication services, wireless radio telephone services, and
geographic area specialized mobile radio licensees, that offer real-time,
two-way voice service interconnected with the public switched telephone
network.
Sec. 31. Minnesota Statutes 2022, section 403.02, subdivision 21, is amended to read:
Subd. 21. Wireless
telecommunications communications service provider. "Wireless telecommunications communications
service provider" means a provider of wireless telecommunications communications
service.
Sec. 32. Minnesota Statutes 2022, section 403.025, is amended to read:
403.025 911 EMERGENCY TELECOMMUNICATIONS COMMUNICATIONS
SYSTEM AND SERVICES REQUIRED.
Subdivision 1. General
requirement. Each county
shall operate and maintain a 911 emergency telecommunications system.
Subd. 1a. Emergency
telephone number 911. The digits
911, so designated by the Federal Communications Commission, must be the
primary emergency telephone number within the system 911 network. A public safety agency may maintain a
separate secondary backup number for emergency calls and shall must
maintain a separate number for nonemergency telephone calls.
Subd. 1b. State
requirements. The
commissioner must establish, maintain, and make available to all counties a
statewide interoperable ESInet backbone 911 network that ensures interoperability
between all public safety answering points connected to the network and meets
the requirements of counties operating 911 systems that have an approved update
to their 911 plans.
Subd. 1c. Contractual
requirements. (a) The
commissioner must contract with one or more ECNSPs to deliver the 911 network.
(b) The contract
language or subsequent amendments to the contracts between the parties must
contain provisions on how the 911 call routing and location validation data
provided by the counties will be utilized by the ECNSPs, including how data
coordination and quality assurance with the counties will be conducted.
(c) The contract
language or subsequent amendments to contracts between the parties must contain
provisions for resolving disputes.
(d) All data required
under this chapter or Minnesota Rules, chapter 7580, to route 911 calls,
provide caller location, or validate possible 911 caller location information
that is utilized or intended to be utilized by the 911 system must be provided
by the counties and the state without cost and may be utilized by ECNSPs and
OSPs for purposes of performing location data quality assurance, ensuring 911
system performance and statutory compliance.
Use of the data is governed by section 403.07 and Minnesota Rules,
chapter 7580.
Subd. 1d. Intergovernmental
agreements. Intergovernmental
agreements may be implemented between the commissioner and counties or regional
boards to support 911 system plan changes, communicate the network design, and
specify cybersecurity standards. The
commissioner must develop the master agreement in collaboration with the
governmental entity.
Subd. 1e. County
requirements. (a) Each county
must operate and maintain a 911 system and provide 911 services.
(b) Each county is
responsible for creating and maintaining a master street address guide and
Geographical Information Systems data necessary to support accurate 911 call
routing and location validation required to support the 911 network.
Subd. 1f. 911
plans. Each participating
county, federal, Tribal, or other organization must maintain and update a 911
plan that accurately documents current operations and 911 system configurations
within the public safety answering point in accordance with Minnesota Rules, chapter
7580. The commissioner must review 911
system plans for compliance with 911 network and cybersecurity standards
required under Minnesota Rules, chapter 7580.
Subd. 1g. Secondary
public safety answering point requirements.
Secondary public safety answering points may be required to
engage in agreements with the commissioner regarding network design standards,
cybersecurity standards, and 911 fee audits.
Subd. 2. Multijurisdictional
system. The 911 network, 911
services, and 911 systems may be multijurisdictional and regional in
character provided that design and implementation are preceded by cooperative
planning on a county-by-county basis with local public safety agencies. An intergovernmental agreement must be in
place between the participating government entities in a multijurisdictional or
regional system, and the commissioner must be notified of the 911 plan change
in accordance with Minnesota Rules, chapter 7580.
Subd. 3. Connected
telecommunications originating service provider requirements. Every owner and operator of a
wire-line or wireless circuit switched or packet-based telecommunications
system connected to the public switched telephone network shall design and
maintain the system to dial the 911 number without charge to the caller. Every OSP must allow Minnesota customers
to access 911 without charge and deliver the request for emergency assistance
to the 911 network at a state-designated POI and provide caller location
information unless there are circumstances beyond the control of the provider
to define a valid caller address, geographic location, and primary place of
address.
Subd. 3a. Originating
service provider contractual requirements.
(a) The state may contract with the appropriate wire-line
telecommunications service providers or other entities determined by the
commissioner to be eligible for cost recovery for providing access to the 911
network for their subscribers.
(b) The contract
language or subsequent amendments to the contract must include a description of
the costs that are being reimbursed. The
contract language or subsequent amendments must include the terms of
compensation based on the effective tariff or price list filed with the Public
Utilities Commission or the prices agreed to by the parties.
(c) The contract
language or subsequent amendments to contracts between the parties must contain
a provision for resolving disputes.
Subd. 4. Wireless
requirements. Every owner and operator of a wireless
telecommunications system shall design and maintain the system to dial the 911
number without charge to the caller.
Subd. 5. Pay
phone requirements. Every pay phone
owner and operator shall must permit dialing of the 911 number
without coin and without charge to the caller.
Subd. 6. Multistation
or PBX system. Every owner and
operator of a multistation or private branch exchange (PBX) multiline telephone
system shall must design and maintain the system to dial the 911
number without charge to the caller.
Subd. 7. Contractual
requirements. (a) The state shall contract with the
county or other governmental agencies operating public safety answering points
and with the appropriate wire-line telecommunications service providers or
other entities determined by the commissioner to be capable of providing
effective and efficient components of the 911 system for the operation,
maintenance, enhancement, and expansion of the 911 system.
(b) The contract language or
subsequent amendments to the contract must include a description of the
services to be furnished to the county or other governmental agencies operating
public safety answering points. The
contract language or subsequent amendments must include the terms of
compensation based on the effective tariff or price list filed with the Public
Utilities Commission or the prices agreed to by the parties.
(c) The contract
language or subsequent amendments to contracts between the parties must contain
a provision for resolving disputes.
Sec. 33. Minnesota Statutes 2022, section 403.03, subdivision 2, is amended to read:
Subd. 2. Telephone
cardiopulmonary resuscitation program. (a)
On or before July 1, 2021, Every public safety answering point must
maintain a telephone cardiopulmonary resuscitation program by either:
(1) providing each 911 telecommunicator with training in cardiopulmonary resuscitation; or
(2) transferring callers to another public safety answering point with 911 telecommunicators that have received training in cardiopulmonary resuscitation.
(b) Training in cardiopulmonary resuscitation must, at a minimum, include:
(1) use of an evidence-based protocol or script for providing cardiopulmonary resuscitation instruction that has been recommended by an academic institution or a nationally recognized organization specializing in medical dispatch and, if the public safety answering point has a medical director, approved by that medical director; and
(2) appropriate continuing education, as determined by the evidence-based protocol for providing cardiopulmonary resuscitation instruction and, if the public safety answering point has a medical director, approved by that medical director.
(c) A public safety answering point that transfers callers to another public safety answering point must, at a minimum:
(1) use an evidence-based protocol for the identification of a person in need of cardiopulmonary resuscitation;
(2) provide each 911 telecommunicator with appropriate training and continuing education to identify a person in need of cardiopulmonary resuscitation through the use of an evidence-based protocol; and
(3) ensure that any public safety answering point to which calls are transferred uses 911 telecommunicators who meet the training requirements under paragraph (b).
(d) Each public safety answering point shall conduct ongoing quality assurance of its telephone cardiopulmonary resuscitation program.
Sec. 34. Minnesota Statutes 2022, section 403.05, is amended to read:
403.05 911 SYSTEM NETWORK OPERATION AND MAINTENANCE.
Subdivision 1. Operate
and maintain. Each county or any
other governmental agency shall The commissioner must operate and
maintain its a statewide 911 system to meet network
meeting the requirements of governmental agencies whose services are
available through the 911 system and to permit future expansion or enhancement
of the system. set forth by the commissioner through rules established
under chapter 14, including but not limited to
network and data performance
measures, diversity, redundancy, interoperability, and cybersecurity. Each county, federal, Tribal, or other
organization connected to the statewide 911 network must operate and maintain a
911 system that meets the requirements of governmental agencies whose services
are available through the 911 network.
Subd. 1a. GIS
validation and aggregation. The
commissioner must provide geospatial data validation and aggregation tools that
counties need in order to share the GIS data required for the 911 network.
Subd. 2. Rule
requirements for 911 system plans. Each county or any other governmental
agency shall maintain and update its 911 system plans as required under
Minnesota Rules, chapter 7580.
Subd. 2a. Responsibilities
of PSAPs. (a) Each PSAP
connecting to the statewide 911 network must comply with state and, where
applicable, regional 911 plans. Federal,
Tribal, or other governmental organizations operating their own 911 systems
must be approved by the commissioner.
(b) Any PSAP not
connected to the state 911 network that desires to interact with a 911 system
or has an agreement for shared 911 services must be interoperable with the
state 911 network.
Subd. 3. Agreements
for service. Each county or any
other governmental agency shall contract with the state for the recurring and
nonrecurring costs associated with operating and maintaining 911 emergency
communications systems. If requested by
the county or other governmental agency, the county or agency is entitled to be
a party to any contract between the state and any wire-line telecommunications
service provider or 911 emergency telecommunications service provider providing
components of the 911 system within the county. The state must contract for facilities and
services associated with the operation and maintenance of the statewide 911 network
and ESInet. The contract and any
subsequent amendments must include a description of the services to be provided
and the terms of compensation based on the prices agreed to by the parties.
Sec. 35. Minnesota Statutes 2022, section 403.06, is amended to read:
403.06 COMMISSIONER'S DUTIES.
Subdivision 1. System
coordination, improvements, variations, and agreements. The commissioner shall may
coordinate with counties on the management and maintenance of their
911 systems. If requested, the
commissioner shall must aid counties in the formulation of concepts,
methods, their public safety answering point plans, system design plans,
performance and operational requirements, and procedures which will improve
the operation and maintenance of their 911 systems. The commissioner shall establish procedures
for determining and evaluating requests for variations from the established
design standards. The commissioner shall
respond to requests by wireless or wire-line telecommunications service
providers or by counties or other governmental agencies for system agreements,
contracts, and tariff language promptly and no later than within 45 days of the
request unless otherwise mutually agreed to by the parties.
Subd. 1a. Biennial
budget; annual financial report. The
commissioner shall must prepare a biennial budget for
maintaining the 911 system. by December 15 of each year,. The commissioner shall must
submit a report to the legislature detailing the expenditures for maintaining
the 911 system network, the 911 fees collected, the balance of
the 911 fund, the 911-related administrative expenses of the
commissioner, and the most recent forecast of revenues and expenditures for the
911 emergency telecommunications service account, including a separate
projection of E911 911 fees from prepaid wireless customers and
projections of year-end fund balances. The
commissioner is authorized to expend money that has been appropriated to pay
for the maintenance, enhancements, and expansion of the 911 system network.
Subd. 1b. Connection
plan required; commissioner review and enforcement. (a) The commissioner must respond to
network and database change requests by OSPs promptly and no later than 45 days
after the request unless otherwise mutually agreed to by the parties. All network and location database variances
requested by OSPs connecting to the ESInet must comply with Minnesota Rules.
(b) All OSPs must submit and
maintain a plan for connection to the 911 network POIs in accordance with the
requirements set forth in Minnesota Rules.
The commissioner must review all connection plans to ensure compliance
with all 911 network and database design and performance requirements.
Subd. 2. Waiver. Any county, other governmental agency,
wireless telecommunications service provider, or wire-line telecommunications
service provider federal, Tribal, or other organization connected to the
statewide 911 network or OSP may petition the commissioner for a waiver of
all or portions of the requirements. A
waiver may be granted upon a demonstration by the petitioner that the
requirement is economically infeasible.
Sec. 36. Minnesota Statutes 2022, section 403.07, is amended to read:
403.07 NETWORK STANDARDS ESTABLISHED; DATA PRIVACY.
Subdivision 1. Rules. The commissioner shall must
establish and adopt in accordance with chapter 14, rules for the administration
of this chapter and for the development of 911 systems network in
the state including:
(1) design and
performance standards for the 911 systems incorporating the
standards adopted pursuant to subdivision 2 for the seven-county metropolitan
area network, including but not limited to network, routing, and
database standards for counties, OSPs, and ECNSPs; and
(2) a procedure for
determining and evaluating requests for variations from the established design
standards design and performance standards for the ten-county
metropolitan area, incorporating the standards adopted pursuant to subdivision
2.
Subd. 2. Design
standards for metropolitan area. The
Metropolitan Emergency Services Board shall must establish and
adopt design and performance standards for the metropolitan area 911
system and transmit them to the commissioner for incorporation into the rules
adopted pursuant to this section. 911 network for the ten-county
metropolitan area, including but not limited to network design, routing, and
database standards for counties, OSPs, and ECNSPs operating in the ten-county
metropolitan area and provide them to the commissioner in accordance with
chapter 14 for incorporation into the rules adopted pursuant to this section. The standards must be interoperable with the
statewide 911 network and data standards.
Subd. 3. Database
Location data. In 911
systems that have been approved by the commissioner for a local location
identification database, each wire-line telecommunications service provider
shall provide current customer names, service addresses, and telephone numbers
to each public safety answering point within the 911 system and shall update
the information according to a schedule prescribed by the county 911 plan. Information provided under this subdivision
must be provided in accordance with the transactional record disclosure
requirements of the federal Communications Act of 1934, United States Code,
title 47, section 222, subsection (g).
All OSPs must provide to the 911 network, at the time of each 911
call, the location of the device making the 911 call, unless there are
circumstances beyond the control of the provider that prevents the OSP from
sharing the location data. Any OSP
supplying the location of 911 calls in civic address form must prevalidate the
address to location data supplied by the county accessible through the NGCS.
Subd. 3a. Access
to data for accuracy. (a)
OSPs must, upon request of the state, a region, the ECNSP, or a PSAP, provide a
description or copy of subscriber address location information or GIS data used
by the OSP that is necessary to verify location and routing accuracy of 911
calls. Any ECNSP routing 911 calls must,
upon request of the state, provide a copy of routing files used in determining
PSAP selection for the purpose of verifying routing accuracy.
(b) OSPs must, upon
request of the state, a region, the ECNSP, or a PSAP, provide a copy of
subscriber address location information for uses specific to 911 systems. This request may carry a cost to the
requester.
Subd. 3b. Database
standards in metropolitan area. The
Metropolitan Emergency Services Board must establish and adopt 911 database
standards for OSPs operating in the ten-county metropolitan area 911 system and
provide them to the commissioner for incorporation in accordance with chapter
14 into the rules adopted pursuant to this section.
Subd. 4. Use of furnished information. (a) Names, addresses, and telephone numbers provided to a 911 system under subdivision 3 are private data and may be used only:
(1) to identify the
location or identity, or both, of a person calling a 911 public safety
answering point PSAP; or
(2) by a public safety
answering point PSAP to notify the public of an emergency.
(b) The information
furnished under subdivision 3 this chapter and the rules adopted
pursuant to subdivision 1 may not be used or disclosed by 911 system
agencies, their agents, or their employees for any other purpose except under a
court order.
(b) (c) For
purposes of this subdivision, "emergency" means a situation in which
property or human life is in jeopardy and the prompt notification of the public
by the public safety answering point is essential.
Subd. 5. Liability. (a) A wire-line telecommunications
service provider An OSP, its employees, or its agents are not liable
to any person who uses enhanced 911 telecommunications service NG911
services for release of subscriber information required under this chapter
to any public safety answering point PSAP.
(b) A wire-line
telecommunications service provider An OSP is not liable to any
person for the good-faith release to emergency communications personnel of
information not in the public record, including, but not limited to,
nonpublished or nonlisted telephone numbers, except for willful or wanton
misconduct.
(c) A wire-line
telecommunications service provider, its employees, or its agents are not
liable to any person for civil damages resulting from or caused by any act or
omission in the development, design, installation, operation, maintenance,
performance, or provision of enhanced 911 telecommunications service, except
for willful or wanton misconduct.
(d) A multiline telephone
system manufacturer, provider, or operator is not liable for any civil damages
or penalties as a result of any act or omission, except willful or wanton
misconduct, in connection with developing, designing, installing, maintaining,
performing, provisioning, adopting, operating, or implementing any plan or
system required by section 403.15.
(e) A telecommunications
service provider (c) An OSP that participates in or cooperates with
the public safety answering point in notifying the public of an emergency, as
authorized under subdivision 4, is immune from liability arising out of the
notification except for willful or wanton misconduct.
Sec. 37. Minnesota Statutes 2022, section 403.08, is amended to read:
403.08 WIRELESS TELECOMMUNICATIONS ORIGINATING SERVICE PROVIDER
PROVIDERS.
Subd. 7. Duties. Each wireless telecommunications
service provider shall cooperate in planning and implementing integration with
enhanced 911 systems operating in their service territories to meet Federal
Communications Commission-enhanced 911 standards. Each wireless telecommunications service
provider shall annually develop and provide to the commissioner good-faith
estimates of installation and recurring expenses to integrate wireless 911
service into the enhanced 911 networks to meet Federal Communications
Commission phase one wireless enhanced 911 standards. The commissioner shall coordinate with
counties and affected public safety
agency representatives in
developing a statewide design and plan for implementation. Each originating service provider (OSP)
must cooperate in planning and implementing integration with the statewide 911
network to meet Federal Communications Commission and Public Utilities
Commission 911 requirements, as applicable.
Subd. 9. Scope. Planning considerations must include cost,
degree of integration into existing 911 systems, the retention of existing 911
infrastructure, and the potential implications of phase 2 of the Federal
Communications Commission wireless enhanced 911 standards a plan to
interconnect to the 911 network POIs, the retention and reuse of existing 911
infrastructure, and the implications of the Federal Communications Commission's
wireless location accuracy requirements.
Subd. 10. Plan
integration. Counties shall
incorporate the statewide design when modifying county 911 plans to provide for
integrating wireless 911 service into existing county 911 systems. An OSP must annually submit plans to the
commissioner detailing how they will connect, or confirming how they already
connect, to the statewide 911 network.
Subd. 11. Liability. (a) No wireless enhanced 911 emergency
telecommunications service provider OSP, its employees, or its
agents are liable to any person for civil damages resulting from or caused by
any act or omission in the development, design, installation, operation,
maintenance, performance, or provision of enhanced 911 wireless service,
except for willful or wanton misconduct.
(b) No wireless carrier,
its employees, or its agents are liable to any person who uses enhanced 911
wireless service for release of subscriber information required under this
chapter to any public safety answering point.
(b) A multiline
telephone system manufacturer, provider, or operator is not liable for any
civil damages or penalties as a result of any act or omission, except willful
or wanton misconduct, in connection with developing, designing, installing,
maintaining, performing, provisioning, adopting, operating, or implementing any
plan or system required by section 403.15.
Subd. 12. Notification
of subscriber. A provider of
wireless telecommunications services shall notify its subscribers at the time
of initial subscription and four times per year thereafter that a 911 emergency
call made from a wireless telephone is not always answered by a local public
safety answering point but may be routed to a State Patrol dispatcher and that,
accordingly, the caller must provide specific information regarding the
caller's location.
Sec. 38. Minnesota Statutes 2022, section 403.09, subdivision 2, is amended to read:
Subd. 2. Commission
authority. At the request of the
public utilities commission, the attorney general may commence proceedings
before the district court pursuant to section 237.27, against any wire-line
telecommunications originating service provider that falls under
the commission's authority and refuses to comply with this chapter.
Sec. 39. Minnesota Statutes 2022, section 403.10, subdivision 2, is amended to read:
Subd. 2. Notice
to public safety government agency. Public safety Government
agencies with jurisdictional responsibilities shall must in all
cases be notified by the public safety answering point of a request for service
in their jurisdiction.
Sec. 40. Minnesota Statutes 2022, section 403.10, subdivision 3, is amended to read:
Subd. 3. Allocating costs. Counties, public agencies, operating public safety answering points, and other local governmental units may enter into cooperative agreements under section 471.59 for the allocation of operational and capital costs attributable to the 911 system and 911 services.
Sec. 41. Minnesota Statutes 2022, section 403.11, is amended to read:
403.11 911 SYSTEM COST ACCOUNTING REQUIREMENTS; FEE.
Subdivision 1. Emergency
telecommunications service fee; account.
(a) Each customer of a wireless or wire‑line switched or
packet-based telecommunications an originating 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
provide access to the 911 network and maintenance of the 911 customer database,
or when the only option, to cover the costs of ongoing maintenance and
related improvements for trunking and central office switching equipment and
maintenance of 911 customer databases 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 and defined reserves are met must not cancel and is carried forward
to subsequent years and may be appropriated from time to time to the
commissioner to provide financial assistance to counties eligible
entities for the improvement of local emergency telecommunications
services 911 systems in compliance with use as designated in section
403.113, subdivision 3.
(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 must establish the amount of the fee within
the limits 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 must 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 originating
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. The
money in the account may only be used for costs outlined in section 403.113.
(e) Competitive local exchanges carriers holding certificates of authority from the Public Utilities Commission are eligible to receive payment for recurring 911 services.
Subd. 1a. Fee
collection declaration. If the
commissioner disputes the accuracy of a fee submission or if no fees are
submitted by a wireless, wire-line, or packet-based telecommunications
service provider, the wireless, wire‑line, or packet-based
telecommunications an originating service provider shall,
the OSP must submit a sworn declaration signed by an officer of the company
certifying, under penalty of perjury, that the information provided with the
fee submission is true and correct. The
sworn declaration must specifically describe and affirm that the 911 fee
computation is complete and accurate. When
a wireless, wire-line, or packet-based telecommunications service provider
an OSP fails to provide a sworn declaration within 90 days of notice by
the commissioner that the fee submission is disputed, the commissioner may
estimate the amount due from the wireless, wire-line, or packet-based telecommunications
service provider OSP and refer that amount for collection under
section 16D.04.
Subd. 1b. Examination
of fees. If the commissioner
determines that an examination is necessary to document the fee submission and
sworn declaration in subdivision 1a, the wireless, wire-line, or
packet-based telecommunications service provider OSP must contract
with an independent certified public accountant to conduct an examination of
fees. The examination must be conducted
in accordance with attestation audit standards.
Subd. 3. Method
of payment. (a) Any wireless or
wire-line telecommunications service provider incurring reimbursable costs
under subdivision 1 shall submit an invoice itemizing rate elements by
county or service area to the commissioner for 911 services furnished under
contract. Any wireless or wire-line
telecommunications service provider is eligible to receive payment for 911
services rendered according to the terms and conditions specified in the
contract. The commissioner shall pay the
invoice within 30 days following receipt of the invoice unless the commissioner
notifies the service provider that the commissioner disputes the invoice must
be paid in accordance with the amount and terms of their valid cost recovery
contract as described in section 403.025, subdivision 3a.
(b) The commissioner shall
must estimate the amount required to reimburse 911 emergency
telecommunications service providers and wireless and wire-line
telecommunications service providers the OSP for the state's
obligations under subdivision 1 and the governor shall must
include the estimated amount in the biennial budget request.
Subd. 3a. Timely
invoices. An invoice for services provided for in
the contract with a wireless or wire-line telecommunications service provider
must be submitted to the commissioner no later than 90 days after commencing a
new or additional eligible 911 service. Each
applicable contract must provide that, if certified expenses under the contract
deviate from estimates in the contract by more than ten percent, the
commissioner may reduce the level of service without incurring any termination
fees.
Subd. 3b. Declaration.
If
the commissioner disputes an invoice, the wireless and wire-line
telecommunications service providers shall submit a declaration under section
16A.41 signed by an officer of the company with the invoices for payment of
service described in the service provider's 911 contract. The sworn declaration must specifically
describe and affirm that the 911 service contracted for is being provided and
the costs invoiced for the service are true and correct. When a wireless or wire-line
telecommunications service provider fails to provide a sworn declaration within
90 days of notice by the commissioner that the invoice is disputed, the
disputed amount of the invoice must be disallowed.
Subd. 3c. Audit. If the commissioner determines that an
audit is necessary to document the invoice and sworn declaration in
subdivision 3b costs eligible for recovery as detailed in subdivision 1,
the wireless or wire-line telecommunications service provider OSP
must contract with an independent certified public accountant to conduct the
audit. The audit must be conducted
according to generally accepted accounting principles. The wireless or wire-line
telecommunications service provider OSP is responsible for any costs
associated with the audit.
Subd. 3d. Eligible
telecommunications carrier; requirement.
No wireless communications provider OSP may provide
telecommunications services under a designation of eligible telecommunications
carrier, as provided under Minnesota Rules, part 7811.1400, until and unless
the commissioner of public safety certifies to the chair of the public
utilities commission that the wireless telecommunications provider is not in
arrears in amounts owed to the 911 emergency telecommunications service account
in the special revenue fund.
Subd. 4. Local
recurring costs. Recurring costs of
not covered as part of the state 911 network contracts for
telecommunications equipment and services at public safety answering points
must be borne by the local governmental agency operating the public safety
answering point or allocated pursuant to section 403.10, subdivision 3. Costs attributable to local government
electives for services not otherwise addressed under section 403.11 or 403.113
must be borne by the governmental agency requesting the elective service.
Subd. 5. Tariff
notification. Wire-line
telecommunications service providers or wireless telecommunications service
providers holding eligible telecommunications carrier status shall must
give notice to the commissioner and any other affected governmental agency of
tariff or price list changes related to 911 service at the same time that the
filing is made with the public utilities commission.
Subd. 6. OSP
report. (a) Beginning Each
September 1, 2013, and continuing semiannually thereafter and March 1,
each wireless telecommunications service provider shall OSP must
report to the commissioner, based on the mobile subscriber's
telephone number, both. Wireless
communication providers must include the total number of prepaid wireless
telecommunications subscribers sourced to Minnesota and the total number of
wireless telecommunications subscribers sourced to Minnesota. The report must be filed on the same schedule
as Federal Communications Commission Form 477.
(b) The commissioner shall
must make a standard form available to all wireless telecommunications
service providers for submitting information required to compile the report
required under this subdivision.
(c) The information provided to the commissioner under this subdivision is considered trade secret information under section 13.37 and may only be used for purposes of administering this chapter.
Sec. 42. Minnesota Statutes 2022, section 403.113, is amended to read:
403.113 ENHANCED 911 SERVICE COSTS; FEE.
Subdivision 1. Fee. A portion of the fee collected under
section 403.11 must be used to fund implementation, operation, maintenance,
enhancement, and expansion of enhanced the 911 service network,
including acquisition of necessary equipment and the costs of the commissioner
to administer the program in accordance with Federal Communications
Commission rules.
