1.1 CONFERENCE COMMITTEE REPORT ON H.F. NO. 1481 1.2 A bill for an act 1.3 relating to government operations; appropriating money 1.4 for the general legislative and administrative 1.5 expenses of state government; regulating state and 1.6 local government operations; modifying provisions 1.7 related to public employment; ratifying certain labor 1.8 agreements and compensation plans; regulating 1.9 elections and campaign finance; regulating Minneapolis 1.10 teacher pensions; modifying provisions related to the 1.11 military and veterans; providing conforming 1.12 amendments; amending Minnesota Statutes 2004, sections 1.13 3.011; 3.012; 3.02; 10A.01, subdivisions 5, 21, 23, 1.14 26; 10A.025, by adding a subdivision; 10A.071, 1.15 subdivision 3; 10A.08; 10A.20, subdivisions 2, 5, by 1.16 adding a subdivision; 10A.27, subdivision 1; 10A.28, 1.17 subdivision 2; 10A.31, subdivisions 1, 3, 4, 5, 6a; 1.18 11A.04; 11A.07, subdivisions 4, 5; 11A.24, subdivision 1.19 6; 13.635, by adding a subdivision; 14.19; 15.054; 1.20 15B.17, subdivision 1; 16A.103, by adding a 1.21 subdivision; 16A.1286, subdivisions 2, 3; 16A.152, 1.22 subdivision 2; 16A.1522, subdivision 1; 16A.281; 1.23 16B.52, subdivision 1; 16C.10, subdivision 7; 16C.144; 1.24 16C.16, subdivision 1, by adding a subdivision; 1.25 16C.23, by adding a subdivision; 43A.183; 43A.23, 1.26 subdivision 1; 123B.63, subdivision 3; 126C.17, 1.27 subdivision 11; 190.16, by adding a subdivision; 1.28 192.19; 192.261, subdivisions 1, 2; 192.501, 1.29 subdivision 2; 193.29, subdivision 3; 193.30; 193.31; 1.30 197.608, subdivision 5; 200.02, subdivisions 7, 23, by 1.31 adding a subdivision; 201.022, by adding a 1.32 subdivision; 201.061, subdivision 3; 201.071, 1.33 subdivision 1; 201.091, subdivision 5; 203B.01, 1.34 subdivision 3; 203B.02, subdivision 1; 203B.04, 1.35 subdivisions 1, 4, by adding a subdivision; 203B.07, 1.36 subdivision 2; 203B.11, subdivision 1; 203B.12, 1.37 subdivision 2; 203B.20; 203B.21, subdivisions 1, 3; 1.38 203B.24, subdivision 1; 204B.10, subdivision 6; 1.39 204B.14, subdivision 2; 204B.16, subdivisions 1, 5; 1.40 204B.18, subdivision 1; 204B.22, subdivision 3; 1.41 204B.27, subdivisions 1, 3; 204B.33; 204C.05, 1.42 subdivision 1a, by adding a subdivision; 204C.08, 1.43 subdivision 1; 204C.24, subdivision 1; 204C.28, 1.44 subdivision 1; 204C.50, subdivisions 1, 2; 204D.03, 1.45 subdivision 1; 204D.14, subdivision 3; 204D.27, 2.1 subdivision 5; 205.10, subdivision 3; 205.175, 2.2 subdivision 2; 205A.05, subdivision 1; 205A.09, 2.3 subdivision 1; 206.56, subdivisions 2, 3, 7, 8, 9, by 2.4 adding subdivisions; 206.57, subdivisions 1, 5, by 2.5 adding a subdivision; 206.58, subdivision 1; 206.61, 2.6 subdivisions 4, 5; 206.64, subdivision 1; 206.80; 2.7 206.81; 206.82, subdivisions 1, 2; 206.83; 206.84, 2.8 subdivisions 1, 3, 6; 206.85, subdivision 1; 206.90, 2.9 subdivisions 1, 4, 5, 6, 8, 9; 208.03; 208.04, 2.10 subdivision 1; 208.05; 208.06; 208.07; 208.08; 2.11 211B.01, subdivision 3; 240A.02, subdivision 3; 2.12 354A.08; 354A.12, subdivisions 3a, 3b; 358.11; 373.40, 2.13 subdivision 2; 375.20; 394.25, by adding a 2.14 subdivision; 447.32, subdivision 4; 458.40; 462.357, 2.15 by adding a subdivision; 465.82, subdivision 2; 2.16 465.84; 469.053, subdivision 5; 469.0724; 469.190, 2.17 subdivision 5; 471.345, by adding a subdivision; 2.18 471.975; 473.147, by adding a subdivision; 475.521, 2.19 subdivision 2; 475.58, subdivisions 1, 1a; 475.59; 2.20 507.093; 507.24, subdivision 2; Laws 2000, chapter 2.21 461, article 4, section 4, as amended; proposing 2.22 coding for new law in Minnesota Statutes, chapters 3; 2.23 4; 5; 6; 8; 10A; 14; 15; 15B; 16A; 16B; 16C; 43A; 196; 2.24 197; 204D; 205; 205A; 206; 298; 354A; 471; 507; 2.25 proposing coding for new law as Minnesota Statutes, 2.26 chapter 471B; repealing Minnesota Statutes 2004, 2.27 sections 16A.151, subdivision 5; 16A.30; 16B.33; 2.28 43A.11, subdivision 2; 197.455, subdivision 3; 2.29 204B.22, subdivision 2; 204C.05, subdivisions 1a, 1b; 2.30 204C.50, subdivision 7; 205.175; 205A.09; 240A.08; 2.31 354A.28; Minnesota Rules, parts 4501.0300, subparts 1, 2.32 4; 4501.0500, subpart 4; 4501.0600; 4503.0200, subpart 2.33 4; 4503.0300, subpart 2; 4503.0400, subpart 2; 2.34 4503.0500, subpart 9; 4503.0800, subpart 1. 2.35 May 23, 2005 2.36 The Honorable Steve Sviggum 2.37 Speaker of the House of Representatives 2.39 The Honorable James P. Metzen 2.40 President of the Senate 2.42 We, the undersigned conferees for H.F. No. 1481, report 2.43 that we have agreed upon the items in dispute and recommend as 2.44 follows: 2.45 2.46 That the Senate recede from its amendment and that H.F. No. 2.47 1481 be further amended as follows: 2.48 Delete everything after the enacting clause and insert: 2.49 "ARTICLE 1 2.50 STATE GOVERNMENT APPROPRIATIONS 2.51 Section 1. [STATE GOVERNMENT APPROPRIATIONS.] 2.52 The sums shown in the columns marked "APPROPRIATIONS" are 2.53 appropriated from the general fund, or another fund named, to 2.54 the agencies and for the purposes specified in this article, to 2.55 be available for the fiscal years indicated for each purpose. 3.1 The figures "2005," "2006," and "2007," where used in this 3.2 article, mean that the appropriation or appropriations listed 3.3 under them are available for the year ending June 30, 2005, June 3.4 30, 2006, or June 30, 2007, respectively. 