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Capital IconMinnesota Legislature

HF 3436

1st Unofficial Engrossment - 93rd Legislature (2023 - 2024) Posted on 04/11/2024 07:56pm

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to transportation; amending various provisions relating to the Department
of Transportation, Department of Public Safety, and the Division of Driver and
Vehicle Services; modifying various policies including but not limited to legislative
routes, the Advisory Council on Traffic Safety, driving rules, small business
contract preferences, nondivisible loads, motorcycle ground lighting, sewage septic
tank pumping trucks, the promotion of passenger rail services by the commissioner
of transportation, highway designations, clearance exemptions for certain carriers
operating near rail yards and terminals, hours of service exemptions for transporting
heating fuel in a nationally declared emergency, accident prevention courses for
persons over the age of 55, the transport of certain propane products by persons
between the ages of 18 and 21, veterans' designations on drivers' licenses and
identification cards, limited drivers' licenses, noncompliant drivers' licenses and
identification cards, recreational vehicles, driver education programs, implements
of husbandry operation rules, commercial motor vehicle postsecondary instruction,
child passenger restraint requirements, supplemental school bus warning systems,
and towing authority; establishing working groups; making technical corrections;
requiring reports; amending Minnesota Statutes 2022, sections 43A.17, by adding
a subdivision; 65B.28, subdivision 2; 161.115, subdivisions 116, 117, by adding
a subdivision; 161.14, by adding subdivisions; 161.321, subdivisions 2, 2b; 168.002,
subdivisions 26, 27; 168.013, subdivision 1d; 168.0135, by adding a subdivision;
168.33, subdivision 8a; 168A.085, by adding a subdivision; 168B.035, subdivision
3; 169.09, subdivisions 5, 14a, 19; 169.19, subdivision 2; 169.224, subdivision 3;
169.34, subdivision 1; 169.444, subdivision 4; 169.4503, subdivision 31; 169.56,
by adding a subdivision; 169.685, subdivisions 4, 5, by adding subdivisions; 169.80,
by adding a subdivision; 169.801, subdivision 7; 169.829, by adding a subdivision;
169.87, subdivision 6; 169.974, subdivision 2; 169A.52, subdivision 7; 171.01,
subdivisions 41a, 47, by adding a subdivision; 171.06, subdivision 2a; 171.0605,
subdivisions 2, 6; 171.072; 171.13, subdivision 6, by adding a subdivision; 171.30,
subdivisions 2a, 5; 174.03, subdivision 12; 174.22, subdivisions 2b, 7, 12, 14, by
adding subdivisions; 174.23, subdivision 2; 174.24, subdivisions 1a, 3b, 3c;
174.247; 174.632, subdivision 2; 174.636, subdivision 1; 219.46, subdivision 1;
221.033, subdivision 1, by adding a subdivision; 473.121, subdivision 19;
Minnesota Statutes 2023 Supplement, sections 4.076, subdivision 3; 115E.042,
subdivision 4; 168.1235, subdivision 1; 169.09, subdivision 8; 171.06, subdivision
3; 171.0605, subdivision 5; 171.07, subdivision 15; 171.12, subdivisions 7b, 11;
171.13, subdivision 1a; 171.395, subdivision 1; 171.396; 174.40, subdivision 4a;
221.0269, subdivision 4; 256B.0625, subdivision 17; 609.855, subdivision 7;
proposing coding for new law in Minnesota Statutes, chapters 169; 171; 219;
repealing Minnesota Statutes 2022, sections 169.011, subdivision 70; 169.25;
171.0605, subdivision 4; 174.22, subdivisions 5, 15; 174.23, subdivision 7; 221.033,
subdivision 2c; Minnesota Statutes 2023 Supplement, section 171.06, subdivisions
9, 10, 11; Minnesota Rules, parts 7410.6180; 7411.7600, subpart 3; 8835.0110,
subparts 1, 1a, 6, 7, 10, 11a, 12a, 12b, 13a, 14a, 15, 15a, 16, 17, 18, 19; 8835.0210;
8835.0220; 8835.0230; 8835.0240; 8835.0250; 8835.0260; 8835.0265; 8835.0270;
8835.0275; 8835.0280; 8835.0290; 8835.0310; 8835.0320; 8835.0330, subparts
1, 3, 4; 8835.0350, subparts 1, 3, 4, 5.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

DEPARTMENT OF TRANSPORTATION

Section 1.

Minnesota Statutes 2022, section 161.115, subdivision 116, is amended to read:


Subd. 116.

Route No. 185.

Beginning at a point on Route No. 1 deleted text begin at Sandstonedeleted text end new text begin and Route
No. 390
new text end , thence extending in a northeasterly direction to a point on Route No. 103 as herein
established in Duluth.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the commissioner of
transportation receives a copy of the agreement between the commissioner and the governing
body of Pine County to transfer jurisdiction of a portion of Legislative Route No. 185 and
notifies the revisor of statutes electronically or in writing that the conditions required to
transfer the route have been satisfied.
new text end

Sec. 2.

Minnesota Statutes 2022, section 161.115, subdivision 117, is amended to read:


Subd. 117.

Route No. 186.

Beginning at a point on Route No. 110 as herein established,
thence extending in an easterly direction to a point on Route No. deleted text begin 185 as herein established
at or near Askov
deleted text end new text begin 1 and Route No. 390new text end ; affording Isledeleted text begin ,deleted text end new text begin andnew text end Finlaysondeleted text begin , and Askov,deleted text end a reasonable
means of communication each with the other and other places within the state.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the commissioner of
transportation notifies the revisor of statutes electronically or in writing of the effective
date.
new text end

Sec. 3.

Minnesota Statutes 2022, section 161.115, is amended by adding a subdivision to
read:


new text begin Subd. 272. new text end

new text begin Route No. 341. new text end

new text begin Beginning at a point on Route No. 1 at Sandstone, thence
extending in a generally easterly direction to a point at or near the east bank of the Kettle
River.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the commissioner of
transportation notifies the revisor of statutes electronically or in writing of the effective
date.
new text end

Sec. 4.

Minnesota Statutes 2022, section 161.14, is amended by adding a subdivision to
read:


new text begin Subd. 104. new text end

new text begin Senator David J. Tomassoni Memorial Cross Range Expressway. new text end

new text begin That
segment of marked U.S. Highway 169 from Itasca County State-Aid Highway 69 in the
city of Marble to Saint Louis County State-Aid Highway 7 in the city of Mountain Iron is
designated as "Senator David J. Tomassoni Memorial Cross Range Expressway." Subject
to section 161.139, the commissioner must adopt a suitable design to mark this highway
and erect appropriate signs.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 5.

Minnesota Statutes 2022, section 161.14, is amended by adding a subdivision to
read:


new text begin Subd. 105. new text end

new text begin Mayor Dave Smiglewski Memorial Bridge. new text end

new text begin The bridge on marked U.S.
Highway 212 over the Minnesota River in the city of Granite Falls is designated as "Mayor
Dave Smiglewski Memorial Bridge." Subject to section 161.139, the commissioner must
adopt a suitable design to mark the bridge and erect appropriate signs.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6.

Minnesota Statutes 2022, section 161.321, subdivision 2, is amended to read:


Subd. 2.

Small targeted group business, small business; contract preferences.

(a)
The commissioner may award up to a deleted text begin sixdeleted text end new text begin 12new text end percent preference in the amount bid for
specified construction work to small targeted group businesses.

(b) The commissioner may designate a contract for construction work for award only
to small targeted group businesses if the commissioner determines that at least three small
targeted group businesses are likely to bid.

(c) The commissioner may award up to a four percent preference in the amount bid for
specified construction work to small businesses located in an economically disadvantaged
area as defined in section 16C.16, subdivision 7.

Sec. 7.

Minnesota Statutes 2022, section 161.321, subdivision 2b, is amended to read:


Subd. 2b.

Veteran-owned small business; contract preferences.

(a) The commissioner
may award up to a deleted text begin sixdeleted text end new text begin 12new text end percent preference in the amount bid for specified construction
work to veteran-owned small businesses, except when prohibited by the federal government
as a condition of receiving federal funds. When a bid preference is provided under this
section, the percentage of preference in bid amount under this subdivision may not be less
than the percentage of bid preference provided to any small targeted group business under
subdivision 2.

(b) When a bid preference is provided under this subdivision, the commissioner must
be as inclusive as possible in specifying contracts for construction work, as well as for
construction-related professional and technical services, available under this bid preference
program for veteran-owned small businesses. The term "construction" must be given broad
meaning for purposes of specifying and letting contracts for veteran-owned small businesses
and must include, but is not limited to, preplanning, planning, and all other
construction-related professional and technical services.

(c) When a bid preference is provided under this subdivision, the commissioner must
strive to ensure that contracts will be awarded on a proportional basis with contracts awarded
under subdivision 2.

(d) The commissioner may designate a contract for construction work for award only
to veteran-owned small businesses, if the commissioner determines that at least three
veteran-owned small businesses are likely to bid.

Sec. 8.

Minnesota Statutes 2022, section 169.19, subdivision 2, is amended to read:


Subd. 2.

U-turn.

deleted text begin No vehicle shall be turneddeleted text end new text begin The operator of a vehicle must not turnnew text end to
proceed in the opposite direction upon any curve, or upon the approach to or near the crest
of a grade, where the vehicle cannot be seen by the deleted text begin driverdeleted text end new text begin operatornew text end of any other vehicle
approaching from either direction within 1,000 feetdeleted text begin , nor shall the driverdeleted text end new text begin . The operatornew text end of a
vehicle new text begin must notnew text end turn the vehicle to proceed in the opposite direction unless the movement
can be made safely and without interfering with other traffic. deleted text begin When necessary to
accommodate vehicle configuration on
deleted text end new text begin The operator of a vehicle is permitted to make a
right-hand turn into the farthest lane of
new text end a roadway with two or more lanes in the same
directiondeleted text begin , a driver may turn the vehicle into the farthest lane and temporarily use the shoulder
to make a U-turn
deleted text end new text begin in order to make a U-turn at a reduced-conflict intersection if it is safe to
do so
new text end .

Sec. 9.

Minnesota Statutes 2022, section 169.34, subdivision 1, is amended to read:


Subdivision 1.

Prohibitions.

(a) deleted text begin No person shalldeleted text end new text begin A person must notnew text end stop, stand, or park
a vehicle, except when necessary to avoid conflict with other traffic or in compliance with
the directions of a police officer or traffic-control device, in any of the following places:

(1) on a sidewalk;

(2) in front of a public or private driveway;

(3) within an intersection;

(4) within ten feet of a fire hydrant;

(5) on a crosswalk;

(6) within 20 feet of a crosswalk at an intersection;

(7) within 30 feet upon the approach to any flashing beacon, stop sign, or traffic-control
signal located at the side of a roadway;

deleted text begin (8) between a safety zone and the adjacent curb or within 30 feet of points on the curb
immediately opposite the ends of a safety zone, unless a different length is indicated by
signs or markings;
deleted text end

deleted text begin (9)deleted text end new text begin (8)new text end within 50 feet of the nearest rail of a railroad crossing;

deleted text begin (10)deleted text end new text begin (9)new text end within 20 feet of the driveway entrance to any fire station and on the side of a
street opposite the entrance to any fire station within 75 feet of said entrance when properly
signposted;

deleted text begin (11)deleted text end new text begin (10)new text end alongside or opposite any street excavation or obstruction when such stopping,
standing, or parking would obstruct traffic;

deleted text begin (12)deleted text end new text begin (11)new text end on the roadway side of any vehicle stopped or parked at the edge or curb of a
street;

deleted text begin (13)deleted text end new text begin (12)new text end upon any bridge or other elevated structure upon a highway or within a highway
tunnel, except as otherwise provided by ordinance;

deleted text begin (14)deleted text end new text begin (13)new text end within a bicycle lane, except when posted signs permit parking; or

deleted text begin (15)deleted text end new text begin (14)new text end at any place where official signs prohibit stopping.

(b) deleted text begin No person shalldeleted text end new text begin A person must notnew text end move a vehicle not owned by deleted text begin suchdeleted text end new text begin thenew text end person
into any prohibited area or away from a curb such distance as is unlawful.

(c) deleted text begin No person shalldeleted text end new text begin A person must notnew text end , for camping purposes, leave or park a travel
trailer on or within the limits of any highway or on any highway right-of-way, except where
signs are erected designating the place as a campsite.

(d) deleted text begin No person shalldeleted text end new text begin A person must notnew text end stop or park a vehicle on a street or highway when
directed or ordered to proceed by any peace officer invested by law with authority to direct,
control, or regulate traffic.

Sec. 10.

Minnesota Statutes 2022, section 169.444, subdivision 4, is amended to read:


Subd. 4.

Exception for separated roadway.

(a) A person driving a vehicle on a street
or highway with separated roadways is not required to stop the vehicle when approaching
or meeting a school bus that is on a different roadway.

(b) "Separated roadway" means a road that is separated from a parallel road by anew text begin barrier,new text end
safety islenew text begin ,new text end or deleted text begin safety zonedeleted text end new text begin mediannew text end .

Sec. 11.

Minnesota Statutes 2022, section 169.56, is amended by adding a subdivision to
read:


new text begin Subd. 6. new text end

new text begin Motorcycle ground light. new text end

new text begin Notwithstanding section 169.64, subdivision 4a, a
motorcycle may be equipped with white ground lights mounted under the motorcycle if:
new text end

new text begin (1) the bulbs or strips are not visible to operators of other vehicles; and
new text end

new text begin (2) the lights are aimed as to project a steady, nonflashing beam not more than six feet
in radius directly onto the roadway and illuminate an area around the motorcycle.
new text end

Sec. 12.

Minnesota Statutes 2022, section 169.80, is amended by adding a subdivision to
read:


new text begin Subd. 4. new text end

new text begin Nondivisible load or vehicle. new text end

new text begin (a) "Nondivisible load" or "nondivisible vehicle"
means any load or vehicle exceeding the applicable length, width, height, or weight limits
set forth in this chapter, which, if separated into smaller loads or vehicles would:
new text end

new text begin (1) compromise the intended use of the load or vehicle;
new text end

new text begin (2) destroy the value of the load or vehicle; or
new text end

new text begin (3) require more than eight work hours to dismantle using appropriate equipment. The
applicant for a nondivisible load permit has the burden of proof as to the number of work
hours required to dismantle the load.
new text end

new text begin (b) A vehicle transporting a divisible load may simultaneously transport multiple items
unless doing so would require an additional permit because the vehicle, when loaded with
multiple items, would exceed the limits set forth in this chapter.
new text end

Sec. 13.

Minnesota Statutes 2022, section 169.829, is amended by adding a subdivision
to read:


new text begin Subd. 5. new text end

new text begin Sewage septic tank trucks. new text end

new text begin (a) For the purposes of this subdivision, "emergency
pumping services" means a sewage septic tank truck's response to:
new text end

new text begin (1) uncontrolled and unintended seepage of the contents of a septic system into the
ground, around a structure, or into a body of surface water;
new text end

new text begin (2) damage or malfunction to a septic system that requires removal of the contents of
the septic system for repair or maintenance; or
new text end

new text begin (3) a condition that creates an immediate hazard to the health, welfare, or safety of a
person.
new text end

new text begin (b) When a sewage septic tank truck used exclusively to transport sewage from septic
or holding tanks is performing emergency pumping services, sections 169.823 and 169.826
to 169.828 do not apply, and the weight limitations under section 169.824 are increased by
ten percent when transporting sewage from a single point of service to the point of unloading.
new text end

new text begin (c) Notwithstanding section 169.824, subdivision 1, paragraph (d); 169.826, subdivision
3; or any other law to the contrary, a permit is not required to operate a vehicle under this
subdivision.
new text end

new text begin (d) The seasonal weight increases under section 169.826, subdivision 1, do not apply to
a vehicle operated under this subdivision.
new text end

new text begin (e) A vehicle operated under this subdivision is subject to bridge load limits posted under
section 169.84.
new text end

new text begin (f) A vehicle operated under this subdivision must not be operated with a load that
exceeds the tire manufacturer's recommended load, the manufacturer's gross vehicle weight
rating as affixed to the vehicle, or other certification of gross vehicle weight rating under
Code of Federal Regulations, title 49, sections 567.4 to 567.7.
new text end

new text begin (g) The exceptions under this subdivision do not apply to a sewage septic tank truck's
operation on an interstate highway.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 1, 2024.
new text end

Sec. 14.

new text begin [169.8655] SPECIAL SUGAR BEET HAULING VEHICLE PERMIT.
new text end

new text begin Subdivision 1. new text end

new text begin 122,000-pound vehicles; East Grand Forks. new text end

new text begin A road authority may issue
a permit for a vehicle or combination of vehicles that transports sugar beets and meets the
following requirements:
new text end

new text begin (1) does not exceed a maximum gross vehicle weight of 122,000 pounds;
new text end

new text begin (2) does not use a semitrailer in a combination of vehicles that has an overall length in
excess of 28-1/2 feet; and
new text end

new text begin (3) is only for operation on the following roads in East Grand Forks:
new text end

new text begin (i) U.S. Highway 2 between the North Dakota border and Fifth Avenue Northeast;
new text end

new text begin (ii) Fifth Avenue Northeast between U.S. Highway 2 and Business Highway 2; and
new text end

new text begin (iii) Business Highway 2 from Fifth Avenue Northeast to the sugar beet processing
facility on Business Highway 2.
new text end

new text begin Subd. 2. new text end

new text begin Requirements; restrictions. new text end

new text begin (a) A vehicle or combination of vehicles issued
a permit under subdivision 1:
new text end

new text begin (1) is subject to axle weight limitations under section 169.824, subdivision 1;
new text end

new text begin (2) is subject to seasonal load restrictions under section 169.87;
new text end

new text begin (3) is subject to bridge load limits posted under section 169.84;
new text end

new text begin (4) may not be operated with a load that exceeds the tire manufacturer's recommended
load limit under section 169.823, the manufacturer's gross vehicle weight rating as affixed
to the vehicle, or other certification of gross weight rating under Code of Federal Regulations,
title 49, sections 567.4 to 567.7; and
new text end

new text begin (5) may not be operated on the interstate highway system.
new text end

new text begin (b) The seasonal weight increases authorized under section 169.826 do not apply to a
vehicle or combination of vehicles operating under this section.
new text end

new text begin Subd. 3. new text end

new text begin Permit fee. new text end

new text begin A permit issued under this section must be an annual permit. A
permit issued under this section may only be issued before July 1, 2027. The fee for permits
issued under this section is $300 and must be deposited in the trunk highway fund.
new text end

Sec. 15.

Minnesota Statutes 2022, section 169.87, subdivision 6, is amended to read:


Subd. 6.

Recycling deleted text begin anddeleted text end new text begin ,new text end garbagenew text begin , and waste collectionnew text end vehicles.

(a) deleted text begin Except as provided
in paragraph (b)
deleted text end new text begin While a vehicle is engaged in the type of collection the vehicle was designed
to perform
new text end , weight restrictions imposed under subdivisions 1 and 2 do not apply tonew text begin :
new text end

new text begin (1)new text end a vehicle that does not exceed 20,000 pounds per single axle and is designed and
used exclusively for recycling, while deleted text begin engaged in recyclingdeleted text end new text begin operatingnew text end in a political subdivision
that mandates curbside recycling pickupdeleted text begin .deleted text end new text begin ;
new text end

deleted text begin (b) Weight restrictions imposed under subdivisions 1 and 2 do not apply to: (1)deleted text end new text begin (2)new text end a
vehicle that does not exceed 14,000 pounds per single axle and is used exclusively for
recycling deleted text begin as described in paragraph (a)deleted text end ;

deleted text begin (2)deleted text end new text begin (3)new text end a vehicle that does not exceed 14,000 pounds per single axle and is designed and
used exclusively for collecting mixed municipal solid waste, as defined in section 115A.03,
subdivision 21
deleted text begin , while engaged in such collectiondeleted text end ; deleted text begin or
deleted text end

deleted text begin (3)deleted text end new text begin (4)new text end a portable toilet service vehicle that does not exceed 14,000 pounds per single
axle or 26,000 pounds gross vehicle weight, and is designed and used exclusively for
collecting liquid waste from portable toiletsdeleted text begin , while engaged in such collectiondeleted text end new text begin ; or
new text end

new text begin (5) a sewage septic tank truck while performing emergency pumping services as defined
in section 169.829, subdivision 5, that does not exceed 20,000 pounds per single axle and
is designed and used exclusively to haul sewage from septic or holding tanks
new text end .

deleted text begin (c)deleted text end new text begin (b)new text end Notwithstanding section 169.80, subdivision 1, deleted text begin a violation ofdeleted text end new text begin the owner or operator
of a vehicle that violates the
new text end weight restrictions imposed under subdivisions 1 and 2 deleted text begin by a
vehicle designed and used exclusively for recycling while engaged in recycling in a political
subdivision that mandates curbside recycling pickup while engaged in such collection, by
a vehicle that is designed and used exclusively for collecting mixed municipal solid waste
as defined in section 115A.03, subdivision 21, while engaged in such collection, or by a
portable toilet service vehicle that is designed and used exclusively for collecting liquid
waste from portable toilets, while engaged in such collection,
deleted text end is not subject to criminal
penalties but is subject to a civil penalty for excess weight under section 169.871new text begin if the
vehicle meets the requirements under paragraph (a) and is engaged in the type of collection
the vehicle was designed to perform
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective June 1, 2024.
new text end

Sec. 16.

Minnesota Statutes 2022, section 174.03, subdivision 12, is amended to read:


Subd. 12.

Trunk highway performance, resiliency, and sustainability.

(a) The
commissioner must implement performance measures and deleted text begin annualdeleted text end targets for the trunk
highway system in order to construct resilient infrastructure, enhance the project selection
for all transportation modes, improve economic security, and achieve the state transportation
goals established in section 174.01.

(b) At a minimum, the transportation planning process must include:

(1) an inventory of transportation assets, including but not limited to bridge, pavement,
geotechnical, pedestrian, bicycle, and transit asset categories;

(2) deleted text begin lag (resulting), and where practicable lead (predictive),deleted text end new text begin establishment of statewide
new text end performance measures and deleted text begin annualdeleted text end targetsnew text begin , reporting of performance measure results, and
where possible, performance forecasts
new text end that are:

(i) statewide andnew text begin , where data allow,new text end district-specific;

(ii) for assets in each asset category specified in clause (1) deleted text begin for a period of up to 60 yearsdeleted text end ;
and

(iii) identified in collaboration with the public;

(3) gap identification and an explanation of the difference between performance targets
and current status; and

(4) life cycle assessment and corridor risk assessment as part of asset management
programs in each district of the department.