Subd. 2. Distribution
of money. (a) After payment of the
costs of the commissioner to administer the program, the commissioner shall
must distribute the money collected under this section as follows:
(1) one-half of the amount equally to all qualified counties, and after October 1, 1997, to all qualified counties, existing ten public safety answering points operated by the Minnesota State Patrol, and each governmental entity operating the individual public safety answering points serving the Metropolitan Airports Commission, the Red Lake Indian Reservation, and the University of Minnesota Police Department; and
(2) the remaining one-half to qualified counties and cities with existing 911 systems based on each county's or city's percentage of the total population of qualified counties and cities. The population of a qualified city with an existing system must be deducted from its county's population when calculating the county's share under this clause if the city seeks direct distribution of its share.
(b) A county's share under
subdivision 1 must be shared pro rata between the county and existing city
systems in the county. A county or city
or other governmental entity as described in paragraph (a), clause (1), shall
must deposit money received under this subdivision in an
interest-bearing fund or account separate from the governmental entity's
general fund and may use money in the fund or account only for the purposes
specified in subdivision 3.
(c) A county or city or
other governmental entity as described in paragraph (a), clause (1), is not
qualified to share in the distribution of money for enhanced 911 service
if it has not implemented enhanced 911 service before December 31, 1998.
(d) For the purposes of this subdivision, "existing city system" means a city 911 system that provides at least basic 911 service and that was implemented on or before April 1, 1993.
Subd. 3. Local
expenditures. (a) Money distributed
under subdivision 2 for enhanced 911 service systems or
services may be spent on enhanced 911 system costs for the purposes
stated in subdivision 1. In addition,
money may be spent to lease, purchase, lease-purchase, or maintain enhanced 911
equipment, including telephone equipment; recording equipment; computer
hardware; computer software for database provisioning, addressing, mapping, and
any other software necessary for automatic location identification or local
location identification; trunk lines; selective routing equipment; the master
street address guide; dispatcher public safety answering point equipment
proficiency and operational skills; pay for long-distance charges incurred due
to transferring 911 calls to other jurisdictions; and the equipment necessary
within the public safety answering point for community alert systems and to
notify and communicate with the emergency services requested by the 911 caller.
as well as expenses deemed allowable in accordance with Code of Federal
Regulations, title 47, section 9.2.
(b) Money distributed for enhanced
911 service systems or services may not be spent on:
(1) purchasing or leasing
of real estate or cosmetic additions to or remodeling of communications
centers public safety answering points;
(2) mobile
communications vehicles, fire engines, ambulances, law enforcement
vehicles, or other emergency vehicles;
(3) signs, posts, or other
markers related to addressing or any costs associated with the installation or
maintenance of signs, posts, or markers.;
(4) any purposes
prohibited by the Federal Communications Commission;
(5) the transfer of 911
fees into a state or other jurisdiction's general fund or other fund for
non-911 purposes;
(6) public safety
telecommunicator salaries unless associated with training functions; and
(7) the leasing or
purchase of end user equipment.
Subd. 4. Audits. (a) Each county and city or other
governmental entity federal, Tribal, or other organization connected to
the statewide 911 network as described in subdivision 2, paragraph (a),
clause (1), shall or secondary public safety answering point must
conduct an annual audit a compliance report in accordance with
Minnesota Rules, chapter 7580, and Code of Federal Regulations, title 47,
section 9.25, on the use of funds distributed to it for enhanced 911
service systems or services to ensure the distribution is spent
according to subdivision 3. A copy
of each audit compliance report must be submitted to the
commissioner.
(b) The commissioner may
request a state audit of a county, federal, Tribal, or other organization
connected to the statewide 911 network which receives 911 funds from the state
to operate its 911 system or service to ensure compliance with subdivision 3.
(c) Failure to submit a
compliance report may result in a disruption of 911 fee distribution until the
compliance report is submitted.
Sec. 43. Minnesota Statutes 2022, section 403.15, subdivision 1, is amended to read:
Subdivision 1. Multistation
or PBX system. Except as otherwise
provided in this section, every owner and operator of a new multistation or
private branch exchange (PBX) multiline telephone system purchased or
upgraded after December 31, 2004, shall must design and
maintain the system to provide a callback number or ten-digit caller ID
and emergency response location.
Sec. 44. Minnesota Statutes 2022, section 403.15, subdivision 2, is amended to read:
Subd. 2. Multiline telephone system user dialing instructions. (a) Each multiline telephone system (MLTS) operator must demonstrate or otherwise inform each new telephone system user how to call for emergency assistance from that particular multiline telephone system.
(b) MLTS platforms that
are manufactured, imported, offered for first sale or lease, first sold or
leased, or installed after February 16, 2020, must enable users to directly
initiate a call to 911 from any station equipped with dialing facilities without
dialing any additional digit, code, prefix, or postfix, including any
trunk-access code such as the digit nine, regardless of whether the user is
required to dial such a digit, code, prefix, or postfix for other calls.
(c) MLTSs that are
manufactured, imported, offered for first sale or lease, first sold or leased,
or installed after February 16, 2020, must be configured so that upon an
occurrence of a 911 call it will provide a notification that a 911 call has
been made to a central location at the facility where the system is installed
or to another person or organization, regardless of location, if the system is
able to be configured to provide the notification without an improvement to the
hardware or software of the system.
Sec. 45. Minnesota Statutes 2022, section 403.15, subdivision 3, is amended to read:
Subd. 3. Shared
residential multiline telephone system. On
and after January 1, 2005, operators of shared multiline telephone systems,
whenever installed, serving residential customers shall must
ensure that the shared multiline telephone system is connected to the public
switched network and that 911 calls from the system result in at least one
distinctive automatic number identification and automatic location
identification for each residential unit, except those requirements do not
apply if the residential facility maintains one of the following:
(1) automatic location identification for each respective emergency response location;
(2) the ability to direct emergency responders to the 911 caller's location through an alternative and adequate means, such as the establishment of a 24-hour private answering point operated by the facility; or
(3) a connection to a switchboard operator, attendant, or other designated on-site individual.
Sec. 46. Minnesota Statutes 2022, section 403.15, subdivision 4, is amended to read:
Subd. 4. Hotel
or motel multiline telephone system. Operators
of hotel and motel multiline telephone systems shall must permit
the dialing of 911 and shall must ensure that 911 calls
originating from hotel or motel multiline telephone systems allow the 911
system to clearly identify the address and specific location of the 911 caller.
Sec. 47. Minnesota Statutes 2022, section 403.15, subdivision 5, is amended to read:
Subd. 5. Business
multiline telephone system. (a) An
operator of business multiline telephone systems connected to the public
switched telephone network and serving business locations of one employer shall
must ensure that calls to 911 from any telephone on the system result in
one of the following:
(1) automatic location identification for each respective emergency response location;
(2) an ability to direct emergency responders to the 911 caller's location through an alternative and adequate means, such as the establishment of a 24-hour private answering point operated by the employer; or
(3) a connection to a switchboard operator, attendant, or other designated on-site individual.
(b) Except as provided in
paragraph (c), providers of multiline telephone systems serving multiple
employers' business locations shall must ensure that calls to 911
from any telephone result in automatic location identification for the
respective emergency response location of each business location sharing the
system.
(c) Only one emergency response location is required in the following circumstances:
(1) an employer's work space is less than 40,000 square feet, located on a single floor and on a single contiguous property;
(2) an employer's work space is less than 7,000 square feet, located on multiple floors and on a single contiguous property; or
(3) an employer's work space is a single public entrance, single floor facility on a single contiguous property.
Sec. 48. Minnesota Statutes 2022, section 403.15, subdivision 6, is amended to read:
Subd. 6. Schools. A multiline telephone system operated by a public or private educational institution, including a system serving dormitories and other residential customers, is subject to this subdivision and is not subject to subdivision 3. The operator of the education institution multiline system connected to the public switched network must ensure that calls to 911 from any telephone on the system result in one of the following:
(1) automatic location identification for each respective emergency response location;
(2) an ability to direct emergency responders to the 911 caller's location through an alternative and adequate means, such as the establishment of a 24-hour private answering point operated by the educational institution; or
(3) a connection to a switchboard operator, attendant, or other designated on-site individual.
Sec. 49. Minnesota Statutes 2022, section 403.15, is amended by adding a subdivision to read:
Subd. 9. MLTS location compliance notification. Beginning July 1, 2023, all vendors of MLTSs or hosted MLTS services in Minnesota must disclose to their customers the 911 location requirements in this chapter and include 911 location compliant capabilities in the systems or services they sell.
Sec. 50. RENUMBERING.
In Minnesota Statutes,
the revisor of statutes shall renumber the subdivisions of Minnesota Statutes,
section 403.02.
Sec. 51. REPEALER.
Minnesota Statutes 2022,
sections 403.02, subdivision 13; and 403.09, subdivision 3, are repealed.
ARTICLE 16
COMMUNITY SUPERVISION REFORM
Section 1. Minnesota Statutes 2022, section 243.05, subdivision 1, is amended to read:
Subdivision 1. Conditional release. (a) The commissioner of corrections may parole any person sentenced to confinement in any state correctional facility for adults under the control of the commissioner of corrections, provided that:
(1) no inmate serving a life sentence for committing murder before May 1, 1980, other than murder committed in violation of clause (1) of section 609.185 who has not been previously convicted of a felony shall be paroled without having served 20 years, less the diminution that would have been allowed for good conduct had the sentence been for 20 years;
(2) no inmate serving a life sentence for committing murder before May 1, 1980, who has been previously convicted of a felony or though not previously convicted of a felony is serving a life sentence for murder in the first degree committed in violation of clause (1) of section 609.185 shall be paroled without having served 25 years, less the diminution which would have been allowed for good conduct had the sentence been for 25 years;
(3) any inmate sentenced prior to September 1, 1963, who would be eligible for parole had the inmate been sentenced after September 1, 1963, shall be eligible for parole; and
(4) any new rule or policy or change of rule or policy adopted by the commissioner of corrections which has the effect of postponing eligibility for parole has prospective effect only and applies only with respect to persons committing offenses after the effective date of the new rule or policy or change.
(b) Upon being paroled and released, an inmate is and remains in the legal custody and under the control of the commissioner, subject at any time to be returned to a facility of the Department of Corrections established by law for the confinement or treatment of convicted persons and the parole rescinded by the commissioner.
(c) The written order of the commissioner of corrections, is sufficient authority for any peace officer, state correctional investigator, or state parole and probation agent to retake and place in actual custody any person on parole or supervised release. In addition, when it appears necessary in order to prevent escape or enforce discipline, any state parole and probation agent or state correctional investigator may, without order of warrant, take and detain a parolee or person on supervised release or work release and bring the person to the commissioner for action.
(d) The written order of the commissioner of corrections is sufficient authority for any peace officer, state correctional investigator, or state parole and probation agent to retake and place in actual custody any person on probation under the supervision of the commissioner pursuant to section 609.135. Additionally, when it appears necessary in order to prevent escape or enforce discipline, any state parole and probation agent or state correctional investigator may, without an order, retake and detain a probationer and bring the probationer before the court for further proceedings under section 609.14.
(e) The written order of the commissioner of corrections is sufficient authority for any peace officer, state correctional investigator, or state parole and probation agent to detain any person on pretrial release who absconds from pretrial release or fails to abide by the conditions of pretrial release.
(f) Persons conditionally released, and those on probation under the supervision of the commissioner of corrections pursuant to section 609.135 may be placed within or outside the boundaries of the state at the discretion of the commissioner of corrections or the court, and the limits fixed for these persons may be enlarged or reduced according to their conduct.
(g) Except as otherwise provided in subdivision 1b, in considering applications for conditional release or discharge, the commissioner is not required to hear oral argument from any attorney or other person not connected with an adult correctional facility of the Department of Corrections in favor of or against the parole or release of any inmates. The commissioner may institute inquiries by correspondence, taking testimony, or otherwise, as to the previous history, physical or mental condition, and character of the inmate and, to that end, has the authority to require the attendance of the chief executive officer of any state adult correctional facility and the production of the records of these facilities, and to compel the attendance of witnesses. The commissioner is authorized to administer oaths to witnesses for these purposes.
(h) Unless the district court
directs otherwise, state parole and probation agents may require a person who
is under the supervision of the commissioner of corrections to perform
community work service for violating a condition of probation imposed by the
court. Community work service may be
imposed for the purpose of protecting the public, to aid the offender's
rehabilitation, or both. Agents may
impose up to eight hours of community work service for each violation and up to
a total of 24 hours per offender per 12-month period, beginning with the date
on which community work service is first imposed. The commissioner may authorize an additional
40 hours of community work services, for a total of 64 hours per offender per
12-month period, beginning with the date on which community work service is
first imposed. At the time community
work service is imposed, parole and probation agents are required to provide
written notice to the offender that states:
(1) the condition of
probation that has been violated;
(2) the number of hours
of community work service imposed for the violation; and
(3) the total number of
hours of community work service imposed to date in the 12-month period.
An offender may challenge
the imposition of community work service by filing a petition in district court. An offender must file the petition within
five days of receiving written notice that community work service is being
imposed. If the offender challenges the
imposition of community work service, the state bears the burden of showing, by
a preponderance of the evidence, that the imposition of community work service
is reasonable under the circumstances.
Community work service
includes sentencing to service.
(i) Prior to revoking a
nonviolent controlled substance offender's parole or probation based on a
technical violation, when the offender does not present a risk to the public
and the offender is amenable to continued supervision in the community, a parole
or probation agent must identify community options to address and correct the
violation including, but not limited to, inpatient substance use disorder
treatment. If a probation or parole
agent determines that community options are appropriate, the agent shall seek
to restructure the offender's terms of release to incorporate those options. If an offender on probation stipulates in
writing to restructure the terms of release, a probation agent must forward a
report to the district court containing:
(1) the specific nature
of the technical violation of probation;
(2) the recommended
restructure to the terms of probation; and
(3) a copy of the
offender's signed stipulation indicating that the offender consents to the
restructuring of probation.
The recommended
restructuring of probation becomes effective when confirmed by a judge. The order of the court shall be proof of such
confirmation and amend the terms of the sentence imposed by the court under
section 609.135. If a nonviolent
controlled substance offender's parole or probation is revoked, the offender's
agent must first attempt to place the offender in a local jail. For purposes of this paragraph,
"nonviolent controlled substance offender" is a person who meets the
criteria described under section 244.0513, subdivision 2, clauses (1), (2), and
(5), and "technical violation" means any violation of a court order
of probation or a condition of parole, except an allegation of a subsequent
criminal act that is alleged in a formal complaint, citation, or petition.
Sec. 2. Minnesota Statutes 2022, section 244.05, subdivision 3, is amended to read:
Subd. 3. Sanctions for violation. (a) If an inmate violates the conditions of the inmate's supervised release imposed by the commissioner, the commissioner may:
(1) continue the inmate's
supervised release term, with or without:
(i) modifying or enlarging the conditions imposed on the inmate; or
(ii) transferring the
inmate's case to a specialized caseload; or
(2) revoke the inmate's
supervised release and reimprison the inmate for the appropriate period of
time.
(b) Before revoking an
inmate's supervised release because of a technical violation that would result
in reimprisonment, the commissioner must
identify alternative interventions to address and correct the violation only
if:
(1) the inmate does not present
a risk to the public; and
(2) the inmate is
amenable to continued supervision.
(c) If alternative
interventions are appropriate and available, the commissioner must restructure
the inmate's terms of release to incorporate the alternative interventions.
(d) Prior to revoking a nonviolent controlled substance offender's supervised release based on a technical violation, when the offender does not present a risk to the public and the offender is amenable to continued supervision in the community, the commissioner must identify community options to address and correct the violation including, but not limited to, inpatient substance use disorder treatment. If the commissioner determines that community options are appropriate, the commissioner shall restructure the inmate's terms of release to incorporate those options. If a nonviolent controlled substance offender's supervised release is revoked, the offender's agent must first attempt to place the offender in a local jail. For purposes of this subdivision, "nonviolent controlled substance offender" is a person who meets the criteria described under section 244.0513, subdivision 2, clauses (1), (2), and (5), and "technical violation" means a violation of a condition of supervised release, except an allegation of a subsequent criminal act that is alleged in a formal complaint, citation, or petition.
(e) The period of time for which a supervised release may be revoked may not exceed the period of time remaining in the inmate's sentence, except that if a sex offender is sentenced and conditionally released under Minnesota Statutes 2004, section 609.108, subdivision 5, the period of time for which conditional release may be revoked may not exceed the balance of the conditional release term.
Sec. 3. Minnesota Statutes 2022, section 244.19, subdivision 1, is amended to read:
Subdivision 1. Appointment; joint services; state services. (a) If a county or group of counties has established a human services board pursuant to chapter 402, the district court may appoint one or more county probation officers as necessary to perform court services, and the human services board shall appoint persons as necessary to provide correctional services within the authority granted in chapter 402. In all counties of more than 200,000 population, which have not organized pursuant to chapter 402, the district court shall appoint one or more persons of good character to serve as county probation officers during the pleasure of the court. All other counties shall provide adult misdemeanant and juvenile probation services to district courts in one of the following ways:
(1) the court, with the approval of the county boards, may appoint one or more salaried county probation officers to serve during the pleasure of the court;
(2) when two or more counties offer probation services the district court through the county boards may appoint common salaried county probation officers to serve in the several counties;
(3) a county or a district court may request the commissioner of corrections to furnish probation services in accordance with the provisions of this section, and the commissioner of corrections shall furnish such services to any county or court that fails to provide its own probation officer by one of the two procedures listed above;
(4) if a county or district court providing probation services under clause (1) or (2) asks the commissioner of corrections or the legislative body for the state of Minnesota mandates the commissioner of corrections to furnish probation services to the district court, the probation officers and other employees displaced by the changeover shall be employed by the commissioner of corrections. Years of service in the county probation department are to be given full credit for future sick leave and vacation accrual purposes;
(5) all probation
officers serving the juvenile courts on July 1, 1972, shall continue to serve
for a person who is enrolled or eligible to be enrolled in a Tribal Nation
or who resides in an enrolled member's household, a Tribal Nation may elect to
provide probation services within the county in which the person resides; and
(6) if a county receiving probation services under clause (3) decides to provide the services under clause (1) or (2), the probation officers and other employees displaced by the changeover shall be employed by the county at no loss of salary. Years of service in the state are to be given full credit for future sick leave and vacation accrual purposes in the county or counties they are now serving.
(b) A county providing
probation services under paragraph (a), clause (1) or (2), is designated a
"CPO county" for purposes of receiving a subsidy under chapter 401. A county receiving probation services under
paragraph (a), clause (3), is not eligible for a subsidy under chapter 401 and
the commissioner of corrections is appropriated the county's share of funding
for the purpose of providing probation services and authority to seek
reimbursement from the county under subdivision 5.
(c) A county that
requests the commissioner of corrections to provide probation services under
paragraph (a), clause (3), shall collaborate with the commissioner to develop a
comprehensive plan as described in section 401.06.
(b) (d) The
commissioner of management and budget shall place employees transferred to
state service under paragraph (a), clause (4), in the proper classifications in
the classified service. Each employee is
appointed without examination at no loss in salary or accrued vacation or sick
leave benefits, but no additional accrual of vacation or sick leave benefits
may occur until the employee's total accrued vacation or sick leave benefits
fall below the maximum permitted by the state for the employee's position. An employee appointed under paragraph (a),
clause (4), shall serve a probationary period of six months. After exhausting labor contract remedies, a
noncertified employee may appeal for a hearing within ten days to the
commissioner of management and budget, who may uphold the decision, extend the
probation period, or certify the employee.
The decision of the commissioner of management and budget is final. The state shall negotiate with the exclusive
representative for the bargaining unit to which the employees are transferred
regarding their seniority. For purposes
of computing seniority among those employees transferring from one county unit
only, a transferred employee retains the same seniority position as the
employee had within that county's probation office.
Sec. 4. Minnesota Statutes 2022, section 244.19, is amended by adding a subdivision to read:
Subd. 1a. Definition. For purposes of this section,
"Tribal Nation" means a federally recognized Tribal Nation within the
boundaries of the state of Minnesota.
Sec. 5. Minnesota Statutes 2022, section 244.19, subdivision 2, is amended to read:
Subd. 2. Sufficiency of services. Probation services shall be sufficient in amount to meet the needs of the district court in each county. County probation officers serving district courts in all counties of not more than 200,000 population shall also, pursuant to subdivision 3, provide probation and parole services to wards of the commissioner of corrections resident in their counties. To provide these probation services counties containing a city of 10,000 or more population shall, as far as practicable, have one probation officer for not more than 35,000
population; in counties that do
not contain a city of such size, the commissioner of corrections shall, after
consultation with the chief judge of the district court and, the
county commissioners, or Tribal Nation through an approved plan and,
in the light of experience, establish probation districts to be served by one
officer.
All probation officers
appointed for any district court or community county corrections
agency, including Tribal Nations, shall be selected from a list of
eligible candidates who have. Those
candidates must be minimally qualified according to the same or equivalent
examining procedures as used by the commissioner of management and budget to
certify eligibles eligibility to the commissioner of corrections
in appointing parole agents, and the Department of Management and Budget
shall furnish the names of such candidates on request. This subdivision shall not apply to a
political subdivision having a civil service or merit system unless the
subdivision elects to be covered by this subdivision.
Sec. 6. Minnesota Statutes 2022, section 244.19, subdivision 3, is amended to read:
Subd. 3. Powers
and duties. All county or Tribal
Nation probation officers serving a district court shall act under the
orders of the court in reference to any person committed to their care by the
court, and in the performance of their duties shall have the general powers of
a peace officer; and it shall be their duty to make such investigations with
regard to any person as may be required by the court before, during, or after
the trial or hearing, and to furnish to the court such information and assistance
as may be required; to take charge of any person before, during or after trial
or hearing when so directed by the court, and to keep such records and to make
such reports to the court as the court may order. Tribal Nations providing probation
services have the same general powers provided to county probation officers
defined within statute or rule.
All county or Tribal Nation probation officers serving a district court shall, in addition, provide probation and parole services to wards of the commissioner of corrections resident in the counties they serve, and shall act under the orders of said commissioner of corrections in reference to any ward committed to their care by the commissioner of corrections.
All probation officers serving a district court shall, under the direction of the authority having power to appoint them, initiate programs for the welfare of persons coming within the jurisdiction of the court to prevent delinquency and crime and to rehabilitate within the community persons who come within the jurisdiction of the court and are properly subject to efforts to accomplish prevention and rehabilitation. They shall, under the direction of the court, cooperate with all law enforcement agencies, schools, child welfare agencies of a public or private character, and other groups concerned with the prevention of crime and delinquency and the rehabilitation of persons convicted of crime and delinquency.
All probation officers serving a district court shall make monthly and annual reports to the commissioner of corrections, on forms furnished by the commissioner, containing such information on number of cases cited to the juvenile division of district court, offenses, adjudications, dispositions, and related matters as may be required by the commissioner of corrections. The reports shall include the information on individuals convicted as an extended jurisdiction juvenile identified in section 241.016, subdivision 1, paragraph (c).
Sec. 7. Minnesota Statutes 2022, section 244.19, subdivision 5, is amended to read:
Subd. 5. Compensation. In counties of more than 200,000
population, a majority of the judges of the district court may direct the
payment of such salary to probation officers as may be approved by the county
board, and in addition thereto shall be reimbursed for all necessary expenses
incurred in the performance of their official duties. In all counties which obtain probation
services from the commissioner of corrections the commissioner shall, out of
appropriations provided therefor, pay probation officers the salary and all
benefits fixed by the state law or applicable bargaining unit and all necessary
expenses, including secretarial service, office equipment and supplies,
postage, telephone and telegraph services, and travel and subsistence. Each county receiving probation services
from the commissioner of
corrections shall reimburse the department of corrections for the total cost
and expenses of such services as incurred by the commissioner of corrections,
excluding the cost and expense of services provided under the state's
obligation in section 244.20. Total
annual costs for each county shall be that portion of the total costs and
expenses for the services of one probation officer represented by the ratio
which the county's population bears to the total population served by one officer. For the purposes of this section, the
population of any county shall be the most recent estimate made by the
Department of Health. At least every
six months the commissioner of corrections shall bill for the total cost and
expenses incurred by the commissioner on behalf of each county which has
received probation services. The
commissioner of corrections shall notify each county of the cost and expenses
and the county shall pay to the commissioner the amount due for reimbursement. All such reimbursements shall be deposited
in the general fund used to provide services for each county according
to their reimbursement amount. Objections
by a county to all allocation of such cost and expenses shall be presented to
and determined by the commissioner of corrections. Each county providing probation services
under this section is hereby authorized to use unexpended funds and to levy
additional taxes for this purpose.
The county commissioners of any county of not more than 200,000 population shall, when requested to do so by the juvenile judge, provide probation officers with suitable offices, and may provide equipment, and secretarial help needed to render the required services.
Sec. 8. Minnesota Statutes 2022, section 244.195, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) As used in this subdivision and sections 244.196 to 244.1995, the following terms have the meanings given them.
(b) "Commissioner" means the commissioner of corrections.
(c) "Conditional release" means parole, supervised release, conditional release as authorized by section 609.3455, subdivision 6, 7, or 8; Minnesota Statutes 2004, section 609.108, subdivision 6; or Minnesota Statutes 2004, section 609.109, subdivision 7, work release as authorized by sections 241.26, 244.065, and 631.425, probation, furlough, and any other authorized temporary release from a correctional facility.
(d) "Court services director" means the director or designee of a county probation agency that is not organized under section 244.19 or an agency organized under chapter 401.
(e) "Detain" means to take into actual custody, including custody within a local correctional facility.
(f) "Local correctional facility" has the meaning given in section 241.021, subdivision 1.
(g) "Probation
agency" means the Department of Corrections field office or a probation
agency organized under section 244.19 or chapter 401.
(h) "Probation
officer" means a court services director, county probation officer, or any
other community supervision officer employed by the commissioner or by a
probation agency organized under section 244.19 or chapter 401.
(i) "Release" means to release from actual custody.
Sec. 9. Minnesota Statutes 2022, section 244.195, subdivision 2, is amended to read:
Subd. 2. Detention pending hearing. When it appears necessary to enforce discipline or to prevent a person on conditional release from escaping or absconding from supervision, a court services director has the authority to issue a written order directing any peace officer or any probation officer in the state serving the district and juvenile courts
to detain and bring the person before the court or the commissioner, whichever is appropriate, for disposition. If the person on conditional release commits a violation described in section 609.14, subdivision 1a, paragraph (a), the court services director must have a reasonable belief that the order is necessary to prevent the person from escaping or absconding from supervision or that the continued presence of the person in the community presents a risk to public safety before issuing a written order. This written order is sufficient authority for the peace officer or probation officer to detain the person for not more than 72 hours, excluding Saturdays, Sundays, and holidays, pending a hearing before the court or the commissioner.