3.5 SUMMARY BY FUND 3.6 2006 2007 TOTAL 3.7 General $ 295,666,000 $ 301,319,000 $ 596,985,000 3.8 Health Care 3.9 Access 1,782,000 1,782,000 3,564,000 3.10 State Government 3.11 Special Revenue 2,178,000 2,194,000 4,372,000 3.12 Environmental 436,000 436,000 872,000 3.13 Remediation 484,000 484,000 968,000 3.14 Special Revenue 4,395,000 5,541,000 9,936,000 3.15 Highway User Tax 3.16 Distribution 2,097,000 2,097,000 4,194,000 3.17 Workers' 3.18 Compensation 7,552,000 7,458,000 15,010,000 3.19 TOTAL $ 314,590,000 $ 321,311,000 $ 635,901,000 3.20 APPROPRIATIONS 3.21 Available for the Year 3.22 Ending June 30 3.23 2006 2007 3.24 Sec. 2. LEGISLATURE 3.25 Subdivision 1. Total 3.26 Appropriation $54,272,000 $62,042,000 3.27 Summary by Fund 3.28 General 54,144,000 61,914,000 3.29 Health Care Access 128,000 128,000 3.30 The amounts that may be spent from this 3.31 appropriation for each program are 3.32 specified in the following subdivisions. 3.33 Subd. 2. Senate 3.34 17,965,000 20,654,000 3.35 Subd. 3. House of Representatives 3.36 24,177,000 27,790,000 3.37 During the biennium ending June 30, 3.38 2007, any revenues received by the 3.39 house of representatives from 3.40 sponsorship notices in broadcast or 3.41 print media are appropriated to the 3.42 house of representatives. 3.43 Subd. 4. Legislative 3.44 Coordinating Commission 4.1 12,130,000 13,598,000 4.2 Summary by Fund 4.3 General 12,002,000 13,470,000 4.4 Health Care Access 128,000 128,000 4.5 $360,000 the first year and $360,000 4.6 the second year are for public 4.7 information television, Internet, 4.8 Intranet, and other transmission of 4.9 legislative activities. At least 4.10 one-half must go for programming to be 4.11 broadcast and transmitted to rural 4.12 Minnesota. 4.13 On July 1, 2005, the commissioner of 4.14 finance shall transfer $1,764,000 of 4.15 unspent fees from the special revenue 4.16 fund dedicated for the Electronic Real 4.17 Estate Recording Task Force to the 4.18 general fund. 4.19 On July 1, 2005, the commissioner of 4.20 finance shall cancel $2,500,000 of the 4.21 legislature's accumulated carryforward 4.22 account balances, divided equally 4.23 between the senate and house balances, 4.24 to the general fund. 4.25 $4,645,000 the first year and 4.26 $5,143,000 the second year are for the 4.27 Office of the Revisor of Statutes. 4.28 $1,016,000 the first year and 4.29 $1,154,000 the second year are for the 4.30 Legislative Reference Library. 4.31 $4,530,000 the first year and 4.32 $5,206,000 the second year are for the 4.33 Office of the Legislative Auditor. 4.34 During the biennium ending June 30, 4.35 2007, the commission shall study and 4.36 report to the legislature on all 4.37 matters relating to the economic status 4.38 of women in Minnesota, including: (1) 4.39 the contributions of women to the 4.40 economy; (2) economic security of 4.41 homemakers and women in the labor 4.42 force; (3) opportunities for education 4.43 and vocational training; (4) employment 4.44 opportunities; (5) women's access to 4.45 benefits and services provided to 4.46 citizens of this state; and (6) laws 4.47 and business practices constituting 4.48 barriers to the full participation by 4.49 women in the economy. The commission 4.50 shall also study the adequacy of 4.51 programs and services relating to 4.52 families in Minnesota. The commission 4.53 shall communicate its findings and make 4.54 recommendations to the legislature on 4.55 an ongoing basis. 4.56 During the biennium ending June 30, 4.57 2007, the Legislative Coordinating 4.58 Commission must coordinate efforts of 4.59 the senate, house of representatives, 5.1 and the state chief information officer 5.2 to provide wireless Internet service in 5.3 the Capitol and the State Office 5.4 Building. The commission may accept 5.5 nonstate funds to support the 5.6 installation and support of wireless 5.7 Internet access, which are appropriated 5.8 to the commission for this purpose. 5.9 Services provided by the chief 5.10 information officer under this 5.11 provision are available to the public. 5.12 Any provision of wireless Internet 5.13 access services under this provision 5.14 must include appropriate security 5.15 measures, and be coordinated with 5.16 overall state telecommunications and 5.17 security strategies and architectures. 5.18 Sec. 3. GOVERNOR AND 5.19 LIEUTENANT GOVERNOR 3,584,000 3,584,000 5.20 This appropriation is to fund the 5.21 offices of the governor and lieutenant 5.22 governor. 5.23 $19,000 the first year and $19,000 the 5.24 second year are for necessary expenses 5.25 in the normal performance of the 5.26 governor's and lieutenant governor's 5.27 duties for which no other reimbursement 5.28 is provided. 5.29 By September 1 of each year, the 5.30 commissioner of finance shall report to 5.31 the chairs of the senate Governmental 5.32 Operations Budget Division and the 5.33 house State Government Finance Division 5.34 any personnel costs incurred by the 5.35 Office of the Governor and Lieutenant 5.36 Governor that were supported by 5.37 appropriations to other agencies during 5.38 the previous fiscal year. The Office 5.39 of the Governor shall inform the chairs 5.40 of the divisions before initiating any 5.41 interagency agreements. 