1.1.................... moves to amend H.F. No. 3495, the delete everything amendment
1.2(H3495DE3) as follows:
1.3Page 5, after line 10, insert:

1.4    "Sec. 7. [136A.129] LEGISLATIVE NOTICE.
1.5The office shall notify the chairs of the legislative committees with primary
1.6jurisdiction over higher education finance of any proposed material change to the
1.7administration of any of the grant or financial aid programs in sections 136A.095 to
1.9Page 9, after line 7, insert:

1.10    "Sec. 17. [136F.302] CREDIT TRANSFER.
1.11The board of trustees must develop and maintain a systemwide effective and
1.12efficient mechanism for seamless student transfer between system institutions that has a
1.13goal of minimal loss of credits for transferring students. The Degree Audit and Reporting
1.14System (DARS) and u.select database (and successor databases) housed within the office
1.15of the chancellor shall be the official repository of course equivalencies between system
1.16colleges and universities. Each system college and university shall be responsible for
1.17ensuring the accuracy and completeness of course equivalencies listed for courses offered
1.18by that college or university. The development and maintenance of the system must, at a
1.19minimum, address the following:
1.20(1) alignment of institution curriculum and its communication to stakeholders;
1.21(2) transfer between similar programs;
1.22(3) documentation for transfer-related agreements between institutions;
1.23(4) systemwide transfer information on the Internet that is easily accessible and
1.24maintained in a current and accurate status;
1.25(5) training for campus-level staff to provide accurate and consistent advice to
2.1(6) institutional rather than student obligation to provide prompt required
2.2documentation for course equivalency determinations; and
2.3(7) consistency of transfer policies among institutions in compliance with a system
2.5Page 13, after line 2, insert:

2.6    "Sec. 23. Laws 2009, chapter 95, article 1, section 3, subdivision 21, is amended to
Subd. 21.Transfers
2.9The Minnesota Office of Higher Education
2.10may transfer unencumbered balances from
2.11the appropriations in this section to the state
2.12grant appropriation, the interstate tuition
2.13reciprocity appropriation, the child care
2.14grant appropriation, the Indian scholarship
2.15appropriation, the state work-study
2.16appropriation, the achieve scholarship
2.17appropriation, the public safety officers'
2.18survivors appropriation, and the Minnesota
2.19college savings plan appropriation. Transfers
2.20from the state grant, child care, or state
2.21work-study appropriations may only be made
2.22to the extent there is a projected surplus in
2.23the appropriation. A transfer may be made
2.24only with prior written notice to the chairs
2.25of the senate and house of representatives
2.26committees with jurisdiction over higher
2.27education finance.
2.28EFFECTIVE DATE.This section is effective the day following final enactment."
2.29Page 14, after line 19, insert:

2.31The Board of Trustees of the Minnesota State Colleges and Universities shall report
2.32on February 15, 2011, and annually thereafter through 2015, on its activities to achieve
2.33the credit transfer goals of Minnesota Statutes, section 136F.302, and the results of those
2.34activities. The report shall be made to the chairs and ranking minority members of the
3.1legislative committees with primary jurisdiction over higher education policy and finance.
3.2The goals of Minnesota Statutes, section 136F.302, should be fully achieved as soon as
3.3possible, but no later than the start of the 2015-2016 academic year.

3.6    Subdivision 1. Establishment. To increase the distribution of potential economic
3.7benefit of deposits of reserve funds of the institutions of the Minnesota State Colleges and
3.8Universities, a pilot project is established to transfer certain reserve deposits of selected
3.9institutions from the state treasury to a community financial institution. Notwithstanding
3.10Minnesota Statutes, section 16A.27, on July 1, 2010, the commissioner of management
3.11and budget shall transfer the board-required reserve funds of colleges and universities
3.12selected by the board of trustees under subdivision 2, to a community financial institution
3.13designated for each of the participating colleges and universities.
3.14    Subd. 2. Participating colleges and universities. By June 11, 2010, colleges and
3.15universities must apply to the Board of Trustees of the Minnesota State Colleges and
3.16Universities for participation in the pilot project. Each applicant must designate one or
3.17more community financial institutions for the deposit of board-required reserves, with the
3.18terms of the deposit for each designated community financial institution. The designated
3.19community financial institution must be located within 25 miles of a participating campus.
3.20From the applicants, the board shall select eight postsecondary institutions to participate in
3.21the local deposit pilot project. In making its selection, the board must consider the size
3.22of the institution's reserves and the terms offered by the designated community financial
3.23institutions. Two-year and four-year institutions must be selected to participate in the pilot
3.24project and at least five of the selected institutions must be located in greater Minnesota.
3.25By June 25, 2010, the board must notify the commissioner of management and
3.26budget of the participating colleges and universities and the associated community
3.27financial institutions.
3.28    Subd. 3. Community financial institution. As used in this section, "community
3.29financial institution" means a federally insured bank or credit union, chartered as a bank
3.30or credit union by the state of Minnesota or the United States, that is headquartered in
3.31Minnesota and that has no more than $2,500,000,000 in assets.
3.32    Subd. 4. Evaluation and report. The commissioner of management and budget and
3.33the board of trustees shall independently evaluate the effectiveness or harm of the local
4.1deposit pilot project in increasing the use of community financial institutions and providing
4.2wider distribution of the economic benefit of the deposit of postsecondary reserves. Each
4.3evaluation must include the participating colleges, universities, and community financial
4.4institutions. The commissioner and the board shall report the results of the pilot project
4.5evaluation to the appropriate committees of the legislature by December 1, 2011, with
4.6recommendations on the future implementation of the pilot project. "
4.7Renumber the sections in sequence and correct the internal references
4.8Amend the title accordingly