Sec. 10. Minnesota Statutes 2022, section 244.195, is amended by adding a subdivision to read:
Subd. 6. Intermediate
sanctions. (a) Unless the
district court directs otherwise, a probation officer may require a person
committed to the officer's care by the court to perform community work service
for violating a condition of probation imposed by the court. Community work service may be imposed for the
purpose of protecting the public, aiding the person's rehabilitation, or both. A probation officer may impose up to eight
hours of community work service for each violation and up to a total of 24 hours
per person per 12-month period, beginning on the date on which community work
service is first imposed. The court
services director or probation agency may authorize an additional 40 hours of
community work service, for a total of 64 hours per person per 12-month period,
beginning with the date on which community work service is first imposed. At the time community work service is
imposed, probation officers are required to provide written notice to the
person that states:
(1) the condition of
probation that has been violated;
(2) the number of hours
of community work service imposed for the violation; and
(3) the total number of
hours of community work service imposed to date in the 12-month period.
(b) A person on
supervision may challenge the imposition of community work service by filing a
petition in district court within five days of receiving written notice that
community work service is being imposed.
If the person challenges the imposition of community work service, the
state bears the burden of showing, by a preponderance of the evidence, that the
imposition of community work service is reasonable under the circumstances.
(c) Community work
service includes sentencing to service.
Sec. 11. Minnesota Statutes 2022, section 244.195, is amended by adding a subdivision to read:
Subd. 7. Contacts. Supervision contacts may be conducted
over videoconference technology in accordance with the probation agency's
established policy.
Sec. 12. Minnesota Statutes 2022, section 244.20, is amended to read:
244.20 PROBATION SUPERVISION.
Notwithstanding sections
244.19, subdivision 1, and 609.135, subdivision 1, the Department of
Corrections shall have exclusive responsibility for providing probation
services for adult felons in counties that do not take part in the Community
Corrections Act. In counties that do
not take part in the Community Corrections Act, the responsibility for
providing probation services for individuals convicted of gross misdemeanor
offenses shall be discharged according to local judicial policy.
Sec. 13. Minnesota Statutes 2022, section 244.21, is amended to read:
244.21 INFORMATION ON OFFENDERS UNDER SUPERVISION; REPORTS.
Subdivision 1. Collection of information by probation service providers; report required. By January 1, 1998, probation service providers shall begin collecting and maintaining information on offenders under supervision. The commissioner of corrections shall specify the nature and extent of the information to be collected. By April 1 of every year, each probation service provider shall report a summary of the information collected to the commissioner as a condition of state subsidy funding under chapter 401.
Subd. 2. Commissioner
of corrections report. By January
15, 1998 2024, the commissioner of corrections shall report to
the chairs and ranking minority members of the senate crime
prevention and house of representatives judiciary legislative
committees with jurisdiction over public safety policy and finance on
recommended methods of coordinating the exchange of information collected on
offenders under subdivision 1: (1)
between probation service providers; and (2) between probation service
providers and the Department of Corrections, without requiring service
providers to acquire uniform computer software.
Sec. 14. Minnesota Statutes 2022, section 401.01, is amended to read:
401.01 PURPOSE AND DEFINITION; ASSISTANCE GRANTS SUBSIDIES.
Subdivision 1. Grants
Subsidies. For the purpose of
more effectively protecting society and to promote efficiency and economy in
the delivery of correctional services, the commissioner is authorized to make
grants to assist subsidize counties and Tribal Nations in the
development, implementation, and operation of community-based corrections
programs including preventive or diversionary correctional programs,
conditional release programs, community corrections centers, and facilities for
the detention or confinement, care and treatment of persons convicted of crime
or adjudicated delinquent. The
commissioner may authorize the use of a percentage of a grant for the operation
of an emergency shelter or make a separate grant for the rehabilitation of a
facility owned by the grantee and used as a shelter to bring the facility into
compliance with state and local laws pertaining to health, fire, and safety,
and to provide security.
Subd. 2. Definitions. (a) For the purposes of sections 401.01 to 401.16, the following terms have the meanings given them.
(b) "CCA
county" "CCA jurisdiction" means a county or
Tribal Nation that participates in the Community Corrections Act.
(c) "Commissioner" means the commissioner of corrections or a designee.
(d) "Conditional release" means parole, supervised release, conditional release as authorized by section 609.3455, subdivision 6, 7, or 8; Minnesota Statutes 2004, section 609.108, subdivision 6; or Minnesota Statutes 2004, section 609.109, subdivision 7, work release as authorized by sections 241.26, 244.065, and 631.425, probation, furlough, and any other authorized temporary release from a correctional facility.
(e) "County probation officer" means a probation officer appointed under section 244.19.
(f) "CPO
county" means a county that participates in funding under this act by
providing local corrections service for all juveniles and individuals on
probation for misdemeanors, pursuant to section 244.19, subdivision 1,
paragraph (a), clause (1) or (2).
(g) "Detain" means to take into actual custody, including custody within a local correctional facility.
(g) (h) "Joint board" means the board provided in section 471.59.
(h) (i) "Local
correctional facility" has the meaning given in section 241.021,
subdivision 1.
(i) (j) "Local
correctional service" means those services authorized by and employees,
officers, and agents appointed under section 244.19, subdivision 1.
(j) (k) "Release"
means to release from actual custody.
(l) "Tribal
government" means one of the federally recognized Tribes described in
section 3.922.
Sec. 15. Minnesota Statutes 2022, section 401.02, is amended to read:
401.02 COUNTIES OR REGIONS; SERVICES INCLUDABLE.
Subdivision 1. Qualification
of counties or Tribal Nations. (a)
One or more counties, having an aggregate population of 30,000 or more
persons, or Tribal Nations may qualify for a grant as provided in
subsidy under section 401.01 by the enactment of appropriate
resolutions creating and establishing a corrections advisory board, designating
the officer or agency to be responsible for administering grant funds subsidies,
and providing for the preparation of a comprehensive plan for the development,
implementation and operation of the correctional services described in section
sections 401.01 and 401.11, including the assumption of those
correctional services, other than the operation of state facilities, presently
provided in such counties by the Department of Corrections, or for Tribal
Nations, probation services within a Tribal Nation, and providing for
centralized administration and control of those correctional services described
in section 401.01. Counties
participating as a CCA county must also enact the appropriate resolutions
creating and establishing a corrections advisory board.
Where counties or Tribal governments combine as authorized in this section, they shall comply with the provisions of section 471.59.
(b) A county that has participated in the Community Corrections Act for five or more years is eligible to continue to participate in the Community Corrections Act.
(c) If a county or
Tribal government withdraws from the subsidy program as outlined in subdivision
1 and asks the commissioner of corrections or the legislature mandates the
commissioner of corrections to furnish probation services to the county, the
probation officers and other employees displaced by the changeover shall be
employed by the commissioner of corrections at no loss of salary. Years of service in the county probation
department are to be given full credit for future sick leave and vacation accrual
purposes.
Subd. 2. Planning counties; advisory board members expenses. To assist counties or Tribal Nations which have complied with the provisions of subdivision 1 and require financial aid to defray all or a part of the expenses incurred by corrections advisory board members in discharging their official duties pursuant to section 401.08, the commissioner may designate counties or Tribal Nations as "planning counties", and, upon receipt of resolutions by the governing boards of the counties or Tribal Nations certifying the need for and inability to pay the expenses described in this subdivision, advance to the counties or Tribal Nations an amount not to exceed five percent of the maximum quarterly subsidy for which the counties or Tribal Nations are eligible. The expenses described in this subdivision shall be paid in the same manner and amount as for state employees.
Subd. 3. Establishment
and reorganization of administrative structure.
Any county, Tribal Nation, or group of counties which have
qualified for participation in the community corrections subsidy program
provided by this chapter may establish, organize, and reorganize an
administrative structure and provide for the budgeting, staffing, and operation
of court services and probation, construction or improvement to juvenile
detention and
juvenile correctional facilities and adult detention and correctional facilities, and other activities required to conform to the purposes of this chapter. No contrary general or special statute divests any county or group of counties of the authority granted by this subdivision.
Subd. 5. Intermediate
sanctions. Unless the
district court directs otherwise, county probation officers may require a
person committed to the officer's care by the court to perform community work
service for violating a condition of probation imposed by the court. Community work service may be imposed for the
purpose of protecting the public, to aid the offender's rehabilitation, or both. Probation officers may impose up to eight
hours of community work service for each violation and up to a total of 24
hours per offender per 12-month period, beginning on the date on which
community work service is first imposed.
The chief executive officer of a community corrections agency may
authorize an additional 40 hours of community work service, for a total of 64
hours per offender per 12-month period, beginning with the date on which
community work service is first imposed.
At the time community work service is imposed, probation officers are
required to provide written notice to the offender that states:
(1) the condition of
probation that has been violated;
(2) the number of hours
of community work service imposed for the violation; and
(3) the total number of
hours of community work service imposed to date in the 12-month period.
An offender may
challenge the imposition of community work service by filing a petition in
district court. An offender must file
the petition within five days of receiving written notice that community work
service is being imposed. If the
offender challenges the imposition of community work service, the state bears
the burden of showing, by a preponderance of the evidence, that the imposition
of community work service is reasonable under the circumstances.
Community work service
includes sentencing to service.
Sec. 16. Minnesota Statutes 2022, section 401.025, is amended to read:
401.025 DETENTION AND RELEASE; PROBATIONERS, CONDITIONAL RELEASEES, AND
PRETRIAL RELEASEES.
Subdivision 1. Peace
officers and probation officers serving CCA counties jurisdictions. (a) When it appears necessary to enforce
discipline or to prevent a person on conditional release from escaping or
absconding from supervision, the chief executive officer or designee of a
community corrections agency in a CCA county jurisdiction has the
authority to issue a written order directing any peace officer or any probation
officer in the state serving the district and juvenile courts to detain and
bring the person before the court or the commissioner, whichever is
appropriate, for disposition. If the
person on conditional release commits a violation described in section 609.14,
subdivision 1a, paragraph (a), the chief executive officer or designee must
have a reasonable belief that the order is necessary to prevent the person from
escaping or absconding from supervision or that the continued presence of the
person in the community presents a risk to public safety before issuing a
written order. This written order is
sufficient authority for the peace officer or probation officer to detain the
person for not more than 72 hours, excluding Saturdays, Sundays, and holidays,
pending a hearing before the court or the commissioner.
(b) The chief executive
officer or designee of a community corrections agency in a CCA county jurisdiction
has the authority to issue a written order directing a peace officer or
probation officer serving the district and juvenile courts to release a person
detained under paragraph (a) within 72 hours, excluding Saturdays, Sundays, and
holidays, without an appearance before the court or the commissioner. This written order is sufficient authority
for the peace officer or probation officer to release the detained person.
(c) The chief executive officer
or designee of a community corrections agency in a CCA county jurisdiction
has the authority to issue a written order directing any peace officer or any
probation officer serving the district and juvenile courts to detain any person
on court-ordered pretrial release who absconds from pretrial release or fails
to abide by the conditions of pretrial release.
A written order issued under this paragraph is sufficient authority for
the peace officer or probation officer to detain the person.
Subd. 2. Peace
officers and probation officers in other counties and state correctional
investigators. (a) The chief
executive officer or designee of a community corrections agency in a CCA county
jurisdiction has the authority to issue a written order directing any
state correctional investigator or any peace officer, probation officer, or
county probation officer from another county to detain a person under sentence
or on probation who:
(1) fails to report to serve a sentence at a local correctional facility;
(2) fails to return from furlough or authorized temporary release from a local correctional facility;
(3) escapes from a local correctional facility; or
(4) absconds from court-ordered home detention.
(b) The chief executive
officer or designee of a community corrections agency in a CCA county jurisdiction
has the authority to issue a written order directing any state correctional
investigator or any peace officer, probation officer, or county probation
officer from another county to detain any person on court-ordered pretrial
release who absconds from pretrial release or fails to abide by the conditions
of pretrial release.
(c) A written order issued under paragraph (a) or (b) is sufficient authority for the state correctional investigator, peace officer, probation officer, or county probation officer to detain the person.
Subd. 3. Offenders
under Department of Corrections commitment.
CCA counties jurisdictions shall comply with the
policies prescribed by the commissioner when providing supervision and other
correctional services to persons conditionally released pursuant to sections
241.26, 242.19, 243.05, 243.1605, 244.05, and 244.065, including intercounty transfer
of persons on conditional release and the conduct of presentence
investigations.
Sec. 17. Minnesota Statutes 2022, section 401.04, is amended to read:
401.04 ACQUISITION OF PROPERTY; SELECTION OF ADMINISTRATIVE STRUCTURE;
EMPLOYEES.
Any county or,
group of counties, or Tribal Nation electing to come within the
provisions of sections 401.01 to 401.16 may (a) acquire by any lawful means,
including purchase, lease or transfer of custodial control, the lands,
buildings and equipment necessary and incident to the accomplishment of the purposes
of sections 401.01 to 401.16, (b) determine and establish the administrative
structure best suited to the efficient administration and delivery of the
correctional services described in section 401.01, and (c) employ a director
and other officers, employees and agents as deemed necessary to carry out the
provisions of sections 401.01 to 401.16.
To the extent that participating counties shall assume and take over
state and local correctional services presently provided in counties,
employment shall be given to those state and local officers, employees and
agents thus displaced; if hired by a county, employment shall, to the extent
possible and notwithstanding the provisions of any other law or ordinance to
the contrary, be deemed a transfer in grade with all of the benefits enjoyed by
such officer, employee or agent while in the service of the state or local
correctional service.
State or local employees displaced by county participation in the subsidy program provided by this chapter are on layoff status and, if not hired by a participating county as provided herein, may exercise their rights under layoff procedures established by law or union agreement whichever is applicable.
State or local officers and employees displaced by a county's participation in the Community Corrections Act and hired by the participating county shall retain all fringe benefits and recall from layoff benefits accrued by seniority and enjoyed by them while in the service of the state.
Sec. 18. Minnesota Statutes 2022, section 401.05, subdivision 1, is amended to read:
Subdivision 1. Authorization
to use and accept funds. Any county
CCA jurisdiction or group of counties electing to come within the
provisions of sections 401.01 to 401.16 may, through their governing bodies,
use unexpended funds; accept gifts, grants, and subsidies from any lawful
source; and apply for and accept federal funds.
Sec. 19. Minnesota Statutes 2022, section 401.06, is amended to read:
401.06 COMPREHENSIVE PLAN; STANDARDS OF ELIGIBILITY; COMPLIANCE.
Subdivision 1. Commissioner
approval required. (a) No
county, Tribal Nation, or group of counties or Tribal government or
group of Tribal governments electing to provide correctional services pursuant
to sections 401.01 to 401.16 shall be under this chapter is eligible
for the subsidy herein provided unless and until its comprehensive plan shall
have has been approved by the commissioner. A comprehensive plan must comply with
commissioner‑developed standards and reporting requirements and must
sufficiently address community needs and supervision standards.
(b) If the commissioner
provides supervision to a county that elects not to provide the supervision,
the commissioner must prepare a comprehensive plan for the county and present
it to the local county board of commissioners.
The Department of Corrections is subject to all the standards and
requirements under this chapter and supervision standards and policies.
(c) A comprehensive plan
is valid for four years, and a corrections advisory board must review and
update the plan two years after the plan has been approved or two years after
submitted to the commissioner, whichever is earlier.
(d) All approved
comprehensive plans, including updated plans, must be made publicly available
on the Department of Corrections website.
Subd. 2. Rulemaking. The commissioner shall must,
pursuant to in accordance with the Administrative Procedure Act, promulgate
adopt rules establishing standards of eligibility for CCA and CPO
counties and Tribal Nations to receive funds under sections 401.01 to
401.16 this chapter.
Subd. 3. Substantial
compliance required. (a)
To remain eligible for the subsidy counties shall, CCA
jurisdictions must maintain substantial compliance with the minimum
standards established pursuant according to sections 401.01 to
401.16 this chapter and the policies and procedures governing the
services described in under section 401.025 as prescribed by the
commissioner.
(b) Counties shall
also must:
(1) be in
substantial compliance with other correctional operating standards permitted by
law and established by the commissioner; and shall
(2) report statistics
required by the commissioner, including but not limited to information
on individuals convicted as an extended jurisdiction juvenile identified in
under section 241.016, subdivision 1, paragraph (c).
Subd. 4. Commissioner
review. (a) The
commissioner shall must review annually the comprehensive plans
submitted by participating counties CCA jurisdictions, including
the facilities and programs operated under the plans. The commissioner is hereby authorized to
may enter upon any facility operated under the plan, and inspect
books and records, for purposes of recommending needed changes or improvements.
When (b) If
the commissioner shall determine determines that there are
reasonable grounds to believe that a county CCA jurisdiction or
group of counties or Tribal government or group of Tribal governments is
not in substantial compliance with minimum standards, the commissioner must
provide at least 30 days' notice shall be given to the county
or counties and CCA jurisdiction of a commissioner-conducted
hearing conducted by the commissioner to ascertain whether there is
substantial compliance or satisfactory progress being made toward compliance.
Subd. 5. Noncompliance
with comprehensive plan. (a)
After a hearing, the commissioner may sanction a county or group of counties or
Tribal government or group of Tribal governments under this subdivision if the
commissioner determined that the agency is not maintaining substantial
compliance with minimum standards or that satisfactory progress toward
compliance has not been made.
(b) The commissioner
may suspend all or a portion of any subsidy until the required standard of
operation has been met without issuing a corrective action plan.
(c) The commissioner may
issue a corrective action plan, which must:
(1) be in writing;
(2) identify all
deficiencies;
(3) detail the
corrective action required to remedy the deficiencies; and
(4) provide a deadline
to:
(i) correct each
deficiency; and
(ii) report to the
commissioner progress toward correcting the deficiency.
(d) After the deficiency
has been corrected, documentation must be submitted to the commissioner
detailing compliance with the corrective action plan. If the commissioner determines that the
county or group of counties or Tribal government or group of Tribal governments
has not complied with the plan, the commissioner may suspend all or a portion
of the subsidy.
Sec. 20. Minnesota Statutes 2022, section 401.08, subdivision 2, is amended to read:
Subd. 2. Appointment;
terms. The members of the
corrections advisory board shall be appointed by the board of county
commissioners or, the joint board in the case of multiple
counties, or a Tribal Nation and shall serve for terms of two years from
and after the date of their appointment, and shall remain in office until their
successors are duly appointed. The board
may elect its own officers.
Sec. 21. Minnesota Statutes 2022, section 401.08, subdivision 4, is amended to read:
Subd. 4. Comprehensive plan. The corrections advisory board provided in sections 401.01 to 401.16, shall actively participate in the formulation of the comprehensive plan for the development, implementation, and operation of the correctional program and services described in section 401.01, and shall make a formal recommendation to the county board, Tribal government, or joint board at least annually concerning the comprehensive plan and its implementation during the ensuing year.
Sec. 22. Minnesota Statutes 2022, section 401.09, is amended to read:
401.09 OTHER SUBSIDY PROGRAMS; PURCHASE OF STATE SERVICES.
Failure of a county CCA
jurisdiction or group of counties to elect to come within the provisions of
sections 401.01 to 401.16 shall not affect their eligibility for any other
state grant or subsidy for correctional purposes otherwise provided by
law. Any comprehensive plan submitted
pursuant to sections 401.01 to 401.16 may include the purchase of selected
correctional services from the state by contract, including the temporary
detention and confinement of persons convicted of crime or adjudicated delinquent;
confinement to be in an appropriate state facility as otherwise provided by law. The commissioner shall annually determine the
costs of the purchase of services under this section and deduct them from the
subsidy due and payable to the county or counties concerned; provided that no
contract shall exceed in cost the amount of subsidy to which the participating
county or counties are eligible.
Sec. 23. Minnesota Statutes 2022, section 401.10, is amended to read:
401.10 COMMUNITY CORRECTIONS AID.
Subdivision 1. Aid
calculations Funding formula.
To determine the community corrections aid amount to be paid to
each participating county, the commissioner of corrections must apply the
following formula:
(1) For each of the 87
counties in the state, a percent score must be calculated for each of the
following five factors:
(i) percent of the total
state population aged ten to 24 residing within the county according to the
most recent federal census, and, in the intervening years between the taking of
the federal census, according to the most recent estimate of the state demographer;
(ii) percent of the
statewide total number of felony case filings occurring within the county, as
determined by the state court administrator;
(iii) percent of the
statewide total number of juvenile case filings occurring within the county, as
determined by the state court administrator;
(iv) percent of the
statewide total number of gross misdemeanor case filings occurring within the
county, as determined by the state court administrator; and
(v) percent of the total
statewide number of convicted felony offenders who did not receive an executed
prison sentence, as monitored and reported by the Sentencing Guidelines
Commission.
The percents in items
(ii) to (v) must be calculated by combining the most recent three-year period
of available data. The percents in items
(i) to (v) each must sum to 100 percent across the 87 counties.
(2) For each of the 87
counties, the county's percents in clause (1), items (i) to (v), must be
weighted, summed, and divided by the sum of the weights to yield an average
percent for each county, referred to as the county's "composite need
percent." When performing this
calculation, the weight for each of the percents in clause (1), items (i) to
(v), is 1.0. The composite need percent
must sum to 100 percent across the 87 counties.
(3) For each of the 87
counties, the county's "adjusted net tax capacity percent" is the
county's adjusted net tax capacity amount, defined in the same manner as it is
defined for cities in section 477A.011, subdivision 20, divided by the statewide
total adjusted net tax capacity amount. The
adjusted net tax capacity percent must sum to 100 percent across the 87
counties.
(4) For each of the 87
counties, the county's composite need percent must be divided by the county's
adjusted net tax capacity percent to produce a ratio that, when multiplied by
the county's composite need percent, results in the county's "tax base
adjusted need percent."
(5) For each of the 87
counties, the county's tax base adjusted need percent must be added to twice
the composite need percent, and the sum must be divided by 3, to yield the
county's "weighted need percent."
(6) Each participating
county's weighted need percent must be added to the weighted need percent of
each other participating county to yield the "total weighted need percent
for participating counties."
(7) Each participating
county's weighted need percent must be divided by the total weighted need
percent for participating counties to yield the county's "share percent."
The share percents for participating
counties must sum to 100 percent.
(8) Each participating
county's "base funding amount" is the aid amount that the county
received under this section for fiscal year 1995 plus the amount received in
caseload or workload reduction, felony caseload reduction, and sex offender supervision
grants in fiscal year 2015, as reported by the commissioner of corrections. In fiscal year 1997 and thereafter, no
county's aid amount under this section may be less than its base funding
amount, provided that the total amount appropriated for this purpose is at
least as much as the aggregate base funding amount defined in clause (9).
(9) The "aggregate
base funding amount" is equal to the sum of the base funding amounts for
all participating counties. If a county
that participated under this section chooses not to participate in any given
year, then the aggregate base funding amount must be reduced by that county's
base funding amount. If a county that
did not participate under this section in fiscal year 1995 chooses to
participate on or after July 1, 2015, then the aggregate base funding amount
must be increased by the amount of aid that the county would have received had
it participated in fiscal year 1995 plus the estimated amount it would have
received in caseload or workload reduction, felony caseload reduction, and sex
offender supervision grants in fiscal year 2015, as reported by the
commissioner of corrections, and the amount of increase shall be that county's
base funding amount.
(10) In any given year,
the total amount appropriated for this purpose first must be allocated to
participating counties in accordance with each county's base funding amount. Then, any remaining amount in excess of the
aggregate base funding amount must be allocated to participating counties in
proportion to each county's share percent, and is referred to as the county's
"formula amount."
Each participating
county's "community corrections aid amount" equals the sum of (i) the
county's base funding amount, and (ii) the county's formula amount.
(11) However, if in any
year the total amount appropriated for the purpose of this section is less than
the aggregate base funding amount, then each participating county's community
corrections aid amount is the product of (i) the county's base funding amount
multiplied by (ii) the ratio of the total amount appropriated to the aggregate
base funding amount.
For each participating county,
the county's community corrections aid amount calculated in this subdivision is
the total amount of subsidy to which the county is entitled under sections
401.01 to 401.16.
(a) Beginning in fiscal
year 2024, the subsidy paid to each county and Tribal government and the
commissioner of corrections for supervision in counties or Tribal jurisdictions
served by the department shall equal the sum of:
(1) a base funding
amount equal to $200,000, plus:
(i) ten percent of the
total for all appropriations to the commissioner for community supervision and
postrelease services during the fiscal year prior to the fiscal year for which
the subsidy will be paid multiplied by the county's or Tribe's percent share of
the state's total population as determined by the most recent census; and
(ii) ten percent of the
total for all appropriations to the commissioner for community supervision and
postrelease services during the fiscal year prior to the fiscal year for which
the subsidy will be paid multiplied by the county's or Tribe's percent share of
the state's total geographic area; and
(2) a community
supervision formula equal to the sum of:
(i) for felony cases, a
felony per diem rate of $5.33 multiplied by the sum of the county's adult
felony population, adult supervised release and parole populations, and
juvenile supervised release and parole populations as reported in the most
recent probation survey published by the commissioner, multiplied by 365, and
(ii) for gross
misdemeanor, misdemeanor, and juvenile probation cases, the felony per diem
rate used in item (i) multiplied by 0.5 and then multiplied by the sum of the
county's gross misdemeanor, misdemeanor, and juvenile populations as reported
in the most recent probation survey published by the commissioner, multiplied
by 365.
(b) Each participating
county's community corrections aid amount equals the sum of (1) the county's
base funding amount, and (2) the county's formula amount.
(c) If in any year the
total amount appropriated for the purpose of this section is more than or less
than the total of base funding plus community supervision formula funding for
all counties, the sum of each county's base funding plus community supervision
formula funding shall be adjusted by the ratio of amounts appropriated for this
purpose divided by the total of base funding plus community supervision formula
funding for all counties.
(d) For each Tribal
Nation, a base funding amount of $250,000 is allotted annually through
legislative appropriation to each Tribal Nation to purchase probation services
regardless of participation in a CCA jurisdiction. An additional formula amount through
legislative appropriation must be developed and approved by the commissioner
for equitable distribution for Tribal Nations under a CCA jurisdiction.
Subd. 2. Transfer of funds. Notwithstanding any law to the contrary, the commissioner of corrections, after notifying the committees on finance of the senate and ways and means of the house of representatives, may, at the end of any fiscal year, transfer any unobligated funds, including funds available due the withdrawal of a county under section 401.16, in any appropriation to the Department of Corrections to the appropriation under sections 401.01 to 401.16, which appropriation shall not cancel but is reappropriated for the purposes of sections 401.01 to 401.16.
Subd. 3. Formula
review. Prior to January 16,
2002, the committees with jurisdiction over community corrections funding
decisions in the house of representatives and the senate, in consultation with
the Department of Corrections and any interested county organizations, must
review the formula in subdivision 1 and make
recommendations to the
legislature for its continuation, modification, replacement, or discontinuation. For fiscal year 2025 and subsequent fiscal
years, the commissioner shall make a funding recommendation based upon the
commissioner's workload study and the caseload data collected by the
commissioner.