5.42 Sec. 4. STATE AUDITOR 8,273,000 8,273,000 5.43 Sec. 5. ATTORNEY GENERAL 25,152,000 25,192,000 5.44 Summary by Fund 5.45 General 22,745,000 22,769,000 5.46 State Government 5.47 Special Revenue 1,778,000 1,794,000 5.48 Environmental 145,000 145,000 5.49 Remediation 484,000 484,000 5.50 Sec. 6. SECRETARY OF STATE 5,905,000 6,077,000 5.51 $25,000 each year is for the use of the 5.52 task force established in Minnesota 5.53 Statutes, section 507.094, for the 5.54 purposes in that section. $25,000 is 5.55 included in the base budget for fiscal 5.56 year 2008 for this purpose. 5.57 Sec. 7. CAMPAIGN FINANCE AND 6.1 PUBLIC DISCLOSURE BOARD 694,000 694,000 6.2 Sec. 8. INVESTMENT BOARD 2,167,000 2,167,000 6.3 Sec. 9. OFFICE OF ENTERPRISE 6.4 TECHNOLOGY 1,803,000 1,803,000 6.5 Sec. 10. ADMINISTRATIVE HEARINGS 7,714,000 7,620,000 6.6 Summary by Fund 6.7 General 262,000 262,000 6.8 Workers' 6.9 Compensation 7,452,000 7,358,000 6.10 $203,000 the first year and $109,000 6.11 the second year are from the workers' 6.12 compensation fund for technology 6.13 improvements. The base appropriation 6.14 for these improvements is $158,000 in 6.15 fiscal year 2008 and $165,000 in fiscal 6.16 year 2009. 6.17 For fiscal years 2006 and 2007, the 6.18 Administrative Law Division of the 6.19 Office of Administrative Hearings shall 6.20 charge the fees approved by the 6.21 commissioner of finance under Minnesota 6.22 Statutes, section 16A.126. 6.23 Sec. 11. ADMINISTRATION 6.24 Subdivision 1. Total 6.25 Appropriation 25,558,000 20,375,000 6.26 The amounts that may be spent from this 6.27 appropriation for each program are 6.28 specified in the following subdivisions. 6.29 Subd. 2. State Facilities Services 6.30 16,070,000 10,946,000 6.31 $5,124,000 the first year is for 6.32 onetime funding of agency relocation 6.33 expenses. The Department of Human 6.34 Services will obtain federal 6.35 reimbursement for associated relocation 6.36 expenses. This amount, estimated to be 6.37 $1,870,000, will be deposited in the 6.38 general fund. 6.39 $7,888,000 the first year and 6.40 $7,888,000 the second year are for 6.41 office space costs of the legislature 6.42 and veterans organizations, for 6.43 ceremonial space, and for statutorily 6.44 free space. 6.45 $2,000,000 of the balance in the state 6.46 building code account in the state 6.47 government special revenue fund is 6.48 canceled to the general fund. 6.49 $1,950,000 the first year and 6.50 $1,950,000 the second year of the 6.51 balance in the facilities repair and 6.52 replacement account in the special 6.53 revenue fund is canceled to the general 6.54 fund. This is a onetime cancellation. 7.1 Subd. 3. State and Community Services 7.2 2,921,000 3,012,000 7.3 $714,000 the first year and $805,000 7.4 the second year are for the Land 7.5 Management Information Center. The 7.6 base appropriation is $258,000 in 7.7 fiscal year 2008 and $258,000 in fiscal 7.8 year 2009. 7.9 $196,000 the first year and $196,000 7.10 the second year are for the Office of 7.11 the State Archaeologist. 7.12 Subd. 4. Administrative Management Services 7.13 4,712,000 4,562,000 7.14 $150,000 the first year is for a 7.15 onetime grant to Assistive Technology 7.16 of Minnesota to administer a microloan 7.17 program to support purchase of 7.18 equipment and devices for people with 7.19 disabilities and their families and 7.20 employers, and to develop the Access to 7.21 Telework program. This appropriation is 7.22 available until June 30, 2007. 7.23 $74,000 the first year and $74,000 the 7.24 second year are for the Developmental 7.25 Disabilities Council. 7.26 Subd. 5. Public Broadcasting 7.27 1,855,000 1,855,000 7.28 $963,000 the first year and $963,000 7.29 the second year are for matching grants 7.30 for public television. 7.31 $398,000 the first year and $398,000 7.32 the second year are for public 7.33 television equipment grants. 7.34 Equipment or matching grant allocations 7.35 shall be made after considering the 7.36 recommendations of the Minnesota Public 7.37 Television Association. 7.38 $17,000 the first year and $17,000 the 7.39 second year are for grants to the Twin 7.40 Cities regional cable channel. 7.41 $287,000 the first year and $287,000 7.42 the second year are for community 7.43 service grants to public educational 7.44 radio stations. The grants must be 7.45 allocated after considering the 7.46 recommendations of the Association of 7.47 Minnesota Public Educational Radio 7.48 Stations under Minnesota Statutes, 7.49 section 129D.14. 7.50 $190,000 the first year and $190,000 7.51 the second year are for equipment 7.52 grants to Minnesota Public Radio, Inc. 7.53 This appropriation is contingent on 7.54 Minnesota Public Radio, Inc. making 7.55 public a list containing the position 7.56 and salary of each employee and single 8.1 individual providing personal services 8.2 under a contract who is paid more than 8.3 $100,000 per year by Minnesota Public 8.4 Radio, Inc. or a related organization 8.5 as defined in Minnesota Statutes, 8.6 section 317A.011, subdivision 18. 