(c) At a minimum, the ten-year capital highway investment plan in each district of the
department must:

(1) be based on expected funding during the plan period new text begin and, to the extent feasible,
maximize long-term benefits
new text end ;

new text begin (2) estimate the funding necessary to make optimal life cycle investments;
new text end

deleted text begin (2)deleted text end new text begin (3)new text end identify investments within each of the asset categories specified in paragraph
(b), clause (1)new text begin , that are funded through the trunk highway capital programnew text end ;

deleted text begin (3)deleted text end new text begin (4)new text end deleted text begin recommenddeleted text end new text begin identifynew text end specific trunk highway segments new text begin programmed new text end to be removed
from the trunk highway system; and

deleted text begin (4)deleted text end new text begin (5)new text end deliver annual progress toward achieving the state transportation goals established
in section 174.01.

(d) Annually by December 15, the commissioner must report trunk highway performance
measures and deleted text begin annualdeleted text end targets and identify gaps, including information detailing the
department's progress on achieving the state transportation goals, to the chairs and ranking
minority members of the legislative committees having jurisdiction over transportation
policy and finance. The report must be signed by the deleted text begin department's chief engineerdeleted text end
new text begin commissionernew text end .

Sec. 17.

Minnesota Statutes 2023 Supplement, section 174.40, subdivision 4a, is amended
to read:


Subd. 4a.

Eligibility.

A statutory or home rule charter city, county, town, or federally
recognized Indian Tribe is eligible to receive funding under this sectionnew text begin . A statutory or home
rule charter city, county, or town is eligible to receive funding for infrastructure projects
under this section
new text end only if it has adopted subdivision regulations that require safe routes to
school infrastructure in developments authorized on or after June 1, 2016.

Sec. 18.

Minnesota Statutes 2022, section 174.632, subdivision 2, is amended to read:


Subd. 2.

Responsibilities.

(a) The planning, design, development, construction, operation,
and maintenance of passenger rail track, facilities, and services are governmental functions,
serve a public purpose, and are a matter of public necessity.

(b) The commissioner is responsible for all aspects of planning, designing, developing,
constructing, equipping, operating,new text begin promoting,new text end and maintaining passenger rail, including
system planning, alternatives analysis, environmental studies, preliminary engineering, final
design, construction, negotiating with railroads, and developing financial and operating
plans.

(c) The commissioner may enter into a memorandum of understanding or agreement
with a public or private entity, including Amtrak, a regional railroad authority, a joint powers
board, and a railroad, to carry out these activities.

Sec. 19.

Minnesota Statutes 2022, section 174.636, subdivision 1, is amended to read:


Subdivision 1.

Powers.

The commissioner has all powers necessary to carry out the
duties specified in section 174.632. In the exercise of those powers, the commissioner may:

(1) acquire by purchase, gift, or by eminent domain proceedings as provided by law, all
land and property necessary to preserve future passenger rail corridors or to construct,
maintain, and improve passenger rail corridors;

new text begin (2) conduct and engage in promotional and marketing research, campaigns, outreach,
and other activities to increase awareness, education, and ridership of passenger rail in
Minnesota;
new text end

deleted text begin (2)deleted text end new text begin (3)new text end let all necessary contracts as provided by law; and

deleted text begin (3)deleted text end new text begin (4)new text end make agreements with and cooperate with any public or private entity, including
Amtrak, to carry out statutory duties related to passenger rail.

Sec. 20.

new text begin [219.455] DEFINITIONS.
new text end

new text begin (a) For purposes of sections 219.45 to 219.53, the following terms have the meanings
given.
new text end

new text begin (b) "Depot company" means a company formed to construct and operate a passenger
station on behalf of a railroad or rail carrier.
new text end

new text begin (c) "Passenger service" means both intercity rail passenger service and commuter rail
passenger service.
new text end

new text begin (d) "Railway company" means a company incorporated or licensed to operate a railroad
track or train, and includes a company that loads, unloads, or transloads products.
new text end

new text begin (e) "Terminal" means a facility or station where:
new text end

new text begin (1) trains stop to load, unload, or transfer passengers, freight, or both;
new text end

new text begin (2) formation, dispatch, reception and temporary stabling, and marshalling of rolling
stock occurs; or
new text end

new text begin (3) trains are serviced, maintained, or repaired.
new text end

new text begin (f) "Yard" means a system of tracks within defined limits provided for making up trains,
storing cars, and other purposes.
new text end

new text begin (g) "Yard track" means a system of tracks within defined limits used for:
new text end

new text begin (1) the making up or breaking up of trains;
new text end

new text begin (2) the storing of cars; and
new text end

new text begin (3) other related purposes over which movements not authorized by timetable or by train
order may be made subject to prescribed signals, rules, or other special instructions.
new text end

new text begin Sidings used exclusively as passing track and main line track within yard limits do not
constitute yard track.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 21.

Minnesota Statutes 2022, section 219.46, subdivision 1, is amended to read:


Subdivision 1.

Structure.

(a) On and after April 16, 1913, it is unlawful for a common
carrier or any other person, on a standard gauge road on its line or a standard gauge sidetrack,
for use in any traffic mentioned in section 219.45:

(1) to erect or reconstruct and maintain an adjoining warehouse, coal chute, stock pen,
pole, mail crane, standpipe, hog drencher, or any permanent or fixed structure or obstruction
within eight feet of the centerline of the track or sidetrack;

(2) in excavating, to allow an adjoining embankment of earth or natural rock to remain
within eight feet of the centerline of the track or sidetrack; or

(3) to erect or reconstruct overhead wires, bridges, viaducts or other obstructions passing
over or above its tracks at a height less than 21 feet, measured from the top of the track rail.

(b) If after May 1, 1943, overhead structures or platforms or structures designed only
to be used in the loading or unloading of cars are rebuilt or remodeled, then these overhead
structures must be built with an overhead clearance of not less than 22 feet from the top of
the rail. These structures or platforms must be built with a side clearance of not less than
8-1/2 feet from the centerline of the track unless by order the commissioner may provide
otherwise.

(c) Sections 219.45 to 219.53 do not apply to yards and terminals ofnew text begin : (1)new text end depot companiesnew text begin ,new text end
ornew text begin (2)new text end railway companies used only for passenger service. If personal injury is sustained by
an employee of a depot company or railway company used only for passenger service, by
reason of noncompliance with sections 219.45 to 219.53, that employee, or in case of the
employee's death, the personal representative, has the rights, privileges, and immunities
enumerated in section 219.53.

(d) On and after May 1, 1943, it is unlawful for a common carrier or any other person,
on a standard gauge road on its line or a standard gauge sidetrack or spur, for use in any
traffic mentioned in section 219.45:

(1) to erect or construct and maintain an adjoining warehouse, coal chute, stock pen,
pole, mail crane, standpipe, hog drencher, or any permanent or fixed structure or obstruction
within 8-1/2 feet of the centerline of the track;

(2) in excavating, to allow an adjoining embankment of earth or natural rock to remain
within 8-1/2 feet of the centerline of the track or sidetrack; or

(3) to erect or construct overhead wires, bridges, viaducts, or other obstructions passing
over or above its tracks at a height less than 22 feet, measured from the top of the track rail.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 22.

Minnesota Statutes 2023 Supplement, section 221.0269, subdivision 4, is amended
to read:


Subd. 4.

Intrastate transportation; deleted text begin heatingdeleted text end fuelnew text begin productsnew text end .

(a) If a regional emergency
has been declared by the President of the United States or by the Federal Motor Carrier
Safety Administration pursuant to United States Code, title 49, section 390.23(a), deleted text begin and the
declaration includes heating fuel as a covered commodity,
deleted text end the federal regulations incorporated
into section 221.0314, subdivision 9, for hours of service do not apply to drivers engaged
in intrastate transportation of deleted text begin heatingdeleted text end fuelnew text begin products when the driver is:
new text end

new text begin (1) driving a vehicle designed and exclusively used to transport fuel products; and
new text end

new text begin (2) carrying only fuel products as defined in section 296A.01new text end .

(b) new text begin The relief provided by paragraph (a) only applies when the fuel product being
transported is included in the emergency declaration as a covered commodity.
new text end

new text begin (c) new text end Notwithstanding the relief provided in paragraph (a), a driver may not exceed a total
of 14 hours combined on-duty and driving time after coming on duty following at least ten
consecutive hours off-duty.

deleted text begin (c)deleted text end new text begin (d)new text end If a driver is operating under the relief provided by paragraph (a), and the
declaration is in effect for more than 30 calendar days, the driver must take a 34-hour restart
before the driver has been on duty for 30 consecutive days.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 23.

Minnesota Statutes 2022, section 221.033, subdivision 1, is amended to read:


Subdivision 1.

Requirements.

Except as provided in deleted text begin subdivisions 2 to 2ddeleted text end new text begin this sectionnew text end ,
no person may transport or offer or accept for transportation within the state of Minnesota
a hazardous material, hazardous substance, or hazardous waste except in compliance with
United States Code, title 49, sections 5101 to 5126 and the provisions of Code of Federal
Regulations, title 49, parts 171 to 199, which are incorporated by reference. Those provisions
apply to transportation in intrastate commerce to the same extent they apply to transportation
in interstate commerce.

Sec. 24.

Minnesota Statutes 2022, section 221.033, is amended by adding a subdivision
to read:


new text begin Subd. 2e. new text end

new text begin Transportation of specific petroleum products; driver requirements. new text end

new text begin (a)
This subdivision applies to intrastate commerce.
new text end

new text begin (b) A driver who operates a motorized tank truck vehicle with a capacity of less than
3,500 gallons that is used to transport petroleum products must have a valid commercial
driver's license with endorsements for hazardous materials and tank vehicles and be at least
18 years of age.
new text end

new text begin (c) A driver who operates a vehicle that is used to transport liquefied petroleum gases
in nonbulk or bulk packaging as defined in Code of Federal Regulations, title 49, section
171.8, including the transportation of consumer storage tanks in compliance with Code of
Federal Regulations, title 49, section 173.315(j), must have a valid commercial driver's
license with a hazardous materials endorsement and be at least 18 years of age.
new text end

new text begin (d) A driver who operates a vehicle under paragraph (c) must also have a tank vehicle
endorsement if the aggregate capacity of the bulk packaging being transported is 1,000
gallons or more.
new text end

new text begin (e) Nonbulk or bulk packaging transported under paragraph (c) must have an aggregate
capacity of less than 3,500 gallons.
new text end

Sec. 25. new text begin REPORT REQUIRED; DYNAMIC TRANSPORTATION OPTIONS.
new text end

new text begin (a) The commissioner of transportation must convene a dynamic transportation options
workgroup to develop recommendations related to improving dynamic transportation options
for residents of nonmetropolitan counties and report the recommendations to the legislative
committees with jurisdiction over transportation finance and policy by February 1, 2025.
The workgroup must examine options that improve access to nonfixed route transportation
services; allow for flexibility in scheduling rides; and leverage existing programs, resources,
or private sector businesses in the county.
new text end

new text begin (b) For the purposes of this section, "nonmetropolitan county" is defined as any Minnesota
county other than those under Minnesota Statutes, section 473.121, subdivision 4.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment,
contingent upon determination by the commissioner of transportation that the requirements
of this section will have no cost to the Department of Transportation.
new text end

Sec. 26. new text begin REPORT REQUIRED; METRO MOBILITY ENHANCEMENTS.
new text end

new text begin The chair of the Metropolitan Council must convene a Metro Mobility enhancements
workgroup to develop recommendations related to improving the efficiency, effectiveness,
reliability, and rider experience of the special transportation service under Minnesota Statutes,
section 473.386, and report the recommendations to the legislative committees with
jurisdiction over transportation finance and policy by February 1, 2025.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment,
contingent upon determination by the chair of the Metropolitan Council that the requirements
of this section will have no cost to the council.
new text end

Sec. 27. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2022, sections 169.011, subdivision 70; 169.25; and 221.033,
subdivision 2c,
new text end new text begin are repealed.
new text end

ARTICLE 2

DEPARTMENT OF PUBLIC SAFETY

Section 1.

Minnesota Statutes 2023 Supplement, section 4.076, subdivision 3, is amended
to read:


Subd. 3.

Membership; chair.

(a) The advisory council consists of the following
members:

(1) the chair, which is filled on a two-year rotating basis by a designee from:

(i) the Office of Traffic Safety in the Department of Public Safety;

(ii) the Office of Traffic Engineering in the Department of Transportation; and

(iii) the Injury and Violence Prevention Section in the Department of Health;

(2) two vice chairs, which must be filled by the two designees who are not currently
serving as chair of the advisory council under clause (1);

(3) the statewide Toward Zero Deaths new text begin communicationsnew text end coordinator;

new text begin (4) the statewide Toward Zero Deaths program and operations coordinator;
new text end

deleted text begin (4)deleted text end new text begin (5)new text end a regional coordinator from the Toward Zero Deaths program;

deleted text begin (5)deleted text end new text begin (6)new text end the chief of the State Patrol or a designee;

deleted text begin (6)deleted text end new text begin (7)new text end the state traffic safety engineer in the Department of Transportation or a designee;

deleted text begin (7)deleted text end new text begin (8)new text end a law enforcement liaison from the Department of Public Safety;

deleted text begin (8)deleted text end new text begin (9)new text end a representative from the Department of Human Services;

deleted text begin (9)deleted text end new text begin (10)new text end a representative from the Department of Education;

deleted text begin (10)deleted text end new text begin (11)new text end a representative from the Council on Disability;

deleted text begin (11)deleted text end new text begin (12)new text end a representative for Tribal governments;

deleted text begin (12)deleted text end new text begin (13)new text end a representative from the Center for Transportation Studies at the University
of Minnesota;

deleted text begin (13)deleted text end new text begin (14)new text end a representative from the Minnesota Chiefs of Police Association;

deleted text begin (14)deleted text end new text begin (15)new text end a representative from the Minnesota Sheriffs' Association;

deleted text begin (15)deleted text end new text begin (16)new text end a representative from the Minnesota Safety Council;

deleted text begin (16)deleted text end new text begin (17)new text end a representative from AAA Minnesota;

deleted text begin (17)deleted text end new text begin (18)new text end a representative from the Minnesota Trucking Association;

deleted text begin (18)deleted text end new text begin (19)new text end a representative from the Insurance Federation of Minnesota;

deleted text begin (19)deleted text end new text begin (20)new text end a representative from the Association of Minnesota Counties;

deleted text begin (20)deleted text end new text begin (21)new text end a representative from the League of Minnesota Cities;

deleted text begin (21)deleted text end new text begin (22)new text end the American Bar Association State Judicial Outreach Liaison;

deleted text begin (22)deleted text end new text begin (23)new text end a representative from the City Engineers Association of Minnesota;

deleted text begin (23)deleted text end new text begin (24)new text end a representative from the Minnesota County Engineers Association;

deleted text begin (24)deleted text end new text begin (25)new text end a representative from the Bicycle Alliance of Minnesota;

deleted text begin (25)deleted text end new text begin (26)new text end two individuals representing vulnerable road users, including pedestrians,
bicyclists, and other operators of a personal conveyance;

deleted text begin (26)deleted text end new text begin (27)new text end a representative from Minnesota Operation Lifesaver;

deleted text begin (27)deleted text end new text begin (28)new text end a representative from the Minnesota Driver and Traffic Safety Education
Association;

deleted text begin (28)deleted text end new text begin (29)new text end a representative from the Minnesota Association for Pupil Transportation;

deleted text begin (29)deleted text end new text begin (30)new text end a representative from the State Trauma Advisory Council;

deleted text begin (30)deleted text end new text begin (31)new text end a person representing metropolitan planning organizations; deleted text begin and
deleted text end

deleted text begin (31)deleted text end new text begin (32)new text end a person representing contractors engaged in construction and maintenance of
highways and other infrastructurenew text begin ;
new text end

new text begin (33) the director of the Minnesota Emergency Medical Services Regulatory Board or
successor organization; and
new text end

new text begin (34) a person representing a victims advocacy organizationnew text end .

(b) The commissioners of public safety and transportation must jointly appoint the
advisory council members under paragraph (a), clauses deleted text begin (11)deleted text end new text begin (12)new text end , deleted text begin (25)deleted text end new text begin (26)new text end , deleted text begin (30)deleted text end new text begin (31)new text end , deleted text begin and
(31)
deleted text end new text begin (32), and (34)new text end .

Sec. 2.

Minnesota Statutes 2022, section 43A.17, is amended by adding a subdivision to
read:


new text begin Subd. 13. new text end

new text begin Compensation for law enforcement officers. new text end

new text begin (a) For purposes of this
subdivision, the term "law enforcement officers" means all licensed peace officers employed
by the state who are included in the state units under section 179A.10, subdivision 2,
including without limitation: Minnesota State Patrol troopers, Bureau of Criminal
Apprehension agents, and Alcohol and Gambling Enforcement agents, in the Department
of Public Safety; Department of Natural Resources conservation officers; Department of
Corrections Fugitive Apprehension Unit members; and Commerce Fraud Bureau agents in
the Department of Commerce.
new text end

new text begin (b) When the commissioner of management and budget negotiates a collective bargaining
agreement establishing compensation for law enforcement officers, the commissioner must
use compensation and benefit data from the most recent salary and benefits survey conducted
pursuant to section 299D.03, subdivision 2a, to compare salaries to ensure appropriate
increases are made to law enforcement officer salaries and benefits.
new text end

Sec. 3.

Minnesota Statutes 2022, section 65B.28, subdivision 2, is amended to read:


Subd. 2.

Accident prevention course; rules.

new text begin (a) new text end The commissioner of public safety
deleted text begin shalldeleted text end new text begin mustnew text end adopt rules establishing and regulating a motor vehicle accident prevention course
for persons 55 years old and older.

new text begin (b) new text end The rules must, at a minimum, include provisions:

(1) establishing curriculum requirements;new text begin and
new text end

deleted text begin (2) establishing the number of hours required for successful completion of the course;
and
deleted text end

deleted text begin (3)deleted text end new text begin (2)new text end providing for the issuance of a course completion certification and requiring its
submission to an insured as evidence of completion of the course.

new text begin (c) The accident prevention course must be a total of four hours.
new text end

Sec. 4.

Minnesota Statutes 2023 Supplement, section 115E.042, subdivision 4, is amended
to read:


Subd. 4.

Response capabilities; time limits.

(a) Following confirmation of a discharge,
a railroad must deliver and deploy sufficient equipment and trained personnel to (1) contain
and recover discharged oil or other hazardous substances, (2) protect the environment, and
(3) assist local public safety officials. Within 15 minutes of a rail incident involving a
confirmed discharge or release of oil or other hazardous substances, a railroad must contact
the applicable emergency manager and applicable fire deleted text begin chiefdeleted text end new text begin department, through the local
public safety answering point,
new text end having jurisdiction along the route where the incident occurred.
After learning of the rail incident involving oil or other hazardous substances, the applicable
emergency manager and applicable fire deleted text begin chiefdeleted text end new text begin departmentnew text end must, as soon as practicable,
identify and provide contact information of the responsible incident commander to the
reporting railroad.

(b) Within 15 minutes of local emergency responder arrival on the scene of a rail incident
involving oil or other hazardous substances, a railroad must assist the incident commander
to determine the nature of any hazardous substance known to have been released and
hazardous substance cargo transported on the train. Assistance must include providing
information that identifies the chemical content of the hazardous substance, contact
information for the shipper, and instructions for dealing with the release of the material. A
railroad may provide information on the hazardous substances transported on the train
through the train orders on board the train or by facsimile or electronic transmission.

(c) Within one hour of confirmation of a discharge, a railroad must provide a qualified
company representative to advise the incident commander, assist in assessing the situation,
initiate railroad response actions as needed, and provide advice and recommendations to
the incident commander regarding the response. The representative may be made available
by telephone, and must be authorized to deploy all necessary response resources of the
railroad.

(d) Within three hours of confirmation of a discharge, a railroad must be capable of
delivering monitoring equipment and a trained operator to assist in protection of responder
and public safety. A plan to ensure delivery of monitoring equipment and an operator to a
discharge site must be provided each year to the commissioner of public safety.

(e) Within three hours of confirmation of a discharge, a railroad must provide (1) qualified
personnel at a discharge site to assess the discharge and to advise the incident commander,
and (2) resources to assist the incident commander with ongoing public safety and scene
stabilization.

(f) A railroad must be capable of deploying containment boom from land across sewer
outfalls, creeks, ditches, and other places where oil or other hazardous substances may drain,
in order to contain leaked material before it reaches those resources. The arrangement to
provide containment boom and staff may be made by:

(1) training and caching equipment with local jurisdictions;

(2) training and caching equipment with a fire mutual-aid group;

(3) means of an industry cooperative or mutual-aid group;

(4) deployment of a contractor;

(5) deployment of a response organization under state contract; or

(6) other dependable means acceptable to the Pollution Control Agency.

(g) Each arrangement under paragraph (f) must be confirmed each year. Each arrangement
must be tested by drill at least once every five years.

(h) Within eight hours of confirmation of a discharge, a railroad must be capable of
delivering and deploying containment boom, boats, oil recovery equipment, trained staff,
and all other materials needed to provide:

(1) on-site containment and recovery of a volume of oil equal to ten percent of the
calculated worst case discharge at any location along the route; and

(2) protection of listed sensitive areas and potable water intakes within one mile of a
discharge site and within eight hours of water travel time downstream in any river or stream
that the right-of-way intersects.

(i) Within 60 hours of confirmation of a discharge, a railroad must be capable of
delivering and deploying additional containment boom, boats, oil recovery equipment,
trained staff, and all other materials needed to provide containment and recovery of a worst
case discharge and to protect listed sensitive areas and potable water intakes at any location
along the route.

Sec. 5.

Minnesota Statutes 2022, section 168.002, subdivision 26, is amended to read:


Subd. 26.

Pickup truck.

"Pickup truck" means any truck with a manufacturer's nominal
rated carrying capacity of three-fourths ton or less and commonly known as a pickup truck.
If the manufacturer's nominal rated carrying capacity is not provided or cannot be determined,
then the value specified by the manufacturer as the gross vehicle weight as indicated on the
manufacturer's certification label must be deleted text begin less thandeleted text end 10,000 poundsnew text begin or lessnew text end .

Sec. 6.

Minnesota Statutes 2022, section 168.002, subdivision 27, is amended to read:


Subd. 27.

Recreational vehicle.

(a) "Recreational vehicle" means travel trailers including
those that telescope or fold down, chassis-mounted campers, motor homes, tent trailers,new text begin
teardrop trailers,
new text end and converted buses that provide temporary human living quarters.

(b) "Recreational vehicle" is a vehicle that:

(1) is not used as the residence of the owner or occupant;

(2) is used while engaged in recreational or vacation activities; and

(3) is either self-propelled or towed on the highways incidental to the recreational or
vacation activities.