Subd. 4. Report;
supervision fees. (a) The
commissioner must collect annual summary expenditure data and funding from each
community supervision provider in the state.
(b) On January 15, 2025,
and every year thereafter, the commissioner must submit a report to the chairs
and ranking minority members of the legislative committees with jurisdiction
over public safety finance and policy on the data collected under paragraph (a). The report may be made in conjunction with
reporting under section 244.21.
Sec. 24. Minnesota Statutes 2022, section 401.11, is amended to read:
401.11 COMPREHENSIVE PLAN ITEMS; GRANT REVIEW.
Subdivision 1. Items. The comprehensive plan submitted to the
commissioner for approval shall must include those items
prescribed by rule policy of the commissioner, which may
require the inclusion of the following including but not limited to:
(a) (1) the
manner in which presentence and postsentence investigations and reports for the
district courts and social history reports for the juvenile courts will be
made;
(b) (2) the
manner in which conditional release services to the courts and persons under
jurisdiction of the commissioner of corrections will be provided;
(c) (3) a
program for the detention, supervision, and treatment of detaining,
supervising, and treating persons under pretrial detention or under
commitment;
(d) (4) delivery
of other local correctional services defined in section 401.01;
(e) (5) proposals
for new programs, which proposals must demonstrate a need for the program, its
and the program's purpose, objective, administrative structure, staffing
pattern, staff training, financing, evaluation process, degree of community
involvement, client participation, and duration of program; and
(6) outcome and output data, expenditures, and costs.
Subd. 2. Review. In addition to the foregoing
requirements made by this section, Each participating CCA county or
group of counties shall must develop and implement a procedure
for the review of grant reviewing subsidy applications made to
the corrections advisory board and for the manner in which corrections advisory
board action will be taken on them the applications. A description of this the
procedure must be made available to members of the public upon request.
Sec. 25. Minnesota Statutes 2022, section 401.12, is amended to read:
401.12 CONTINUATION OF CURRENT SPENDING LEVEL BY COUNTIES.
Participating counties or
Tribal Nations shall not diminish their current level of spending for
correctional expenses as defined in section 401.01, to the extent of any
subsidy received pursuant to sections 401.01 to 401.16; rather the subsidy
herein provided is for the expenditure for correctional purposes in excess of
those funds currently being expended. Should
a participating county CCA jurisdiction be unable to expend the
full amount of the subsidy to which it would be entitled in any one year under
the provisions of sections 401.01 to 401.16, the commissioner
shall retain the surplus,
subject to disbursement in the following year wherein such county CCA
jurisdiction can demonstrate a need for and ability to expend same for the
purposes provided in section 401.01. If
in any biennium the subsidy is increased by an inflationary adjustment which
results in the county CCA jurisdiction receiving more actual
subsidy than it did in the previous calendar year, the county CCA
jurisdiction shall be eligible for that increase only if the current level
of spending is increased by a percentage equal to that increase within the same
biennium.
Sec. 26. Minnesota Statutes 2022, section 401.14, subdivision 1, is amended to read:
Subdivision 1. Payment. Upon compliance by a county CCA
jurisdiction or group of counties with the prerequisites for participation
in the subsidy prescribed by sections 401.01 to 401.16, and approval of the
comprehensive plan by the commissioner, the commissioner shall determine
whether funds exist for the payment of the subsidy and proceed to pay same in
accordance with applicable rules.
Sec. 27. Minnesota Statutes 2022, section 401.14, subdivision 3, is amended to read:
Subd. 3. Installment
payments. The commissioner of
corrections shall make payments for community corrections services to each county
CCA jurisdiction in 12 installments per year. The commissioner shall ensure that the
pertinent payment of the allotment for each month is made to each county
CCA jurisdiction on the first working day after the end of each month of
the calendar year, except for the last month of the calendar year. The commissioner shall ensure that each
county receives its payment of the allotment for that month no later than the
last working day of that month. The
payment described in this subdivision for services rendered during June 1985
shall be made on the first working day of July 1985.
Sec. 28. Minnesota Statutes 2022, section 401.15, subdivision 1, is amended to read:
Subdivision 1. Certified
statements; determinations; adjustments.
Within 60 days of the end of each calendar quarter, participating counties
CCA jurisdictions which have received the payments authorized by section
401.14 shall submit to the commissioner certified statements detailing the
amounts expended and costs incurred in furnishing the correctional services
provided in sections 401.01 to 401.16. Upon
receipt of certified statements, the commissioner shall, in the manner provided
in sections 401.10 and 401.12, determine the amount each participating county
is entitled to receive, making any adjustments necessary to rectify any
disparity between the amounts received pursuant to the estimate provided in
section 401.14 and the amounts actually expended. If the amount received pursuant to the
estimate is greater than the amount actually expended during the quarter, the
commissioner may withhold the difference from any subsequent monthly payments
made pursuant to section 401.14. Upon
certification by the commissioner of the amount a participating county CCA
jurisdiction is entitled to receive under the provisions of section 401.14
or of this subdivision the commissioner of management and budget shall
thereupon issue a payment to the chief fiscal officer of each participating county
CCA jurisdiction for the amount due together with a copy of the
certificate prepared by the commissioner.
Sec. 29. Minnesota Statutes 2022, section 401.16, is amended to read:
401.16 WITHDRAWAL FROM PROGRAM.
Any participating county
CCA jurisdiction may, at the beginning of any calendar quarter, by
resolution of its board of commissioners or Tribal Council leaders,
notify the commissioner of its intention to withdraw from the subsidy program
established by sections 401.01 to 401.16, and the withdrawal shall be effective
the last day of the last month of the quarter in third quarter after
which the notice was given. Upon
withdrawal, the unexpended balance of moneys allocated to the county, or that
amount necessary to reinstate state correctional services displaced by that
county's participation, including complement positions, may, upon approval of
the legislative advisory commission, be transferred to the commissioner for the
reinstatement of the displaced services and the payment of any other correctional
subsidies for which the withdrawing county had previously been eligible.
Sec. 30. [401.17]
COMMUNITY SUPERVISION ADVISORY COMMITTEE.
Subdivision 1. Establishment;
members. (a) The commissioner
must establish a Community Supervision Advisory Committee to develop and make
recommendations to the commissioner on standards for probation, supervised
release, and community supervision. The
committee consists of 17 members as follows:
(1) two directors appointed by the Minnesota Association of Community Corrections Act Counties;
(2) two probation directors appointed by the Minnesota Association of County Probation Officers;
(3) three county commissioner representatives appointed by the Association of Minnesota Counties;
(4) two behavioral health, treatment, or programming providers who work directly with individuals on correctional supervision, one appointed by the Department of Human Services and one appointed by the Minnesota Association of County Social Service Administrators;
(5) two representatives appointed by the Minnesota Indian Affairs Council;
(6) one commissioner-appointed representative from the Department of Corrections;
(7) the chair of the statewide Evidence-Based Practice Advisory Committee;
(8) three individuals who have been supervised, either individually or collectively, under each of the state's three community supervision delivery systems appointed by the commissioner in consultation with the Minnesota Association of County Probation Officers and the Minnesota Association of Community Corrections Act Counties; and
(9) an advocate for
victims of crime appointed by the commissioner.
(b) When an appointing authority selects an individual for membership on the committee, the authority must make reasonable efforts to reflect geographic diversity and to appoint qualified members of protected groups, as defined under section 43A.02, subdivision 33.
(c) The commissioner must
convene the first meeting of the committee on or before July 15, 2024.
Subd. 2. Terms; removal; reimbursement. (a) If there is a vacancy, the appointing authority must appoint an individual to fill the vacancy. Committee members must elect any officers and create any subcommittees necessary for the efficient discharge of committee duties.
(b) A member may be removed by the appointing authority at any time at the pleasure of the appointing authority.
(c) Each committee member
must be reimbursed for all reasonable expenses actually paid or incurred by
that member in the performance of official duties in the same manner as other
employees of the state. The public
members of the committee must be compensated at the rate of $55 for each day or
part of the day spent on committee activities.
Subd. 3. Duties; committee. (a) The committee must comply with section 401.10.
(b) By June 30, 2024, the committee must provide written advice and recommendations to the commissioner on developing policy on:
(1) developing statewide supervision standards and definitions to be applied to community supervision provided by CPO counties, CCA counties, the Department of Corrections, and Tribal governments;
(2) requiring community supervision agencies to use the same agreed-upon risk screener and risk and needs assessment tools as the main supervision assessment methods or a universal five-level matrix allowing for consistent supervision levels and that all tools in use be validated on Minnesota's community supervision population and revalidated every five years;
(3) requiring the use of assessment-driven, formalized collaborative case planning to focus case planning goals on identified criminogenic and behavioral health need areas for moderate- and high-risk individuals;
(4) limiting standard conditions required for all people on supervision across all supervision systems and judicial districts, ensuring that conditions of supervision are directly related to the offense of the person on supervision, and tailoring special conditions to people on supervision identified as high-risk and high-need;
(5) providing gender-responsive, culturally appropriate services and trauma-informed approaches;
(6) developing a
statewide incentives and sanctions grid to guide responses to client behavior
while under supervision to be reviewed and updated every five years to maintain
alignment with national best practices;
(7) developing
performance indicators for supervision success as well as recidivism;
(8) developing a statewide training, coaching, and quality assurance system overseen by an evidence-based practices coordinator; and
(9) devising a plan, by December 1, 2024, to eliminate the financial penalty incurred by a jurisdiction that successfully discharges an offender from supervision before the offender's term of supervision concludes.
(c) By December 1, 2024,
and every six years thereafter, the committee must review and reassess the
existing workload study published by the commissioner under subdivision 4 and
make recommendations to the commissioner based on the committee's review.
(d) By June 30, 2024,
the committee must submit a report on supervision fees to the commissioner and
the chairs and ranking minority members of the legislative committees with
jurisdiction over corrections finance and policy. The committee must collect data on
supervision fees and include the data in the report.
Subd. 4. Duties;
commissioner. The
commissioner, in consultation with the committee, must complete a workload
study by December 1, 2024, to develop a capitated rate for equitably funding
community supervision throughout the state.
The study must be updated every six years after the initial study is
completed.
Subd. 5. Data
collection; report. (a) By
June 1, 2024, the advisory committee, in consultation with the Minnesota
Counties Computer Cooperative, must create a method to (1) standardize data
classifications across the three delivery systems, and (2) collect data for the
commissioner to publish in an annual report to the chairs and ranking minority
members of the legislative committees and divisions with jurisdiction over
public safety finance and policy.
(b) The advisory
committee's method, at a minimum, must provide for collecting the following
data:
(1) the number of
offenders placed on probation each year;
(2) the offense levels
and offense types for which offenders are placed on probation;
(3) violation and revocation
rates and the identified grounds for the violations and revocations, including
final disposition of the violation action such as execution of the sentence,
imposition of new conditions, or a custodial sanction;
(4) the number of
offenders granted early discharge from probation;
(5) the number of
offenders restructured on supervision, including imposition of new conditions
of release; and
(6) the number of
offenders revoked from supervision and the identified grounds for revocation.
(c) On February 1, 2025,
and every year thereafter, the commissioner must prepare a report that contains
the data collected under the method established by the committee under this
subdivision. The report must provide an
analysis of the collected data disaggregated by race, gender, and county.
(d) Nothing in this
section overrides the commissioner's authority to require additional data be
provided under sections 241.065, 401.06, 401.10, and 401.11.
Subd. 6. Response. (a) Within 45 days of receiving the
committee's recommendations, the commissioner must respond in writing to the
committee's advice and recommendations under subdivision 3. The commissioner's response must explain:
(1) whether the agency
will adopt policy changes based on the recommendations;
(2) the timeline for
adopting policy changes; and
(3) why the commissioner
will not or cannot include any individual recommendations of the committee in
the agency's policy.
(b) The commissioner
must submit the advice and recommendations of the committee to the chairs and
ranking minority members of the legislative committees with jurisdiction over
public safety finance and policy.
Subd. 7. Staff;
meeting room; office equipment. The
commissioner must provide the committee with a committee administrator, staff
support, a meeting room, and access to office equipment and services.
Sec. 31. Minnesota Statutes 2022, section 609.14, subdivision 1, is amended to read:
Subdivision 1. Grounds. (a) When it appears that the defendant
has violated any of the conditions of probation or intermediate sanction, or
has otherwise been guilty of misconduct which warrants the imposing or
execution of sentence, the court may without notice revoke the stay and direct
that the defendant be taken into immediate custody. Revocation shall only be used as a last
resort when rehabilitation has failed.
(b) When it appears that the defendant violated any of the conditions of probation during the term of the stay, but the term of the stay has since expired, the defendant's probation officer or the prosecutor may ask the court to initiate probation revocation proceedings under the Rules of Criminal Procedure at any time within six months after the expiration of the stay. The court also may initiate proceedings under these circumstances on its own motion. If proceedings are initiated within this six-month period, the court may conduct a revocation hearing and take any action authorized under rule 27.04 at any time during or after the six-month period.
(c) Notwithstanding the provisions of section 609.135 or any law to the contrary, after proceedings to revoke the stay have been initiated by a court order revoking the stay and directing either that the defendant be taken into custody or that a summons be issued in accordance with paragraph (a), the proceedings to revoke the stay may be
concluded and the summary hearing provided by subdivision 2 may be conducted after the expiration of the stay or after the six-month period set forth in paragraph (b). The proceedings to revoke the stay shall not be dismissed on the basis that the summary hearing is conducted after the term of the stay or after the six-month period. The ability or inability to locate or apprehend the defendant prior to the expiration of the stay or during or after the six-month period shall not preclude the court from conducting the summary hearing unless the defendant demonstrates that the delay was purposefully caused by the state in order to gain an unfair advantage.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to violations that occur on or
after that date.
Sec. 32. Minnesota Statutes 2022, section 609.14, is amended by adding a subdivision to read:
Subd. 1a. Violations
where policies favor continued rehabilitation. (a) Correctional treatment is better
provided through a community resource than through confinement and would not
unduly depreciate the seriousness of the violation if probation was not revoked. Policies favoring probation outweigh the need
for confinement if a person has not previously violated a condition of
probation or intermediate sanction and does any of the following in violation
of a condition imposed by the court:
(1) fails to abstain
from the use of controlled substances without a valid prescription, unless the
person is under supervision for a violation of section:
(i) 169A.20;
(ii) 609.2112,
subdivision 1, paragraph (a), clauses (2) to (6); or
(iii) 609.2113,
subdivision 1, clauses (2) to (6); 2, clauses (2) to (6); or 3, clauses (2) to
(6);
(2) fails to abstain
from the use of alcohol, unless the person is under supervision for a violation
of section:
(i) 169A.20;
(ii) 609.2112,
subdivision 1, paragraph (a), clauses (2) to (6); or
(iii) 609.2113,
subdivision 1, clauses (2) to (6); 2, clauses (2) to (6); or 3, clauses (2) to
(6);
(3) possesses drug
paraphernalia in violation of section 152.092;
(4) fails to obtain or
maintain employment;
(5) fails to pursue a
course of study or vocational training;
(6) fails to report a
change in employment, unless the person is prohibited from having contact with
minors and the employment would involve such contact;
(7) violates a curfew;
(8) fails to report
contact with a law enforcement agency, unless the person was charged with a
misdemeanor, gross misdemeanor, or felony; or
(9) commits any offense
for which the penalty is a petty misdemeanor.
(b) A violation by a person
described in paragraph (a) does not warrant the imposition or execution of
sentence and the court may not direct that the person be taken into immediate
custody unless the court receives a written report, signed under penalty of
perjury pursuant to section 358.116, showing probable cause to believe the
person violated probation and establishing by a preponderance of the evidence
that the continued presence of the person in the community would present a risk
to public safety. If the court does not
direct that the person be taken into custody, the court may request a
supplemental report from the supervising agent containing:
(1) the specific nature
of the violation;
(2) the response of the
person under supervision to the violation, if any; and
(3) the actions the
supervising agent has taken or will take to address the violation.
EFFECTIVE DATE. This
section is effective August 1, 2023, and applies to violations that occur on or
after that date.
Sec. 33. LOCAL
CORRECTIONAL FEES; IMPOSITION ON OFFENDERS.
By August 1, 2025, each
local correctional agency under Minnesota Statutes, section 244.18, must
provide a plan for phasing out local correctional fees. A copy of the plan must be provided to all
individuals under supervision by the agency.
Local correctional fees must not increase from the effective date of
this section through August 1, 2025.
Sec. 34. COMMUNITY
SUPERVISION ADVISORY COMMITTEE; REPORT.
(a) By January 15, 2025, the committee must submit a report to the chairs and ranking minority members of the legislative committees with jurisdiction over public safety policy and finance on progress toward developing standards and recommendations under Minnesota Statutes, section 401.17, subdivision 3.
(b) By January 15, 2026,
the committee must submit a final report to the chairs and ranking minority
members of the legislative committees with jurisdiction over public safety
policy and finance on the standards and recommendations developed according to
Minnesota Statutes, section 401.17, subdivision 3. At a minimum, the recommendations must
include a proposed state-level Community Supervision Advisory Board with a
governance structure and duties for the board.
Sec. 35. REPEALER.
(a) Minnesota Statutes
2022, sections 244.19, subdivisions 6, 7, and 8; 244.22; 244.24; and 244.30, are
repealed.
(b) Minnesota Statutes
2022, section 244.18, is repealed.
EFFECTIVE DATE. Paragraph (a) is effective August 1, 2023, and paragraph (b) is effective August 1, 2025."
Delete the title and insert:
"A bill for an act relating to state government; providing for certain crime, public safety, victim, sentencing, expungement, clemency, evidence, policing, private security, corrections, firearm, controlled substances, community supervision, and 911 Emergency Communication System policy provisions in statutes and laws; providing for reports; authorizing rulemaking; appropriating money for sentencing guidelines, public safety, fire marshal, Office of Justice programs, emergency communication, Peace Officer Standards and Training Board, Private Detective Board, corrections, Ombudsperson for Corrections, Board of Public Defense, juvenile justice, peace officer
education and training, and violent crime reduction and prevention; amending Minnesota Statutes 2022, sections 13.825, subdivision 2; 13.871, subdivisions 8, 14; 13A.02, subdivisions 1, 2; 121A.28; 144.6586, subdivision 2; 145.4712; 151.01, by adding a subdivision; 151.40, subdivisions 1, 2; 152.01, subdivisions 12a, 18, by adding a subdivision; 152.02, subdivisions 2, 3, 5, 6; 152.021, subdivisions 1, 2; 152.022, subdivisions 1, 2; 152.023, subdivision 2; 152.025, subdivision 2; 152.093; 152.18, subdivision 1; 152.205; 181.981, subdivision 1; 214.10, subdivision 10; 241.01, subdivision 3a; 241.021, subdivisions 1d, 2a, 2b; 241.025, subdivisions 1, 2, 3; 241.90; 243.05, subdivision 1; 243.166, subdivision 1b; 244.03; 244.05, subdivisions 1b, 2, 3, 5; 244.09, subdivisions 2, 3, by adding a subdivision; 244.19, subdivisions 1, 2, 3, 5, by adding a subdivision; 244.195, subdivisions 1, 2, by adding subdivisions; 244.20; 244.21; 245C.08, subdivisions 1, 2; 260B.176, by adding a subdivision; 297I.06, subdivision 1; 299A.38; 299A.41, subdivision 3; 299A.78, subdivision 1; 299A.79, subdivision 3; 299A.85, subdivision 6; 299C.10, subdivision 1; 299C.106, subdivision 3; 299C.11, subdivisions 1, 3; 299C.111; 299C.17; 299C.53, subdivision 3; 299F.46, subdivision 1; 299F.50, by adding subdivisions; 299F.51, subdivisions 1, 2, 5, by adding a subdivision; 299M.10; 326.32, subdivision 10; 326.3311; 326.336, subdivision 2; 326.3361, subdivision 2; 326.3387, subdivision 1; 401.01; 401.02; 401.025; 401.04; 401.05, subdivision 1; 401.06; 401.08, subdivisions 2, 4; 401.09; 401.10; 401.11; 401.12; 401.14, subdivisions 1, 3; 401.15, subdivision 1; 401.16; 403.02, subdivisions 7, 9a, 11b, 16a, 17, 17c, 18, 19, 19a, 20, 20a, 21, by adding subdivisions; 403.025; 403.03, subdivision 2; 403.05; 403.06; 403.07; 403.08; 403.09, subdivision 2; 403.10, subdivisions 2, 3; 403.11; 403.113; 403.15, subdivisions 1, 2, 3, 4, 5, 6, by adding a subdivision; 609.02, subdivisions 2, 16; 609.03; 609.05, by adding a subdivision; 609.105, subdivisions 1, 3; 609.1055; 609.135, subdivisions 1a, 1c, 2; 609.14, subdivision 1, by adding a subdivision; 609.2231, subdivision 4; 609.2233; 609.25, subdivision 2; 609.269; 609.281, subdivisions 3, 4, 5; 609.282, subdivision 1, by adding a subdivision; 609.321, by adding subdivisions; 609.322, subdivision 1; 609.35; 609.52, subdivision 3; 609.527, subdivision 1, by adding a subdivision; 609.582, subdivisions 3, 4; 609.595, subdivisions 1a, 2; 609.67, subdivisions 1, 2; 609.746, subdivision 1; 609.749, subdivision 3; 609A.01; 609A.02, subdivision 3; 609A.03, subdivisions 5, 7a, 9; 611A.03, subdivision 1; 611A.211, subdivision 1; 611A.31, subdivisions 2, 3, by adding a subdivision; 611A.32; 624.713, subdivision 1; 624.7131, subdivisions 4, 5, 7, 8, 9, 11; 624.7132, subdivisions 4, 5, 8, 10, 13; 626.14, subdivision 2, by adding subdivisions; 626.15; 626.21; 626.5531, subdivision 1; 626.843, by adding a subdivision; 626.8432, subdivision 1; 626.8451, subdivision 1; 626.8457, by adding subdivisions; 626.8469, subdivision 1; 626.8473, subdivision 3; 626.87, subdivisions 2, 3, 5, by adding a subdivision; 626.89, subdivision 17; 626.90, subdivision 2; 626.91, subdivisions 2, 4; 626.92, subdivisions 2, 3; 626.93, subdivisions 3, 4; 626A.35, by adding a subdivision; 628.26; 638.01; 638.02, subdivisions 2, 3; 641.15, subdivision 2; 641.155; Laws 2021, First Special Session chapter 11, article 1, section 15, subdivision 3; proposing coding for new law in Minnesota Statutes, chapters 241; 243; 244; 260B; 299A; 299C; 401; 604; 609; 609A; 617; 624; 626; 638; 641; repealing Minnesota Statutes 2022, sections 152.092; 244.18; 244.19, subdivisions 6, 7, 8; 244.22; 244.24; 244.30; 299C.80, subdivision 7; 403.02, subdivision 13; 403.09, subdivision 3; 609.281, subdivision 2; 609.293, subdivisions 1, 5; 609.34; 609.36; 624.7131, subdivision 10; 624.7132, subdivisions 6, 14; 626.14, subdivisions 3, 4; 626.93, subdivision 7; 638.02; 638.03; 638.04; 638.05; 638.06; 638.07; 638.075; 638.08."
With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.
The
report was adopted.
Hassan from the Committee on Economic Development Finance and Policy to which was referred:
H. F. No. 3028, A bill for an act relating to state government; establishing a biennial budget for Department of Employment and Economic Development, Public Utilities Commission, and Explore Minnesota; modifying various provisions governing economic development, unemployment insurance, and Explore Minnesota; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 116J.5492, subdivisions 8, 10; 116J.8748, subdivisions 3, 4, 6, by adding a subdivision; 116J.8749, subdivisions 1, 3, 5, 10; 116L.361, subdivision 7;
116L.362, subdivision 1; 116L.364, subdivision 3; 116L.56, subdivision 2; 116L.561, subdivision 5; 116L.562, subdivision 2; 116U.05; 116U.10; 116U.15; 116U.20; 116U.25; 116U.30; 116U.35; 126C.43, subdivision 2; 127A.45, subdivision 12; 268.085, subdivisions 7, 8; proposing coding for new law in Minnesota Statutes, chapters 116J; 116L; 116U; 124D.
Reported the same back with the following amendments:
Delete everything after the enacting clause and insert:
"ARTICLE 1
APPROPRIATIONS
|
Section 1. APPROPRIATIONS. |
(a) The sums shown in the
columns marked "Appropriations" are appropriated to the agencies and
for the 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 "2024" and
"2025" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2024, or June 30, 2025,
respectively. "The first year"
is fiscal year 2024. "The second
year" is fiscal year 2025. "The
biennium" is fiscal years 2024 and 2025.
(b) If an appropriation in
this article is enacted more than once in the 2023 regular or special
legislative session, the appropriation must be given effect only once.
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
Available for the
Year |
|
|
|
|
|
Ending June 30 |
|
|
|
|
|
2024 |
2025 |
|
Sec. 2. DEPARTMENT
OF EMPLOYMENT AND ECONOMIC DEVELOPMENT |
|
|
|
|
|
Subdivision 1. Total
Appropriation |
|
$695,532,000 |
|
$125,230,000 |
|
Appropriations by Fund |
||
|
|
2024 |
2025 |
|
General |
693,482,000 |
123,180,000 |
|
Remediation |
700,000 |
700,000 |
|
Workforce Development |
1,350,000 |
1,350,000 |
The amounts that may be
spent for each purpose are specified in the following subdivisions.
|
Subd. 2. Business
and Community Development |
|
693,290,000 |
|
122,988,000 |
|
Appropriations by Fund |
||
|
General |
691,240,000 |
120,938,000 |
|
Remediation |
700,000 |
700,000 |
|
Workforce Development |
1,350,000
|
1,350,000
|
(a) $1,787,000 each year is for
the greater Minnesota business development public infrastructure grant program
under Minnesota Statutes, section 116J.431.
This appropriation is available until June 30, 2027.
(b) $6,425,000 each year is for the small business partnership program under Minnesota Statutes, section 116J.8746. In fiscal year 2026 and beyond, the base amount is $4,679,000.
(c) $1,772,000 each year is
for contaminated site cleanup and development grants under Minnesota Statutes,
sections 116J.551 to 116J.558. This
appropriation is available until expended.
(d) $700,000 each year is
from the remediation fund for contaminated site cleanup and development grants
under Minnesota Statutes, sections 116J.551 to 116J.558. This appropriation is available until
expended.
(e) $389,000 each year is for the Center for Rural Policy and Development. In fiscal year 2026 and beyond, the base amount is $139,000.