8.7 Any unencumbered balance remaining the 8.8 first year for grants to public 8.9 television or radio stations does not 8.10 cancel and is available for the second 8.11 year. 8.12 Sec. 12. CAPITOL AREA ARCHITECTURAL 8.13 AND PLANNING BOARD 269,000 270,000 8.14 During the biennium ending June 30, 8.15 2007, money received by the board from 8.16 public agencies, as provided by 8.17 Minnesota Statutes, section 15B.17, 8.18 subdivision 1, is appropriated to the 8.19 board. 8.20 Sec. 13. FINANCE 8.21 Subdivision 1. Total 8.22 Appropriation 14,808,000 14,808,000 8.23 The amounts that may be spent from this 8.24 appropriation for each program are 8.25 specified in the following subdivisions. 8.26 No later than June 30, 2006, and June 8.27 30, 2007, the commissioner of finance, 8.28 in consultation with the commissioner 8.29 of administration, must determine the 8.30 savings attributable to the "Drive to 8.31 Excellence" in fiscal year 2006 and 8.32 fiscal year 2007, respectively. The 8.33 savings are estimated to be $1,000,000 8.34 for the biennium. The commissioner 8.35 must deposit the amount determined for 8.36 each year in the general fund. 8.37 Subd. 2. State Financial Management 8.38 8,447,000 8,447,000 8.39 Subd. 3. Information and 8.40 Management Services 8.41 6,361,000 6,361,000 8.42 Up to $3,000,000 of the amounts billed 8.43 to state agencies under Minnesota 8.44 Statutes, section 16A.1286, for the 8.45 biennium ending June 30, 2005, and not 8.46 needed to provide statewide system 8.47 services during that time, must be 8.48 carried forward from fiscal year 2005 8.49 to fiscal year 2006. On July 1, 2005, 8.50 the commissioner shall transfer that 8.51 amount to the general fund. 8.52 Sec. 14. EMPLOYEE RELATIONS 5,667,000 5,556,000 8.53 Sec. 15. REVENUE 8.54 Subdivision 1. Total 8.55 Appropriation 101,644,000 105,442,000 9.1 Summary by Fund 9.2 General 97,602,000 101,400,000 9.3 Health Care Access 1,654,000 1,654,000 9.4 Highway User 9.5 Tax Distribution 2,097,000 2,097,000 9.6 Environmental 291,000 291,000 9.7 The amounts that may be spent from this 9.8 appropriation for each program are 9.9 specified in the following subdivisions. 9.10 Subd. 2. Tax System Management 9.11 84,712,000 87,351,000 9.12 Summary by Fund 9.13 General 80,670,000 83,309,000 9.14 Health Care Access 1,654,000 1,654,000 9.15 Highway User 9.16 Tax Distribution 2,097,000 2,097,000 9.17 Environmental 291,000 291,000 9.18 $6,311,000 the first year and 9.19 $7,950,000 the second year are for 9.20 additional activities to identify and 9.21 collect tax liabilities from 9.22 individuals and businesses that 9.23 currently do not pay all taxes owed. 9.24 This initiative is expected to result 9.25 in new general fund revenues of 9.26 $49,400,000 for the biennium ending 9.27 June 30, 2007. 9.28 The department must report to the 9.29 chairs of the house of representatives 9.30 Ways and Means and senate Finance 9.31 Committees by March 1, 2006, and 9.32 January 15, 2007, on the following 9.33 performance indicators: 9.34 (1) the number of corporations 9.35 noncompliant with the corporate tax 9.36 system each year and the percentage and 9.37 dollar amounts of valid tax liabilities 9.38 collected; 9.39 (2) the number of businesses 9.40 noncompliant with the sales and use tax 9.41 system and the percentage and dollar 9.42 amount of the valid tax liabilities 9.43 collected; and 9.44 (3) the number of individual 9.45 noncompliant cases resolved and the 9.46 percentage and dollar amounts of valid 9.47 tax liabilities collected. 9.48 The reports must also identify 9.49 base-level expenditures and staff 9.50 positions related to compliance and 9.51 audit activities, including baseline 9.52 information as of January 1, 2004. The 9.53 information must be provided at the 10.1 budget activity level. 10.2 $30,000 the first year and $30,000 the 10.3 second year are for preparation of the 10.4 income tax sample. 10.5 Subd. 3. Accounts Receivable Management 10.6 16,932,000 18,091,000 10.7 $1,208,000 the first year and 10.8 $2,367,000 the second year are for 10.9 additional activities to identify and 10.10 collect tax liabilities from 10.11 individuals and businesses that 10.12 currently do not pay all taxes owed. 10.13 This initiative is expected to result 10.14 in new general revenues of $41,300,000 10.15 for the biennium ending June 30, 2007. 10.16 The commissioner, in consultation with 10.17 other state agencies and local units of 10.18 government, shall develop 10.19 recommendations for: (1) consolidating 10.20 and coordinating the collection of debt 10.21 owed to governmental units; (2) 10.22 eliminating the fragmentation of 10.23 contacts from government agencies with 10.24 debtors owing such debts; (3) reducing 10.25 the cost of collecting debt owed to 10.26 governmental units; and (4) the 10.27 collection of substantially larger 10.28 portions of the debt owed to all 10.29 government units. 10.30 The commissioner shall report the 10.31 recommendations to the governor and the 10.32 chairs of the legislative committees 10.33 with jurisdiction over the department 10.34 by February 15, 2006. 10.35 Sec. 16. MILITARY AFFAIRS 10.36 Subdivision 1. Total 10.37 Appropriation 17,922,000 18,439,000 10.38 Summary by Fund 10.39 General 17,584,000 17,584,000 10.40 Special Revenue 338,000 855,000 10.41 The amounts that may be spent from this 10.42 appropriation for each program are 10.43 specified in the following subdivisions. 