Sec. 7.

Minnesota Statutes 2022, section 168.013, subdivision 1d, is amended to read:


Subd. 1d.

Trailer.

(a) On trailers registered at a gross vehicle weight of greater than
3,000 pounds, the annual tax is based on total gross weight and is 30 percent of the Minnesota
base rate prescribed in subdivision 1e, when the gross weight is 15,000 pounds or less, and
when the gross weight of a trailer is more than 15,000 pounds, the tax for the first eight
years of vehicle life is 100 percent of the tax imposed in the Minnesota base rate schedule,
and during the ninth and succeeding years of vehicle life the tax is 75 percent of the
Minnesota base rate prescribed by subdivision 1e. A trailer registered at a gross vehicle
weight greater than 3,000 pounds but no greater than 7,200 pounds may be taxed either: (1)
annually as provided in this paragraph; or (2) once every three years on the basis of total
gross weight and is 90 percent of the Minnesota base rate prescribed in subdivision 1e,
provided that the filing fee under section 168.33, subdivision 7, paragraph (a), is multiplied
by three, with funds collected by the commissioner allocated proportionally in the same
manner as provided in section 168.33, subdivision 7, paragraph (e).

(b) Farm trailers with a gross weight in excess of 10,000 pounds and as described in
section 168.002, subdivision 8, are taxed as farm trucks as prescribed in subdivision 1c.

(c) Effective on and after July 1, 2001, trailers registered at a gross vehicle weight of
3,000 pounds or lessnew text begin , excluding recreational vehicles,new text end must display a distinctive plate. The
registration on the license plate is valid for the life of the trailer only if it remains registered
at the same gross vehicle weight. The onetime registration tax for trailers registered for the
first time in Minnesota is $55. For trailers registered in Minnesota before July 1, 2001, and
for which:

(1) registration is desired for the remaining life of the trailer, the registration tax is $25;
or

(2) permanent registration is not desired, the biennial registration tax is $10 for the first
renewal if registration is renewed between and including July 1, 2001, and June 30, 2003.
These trailers must be issued permanent registration at the first renewal on or after July 1,
2003, and the registration tax is $20.

For trailers registered at a gross weight of 3,000 pounds or less before July 1, 2001, but
not renewed until on or after July 1, 2003, the registration tax is $20 and permanent
registration must be issued.

Sec. 8.

Minnesota Statutes 2022, section 168.0135, is amended by adding a subdivision
to read:


new text begin Subd. 2a. new text end

new text begin Limitations. new text end

new text begin (a) A vendor must not have an ownership interest with a deputy
registrar or a driver's license agent.
new text end

new text begin (b) A vendor is not eligible to be appointed by the commissioner as a deputy registrar
or a driver's license agent.
new text end

new text begin (c) An entity that owns, leases, or otherwise provides a location where a self-service
kiosk is placed is not eligible to be appointed by the commissioner as a deputy registrar or
a driver's license agent. This paragraph does not apply to a deputy registrar or a driver's
license agent appointed prior to placement of a self-service kiosk within the office of the
deputy registrar or driver's license agent.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 9.

Minnesota Statutes 2023 Supplement, section 168.1235, subdivision 1, is amended
to read:


Subdivision 1.

General requirements; fees.

(a) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end issue a
special plate emblem for each plate to an applicant who:

(1) is a member of a congressionally chartered veterans service organization and is a
registered owner of a passenger automobile, pickup truck, van, or self-propelled recreational
vehiclenew text begin , or is a congressionally chartered veterans service organization that is the registered
owner of a passenger automobile, pickup truck, van, or self-propelled recreational vehicle
new text end ;

(2) pays the registration tax required by law;

(3) pays a fee in the amount specified for special plates under section 168.12, subdivision
5, for each set of two plates, and any other fees required by this chapter; and

(4) complies with this chapter and rules governing the registration of motor vehicles and
licensing of drivers.

(b) The additional fee is payable at the time of initial application for the special plate
emblem and when the plates must be replaced or renewed. deleted text begin An applicant must not be issued
more than two sets of special plate emblems for motor vehicles listed in paragraph (a) and
registered to the applicant.
deleted text end

(c) The applicant must present a valid card indicating membership in the American
Legion, Veterans of Foreign Wars, or Disabled American Veterans.

Sec. 10.

Minnesota Statutes 2022, section 168.33, subdivision 8a, is amended to read:


Subd. 8a.

Electronic transmission.

(a) If the commissioner accepts electronic
transmission of a motor vehicle transfer and registration by a new or used motor vehicle
dealer, a deputy registrar who is equipped with electronic transmission technology and
trained in its use deleted text begin shalldeleted text end new text begin mustnew text end receive the filing fee provided for in subdivision 7 and review
the transfer of each new or used motor vehicle to determine its genuineness and regularity
before issuance of a certificate of title, and deleted text begin shalldeleted text end new text begin mustnew text end receive and retain the filing fee under
subdivision 7, paragraph (a), clause (2).

(b) The commissioner must establish reasonable performance, security, technical, and
financial standards to approve companies that provide computer software and services to
motor vehicle dealers to electronically transmit vehicle title transfer and registration
information. An approved company must be offered access to department facilities, staff,
and technology on a fair and reasonable basis.new text begin An approved company must not have an
ownership interest with a deputy registrar or a driver's license agent. An approved company
is not eligible to be appointed by the commissioner as a deputy registrar or a driver's license
agent.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 11.

Minnesota Statutes 2022, section 168A.085, is amended by adding a subdivision
to read:


new text begin Subd. 4. new text end

new text begin Foreign passport. new text end

new text begin A valid and unexpired passport issued to the applicant by
a recognized foreign government is a primary document for purposes of Minnesota Rules,
part 7410.0400, and successor rules, when the applicant is an individual who is applying
as the owner for a vehicle title or registration.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 12.

Minnesota Statutes 2022, section 168B.035, subdivision 3, is amended to read:


Subd. 3.

Towing prohibited.

(a) A towing authority may not tow a motor vehicle
because:

(1) the vehicle deleted text begin has expireddeleted text end new text begin displaysnew text end registration deleted text begin tabsdeleted text end new text begin validation stickersnew text end that have been
expired for less than 90 days; or

(2) the vehicle is at a parking meter on which the time has expired deleted text begin and the vehicle has
fewer than five unpaid parking tickets
deleted text end .

(b) A towing authority may tow a motor vehicle, notwithstanding paragraph (a), if:

(1) the vehicle is parked in violation of snow emergency regulations;

(2) the vehicle is parked in a rush-hour restricted parking area;

(3) the vehicle is blocking a driveway, alley, or fire hydrant;

(4) the vehicle is parked in a bus lane, or at a bus stop, during hours when parking is
prohibited;

(5) the vehicle is parked within 30 feet of a stop sign and visually blocking the stop sign;

(6) the vehicle is parked in a disability transfer zone or disability parking space without
a disability parking certificate or disability license plates;

(7) the vehicle is parked in an area that has been posted for temporary restricted parking
(i) at least 12 hours in advance in a home rule charter or statutory city having a population
under 50,000, or (ii) at least 24 hours in advance in another political subdivision;

(8) the vehicle is parked within the right-of-way of a controlled-access highway or within
the traveled portion of a public street when travel is allowed there;

(9) the vehicle is unlawfully parked in a zone that is restricted by posted signs to use by
fire, police, public safety, or emergency vehicles;

(10) the vehicle is unlawfully parked on property at the Minneapolis-St. Paul International
Airport owned by the Metropolitan Airports Commission;

(11) a law enforcement official has probable cause to believe that the vehicle is stolen,
or that the vehicle constitutes or contains evidence of a crime and impoundment is reasonably
necessary to obtain or preserve the evidence;

(12) the driver, operator, or person in physical control of the vehicle is taken into custody
and the vehicle is impounded for safekeeping;

(13) a law enforcement official has probable cause to believe that the owner, operator,
or person in physical control of the vehicle has failed to respond to five or more citations
for parking or traffic offenses;

(14) the vehicle is unlawfully parked in a zone that is restricted by posted signs to use
by taxicabs;

(15) the vehicle is unlawfully parked and prevents egress by a lawfully parked vehicle;

(16) the vehicle is parked, on a school day during prohibited hours, in a school zone on
a public street where official signs prohibit parking; or

(17) the vehicle is a junk, abandoned, or unauthorized vehicle, as defined in section
168B.011, and subject to immediate removal under this chapter.

Sec. 13.

Minnesota Statutes 2022, section 169.09, subdivision 5, is amended to read:


Subd. 5.

Notify owner of damaged property.

If the driver of any vehicle involved in
a collision knows or has reason to know the collision resulted only in damage to fixtures
legally upon or adjacent to a new text begin street or new text end highway, the driver deleted text begin shalldeleted text end new text begin must:
new text end

new text begin (1)new text end take reasonable steps to locate and notify the owner or person in charge of the property
of deleted text begin that factdeleted text end new text begin the collisionnew text end , deleted text begin ofdeleted text end the driver's name and address, and deleted text begin ofdeleted text end the deleted text begin registrationdeleted text end new text begin licensenew text end
plate number of the vehicle being driven and deleted text begin shalldeleted text end new text begin mustnew text end , upon request and if available,
exhibit the driver's licensedeleted text begin , and make an accident report in every casedeleted text end new text begin ; and
new text end

new text begin (2) report the information required in clause (1) to a peace officernew text end .

Sec. 14.

Minnesota Statutes 2023 Supplement, section 169.09, subdivision 8, is amended
to read:


Subd. 8.

Officer to report accident to commissioner.

deleted text begin A peace officer who, in the
regular course of duty, investigates an accident that must be reported under this section
shall, within ten days after the date of the accident, forward an electronic or written report
of the accident as prescribed by the commissioner of public safety. Within two business
days after identification of a fatality that resulted from an accident, the reporting agency
must notify the commissioner of the basic circumstances of the accident using an electronic
format as prescribed by the commissioner
deleted text end new text begin (a) A peace officer who investigates in the regular
course of duty an accident that is required to be reported under this section must submit an
electronic or written report of the accident to the commissioner of public safety within ten
days after the date of the accident. Within two business days after identification of a fatality
that resulted from an accident, the reporting agency must notify the commissioner of the
basic circumstances of the accident. A report or notification under this subdivision must be
in the format as prescribed in subdivision 9
new text end .

new text begin (b) Accidents on streets, highways, roadways, sidewalks, shoulders, shared use paths,
or any other portion of a road's public right-of-way must be reported under the requirements
of this section if the accident results in:
new text end

new text begin (1) a fatality;
new text end

new text begin (2) bodily injury to a person who, because of the injury, immediately receives medical
treatment away from or at the scene of the accident;
new text end

new text begin (3) one or more of the motor vehicles incurring disabling damage that requires a vehicle
to be transported away from the scene of the accident by tow truck or other vehicle; or
new text end

new text begin (4) damage to fixtures, infrastructure, or any other property alongside or on a public
highway.
new text end

new text begin (c) An accident involving a school bus, as defined in section 169.011, subdivision 71,
must be reported under the requirements of this section and section 169.4511.
new text end

new text begin (d) An accident involving a commercial motor vehicle, as defined in section 169.781,
subdivision 1, paragraph (a), must be reported under the requirements of this section and
section 169.783.
new text end

new text begin (e) Accidents occurring on public lands or trail systems that result in the circumstances
specified in paragraph (b) must be reported under the requirements of this section.
new text end

Sec. 15.

Minnesota Statutes 2022, section 169.09, subdivision 14a, is amended to read:


Subd. 14a.

Suspension of license for failure to report accident.

The commissioner
may suspend the license, or any nonresident's operating privilege, of any deleted text begin persondeleted text end new text begin drivernew text end who
willfully fails, refuses, or neglects to make report of a traffic accident as required deleted text begin by the
laws of this state
deleted text end new text begin under this sectionnew text end . A license suspension under this section is subject to
the notice requirements of section 171.18, subdivision 2.

Sec. 16.

Minnesota Statutes 2022, section 169.09, subdivision 19, is amended to read:


Subd. 19.

Terminology.

new text begin (a) new text end The provisions of this section apply equally whether the
term "accident" or "collision" is used.new text begin The term "accident" or "collision" does not include:
new text end

new text begin (1) an occurrence involving only boarding and alighting from a stationary motor vehicle;
new text end

new text begin (2) an occurrence involving only the loading or unloading of cargo; or
new text end

new text begin (3) intentional vehicle-to-vehicle contact when initiated by a peace officer:
new text end

new text begin (i) to stop a perpetrator from fleeing in a motor vehicle, as defined in section 609.487,
subdivision 3; or
new text end

new text begin (ii) as an authorized use of force, as defined in section 609.06, subdivision 1; 609.065;
or 609.066.
new text end

new text begin (b) For purposes of this section, "disabling damage" means damage that prevents a motor
vehicle from departing the scene of the accident in its usual manner in daylight after simple
repairs. Disabling damage includes damage to a motor vehicle that could be driven from
the scene of the accident but would be further damaged if so driven. Disabling damage does
not include:
new text end

new text begin (1) damage that can be remedied temporarily at the scene of the accident without special
tools or parts;
new text end

new text begin (2) tire disablement without other damage, even if no spare tire is available;
new text end

new text begin (3) headlamp or taillight damage; or
new text end

new text begin (4) damage that makes the turn signals, horn, or windshield wipers inoperable.
new text end

new text begin (c) For purposes of this section, motor vehicle includes off-highway vehicles, as defined
in section 84.771, and snowmobiles, as defined in section 84.81.
new text end

Sec. 17.

Minnesota Statutes 2022, section 169.224, subdivision 3, is amended to read:


Subd. 3.

Operation.

(a) A neighborhood electric vehicle or a medium-speed electric
vehicle may not be operated on a street or highway with a speed limit greater than 35 miles
per hour, except to make a direct crossing of that street or highway.

(b) A person may operate a three-wheeled neighborhood electric vehicle without a
deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end endorsement, provided the person has a valid driver's
license issued under chapter 171.

Sec. 18.

Minnesota Statutes 2022, section 169.4503, subdivision 31, is amended to read:


Subd. 31.

Supplemental warning systemdeleted text begin ; temporary authoritydeleted text end .

deleted text begin (a) Prior to August
1, 2022, the commissioner may approve a
deleted text end Type A, B, C, or D school deleted text begin bus todeleted text end new text begin buses maynew text end be
equipped with a supplemental warning system. deleted text begin On and after that date, a school bus may
continue to be equipped with a previously approved supplemental warning system.
deleted text end

deleted text begin (b) To determine approval of a supplemental warning system, the commissioner must
consider
deleted text end new text begin A supplemental warning system mustnew text end :

(1) new text begin use amber and red new text end signal colorsdeleted text begin , which are limited to one or more of the colors white,
amber, and red
deleted text end ;

(2) deleted text begin flashing patternsdeleted text end new text begin use supplemental amber warning lights activated only in conjunction
with activated overhead amber warning lights and supplemental red warning lights activated
only in conjunction with activated overhead red flashing lights
new text end ;

deleted text begin (3) vehicle mounting and placement;
deleted text end

deleted text begin (4) supplemental warning system activationdeleted text end new text begin (3) be wired so the supplemental warning
system is automatically activated
new text end in conjunction with activation of prewarning flashing
amber signals, stop-signal arm, and flashing red signals;

deleted text begin (5) light intensity deleted text end new text begin (4) be programmed to flash at a rate of 60 to 120 flashes per minute
by either:
new text end

new text begin (i) using a randomized flash pattern; or
new text end

new text begin (ii) alternating with the corresponding overhead lightnew text end ; and

deleted text begin (6) permissible text, signage, and graphics, if anydeleted text end new text begin (5) use lights installed in pairs and
mounted on the same level and placed as wide as practicable on the body above the bumper
level
new text end .

deleted text begin (c) The commissioner must review relevant research findings and experience in other
jurisdictions, and must consult with interested stakeholders, including but not limited to
representatives from school district pupil transportation directors, private school bus
operators, and pupil transportation and traffic safety associations.
deleted text end

Sec. 19.

Minnesota Statutes 2022, section 169.685, is amended by adding a subdivision
to read:


new text begin Subd. 3a. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have the
meanings given.
new text end

new text begin (b) "Booster seat" means a child passenger restraint system that meets applicable federal
motor vehicle safety standards and is designed to provide belt-positioning that elevates a
child to be properly seated with a safety belt.
new text end

new text begin (c) "Child passenger restraint system" means a device that:
new text end

new text begin (1) meets applicable federal motor vehicle safety standards of the United States
Department of Transportation and complies with any other applicable federal regulations;
new text end

new text begin (2) is designed to restrain, seat, or position children; and
new text end

new text begin (3) is appropriate to the age of the child being restrained.
new text end

new text begin Child passenger restraint system includes a booster seat.
new text end

new text begin (d) "Properly restrained" means restrained or secured according to the instructions of
both the motor vehicle manufacturer and the child passenger restraint system manufacturer.
new text end

new text begin (e) "Secured with a safety belt" means restrained or secured by a seat belt that (1) meets
applicable federal motor vehicle safety standards, and (2) is properly adjusted and fastened,
including both the shoulder and lap straps when equipped in the vehicle.
new text end

Sec. 20.

Minnesota Statutes 2022, section 169.685, subdivision 4, is amended to read:


Subd. 4.

Admissibility into evidence.

(a) Except as provided in paragraph (b), proof of
the use or failure to use seat belts or a child passenger restraint system as described in
subdivision deleted text begin 5deleted text end new text begin 4anew text end , or proof of the installation or failure of installation of seat belts or a child
passenger restraint system as described in subdivision deleted text begin 5 shall not bedeleted text end new text begin 4a is notnew text end admissible in
evidence in any litigation involving personal injuries or property damage resulting from the
use or operation of any motor vehicle.

(b) Paragraph (a) does not affect the right of a person to bring an action for damages
arising out of an incident that involves a defectively designed, manufactured, installed, or
operating seat belt or child passenger restraint system. Paragraph (a) does not prohibit the
introduction of evidence pertaining to the use of a seat belt or child passenger restraint
system in an action described in this paragraph.

Sec. 21.

Minnesota Statutes 2022, section 169.685, is amended by adding a subdivision
to read:


new text begin Subd. 4a. new text end

new text begin Child passenger restraint systems. new text end

new text begin (a) Except as provided in paragraph (c),
every driver in this state who transports a child or children under the age of 18 years in a
motor vehicle that is in motion or a part of traffic and is required under federal motor vehicle
safety standards to be equipped with a safety belt or lower anchors and tethers for children
in a passenger seating position must have the child or children secured as follows:
new text end

new text begin (1) a child who is younger than two years of age must be properly restrained in a
rear-facing child passenger restraint system with an internal harness, until the child reaches
the weight or height limit of the child passenger restraint system;
new text end

new text begin (2) a child who is at least two years of age and exceeds the rear-facing weight or height
limit of the child passenger restraint system must be properly restrained in a forward-facing
child passenger restraint system with an internal harness, until the child reaches the weight
or height limit of the child passenger restraint system;
new text end

new text begin (3) a child who is at least four years of age and exceeds the weight or height limit of the
forward-facing child passenger restraint system must be properly restrained in a booster
seat and secured with a safety belt;
new text end

new text begin (4) a child who is at least nine years of age or exceeds the weight or height limit of the
child passenger restraint system or the booster seat must be secured with a safety belt adjusted
and fastened around the child's body to fit correctly. The safety belt fits correctly when the
child sits all the way back against the vehicle seat, the child's knees bend over the edge of
the vehicle seat, the lap strap fits snugly across the child's thighs and lower hips and not the
child's abdomen, and the shoulder strap snugly crosses the center of the child's chest and
not the child's neck;
new text end

new text begin (5) a child who is younger than 13 years of age must be transported in the rear seat of a
motor vehicle, when available, and must be properly restrained in a child passenger restraint
system or booster seat or secured with a safety belt; and
new text end

new text begin (6) a child who, because of age or weight, can be placed in more than one category under
this paragraph must be placed in the more protective category, where clause (1) provides
for the most protective and clause (5) provides for the least protective.
new text end

new text begin (b) The driver of a motor vehicle transporting a child who is younger than six years of
age or weighs less than 60 pounds must transport the child in a rear seat if:
new text end

new text begin (1) the vehicle is equipped with a passenger side air bag supplemental restraint system;
new text end

new text begin (2) the air bag system is activated; and
new text end

new text begin (3) a rear seat is available.
new text end

new text begin (c) When the number of children in the motor vehicle under 13 years of age exceeds the
number of age- or size-appropriate child passenger restraint systems and safety belts available
in the motor vehicle, the unrestrained children must be seated in a rear seat, if rear seats are
available.
new text end

new text begin (d) The weight and height limits of a child passenger restraint system under this
subdivision are as established by the child passenger restraint system manufacturer.
new text end

Sec. 22.

Minnesota Statutes 2022, section 169.685, subdivision 5, is amended to read:


Subd. 5.

Violation; petty misdemeanor.

(a) deleted text begin Every motor vehicle operator, when
transporting a child who is both under the age of eight and shorter than four feet nine inches
on the streets and highways of this state in a motor vehicle equipped with factory-installed
seat belts, shall equip and install for use in the motor vehicle, according to the manufacturer's
instructions, a child passenger restraint system meeting federal motor vehicle safety standards.
deleted text end

deleted text begin (b) No motor vehicle operator who is operating a motor vehicle on the streets and
highways of this state may transport a child who is both under the age of eight and shorter
than four feet nine inches in a seat of a motor vehicle equipped with a factory-installed seat
belt, unless the child is properly fastened in the child passenger restraint system.
deleted text end Any motor
vehicle operator who violates deleted text begin thisdeleted text end subdivisionnew text begin 4anew text end is guilty of a petty misdemeanor and may
be sentenced to pay a fine of not more than $50. The fine may be waived or the amount
reduced if the motor vehicle operator produces evidence that within 14 days after the date
of the violation a child passenger restraint system meeting federal motor vehicle safety
standards was purchased or obtained for the exclusive use of the operator.

deleted text begin (c)deleted text end new text begin (b)new text end At the time of issuance of a citation under this subdivision, a peace officer may
provide to the violator information on obtaining a free or low-cost child passenger restraint
system.

deleted text begin (d)deleted text end new text begin (c)new text end The fines collected for violations of this subdivision must be deposited in the
deleted text begin state treasury and credited to a special account to be known as thedeleted text end Minnesota child passenger
restraint and education account.

deleted text begin (e) For the purposes of this section, "child passenger restraint system" means any device
that meets the standards of the United States Department of Transportation; is designed to
restrain, seat, or position children; and includes a booster seat.
deleted text end

Sec. 23.

Minnesota Statutes 2022, section 169.801, subdivision 7, is amended to read:


Subd. 7.

Driving rules.