(f) $25,000 each year is for
the administration of state aid for the Destination Medical Center under
Minnesota Statutes, sections 469.40 to 469.47.
(g) $875,000 each year is
for the host community economic development program established in Minnesota
Statutes, section 116J.548.
(h)(1) $1,500,000 each year
is for grants to local communities to increase the number of quality child care
providers to support economic development.
This appropriation is available through June 30, 2025. Fifty percent of grant funds must go to
communities located outside the seven-county metropolitan area as defined in
Minnesota Statutes, section 473.121, subdivision 2.
(2) Grant recipients must
obtain a 50 percent nonstate match to grant funds in either cash or in-kind
contribution, unless the commissioner waives the requirement. Grant funds available under this subdivision
must be used to implement projects to reduce the child care shortage in the
state, including but not limited to funding for child care business start-ups
or expansion, training, facility modifications, direct subsidies or incentives
to retain employees, or improvements required for licensing and assistance with
licensing and other regulatory requirements.
In awarding grants, the commissioner must give priority to communities
that have demonstrated a shortage of child care providers.
(3) Within one year of
receiving grant funds, grant recipients must report to the commissioner on the
outcomes of the grant program, including but not limited to the number of new
providers, the
number of additional child care
provider jobs created, the number of additional child care slots, and the
amount of cash and in-kind local funds invested. Within one month of all grant recipients
reporting on program outcomes, the commissioner must report the grant
recipients' outcomes to the chairs and ranking minority members of the
legislative committees with jurisdiction over early learning, child care, and
economic development.
(i) $1,000,000 each year is
for a grant to the Minnesota Initiative Foundations. This appropriation is available until June
30, 2027. The Minnesota Initiative
Foundations must use grant funds under this section to:
(1) facilitate planning
processes for rural communities resulting in a community solution action plan
that guides decision making to sustain and increase the supply of quality child
care in the region to support economic development;
(2) engage the private
sector to invest local resources to support the community solution action plan
and ensure quality child care is a vital component of additional regional
economic development planning processes;
(3) provide locally based
training and technical assistance to rural child care business owners
individually or through a learning cohort.
Access to financial and business development assistance must prepare
child care businesses for quality engagement and improvement by stabilizing
operations, leveraging funding from other sources, and fostering business
acumen that allows child care businesses to plan for and afford the cost of
providing quality child care; and
(4) recruit child care
programs to participate in quality rating and improvement measurement programs. The Minnesota Initiative Foundations must
work with local partners to provide low-cost training, professional development
opportunities, and continuing education curricula. The Minnesota Initiative Foundations must
fund, through local partners, an enhanced level of coaching to rural child care
providers to obtain a quality rating through measurement programs.
(j) $8,000,000 each year is
for the Minnesota job creation fund under Minnesota Statutes, section 116J.8748. Of this amount, the commissioner of
employment and economic development may use up to three percent for
administrative expenses. This
appropriation is available until expended.
(k) $12,370,000 each year
is for the Minnesota investment fund under Minnesota Statutes, section
116J.8731. Of this amount, the
commissioner of employment and economic development may use up to three percent
for administration and monitoring of the
program. This appropriation is available until
expended. Notwithstanding Minnesota
Statutes, section 116J.8731, money appropriated to the commissioner for the
Minnesota investment fund may be used for the redevelopment program under
Minnesota Statutes, sections 116J.575 and 116J.5761, at the discretion of the commissioner. Grants under this paragraph are not subject
to the grant amount limitation under Minnesota Statutes, section 116J.8731.
(l) $2,246,000 each year is
for the redevelopment program under Minnesota Statutes, sections 116J.575 and
116J.5761.
(m) $1,000,000 each year is
for the Minnesota emerging entrepreneur loan program under Minnesota Statutes,
section 116M.18. Funds available under
this paragraph are for transfer into the emerging entrepreneur program special
revenue fund account created under Minnesota Statutes, chapter 116M, and are
available until expended. Of this
amount, up to four percent is for administration and monitoring of the program.
(n) $325,000 each year is
for the Minnesota Film and TV Board. The
appropriation each year is available only upon receipt by the board of $1 in
matching contributions of money or in-kind contributions from nonstate sources
for every $3 provided by this appropriation, except that each year up to
$50,000 is available on July 1 even if the required matching contribution has
not been received by that date.
(o) $12,000 each year is
for a grant to the Upper Minnesota Film Office.
(p) $500,000 each year is
for a grant to the Minnesota Film and TV Board for the film production jobs
program under Minnesota Statutes, section 116U.26. This appropriation is available until June
30, 2027.
(q) $4,195,000 each year is
for the Minnesota job skills partnership program under Minnesota Statutes,
sections 116L.01 to 116L.17. If the
appropriation for either year is insufficient, the appropriation for the other
year is available. This appropriation is
available until expended.
(r) $1,350,000 each year
from the workforce development fund is for jobs training grants under Minnesota
Statutes, section 116L.41.
(s) $2,500,000 each year is
for Launch Minnesota. This appropriation
is available until June 30, 2027. The
base in fiscal year 2026 is $0. Of this
amount:
(1) $1,500,000 each year is for
innovation grants to eligible Minnesota entrepreneurs or start-up businesses to
assist with their operating needs;
(2) $500,000 each year is for administration of Launch Minnesota; and
(3) $500,000 each year is
for grantee activities at Launch Minnesota.
(t) $250,000 each year is
for the publication, dissemination, and use of labor market information under
Minnesota Statutes, section 116J.401.
(u) $500,000 each year is
for the airport infrastructure renewal (AIR) grant program under Minnesota
Statutes, section 116J.439. In awarding
grants with this appropriation, the commissioner must prioritize eligible
applicants that did not receive a grant pursuant to the appropriation in Laws
2019, First Special Session chapter 7, article 1, section 2, subdivision 2,
paragraph (q).
(v) $350,000 each year is
for administration of the community energy transition office.
(w) $500,000,000 in the
first year is for providing businesses with matching funds required by federal
programs. This appropriation is
available until spent. Of this amount:
(1) $100,000,000 is to
match no less than $100,000,000 in federal funds provided by Public Law 117-328
to establish a campus for biomanufacturing pilot-scale testing and
commercialization, including site acquisition and development;
(2) $100,000,000 is to
match no less than $100,000,000 in federal funds provided by Public Law 117-328
for economic development projects that expand Minnesota's economy and job
creation; and
(3) $300,000,000 is to
match no less than $300,000,000 in federal funds provided by Public Law 117-167
for microelectronic manufacturing facilities and workforce development.
(x) $1,250,000 each year is to hire, train, and deploy small business navigators in communities and locations throughout the state to assist small businesses and entrepreneurs, especially historically underserved small businesses and entrepreneurs, in accessing state, federal, local, and private small business assistance programs. Of this amount, $500,000 must be used to improve the agency's digital navigation and information services for small businesses and entrepreneurs. In fiscal year 2026 and beyond, the base amount is $1,000,000.
(y) $500,000 each year is for
the Office of Child Care Community Partnerships. Of this amount:
(1) $450,000 each year is
for administration of the Office of Child Care Community Partnerships; and
(2) $50,000 each year is
for the Labor Market Information Office to conduct research and analysis
related to the child care industry.
(z) $5,000,000 in the first
year is for a grant to the Bloomington Port Authority to provide funding for
the Expo 2027 host organization. The
Bloomington Port Authority must enter into an agreement with the host
organization over the use of funds, which may be used for activities, including
but not limited to finalizing the community dossier and staffing the host
organization as well as infrastructure design and planning, financial modeling,
development planning and coordination of both real estate and public private
partnerships, and reimbursement of the Bloomington Port Authority for costs
incurred. In selecting vendors and
exhibitors for Expo 2027, the host organization shall prioritize outreach to,
collaboration with, and inclusion of businesses that are majority owned by
people of color, women, and people with disabilities. The host organization and the Bloomington
Port Authority may be reimbursed for expenses 90 days prior to encumbrance. This appropriation is contingent on approval
of the project by the Bureau International des Expositions.
(aa) $500,000 each year is
for grants to small business development centers under Minnesota Statutes,
section 116J.68. Money made available
under this paragraph may be used to match funds under the federal Small
Business Development Center (SBDC) program under United States Code, title 15,
section 648, to provide consulting and technical services or to build
additional SBDC network capacity to serve entrepreneurs and small businesses.
(bb) $1,500,000 each year
is for deposit in the community wealth‑building account in the special
revenue fund. Of this amount, up to five
percent is for administration and monitoring of the community wealth-building
grant program under Minnesota Statutes, section 116J.9925.
(cc) $4,000,000 in the
first year and $1,000,000 in the second year are for grants to the Neighborhood
Development Center. This is a onetime
appropriation. Of these amounts:
(1) $750,000 each year is
for small business programs, including training, lending, business services,
and real estate programming;
(2) $250,000 each year is for
technical assistance activities for partners located outside the seven-county
metropolitan area, as defined in Minnesota Statutes, section 473.121,
subdivision 2;
(3) $1,000,000 in the first
year is for development of permanently affordable, concentrated commercial
space and wraparound business services outside the seven-county metropolitan
area, as defined in Minnesota Statutes, section 473.121, subdivision 2; and
(4) $2,000,000 in the first
year is for high-risk, character-based loan capital for nonrecourse loans to be
used to leverage at least $10,000,000 in recourse lending capital.
(dd)(1) $5,000,000 in the
first year is for a grant to the Center for Economic Inclusion for strategic,
data-informed investments in job creation strategies that respond to the needs
of underserved populations statewide. This
may include pay-for-performance contracts with nonprofit organizations to
provide outreach, training, and support services for dislocated and chronically
underemployed people, as well as forgivable loans, revenue-based financing, and
equity investments for entrepreneurs with barriers to growth. Of this amount, up to ten percent may be used
for the center's technical assistance and administrative costs. This appropriation is available until June
30, 2025.
(2) By January 15, 2026,
the Center for Economic Inclusion shall submit a report on the use of grant
funds, including any loans made, to the legislative committees with
jurisdiction over economic development.
(ee) $4,000,000 in the
first year is for the Canadian border counties economic relief program. Of this amount, $1,000,000 is for Tribal
economic development. This appropriation
is available until June 30, 2025.
(ff) $10,000,000 in the
first year is for the targeted community capital project grant program under Minnesota
Statutes, section 116J.9924.
(gg) $13,550,000 in the
first year is for deposit in the emerging developer fund account in the special
revenue fund. Of this amount, up to five
percent is for the administration and monitoring of the emerging developer fund
program under Minnesota Statutes, section 116J.9926.
(hh) $2,000,000 in the
first year is for a grant to African Economic Development Solutions for a loan
fund that must address pervasive economic inequities by supporting business
ventures of entrepreneurs in the African immigrant community. This appropriation is available until June
30, 2026.
(ii) $500,000 each year is for
grants to Enterprise Minnesota, Inc., to directly invest in Minnesota
manufacturers for the small business growth acceleration program under
Minnesota Statutes, section 116O.115. This
is a onetime appropriation.
(jj)(1) $1,500,000 each
year is for grants to MNSBIR, Inc., to support moving scientific excellence and
technological innovation from the lab to the market for start-ups and small
businesses by securing federal research and development funding. The purpose of the grant is to build a strong
Minnesota economy and stimulate the creation of novel products, services, and
solutions in the private sector; strengthen the role of small business in
meeting federal research and development needs; increase the commercial
application of federally supported research results; and develop and increase
the Minnesota workforce, especially by fostering and encouraging participation
by small businesses owned by women and people who are Black, Indigenous, or
people of color. This is a onetime
appropriation.
(2) MNSBIR, Inc., shall use
the grant money to be the dedicated resource for federal research and
development for small businesses of up to 500 employees statewide to support
research and commercialization of novel ideas, concepts, and projects into cutting-edge
products and services for worldwide economic impact. MNSBIR, Inc., shall use grant money to:
(i) assist small businesses
in securing federal research and development funding, including the Small
Business Innovation Research and Small Business Technology Transfer programs
and other federal research and development funding opportunities;
(ii) support technology
transfer and commercialization from the University of Minnesota, Mayo Clinic,
and federal laboratories;
(iii) partner with large
businesses;
(iv) conduct statewide
outreach, education, and training on federal rules, regulations, and
requirements;
(v) assist with scientific
and technical writing;
(vi) help manage federal
grants and contracts; and
(vii) support cost
accounting and sole-source procurement opportunities.
(kk) $2,000,000 in the
first year is for a grant to African Career, Education, and Resource, Inc., for
operational infrastructure and technical assistance to small businesses. This appropriation is available until June
30, 2025.
(ll) $4,000,000 in the first
year is for a grant to the African Development Center to provide loans to
purchase commercial real estate and to expand organizational infrastructure. This appropriation is available until June
30, 2025. Of this amount:
(1) $2,800,000 is for loans
to purchase commercial real estate targeted at African immigrant small business
owners;
(2) $364,000 is for loan
loss reserves to support loan volume growth and attract additional capital; and
(3) $836,000 is for
increasing organizational capacity.
(mm)(1) $375,000 each year
is for grants to PFund Foundation to provide grants to LGBTQ+-owned small
businesses and entrepreneurs. Of this
amount, up to ten percent may be used for PFund Foundation's technical
assistance and administrative costs. This
appropriation is onetime and is available until June 30, 2026. To the extent practicable, money must be
distributed by PFund Foundation as follows:
(i) at least 33.3 percent to racial minority-owned businesses; and
(ii) at least 33.3 percent
to businesses outside of the seven-county metropolitan area as defined in
Minnesota Statutes, section 473.121, subdivision 2.
(nn) $125,000 each year is
for grants to Quorum to provide business support, training, development,
technical assistance, and related activities for LGBTQ+-owned small businesses
that are recipients of a PFund Foundation grant. Of this amount, up to ten percent may be used
for Quorum's technical assistance and administrative costs. This appropriation is onetime and is
available until June 30, 2026.
(oo) $6,000,000 in the
first year is for grants to the Minnesota initiative foundations to capitalize
their revolving loan funds, which address unmet financing needs of for-profit
business start‑ups, expansions, and ownership transitions; nonprofit
organizations; and developers of housing to support the construction,
rehabilitation, and conversion of housing units. Of this amount:
(1) $1,000,000 is for a
grant to the Southwest Initiative Foundation;
(2) $1,000,000 is for a
grant to the West Central Initiative Foundation;
(3) $1,000,000 is for a
grant to the Southern Minnesota Initiative Foundation;
(4) $1,000,000 is for a grant
to the Northwest Minnesota Foundation;
(5) $1,000,000 is for a
grant to the Initiative Foundation; and
(6) $1,000,000 is for a
grant to the Northland Foundation.
(pp) $627,000 in the first
year is for a grant to Community and Economic Development Associates (CEDA) to
provide funding for economic development technical assistance and economic
development project grants to small communities across rural Minnesota and for
CEDA to design, implement, market, and administer specific types of basic
community and economic development programs tailored to individual community
needs. Technical assistance grants shall
be based on need and given to communities that are otherwise unable to afford
these services. Of this amount, up to
$270,000 may be used for economic development project implementation in
conjunction with the technical assistance received.
(qq) $3,000,000 in the first
year is for a grant to the Latino Economic Development Center. This appropriation is available until June
30, 2025. Of this amount:
(1) $1,500,000 is to assist,
support, finance, and launch microentrepreneurs by delivering training,
workshops, and one‑on‑one consultations to businesses; and
(2) $1,500,000 is to guide prospective entrepreneurs in their start‑up process by introducing them to key business concepts, including business start-up readiness. Grant proceeds must be used to offer workshops on a variety of topics throughout the year, including finance, customer service, food-handler training, and food-safety certification. Grant proceeds may also be used to provide lending to business startups.
(rr)(1) $125,000 each year
is for grants to the Latino Chamber of Commerce Minnesota to support the growth
and expansion of small businesses statewide.
Funds may be used for the cost of programming, outreach, staffing, and
supplies. This is a onetime
appropriation.
(2) By January 15, 2026, the
Latino Chamber of Commerce Minnesota must submit a report to the legislative
committees with jurisdiction over economic development that details the use of
grant funds and the grant's economic impact.
(ss)(1) $7,500,000 in the
first year is for a grant to the Metropolitan Economic Development Association
(MEDA) for statewide business development and assistance services to
minority-owned businesses. Of this
amount:
(i) $5,000,000 is for a
revolving loan fund to provide additional minority-owned businesses with access
to capital; and
(ii) $2,500,000 is for
operating support activities related to business development and assistance
services for minority business enterprises.
(2) By February 1, 2025,
MEDA shall report to the commissioner and the legislative committees with
jurisdiction over economic development on the use of grant funds and grant
outcomes.
(tt) $175,000 in the first
year is for a grant to the city of South St. Paul for repurposing the 1927
American Legion Memorial Library after the property is no longer used as a
library. This appropriation is available
until the project is completed or abandoned, subject to Minnesota Statutes,
section 16A.642.
(uu) $62,934,000 each year
is for the empowering enterprise program.
This is a onetime appropriation, of which:
(1) at least $31,000,000
each year is for a grant to the city of Minneapolis;
(2) $11,000,000 each year
is for a grant to the city of St. Paul;
(3) $5,425,000 each year is
for a grant to the Northside Economic Opportunity Network;
(4) $5,425,000 each year is
for a grant to the Lake Street Council;
(5) $5,425,000 each year is
for a grant to the Midway Chamber of Commerce; and
(6) $250,000 each year is
for a grant to the Asian Economic Development Association.
(vv) $250,000 in the first
year is for a grant to LatinoLEAD for organizational capacity-building.
(ww) $200,000 in the first
year is for a grant to the Neighborhood Development Center for small business
competitive grants to software companies working to improve employee engagement
and workplace culture and to reduce turnover.
(xx) $2,000,000 in the
first year and $1,000,000 in the second year are for grants to the Local
Initiatives Support Corporation. This is
a onetime appropriation. Of these
amounts:
(1) $200,000 in the first
year and $100,000 in the second year are for predevelopment grants and
technical assistance in support of real estate development in areas negatively
affected by civil unrest; and
(2) $1,800,000 in the first
year and $900,000 in the second year are for capitalizing a loan program for
the development and construction of commercial and residential projects in
areas negatively affected by civil unrest.
A priority for use of these funds shall be participants in programs for
emerging developers.
(yy) $1,000,000 in fiscal
year 2024 is for a grant to WomenVenture to support child care providers
through business training and shared services programs and to create materials
that could be used, free of charge, for start-up, expansion, and operation of
child care businesses statewide, with the goal of helping new and existing
child care businesses in underserved areas of the state become profitable and
sustainable. The commissioner shall
report data on outcomes and recommendations for replication of this training
program throughout Minnesota to the governor and relevant committees of the
legislature by December 15, 2025. This
is a onetime appropriation and is available until June 20, 2025.
|
Subd. 3. Minnesota
Trade Office |
|
$2,242,000 |
|
$2,242,000 |
(a) $300,000 each year is
for the STEP grants in Minnesota Statutes, section 116J.979.
(b) $180,000 each year is
for the Invest Minnesota marketing initiative under Minnesota Statutes, section
116J.9781.
(c) $270,000 each year is
for the Minnesota Trade Offices under Minnesota Statutes, section 116J.978.
|
Sec. 3. EXPLORE
MINNESOTA TOURISM |
|
$26,307,000 |
|
$21,169,000 |
(a) $500,000 each year must
be matched from nonstate sources to develop maximum private sector involvement
in tourism. Each $1 of state incentive
must be matched with $6 of private sector money. "Matched" means revenue to the
state or documented in‑kind, soft match, or cash expenditures directly
expended to support Explore Minnesota Tourism under section 116U.05. The incentive in fiscal year 2024 is based on
fiscal year 2023 private sector contributions.
The incentive in fiscal year 2025 is based on fiscal year 2024 private
sector contributions. This incentive is
ongoing.
(b) $5,900,000 each year is
for the development of new initiatives for Explore Minnesota Tourism. This is a onetime appropriation and of this
amount:
(1) $3,000,000 each year is for competitive grants for large-scale sporting and other major events;
(2) $1,100,000 each year is for grants to Minnesota's 11 Tribal Nations to promote and support new tourism opportunities for Tribal Nations;
(3) $1,000,000 each year is to expand diversity, equity, inclusion, and accessibility through tourism marketing;
(4) $625,000 each year is for the tourism and hospitality industry and the Governor's Opener events;
(5) $88,000 each year is to
develop new resources and increase engagement for the tourism industry; and
(6) $87,000 each year is to develop a long-term sustainability plan for tourism.
(c)(1) $2,000,000 in the first year is for a tourism industry recovery grant program to provide grants to organizations, Tribal governments, underserved community groups, and communities to accelerate the recovery of the state's tourism industry, with preference for applicants who have not previously received grants. Grant money may be used to support meetings, conventions and group business, multicommunity and high-visibility events, and tourism marketing. Explore Minnesota Tourism must accept grant applications for at least five business days beginning at 8:00 a.m. on the first business day and, if total applications exceed $10,000,000, the grants must be awarded to eligible applicants at random until the funding is exhausted. Of this amount:
(i) at least 25 percent must
go to groups in Hennepin and Ramsey counties;
(ii) at least 25 percent
must go to groups in Anoka, Carver, Dakota, Scott, and Washington counties;
(iii) at least 25 percent
must go to groups outside of the metropolitan area, as defined under Minnesota
Statutes, section 473.121, subdivision 2;
(iv) at least 25 percent
must be distributed as small grants of no more than $10,000 each for tourism
promotional activities; and
(v) up to three percent may
be used for program administration, including promotional activities and
reporting.
(2) Explore Minnesota
Tourism must submit a preliminary report by November 1, 2023, and a final
report by January 1, 2025, to the legislative committees with jurisdiction over
tourism that detail the use of grant funds.
(d) Money for marketing
grants is available either year of the biennium. Unexpended grant money from the first year is
available in the second year.
ARTICLE 2
ECONOMIC DEVELOPMENT POLICY
Section 1. [116J.418]
OFFICE OF CHILD CARE COMMUNITY PARTNERSHIPS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the terms in this subdivision have the meanings given them.
(b) "Child
care" means the care of children while parents or guardians are at work or
absent for another reason.
(c) "Local unit of
government" has the meaning given in section 116G.03, subdivision 3.
(d) "Office"
means the Office of Child Care Community Partnerships established in
subdivision 2, paragraph (a).
Subd. 2. Office
established; purpose. (a) An
Office of Child Care Community Partnerships is established within the
Department of Employment and Economic Development. The department may employ a director and
staff necessary to carry out the office's duties under subdivision 4.
(b) The purpose of the
office is to support child care businesses within the state in order to:
(1) increase the
quantity of quality child care available; and
(2) improve
accessibility to child care for underserved communities and populations.
Subd. 3. Organization. The office shall consist of a director
of the Office of Child Care Community Partnerships, as well as any staff
necessary to carry out the office's duties under subdivision 4.
Subd. 4. Duties. The office shall have the power and
duty to:
(1) coordinate with
state, regional, local, and private entities to promote investment in
increasing the quantity of quality child care in Minnesota;
(2) coordinate with
other agencies including but not limited to Minnesota Management and Budget,
the Department of Human Services, and the Department of Education to develop,
recommend, and implement solutions to increase the quantity of quality child care
openings;
(3) administer the child
care economic development grant program and other appropriations to the
department for this purpose;
(4) monitor the child
care business development efforts of other states and countries;
(5) provide support to
the governor's Children's Cabinet;
(6) provide an annual
report, as required by subdivision 5; and
(7) perform any other
activities consistent with the office's purpose.
Subd. 5. Reporting. (a) Beginning January 15, 2024, and
each year thereafter, the Office of Child Care Community Partnerships shall
report to the legislative committees with jurisdiction over child care policy
and finance on the office's activities during the previous year.
(b) The report shall contain,
at a minimum:
(1) an analysis of the
current access to child care within the state;
(2) an analysis of the
current shortage of child care workers within the state;
(3) a summary of the
office's activities;
(4) any proposed
legislative and policy initiatives; and
(5) any other
information requested by the legislative committees with jurisdiction over
child care, or that the office deems necessary.
(c) The report may be
submitted electronically and is subject to section 3.195, subdivision 1.
Sec. 2. [116J.681]
SMALL BUSINESS NAVIGATORS.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Small
business" has the meaning given in section 645.445.
(d)
"Underserved" means Black, Indigenous, people of color, veterans,
people with disabilities, rural Minnesotans, and low-income individuals.
Subd. 2. Generally. Small business navigators must work
with small businesses and entrepreneurs to help navigate state programs, as
well as programs managed by nongovernmental partners and other public and
private organizations. The purpose of
small business navigators is to connect small businesses and entrepreneurs with
the services needed to be successful.
Subd. 3. Staffing. Staff of small business navigators
serve in the classified service of the state and operate as part of the
department's Small Business Assistance Office.
Subd. 4. Commissioner. The commissioner shall develop and
implement training materials and reporting and evaluation procedures for the
activities of small business navigators.
Subd. 5. Duties. Small business navigators shall:
(1) provide information
and direction to small businesses and entrepreneurs in a timely, accurate, and
comprehensive manner, connecting them with appropriate assistance services from
the state and other governmental and nongovernmental organizations;
(2) build relationships
with and provide targeted outreach to historically underserved populations and
communities;
(3) provide for the
delivery of information and assistance, including but not limited to the use of
media, in a culturally appropriate manner that accommodates businesses and
entrepreneurs with limited English proficiency;
(4) ensure the
availability of small business navigators and materials in all media to persons
with physical disabilities; and
(5) coordinate with and augment
the services and outreach of the agency's Small Business Assistance Office,
Small Business Development Center, Office of Small Business Partnerships, and
Launch Minnesota.
Sec. 3. Minnesota Statutes 2022, section 116J.871, subdivision 1, is amended to read:
Subdivision 1. Definitions. (a) For the purposes of this section, the
following terms have the meanings given them.
(b) "Economic
development" means financial assistance provided to a person directly or
to a local unit of government or nonprofit organization on behalf of a person
who is engaged in the manufacture or sale of goods and services. Economic development does not include (1)
financial assistance for rehabilitation of existing housing or, (2)
financial assistance for new housing construction in which total financial
assistance at a single project site is less than $100,000, or (3) financial
assistance for detached single-family affordable homeownership units in which
the single project site consists of fewer than five units.
(c) "Financial assistance" means (1) a grant awarded by a state agency for economic development related purposes if a single business receives $200,000 or more of the grant proceeds; (2) a loan or the guaranty or purchase of a loan made by a state agency for economic development related purposes if a single business receives $500,000 or more of the loan proceeds; or (3) a reduction, credit, or abatement of a tax assessed under chapter 297A where the tax reduction, credit, or abatement applies to a geographic area smaller than the entire state and was granted for economic development related purposes. Financial assistance does not include payments by the state of aids and credits under chapter 273 or 477A to a political subdivision.