10.44 Subd. 2. Maintenance of Training 10.45 Facilities 10.46 5,590,000 5,590,000 10.47 Subd. 3. General Support 10.48 1,787,000 1,787,000 10.49 $30,000 the first year and $30,000 the 10.50 second year are for the operation and 10.51 staffing of the Minnesota National 10.52 Guard Youth Camp at Camp Ripley. This 10.53 is a onetime appropriation and must be 10.54 matched by nonstate sources. 11.1 Subd. 4. Enlistment Incentives 11.2 10,207,000 10,207,000 11.3 $3,850,000 each year is to provide the 11.4 additional amount needed for full 11.5 funding of the tuition reimbursement 11.6 program in Minnesota Statutes, section 11.7 192.501, subdivision 2. 11.8 $1,500,000 each year is for 11.9 reenlistment bonuses under Minnesota 11.10 Statutes, section 192.501, subdivision 11.11 1b. 11.12 $338,000 the first year and $855,000 11.13 the second year are from the account 11.14 established in new Minnesota Statutes, 11.15 section 190.19, for grants under that 11.16 section. 11.17 If appropriations for either year of 11.18 the biennium are insufficient, the 11.19 appropriation from the other year is 11.20 available. The appropriations for 11.21 enlistment incentives are available 11.22 until expended. 11.23 Sec. 17. VETERANS AFFAIRS 4,706,000 4,970,000 11.24 Summary by Fund 11.25 General 4,369,000 4,115,000 11.26 Special Revenue 337,000 855,000 11.27 $357,000 the first year and $103,000 11.28 the second year are from the general 11.29 fund, and $337,000 the first year and 11.30 $855,000 the second year are from the 11.31 account established in Minnesota 11.32 Statutes, section 190.19, for: (1) 11.33 veterans' services provided by Veterans 11.34 of Foreign Wars, the Military Order of 11.35 the Purple Heart, Disabled American 11.36 Veterans, and the Vietnam Veterans of 11.37 America; (2) grants for veterans' 11.38 services to the Vinland Center and the 11.39 Minnesota Assistance Council for 11.40 Veterans; and (3) an outreach and 11.41 assistance initiative for underserved 11.42 veterans. The general fund portion of 11.43 this appropriation must first be used 11.44 for the base budget funding for the 11.45 organizations listed in clause (1). 11.46 Any balance in the first year does not 11.47 cancel but is available in the second 11.48 year. 11.49 In each fiscal year, the commissioner 11.50 of finance must distribute the amounts 11.51 received in the account established in 11.52 Minnesota Statutes, section 190.19, so 11.53 that the appropriations from the 11.54 account are divided equally between 11.55 this section and section 16, 11.56 subdivision 4. 11.57 Sec. 18. GAMBLING CONTROL 2,800,000 2,800,000 12.1 These appropriations are from the 12.2 lawful gambling regulation account in 12.3 the special revenue fund. 12.4 Sec. 19. RACING COMMISSION 674,000 835,000 12.5 (a) These appropriations are from the 12.6 racing and card playing regulation 12.7 account in the special revenue fund. 12.8 (b) $253,000 for the fiscal year ending 12.9 June 30, 2006, and $414,000 for the 12.10 fiscal year ending June 30, 2007, are 12.11 from the racing and card playing 12.12 regulation account in the special 12.13 revenue fund. If the commission does 12.14 not spend all of the revenue from the 12.15 interim license fee authorized by Laws 12.16 2003, First Special Session chapter 1, 12.17 article 2, section 69, in fiscal year 12.18 2005 or fiscal year 2006, the 12.19 commission must reduce the amount of 12.20 fees charged to the feepayers in fiscal 12.21 year 2007 by the amount unspent. The 12.22 Racing Commission must file monthly 12.23 expenditure reports with the 12.24 commissioner of finance for money spent 12.25 from the appropriation in this 12.26 paragraph. 12.27 (c) The racing commission may not hire 12.28 new employees or enter into new 12.29 contracts with money subject to 12.30 paragraph (b) before resolution of the 12.31 petition for judicial review filed by 12.32 the Columbus Concerned Citizens Group. 12.33 Sec. 20. STATE LOTTERY 12.34 Notwithstanding Minnesota Statutes, 12.35 section 349A.10, the operating budget 12.36 must not exceed $26,700,000 in fiscal 12.37 year 2006 and $27,350,000 in fiscal 12.38 year 2007. 12.39 On July 1, 2005, the director of the 12.40 State Lottery shall transfer unclaimed 12.41 prize funds accumulated before July 1, 12.42 2003, in the amount of $2,187,000, to 12.43 the general fund. 12.44 Sec. 21. TORT CLAIMS 161,000 161,000 12.45 To be spent by the commissioner of 12.46 finance. 12.47 If the appropriation for either year is 12.48 insufficient, the appropriation for the 12.49 other year is available for it. 12.50 Sec. 22. MINNESOTA STATE 12.51 RETIREMENT SYSTEM 1,176,000 1,205,000 12.52 The amounts estimated to be needed for 12.53 each program are as follows: 12.54 (a) Legislators 12.55 783,000 802,000 12.56 Under Minnesota Statutes, sections 13.1 3A.03, subdivision 2; 3A.04, 13.2 subdivisions 3 and 4; and 3A.115. 13.3 (b) Constitutional Officers 13.4 393,000 403,000 13.5 Under Minnesota Statutes, sections 13.6 352C.031, subdivision 5; 352C.04, 13.7 subdivision 3; and 352C.09, subdivision 13.8 2. 13.9 If an appropriation in this section for 13.10 either year is insufficient, the 13.11 appropriation for the other year is 13.12 available for it. 13.13 Sec. 23. MINNEAPOLIS EMPLOYEES 13.14 RETIREMENT FUND 8,065,000 8,065,000 13.15 The amounts estimated to be needed 13.16 under Minnesota Statutes, section 13.17 422A.101, subdivision 3. 