(a) An implement of husbandry may not be operated or towed
on an interstate highway.

(b) An implement of husbandry may be operated or towed to the left of the center of a
roadway only ifnew text begin :
new text end

new text begin (1) it is for the purpose of avoiding an obstacle on the right-hand side of the road and:
new text end

new text begin (i) crosses the center line for as brief a period of time as necessary to avoid the obstacle;
new text end

new text begin (ii) returns back to the right half of the roadway immediately after passing the obstacle
and when safe to do so;
new text end

new text begin (iii) no other vehicles are approaching from the opposite direction such that the
approaching vehicle would be within the immediate vicinity of the implement before the
implement returns to the right-hand side of the road; and
new text end

new text begin (iv) the operation does not extend into the left half of the roadway more than necessary;
or
new text end

new text begin (2)new text end it is escorted at the front by a vehicle displaying hazard warning lights visible in
normal sunlight and the operation does not extend into the left half of the roadway more
than is necessary.

new text begin (c) An implement of husbandry, when operating in compliance with the requirements
of this section and under paragraph (b), is not subject to the escort requirements in section
169.812, subdivision 2.
new text end

Sec. 24.

Minnesota Statutes 2022, section 169.974, subdivision 2, is amended to read:


Subd. 2.

License endorsement and permit requirements.

(a) deleted text begin No person shalldeleted text end new text begin A person
must not
new text end operate a motorcycle on any street or highway without having a valid driver's
license with a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end endorsement as provided by law. A person
may operate an autocycle without a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end endorsement, provided
the person has a valid driver's license issued under section 171.02.

(b) The commissioner of public safety deleted text begin shalldeleted text end new text begin mustnew text end issue a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
endorsement only if the applicant (1) has in possession a valid deleted text begin two-wheeled vehicledeleted text end new text begin
motorcycle
new text end instruction permit as provided in paragraph (c), (2) has passed a written
examination and road test administered by the Department of Public Safety for the
endorsement, and (3) in the case of applicants under 18 years of age, presents a certificate
or other evidence of having successfully completed an approved deleted text begin two-wheeled vehicledeleted text end new text begin
motorcycle
new text end driver's safety course in this or another state, in accordance with rules adopted
by the commissioner of public safety for courses offered by a public, private, or commercial
school or institute. The commissioner of public safety may waive the road test for any
applicant on determining that the applicant possesses a valid license to operate a deleted text begin two-wheeled
vehicle
deleted text end new text begin motorcyclenew text end issued by a jurisdiction that requires a comparable road test for license
issuance.

(c) The commissioner of public safety deleted text begin shalldeleted text end new text begin mustnew text end issue a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
instruction permit to any person over 16 years of age who (1) is in possession of a valid
driver's license, (2) is enrolled in an approved deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end driver's
safety course, and (3) has passed a written examination for the permit and paid a fee
prescribed by the commissioner of public safety. A deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
instruction permit is effective for one year and may be renewed under rules prescribed by
the commissioner of public safety.

(d) deleted text begin Nodeleted text end new text begin Anew text end person who is operating by virtue of a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
instruction permit deleted text begin shalldeleted text end new text begin must notnew text end :

(1) carry any passengers on the streets and highways of this state on the motorcycle
while the person is operating the motorcycle;

(2) drive the motorcycle at night; or

(3) drive the motorcycle without wearing protective headgear that complies with standards
established by the commissioner of public safety.

(e) Notwithstanding paragraphs (a) to (d), the commissioner of public safety may issue
a special motorcycle permit, restricted or qualified as the commissioner of public safety
deems proper, to any person demonstrating a need for the permit and unable to qualify for
a driver's license.

Sec. 25.

Minnesota Statutes 2022, section 169A.52, subdivision 7, is amended to read:


Subd. 7.

Test refusal; driving privilege lost.

(a) On behalf of the commissioner, a peace
officer requiring a test or directing the administration of a chemical test shall serve immediate
notice of intention to revoke and of revocation on a person who refuses to permit a test or
on a person who submits to a test the results of which indicate an alcohol concentration of
0.08 or more.

(b) On behalf of the commissioner, a peace officer requiring a test or directing the
administration of a chemical test of a person driving, operating, or in physical control of a
commercial motor vehicle shall serve immediate notice of intention to disqualify and of
disqualification on a person who refuses to permit a test, or on a person who submits to a
test the results of which indicate an alcohol concentration of 0.04 or more.

(c) The officer shall:

(1) invalidate the person's driver's license or permit card deleted text begin by clipping the upper corner
of the card in such a way that no identifying information including the photo is destroyed,
and immediately return the card to the person
deleted text end ;

(2) issue the person a temporary license effective for only seven days; and

(3) send the notification of this action to the commissioner along with the certificate
required by subdivision 3 or 4.

Sec. 26.

Minnesota Statutes 2022, section 171.01, subdivision 41a, is amended to read:


Subd. 41a.

Noncompliant license; noncompliant identification card.

"Noncompliant
license," "noncompliant identification card," or "noncompliant license or identification
card," means a driver's license ornew text begin anew text end Minnesota identification card issued under section
171.019, subdivision 2, paragraph (b).new text begin Unless provided otherwise, noncompliant license
includes an appropriate instruction permit, provisional license, and restricted license.
new text end

Sec. 27.

Minnesota Statutes 2022, section 171.01, is amended by adding a subdivision to
read:


new text begin Subd. 45c. new text end

new text begin REAL ID compliant license; REAL ID compliant identification
card.
new text end

new text begin "REAL ID compliant license," "REAL ID compliant identification card," or "REAL
ID compliant license or identification card," means a driver's license or a Minnesota
identification card issued under section 171.019, subdivision 2, paragraph (a). Unless
provided otherwise, REAL ID compliant license includes an appropriate instruction permit,
provisional license, and restricted license.
new text end

Sec. 28.

Minnesota Statutes 2022, section 171.01, subdivision 47, is amended to read:


Subd. 47.

State.

"State" means a state of the United States, the District of Columbia,
Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject
to the jurisdiction of the United Statesnew text begin , including a United States military base located on
foreign soil
new text end .

Sec. 29.

Minnesota Statutes 2022, section 171.06, subdivision 2a, is amended to read:


Subd. 2a.

deleted text begin Two-wheeled vehicledeleted text end new text begin Motorcyclenew text end endorsement fee.

(a) In addition to the
appropriate fee under subdivision 2, the fee for a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
endorsement on a driver's license is:

(1) $26.50 for an initial endorsement or a duplicate license obtained for the purpose of
adding the endorsement; and

(2) $17 for each license renewal with the endorsement.

(b) The additional fee must be paid into the state treasury and credited as follows:

(1) $19 of the additional fee under paragraph (a), clause (1), and $11 of the additional
fee under paragraph (a), clause (2), to the motorcycle safety fund, which is hereby created;
and

(2) the remainder to the general fund.

(c) All application forms prepared by the commissioner for deleted text begin two-wheeled vehicledeleted text end new text begin
motorcycle
new text end endorsements must clearly state the amount of the total fee that is dedicated to
the motorcycle safety fund.

Sec. 30.

Minnesota Statutes 2023 Supplement, section 171.06, subdivision 3, is amended
to read:


Subd. 3.

Contents of application; other information.

(a) An application must:

(1) state the full name, date of birth, sex, and either (i) the residence address of the
applicant, or (ii) designated address under section 5B.05;

(2) deleted text begin as may be required by the commissioner,deleted text end contain a description of the applicant deleted text begin and
any other facts pertaining to the applicant
deleted text end ,new text begin including the applicant's height in feet and inches,
weight in pounds, eye color, and sex;
new text end the applicant's driving privilegesdeleted text begin ,deleted text end new text begin ;new text end and the applicant's
ability to operate a motor vehicle with safety;

(3) state:

(i) the applicant's Social Security number; or

(ii) if the applicant does not have a Social Security number and is applying for a
Minnesota identification card, instruction permit, or class D provisional or driver's license,
that the applicant elects not to specify a Social Security number;

(4) contain a notification to the applicant of the availability of a living will/health care
directive designation on the license under section 171.07, subdivision 7;

(5) include a method for the applicant to:

(i) request a veteran designation on the license under section 171.07, subdivision 15,
and the driving record under section 171.12, subdivision 5a;

(ii) indicate a desire to make an anatomical gift under subdivision 3b, paragraph (e);

(iii) as applicable, designate document retention as provided under section 171.12,
subdivision 3c;

(iv) indicate emergency contacts as provided under section 171.12, subdivision 5b;

(v) indicate the applicant's race and ethnicity; and

(vi) indicate caretaker information as provided under section 171.12, subdivision 5c;
and

(6) meet the requirements under section 201.161, subdivision 3.

(b) Applications must be accompanied by satisfactory evidence demonstrating:

(1) identity, date of birth, and any legal name change if applicable; and

(2) for deleted text begin driver'sdeleted text end new text begin drivers'new text end licenses and Minnesota identification cards that meet all
requirements of the REAL ID Act:

(i) principal residence address in Minnesota, including application for a change of address,
unless the applicant provides a designated address under section 5B.05;

(ii) Social Security number, or related documentation as applicable; and

(iii) lawful status, as defined in Code of Federal Regulations, title 6, section 37.3.

(c) An application for an enhanced driver's license or enhanced identification card must
be accompanied by:

(1) satisfactory evidence demonstrating the applicant's full legal name and United States
citizenship; and

(2) a photographic identity document.

deleted text begin (d) A valid Department of Corrections or Federal Bureau of Prisons identification card
containing the applicant's full name, date of birth, and photograph issued to the applicant
is an acceptable form of proof of identity in an application for an identification card,
instruction permit, or driver's license as a secondary document for purposes of Minnesota
Rules, part 7410.0400, and successor rules.
deleted text end

deleted text begin (e)deleted text end new text begin (d)new text end An application form must not provide for identification of (1) the accompanying
documents used by an applicant to demonstrate identity, or (2) except as provided in
paragraphs (b) and (c), the applicant's citizenship, immigration status, or lawful presence
in the United States. The commissioner and a driver's license agent must not inquire about
an applicant's citizenship, immigration status, or lawful presence in the United States, except
as provided in paragraphs (b) and (c).

new text begin (e) A Minnesota driver's license, permit, or identification card must be issued only to
an individual who has a residence address in the state at the time of the application.
Applications for an enhanced driver's license or enhanced identification card must include
proof of residency in accordance with section 171.063, subdivision 6. An individual may
only have one residence address where the individual is domiciled at any particular time.
The residence address of the individual is presumed to continue until the contrary is shown.
The applicant must provide the following information about the residence address: residence
number, street name, street type, directional, city or town, state, and zip code.
new text end

Sec. 31.

Minnesota Statutes 2022, section 171.0605, subdivision 2, is amended to read:


Subd. 2.

Evidence; identity; date of birth.

(a) Only the following is satisfactory evidence
of an applicant's identity and date of birth under section 171.06, subdivision 3, paragraph
(b):

(1) a driver's license or identification card that:

(i) complies with all requirements of the REAL ID Act;

(ii) is not designated as temporary or limited term; and

(iii) is current or has been expired for five years or less;

(2) a valid, unexpired United States passport, including a passport booklet or passport
card, issued by the United States Department of State;

(3) a certified copy of a birth certificate issued by a government bureau of vital statistics
or equivalent agency in the applicant's state of birth, which must bear the raised or authorized
seal of the issuing government entity;

(4) a consular report of birth abroad, certification of report of birth, or certification of
birth abroad, issued by the United States Department of State, Form FS-240, new text begin Form new text end DS-1350,
or new text begin Form new text end FS-545;

(5) a valid, unexpired permanent resident card issued by the United States Department
of Homeland Security or the former Immigration and Naturalization Service of the United
States Department of Justice, Form I-551new text begin . If the Form I-551 validity period has been
automatically extended by the United States Department of Homeland Security, it is deemed
unexpired, regardless of the expiration date listed
new text end ;

new text begin (6) a foreign passport with an unexpired temporary I-551 stamp or a temporary I-551
printed notation on a machine-readable immigrant visa with a United States Department of
Homeland Security admission stamp within the validity period;
new text end

new text begin (7) a United States Department of Homeland Security Form I-94 or Form I-94A with a
photograph and an unexpired temporary I-551 stamp;
new text end

new text begin (8) a United States Department of State Form DS-232 with a United States Department
of Homeland Security admission stamp and validity period;
new text end

deleted text begin (6)deleted text end new text begin (9)new text end a certificate of naturalization issued by the United States Department of Homeland
Security, Form N-550 or Form N-570;

deleted text begin (7)deleted text end new text begin (10)new text end a certificate of citizenship issued by the United States Department of Homeland
Security, Form N-560 or Form N-561;

deleted text begin (8)deleted text end new text begin (11)new text end an unexpired employment authorization document issued by the United States
Department of Homeland Security, Form I-766 or Form I-688Bnew text begin . If the Form I-766 validity
period has been automatically extended by the United States Department of Homeland
Security, it is deemed unexpired, regardless of the expiration date listed
new text end ;

deleted text begin (9)deleted text end new text begin (12)new text end a valid, unexpired passport issued by a foreign country and a valid, unexpired
United States visa accompanied by documentation of the applicant's most recent lawful
admittance into the United States;

deleted text begin (10)deleted text end new text begin (13)new text end a document as designated by the United States Department of Homeland
Security under Code of Federal Regulations, title 6, part 37.11 (c)(1)(x);

deleted text begin (11)deleted text end new text begin (14)new text end a copy of the applicant's certificate of marriage certified by the issuing
government jurisdiction;

deleted text begin (12)deleted text end new text begin (15)new text end a certified copy of a court order that specifies the applicant's name change; or

deleted text begin (13)deleted text end new text begin (16)new text end a certified copy of a divorce decree or dissolution of marriage that specifies
the applicant's name change, issued by a court.

(b) A document under paragraph (a) must be legible and unaltered.

Sec. 32.

Minnesota Statutes 2023 Supplement, section 171.0605, subdivision 5, is amended
to read:


Subd. 5.

Evidence; residence in Minnesota.

(a) Submission of two forms of
documentation from the following is satisfactory evidence of an applicant's principal
residence address in Minnesota under section 171.06, subdivision 3, paragraph (b):

(1) a home utility services bill issued no more than 12 months before the application;

(2) a home utility services hook-up work order issued no more than 12 months before
the application;

(3) United States bank or financial information issued no more than 12 months before
the application, with account numbers redacted, including:

(i) a bank account statement;

(ii) a credit card or debit card statement;

(iii) a brokerage account statement;

(iv) a money market account statement;

(v) a Health Savings Account statement; or

(vi) a retirement account statement;

(4) a certified transcript from a United States high school, if issued no more than 180
days before the application;

(5) a certified transcript from a Minnesota college or university, if issued no more than
180 days before the application;

(6) a student summary report from a United States high school signed by a school
principal or designated authority and issued no more than 180 days before the application;

(7) an employment pay stub issued no more than 12 months before the application that
lists the employer's name and address;

(8) a Minnesota unemployment insurance benefit statement issued no more than 12
months before the application;

(9) a statement from an assisted living facility licensed under chapter 144G, nursing
home licensed under chapter 144A, or a boarding care facility licensed under sections 144.50
to 144.56, that was issued no more than 12 months before the application;

(10) a current policy or card for health, automobile, homeowner's, or renter's insurance;

(11) a federal or state income tax return for the most recent tax filing year;

(12) a Minnesota property tax statement for the current or prior calendar year or a
proposed Minnesota property tax notice for the current year that shows the applicant's
principal residential address both on the mailing portion and the portion stating what property
is being taxed;

(13) a Minnesota vehicle certificate of title;

(14) a filed property deed or title for current residence;

(15) a Supplemental Security Income award statement issued no more than 12 months
before the application;

(16) mortgage documents for the applicant's principal residence;

(17) a residential lease agreement for the applicant's principal residence issued no more
than 12 months before the application;

(18) an affidavit of residence for an applicant whose principal residence is a group home,
communal living arrangement, cooperative, or a religious order issued no more than 90
days before the application;

(19) an assisted living or nursing home statement issued no more than 90 days before
the application;

(20) a valid driver's license, including an instruction permit, issued under this chapter;

(21) a valid Minnesota identification card;

(22) an unexpired Minnesota professional license;

(23) an unexpired Selective Service card;

(24) military orders that are still in effect at the time of application;

(25) a cellular phone bill issued no more than 12 months before the application; or

(26) a valid license issued pursuant to the game and fish laws.

(b) In lieu of one of the two documents required by paragraph (a), an applicant under
the age of 18 may use a parent or guardian's proof of principal residence as provided in this
paragraph. The parent or guardian of the applicant must provide a document listed under
paragraph (a) that includes the parent or guardian's name and the same address as the address
on the document provided by the applicant. The parent or guardian must also certify that
the applicant is the child of the parent or guardian and lives at that address.

(c) A document under paragraph (a) must include the applicant's name and principal
residence address in Minnesota.

(d) For purposes of this deleted text begin sectiondeleted text end new text begin subdivisionnew text end , Internet service and cable service are utilities
deleted text begin under this section and Minnesota Rules, part 7410.0410, subpart 4adeleted text end .

Sec. 33.

Minnesota Statutes 2022, section 171.0605, subdivision 6, is amended to read:


Subd. 6.

Exceptions process.

(a) The commissioner may grant a variance from the
requirements of this section as provided under Minnesota Rules, part 7410.0600, or successor
rules, for evidence of:

(1) identity or date of birth under subdivision 2;

(2) lawful status under subdivision 3, only for demonstration of United States citizenship;new text begin
and
new text end

(3) deleted text begin Social Security number under subdivision 4; and
deleted text end

deleted text begin (4)deleted text end residence in Minnesota under subdivision 5.

(b) The commissioner must not grant a variance for an applicant having a lawful
temporary admission period.

Sec. 34.

new text begin [171.062] EVIDENCE OF IDENTITY; NONCOMPLIANT CREDENTIALS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Court" includes a foreign court of competent jurisdiction.
new text end

new text begin (c) "Foreign" means a jurisdiction that is not, and is not within, the United States, the
Commonwealth of the Northern Mariana Islands, the Commonwealth of Puerto Rico, Guam,
the United States Virgin Islands, or a territory of the United States.
new text end

new text begin Subd. 2. new text end

new text begin Evidence of identity. new text end

new text begin For a noncompliant license or identification card, an
applicant must submit:
new text end

new text begin (1) a Minnesota driver's license or identification card that is current or has been expired:
new text end

new text begin (i) for five years or less with a color photograph or electronically produced or digitized
image; or
new text end

new text begin (ii) for one year or less without a color photograph or electronically produced or digitized
image; or
new text end

new text begin (2) if the applicant cannot present a credential under clause (1), either:
new text end

new text begin (i) one primary document under subdivision 4 and one secondary document under
subdivision 5; or
new text end

new text begin (ii) two primary documents under subdivision 4.
new text end

new text begin Subd. 3. new text end

new text begin General requirements. new text end

new text begin (a) A document submitted under this section must
include the applicant's name and must be:
new text end

new text begin (1) issued to or provided for the applicant;
new text end

new text begin (2) legible and unaltered;
new text end

new text begin (3) an original or a copy certified by the issuing agency or by a court; and
new text end

new text begin (4) accompanied by a certified translation or an affidavit of translation into English, if
the document is not in English.
new text end

new text begin (b) If the applicant's current legal name is different from the name on a document
submitted under subdivision 4 or 5, the applicant must submit:
new text end

new text begin (1) a certified copy of a court order that specifies the applicant's name change;
new text end

new text begin (2) a certified copy of the applicant's certificate of marriage;
new text end

new text begin (3) a certified copy of a divorce decree or dissolution of marriage that specifies the
applicant's name change, issued by a court; or
new text end

new text begin (4) similar documentation of a lawful change of name, as determined by the
commissioner.
new text end

new text begin (c) A form issued by a federal agency that is specified under this section includes any
subsequent form or version.
new text end

new text begin (d) The commissioner must establish a process to grant a waiver from the requirements
under this section.
new text end

new text begin (e) The same document must not be submitted as both a primary document and a
secondary document.
new text end

new text begin Subd. 4. new text end

new text begin Primary documents. new text end

new text begin (a) For purposes of a noncompliant driver's license or
identification card, a primary document includes:
new text end

new text begin (1) a copy of the applicant's record of birth, or an original certificate of birth that is in
the files of the applicable bureau or board under item (iii) and can be readily viewed by the
official accepting the application, certified by the issuing state that:
new text end

new text begin (i) is not issued by a hospital and is not a baptismal certificate;
new text end

new text begin (ii) bears the raised or authorized seal of the issuing government jurisdiction or a
protective equivalent; and
new text end

new text begin (iii) is issued by:
new text end

new text begin (A) a government bureau of vital statistics or community health board;
new text end

new text begin (B) the United States Department of State as a Record of Birth Abroad, Form FS-545
or Form DS-1350; or
new text end

new text begin (C) a United States embassy as a Consular Report of Birth Abroad, Form FS-240;
new text end

new text begin (2) a certified copy of an adoption certificate with the applicant's full name and date of
birth from a United States court of competent jurisdiction that bears the raised court seal or
other court certification;
new text end

new text begin (3) an unexpired identification card issued to the applicant by the United States
Department of Defense for active duty, reserve, or retired military personnel, Form DD-2
or Common Access Card;
new text end

new text begin (4) a valid, unexpired passport issued to the applicant by the United States Department
of State;
new text end

new text begin (5) a Canadian birth certificate or Canadian naturalization certificate;
new text end

new text begin (6) one of the following documents issued by the United States Department of Justice
or the United States Department of Homeland Security or any subsequent form or version
of the documents:
new text end

new text begin (i) Certificate of Naturalization, Form N-550, Form N-570, or Form N-578;
new text end

new text begin (ii) Certificate of Citizenship, Form N-560, Form N-561, or Form N-645;
new text end

new text begin (iii) United States Citizen Identification card, Form I-179 or Form I-197;
new text end

new text begin (iv) valid, unexpired Permanent Resident or Resident Alien card, Form I-551 or Form
I-151;
new text end

new text begin (v) Northern Mariana card, Form I-873, with "Northern Mariana" imprinted instead of
"Resident Alien";
new text end

new text begin (vi) American Indian card, Form I-872, with "American Indian" imprinted instead of
"Resident Alien";
new text end

new text begin (vii) unexpired employment authorization document with a photograph, Form I-688,
Form I-688A, Form I-688B, or Form I-766; or
new text end

new text begin (viii) unexpired Re-entry Permit/Refugee Travel Document, Form I-571;
new text end

new text begin (7) an unexpired passport or a consular identification document that bears a photograph
of the applicant;
new text end

new text begin (8) a certified birth certificate issued by a foreign jurisdiction; and
new text end