(d) "Project site" means the location where improvements are made that are financed in whole or in part by the financial assistance; or the location of employees that receive financial assistance in the form of employment and training services as defined in section 116L.19, subdivision 4, or customized training from a technical college.
(e) "State agency" means any agency defined under section 16B.01, subdivision 2, Enterprise Minnesota, Inc., and the Iron Range Resources and Rehabilitation Board.
Sec. 4. Minnesota Statutes 2022, section 116J.871, subdivision 2, is amended to read:
Subd. 2. Prevailing wage required. (a) A state agency may provide financial assistance to a person only if the person receiving or benefiting from the financial assistance certifies to the commissioner of labor and industry that laborers and mechanics at the project site during construction, installation, remodeling, and repairs for which the financial assistance was provided will be paid the prevailing wage rate as defined in section 177.42, subdivision 6, and be subject to the requirements and enforcement provisions of sections 177.27, 177.30, 177.32, 177.41 to 177.435, and 177.45.
(b) For the purposes of
a person subject to paragraph (a) who is required to comply with section
177.30, paragraph (a), clauses (6) and (7), the state agency awarding the
financial assistance is considered the contracting authority and the project is
considered a public works project. The
person receiving or benefiting from the financial assistance shall notify all
employers on the project of the record keeping and reporting requirements of
section 177.30, paragraph (a), clauses (6) and (7). Each employer shall submit the required
information to the contracting authority.
Sec. 5. [116J.8746]
SMALL BUSINESS PARTNERSHIP PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Eligible
business" means an entity that:
(1) is a business,
commercial cooperative, employee-owned business, or commercial land trust; and
(2) is either:
(i) located in greater
Minnesota;
(ii) in the field of
high technology; or
(iii) at least 51
percent owned by people who are either:
(A) Black, indigenous,
or people of color;
(B) women;
(C) immigrants;
(D) veterans;
(E) people with disabilities;
(F) low-income; or
(G) LGBTQ+.
(d) "Program"
means the small business partnership program established in this section.
Subd. 2. Establishment. The commissioner of employment and
economic development shall establish a small business partnership program to
make statewide grants to local and regional community-based nonprofit
organizations to support the start-up, growth, and success of eligible businesses
through the delivery of high-quality free or low-cost professional business
development and technical assistance services.
Subd. 3. Grants
to nonprofits. (a) Nonprofit
organizations shall apply for grants using a competitive process established by
the commissioner.
(b) All grants shall be
made in the first year of the biennium and shall be for two years.
(c) Up to ten percent of
the grant amount may be used by the nonprofit for administrative expenses.
(d) Preference shall be given
to applications from nonprofits that can demonstrate a record of successful
outcomes serving historically underserved communities or increasing the upward
economic mobility of clients.
Subd. 4. Administration. The commissioner may use up to five
percent of program funds for administering and monitoring the program.
Subd. 5. Reporting. (a) Grant recipients shall report to
the commissioner each year they receive grant funds. This report shall detail the use of grant
funds and shall include data on the number of individuals served and other
measures of program impact, along with any other information requested by the
commissioner.
(b) By January 15, 2025, and by
January 15 each odd-numbered year thereafter, the commissioner shall submit a
report to the chairs and ranking minority members of the committees of the
house of representatives and the senate having jurisdiction over business
development that details the use of program funds and the program's impact. This report is in addition to the reporting
required under section 3.195.
Sec. 6. Minnesota Statutes 2022, section 116J.8748, subdivision 3, is amended to read:
Subd. 3. Minnesota job creation fund business designation; requirements. (a) To receive designation as a Minnesota job creation fund business, a business must satisfy all of the following conditions:
(1) the business is or will be engaged in, within Minnesota, one of the following as its primary business activity:
(i) manufacturing;
(ii) warehousing;
(iii) distribution;
(iv) information technology;
(v) finance;
(vi) insurance; or
(vii) professional or technical services;
(2) the business must not be primarily engaged in lobbying; gambling; entertainment; professional sports; political consulting; leisure; hospitality; or professional services provided by attorneys, accountants, business consultants, physicians, or health care consultants, or primarily engaged in making retail sales to purchasers who are physically present at the business's location;
(3) the business must enter into a binding construction and job creation business subsidy agreement with the commissioner to expend directly, or ensure expenditure by or in partnership with a third party constructing or managing the project, at least $500,000 in capital investment in a capital investment project that includes a new, expanded, or remodeled facility within one year following designation as a Minnesota job creation fund business or $250,000 if the project is located outside the metropolitan area as defined in section 200.02, subdivision 24, or if 51 percent of the business is cumulatively owned by minorities, veterans, women, or persons with a disability; and:
(i) create at least ten new full-time employee positions within two years of the benefit date following the designation as a Minnesota job creation fund business or five new full-time employee positions within two years of the benefit date if the project is located outside the metropolitan area as defined in section 200.02, subdivision 24, or if 51 percent of the business is cumulatively owned by minorities, veterans, women, or persons with a disability; or
(ii) expend at least
$25,000,000, which may include the installation and purchase of machinery and
equipment, in capital investment and retain at least 200 100
employees for projects located in the metropolitan area as defined in section
200.02, subdivision 24, and 75 or expend at least $10,000,000, which
may include the installation and purchase of machinery and equipment, in
capital investment and retain at least 50 employees for projects located
outside the metropolitan area;
(4) positions or employees moved or relocated from another Minnesota location of the Minnesota job creation fund business must not be included in any calculation or determination of job creation or new positions under this paragraph; and
(5) a Minnesota job creation fund business must not terminate, lay off, or reduce the working hours of an employee for the purpose of hiring an individual to satisfy job creation goals under this subdivision.
(b) Prior to approving the proposed designation of a business under this subdivision, the commissioner shall consider the following:
(1) the economic outlook of the industry in which the business engages;
(2) the projected sales of the business that will be generated from outside the state of Minnesota;
(3) how the business will build on existing regional, national, and international strengths to diversify the state's economy;
(4) whether the business activity would occur without financial assistance;
(5) whether the business is unable to expand at an existing Minnesota operation due to facility or land limitations;
(6) whether the business has viable location options outside Minnesota;
(7) the effect of financial assistance on industry competitors in Minnesota;
(8) financial contributions to the project made by local governments; and
(9) any other criteria the commissioner deems necessary.
(c) Upon receiving notification of local approval under subdivision 2, the commissioner shall review the determination by the local government and consider the conditions listed in paragraphs (a) and (b) to determine whether it is in the best interests of the state and local area to designate a business as a Minnesota job creation fund business.
(d) If the commissioner designates a business as a Minnesota job creation fund business, the business subsidy agreement shall include the performance outcome commitments and the expected financial value of any Minnesota job creation fund benefits.
(e) The commissioner may amend an agreement once, upon request of a local government on behalf of a business, only if the performance is expected to exceed thresholds stated in the original agreement.
(f) A business may apply to be designated as a Minnesota job creation fund business at the same location more than once only if all goals under a previous Minnesota job creation fund agreement have been met and the agreement is completed.
Sec. 7. Minnesota Statutes 2022, section 116J.8748, subdivision 4, is amended to read:
Subd. 4. Certification; benefits. (a) The commissioner may certify a Minnesota job creation fund business as eligible to receive a specific value of benefit under paragraphs (b) and (c) when the business has achieved its job creation and capital investment goals noted in its agreement under subdivision 3.
(b) A qualified Minnesota job creation fund business may be certified eligible for the benefits in this paragraph for up to five years for projects located in the metropolitan area as defined in section 200.02, subdivision 24, and seven years for projects located outside the metropolitan area, as determined by the commissioner when considering the best interests of the state and local area. Notwithstanding section 16B.98, subdivision 5, paragraph (a), clause (3), or 16B.98, subdivision 5, paragraph (b), grant agreements for projects located outside the metropolitan area may be for up to seven years in length. The eligibility for the following benefits begins the date the commissioner certifies the business as a qualified Minnesota job creation fund business under this subdivision:
(1) up to five percent rebate for projects located in the metropolitan area as defined in section 200.02, subdivision 24, and 7.5 percent for projects located outside the metropolitan area, on capital investment on qualifying purchases as provided in subdivision 5 with the total rebate for a project not to exceed $500,000;
(2) an award of up to $500,000 based on full-time job creation and wages paid as provided in subdivision 6 with the total award not to exceed $500,000;
(3) up to $1,000,000 in
capital investment rebates and $1,000,000 in job creation awards are allowable
for projects that have at least $25,000,000 in capital investment and 200
100 new employees in the metropolitan area as defined in section 200.02, subdivision 24, and 75 50 new
employees for projects located outside the metropolitan area;
(4) up to $1,000,000 in
capital investment rebates and up to $1,000,000 in job creation awards
are allowable for projects that have at least $25,000,000 in capital investment,
which may include the installation and purchase of machinery and equipment,
and 200 100 retained employees for projects located in the
metropolitan area as defined in section 200.02, subdivision 24, and 75 or
at least $10,000,000 in capital investment, which may include the installation
and purchase of machinery and equipment, and 50 retained employees for
projects located outside the metropolitan area; and
(5) for clauses (3) and (4) only, the capital investment expenditure requirements may include the installation and purchases of machinery and equipment. These expenditures are not eligible for the capital investment rebate provided under subdivision 5.
(c) The job creation award
may be provided in multiple years as long as the qualified Minnesota job
creation fund business continues to meet the job creation goals provided for in
its agreement under subdivision 3 and the total award does not exceed $500,000
except as provided under paragraph (b), clauses (3) and (4). Under paragraph (b) clause (4), a job
creation award of $2,000 per retained job may be provided one time if the
qualified Minnesota job creation fund business meets the minimum capital investment
and retained employee requirement as provided in paragraph (b), clause (4), for
at least two years.
(d) No rebates or award may be provided until the Minnesota job creation fund business or a third party constructing or managing the project has at least $500,000 in capital investment in the project and at least ten full‑time jobs have been created and maintained for at least one year or the retained employees, as provided in paragraph (b), clause (4), remain for at least one year. The agreement may require additional performance outcomes that need to be achieved before rebates and awards are provided. If fewer retained jobs are maintained, but still above the minimum under this subdivision, the capital investment award shall be reduced on a proportionate basis.
(e) The forms needed to be submitted to document performance by the Minnesota job creation fund business must be in the form and be made under the procedures specified by the commissioner. The forms shall include documentation and certification by the business that it is in compliance with the business subsidy agreement, sections 116J.871 and 116L.66, and other provisions as specified by the commissioner.
(f) Minnesota job creation fund businesses must pay each new full-time employee added pursuant to the agreement total compensation, including benefits not mandated by law, that on an annualized basis is equal to at least 110 percent of the federal poverty level for a family of four.
(g) A Minnesota job creation fund business must demonstrate reasonable progress on capital investment expenditures within six months following designation as a Minnesota job creation fund business to ensure that the capital investment goal in the agreement under subdivision 1 will be met. Businesses not making reasonable progress will not be eligible for benefits under the submitted application and will need to work with the local government unit to resubmit a new application and request to be a Minnesota job creation fund business. Notwithstanding the goals noted in its agreement under subdivision 1, this action shall not be considered a default of the business subsidy agreement.
Sec. 8. Minnesota Statutes 2022, section 116J.8748, subdivision 6, is amended to read:
Subd. 6. Job
creation award. (a) A qualified
Minnesota job creation fund business is eligible for an annual award for each
new job created and maintained under subdivision 4, paragraph (b), clauses
(2) and (3), by the business using the following schedule: $1,000 for each job position paying annual
wages at least $26,000 but less than $35,000; $2,000 for each job position
paying at least $35,000 but less than $45,000; and $3,000 for each job
position paying at least $45,000 but less than $55,000; and $4,000 for each
job position paying at least $55,000; and as noted in the goals under the
agreement provided under subdivision 1. These
awards are increased by $1,000 if the business is located outside the
metropolitan area as defined in section 200.02, subdivision 24, or if 51
percent of the business is cumulatively owned by minorities, veterans, women,
or persons with a disability.
(b) A qualified Minnesota
job creation fund business is eligible for a onetime $2,000 award for each job
retained and maintained under subdivision 4, paragraph (b), clause (4),
provided that each retained job pays total compensation, including benefits not
mandated by law, that on an annualized basis is equal to at least 150 percent
of the federal poverty level for a family of four.
(b) (c) The
job creation award schedule must be adjusted annually using the percentage
increase in the federal poverty level for a family of four.
(c) (d) Minnesota
job creation fund businesses seeking an award credit provided under subdivision
4 must submit forms and applications to the Department of Employment and
Economic Development as prescribed by the commissioner.
Sec. 9. Minnesota Statutes 2022, section 116J.8748, is amended by adding a subdivision to read:
Subd. 6a. Transfer. The commissioner may transfer up to
$2,000,000 of a fiscal year appropriation between the Minnesota job creation
fund program and the redevelopment grant program to meet business demand.
Sec. 10. [116J.8751]
LAUNCH MINNESOTA.
Subdivision 1. Establishment. Launch Minnesota is established within
the Business and Community Development Division of the Department of Employment
and Economic Development to encourage and support the development of new
private sector technologies and support the science and technology policies
under Minnesota Statutes, section 3.222.
Launch Minnesota must provide entrepreneurs and emerging
technology-based companies business development assistance and financial
assistance to spur growth.
Subd. 2. Definitions. (a) For purposes of this section, the
terms defined in this subdivision have the meanings given.
(b) "Advisory
board" means the board established under subdivision 10.
(c) "Commissioner"
means the commissioner of employment and economic development.
(d)
"Department" means the Department of Employment and Economic
Development.
(e)
"Entrepreneur" means a Minnesota resident who is involved in
establishing a business entity and secures resources directed to its growth
while bearing the risk of loss.
(f) "Greater
Minnesota" means the area of Minnesota located outside of the metropolitan
area as defined in Minnesota Statutes, section 473.121, subdivision 2.
(g) "Innovative
technology and business" means a new novel business model or product; a
derivative product incorporating new elements into an existing product; a new
use for a product; or a new process or method for the manufacture, use, or assessment
of any product or activity, patentability, or scalability. Innovative technology or business model does
not include locally based retail, lifestyle, or business services. The business must not be primarily engaged in
real estate development, insurance, banking, lending, lobbying, political
consulting, information technology consulting, wholesale or retail trade,
leisure, hospitality, transportation, construction, ethanol production from
corn, or professional services provided by attorneys, accountants, business
consultants, physicians, or health care consultants.
(h) "Institution of higher education" has the meaning given
in Minnesota Statutes, section 136A.28, subdivision 6.
(i) "Minority group
member" means a United States citizen or lawful permanent resident who is Asian,
Pacific Islander, Black, Hispanic, or Native American.
(j) "Research and development" means any activity that is:
(1) a systematic, intensive study directed toward greater knowledge or understanding of the subject studies;
(2) a systematic study directed specifically toward applying new knowledge to meet a recognized need; or
(3) a systematic
application of knowledge toward the production of useful materials, devices,
systems and methods, including design, development and improvement of
prototypes and new processes to meet specific requirements.
(k) "Start-up"
means a business entity that has been in operation for less than ten years, has
operations in Minnesota, and is in the development stage defined as devoting
substantially all of its efforts to establishing a new business and either of
the following conditions exists:
(1) planned principal operations have not commenced; or
(2) planned principal
operations have commenced, but have raised at least $1,000,000 in equity
financing.
(l)
"Technology-related assistance" means the application and utilization
of technological-information and technologies to assist in the development and
production of new technology-related products or services or to increase the
productivity or otherwise enhance the production or delivery of existing
products or services.
(m) "Trade
association" means a nonprofit membership organization organized to
promote businesses and business conditions and having an election under
Internal Revenue Code section 501(c)(3) or 501(c)(6).
(n) "Veteran"
has the meaning given in Minnesota Statutes, section 197.447.
Subd. 3. Duties. The commissioner, by and through
Launch Minnesota, shall:
(1) support innovation and initiatives designed to accelerate the growth of innovative technology and business start-ups in Minnesota;
(2) in partnership with other organizations, offer classes and instructional sessions on how to start an innovative technology and business start-up;
(3) promote activities for entrepreneurs and investors regarding the state's growing innovation economy;
(4) hold events and meetings that gather key stakeholders in the state's innovation sector;
(5) conduct outreach and education on innovation activities and related financial programs available from the department and other organizations, particularly for underserved communities;
(6) interact and collaborate with statewide partners including but not limited to businesses, nonprofits, trade associations, and higher education institutions;
(7) administer an advisory board to assist with direction, grant application review, program evaluation, report development, and partnerships;
(8) accept grant
applications under subdivisions 5, 6, and 7 and work with the advisory board to
review and prioritize the applications and provide recommendations to the
commissioner; and
(9) perform other duties
at the commissioner's discretion.
Subd. 4. Administration. (a) The executive director shall:
(1) assist the
commissioner and the advisory board in performing the duties of Launch
Minnesota; and
(2) comply with all
state and federal program requirements, and all state and federal securities
and tax laws and regulations.
(b) Launch Minnesota may
occupy and lease physical space in a private coworking facility that includes
office space for staff and space for community engagement for training
entrepreneurs. The physical space leased
under this paragraph is exempt from the requirements in Minnesota Statutes,
section 16B.24, subdivision 6.
(c) At least three times
per month, Launch Minnesota staff shall communicate with organizations in
greater Minnesota that have received a grant under subdivision 7. To the extent possible, Launch Minnesota
shall form partnerships with organizations located throughout the state.
(d) Launch Minnesota
must accept grant applications under this section and provide funding
recommendations to the commissioner and the commissioner shall distribute
grants based in part on the recommendations.
Subd. 5. Application
process. (a) The commissioner
shall establish the application form and procedures for grants.
(b) Upon receiving
recommendations from Launch Minnesota, the commissioner is responsible for
evaluating all applications using evaluation criteria which shall be developed
by Launch Minnesota in consultation with the advisory board.
(c) For grants under
subdivision 6, priority shall be given if the applicant is:
(1) a business or
entrepreneur located in greater Minnesota; or
(2) a business owner,
individual with a disability, or entrepreneur who is a woman, veteran, or
minority group member.
(d) For grants under
subdivision 7, priority shall be given if the applicant is planning to serve:
(1) businesses or
entrepreneurs located in greater Minnesota; or
(2) business owners,
individuals with disabilities, or entrepreneurs who are women, veterans, or
minority group members.
(e) The department
staff, and not Launch Minnesota staff, are responsible for awarding funding,
disbursing funds, and monitoring grantee performance for all grants awarded
under this section.
(f) Grantees must
provide matching funds by equal expenditures and grant payments must be
provided on a reimbursement basis after review of submitted receipts by the
department.
(g) Grant applications
must be accepted on a regular periodic basis by Launch Minnesota and must be
reviewed by Launch Minnesota and the advisory board before being submitted to
the commissioner with their recommendations.
Subd. 6. Innovation
grants. (a) The commissioner
shall distribute innovation grants under this subdivision.
(b) The commissioner
shall provide a grant of up to $35,000 to an eligible business or entrepreneur
for research and development expenses, direct business expenses, and the
purchase of technical assistance or services from public higher education
institutions and nonprofit entities. Research
and development expenditures may include but are not limited to proof of
concept activities, intellectual property protection, prototype designs and
production, and commercial feasibility. Expenditures
funded under this subdivision are not eligible for the research and development
tax credit under Minnesota Statutes, section 290.068. Direct business expenses may include rent,
equipment purchases, and supplier invoices.
Taxes imposed by federal, state, or local government entities may not be
reimbursed under this paragraph. Technical
assistance or services must be purchased to assist in the development or
commercialization of a product or service to be eligible. Each business or entrepreneur may receive
only one grant per biennium under this paragraph.
(c) The commissioner
shall provide a grant of up to $35,000 in Phase 1 or $50,000 in Phase 2 to an
eligible business or entrepreneur that, as a registered client of the Small
Business Innovation Research (SBIR) program, has been awarded a first time
Phase 1 or Phase 2 award pursuant to the SBIR or Small Business Technology
Transfer (STTR) programs after July 1, 2019.
Each business or entrepreneur may receive only one grant per biennium
under this paragraph. Grants under this
paragraph are not subject to the requirements of subdivision 2, paragraph (k).
Subd. 7. Entrepreneur education grants. (a) The commissioner shall make entrepreneur education grants to institutions of higher education and other organizations to provide educational programming to entrepreneurs and provide outreach to and collaboration with businesses, federal and state agencies, institutions of higher education, trade associations, and other organizations working to advance innovative technology businesses throughout Minnesota.
(b) Applications for
entrepreneur education grants under this subdivision must be submitted to the
commissioner and evaluated by department staff other than Launch Minnesota. The evaluation criteria must be developed by
Launch Minnesota, in consultation with the advisory board, and the
commissioner, and priority must be given to an applicant who demonstrates
activity assisting business owners or entrepreneurs residing in greater
Minnesota or who are women, veterans, or minority group members.
(c) Department staff
other than Launch Minnesota staff are responsible for awarding funding,
disbursing funds, and monitoring grantee performance under this subdivision.
(d) Grantees may use the grant funds to deliver the following services:
(1) development and
delivery to innovative technology businesses of industry specific or innovative
product or process specific counseling on issues of business formation, market
structure, market research and strategies, securing first mover advantage or
overcoming barriers to entry, protecting intellectual property, and securing
debt or equity capital. This counseling
is to be delivered in a classroom setting or using distance media
presentations;
(2) outreach and
education to businesses and organizations on the small business investment tax
credit program under Minnesota Statutes, section 116J.8737, the MNvest
crowd-funding program under Minnesota Statutes, section 80A.461, and other
state programs that support innovative technology business creation especially
in underserved communities;
(3) collaboration with
institutions of higher education, local organizations, federal and state
agencies, the Small Business Development Center, and the Small Business
Assistance Office to create and offer educational programming and ongoing
counseling in greater Minnesota that is consistent with those services offered
in the metropolitan area; and
(4) events and meetings
with other innovation-related organizations to inform entrepreneurs and
potential investors about Minnesota's growing innovation economy.
Subd. 8. Report. (a) Launch Minnesota shall annually
report by December 31 to the chairs and ranking minority members of the
committees of the house of representatives and senate having jurisdiction over
economic development policy and finance.
Each report shall include information on the work completed, including
awards made by the department under this section and progress toward
transferring the activities of Launch Minnesota to an entity outside of state
government.
(b) By December 31, 2024, Launch Minnesota shall provide a comprehensive transition plan to the chairs and ranking minority members of the committees of the house of representatives and senate having jurisdiction over economic development policy and finance. The transition plan shall include: (1) a detailed strategy for the transfer of Launch Minnesota activities to an entity outside of state government; (2) the projected date of the transfer; and (3) the role of the state, if any, in ongoing activities of Launch Minnesota or its successor entity.
Subd. 9. Advisory board. (a) The commissioner shall establish an advisory board to advise the executive director regarding the activities of Launch Minnesota, make the recommendations described in this section, and develop and initiate a strategic plan for transferring some activities of Launch Minnesota to a new or existing public‑private partnership or nonprofit organization outside of state government.
(b) The advisory board
shall consist of ten members and is governed by Minnesota Statutes, section
15.059. A minimum of seven members must
be from the private sector representing business and at least two members but
no more than three members must be from government and higher education. At least three of the members of the
advisory board shall be from
greater Minnesota and at least three members shall be minority group members. Appointees shall represent a range of
interests, including entrepreneurs, large businesses, industry organizations,
investors, and both public and private small business service providers.
(c) The advisory board shall select a chair from its private sector members. The executive director shall provide administrative support to the committee.
(d) The commissioner, or
a designee, shall serve as an ex-officio, nonvoting member of the advisory
board.
Sec. 11. Minnesota Statutes 2022, section 116J.9924, subdivision 4, is amended to read:
Subd. 4. Grant
amount; project phasing. (a) The
commissioner shall award grants in an amount not to exceed $1,500,000 $3,000,000
per grant.
(b) A grant awarded under this section must be no less than the amount required to complete one or more phases of the project, less any nonstate funds already committed for such activities.
Sec. 12. [116J.9925]
COMMUNITY WEALTH-BUILDING GRANT PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Community
business" means a cooperative, an employee-owned business, or a commercial
land trust that is at least 51 percent owned by individuals from targeted
groups.
(d) "Partner
organization" means a community development financial institution or
nonprofit corporation.
(e) "Program"
means the community wealth-building grant program created under this section.
(f) "Targeted
groups" means persons who are Black, Indigenous, People of Color,
immigrants, low-income, women, veterans, or persons with disabilities.
Subd. 2. Establishment. The commissioner shall establish a
community wealth-building grant program to award grants to partner
organizations to fund low-interest loans to community businesses. The program must encourage tax-base
revitalization, private investment, job creation for targeted groups, creation
and strengthening of business enterprises,
assistance to displaced businesses, and promotion of economic development in
low-income areas.
Subd. 3. Grants
to partner organizations. (a)
The commissioner shall award grants to partner organizations through a
competitive grant process where applicants apply using a form designed by the
commissioner. In evaluating
applications, the commissioner shall consider whether the applicant:
(1) has a board of
directors that includes members experienced in business and community
development, operating community businesses, addressing racial income
disparities, and creating jobs for targeted groups;
(2) has the technical
skills to analyze projects;
(3) is familiar with
other available public and private funding sources and economic development
programs;
(4) can initiate and
implement economic development projects;
(5) can establish a program and
administer funds;
(6) can work with job
referral networks assisting targeted groups; and
(7) has established
relationships with communities of targeted groups.
(b) The commissioner
shall ensure that loans through the program will fund community businesses
statewide and shall make reasonable attempts to balance the amount of funding
available to community businesses inside and outside of the metropolitan area
as defined under section 473.121, subdivision 2.
(c) Partner organizations
that receive grants under this subdivision shall use up to ten percent of their
award to provide specialized technical and legal assistance, either directly or
through a partnership with organizations with expertise in shared ownership
structures, to community businesses and businesses in the process of
transitioning to community ownership.
(d) Grants under this
subdivision are available for five years.
The commissioner shall review existing grant agreements every five years
and may renew or terminate the agreement based on that review and consideration
of the criteria under paragraph (a).
Subd. 4. Loans
to community businesses. (a)
A partner organization that receives a grant under subdivision 3 shall establish
a plan for making low-interest loans to community businesses. The plan requires approval by the
commissioner.
(b) Under the plan:
(1) the state
contribution to each loan shall be no less than $50,000 and no more than
$2,500,000;
(2) loans shall be made
for projects that are unlikely to be undertaken unless a loan is received under
the program;
(3) priority shall be
given to loans to businesses in the lowest income areas;
(4) the interest rate on
a loan shall not be higher than the Wall Street Journal prime rate;
(5) 50 percent of all
repayments of principal on a loan under the program shall be repaid to the
community wealth-building account created under subdivision 5. The partner organization may retain the
remainder of loan repayments to service loans and provide further technical
assistance;
(6) the partner
organization may charge a loan origination fee of no more than one percent of
the loan value and may retain that origination fee; and
(7) a partner
organization may not make a loan to a project in which it has an ownership
interest.