13.18 Sec. 24. MINNEAPOLIS TEACHERS 13.19 RETIREMENT FUND 15,800,000 15,800,000 13.20 The amounts estimated to be needed are 13.21 as follows: 13.22 (a) Special direct state aid to first 13.23 class city teachers retirement funds 13.24 13,300,000 13,300,000 13.25 Authorized under Minnesota Statutes, 13.26 section 354A.12, subdivisions 3a and 3c. 13.27 (b) Special direct state matching aid 13.28 to Minneapolis Teachers Retirement Fund 13.29 2,500,000 2,500,000 13.30 Authorized under Minnesota Statutes, 13.31 section 354A.12, subdivision 3b. 13.32 Sec. 25. ST. PAUL TEACHERS 13.33 RETIREMENT FUND 2,967,000 2,967,000 13.34 The amounts estimated to be needed for 13.35 special direct state aid to first class 13.36 city teachers retirement funds 13.37 authorized under Minnesota Statutes, 13.38 section 354A.12, subdivisions 3a and 3c. 13.39 Sec. 26. AMATEUR SPORTS 13.40 COMMISSION 300,000 206,000 13.41 Sec. 27. COUNCIL ON BLACK 13.42 MINNESOTANS 278,000 278,000 13.43 Sec. 28. COUNCIL ON 13.44 CHICANO/LATINO AFFAIRS 271,000 271,000 13.45 Sec. 29. COUNCIL ON 13.46 ASIAN-PACIFIC MINNESOTANS 239,000 240,000 13.47 Sec. 30. INDIAN AFFAIRS 13.48 COUNCIL 475,000 475,000 13.49 Sec. 31. GENERAL CONTINGENT 14.1 ACCOUNTS 1,000,000 500,000 14.2 Summary by Fund 14.3 General 500,000 -0- 14.4 State Government 14.5 Special Revenue 400,000 400,000 14.6 Workers' 14.7 Compensation 100,000 100,000 14.8 The appropriations in this section may 14.9 only be spent with the approval of the 14.10 governor after consultation with the 14.11 Legislative Advisory Commission 14.12 pursuant to Minnesota Statutes, section 14.13 3.30. 14.14 If an appropriation in this section for 14.15 either year is insufficient, the 14.16 appropriation for the other year is 14.17 available for it. 14.18 If a contingent account appropriation 14.19 is made in one fiscal year, it should 14.20 be considered a biennial appropriation. 14.21 Sec. 32. RACING COMMISSION APPROPRIATION 14.22 $156,000 in fiscal year 2005 is 14.23 appropriated to the Minnesota Racing 14.24 Commission from the special revenue 14.25 fund. $113,000 of this amount is from 14.26 the interim license fee authorized by 14.27 Laws 2003, First Special Session 14.28 chapter 1, article 2, section 69, to 14.29 defray the regulatory oversight and 14.30 legal costs associated with the class A 14.31 license approved by the commission on 14.32 January 19, 2005. Any unexpended 14.33 portion of this appropriation remains 14.34 available in fiscal year 2006. 14.35[EFFECTIVE DATE.] This section is effective the day 14.36 following final enactment. 14.37 Sec. 33. DEPARTMENT OF 14.38 PUBLIC SAFETY 246,000 196,000 14.39 These appropriations are for the costs 14.40 of issuing the "Support Our Troops" 14.41 license plates. These appropriations 14.42 are from the vehicle services operating 14.43 account in the special revenue fund. 14.44 ARTICLE 2 14.45 STATE GOVERNMENT OPERATIONS 14.46 Section 1. [5.31] [STATEWIDE VOTER REGISTRATION SYSTEM.] 14.47 The secretary of state may sell intellectual property 14.48 rights associated with the statewide voter registration system 14.49 to other states or to units of local government in other states. 14.50 Receipts from the sale must be deposited in the state treasury 15.1 and credited to the Help America Vote Act account. 15.2 Sec. 2. [6.755] [REPORTS TO THE LEGISLATURE.] 15.3 Section 3.195 applies to the state auditor. For purposes 15.4 of determining whether members or employees of the legislature 15.5 wish to receive reports or publications prepared by the state 15.6 auditor, the state auditor may send a brief listing of reports 15.7 to each member. The state auditor must deliver reports or 15.8 publications to the legislature electronically whenever it is 15.9 cost effective. 15.10[EFFECTIVE DATE.] This section is effective the day 15.11 following final enactment. 15.12 Sec. 3. [6.79] [STATE MANDATES.] 15.13 A county, town, school district, or statutory or home rule 15.14 charter city may file a written resolution with the state 15.15 auditor objecting to a state mandate or making recommendations 15.16 for reforming a state mandate. The state auditor must list on 15.17 the state auditor's Web site a list of all state mandates cited 15.18 in a resolution under this section, and the name of the unit of 15.19 local government citing the mandate. 15.20 Sec. 4. [6.80] [RULE AND LAW WAIVER REQUESTS.] 15.21 Subdivision 1. [GENERALLY.] (a) Except as provided in 15.22 paragraph (b), a local government unit may request the state 15.23 auditor to grant a waiver from one or more administrative rules 15.24 or a temporary, limited exemption from enforcement of state 15.25 procedural laws governing delivery of services by the local 15.26 government unit. Two or more local government units may submit 15.27 a joint application for a waiver or exemption under this section 15.28 if they propose to cooperate in providing a service or program 15.29 that is subject to the rule or law. Before submitting an 15.30 application to the state auditor, the governing body of the 15.31 local government unit must approve, in concept, the proposed 15.32 waiver or exemption at a meeting required to be public under 15.33 chapter 13D. A local government unit or two or more units 15.34 acting jointly may apply for a waiver or exemption on behalf of 15.35 a nonprofit organization providing services to clients whose 15.36 costs are paid by the unit or units. A waiver or exemption 16.1 granted to a nonprofit organization under this section applies 16.2 to services provided to all the organization's clients. 