new text begin (9) a certified adoption certificate issued by a foreign jurisdiction that includes the
applicant's name and date of birth.
new text end

new text begin (b) A document submitted under this subdivision must contain security features that
make the document as impervious to alteration as is reasonably practicable in its design and
quality of material and technology.
new text end

new text begin (c) Submission of more than one primary document is not required under this subdivision.
new text end

new text begin Subd. 5. new text end

new text begin Secondary documents. new text end

new text begin (a) For purposes of a noncompliant driver's license or
identification card, a secondary document includes:
new text end

new text begin (1) a second primary document listed under subdivision 4, paragraph (a);
new text end

new text begin (2) a driver's license, identification card, or permit, with a photograph or digitized image,
issued by a United States state other than Minnesota or a foreign jurisdiction and that is
current or has expired no more than five years before the application;
new text end

new text begin (3) a certified copy of a court order or judgment from a United States or Canadian court
of competent jurisdiction containing the applicant's full name and date of birth and bearing
the raised court seal or other court certification;
new text end

new text begin (4) a current United States or Canadian government jurisdiction employee photo
identification card;
new text end

new text begin (5) a certified copy of a record of birth issued by a government jurisdiction other than
one in the United States, the District of Columbia, Guam, Puerto Rico, or the United States
Virgin Islands;
new text end

new text begin (6) a current identification card or document issued to the applicant by the United States
Department of Defense, described as:
new text end

new text begin (i) DD Form 1173 series, for dependents of active duty personnel; or
new text end

new text begin (ii) DD Form 214, Certificate of Release or Discharge from Active Duty;
new text end

new text begin (7) a copy of a marriage certificate certified by the issuing government jurisdiction or
the original certificate only if it is in the files of the issuing jurisdiction and can be readily
viewed by the official accepting the application;
new text end

new text begin (8) an unexpired permit to carry a firearm or concealed weapon bearing a color photo
of the applicant issued by a chief of police in an organized, full-time United States police
department or by a United States county sheriff;
new text end

new text begin (9) a current pilot's license issued by the United States Department of Transportation,
Federal Aviation Administration;
new text end

new text begin (10) a copy of a transcript containing the applicant's full legal name and date of birth
certified by the issuing secondary or postsecondary school;
new text end

new text begin (11) a United States nonmetal Social Security card or a Canadian social insurance card;
new text end

new text begin (12) a current secondary school student identification card with the student's name, a
photograph or electronically produced image of the student, and the student's date of birth
or unique student identification number;
new text end

new text begin (13) a notice of action on or proof of submission of a completed Application for Asylum
and for Withholding of Removal issued by the United States Department of Homeland
Security, Form I-589;
new text end

new text begin (14) a Certificate of Eligibility for Nonimmigrant Student Status issued by the United
States Department of Homeland Security, Form I-20;
new text end

new text begin (15) a Certificate of Eligibility for Exchange Visitor (J-1) Status issued by the United
States Department of State, Form DS-2019;
new text end

new text begin (16) a Deferred Action for Childhood Arrival approval notice issued by the United States
Department of Homeland Security;
new text end

new text begin (17) an employment authorization document issued by the United States Department of
Homeland Security, Form I-688, Form I-688A, Form I-688B, or Form I-766;
new text end

new text begin (18) a document issued by the Internal Revenue Service with an individual taxpayer
identification number;
new text end

new text begin (19) a Social Security card;
new text end

new text begin (20) a Supplemental Security Income award statement;
new text end

new text begin (21) a Selective Service card;
new text end

new text begin (22) military orders that are still in effect at the time of the application with a copy of a
DD Form 2058 State of Legal Residence Certificate;
new text end

new text begin (23) a Minnesota unemployment insurance benefit statement;
new text end

new text begin (24) a valid identification card for health benefits or an assistance or social services
program;
new text end

new text begin (25) a Minnesota vehicle certificate of title;
new text end

new text begin (26) mortgage documents for the applicant's residence;
new text end

new text begin (27) a filed property deed or title for the applicant's residence;
new text end

new text begin (28) a Minnesota property tax statement or a proposed Minnesota property tax notice;
new text end

new text begin (29) a certified copy of a divorce decree or dissolution of marriage issued by a court that
specifies the applicant's name or name change;
new text end

new text begin (30) a valid Department of Corrections or Federal Bureau of Prisons identification card
containing the applicant's full name, date of birth, and photograph; and
new text end

new text begin (31) any of the following documents issued by a foreign jurisdiction:
new text end

new text begin (i) a driver's license that is current or has been expired for no more than five years before
the application;
new text end

new text begin (ii) a high school, college, or university student identification card with a certified
transcript from the school;
new text end

new text begin (iii) an official high school, college, or university transcript that includes the applicant's
date of birth and a photograph of the applicant at the age the record was issued;
new text end

new text begin (iv) a federal electoral card that contains the applicant's photograph issued on or after
January 1, 1991;
new text end

new text begin (v) a certified copy of the applicant's certificate of marriage; and
new text end

new text begin (vi) a certified copy of a court order or judgment from a court of competent jurisdiction
that contains the applicant's name and date of birth.
new text end

new text begin (b) Submission of more than one secondary document is not required under this
subdivision.
new text end

new text begin Subd. 6. new text end

new text begin Verification. new text end

new text begin The department must be able to verify with the issuing jurisdiction
the issuance and authenticity of the primary or secondary documents submitted under this
section. Verification is required if:
new text end

new text begin (1) the document provided by the applicant is inconsistent with the department record;
new text end

new text begin (2) the document provided by the applicant appears to be altered or fraudulent; or
new text end

new text begin (3) there is reason to believe the applicant is not who the applicant claims to be.
new text end

Sec. 35.

new text begin [171.063] EVIDENCE OF IDENTITY FOR ENHANCED CREDENTIALS.
new text end

new text begin Subdivision 1. new text end

new text begin Date of birth. new text end

new text begin As proof satisfactory of date of birth, an applicant for an
enhanced driver's license or an enhanced identification card must present one of the following
documents:
new text end

new text begin (1) original or certified copy of a United States or United States territory birth certificate
that bears the raised or authorized seal of the issuing jurisdiction or a protective equivalent;
new text end

new text begin (2) United States Department of State Consular Report of Birth Abroad, Form FS-240,
Form DS-1350, or Form FS-545;
new text end

new text begin (3) valid, unexpired United States passport or United States passport card;
new text end

new text begin (4) Certificate of Naturalization, Form N-550 or Form N-570;
new text end

new text begin (5) Certificate of Citizenship, Form N-560 or Form N-561;
new text end

new text begin (6) American Indian card, Form I-872, or Minnesota Tribal identification card that meets
the requirements of section 171.072; or
new text end

new text begin (7) United States military photo identification card issued to active duty, reserve, or
retired military personnel.
new text end

new text begin Subd. 2. new text end

new text begin Full legal name. new text end

new text begin As proof satisfactory of full legal name, an applicant for an
enhanced driver's license or enhanced identification card must present one of the following
documents that was not also presented for proof of photographic identity under subdivision
4:
new text end

new text begin (1) original or certified copy of a United States or United States territory birth certificate
that bears the raised or authorized seal of the issuing jurisdiction or a protective equivalent;
new text end

new text begin (2) United States Department of State Consular Report of Birth Abroad, Form FS-240,
Form DS-1350, or Form FS-545;
new text end

new text begin (3) valid, unexpired United States passport or United States passport card;
new text end

new text begin (4) Certificate of Naturalization, Form N-550 or Form N-570;
new text end

new text begin (5) Certificate of Citizenship, Form N-560 or Form N-561;
new text end

new text begin (6) American Indian card, Form I-872, or Minnesota Tribal identification card that meets
the requirements of section 171.072;
new text end

new text begin (7) United States military photo identification card issued to active duty, reserve, or
retired military personnel;
new text end

new text begin (8) federal or Minnesota income tax form W-2;
new text end

new text begin (9) federal or Minnesota income tax form SSA-1099;
new text end

new text begin (10) non-SSA federal or Minnesota income tax form 1099;
new text end

new text begin (11) United States high school identification card with a certified transcript from the
same school if issued no more than 180 days before the application;
new text end

new text begin (12) United States college or university identification card with a certified transcript
from the same college or university if issued no more than 180 days before the application;
new text end

new text begin (13) Minnesota unemployment insurance benefit statement issued no more than 90 days
before the application;
new text end

new text begin (14) life, health, automobile, homeowner's, or renter's insurance policy that is issued no
more than 90 days before the application. The commissioner must not accept a proof of
insurance card;
new text end

new text begin (15) federal or state income tax return or statement for the most recent tax filing year;
new text end

new text begin (16) Minnesota property tax statement for the current year that reflects the applicant's
principal residential address both on the mailing portion and the portion stating what property
is being taxed;
new text end

new text begin (17) Minnesota vehicle certificate of title if issued no more than 12 months before the
application;
new text end

new text begin (18) filed property deed or title for the applicant's current residence if issued no more
than 12 months before the application;
new text end

new text begin (19) Supplemental Security Income award statement that is issued no more than 12
months before the application;
new text end

new text begin (20) valid Minnesota driver's license, valid Minnesota identification card, or valid permit;
new text end

new text begin (21) unexpired Minnesota professional license;
new text end

new text begin (22) unexpired Selective Service card;
new text end

new text begin (23) military orders that are still in effect at the time of the application;
new text end

new text begin (24) copy of the applicant's certificate of marriage certified by the issuing government
jurisdiction;
new text end

new text begin (25) certified copy of a court order specifying a name change; or
new text end

new text begin (26) certified copy of a divorce decree or dissolution of marriage granted to the applicant
that specifies a name change requested from a court of competent jurisdiction.
new text end

new text begin Subd. 3. new text end

new text begin Social Security number. new text end

new text begin As proof satisfactory of Social Security number, an
applicant for an enhanced driver's license or an enhanced identification card must present
the applicant's original Social Security card or one of the following:
new text end

new text begin (1) federal or Minnesota income tax form W-2;
new text end

new text begin (2) federal or Minnesota income tax form SSA-1099;
new text end

new text begin (3) non-SSA federal or Minnesota income tax form 1099; or
new text end

new text begin (4) United States employment computer-printed pay stub containing the applicant's
name, address, and full Social Security number.
new text end

new text begin Subd. 4. new text end

new text begin Photographic identity. new text end

new text begin As proof satisfactory of photographic identity, an
applicant for an enhanced driver's license or an enhanced identification card must present
one of the following documents:
new text end

new text begin (1) valid Minnesota driver's license, identification card, or permit;
new text end

new text begin (2) valid driver's license, identification card, or permit issued by another United States
state, including the District of Columbia and any United States territory;
new text end

new text begin (3) United States military identification card issued to active duty, reserve, or retired
military personnel;
new text end

new text begin (4) United States military dependent identification card;
new text end

new text begin (5) valid, unexpired United States passport or United States passport card;
new text end

new text begin (6) American Indian card, Form I-872, or Minnesota Tribal identification card that meets
the requirements under section 171.072;
new text end

new text begin (7) valid city, county, state, or federal employee identification card;
new text end

new text begin (8) United States high school identification card with a certified transcript from the same
school, both issued no more than 180 days before the application;
new text end

new text begin (9) United States college or university identification card with a certified transcript from
the same college or university, both issued no more than 180 days before the application;
or
new text end

new text begin (10) veterans universal access identification card.
new text end

new text begin Subd. 5. new text end

new text begin United States citizenship. new text end

new text begin As proof satisfactory of United States citizenship,
an applicant for an enhanced driver's license or enhanced identification card must present
one of the following documents:
new text end

new text begin (1) original or certified copy of a United States or United States territory birth certificate
that bears the raised or authorized seal of the issuing jurisdiction or a protective equivalent;
new text end

new text begin (2) United States Department of State Consular Report of Birth Abroad, Form FS-240,
Form DS-1350, or Form FS-545;
new text end

new text begin (3) valid, unexpired United States passport or United States passport card;
new text end

new text begin (4) Certificate of Naturalization, Form N-550 or Form N-570; or
new text end

new text begin (5) Certificate of Citizenship, Form N-560 or Form N-561.
new text end

new text begin Subd. 6. new text end

new text begin Residency. new text end

new text begin (a) As proof satisfactory of residency, an applicant for an enhanced
driver's license or enhanced identification card must present two different forms of the
following documents that list the applicant's name and address:
new text end

new text begin (1) United States home utility services bill that is issued no more than 90 days before
the application. The commissioner must not accept a United States home utility bill if two
unrelated people are listed on the bill;
new text end

new text begin (2) United States home utility services hook-up work order that is issued no more than
90 days before the application. The commissioner must not accept a United States home
utility services hook-up work order if two unrelated people are listed on the work order;
new text end

new text begin (3) United States financial information with account numbers redacted that is issued no
more than 90 days before the application, including a:
new text end

new text begin (i) bank account statement;
new text end

new text begin (ii) canceled check; or
new text end

new text begin (iii) credit card statement;
new text end

new text begin (4) United States high school identification card with a certified transcript from the same
school if issued no more than 180 days before the application;
new text end

new text begin (5) United States college or university identification card with a certified transcript from
the same college or university if issued no more than 180 days before the application;
new text end

new text begin (6) United States employment pay stub that lists the employer's name, address, and
telephone number that is issued no more than 90 days before the application;
new text end

new text begin (7) Minnesota unemployment insurance benefit statement issued no more than 90 days
before the application;
new text end

new text begin (8) assisted living or nursing home statement that is issued no more than 90 days before
the application;
new text end

new text begin (9) life, health, automobile, homeowner's, or renter's insurance policy that is issued no
more than 90 days before the application. The commissioner must not accept a proof of
insurance card;
new text end

new text begin (10) federal or state income tax return or statement for the most recent tax filing year;
new text end

new text begin (11) Minnesota property tax statement for the current year that reflects the applicant's
principal residential address both on the mailing portion and the portion stating what property
is being taxed;
new text end

new text begin (12) Minnesota vehicle certificate of title if issued no more than 12 months before the
application;
new text end

new text begin (13) filed property deed or title for the applicant's current residence if issued no more
than 12 months before the application;
new text end

new text begin (14) Supplemental Security Income award statement that is issued no more than 12
months before the application;
new text end

new text begin (15) mortgage documents for the applicant's principal residence;
new text end

new text begin (16) residential lease agreement for the applicant's principal residence that is issued no
more than 12 months before the application;
new text end

new text begin (17) valid Minnesota driver's license, identification card, or permit;
new text end

new text begin (18) unexpired Minnesota professional license;
new text end

new text begin (19) unexpired Selective Service card; or
new text end

new text begin (20) military orders that are still in effect at the time of the application with a copy of a
DD Form 2058 State of Legal Residence Certificate.
new text end

new text begin (b) For purposes of this subdivision, Internet service and cable service are utilities.
new text end

new text begin (c) The commissioner must verify with the United States Postal Service the address
information provided under this subdivision.
new text end

new text begin Subd. 7. new text end

new text begin Verification. new text end

new text begin The department must be able to verify with the issuing jurisdiction
the issuance and authenticity of the documents submitted under this section. Verification
is required if:
new text end

new text begin (1) the document provided by the applicant is inconsistent with the department record;
new text end

new text begin (2) the document provided by the applicant appears to be altered or fraudulent; or
new text end

new text begin (3) there is reason to believe the applicant is not who the applicant claims to be.
new text end

Sec. 36.

new text begin [171.069] TRANSLATIONS.
new text end

new text begin For any document submitted to the department under this chapter in a language other
than English:
new text end

new text begin (1) the document must be accompanied by a translation of that document into the English
language;
new text end

new text begin (2) the translation must be sworn to by the translator as being a true and accurate
translation;
new text end

new text begin (3) the translator must not be related by blood or marriage to the applicant; and
new text end

new text begin (4) the translator must be:
new text end

new text begin (i) accredited by the American Translators Association;
new text end

new text begin (ii) certified by a court of competent jurisdiction;
new text end

new text begin (iii) approved by an embassy or consulate of the United States or diplomatic or consular
official of a foreign country assigned or accredited to the United States;
new text end

new text begin (iv) affiliated with or approved by the United States Citizenship and Immigration Services
or a government jurisdiction within the United States;
new text end

new text begin (v) an attorney licensed to practice in the United States or affiliated with that attorney;
new text end

new text begin (vi) a vendor listed to provide translation services for the state of Minnesota; or
new text end

new text begin (vii) a qualified individual who certifies the individual is competent to translate the
document into English.
new text end

Sec. 37.

Minnesota Statutes 2023 Supplement, section 171.07, subdivision 15, is amended
to read:


Subd. 15.

Veteran designation.

(a) At the request of an eligible applicant and on payment
of the required fee, the department deleted text begin shalldeleted text end new text begin mustnew text end issue, renew, or reissue to the applicant a
driver's license or Minnesota identification card bearing a graphic or written designation
of:

(1) Veteran; or

(2) Veteran 100% T&P.

(b) At the time of the initial application for the designation provided under this
subdivision, the applicant must:

(1) be one of the following:

(i) a veteran, as defined in section 197.447; or

(ii) a retirednew text begin or honorably dischargednew text end member of the National Guard or a reserve
component of the United States armed forces;

(2) provide a certified copy of the applicant's discharge papers that confirms an honorable
or general discharge under honorable conditions status, or a military retiree identification
card, veteran identification card, or veteran health identification card; and

(3) if the applicant is seeking the disability designation under paragraph (a), clause (2),
provide satisfactory evidence of a 100 percent total and permanent service-connected
disability as determined by the United States Department of Veterans Affairs.

Sec. 38.

Minnesota Statutes 2022, section 171.072, is amended to read:


171.072 TRIBAL IDENTIFICATION CARD.

(a) If a Minnesota identification card is deemed an acceptable form of identification in
Minnesota Statutes or Rules, a tribal identification card is also an acceptable form of
identification. A tribal identification card is a primary document for purposes of deleted text begin Minnesota
Rules, part 7410.0400, and successor rules,
deleted text end new text begin section 171.062new text end when an applicant applies for
a noncompliant license or identification card.

(b) For purposes of this section, "tribal identification card" means an unexpired
identification card issued by a deleted text begin Minnesotadeleted text end tribal government of a tribe recognized by the
Bureau of Indian Affairs, United States Department of the Interior, that contains the legal
name, date of birth, signature, and picture of the enrolled tribal member.

(c) The tribal identification card must contain security features that make it as impervious
to alteration as is reasonably practicable in its design and quality of material and technology.
The security features must use materials that are not readily available to the general public.
The tribal identification card must not be susceptible to reproduction by photocopying or
simulation and must be highly resistant to data or photograph substitution and other
tampering.

(d) The requirements of this section do not apply: (1) except as provided in paragraph
(a), to an application for a driver's license or Minnesota identification card under this chapter;
or (2) to tribal identification cards used to prove an individual's residence for purposes of
section 201.061, subdivision 3.

Sec. 39.

Minnesota Statutes 2023 Supplement, section 171.12, subdivision 7b, is amended
to read:


Subd. 7b.

Data privacy; noncompliant license or identification card.

(a) With respect
to noncompliant licenses or identification cards, the commissioner is prohibited from:

(1) electronically disseminating outside the state data that is not disseminated as of May
19, 2017; or

(2) utilizing any electronic validation or verification system accessible from or maintained
outside the state that is not in use as of May 19, 2017.

(b) The limitations in paragraph (a) do not apply to the extent necessary to:

(1) maintain compliance with the driver's license compact under section 171.50 and
applicable federal law governing commercial driver's licenses; deleted text begin and
deleted text end

(2) perform identity verification as part of an application for a replacement Social Security
card issued by the Social Security Administrationnew text begin ; and
new text end

new text begin (3) perform identity verification for a program participant in the Transportation Security
Administration's Registered Traveler program who has voluntarily provided their Minnesota
driver's license or identification card to confirm their identity to a private entity operating
under the Registered Traveler program.
new text end

new text begin (c) For purposes of paragraph (b), clause (3), the information provided for identity
verification is limited to name, date of birth, the license or identification card's identification
number, issuance date, expiration date, and credential security features which does not
include facial recognition
new text end .

deleted text begin (c)deleted text end new text begin (d)new text end For purposes of this subdivision, "outside the state" includes federal agencies,
states other than Minnesota, organizations operating under agreement among the states, and
private entities.

deleted text begin (d)deleted text end new text begin (e)new text end Prior to disclosing to a data requester, other than the data subject, any data on
individuals relating to a noncompliant driver's license or identification card, the commissioner
or a driver's license agent must require the data requester to certify that the data requester
must not use the data for civil immigration enforcement purposes or disclose the data to a
state or federal government entity that primarily enforces immigration law or to any employee
or agent of any such government entity. A data requester who violates the certification
required in this paragraph may be liable in a civil action brought under section 13.08, may
be subject to criminal penalties under section 13.09, may have subsequent requests for
noncompliant driver's license or identification card data be denied by the commissioner,
and may lose access to the driver records subscription service under section 168.327. A
certification form used by the commissioner or a driver's license agent under this paragraph
must include information about penalties that apply for violations.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 40.

Minnesota Statutes 2023 Supplement, section 171.12, subdivision 11, is amended
to read:


Subd. 11.

Certain data on noncompliant license or identification card; department
and agents.

(a) For purposes of this section, "immigration status data" means data on
individuals who have applied for or been issued a noncompliant driver's license or
identification card and that indicate or otherwise have the effect of identifying (1) whether
the individual has demonstrated United States citizenship, or (2) whether the individual has
demonstrated lawful presence in the United States. Immigration status data include but are
not limited to any documents specified under section deleted text begin 171.06, subdivision 9, 10, or 11deleted text end new text begin
171.062
new text end ; immigration status data contained in those documents; or the applicant's submission
of the documents.

(b) Immigration status data are classified as private data on individuals, as defined in
section 13.02, subdivision 12. Notwithstanding any law to the contrary, the commissioner
or a driver's license agent must not share or disseminate immigration status data except to
or within the division of the department that administers driver licensing and to the secretary
of state for purposes of improving the accuracy of voter registration records under subdivision
7a.

(c) As authorized or required by state or federal law, the commissioner or a driver's
license agent may share or disseminate data on individuals who have applied for or been
issued a noncompliant driver's license or identification card that are not immigration status
data to a government entity, as defined in section 13.02, subdivision 7a, or to a federal
government entity that does not enforce immigration law, provided that the receiving entity
must not use the data for civil immigration enforcement purposes or further disclose the
data to a state or federal government entity that primarily enforces immigration law or to
any employee or agent of any such government entity.

(d) Notwithstanding any law to the contrary, the commissioner or a driver's license agent
must not share or disseminate any data on individuals who have applied for or been issued
a noncompliant driver's license or identification card to any federal government entity that
primarily enforces immigration law, except pursuant to a valid search warrant or court order
issued by a state or federal judge.