Subd. 5. Community
wealth-building account. A
community wealth-building account is created in the special revenue fund in the
state treasury. Money in the account is
appropriated to the commissioner for grants under this section.
Subd. 6. Reports. (a) Grant recipients shall submit an
annual report to the commissioner by January 31 of each year they participate
in the program. The report shall
include:
(1) an account of all
loans made through the program the preceding calendar year and the impact of
those loans on community businesses and job creation for targeted groups;
(2) information on the source
and amount of money collected and distributed under the program, its assets and
liabilities, and an explanation of administrative expenses; and
(3) an independent audit
of grant funds performed in accordance with generally accepted accounting
practices and auditing standards.
(b) By February 15 of
each year beginning in 2024, the commissioner shall submit a report to the
chairs and ranking minority members of the legislative committees with
jurisdiction over workforce and economic development on program outcomes,
including copies of all reports received under paragraph (a).
Sec. 13. [116J.9926]
EMERGING DEVELOPER FUND PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Disadvantaged
community" means a community where the median household income is less
than 80 percent of the area median income.
(d) "Eligible
project" means a project that is based in Minnesota and meets one or more
of the following criteria:
(1) it will stimulate
community stabilization or revitalization;
(2) it will be located
within a census tract identified as a disadvantaged community or low-income
community;
(3) it will directly
benefit residents of a low-income household;
(4) it will increase the
supply and improve the condition of affordable housing and homeownership;
(5) it will support the
growth needs of new and existing community-based enterprises that promote
economic stability or improve the supply or quality of job opportunities; or
(6) it will promote
wealth creation, including by being a project in a neighborhood traditionally
not served by real estate developers.
(e) "Emerging
developer" means a developer who:
(1) has limited access
to loans from traditional financial institutions; or
(2) is a new or smaller
developer who has engaged in educational training in real estate development;
and
(3) is either a:
(i) minority as defined
in section 116M.14, subdivision 6;
(ii) woman;
(iii) person with a
disability, as defined in section 116M.14, subdivision 9; or
(iv) low-income person.
(f) "Low-income
person" means a person who:
(1) has a household
income at or below 200 percent of the federal poverty level; or
(2) has a family income
that does not exceed 60 percent of the area median income as determined by the
United States Department of Housing and Urban Development.
(g) "Partner
organization" means a community development financial institution or a
similarly qualified nonprofit corporation, as determined by the commissioner.
(h) "Program"
means the emerging developer fund program created under this section.
Subd. 2. Establishment. The commissioner shall establish an
emerging developer fund program to make grants to partner organizations to make
grants and loans to emerging developers for eligible projects to transform
neighborhoods statewide and promote economic development and the creation and
retention of jobs in Minnesota. The
program must also reduce racial and socioeconomic disparities by growing the
financial capacity of emerging developers.
Subd. 3. Grants
to partner organizations. (a)
The commissioner shall design a competitive process to award grants to partner
organizations to make grants and loans to emerging developers under subdivision
4.
(b) A partner
organization may use up to ten percent of grant funds for the administrative
costs of the program.
Subd. 4. Grants
and loans to emerging developers. (a)
Through the program, partner organizations shall offer emerging developers predevelopment
grants and predevelopment, construction, and bridge loans for eligible projects
according to a plan submitted to and approved by the commissioner.
(b) Predevelopment grants
must be for no more than $100,000. All
loans must be for no more than $1,000,000.
(c) Loans must be for a
term set by the partner organization and approved by the commissioner of no
less than six months and no more than eight years, depending on the use of loan
proceeds.
(d) Loans must be for
zero interest or an interest rate of no more than the Wall Street Journal prime
rate, as determined by the partner organization and approved by the
commissioner based on the individual project risk and type of loan sought.
(e) Loans must have
flexible collateral requirements compared to traditional loans, but may require
a personal guaranty from the emerging developer and may be largely unsecured
when the appraised value of the real estate is low.
(f) Loans must have no
prepayment penalties and are expected to be repaid from permanent financing or
a conventional loan, once that is secured.
(g) Loans must have the
ability to bridge many types of receivables, such as tax credits, grants,
developer fees, and other forms of long-term financing.
(h) At the partner
organization's request and the commissioner's discretion, an emerging developer
may be required to work with an experienced developer or professional services
consultant who can offer expertise and advice throughout the development of the
project.
(i) All loan repayments
must be paid into the emerging developer fund account created in this section
to fund additional loans.
Subd. 5. Eligible
expenses. (a) The following
are eligible expenses for a predevelopment grant or loan under the program:
(1) earnest money or
purchase deposit;
(2) building inspection
fees and environmental reviews;
(3) appraisal and
surveying;
(4) design and tax
credit application fees;
(5) title and recording
fees;
(6) site preparation,
demolition, and stabilization;
(7) interim maintenance
and project overhead;
(8) property taxes and
insurance;
(9) construction bonds
or letters of credit;
(10) market and
feasibility studies; and
(11) professional fees.
(b) The following are
eligible expenses for a construction or bridge loan under the program:
(1) land or building
acquisition;
(2) construction-related
expenses;
(3) developer and
contractor fees;
(4) site preparation,
environmental cleanup, and demolition;
(5) financing fees,
including title and recording;
(6) professional fees;
(7) carrying costs;
(8) construction period
interest;
(9) project reserves;
and
(10) leasehold
improvements and equipment purchase.
Subd. 6. Emerging
developer fund account. An
emerging developer fund account is created in the special revenue fund in the
state treasury. Money in the account is
appropriated to the commissioner for grants to partner organizations to make
loans under this section.
Subd. 7. Reports
to the legislature. (a) By
January 15 of each year, beginning in 2025, each partner organization shall
submit a report to the commissioner on the use of program funds and program
outcomes.
(b) By February 15 of
each year, beginning in 2025, the commissioner shall submit a report to the
chairs of the house of representatives and senate committees with jurisdiction
over economic development on the use of program funds and program outcomes.
Sec. 14. EMPOWERING
ENTERPRISE PROGRAM.
Subdivision 1. Definitions. (a) For the purposes of this section,
the following terms have the meanings given.
(b)
"Commissioner" means the commissioner of employment and economic
development.
(c) "Eligible
organization" means:
(1) a federally certified community development financial institution;
(2) a nonprofit
organization; or
(3) a city.
(d) "Entity"
includes any registered business or nonprofit organization. This includes businesses, cooperatives,
utilities, industrial, commercial, retail, and nonprofit organizations.
Subd. 2. Establishment. The commissioner shall establish a
program to make grants to eligible organizations to develop and implement local
economic relief programs designed with the primary goal of assisting
communities adversely affected by civil unrest during the peacetime emergency
declared in governor's Executive Order No. 20-64 by preserving incumbent
entities and encouraging new entities to locate in those areas. To this end, local programs should include
outreach to cultural communities and support for microenterprises.
Subd. 3. Available
relief. (a) The local
programs established by eligible organizations under this section may include
grants or loans as provided in this section, as well as subgrants to local
nonprofits to further the goals of the program.
Prior to awarding a grant to an eligible organization for a local
program under this section:
(1) the eligible
organization must develop criteria, procedures, and requirements for:
(i) determining
eligibility for assistance;
(ii) the duration,
terms, underwriting and security requirements, and repayment requirements for
loans;
(iii) evaluating
applications for assistance;
(iv) awarding
assistance; and
(v) administering the
grant and loan programs authorized under this section, including any subgrants
to local nonprofits;
(2) the eligible
organization must submit its criteria, procedures, and requirements developed
pursuant to clause (1) to the commissioner of employment and economic
development for review; and
(3) the commissioner must
approve the criteria, procedures, and requirements as developed pursuant to
clause (1) to be used by an eligible organization in determining eligibility
for assistance, evaluating, awarding, and administering a grant and loan program.
(b) Relief under this
section includes grants to entities. These
grants must not exceed $500,000 per entity, must specify that an entity
receiving a grant must remain in the local community a minimum of three years
after the date of the grant, and must require submission of a plan for
continued operation. Grants may be
awarded to applicants only when an eligible organization determines that a loan
is not appropriate to address the needs of the applicant.
(c) Relief under this
section includes loans to entities, with or without interest, and deferred or
forgivable loans. The maximum loan
amount under this subdivision is $500,000 per entity. The lending criteria adopted by an eligible
organization for loans under this subdivision must:
(1) specify that an
entity receiving a deferred or forgivable loan must remain in the local
community a minimum of three years after the date of the loan. The maximum loan deferral period must not
exceed three years from the date the loan is approved; and
(2) require submission
of a plan for continued operation. The
plan must document the probable success of the applicant's plan and probable
success in repaying the loan according to the terms established for the loan
program.
(d) All loan repayment
funds under this subdivision must be paid to the commissioner of employment and
economic development for deposit in the general fund.
Subd. 4. Monitoring
and reporting. (a)
Participating eligible organizations must establish performance measures that
include but are not limited to the following components:
(1) the number of loans
approved and the amounts and terms of the loans;
(2) the number of grants
awarded, award amounts, and the reason that a grant award was made in lieu of a
loan;
(3) the loan default
rate;
(4) the number of jobs
created or retained as a result of the assistance, including information on the
wages and benefit levels, the status of the
jobs as full-time or part-time, and the status of the jobs as temporary or
permanent; and
(5) the amount of
business activity and changes in gross revenues of the grant or loan recipient
as a result of the assistance.
(b) The commissioner of
employment and economic development must monitor the participating eligible
organizations' compliance with this section and the performance measures
developed under paragraph (a).
(c) Participating
eligible organizations must comply with all requests made by the commissioner
under this section and are responsible for the reporting and compliance of any
subgrantees.
(d) By December 15 of
each year the program is in existence, participating eligible organizations
must report their performance measures to the commissioner. By January 15 of each year the program is in
existence, after the first, the commissioner must submit a report of these
performance measures to the chairs and ranking minority members of the
committees of the house of representatives and the senate having jurisdiction
over economic development that details the use of funds under this section.
Subd. 5. Exemptions. (a) Minnesota Statutes, sections
116J.993 to 116J.995, do not apply to assistance under this section. Entities in receipt of assistance under this
section must provide for job creation and retention goals and wage and benefit
goals.
(b) Minnesota Statutes,
sections 16A.15, 16B.97, 16B.98, 16B.991, 16C.05, and 16C.053, do not apply to
assistance under this section.
Subd. 6. Administrative
costs. The commissioner of
employment and economic development may use up to seven percent of the
appropriation made for this section for administrative expenses of the
department or for assisting participating eligible organizations with their
administrative expenses.
EFFECTIVE DATE. This
section is effective the day following final enactment and expires the day
after the last loan is repaid or forgiven as provided under this section.
Sec. 15. CANADIAN
BORDER COUNTIES ECONOMIC RELIEF PROGRAM.
Subdivision 1. Relief
program established. The
Northland Foundation must develop and implement a Canadian border counties
economic relief program to assist businesses adversely affected by the 2021
closure of the Boundary Waters Canoe Area Wilderness or the closures of the
Canadian border since 2020.
Subd. 2. Available
relief. (a) The economic
relief program established under this section may include grants provided in
this section to the extent that funds are available. Before awarding a grant to the Northland
Foundation for the relief program under this section:
(1) the Northland
Foundation must develop criteria, procedures, and requirements for:
(i) determining
eligibility for assistance;
(ii) evaluating
applications for assistance;
(iii) awarding
assistance; and
(iv) administering the
grant program authorized under this section;
(2) the Northland
Foundation must submit its criteria, procedures, and requirements developed
under clause (1) to the commissioner of employment and economic development for
review; and
(3) the commissioner
must approve the criteria, procedures, and requirements submitted under clause
(2).
(b) The maximum grant to
a business under this section is $50,000 per business.
Subd. 3. Qualification
requirements. To qualify for
assistance under this section, a business must:
(1) be located within a
county that shares a border with Canada;
(2) document a reduction
of at least ten percent in gross receipts in 2021 compared to 2019; and
(3) provide a written
explanation for how the 2021 closure of the Boundary Waters Canoe Area
Wilderness or the closures of the Canadian
border since 2020 resulted in the reduction in gross receipts documented under
clause (2).
Subd. 4. Monitoring. (a) The Northland Foundation must
establish performance measures, including but not limited to the following
components:
(1) the number of grants
awarded and award amounts for each grant;
(2) the number of jobs
created or retained as a result of the assistance, including information on the
wages and benefit levels, the status of the jobs as full time or part time, and
the status of the jobs as temporary or permanent;
(3) the amount of
business activity and changes in gross revenues of the grant recipient as a
result of the assistance; and
(4) the new tax revenue
generated as a result of the assistance.
(b) The commissioner of
employment and economic development must monitor the Northland Foundation's
compliance with this section and the performance measures developed under
paragraph (a).
(c) The Northland Foundation
must comply with all requests made by the commissioner under this section.
Subd. 5. Business
subsidy requirements. Minnesota
Statutes, sections 116J.993 to 116J.995, do not apply to assistance under this
section. Businesses in receipt of
assistance under this section must provide for job creation and retention
goals, and wage and benefit goals.
Subd. 6. Administrative
costs. The commissioner of
employment and economic development may use up to one percent of the
appropriation made for this section for administrative expenses of the
department.
EFFECTIVE DATE. This
section is effective July 1, 2023, and expires June 30, 2024.
Sec. 16. REPEALER.
Minnesota Statutes 2022,
section 116J.9924, subdivision 6, and Laws 2019, First Special Session chapter
7, article 2, section 8, as amended by Laws 2021, First Special Session chapter
10, article 2, section 19, is repealed.
ARTICLE 3
CAPITOL AREA
Section 1. CAPITOL
AREA COMMUNITY VITALITY TASK FORCE; APPROPRIATION.
Subdivision 1. Task
force established; membership. (a)
A Capitol Area Community Vitality Task Force is established. The task force consists of the following
members:
(1) the executive
secretary of the Capitol Area Architectural and Planning Board;
(2) one member of the
Capitol Area Architectural and Planning Board, appointed by the board;
(3) two members of the
house of representatives appointed by the speaker of the house, of whom one
must be a member of the majority caucus of the house, and one must be a member
of the minority caucus of the house;
(4) two members of the
senate appointed by the majority leader of the senate, of whom one must be a
member of the majority caucus of the senate, and one must be a member of the
minority caucus of the senate;
(5) four members who are
residents, businesspeople, or members of local organizations in the Capitol
Area, appointed by the mayor of St. Paul; and
(6) one member of the
public appointed by the governor.
(b) The task force must
elect a chair and other officers from among its members. Appointments to the task force must be made
no later than July 15, 2023. The
executive secretary of the Capitol Area Architectural and Planning Board must
convene the first meeting of the task force no later than August 15, 2023.
(c) As used in this
section, "Capitol Area" includes that part of the city of St. Paul
within the boundaries described in Minnesota Statutes, section 15B.02.
Subd. 2. Terms;
compensation. The terms and
compensation of members of the task force are governed by Minnesota Statutes,
section 15.059, subdivision 6.
Subd. 3. Administrative
support. The Capitol Area
Architectural and Planning Board must provide administrative support to assist
the task force in its work.
Subd. 4. Duties;
report. The task force must
consider and develop recommendations for the administration, program plan, and
oversight of the Capitol Area community vitality account established by this
act. The task force must submit its
recommendations to the Capitol Area Architectural and Planning Board for
approval. A report including the
approved recommendations must be submitted by the Capitol Area Architectural
and Planning Board to the chairs and ranking minority members of the committees
of the legislature with jurisdiction over the board no later than February 1,
2024.
Subd. 5. Expiration. Notwithstanding Minnesota Statutes,
section 15.059, subdivision 6, the task force expires upon submission of the
report required by subdivision 4.
Subd. 6. Appropriation. $150,000 in fiscal year 2024 is
appropriated from the general fund to the Capitol Area Architectural and
Planning Board to support the work of the task force, including but not limited
to payment of fees and other expenses necessary to retain appropriate
professional consultants, conduct public meetings, and facilitate other
activities as requested by the task force.
Sec. 2. CAPITOL
AREA COMMUNITY VITALITY ACCOUNT.
Subdivision 1. Account
established; appropriation. (a)
A Capitol Area community vitality account is established in the special revenue
fund. Money in the account is
appropriated to the commissioner of administration to improve the livability,
economic health, and safety of communities within the Capitol Area, provided
that no funds may be expended until a detailed program and oversight plan to
govern their use, in accordance with the spending recommendations of the
Capitol Area Community Vitality Task Force as approved by the Capitol Area
Architectural and Planning Board, has been further approved by law.
(b) As used in this
section, "Capitol Area" includes that part of the city of St. Paul
within the boundaries described in Minnesota Statutes, section 15B.02.
Subd. 2. Appropriation. $5,000,000 in fiscal year 2024 is
transferred from the general fund to the Capitol Area community vitality
account.
Sec. 3. APPROPRIATION;
CAPITOL AREA TRANSPORTATION CORRIDORS.
(a) $5,000,000 in fiscal
year 2024 is appropriated from the general fund to the commissioner of
administration for one or more grants to the city of St. Paul, Ramsey
County, or both, for road projects that improve the livability, economic
health, and safety of communities within the Capitol Area. Funded projects must be consistent with the
recommendations of the Capitol Area Community Vitality Task Force, as approved
by the Capitol Area Architectural and Planning Board. This is a onetime appropriation and is
available until June 30, 2027.
(b) Funds under this
section are available:
(1) for planning,
predesign, design, engineering, environmental analysis and mitigation, land
acquisition, and reconstruction of streets and highways; and
(2) only upon approval of
the expenditure by the Capitol Area Architectural and Planning Board.
(c) For purposes of this section, "Capitol Area" means that part of the city of St. Paul within the boundaries described in Minnesota Statutes, section 15B.02."
Delete the title and insert:
"A bill for an act relating to state government; establishing a biennial budget for the Department of Employment and Economic Development and Explore Minnesota; appropriating money for Capitol area improvements; modifying various policy provisions; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 116J.871, subdivisions 1, 2; 116J.8748, subdivisions 3, 4, 6, by adding a subdivision; 116J.9924, subdivision 4; proposing coding for new law in Minnesota Statutes, chapter 116J; repealing Minnesota Statutes 2022, section 116J.9924, subdivision 6; Laws 2019, First Special Session chapter 7, article 2, section 8, as amended."
With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.
The
report was adopted.
SECOND READING OF HOUSE BILLS
H. F. Nos. 2105, 2310 and
2324 were read for the second time.
INTRODUCTION AND FIRST READING OF HOUSE BILLS
The
following House Files were introduced:
Hudson, Engen, Niska, Torkelson, Nash and Harder introduced:
H. F. No. 3209, A bill for an act relating to family law; providing rights for blind parents; amending Minnesota Statutes 2022, sections 259.53, by adding a subdivision; 260C.201, by adding a subdivision; 518.1751, by adding a subdivision.
The bill was read for the first time and referred to the Committee on Judiciary Finance and Civil Law.
Pursell, Norris, Howard, Myers and Burkel introduced:
H. F. No. 3210, A bill for an act relating to capital investment; appropriating money for a cooperative manufactured housing infrastructure grant program; authorizing the sale and issuance of state bonds; proposing coding for new law in Minnesota Statutes, chapter 462A.
The bill was read for the first time and referred to the Committee on Housing Finance and Policy.
Myers introduced:
H. F. No. 3211, A bill for an act relating to capital investment; appropriating money for water infrastructure improvements in the city of Minnetrista; authorizing the sale and issuance of state bonds.
The bill was read for the first time and referred to the Committee on Capital Investment.
Nelson, M., introduced:
H. F. No. 3212, A bill for an act relating to retirement; State Patrol retirement plan and public employees police and fire retirement plan; reducing employee contribution rates; increasing postretirement adjustments; modifying vesting and return to work requirements, decreasing the employer contribution rate, and adding a supplemental employer contribution for the public employees police and fire retirement plan; reducing the investment rate of return actuarial assumption; reducing interest rates; increasing and adding direct state aids; amending Minnesota Statutes 2022, sections 352B.02, subdivision 1a; 353.01, subdivision 47; 353.65, subdivisions 2, 3, 3b, by adding a subdivision; 356.215, subdivision 8; 356.415, subdivisions 1c, 1e; 356.59, subdivisions 2, 3; proposing coding for new law in Minnesota Statutes, chapters 352B; 353.
The bill was read for the first time and referred to the Committee on State and Local Government Finance and Policy.
Long 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 Wolgamott.
Hudson was excused for the remainder of
todays session.
MESSAGES FROM
THE SENATE
The
following messages were received from the Senate:
Madam Speaker:
I hereby announce the passage by the Senate of the following House File, herewith returned:
H. F. No. 1656, A bill for an act relating to energy; establishing grant programs to enhance the competitiveness of Minnesota entities in obtaining federal money for energy projects; creating an account; requiring a report; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 216C.
Thomas S. Bottern, Secretary of the Senate
Madam Speaker:
I hereby announce the passage by the Senate of the following House File, herewith returned:
H. F. No. 1581, A bill for an act relating to legislative enactments; making miscellaneous technical corrections to laws and statutes; correcting erroneous, obsolete, and omitted text and references; removing redundant, conflicting, and superseded provisions; amending Minnesota Statutes 2022, sections 3.8854; 13.46, subdivision 7; 16A.151, subdivision 2; 17.81, subdivision 3; 62A.307, subdivision 2; 62A.3091, subdivision 2; 62J.581, subdivision 1; 62M.02, subdivision 4; 62U.03, subdivisions 2, 3; 84.83, subdivision 3; 85.34, subdivision 3; 86A.05, subdivisions 2, 4, 9, 11, 12; 86A.21; 92.70, subdivision 3; 93.52; 103A.43; 103B.211, subdivision 1; 103F.405, subdivision 1; 103F.511, subdivision 10; 103F.705; 103F.711, subdivision 6; 103F.715; 103G.005, subdivision 19; 115.55, subdivision 1; 115A.192, subdivision 1; 115A.33; 115A.38, subdivision 1; 115A.39; 115A.54, subdivision 2a; 115A.918, subdivision 2; 116.07, subdivision 4a; 116D.04, subdivision 5a; 119B.011, subdivision 20; 119B.03, subdivision 3; 119B.13, subdivisions 3a, 6; 122A.20, subdivision 2; 124D.19, subdivision 3; 124D.68, subdivision 3; 125A.02, subdivision 1; 144.55, subdivision 2; 144.608, subdivision 1; 144A.471, subdivision 7; 147A.09, subdivision 2; 147D.27, subdivision 6; 148.211, subdivision 1a; 148.724, subdivision 1; 148B.06, subdivision 2; 148B.5301, subdivision 1; 148E.130, subdivision 1a; 160.10, subdivision 8; 161.14, subdivision 89; 167.60; 168.013, subdivisions 1a, 1e, 3, 18, 23; 168.04, subdivision 2; 168.1253, subdivision 2; 168.1256, subdivision 1; 168.1296, subdivision 1; 168.187, subdivisions 2, 7, 9, 10, 11, 12, 27; 168.61, subdivision 2; 168A.09, subdivision 1; 168A.24, subdivision 2; 168B.09, subdivision 2; 169.09, subdivision 13; 169.223, subdivision 4; 169.4581; 169.64, subdivision 9; 169.751; 169A.25, subdivision 1; 169A.26, subdivision 1; 169A.27, subdivision 1; 169A.28, subdivision 2; 169A.46, subdivision 1; 171.0701, subdivisions 1, 1a; 171.0705, subdivisions 2, 3, 4, 5, 7, 8; 171.26, subdivision 1; 173.02, subdivision 6; 173.13, subdivision 6; 174.03, subdivision 3; 174.30, subdivision 3; 174.75, subdivision 3; 174.84, subdivision 1; 176.101, subdivision 4; 214.40, subdivision 1; 219.073; 219.165; 219.18; 219.501, subdivision 1; 219.551, subdivision 6; 219.561, subdivision 1; 221.031, subdivision 9; 221.0314, subdivision 3a; 221.221, subdivision 2; 221.81, subdivision 3e; 245.4661, subdivisions 2, 6; 245.4885, subdivision 1a; 245.814, subdivision 1; 245.91, subdivision 5; 245A.02, subdivision 5a; 245A.04, subdivision 7; 245A.14, subdivision 4; 245A.16, subdivision 1; 245A.52, subdivision 1; 245C.04, subdivision 10; 245D.03, subdivision 1; 245I.02, subdivision 5; 245I.04, subdivision 5; 246.18, subdivision 2a; 254A.19, subdivision 4; 254B.04, subdivision 1; 254B.09, subdivision 2; 256.0112, subdivision 7; 256.975, subdivision 10; 256B.04, subdivision 1b; 256B.0575, subdivision 2; 256B.0625, subdivisions 17, 57; 256B.0671; 256B.0943, subdivision 1; 256B.0947, subdivision 3a; 256B.4912, subdivision 4; 256B.50, subdivision 1; 256B.76, subdivision 1; 256G.08, subdivision 1; 256J.54, subdivision 1; 256L.07, subdivision 4; 268.136, subdivision 3; 272.02, subdivisions 49, 102, 103; 273.1387, subdivision 2; 273.165, subdivision 1; 290.067, subdivision 1; 290.0671, subdivision 1; 290.0677, subdivisions 1, 2; 290.068, subdivision 3; 290.9705, subdivision 3; 297A.70, subdivision 2; 297A.71, subdivision 44; 297B.10; 297B.12; 297E.021, subdivision 3; 297F.01, subdivision 22b; 297I.20, subdivision 1; 327C.015, subdivision 11; 349.12, subdivision 25; 352.91, subdivision 3f; 360.013, subdivision 50; 360.0161, subdivision 2; 360.061, subdivision 1; 360.067, subdivision 4; 360.511, subdivision 24; 383B.058; 402.02, subdivision 2; 403.03, subdivision 2; 403.11, subdivisions 1, 6; 403.15, subdivision 3; 403.161, subdivision 7; 473H.02, subdivision 4; 477C.03, subdivision 3; 504B.371, subdivision 7; 507.24, subdivision 2; 609.035, subdivision 2; 626.892, subdivision 7; repealing Minnesota Statutes 2022, sections 13.461, subdivision 4; 13.7191, subdivision 16; 147D.27, subdivision 5; 160.165, subdivision 3; 165.14; 168.013, subdivision 16; 168.271, subdivision 2; 174.285, subdivision 7; 219.662, subdivision 2; 256B.051, subdivision 7; 256B.439, subdivision 3b; 290.068, subdivisions 6a, 7; 295.50, subdivision 10b; 297B.04; 297B.05; 299F.851, subdivision 7; Laws 2021, chapter 30, article 17, section 16; Minnesota Rules, parts 5530.1000; 7805.0300; 8810.4100.