16.3 (b) A school district that is granted a variance from rules 16.4 of the commissioner of education under section 122A.163, need 16.5 not apply for a waiver of those rules under this section. A 16.6 school district may not seek a waiver of rules under this 16.7 section if the commissioner of education has authority to grant 16.8 a variance to the rules under section 122A.163. This paragraph 16.9 does not preclude a school district from being included in a 16.10 cooperative effort with another local government unit under this 16.11 section. 16.12 (c) Before petitioning the state auditor's office for an 16.13 exemption from an administrative rule, the petitioner must have 16.14 requested and been denied such an exemption from the appropriate 16.15 agency pursuant to sections 14.055 and 14.056. 16.16 Subd. 2. [APPLICATION.] A local government unit requesting 16.17 a waiver of a rule or exemption from enforcement of a law under 16.18 this section shall present a written application to the state 16.19 auditor. The application must include: 16.20 (1) the name and address of the entity for whom a waiver of 16.21 a rule or exemption from enforcement of a law is being 16.22 requested; 16.23 (2) identification of the service or program at issue; 16.24 (3) identification of the administrative rule or the law 16.25 imposing a procedural requirement with respect to which the 16.26 waiver or exemption is sought; 16.27 (4) a description of the improved service outcome sought, 16.28 including an explanation of the effect of the waiver or 16.29 exemption in accomplishing that outcome, and why that outcome 16.30 cannot be accomplished under established rules or laws; 16.31 (5) information on the state auditor's office treatment on 16.32 similar cases; 16.33 (6) the name, address, and telephone number of any person, 16.34 business, or other government unit the petitioner knows would be 16.35 adversely affected by the grant of the petition; and 16.36 (7) a signed statement as to the accuracy of the facts 17.1 presented. 17.2 A copy of the application must be provided by the requesting 17.3 local government unit to the exclusive representative certified 17.4 under section 179A.12 to represent employees who provide the 17.5 service or program affected by the requested waiver or exemption. 17.6 Subd. 3. [REVIEW PROCESS.] (a) Upon receipt of an 17.7 application from a local government unit, the state auditor 17.8 shall review the application. The state auditor shall dismiss 17.9 an application if the application proposes a waiver of rules or 17.10 exemption from enforcement of laws that would result in due 17.11 process violations, violations of federal law or the state or 17.12 federal constitution, or the loss of services to people who are 17.13 entitled to them. 17.14 (b) The state auditor shall determine whether a law from 17.15 which an exemption for enforcement is sought is a procedural 17.16 law, specifying how a local government unit is to achieve an 17.17 outcome, rather than a substantive law prescribing the outcome 17.18 or otherwise establishing policy. For the purposes of this 17.19 section, "procedural law" does not include a statutory notice 17.20 requirement. In making the determination, the state auditor 17.21 shall consider whether the law specifies such requirements as: 17.22 (1) who must deliver a service; 17.23 (2) where the service must be delivered; 17.24 (3) to whom and in what form reports regarding the service 17.25 must be made; and 17.26 (4) how long or how often the service must be made 17.27 available to a given recipient. 17.28 (c) If the application requests a waiver of a rule or 17.29 temporary, limited exemptions from enforcement of a procedural 17.30 law over which the Metropolitan Council or a metropolitan agency 17.31 has jurisdiction, the state auditor shall also transmit a copy 17.32 of the application to the council or applicable metropolitan 17.33 agency, whichever has jurisdiction, for review and comment. The 17.34 council or agency shall report its comments to the board within 17.35 60 days of the date the application was transmitted to the 17.36 council or agency. The council or agency may point out any 18.1 resources or technical assistance it may be able to provide a 18.2 local government unit submitting a request under this section. 