(e) Violation of this subdivision by the commissioner, a driver's license agent, a
government entity, or an employee or agent thereof constitutes a violation of the Minnesota
Government Data Practices Act and may be subject to penalties and remedies applicable
under that chapter.

Sec. 41.

Minnesota Statutes 2023 Supplement, section 171.13, subdivision 1a, is amended
to read:


Subd. 1a.

Waiver when license issued by another jurisdiction.

(a) If the commissioner
determines that an applicant for a driver's license is 21 years of age or older and possesses
a valid driver's license issued by another state or jurisdiction that requires a comparable
examination to obtain a driver's license, the commissioner must waive the requirements that
the applicant pass a knowledge examination and demonstrate ability to exercise ordinary
and reasonable control in the operation of a motor vehicle.

(b) If the commissioner determines that an applicant for a deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end
endorsement is 21 years of age or older and possesses a valid driver's license with a
deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end endorsement issued by another state or jurisdiction that
requires a comparable examination to obtain an endorsement, the commissioner must waive
the requirements with respect to the endorsement that the applicant pass a knowledge
examination and demonstrate the ability to exercise ordinary and reasonable control in the
operation of a motor vehicle.

(c) For purposes of this subdivision, "jurisdiction" includes, but is not limited to, both
the active and reserve components of any branch or unit of the United States armed forces,
and "valid driver's license" includes any driver's license that is recognized by that branch
or unit as currently being valid, or as having been valid at the time of the applicant's
separation or discharge from the military within a period of time deemed reasonable and
fair by the commissioner, up to and including one year past the date of the applicant's
separation or discharge.

Sec. 42.

Minnesota Statutes 2022, section 171.13, subdivision 6, is amended to read:


Subd. 6.

deleted text begin Two-wheeled vehicledeleted text end new text begin Motorcyclenew text end endorsement examination fee.

A person
applying for an initial deleted text begin two-wheeled vehicledeleted text end new text begin motorcyclenew text end endorsement on a driver's license
deleted text begin shalldeleted text end new text begin mustnew text end pay at the place of examination a $2.50 examination fee, an endorsement fee as
prescribed in section 171.06, subdivision 2a, and the appropriate driver's license fee as
prescribed in section 171.06, subdivision 2.

Sec. 43.

Minnesota Statutes 2022, section 171.13, is amended by adding a subdivision to
read:


new text begin Subd. 10. new text end

new text begin Exam scheduling reporting. new text end

new text begin By January 15 of each year, the commissioner
must submit a report on road test examination scheduling to the chairs, ranking minority
members, and staff of the legislative committees with jurisdiction over transportation policy
and finance. At a minimum, the report must:
new text end

new text begin (1) provide the number of administered road tests for Class D and commercial drivers'
licenses per month for the previous five years;
new text end

new text begin (2) identify the number of or the rate at which applicants for a road test were delayed
or unable to obtain an appointment for the road test as specified under subdivision 1,
paragraph (d);
new text end

new text begin (3) include the commissioner's analysis and predicted testing rate for Class D or
commercial driver's license road tests, including an analysis on delays or anticipated backlogs,
for the next five years;
new text end

new text begin (4) describe the commissioner's strategy and plan for increasing road test appointment
availability and minimizing delays for applicants seeking a road test as provided under
subdivision 1, paragraph (d);
new text end

new text begin (5) identify the rate at which an applicant was administered a road test for Class D or
commercial drivers' licenses at the exam station closest to the applicant's residence;
new text end

new text begin (6) identify the rate at which an applicant was administered a road test for either a Class
D or commercial driver's license at an exam station at a distance of more than 50, 100, or
200 miles from the applicant's residence;
new text end

new text begin (7) conduct the analysis required in clauses (5) and (6) for retakes of Class D or
commercial driver's license road tests;
new text end

new text begin (8) develop and identify the commissioner's strategy, activities, and recommended
legislation necessary to decrease the road test backlog and improve scheduling availability
and passage of road tests for Class D or commercial drivers' licenses, including the
commissioner's performance measures and metrics;
new text end

new text begin (9) describe the commissioner's needs and the necessary activities to fully meet the
requirements of subdivision 1, paragraph (d); and
new text end

new text begin (10) identify the rate at which department staff is utilizing overtime for driver's license
testing, and whether the commissioner anticipates additional overtime costs for the next
year.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 44.

Minnesota Statutes 2022, section 171.30, subdivision 2a, is amended to read:


Subd. 2a.

Other waiting periods.

Notwithstanding subdivision 2, a limited license deleted text begin shalldeleted text end
new text begin mustnew text end not be issued for a period of:

(1) 15 days, to a person whose license or privilege has been revoked or suspended for
a first violation of section 169A.20, sections 169A.50 to 169A.53, section 171.177, or a
statute or ordinance from another state in conformity with either of those sections; or

(2) one year, to a person whose license or privilege has been revoked or suspended fornew text begin :
new text end

new text begin (i)new text end committing manslaughter resulting from the operation of a motor vehicledeleted text begin ,deleted text end new text begin ;
new text end

new text begin (ii)new text end committing criminal vehicular homicide or injury under deleted text begin sectiondeleted text end new text begin sections:
new text end

new text begin (A)new text end 609.2112, subdivision 1,new text begin paragraph (a),new text end clause (1)deleted text begin ,deleted text end new text begin ;new text end (2), item (ii)deleted text begin ,deleted text end new text begin ;new text end (5)deleted text begin ,deleted text end new text begin ;new text end (6)deleted text begin ,deleted text end new text begin ;new text end (7)deleted text begin ,deleted text end new text begin ;new text end or
(8)deleted text begin ,deleted text end new text begin ;
new text end

new text begin (B) 609.2113, subdivision 1, clause (1); (2), item (ii); (5); (6); (7); or (8); or
new text end

new text begin (C) 609.2114, subdivision 1, paragraph (a), clause (1); (2), item (ii); (5); (6); (7); or (8);
or subdivision 2, clause (1); (2), item (ii); (5); (6); (7); or (8);
new text end

new text begin (iii)new text end committing criminal vehicular homicide under deleted text begin sectiondeleted text end new text begin sections:
new text end

new text begin (A)new text end 609.2112, subdivision 1,new text begin paragraph (a),new text end clause (2), item (i) or (iii)deleted text begin ,deleted text end new text begin ;new text end (3)deleted text begin ,deleted text end new text begin ;new text end or (4)deleted text begin ,deleted text end new text begin ; or
new text end

new text begin (B) 609.2114, subdivision 1, paragraph (a), clause (2), item (i) or (iii); (3); or (4);new text end or

new text begin (iv)new text end violating a statute or ordinance from another state in conformity with either of those
offenses.

Sec. 45.

Minnesota Statutes 2022, section 171.30, subdivision 5, is amended to read:


Subd. 5.

Exception; criminal vehicular operation.

Notwithstanding subdivision 1, the
commissioner may not issue a limited license to a person whose driver's license has been
suspended or revoked due to a violation of deleted text begin section 609.2112, subdivision 1deleted text end new text begin :
new text end

new text begin (1) section 609.2113, subdivision 1new text end , clause (2), item (i) or (iii)deleted text begin ,deleted text end new text begin ;new text end (3)deleted text begin ,deleted text end new text begin ;new text end or (4)deleted text begin , resulting in
bodily harm, substantial bodily harm, or great bodily harm.
deleted text end new text begin ; subdivision 2, clause (2), item
(i) or (iii); (3); or (4); or subdivision 3, clause (2), item (i) or (iii); (3); or (4);
new text end

new text begin (2) section 609.2114, subdivision 2, clause (2), item (i) or (iii); (3); or (4); or
new text end

new text begin (3) a statute or ordinance from another state in conformity with the offenses under clauses
(1) and (2) resulting in injury.
new text end

Sec. 46.

Minnesota Statutes 2023 Supplement, section 171.395, subdivision 1, is amended
to read:


Subdivision 1.

Authorization.

A licensednew text begin or approvednew text end driver education program that
provides both classroom and behind-the-wheel instruction may offer teleconference driver
education as provided in this section. For purposes of this section, the driver education
program must offer both classroom and behind-the-wheel instruction. deleted text begin If a program partners
or contracts with a second program to provide any portion of classroom or behind-the-wheel
instruction, the first program is not eligible to offer teleconference driver education
instruction.
deleted text end

Sec. 47.

Minnesota Statutes 2023 Supplement, section 171.396, is amended to read:


171.396 ONLINE DRIVER EDUCATION PROGRAM.

(a) A licensednew text begin or approvednew text end driver education program may offer online driver education
as provided in this section. The online driver education program must satisfy the requirements
for classroom driver education as provided in section 171.0701, subdivision 1, and Minnesota
Rules, chapter 7411. In addition, an online driver education program must:

(1) include a means for the student to measure performance outcomes;

(2) use a pool of rotating quiz questions;

(3) incorporate accountability features to ensure the identity of the student while engaged
in the course of online study;

(4) measure the amount of time that the student spends in the course;

(5) provide technical support to customers that is available 24 hours per day, seven days
per week;

(6) require a licensed Minnesota driver education instructor to monitor each student's
progress and be available to answer questions in a timely manner, provided that the instructor
is not required to monitor progress or answer questions in real time;

(7) store course content and student data on a secure server that is protected against data
breaches and is regularly backed up;

(8) incorporate preventive measures in place to protect against the access of private
information;

(9) include the ability to update course content uniformly throughout the state; and

(10) provide online interactive supplemental parental curriculum consistent with section
171.0701, subdivision 1a.

(b) Except as required by this section, the commissioner is prohibited from imposing
requirements on online driver education programs that are not equally applicable to classroom
driver education programs.

Sec. 48. new text begin FULL-SERVICE PROVIDER.
new text end

new text begin (a) For purposes of this section, the following terms have the meanings given:
new text end

new text begin (1) "commissioner" means the commissioner of public safety; and
new text end

new text begin (2) "full-service provider" has the meaning given in Minnesota Statutes, section 168.002,
subdivision 12a.
new text end

new text begin (b) A driver's license agent appointed before January 1, 2024, under Minnesota Statutes,
section 171.061, and is recognized by the commissioner as a limited licensing agent under
Minnesota Rules, part 7404.0340, may apply to the commissioner to become a full-service
provider at the agent's current office location. A driver's license agent must submit an
application on or before June 1, 2025. By June 30, 2025, an applicant under this section
must satisfactorily complete any additional staff training required by the commissioner to
offer expanded services as a full-service provider.
new text end

new text begin (c) The commissioner may appoint an applicant who meets the requirements under this
section as a full-service provider.
new text end

new text begin (d) Minnesota Rules, chapter 7404, applies to an appointment under this section, except
that this section applies notwithstanding Minnesota Rules, parts 7404.0300, subparts 4, 5,
and 6; 7404.0305, subpart 1, item B; 7404.0345, item D; 7404.0350; 7404.0360, subpart
2; and 7404.0400, subpart 4, item B.
new text end

Sec. 49. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2022, section 171.0605, subdivision 4, new text end new text begin is repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2023 Supplement, section 171.06, subdivisions 9, 10, and 11, new text end new text begin
are repealed.
new text end

new text begin (c) new text end new text begin Minnesota Rules, parts 7410.6180; and 7411.7600, subpart 3, new text end new text begin are repealed.
new text end

ARTICLE 3

GREATER MINNESOTA TRANSIT

Section 1.

Minnesota Statutes 2022, section 174.22, is amended by adding a subdivision
to read:


new text begin Subd. 1a. new text end

new text begin Complementary paratransit service (ADA). new text end

new text begin "Complementary paratransit
service (ADA)" means public transportation service provided on a regular basis where fixed
route public transit service exists and is designed exclusively or primarily to serve individuals
who are elderly or disabled and unable to use regular means of public transportation.
new text end

Sec. 2.

Minnesota Statutes 2022, section 174.22, subdivision 2b, is amended to read:


Subd. 2b.

Elderly and disabled service.

"Elderly and disabled service" means
transportation service provided on a regular basis innew text begin smallnew text end urbanized or large urbanized
areas and designed exclusively or primarily to serve individuals who are elderly or disabled
and unable to use regular means of public transportation.

Sec. 3.

Minnesota Statutes 2022, section 174.22, is amended by adding a subdivision to
read:


new text begin Subd. 3a. new text end

new text begin Large urbanized area service. new text end

new text begin "Large urbanized area service" means a public
transportation service operated in areas located outside the metropolitan area with a
population greater than 200,000 that is designated by the United States Census Bureau.
Large urbanized area service does not include complementary paratransit service (ADA),
as defined in subdivision 1a.
new text end

Sec. 4.

Minnesota Statutes 2022, section 174.22, subdivision 7, is amended to read:


Subd. 7.

Public deleted text begin transit or transitdeleted text end new text begin transportationnew text end .

deleted text begin "Public transit" or "transit" means
general or specific transportation service provided to the public on a regular and continuing
basis. "Public transit" or "transit" includes paratransit and regular route transit.
deleted text end new text begin "Public
transportation" means regular, continuing shared-ride surface transportation services that
are open to the general public or open to a segment of the general public defined by age,
disability, or low income. Public transportation does not include:
new text end

new text begin (1) intercity passenger rail transportation provided by the entity described in United
States Code, title 49, section 243, or a successor entity;
new text end

new text begin (2) intercity bus service;
new text end

new text begin (3) charter bus service;
new text end

new text begin (4) school bus service;
new text end

new text begin (5) sightseeing service;
new text end

new text begin (6) courtesy shuttle service for patrons of one or more specific establishments; or
new text end

new text begin (7) intraterminal or intrafacility shuttle services.
new text end

Sec. 5.

Minnesota Statutes 2022, section 174.22, subdivision 12, is amended to read:


Subd. 12.

Rural area service.

"Rural area service" means anew text begin publicnew text end transportation service
deleted text begin primarilydeleted text end operated in deleted text begin an area having population centers of less than 2,500 personsdeleted text end new text begin rural
areas that have not been designated in the most recent decennial census as an urbanized
area by the United States Census Bureau
new text end .

Sec. 6.

Minnesota Statutes 2022, section 174.22, subdivision 14, is amended to read:


Subd. 14.

Small deleted text begin urbandeleted text end new text begin urbanizednew text end area service.

"Small deleted text begin urbandeleted text end new text begin urbanizednew text end area service"
means anew text begin publicnew text end transportation service deleted text begin operating in an area with a population between 2,500
and 50,000
deleted text end new text begin operated in areas located outside the metropolitan area with a population of at
least 50,000 but less than 200,000 that is designated by the United States Census Bureau.
Small urbanized area service does not include complementary paratransit service (ADA),
as defined in subdivision 1a
new text end .

Sec. 7.

Minnesota Statutes 2022, section 174.23, subdivision 2, is amended to read:


Subd. 2.

Financial assistance; application, approval.

(a) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end
seek out and select eligible recipients of financial assistance under sections 174.21 to 174.27.

(b) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end establish deleted text begin by rule thedeleted text end procedures and standards for
review and approval of applications for financial assistance submitted to the commissioner
pursuant to sections 174.21 to 174.27. Any applicant deleted text begin shalldeleted text end new text begin mustnew text end provide to the commissioner
any financial or other information required by the commissioner to carry out the
commissioner's duties. The commissioner may require local contributions from applicants
as a condition for receiving financial assistance.

deleted text begin (c) Before the commissioner approves any grant, the application for the grant may be
reviewed by the appropriate regional development commission only for consistency with
regional transportation plans and development guides. If an applicant proposes a project
within the jurisdiction of a transit authority or commission or a transit system assisted or
operated by a city or county, the application shall also be reviewed by that commission,
authority, or political subdivision for consistency with its transit programs, policies, and
plans.
deleted text end

Sec. 8.

Minnesota Statutes 2022, section 174.24, subdivision 1a, is amended to read:


Subd. 1a.

Greater Minnesota transit investment plan.

(a) The commissioner deleted text begin shalldeleted text end
new text begin mustnew text end develop a greater Minnesota transit investment plan that contains a goal of meeting
at least 80 percent of total transit service needs in greater Minnesota by July 1, 2015, and
meeting at least 90 percent of total transit service needs in greater Minnesota by July 1,
2025.

(b) The plan must include, but is not limited to, the following:

(1) an analysis of ridership and total transit service needs throughout greater Minnesota;

(2) a calculation of the level and type of service required to meet total transit service
needs, for the transit system classifications as provided under subdivision 3b, paragraph
(c), ofnew text begin largenew text end urbanized area, small deleted text begin urbandeleted text end new text begin urbanizednew text end area, rural area, deleted text begin anddeleted text end elderly and disabled
servicenew text begin , and complementary paratransit service (ADA)new text end ;

(3) an analysis of costs and revenue options;

(4) a plan to reduce total transit service needs as specified in this subdivision; and

(5) identification of the operating and capital costs necessary to meet 100 percent of the
greater Minnesota transit targeted and projected bus service hours, as identified in the greater
Minnesota transit plan, for 2010, 2015, 2020, 2025, and 2030.

(c) The plan must specifically address special transportation service ridership and needs.
The plan must also provide that recipients of operating assistance under this section provide
fixed route public transit service without charge for disabled veterans in accordance with
subdivision 7.

Sec. 9.

Minnesota Statutes 2022, section 174.24, subdivision 3b, is amended to read:


Subd. 3b.

Operating assistance; recipient classifications.

deleted text begin (a) The commissioner shall
determine the total operating cost of any public transit system receiving or applying for
assistance in accordance with generally accepted accounting principles. To be eligible for
financial assistance, an applicant or recipient shall provide to the commissioner all financial
records and other information and shall permit any inspection reasonably necessary to
determine total operating cost and correspondingly the amount of assistance that may be
paid to the applicant or recipient. Where more than one county or municipality contributes
assistance to the operation of a public transit system, the commissioner shall identify one
as lead agency for the purpose of receiving money under this section.
deleted text end

deleted text begin (b)deleted text end new text begin (a)new text end Prior to distributing operating assistance to eligible recipients for any contract
period, the commissioner deleted text begin shalldeleted text end new text begin mustnew text end place all recipients into one of the following
classifications:new text begin largenew text end urbanized area service, small deleted text begin urbandeleted text end new text begin urbanizednew text end area service, rural area
service, deleted text begin anddeleted text end elderly and disabled servicenew text begin , and complementary paratransit service (ADA)new text end .

deleted text begin (c)deleted text end new text begin (b)new text end The commissioner deleted text begin shalldeleted text end new text begin mustnew text end distribute deleted text begin fundsdeleted text end new text begin the operating assistance amountnew text end
under this section so that the percentage deleted text begin of total contracted operating costdeleted text end new text begin from local sourcesnew text end
paid by any recipient deleted text begin from local sourcesdeleted text end will not exceed the new text begin followingnew text end percentage for that
recipient's classification, except as provided in this subdivisiondeleted text begin . The percentages must bedeleted text end :

(1) for urbanized area service and small urban area service, 20 percent;

(2) for rural area service, 15 percent; and

(3) for elderly and disabled servicenew text begin and complementary paratransit service (ADA)new text end , 15
percent.

deleted text begin Except as provided in a United States Department of Transportation program allowing or
requiring a lower percentage to be paid from local sources, the remainder of the recipient's
total contracted operating cost will be paid from state sources of funds less any assistance
received by the recipient from the United States Department of Transportation.
deleted text end

deleted text begin (d)deleted text end new text begin (c)new text end For purposes of this subdivision, "local sources" means all local sources of funds
and includes all operating revenue, tax levies, and contributions from public fundsdeleted text begin , except
that the commissioner may exclude from the total assistance contract revenues derived from
operations the cost of which is excluded from the computation of total operating cost
deleted text end .

deleted text begin (e)deleted text end new text begin (d)new text end If a recipient informs the commissioner in writing after the establishment of these
percentages but prior to the distribution of financial assistance for any year that paying its
designated percentage of deleted text begin total operating costdeleted text end new text begin the operating assistance amountnew text end from local
sources will cause undue hardship, the commissioner may reduce the percentage to be paid
from local sources by the recipient and increase the percentage to be paid from local sources
by one or more other recipients inside or outside the classification. However, the
commissioner may not reduce or increase any recipient's percentage under this paragraph
for more than two years successively. If for any year the funds appropriated to the
commissioner to carry out the purposes of this section are insufficient to allow the
commissioner to pay the state share of deleted text begin total operating costdeleted text end new text begin the operating assistance amountnew text end
as provided in this paragraph, the commissioner deleted text begin shalldeleted text end new text begin mustnew text end reduce the state share in each
classification to the extent necessary.

Sec. 10.

Minnesota Statutes 2022, section 174.24, subdivision 3c, is amended to read:


Subd. 3c.

Nonoperating assistance.

The commissioner deleted text begin shalldeleted text end new text begin mustnew text end determine the total
cost of any planning and engineering design, capital assistance, other capital expenditures,
and other assistance for public transit services that furthers the purposes of section 174.21
for any public transit system receiving or applying for the assistance in accordance with
generally accepted accounting principles. new text begin The percentage of local sources paid by any
recipient must not exceed 20 percent of the awarded amount.
new text end To be eligible for
non-operating-cost financial assistance, an applicant or recipient deleted text begin shalldeleted text end new text begin mustnew text end provide to the
commissioner all financial records and other information and deleted text begin shalldeleted text end new text begin mustnew text end permit any inspection
reasonably necessary to determine total cost and the amount of assistance that may be paid
to the applicant or recipient. When more than one county or municipality contributes
assistance to the operation of a public transit system, the commissioner deleted text begin shalldeleted text end new text begin mustnew text end identify
one as a lead agency for the purpose of receiving money under this section. The commissioner
has the sole discretion to determine the amount of state funds distributed to any recipient
for non-operating-cost assistance.

Sec. 11.

Minnesota Statutes 2022, section 174.247, is amended to read:


174.247 ANNUAL TRANSIT REPORT.

(a) By February 15 annually, the commissioner deleted text begin shalldeleted text end new text begin mustnew text end submit a report to the
legislature on transit services outside the metropolitan area. deleted text begin The Metropolitan Council anddeleted text end
Any public transit system receiving assistance under section 174.24 deleted text begin shalldeleted text end new text begin mustnew text end provide
assistance in creating the report, as requested by the commissioner.