Thomas S. Bottern, Secretary of the Senate
CALENDAR FOR THE DAY
H. F. No. 1999 was reported
to the House.
Pfarr moved to amend H. F. No. 1999, the second engrossment, as follows:
Page 85, line 17, after the period, insert "No grants awarded under this subdivision may be used for travel outside the state of Minnesota."
A roll call was requested and properly
seconded.
The question was taken on the Pfarr
amendment and the roll was called. There
were 59 yeas and 67 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schomacker
Schultz
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
Backer moved to amend H. F. No. 1999, the second engrossment, as follows:
Page 86, delete lines 6 to 11
Page 86, line 12, delete everything before "Priority"
Page 86, line 18, delete the semicolon and insert a period and delete "and"
Page 86, delete lines 19 to 29
A roll call was requested and properly
seconded.
The question was taken on the Backer
amendment and the roll was called. There
were 59 yeas and 69 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schomacker
Schultz
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
Baker moved to amend H. F. No. 1999, the second engrossment, as follows:
Page 88, after line 30, insert:
"Of the amount in clause (3), $1,000,000 in each year is for a grant to Ka Joog statewide Somali-based collaborative programs for arts and cultural heritage. The funding must be used for Fanka programs to provide arts education and workshops, mentor programs, and community presentations and community engagement events throughout Minnesota."
A roll call was requested and properly
seconded.
The question was taken on the Baker amendment and the roll
was called. There were 53 yeas and 73
nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Knudsen
Koznick
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schultz
Scott
Skraba
Torkelson
Urdahl
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Fogelman
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Joy
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Kresha
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
West
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
Heintzeman moved to amend H. F. No. 1999, the second engrossment, as follows:
Page 92, after line 2, insert:
"Sec. 4. Minnesota Statutes 2022, section 129D.17, is amended by adding a subdivision to read:
Subd. 7. Prohibited activities. Funding from the arts and cultural heritage fund must not be used for projects that promote domestic terrorism or criminal activities."
Amend the title accordingly
A roll call was requested and properly
seconded.
The question was taken on the Heintzeman
amendment and the roll was called. There
were 80 yeas and 11 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bahner
Bakeberg
Baker
Bennett
Bierman
Bliss
Brand
Burkel
Carroll
Cha
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Frederick
Garofalo
Gillman
Grossell
Hansen, R.
Harder
Heintzeman
Hudella
Huot
Igo
Jacob
Johnson
Joy
Knudsen
Kotyza-Witthuhn
Koznick
Kraft
Kresha
Long
McDonald
Mekeland
Moller
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Norris
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Pinto
Pryor
Quam
Reyer
Robbins
Schomacker
Schultz
Scott
Skraba
Stephenson
Swedzinski
Tabke
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Wolgamott
Youakim
Zeleznikar
Spk. Hortman
Those who voted in the negative were:
Acomb
Coulter
Elkins
Howard
Hussein
Jordan
Liebling
Lillie
Nelson, M.
Newton
Rehm
The
motion prevailed and the amendment was adopted.
Heintzeman moved to amend H. F. No. 1999, the second engrossment, as amended, as follows:
Page 74, line 16, after the period, insert "No funding under this section may be awarded to an organization or corporation who has had a civil or criminal sexual assault or sexual harassment judgment against the organization or corporation within the last 24 months, or any organization or corporation where the principal, president, executive director, or CEO or CFO has held a similar position, including an executive board member, in an organization that has had a sexual harassment or sexual assault judgment against them within the last 24 months."
A roll call was requested and properly
seconded.
The question was taken on the Heintzeman
amendment and the roll was called. There
were 77 yeas and 13 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bahner
Bakeberg
Baker
Bennett
Bliss
Brand
Burkel
Cha
Coulter
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Frederick
Garofalo
Gillman
Grossell
Hansen, R.
Harder
Heintzeman
Hudella
Huot
Igo
Jacob
Johnson
Joy
Knudsen
Kotyza-Witthuhn
Koznick
Kraft
Kresha
Lislegard
McDonald
Mekeland
Moller
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Norris
Novotny
O'Driscoll
O'Neill
Pelowski
Perryman
Petersburg
Pfarr
Quam
Reyer
Robbins
Schomacker
Schultz
Scott
Skraba
Stephenson
Swedzinski
Tabke
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Wolgamott
Zeleznikar
Spk. Hortman
Those who voted in the negative were:
Acomb
Elkins
Howard
Hussein
Jordan
Lee, K.
Liebling
Lillie
Long
Nelson, M.
Newton
Rehm
Smith
The
motion prevailed and the amendment was adopted.
CALL OF THE HOUSE
On the motion of Demuth and on the demand
of 10 members, a call of the House was ordered.
The following members answered to their names:
Acomb
Agbaje
Altendorf
Anderson, P. H.
Backer
Bahner
Bakeberg
Baker
Becker-Finn
Bennett
Berg
Bierman
Bliss
Brand
Burkel
Carroll
Cha
Clardy
Coulter
Curran
Daniels
Davids
Davis
Demuth
Dotseth
Edelson
Elkins
Engen
Feist
Finke
Fischer
Fogelman
Franson
Frazier
Frederick
Freiberg
Garofalo
Gillman
Gomez
Greenman
Grossell
Hansen, R.
Hanson, J.
Harder
Hassan
Heintzeman
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Hudella
Huot
Hussein
Igo
Jacob
Johnson
Jordan
Joy
Keeler
Klevorn
Knudsen
Koegel
Kotyza-Witthuhn
Koznick
Kraft
Kresha
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
McDonald
Mekeland
Moller
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, M.
Nelson, N.
Neu Brindley
Newton
Niska
Noor
Norris
Novotny
O'Driscoll
Olson, L.
O'Neill
Pelowski
Pérez-Vega
Perryman
Petersburg
Pfarr
Pinto
Pryor
Pursell
Quam
Rehm
Reyer
Richardson
Robbins
Schomacker
Schultz
Scott
Sencer-Mura
Skraba
Smith
Stephenson
Swedzinski
Tabke
Torkelson
Urdahl
Vang
West
Wiener
Wiens
Witte
Wolgamott
Xiong
Youakim
Zeleznikar
Spk. Hortman
All members answered to the call and it
was so ordered.
H. F. No. 1999, A bill for an act relating to state government; appropriating money from outdoor heritage, clean water, parks and trails, and arts and cultural heritage funds; modifying prior appropriations; modifying provisions related to outdoor heritage fund and parks and trails fund; modifying Clean Water Legacy Act; requiring financial review of certain grant recipients; requiring reports; amending Minnesota Statutes 2022, sections 85.53, subdivision 2, by adding a subdivision; 85.536, subdivisions 1, 2; 97A.056, subdivisions 2, 11, 22; 114D.20, subdivision 2; 114D.30, subdivisions 4, 6, 7; 114D.50, subdivision 4; 129D.17, by adding subdivisions; Laws 2020, chapter 104, article 1, section 2, subdivision 5, as amended.
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:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
Those who voted in the negative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schomacker
Schultz
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
The
bill was passed, as amended, and its title agreed to.
CALL OF
THE HOUSE LIFTED
Long moved that the call of the House be lifted. The motion prevailed and it was so ordered.
ANNOUNCEMENT
BY THE SPEAKER
Pursuant
to Rule 1.15(c)
A message from the Senate has been
received requesting concurrence by the House to amendments adopted by the
Senate to the following House File:
H. F. No. 42.
CALENDAR FOR
THE DAY, Continued
H. F. No. 2073 was reported
to the House.
O'Neill moved to amend H. F. No. 2073, the second engrossment, as follows:
Page 22, line 27, delete "$2,000,000" and insert "$5,000,000"
The
motion prevailed and the amendment was adopted.
Robbins moved to amend H. F. No. 2073, the second engrossment, as amended, as follows:
Page 15, line 21, before "The" insert "(a)"
Page 15, after line 22, insert:
"(b) Of this appropriation, up to $100,000 in fiscal year 2024 is for a study on short-term and long-term enrollment projections for postsecondary education in Minnesota. The study must address how those enrollment changes will affect both state financial aid and the state's public postsecondary systems, and include recommendations for how the state, the Office of Higher Education, and public postsecondary systems should adjust to coming enrollment changes. The study should be performed in consultation with the state demographer, and the commissioner is authorized to contract with independent economists, actuaries, and finance and business experts as needed to complete the study. The Board of Trustees of the Minnesota State Colleges and Universities shall and the Board of Regents of the University of Minnesota is requested to cooperate with the study and promptly respond to the commissioner's requests for information needed to perform the study. The commissioner must submit a report on the results and conclusions of the study to the chairs and ranking minority members of the legislative committees with jurisdiction over higher education finance and policy by December 31, 2023."
A roll call was requested and properly
seconded.
The question was taken on the Robbins
amendment and the roll was called. There
were 58 yeas and 69 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schomacker
Schultz
Scott
Skraba
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
Nash moved to amend H. F. No. 2073, the second engrossment, as amended, as follows:
Page 47, after line 22, insert:
"Sec. 24. Minnesota Statutes 2022, section 137.02, subdivision 4, is amended to read:
Subd. 4. Employee salaries. (a) All nonacademic employees of the University of Minnesota shall be paid salaries comparable to salaries paid to state employees in the classified civil service.
(b) The compensation of the president of the University of Minnesota, including salary and the value of all other forms of compensation, shall not exceed 350 percent of the salary of the governor as set under section 15A.082."
Renumber the sections in sequence and correct the internal references
Amend the title accordingly
A roll call was requested and properly
seconded.
The question was taken on the Nash
amendment and the roll was called. There
were 58 yeas and 69 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schomacker
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
Schomacker was excused for the remainder of today's
session.
McDonald moved to amend H. F. No. 2073, the second engrossment, as amended, as follows:
Page 14, delete subdivision 49 and insert:
|
"Subd. 49. Aspiring Teachers of Color Scholarship |
713,000 |
|
713,000 |
For transfer to the
aspiring Minnesota teachers of color scholarship program account in the special
revenue fund under Laws 2021, First Special Session chapter 2, article 2,
section 45, as amended by this act. The
commissioner of the Office of Higher Education and the commissioner of the
Department of Management and Budget shall transfer to the program's special
revenue fund account any remaining balance of the amount appropriated for the
program in Laws 2021, First Special Session chapter 2, article 1, section 2,
subdivision 38.
The Office of Higher Education may use no more than three percent of the appropriation to administer the program."
Page 15, after line 19, insert:
|
"Subd. 51. Tuition Relief Grant Program for Students Pursuing a Degree in Law Enforcement |
957,000 |
|
957,000 |
For the tuition relief grant program for students pursuing a degree in law enforcement under article 2, section 29. The base for this appropriation is $957,000 in fiscal years 2026 through 2031. The base for this appropriation in fiscal year 2032 and later is $0."
Renumber the subdivisions in sequence
Page 17, line 3, delete "929,265,000" and insert "928,456,000" and delete "904,276,000" and insert "903,467,000"
Page 21, delete lines 3 to 7
Page 21, line 8, delete "(o)" and insert "(n)"
Page 21, line 9, delete "$852,787,000" and insert "$851,978,000"
Page 21, line 10, delete "$852,798,000" and insert "$851,989,000"
Page 21, line 22, delete "717,684,000" and insert "717,318,000" and delete "717,684,000" and insert "717,318,000"
Page 22, delete lines 29 to 32
Page 22, line 33, delete "(g)" and insert "(f)"
Page 22, line 34, delete "$695,684,000" and insert "$695,318,000"
Page 48, delete section 25
Page 48, after line 23, insert:
"Sec. 26. Laws 2021, First Special Session chapter 2, article 2, section 45, is amended to read:
Sec. 45. ASPIRING
MINNESOTA TEACHERS OF COLOR SCHOLARSHIP PILOT PROGRAM.
Subdivision 1. Scholarship
pilot program established. The
commissioner must establish a scholarship pilot program to support
undergraduate and graduate students who are preparing to become teachers, have
demonstrated financial need, and belong to racial or ethnic groups
underrepresented in the state's teacher workforce.
Subd. 2. Eligibility. (a) To be eligible for a scholarship under this section, an applicant must:
(1) either be
admitted and enrolled in a teacher preparation program approved by the
Professional Educator Licensing and Standards Board and be seeking initial
licensure,; or be enrolled in an eligible institution under
section 136A.103 and be completing a two-year program specifically designed
to prepare early childhood educators an associate's degree in early
childhood education, education, or special education;
(2) affirm to the teacher preparation program or the Office of Higher Education that the applicant is a person of color or American Indian;
(3) be meeting satisfactory academic progress as defined under section 136A.101, subdivision 10; and
(4) demonstrate financial need based on criteria developed by the commissioner.
(b) An eligible applicant
may receive a scholarship award more than once, but may receive a total of no
more than $25,000 $30,000 in scholarship awards from the program.
(c) An applicant may
apply for both a scholarship under this section and an underrepresented student
teacher grant under section 136A.1274, but may not receive an award from both
programs during the same academic semester or term unless there are sufficient
funds appropriated to support all eligible applicants.
Subd. 3. Scholarship
award amount. (a) The commissioner
must establish a priority application deadline and must give equal
consideration to all eligible applicants regardless of the applicant's
attended institution or the order the application was received before the
priority application deadline. If the
funds available for the program are insufficient to make full awards to all
eligible applicants who apply on or before the deadline, the commissioner must
make awards based on the expected family contribution Student Aid
Index of an applicant, prioritizing applicants with the lowest expected
family contributions Student Aid Indexes. If there are multiple complete applications
with identical expected family contributions Student Aid Indexes,
those applications may be prioritized by application completion date.
(b) For eligible applicants enrolled in a teacher preparation program as part of a baccalaureate or postbaccalaureate degree program, the maximum award amount is $10,000 per year for full-time study. For eligible applicants enrolled in an associate's degree program, the maximum award amount is $6,000 per year for full-time study. For undergraduate students, full-time study means enrollment in a minimum of 15 or more credits per term. For graduate students, full-time study means enrollment in a minimum of six graduate credits or the equivalent.
(c) If an eligible applicant
is enrolled full time in a program for only one term during the
academic year, the applicant may receive no more than half the applicable
maximum award amount is $5,000. If
an eligible applicant is enrolled part time, the award amount must be prorated
on a per-credit basis.
(d) Subject to the funds available for the program, and subject to the limitation in paragraph (e), the minimum award amount established under this section for full-time study must be no less than $1,000 per year.
(e) An eligible applicant's
individual award amount must not exceed the applicant's cost of attendance
after deducting: (1) the student's expected
family contribution Student Aid Index; (2) the sum of all state or
federal grants and gift aid received, including a Pell Grant and state grant;
(3) the sum of all institutional grants, scholarships, tuition waivers, and
tuition remission amounts; and (4) the amount of any private grants or
scholarships.
(f) Awards are made until available funds are expended. Eligible applicants who completed their applications on or before the priority application deadline but who did not receive an award due to insufficient funds, and eligible applicants who completed their applications after the priority application deadline, shall be placed on an award waiting list by order of application completion date.
Subd. 4. Administration. (a) The commissioner must establish an application process for individual students and institutions on behalf of all eligible students at the institution and other guidelines for implementing the scholarship program.
(b) A scholarship award must be paid to the eligible applicant's teacher preparation institution on behalf of the eligible applicant. Awards may be paid only when the institution has confirmed to the commissioner the applicant's name, racial or ethnic identity, gender, licensure area sought, and enrollment status.
Subd. 4a. Account
established. An aspiring
Minnesota teachers of color scholarship program account is created in the
special revenue fund for depositing money appropriated to or received by the
commissioner for the program. Money
deposited in the account is appropriated to the commissioner, does not cancel,
and is continuously available for scholarship awards under this section.
Subd. 5. Service expectation. An applicant who receives a scholarship under this section is expected to serve as a full-time teacher in Minnesota after completing the program for which the scholarship was awarded.
Subd. 6. Report. By December 15 of each year, the commissioner must submit a full report on the details of the scholarship program for the previous fiscal year to the legislative committees with jurisdiction over E-12 and higher education finance and policy. The reports must also be made available on the Office of Higher Education's website. The reports must include the following information:
(1) the number of applicants and the number of award recipients, each broken down by postsecondary institution with ten or more recipients;
(2) the total number of awards, the total dollar amount of all awards, and the average award amount;
(3) summary data on the racial or ethnic identity, gender, licensure area sought, and enrollment status of all applicants and award recipients; and
(4) other summary data identified by the commissioner as outcome indicators."
Page 51, delete section 29 and insert:
"Sec. 29. TUITION
RELIEF GRANT PROGRAM FOR STUDENTS PURSUING A DEGREE IN LAW ENFORCEMENT.
Subdivision 1. Establishment. The commissioner of the Office of
Higher Education shall establish and implement a time-limited tuition relief
grant program for students pursuing an associate degree in law enforcement to
incentivize individuals to become peace officers.
Subd. 2. Eligibility. A student is eligible for a grant
under this program if the student:
(1) is a resident student
under Minnesota Statutes, section 136A.101, subdivision 8;
(2) is enrolled on or
before September 1, 2028, in a professional police officer education program as
defined in Minnesota Statutes, section 626.84, subdivision 1, paragraph (g). For purposes of this definition,
postsecondary degree means an associate degree;
(3) completes and submits
the Free Application for Federal Student Aid (FAFSA);
(4) applies for state and
federal grants and scholarships for which the applicant may be eligible; and
(5) is making satisfactory academic progress as defined under Minnesota
Statutes, section 136A.101, subdivision 10.
Subd. 3. Application. To receive a grant, the student must
apply in the form and manner established by the commissioner.
Subd. 4. Grant
amount and duration. (a) The
commissioner shall award annual grants in the amount of the actual cost of
tuition and fees at the student's institution of attendance, less any federal
Pell Grant received, any state grant for which the student is eligible, and any
other scholarships or grants awarded to the student. For purposes of this section, the term fees
is defined in Minnesota Statutes, section 136A.121, subdivision 6, paragraph
(d).
(b) The annual grant may
be awarded for no more than four semesters, or its equivalent, for not more
than three years. The grant must be
awarded at the beginning of each academic term and distributed evenly between
the terms of the academic year.
Subd. 5. Penalty. (a) The commissioner shall collect
from the individual the total grant amount paid to the individual under this
section and deposit the money collected into the general fund if the
individual:
(1) does not complete an
associate degree or nondegree program for licensure as a peace officer by June
30, 2031; or
(2) completes the
necessary associate degree or nondegree program for licensure as a peace
officer but does not become a peace officer as defined in Minnesota Statutes,
section 626.84, subdivision 1, paragraph (c), within six months after
completion.
(b) The commissioner must
allow waivers of all or part of the money owed to the commissioner if emergency
circumstances exist that prevented compliance with paragraph (a).
Subd. 6. Expiration. This section expires June 30, 2031."
Page 52, after line 4, insert:
"Sec. 31. REVISOR
INSTRUCTION.
The revisor of statutes shall codify Laws 2021, First Special Session chapter 2, article 2, section 45, as amended by this act, as a new section in Minnesota Statutes numbered 136A.1273."
Renumber the sections in sequence and correct the internal references
Amend the title accordingly
Adjust amounts accordingly
A roll call was requested and properly seconded.
The question was taken on the McDonald
amendment and the roll was called. There
were 58 yeas and 69 nays as follows:
Those who voted in the affirmative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schultz
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
Those who voted in the negative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
The
motion did not prevail and the amendment was not adopted.
H. F. No. 2073, A bill for an act relating to higher education; providing funding and policy related changes for the Office of Higher Education, Minnesota State Colleges and Universities, the University of Minnesota, and the Mayo Clinic; creating and modifying certain scholarships and student aid programs; creating and modifying grant programs to higher education institutions; establishing the Inclusive Higher Education Technical Assistance Center; creating a direct admissions program; providing aid to postsecondary institutions for unemployment insurance; establishing higher education bonding policy; requiring financial review of nonprofit grant recipients; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 136A.101, subdivisions 5a, 7; 136A.121, subdivisions 6, 9, 13; 136A.1241, subdivision 5; 136A.125, subdivision 4; 136A.126, subdivision 4; 136A.1312; 136A.1791, subdivision 3a; 136A.246, subdivisions 4, 5, 6, 8; 136F.04, subdivision 1; 136F.38, subdivisions 3, 4, 5; 175.45, subdivision 1; 354B.23, subdivision 3; proposing coding for new law in Minnesota Statutes, chapters 135A; 136A; 268; repealing Minnesota Statutes 2022, sections 136F.03; 136F.38, subdivision 2.
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 58 nays as follows:
Those who voted in the affirmative were:
Acomb
Agbaje
Bahner
Becker-Finn
Berg
Bierman
Brand
Carroll
Cha
Clardy
Coulter
Curran
Edelson
Elkins
Feist
Finke
Fischer
Frazier
Frederick
Freiberg
Gomez
Greenman
Hansen, R.
Hanson, J.
Hassan
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Huot
Hussein
Jordan
Keeler
Klevorn
Koegel
Kotyza-Witthuhn
Kraft
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
Moller
Nelson, M.
Newton
Noor
Norris
Olson, L.
Pelowski
Pérez-Vega
Pinto
Pryor
Pursell
Rehm
Reyer
Richardson
Sencer-Mura
Smith
Stephenson
Tabke
Vang
Wolgamott
Xiong
Youakim
Spk. Hortman
Those who voted in the negative were:
Altendorf
Anderson, P. H.
Backer
Bakeberg
Baker
Bennett
Bliss
Burkel
Daniels
Davids
Davis
Demuth
Dotseth
Engen
Fogelman
Franson
Garofalo
Gillman
Grossell
Harder
Heintzeman
Hudella
Igo
Jacob
Johnson
Joy
Knudsen
Koznick
Kresha
McDonald
Mekeland
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, N.
Neu Brindley
Niska
Novotny
O'Driscoll
O'Neill
Perryman
Petersburg
Pfarr
Quam
Robbins
Schultz
Scott
Skraba
Swedzinski
Torkelson
Urdahl
West
Wiener
Wiens
Witte
Zeleznikar
The
bill was passed, as amended, and its title agreed to.
H. F. No. 1126, A bill for an act relating to higher education; providing for certain policy changes to postsecondary attainment goals, student financial aid, institutional licensure provisions, and institutional grant programs; amending Minnesota Statutes 2022, sections 135A.012; 136A.121, subdivisions 2, 18; 136A.1241, subdivision 5; 136A.1701, subdivision 11; 136A.62, subdivision 3, by adding a subdivision; 136A.653, by adding a subdivision; 136A.833; 136A.91, subdivision 1; repealing Minnesota Rules, parts 4830.0400, subpart 1; 4880.2500.
The bill was read for the third time and
placed upon its final passage.
The question was taken on the passage of
the bill and the roll was called. There
were 127 yeas and 0 nays as follows:
Those who voted in the affirmative were:
Acomb
Agbaje
Altendorf
Anderson, P. H.
Backer
Bahner
Bakeberg
Baker
Becker-Finn
Bennett
Berg
Bierman
Bliss
Brand
Burkel
Carroll
Cha
Clardy
Coulter
Curran
Daniels
Davids
Davis
Demuth
Dotseth
Edelson
Elkins
Engen
Feist
Finke
Fischer
Fogelman
Franson
Frazier
Frederick
Freiberg
Garofalo
Gillman
Gomez
Greenman
Grossell
Hansen, R.
Hanson, J.
Harder
Hassan
Heintzeman
Hemmingsen-Jaeger
Her
Hicks
Hill
Hollins
Hornstein
Howard
Hudella
Huot
Hussein
Igo
Jacob
Johnson
Jordan
Joy
Keeler
Klevorn
Knudsen
Koegel
Kotyza-Witthuhn
Koznick
Kraft
Kresha
Lee, F.
Lee, K.
Liebling
Lillie
Lislegard
Long
McDonald
Mekeland
Moller
Mueller
Murphy
Myers
Nadeau
Nash
Nelson, M.
Nelson, N.
Neu Brindley
Newton
Niska
Noor
Norris
Novotny
O'Driscoll
Olson, L.
O'Neill
Pelowski
Pérez-Vega
Perryman
Petersburg
Pfarr
Pinto
Pryor
Pursell
Quam
Rehm
Reyer
Richardson
Robbins
Schultz
Scott
Sencer-Mura
Skraba
Smith
Stephenson
Swedzinski
Tabke
Torkelson
Urdahl
Vang
West
Wiener
Wiens
Witte
Wolgamott
Xiong
Youakim
Zeleznikar
Spk. Hortman
The
bill was passed and its title agreed to.
There
being no objection, the order of business reverted to Reports of Standing
Committees and Divisions.
REPORTS OF
STANDING COMMITTEES AND DIVISIONS
Long from the Committee on Rules and Legislative Administration to which was referred:
H. F. No. 2, A bill for an act relating to employment; creating a family and medical benefit insurance program; requiring leave from employment under certain circumstances; allowing substitution of a private plan; prohibiting retaliation; classifying data; authorizing expedited rulemaking; appropriating money; amending Minnesota Statutes 2022, sections 13.719, by adding a subdivision; 62A.01, subdivision 1; 177.27, subdivision 4; 181.032; 256B.0659, subdivision 18; 256B.85, subdivisions 13, 13a; 256J.561, by adding a subdivision; 256J.95, subdivisions 3, 11; 256P.01, subdivision 3; 268.19, subdivision 1; proposing coding for new law as Minnesota Statutes, chapter 268B.
Reported the same back with the recommendation that the bill be re-referred to the Committee on Workforce Development Finance and Policy.
The
report was adopted.
Joint Rule 2.03 has been waived for any subsequent committee action on this bill.
MOTIONS AND RESOLUTIONS
Feist moved that the name of Stephenson be
added as an author on H. F. No. 1019. The motion prevailed.
Fischer moved that the name of Pursell be
added as an author on H. F. No. 1337. The motion prevailed.
Kotyza-Witthuhn moved that the name of
Koznick be added as an author on H. F. No. 1369. The motion prevailed.
Wolgamott moved that the name of Pursell
be added as an author on H. F. No. 2222. The motion prevailed.
Fischer moved that the name of Hussein be
added as an author on H. F. No. 2225. The motion prevailed.
Hassan moved that the name of Reyer be
added as an author on H. F. No. 2369. The motion prevailed.
Hornstein moved that the name of Olson,
L., be added as an author on H. F. No. 2883. The motion prevailed.
Howard moved that the name of Mueller be
added as an author on H. F. No. 2917. The motion prevailed.
ADJOURNMENT
Long moved that when the House adjourns
today it adjourn until 12:30 p.m., Thursday, April 13, 2023. The motion prevailed.
Long moved that the House adjourn. The motion prevailed, and Speaker pro tempore
Wolgamott declared the House stands adjourned until 12:30 p.m., Thursday, April
13, 2023.
Patrick
D. Murphy, Chief
Clerk, House of Representatives