(b) The report must include, at a minimum, the following:

(1) a descriptive overview of public transit in Minnesota;

(2) a descriptive summary of funding sources and assistance programs;

(3) a summary of each public transit system receiving assistance under section 174.24;

(4) data that identifies use of volunteers in providing transit service;

(5) financial data that identifies for each public transit system and for each transit system
classification under section 174.24, subdivision 3b:

(i) the operating and capital costs;

(ii) each of the funding sources used to provide financial assistance; and

(iii) for federal funds, the amount from each specific federal program under which
funding is provided;

(6) a summary of the differences in program implementation requirements and aid
recipient eligibility between federal aid and state sources of funds;new text begin and
new text end

(7) deleted text begin in each odd-numbered year,deleted text end an analysis of public transit system needs and operating
expenditures on an annual basis, which must include a methodology for identifying monetary
needs, and calculations of:

(i) the total monetary needs for all public transit systems, for the year of the report and
the ensuing five years;

(ii) the total expenditures from local sources for each transit system classification;

(iii) the comprehensive transit assistance percentage for each transit system classification,
which equals (A) the expenditures identified under item (ii), for a transit system classification,
divided by (B) the amounts identified under subitem (A), plus the sum of state sources of
funds plus federal funds provided to all transit systems in that classification; and

(iv) the amount of surplus or insufficient funds available for paying capital and operating
costs to fully implement the greater Minnesota transit investment plan under section 174.24,
subdivision 1a.

Sec. 12.

Minnesota Statutes 2023 Supplement, section 256B.0625, subdivision 17, is
amended to read:


Subd. 17.

Transportation costs.

(a) "Nonemergency medical transportation service"
means motor vehicle transportation provided by a public or private person that serves
Minnesota health care program beneficiaries who do not require emergency ambulance
service, as defined in section 144E.001, subdivision 3, to obtain covered medical services.

(b) For purposes of this subdivision, "rural urban commuting area" or "RUCA" means
a census-tract based classification system under which a geographical area is determined
to be urban, rural, or super rural.

(c) Medical assistance covers medical transportation costs incurred solely for obtaining
emergency medical care or transportation costs incurred by eligible persons in obtaining
emergency or nonemergency medical care when paid directly to an ambulance company,
nonemergency medical transportation company, or other recognized providers of
transportation services. Medical transportation must be provided by:

(1) nonemergency medical transportation providers who meet the requirements of this
subdivision;

(2) ambulances, as defined in section 144E.001, subdivision 2;

(3) taxicabs that meet the requirements of this subdivision;

(4) public transit,new text begin within the meaning of "public transportation"new text end as defined in section
174.22, subdivision 7; or

(5) not-for-hire vehicles, including volunteer drivers, as defined in section 65B.472,
subdivision 1, paragraph (h).

(d) Medical assistance covers nonemergency medical transportation provided by
nonemergency medical transportation providers enrolled in the Minnesota health care
programs. All nonemergency medical transportation providers must comply with the
operating standards for special transportation service as defined in sections 174.29 to 174.30
and Minnesota Rules, chapter 8840, and all drivers must be individually enrolled with the
commissioner and reported on the claim as the individual who provided the service. All
nonemergency medical transportation providers shall bill for nonemergency medical
transportation services in accordance with Minnesota health care programs criteria. Publicly
operated transit systems, volunteers, and not-for-hire vehicles are exempt from the
requirements outlined in this paragraph.

(e) An organization may be terminated, denied, or suspended from enrollment if:

(1) the provider has not initiated background studies on the individuals specified in
section 174.30, subdivision 10, paragraph (a), clauses (1) to (3); or

(2) the provider has initiated background studies on the individuals specified in section
174.30, subdivision 10, paragraph (a), clauses (1) to (3), and:

(i) the commissioner has sent the provider a notice that the individual has been
disqualified under section 245C.14; and

(ii) the individual has not received a disqualification set-aside specific to the special
transportation services provider under sections 245C.22 and 245C.23.

(f) The administrative agency of nonemergency medical transportation must:

(1) adhere to the policies defined by the commissioner;

(2) pay nonemergency medical transportation providers for services provided to
Minnesota health care programs beneficiaries to obtain covered medical services;

(3) provide data monthly to the commissioner on appeals, complaints, no-shows, canceled
trips, and number of trips by mode; and

(4) by July 1, 2016, in accordance with subdivision 18e, utilize a web-based single
administrative structure assessment tool that meets the technical requirements established
by the commissioner, reconciles trip information with claims being submitted by providers,
and ensures prompt payment for nonemergency medical transportation services.

(g) Until the commissioner implements the single administrative structure and delivery
system under subdivision 18e, clients shall obtain their level-of-service certificate from the
commissioner or an entity approved by the commissioner that does not dispatch rides for
clients using modes of transportation under paragraph (l), clauses (4), (5), (6), and (7).

(h) The commissioner may use an order by the recipient's attending physician, advanced
practice registered nurse, physician assistant, or a medical or mental health professional to
certify that the recipient requires nonemergency medical transportation services.
Nonemergency medical transportation providers shall perform driver-assisted services for
eligible individuals, when appropriate. Driver-assisted service includes passenger pickup
at and return to the individual's residence or place of business, assistance with admittance
of the individual to the medical facility, and assistance in passenger securement or in securing
of wheelchairs, child seats, or stretchers in the vehicle.

(i) Nonemergency medical transportation providers must take clients to the health care
provider using the most direct route, and must not exceed 30 miles for a trip to a primary
care provider or 60 miles for a trip to a specialty care provider, unless the client receives
authorization from the local agency.

(j) Nonemergency medical transportation providers may not bill for separate base rates
for the continuation of a trip beyond the original destination. Nonemergency medical
transportation providers must maintain trip logs, which include pickup and drop-off times,
signed by the medical provider or client, whichever is deemed most appropriate, attesting
to mileage traveled to obtain covered medical services. Clients requesting client mileage
reimbursement must sign the trip log attesting mileage traveled to obtain covered medical
services.

(k) The administrative agency shall use the level of service process established by the
commissioner to determine the client's most appropriate mode of transportation. If public
transit or a certified transportation provider is not available to provide the appropriate service
mode for the client, the client may receive a onetime service upgrade.

(l) The covered modes of transportation are:

(1) client reimbursement, which includes client mileage reimbursement provided to
clients who have their own transportation, or to family or an acquaintance who provides
transportation to the client;

(2) volunteer transport, which includes transportation by volunteers using their own
vehicle;

(3) unassisted transport, which includes transportation provided to a client by a taxicab
or public transit. If a taxicab or public transit is not available, the client can receive
transportation from another nonemergency medical transportation provider;

(4) assisted transport, which includes transport provided to clients who require assistance
by a nonemergency medical transportation provider;

(5) lift-equipped/ramp transport, which includes transport provided to a client who is
dependent on a device and requires a nonemergency medical transportation provider with
a vehicle containing a lift or ramp;

(6) protected transport, which includes transport provided to a client who has received
a prescreening that has deemed other forms of transportation inappropriate and who requires
a provider: (i) with a protected vehicle that is not an ambulance or police car and has safety
locks, a video recorder, and a transparent thermoplastic partition between the passenger and
the vehicle driver; and (ii) who is certified as a protected transport provider; and

(7) stretcher transport, which includes transport for a client in a prone or supine position
and requires a nonemergency medical transportation provider with a vehicle that can transport
a client in a prone or supine position.

(m) The local agency shall be the single administrative agency and shall administer and
reimburse for modes defined in paragraph (l) according to paragraphs (p) and (q) when the
commissioner has developed, made available, and funded the web-based single administrative
structure, assessment tool, and level of need assessment under subdivision 18e. The local
agency's financial obligation is limited to funds provided by the state or federal government.

(n) The commissioner shall:

(1) verify that the mode and use of nonemergency medical transportation is appropriate;

(2) verify that the client is going to an approved medical appointment; and

(3) investigate all complaints and appeals.

(o) The administrative agency shall pay for the services provided in this subdivision and
seek reimbursement from the commissioner, if appropriate. As vendors of medical care,
local agencies are subject to the provisions in section 256B.041, the sanctions and monetary
recovery actions in section 256B.064, and Minnesota Rules, parts 9505.2160 to 9505.2245.

(p) Payments for nonemergency medical transportation must be paid based on the client's
assessed mode under paragraph (k), not the type of vehicle used to provide the service. The
medical assistance reimbursement rates for nonemergency medical transportation services
that are payable by or on behalf of the commissioner for nonemergency medical
transportation services are:

(1) $0.22 per mile for client reimbursement;

(2) up to 100 percent of the Internal Revenue Service business deduction rate for volunteer
transport;

(3) equivalent to the standard fare for unassisted transport when provided by public
transit, and $12.10 for the base rate and $1.43 per mile when provided by a nonemergency
medical transportation provider;

(4) $14.30 for the base rate and $1.43 per mile for assisted transport;

(5) $19.80 for the base rate and $1.70 per mile for lift-equipped/ramp transport;

(6) $75 for the base rate and $2.40 per mile for protected transport; and

(7) $60 for the base rate and $2.40 per mile for stretcher transport, and $9 per trip for
an additional attendant if deemed medically necessary.

(q) The base rate for nonemergency medical transportation services in areas defined
under RUCA to be super rural is equal to 111.3 percent of the respective base rate in
paragraph (p), clauses (1) to (7). The mileage rate for nonemergency medical transportation
services in areas defined under RUCA to be rural or super rural areas is:

(1) for a trip equal to 17 miles or less, equal to 125 percent of the respective mileage
rate in paragraph (p), clauses (1) to (7); and

(2) for a trip between 18 and 50 miles, equal to 112.5 percent of the respective mileage
rate in paragraph (p), clauses (1) to (7).

(r) For purposes of reimbursement rates for nonemergency medical transportation services
under paragraphs (p) and (q), the zip code of the recipient's place of residence shall determine
whether the urban, rural, or super rural reimbursement rate applies.

(s) The commissioner, when determining reimbursement rates for nonemergency medical
transportation under paragraphs (p) and (q), shall exempt all modes of transportation listed
under paragraph (l) from Minnesota Rules, part 9505.0445, item R, subitem (2).

(t) Effective for the first day of each calendar quarter in which the price of gasoline as
posted publicly by the United States Energy Information Administration exceeds $3.00 per
gallon, the commissioner shall adjust the rate paid per mile in paragraph (p) by one percent
up or down for every increase or decrease of ten cents for the price of gasoline. The increase
or decrease must be calculated using a base gasoline price of $3.00. The percentage increase
or decrease must be calculated using the average of the most recently available price of all
grades of gasoline for Minnesota as posted publicly by the United States Energy Information
Administration.

Sec. 13.

Minnesota Statutes 2022, section 473.121, subdivision 19, is amended to read:


Subd. 19.

Public transit or transit.

"Public transit" or "transit" has the meaning givennew text begin
to "public transportation"
new text end in section 174.22, subdivision 7.

Sec. 14.

Minnesota Statutes 2023 Supplement, section 609.855, subdivision 7, is amended
to read:


Subd. 7.

Definitions.

(a) The definitions in this subdivision apply in this section.

(b) "Public transit" or "transit" has the meaning givennew text begin to "public transportation"new text end in section
174.22, subdivision 7.

(c) "Public transit vehicle" or "transit vehicle" means any vehicle used for the purpose
of providing public transit, whether or not the vehicle is owned or operated by a public
entity.

(d) "Public transit facilities" or "transit facilities" means any vehicles, equipment,
property, structures, stations, improvements, plants, parking or other facilities, or rights that
are owned, leased, held, or used for the purpose of providing public transit, whether or not
the facility is owned or operated by a public entity.

(e) "Fare medium" means a ticket, smart card, pass, coupon, token, transfer, or other
medium sold or distributed by a public transit provider, or its authorized agents, for use in
gaining entry to or use of the public transit facilities or vehicles of the provider.

(f) "Proof of fare payment" means a fare medium valid for the place or time at, or the
manner in, which it is used. If using a reduced-fare medium, proof of fare payment also
includes proper identification demonstrating a person's eligibility for the reduced fare. If
using a fare medium issued solely for the use of a particular individual, proof of fare payment
also includes an identification document bearing a photographic likeness of the individual
and demonstrating that the individual is the person to whom the fare medium is issued.

(g) "Authorized transit representative" means the person authorized by the transit provider
to operate the transit vehicle, a peace officer, a transit official under section 473.4075,
subdivision 1, or any other person designated by the transit provider as an authorized transit
representative under this section.

Sec. 15. new text begin REVISOR INSTRUCTION.
new text end

new text begin (a) The revisor of statutes must renumber the subdivisions in Minnesota Statutes, section
174.22, in alphabetical order by their headnotes and correct any cross-reference changes
that result.
new text end

new text begin (b) In Minnesota Statutes, the revisor of statutes must change the term "public transit"
to "public transportation" wherever the term appears in Minnesota Statutes, sections 174.21
to 174.27.
new text end

new text begin (c) Except as otherwise provided in this article, in Minnesota Statutes, the revisor of
statutes must change the term "public transit" to "public transportation" wherever the term
appears in statutes in conjunction with a specific reference to Minnesota Statutes, section
174.22, subdivision 7.
new text end

Sec. 16. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2022, sections 174.22, subdivisions 5 and 15; and 174.23,
subdivision 7,
new text end new text begin are repealed.
new text end

new text begin (b) Minnesota Rules, parts 8835.0110, subparts 1, 1a, 6, 7, 10, 11a, 12a, 12b, 13a, 14a,
15, 15a, 16, 17, 18, and 19; 8835.0210; 8835.0220; 8835.0230; 8835.0240; 8835.0250;
8835.0260; 8835.0265; 8835.0270; 8835.0275; 8835.0280; 8835.0290; 8835.0310;
8835.0320; 8835.0330, subparts 1, 3, and 4; and 8835.0350, subparts 1, 3, 4, and 5,
new text end new text begin are
repealed.
new text end

APPENDIX

Repealed Minnesota Statutes: UEH3436-1

169.011 DEFINITIONS.

Subd. 70.

Safety zone.

"Safety zone" means the area or space officially set apart within a roadway for the exclusive use of pedestrians and which is protected or is so marked or indicated by adequate signs as to be plainly visible at all times set apart as a safety zone.

169.25 SAFETY ZONE.

No vehicle shall at any time be driven through a safety zone.

171.06 APPLICATION FOR LICENSE, PERMIT, IDENTIFICATION CARD; FEES.

Subd. 9.

Noncompliant license or identification card; general requirements.

(a) A document submitted under this subdivision or subdivision 10 or 11 must include the applicant's name and must be:

(1) issued to or provided for the applicant;

(2) legible and unaltered;

(3) an original or a copy certified by the issuing agency or by a court; and

(4) accompanied by a certified translation or an affidavit of translation into English, if the document is not in English.

(b) If the applicant's current legal name is different from the name on a document submitted under subdivision 10 or 11, the applicant must submit:

(1) a certified copy of a court order that specifies the applicant's name change;

(2) a certified copy of the applicant's certificate of marriage;

(3) a certified copy of a divorce decree or dissolution of marriage that specifies the applicant's name change, issued by a court; or

(4) similar documentation of a lawful change of name, as determined by the commissioner.

(c) A form issued by a federal agency that is specified under subdivisions 10 and 11 includes any subsequent form or version.

(d) The commissioner must establish a process to grant a waiver from the requirements under this subdivision and subdivisions 10 and 11.

(e) The same document must not be submitted as both a primary document under subdivision 10 and a secondary document under subdivision 11.

(f) For purposes of this subdivision and subdivisions 10 and 11:

(1) "court" includes a foreign court of competent jurisdiction; and

(2) "foreign" means a jurisdiction that is not, and is not within, the United States, the Commonwealth of the Northern Mariana Islands, the Commonwealth of Puerto Rico, Guam, the United States Virgin Islands, or a territory of the United States.

Subd. 10.

Noncompliant license or identification card; primary documents.

(a) For purposes of a noncompliant driver's license or identification card, a primary document under Minnesota Rules, part 7410.0400, subpart 2, or successor rules, includes:

(1) an unexpired foreign passport or a foreign consular identification document that bears a photograph of the applicant;

(2) a certified birth certificate issued by a foreign jurisdiction; and

(3) a certified adoption certificate issued by a foreign jurisdiction that includes the applicant's name and date of birth.

(b) A document submitted under this subdivision must contain security features that make the document as impervious to alteration as is reasonably practicable in its design and quality of material and technology.

(c) Submission of more than one primary document is not required under this subdivision.

Subd. 11.

Noncompliant license or identification card; secondary documents.

(a) For purposes of a noncompliant driver's license or identification card, a secondary document under Minnesota Rules, part 7410.0400, subpart 3, or successor rules, includes:

(1) a second primary document listed under subdivision 10, paragraph (a);

(2) a notice of action on or proof of submission of a completed Application for Asylum and for Withholding of Removal issued by the United States Department of Homeland Security, Form I-589;

(3) a Certificate of Eligibility for Nonimmigrant Student Status issued by the United States Department of Homeland Security, Form I-20;

(4) a Certificate of Eligibility for Exchange Visitor Status issued by the United States Department of State, Form DS-2019;

(5) a Deferred Action for Childhood Arrival approval notice issued by the United States Department of Homeland Security;

(6) an employment authorization document issued by the United States Department of Homeland Security, Form I-688, Form I-688A, Form I-688B, or Form I-766;

(7) a document issued by the Internal Revenue Service with an individual taxpayer identification number;

(8) a Social Security card;

(9) a Supplemental Security Income award statement issued no more than 12 months before the application;

(10) an unexpired Selective Service card;

(11) military orders that are still in effect at the time of application;

(12) a Minnesota unemployment insurance benefit statement issued no more than 90 days before the application;

(13) a valid identification card for health benefits or an assistance or social services program;

(14) a Minnesota vehicle certificate of title issued no more than 12 months before the application;

(15) mortgage documents for the applicant's residence;

(16) a filed property deed or title for the applicant's residence;

(17) a Minnesota property tax statement for the current or prior calendar year, or a proposed Minnesota property tax notice for the current year, that shows the applicant's principal residential address both on the mailing portion and the portion stating what property is being taxed;

(18) a certified copy of a divorce decree or dissolution of marriage that specifies the applicant's name or name change, issued by a court; and

(19) any of the following documents issued by a foreign jurisdiction:

(i) a driver's license that is current or has been expired for five years or less;

(ii) a high school, college, or university student identification card with a certified transcript from the school;

(iii) an official high school, college, or university transcript that includes the applicant's date of birth and a photograph of the applicant at the age the record was issued;

(iv) a federal electoral card issued on or after January 1, 1991, that contains the applicant's photograph;

(v) a certified copy of the applicant's certificate of marriage; and

(vi) a certified copy of a court order or judgment from a court of competent jurisdiction that contains the applicant's name and date of birth.

(b) Submission of more than one secondary document is not required under this subdivision.

171.0605 EVIDENCE OF IDENTITY AND LAWFUL PRESENCE.

Subd. 4.

Evidence; Social Security number.

The following is satisfactory evidence of an applicant's Social Security number or related documentation under section 171.06, subdivision 3, paragraph (b):

(1) a Social Security card;

(2) if a Social Security card is not available:

(i) a federal Form W-2;

(ii) a federal Form SSA-1099 or other federal Form 1099 having the applicant's Social Security number; or

(iii) a computer-printed United States employment pay stub with the applicant's name, address, and Social Security number; or

(3) for an applicant who provides a passport under subdivision 2, paragraph (a), clause (9), documentation demonstrating nonwork authorized status.

174.22 DEFINITIONS.

Subd. 5.

Operating deficit.

"Operating deficit" means the amount by which the total prudent operating expenses incurred in the operation of the public transit system exceeds the amount of operating revenue derived from the system.

Subd. 15.

Urbanized area service.

"Urbanized area service" means a transportation service operating in an urban area of more than 50,000 persons but does not include elderly and disabled service, as defined in subdivision 2b.

174.23 GENERAL POWERS AND DUTIES.

Subd. 7.

Rulemaking; total operating cost.

The commissioner shall by rule define "total operating cost" as the term is used in carrying out the purposes of section 174.24. "Total operating cost" may include provisions for a fee for service. The commissioner shall consult with eligible recipients to the maximum extent feasible in formulating these rules and develop necessary and reasonable changes in cost and fee allowability provisions and financial examination procedures where possible. The rules are subject to the provisions in the Administrative Procedure Act of sections 14.001 to 14.69.

221.033 REGULATION OF HAZARDOUS MATERIALS.

Subd. 2c.

Age of petroleum tank truck driver.

A driver of a motorized tank truck vehicle having a capacity of less than 3,500 gallons, who is engaged in the intrastate transportation of petroleum products, must be at least 18 years of age.

Repealed Minnesota Rule: UEH3436-1

7410.6180 COMMERCIAL MOTOR VEHICLE TESTING PROGRAM.

A public, postsecondary educational institution or school as described in part 7410.6100 applying to be a third-party testing program for commercial motor vehicles shall offer a training course for commercial motor vehicle operation that consists of at least 180 hours of training.

7411.7600 REQUIREMENTS FOR APPROVAL AND OPERATION.

Subp. 3.

Course length restrictions.

The course of study may not be less than a total of eight hours, with no more than four hours of instruction required in a 24-hour period.

8835.0110 DEFINITIONS.

Subpart 1.

Scope.

The terms used in this chapter have the meanings given them in this part.

Subp. 1a.

Applicant.

"Applicant" means an entity that is eligible under Minnesota Statutes, section 174.24, subdivision 2, for financial assistance for a new or existing public transit system.

Subp. 6.

Cost reimbursement contract.

"Cost reimbursement contract" means a contract providing for payment to the contractor of allowable costs incurred in the performance of the contract, to the extent prescribed in the contract.

Subp. 7.

Department.

"Department" means the Department of Transportation.

Subp. 10.

Financial assistance.

"Financial assistance" means state funds paid to a recipient in accordance with the public transit participation program established under Minnesota Statutes, section 174.24.

Subp. 11a.

Greater Minnesota.

"Greater Minnesota" has the meaning given in Minnesota Statutes, section 116O.02, subdivision 5.

Subp. 12a.

Local share.

"Local share" means the percentage of total operating costs paid by a recipient according to the distribution classifications in Minnesota Statutes, section 174.24, subdivision 3b, and the percentage of capital costs paid by a recipient according to part 8835.0320.

Subp. 12b.

Local source.

"Local source" has the meaning given it in Minnesota Statutes, section 174.24, subdivision 3b.

Subp. 13a.

Management plan.

"Management plan" means a description of all the elements of a proposed public transit system, as required by part 8835.0260.

Subp. 14a.

Passenger trip.

"Passenger trip" means a one-way movement of a person between two points. Each time a passenger boards a transit vehicle counts as one passenger trip.

Subp. 15.

Public transit or transit.

"Public transit" or "transit" has the meaning given it in Minnesota Statutes, section 174.22, subdivision 7.

Subp. 15a.

Public transit participation program.

"Public transit participation program" means the department's program for providing financial assistance for public transit services in greater Minnesota under Minnesota Statutes, section 174.24.

Subp. 16.

Reasonable cost.

"Reasonable cost" means a price for a commodity or service which, in its nature or amount, does not exceed that which would be incurred by an ordinarily prudent person in the conduct of competitive business.

Subp. 17.

Regional Development Commission.

"Regional Development Commission" has the meaning given it in Minnesota Statutes, section 462.384, subdivision 4.

Subp. 18.

Revenue.

"Revenue" means sources of income.

Subp. 19.

Total operating cost.

"Total operating cost" means the categories of allowable expenses provided in part 8835.0280.

8835.0210 STATUTORY AUTHORITY.

This chapter is adopted pursuant to Minnesota Statutes, section 174.23, subdivisions 2 and 7.

8835.0220 PURPOSE.

The purpose of this chapter is to establish the procedures and standards for review and approval of applications for financial assistance under the public transit participation program in Minnesota Statutes, section 174.24, and to define "total operating cost" as the term is used in carrying out the public transit participation program.

8835.0230 SCOPE.

This chapter applies to applicants for financial assistance under the public transit participation program established by Minnesota Statutes, section 174.24.

8835.0240 ADMINISTRATION OF PUBLIC TRANSIT PARTICIPATION PROGRAM.

The Office of Transit shall administer the public transit participation program as provided by Minnesota Statutes, section 174.23, subdivision 8. The Office of Transit shall allocate:

A.

operating assistance to public transit systems according to the distribution classifications in Minnesota Statutes, section 174.24, subdivision 3b; and

B.

nonoperating or capital assistance to public transit systems according to the discretion provided to the commissioner by Minnesota Statutes, section 174.24, subdivision 3c, and according to part 8835.0320.

The Office of Transit shall make payments of financial assistance by a contract between the department and a recipient as required by Minnesota Statutes, section 174.24, subdivision 3.

8835.0250 APPLICATION FOR FINANCIAL ASSISTANCE.

Subpart 1.

Who may apply.

An applicant may apply for financial assistance under the public transit participation program to provide public transit in greater Minnesota.

Subp. 2.

Public transit.

Public transit includes a single service or a combination of services, such as route deviations, fixed route, flexible fixed route, demand-response/dial-a-ride, rideshare, subscription, volunteer driver services, and other services that meet the needs of individual transit systems to the extent they are consistent with Minnesota Statutes, section 174.21. A public transit system must be available and accessible to the general public.

Subp. 3.

Submission; deadline.

An applicant shall request financial assistance using an application prescribed by the department. The department shall establish a deadline for submission of applications for financial assistance and shall provide adequate notice of the deadline to applicants. A complete application contains a management plan, a resolution from the applicant's governing body, and other forms and certifications required by federal or state law or regulation.

Subp. 4.

Additional review.

In addition to submitting an application to the department, an applicant shall submit an application for review and approval as provided in Minnesota Statutes, section 174.23, subdivision 2.

Subp. 5.

Resolution.

An applicant shall submit with the application a resolution by the governing body that:

A.

resolves to provide public transit;

B.

indicates the person or persons authorized by title to execute a contract with the department and all amendments to the contract; and

C.

authorizes funds for the local share of financial assistance, if applicable.

8835.0260 MANAGEMENT PLAN.

Subpart 1.

Submission in application.

An applicant shall submit a management plan as part of its application for financial assistance.

Subp. 2.

Contents.

The management plan must include the following information:

A.

a service plan that describes the levels of service to be provided during the contract period, including a discussion of service area and general population, type or types of service, vehicle descriptions, days and hours of service, service schedules, contract services, and route maps;

B.

a description of unmet service needs;

C.

a financial plan, including:

(1)

a general narrative that supports and explains the budget;

(2)

a detailed narrative for each line item in the budget, including increases;

(3)

actual statistics on operating expenses and operating revenues for the most recent calendar years;

(4)

anticipated statistics on operating expenses and operating revenues for the new contract period;

(5)

actual statistics on miles and hours of service and passenger trips for the most recent calendar year; and

(6)

anticipated statistics on miles and hours of service and passenger trips for the new contract period;

D.

a coordination and marketing plan, including costs and benefits of major elements;

E.

a capital plan that describes the major capital assets of the transit system with an outline of how they will be maintained, improved, or replaced;

F.

a description of revenue-producing contracts relating to the transit services provided by or for the applicant;

G.

a description of expense contracts for services and goods procured by the transit system;

H.

a description of the participating public transit system's vehicle maintenance program for the period of financial assistance;

I.

a description of the organizational structure established to direct, control, review, and implement the management plan;

J.

a description of measurable goals and objectives for the transit system, illustrating the benefits expected to be realized by the investment of state financial assistance;

K.

a description of the fare structure of the public transit system;

L.

a listing of transit and paratransit systems and their union affiliations currently operating in the applicant's area, and a description of existing or potential coordination with these systems;

M.

a description of the transit system's safety and training policies, including its driver selection process;

N.

a description of the proposed insurance carrier and the limits of coverage;

O.

a description of the internal controls policy for the collection and deposit of fares;

P.

a copy of the transit system's most recent drug and alcohol policy as approved by the local recipient's governing body;

Q.

all third party contracts relating to transit operations; and

R.

a copy of the governing body's third-party contract procurement policy.

Subp. 3.

Incorporation into contract.

The department shall incorporate an approved management plan into the financial assistance contract between the department and the recipient, as provided in part 8835.0330. The department shall approve a management plan after it determines the financial assistance according to part 8835.0270.

8835.0265 THIRD-PARTY CONTRACT FOR OPERATING SERVICES.

A recipient shall include a copy of the third-party contract procurement policy of its governing body in the management plan required in part 8835.0260. A third-party contract for operating services must contain all relevant terms contained in the financial assistance contract between the recipient and the department. The recipient is responsible for third-party contractor compliance with local, state, and federal laws, rules, and regulations. A third-party contract must be available for audit according to part 8835.0350, subpart 3. Before a recipient awards a third-party contract for operating services, the department shall review the third-party contract for compliance with the terms of the financial assistance contract between the department and the recipient.

8835.0270 FINANCIAL ASSISTANCE.

Subpart 1.

Allocation priorities.

The department shall allocate financial assistance to recipients for purposes of the public transit participation program according to the following order of priority:

A.

first priority: operating costs for existing public transit systems;

B.

second priority: capital costs for existing public transit systems; and

C.

third priority: operating and capital costs for the provision of public transit services in a community or area not currently served by public transit.

Subp. 2.

Determination of financial assistance.

To determine financial assistance, the department shall review an applicant's management plan and evaluate the proposed public transit system by considering:

A.

the degree to which the proposed system meets the objectives of the public transit participation program;

B.

the accessibility of the proposed system to the general public, including persons with disabilities;

C.

the amount of local government and community support for the proposed system;

D.

the plan for continuation of the proposed system after the first year; and

E.

the plan for coordination of transit services in the geographical area.

The department shall evaluate the budget, service delivery and design, and administration of a public transit system. The department shall compare the past performance of a transit system to its current performance and to the performance of other similar transit systems. To measure the performance of a public transit system, the department shall consider cost efficiency, cost-effectiveness, service effectiveness, and quality.

Subp. 3.

Approval of management plan.

The department shall approve a management plan for incorporation into a financial assistance contract after determining the reasonable costs of the proposed public transit system.

8835.0275 DETERMINING FINANCIAL ASSISTANCE; EXPENSE CATEGORIES.

In determining the total operating costs of a public transit system, upon which financial assistance is based, part 8835.0290 and the definitions of expense categories in part 8835.0280 apply and have the meanings given them.

8835.0280 TOTAL OPERATING COST.

Subpart 1.

Definition.

"Total operating cost" means the categories of allowable expenses provided in subparts 2 to 7. The total operating cost is subject to the audit provisions of part 8835.0350, subpart 3.

Subp. 2.

Personnel services expense.

The "personnel services" expense category includes:

A.

administrative, management, and supervisory services, which are the amount paid to transit system employees classified as managers, supervisors, coordinators, or administrators and for which the amounts claimed by employees must be supported by daily time distribution records or a cost allocation plan that is supported by the applicant and approved by the department as part of the management plan;

B.

operators' wages, which are the total amount paid to transit system employees classified as vehicle operators and for which the amounts claimed by employees must be supported by daily time distribution records;

C.

maintenance and repair wages, which are the labor charges incurred in the performance of maintenance and repair of vehicles and other property required for the operation of the transit system, including only wages of maintenance personnel employed by the transit system, and for which the amounts claimed by employees must be supported by daily time distribution records;

D.

other direct wages, which are the amount paid to transit system employees not classified as operators, maintenance, or administrative personnel, such as dispatchers, bookkeepers, clerical personnel, janitors, and security personnel, and for which the amounts claimed by employees must be supported by daily time distribution records;

E.

indirect labor charges, which are the amount to be allocated to the transit contract for labor that is not traceable to a specific transit activity but which benefits the transit operation and which must be based on a cost allocation plan approved by the department; and

F.

fringe benefits, which are the cost of providing fringe benefits for active and retired transit system employees, including pension benefits, vacation and sick leave benefits, social security taxes, workers' compensation insurance, unemployment insurance, life insurance, and first party medical coverage, and which may be allocated indirectly based on a cost allocation plan approved by the department.

Subp. 3.

Administrative charges expense.

The "administrative charges" expense category includes:

A.

management fees, which are the amount paid for professional services provided by a management service company engaged contractually to provide operating management to the transit system;

B.

tariffs and traffic expenses, which are any necessary tariff filing fees and costs for the procurement of tickets, tokens, and transfers;

C.

advertising, marketing, and promotional charges, including the necessary cost of advertising and promoting the transit system;

D.

legal, auditing, and other professional fees rendered by individuals or firms, other than transit system employees, for the purpose of maintaining continuing operations of the transit system, including:

(1)

attorney fees and expenses, court costs, witness fees, and fees for accounting and auditing services, such as accident claims, defending workers' compensation claims, or other items directly related to the management plan and approved by the department; and

(2)

fees paid for planning, engineering, or other consultant services that are directly related to the management plan approved by the department;

E.

security costs, which are the costs necessary to provide armored car services, patrol services, and electronic surveillance for vehicles, stations, yards, and buildings to detect and prevent criminal activity, fires, and unsafe conditions, when the patrolling is performed by an outside security agency and not by transit system employees;

F.

office supplies expense, which is the cost of office supplies and materials and printing and photocopying charges solely attributable to and necessary for the operation of the transit system;

G.

lease and rental costs of administrative facilities used for performing the general administrative functions of the transit system, including leases and rentals of such items as land, buildings, office equipment, and furnishings;

H.

utilities expense, which is the cost of utilities such as gas, electricity, water, telephone and other communications services, and trash collection;

I.

other direct administrative charges, including administrative charges necessary for the continuing operation of the transit system, such as mileage reimbursement for transit support vehicles, approved conference fees, employee travel expenses, employee development, driver's training, approved membership fees for transit associations if the cost of membership is reasonably related to the value of the services or benefits received, and subscriptions to transit publications; and

J.

indirect administrative charges, which are the amount allocated to the transit contract for administrative services not traceable to a specific transit activity but which benefit the transit operation and which must be based on a cost allocation plan approved by the department.

For purposes of item I, mileage reimbursement must be based on a rate approved by the local governing body, as long as the rate is reasonable and consistent with similar rates approved by the local governing body.

Subp. 4.

Vehicle charges expense.

The "vehicle charges" expense category applies to vehicles owned or leased by the public transit system and includes:

A.

fuel and lubricants expense, including net costs of gasoline, diesel, and alternative fuels and costs of antifreeze, propane, lubricating oil, transmission fluid, and grease used by revenue and service vehicles;

B.

maintenance and repair material expense, including costs of parts, materials, and supplies used in the maintenance and repair of revenue and service equipment;

C.

contract service maintenance labor expense, which is the cost of labor for maintenance and repair service provided by persons other than transit system employees;

D.

tire expense, which is the cost of tires and tubes used on revenue and service equipment including the cost of recapping or regrooving and the rental costs for tires and tubes; and

E.

other vehicle charges, including the costs of:

(1)

first aid equipment, fire extinguishers, and other emergency equipment required for vehicles; and

(2)

noncapitalized vehicle improvements that do not remake a vehicle or appreciably extend its useful life and that have received approval from the department.

Subp. 5.

Operations charges expense.

The "operations charges" expense category includes:

A.

purchase of service, which is the cost of having a subcontractor operate the project service, with cost established:

(1)

through competitive bidding procedures, except for those recipients covered under Minnesota Statutes, chapter 221;

(2)

through a negotiated contract with the prime contractor in bid situations when only one bid is received; or

(3)

through a negotiated subcontract in a nonbid situation;

B.

depreciation, which is the amount of depreciation or use allowance on depreciable items such as structures, revenue equipment, service vehicles and equipment, and office furniture and equipment and is the amount allowed based on a company's existing depreciation schedule or, if a schedule does not already exist, a depreciation schedule submitted to and approved by the department, but which may not be charged for items purchased, totally or in part, with state or federal funds;

C.

mileage reimbursement for passenger service, including the cost of volunteer driver reimbursement for projects incorporating this type of service, as well as mileage reimbursement for transit personnel using private vehicles for emergency replacement passenger transport in the event of mechanical breakdown of transit vehicles;

D.

repair and maintenance of other property, including material costs associated with the upkeep and repair of buildings and stations, grounds, nonrevenue equipment owned or leased by the transit company, and miscellaneous expenses such as small tool replacement, and supplies used for cleaning and for general shop and garage purposes;

E.

leases and rentals of facilities or equipment used in the operation of the transit system, including leases and rentals of garages, depots, passenger vehicles, service vehicles, passenger stations, communication equipment, and computers, with allowability based on the reasonableness of rates and the presence of evidence that the lease will not give rise to material equity in the property; and

F.

other operations charges, including the cost of such things as the purchase or rental and cleaning of uniforms, tools and equipment, sanding and snowplow operations, passenger amenities, and station agents and which may be allocated indirectly based on a cost allocation plan approved by the department.

For purposes of item C, mileage reimbursement must be based on a rate approved by the local governing body, as long as the rate is reasonable and consistent with similar rates approved by the local governing body.

Subp. 6.

Insurance charges expense.

The "insurance charges" expense category includes:

A.

public liability and property damage insurance expense on vehicles, including premiums paid to insure the transit system against loss through damage to its own property and to indemnify the transit system and all financial and operational participants against loss from liability for its acts that cause damage to the person or property of others; and

B.

public liability and property damage insurance charges other than on vehicles, including excess liability insurance, baggage and express insurance, and fire and theft insurance.

Subp. 7.

Taxes and fees expense.

The "taxes and fees" expense category includes:

A.

vehicle registration and permit fees on vehicles; and

B.

other taxes and fees, including applicable real estate, property, and sales taxes.

8835.0290 UNALLOWABLE EXPENSES.

Subpart 1.

Scope.

In determining the total operating costs of a public transit system, upon which financial assistance is based, the definitions of unallowable expenses in subparts 2 to 8 apply and have the meanings given them.

Subp. 2.

General purpose equipment.

Expenditures for general purpose equipment are unallowable as operating costs. "General purpose equipment" means equipment that is used for other than transit contract purposes, such as communications equipment, office equipment and furnishings, air conditioning equipment, reproduction and printing equipment, and computers and related equipment.

Subp. 3.

Interest and other financial costs.

Interest on borrowing (however represented), bond discounts, cost of financing and refinancing operations, and legal and professional fees paid in connection with these costs are unallowable.

Subp. 4.

Fines and penalties.

Costs resulting from violations of, or failure to comply with federal, state, or local laws and regulations are unallowable.

Subp. 5.

Contingencies.

Contributions to a contingency reserve or any similar provision for unseen events are unallowable.

Subp. 6.

Bad debts.

Any losses arising from uncollectible accounts, other claims, and related costs are unallowable.

Subp. 7.

Donations and entertainment expense.

Contributions and donations are unallowable as are any entertainment expenses.

Subp. 8.

Unrelated costs.

Costs that are not directly related to the provision of public transit are unallowable.

8835.0310 REVENUE CATEGORIES.

Subpart 1.

Operating revenue categories; local sources.

In determining the local sources of funds that may comprise the fixed percentage of total operating costs to be paid by a recipient in accordance with the distribution classifications in Minnesota Statutes, sections 174.24, subdivision 3b, the definitions of revenue categories in subparts 2 to 7 apply and have the meanings given them.

Subp. 2.

Passenger fare.

"Passenger fare" means revenue earned from transporting passengers on the public transit system, including a cash fare, a donation received instead of a set fare, and an advance fare received from the sale of a coupon, token, or pass.

Subp. 3.

Contract revenue.

"Contract revenue" means revenue received from a contract with a beneficiary of a specific transit service. Contract revenue includes:

A.

an amount paid by an organization for a special route guarantee; and

B.

revenue earned for a ride given in regular transit service but paid for by an organization, including a state or local social service agency or a private social service organization, for the benefit of the rider.

Subp. 4.

School revenue.

"School revenue" means revenue earned from service provided under a contract with a school district, including an amount paid for transporting school children on regularly scheduled service, and an amount paid by a college or university for operating a transit vehicle on or between campuses.

Subp. 5.

Charter revenue.

"Charter revenue" includes reimbursement for charter service received in association with publicly funded transit service, providing that charter service rates are developed so that cost recovery equals or exceeds the full cost of providing the charter service.

Subp. 6.

Auxiliary revenue.

"Auxiliary revenue" means revenue earned from an activity closely associated with the transit operation, including revenue received from an advertising service, delivery, a lease, and station and vehicle concessions.

Subp. 7.

Other financial assistance.

"Other financial assistance" includes revenue earned from an activity not associated with the provision of the recipient's transit service but which is applied to help cover the system's costs, including tax levies, a federal cash grant, senior citizen fare assistance, investment income, and any general donation.

8835.0320 CAPITAL ASSISTANCE.

Subpart 1.

Budget.

An applicant seeking financial assistance for capital costs shall include in its budget a description of the vehicle, facility, or equipment desired, its cost and the reason for the request.

Subp. 2.

Criteria.

The department shall use the following criteria to evaluate requests for capital assistance:

A.

the extent to which the request maintains public transit services, promotes safety, and promotes efficient operations;

B.

the extent to which accessibility is enhanced; and

C.

the availability of local share money.

Subp. 3.

Allocation formula.

The department shall determine the amount of capital assistance for the public transit participation program according to the discretion provided to the commissioner in Minnesota Statutes, section 174.24, subdivision 3c. Except as provided in subparts 4 and 5, the department shall fund 80 percent of the capital costs approved by the department under the public transit participation program. The recipient shall provide the remaining 20 percent of the approved capital costs from local sources.

Subp. 4.

Program deviation from allocation formula.

Under the discretion provided to the commissioner in Minnesota Statutes, section 174.24, subdivision 3c, the department may establish a capital assistance allocation formula that deviates from the formula established in subpart 3. In setting this formula, the department must consider all relevant conditions relating to funding the public transit participation program.

Subp. 5.

Individual exception to allocation formula.

The department may deviate from the capital assistance allocation formula for an exceptional circumstance. A recipient that seeks capital assistance from the public transit participation program in an amount greater than the allocation formula, established under subpart 3 or 4, must make a written request to the department that includes:

A.

a detailed description of the exceptional circumstance that is the basis of the written request; and

B.

a resolution from the governing body that the request is due to an exceptional circumstance.

The department shall consider a request for an individual exception to the allocation formula after assessing the nature of the exceptional circumstance, balancing the request against other requests from recipients for capital assistance, and considering the assurance provided by the governing body that the circumstance that gave rise to the request is exceptional.

Subp. 6.

Vehicle replacement or disposition.

The department shall determine financial assistance to a public transit system to replace, refurbish, or dispose of a vehicle based on the condition of the vehicle and the availability of funds.

Subp. 7.

Contract.

The financial assistance contract between the department and the recipient must specify the maximum amount of capital assistance to be allocated to the recipient and the terms and conditions of assistance. The department shall determine the actual amount of capital assistance based on the availability of funds.

8835.0330 CONTRACT FOR FINANCIAL ASSISTANCE.

Subpart 1.

Content.

The financial assistance contract is a cost reimbursement contract that is based on the total operating cost in part 8835.0280. The contract must specify the maximum amount of financial assistance to be awarded to the recipient by the department and state the terms and conditions of assistance. The management plan must be incorporated into the contract as a legal part of the contract document. A resolution by the governing body, as provided in part 8835.0250, subpart 5, must be included with the contract.

Subp. 3.

Penalties.

If a recipient fails to comply with the terms and conditions of the contract, the department may withhold payment at any time or may terminate the financial assistance contract upon 30 days' written notice.

Subp. 4.

Amendments.

A recipient or the department may initiate an amendment to the contract. Before implementation, an amendment must be fully executed by the parties to the original contract, or their successors.

8835.0350 FINANCIAL RECORDS.

Subpart 1.

Records.

A recipient and any third party contractor shall maintain their financial records in accordance with generally accepted accounting principles. The records must permit audit verification of transit cost allocations claimed during the contract period. The recipient and any third party contractor also shall keep records on miles and hours of service and passenger trips. Records must be kept available for a period of six years from the date of final payment or the expiration date of the contract, whichever occurs first.

Subp. 3.

Audits.

The financial records of the recipient must be audited. They may be audited by the department or the department may accept all or part of the audit of an independent auditor instead of a departmental audit if the audit meets department standards. In addition to chapter 8835, department audits must be based on the contract cost principles and procedures in Code of Federal Regulations, title 48, chapter 1, part 31, and Office of Management and Budget Circular, Number A-87 and Number A-122, as amended. The financial records of a subcontractor may be audited at the department's discretion. The department shall submit year-end financial statements to the department auditor by April 15 of the year following the period covered by the financial assistance contract. Audits at the end of a contract period must establish approved total operating costs. New recipients are subject to a preaward audit before contract execution and fund encumbrance. As provided by Minnesota Statutes, section 16C.05, subdivision 5, the records, books, documents, and accounting practices of the recipient and of any third party contractor relating to the contract are subject to audit and examination by the department and the legislative auditor during working hours. If the department determines it has overpaid a recipient on a previous contract, the department may reduce payments under the current contract by the amount of overpayment.

Subp. 4.

Project monitoring.

The department shall use the management plan required under part 8835.0260 as a basis for monitoring and evaluating the performance of the public transit system during the contract period. Public transit policy decisions made by the recipient and actions taken during the contract period must conform with the management plan. A proposed deviation from the management plan must be reported to the department and approval secured in writing before implementation. Approval will be granted if it is clearly documented that the proposed deviation will not increase overall project costs. Failure to secure approval jeopardizes continued financial assistance.

Subp. 5.

Reserve account.

If a public transit system generates operating revenue in excess of the recipient's local share amount, the recipient shall deposit the excess into a reserve account to be used for approved operating expenses that are not covered by the contract or for part of the local share of capital expenses of the transit system. The recipient shall report this revenue and expenses charged against it to the department on reporting forms provided by the department.