18.3 (d) Within 15 days after receipt of the application, the 18.4 state auditor shall transmit a copy of it to the commissioner of 18.5 each agency having jurisdiction over a rule or law from which a 18.6 waiver or exemption is sought. The agency may mail a notice 18.7 that it has received an application for a waiver or exemption to 18.8 all persons who have registered with the agency under section 18.9 14.14, subdivision 1a, identifying the rule or law from which a 18.10 waiver or exemption is requested. If no agency has jurisdiction 18.11 over the rule or law, the state auditor shall transmit a copy of 18.12 the application to the attorney general. The agency shall 18.13 inform the state auditor of its agreement with or objection to 18.14 and grounds for objection to the waiver or exemption request 18.15 within 60 days of the date when the application was transmitted 18.16 to it. An agency's failure to do so is considered agreement to 18.17 the waiver or exemption. The state auditor shall decide whether 18.18 to grant a waiver or exemption at the end of the 60-day response 18.19 period. Interested persons may submit written comments to the 18.20 state auditor on the waiver or exemption request up to the end 18.21 of the 60-day response period. 18.22 (e) If the exclusive representative of the affected 18.23 employees of the requesting local government unit objects to the 18.24 waiver or exemption request it may inform the state auditor of 18.25 the objection to and the grounds for the objection to the waiver 18.26 or exemption request within 60 days of the receipt of the 18.27 application. 18.28 Subd. 4. [HEARING.] If a state agency under subdivision 3, 18.29 paragraph (d), or the exclusive representative of the affected 18.30 employees under subdivision 3, paragraph (e), has objected to a 18.31 waiver or exemption request, the state auditor's office shall 18.32 set a date for a hearing on the applications. The hearing must 18.33 be conducted informally at a time and place determined by all 18.34 parties. Persons representing the local government unit shall 18.35 present their case for the waiver or exemption, and persons 18.36 representing the agency or the exclusive representative of the 19.1 affected employees shall explain their objection to it. The 19.2 state auditor may request additional information from the local 19.3 government unit or either objecting party. The state auditor 19.4 may also request, either before or at the hearing, information 19.5 or comments from representatives of business, labor, local 19.6 governments, state agencies, consultants, and members of the 19.7 public. If necessary, the hearing may be continued for a later 19.8 date. The state auditor may modify the terms of the waiver or 19.9 exemption request in arriving at the agreement required under 19.10 subdivision 5. 19.11 Subd. 5. [CONDITIONS OF AGREEMENTS.] (a) In determining 19.12 whether to grant a petition for a waiver of a rule or exemption 19.13 from enforcement of a law, the state auditor should consider the 19.14 following factors: 19.15 (1) whether there is a true and unique impediment under 19.16 current law to accomplishing the goal of the local government 19.17 unit; 19.18 (2) granting the waiver of a rule or exemption from 19.19 enforcement of law will only change procedural requirements of a 19.20 local government unit; 19.21 (3) the purpose of any rule or law that is waived is still 19.22 being met in another manner; 19.23 (4) granting the proposed waiver of a rule or exemption 19.24 from enforcement of a law would result in a more efficient means 19.25 of providing government services; and 19.26 (5) granting the proposed waiver will not have a 19.27 significant negative impact on other state government, local 19.28 government units, businesses, or citizens. 19.29 (b) If the state auditor grants a request for a waiver or 19.30 exemption, the state auditor and the local government unit shall 19.31 enter into an agreement providing for the delivery of the 19.32 service or program that is the subject of the application. The 19.33 agreement must specify desired outcomes, the reasons why the 19.34 desired outcomes cannot be met under current laws or rules, and 19.35 the means of measurement by which the state auditor will 19.36 determine whether the outcomes specified in the agreement have 20.1 been met. The agreement must specify the duration of the waiver 20.2 or exemption. The duration of a waiver from an administrative 20.3 rule may be for no less than two years and no more than four 20.4 years, subject to renewal if both parties agree. An exemption 20.5 from enforcement of a law terminates ten days after adjournment 20.6 of the regular legislative session held during the calendar year 20.7 following the year when the exemption is granted, unless the 20.8 legislature has acted to extend or make permanent the exemption. 20.9 (c) The state auditor must report any grants of waivers or 20.10 exemptions to the legislature, including the chairs of the 20.11 governmental operations and appropriate policy committees in the 20.12 house and senate, and the governor within 30 days. 20.13 (d) The state auditor may reconsider or renegotiate the 20.14 agreement if the rule or law affected by the waiver or exemption 20.15 is amended or repealed during the term of the original 20.16 agreement. A waiver of a rule under this section has the effect 20.17 of a variance granted by an agency under section 14.055. A 20.18 local unit of government that is granted an exemption from 20.19 enforcement of a procedural requirement in state law under this 20.20 section is exempt from that law for the duration of the 20.21 exemption. The state auditor may require periodic reports from 20.22 the local government unit, or conduct investigations of the 20.23 service or program. 20.24 Subd. 6. [ENFORCEMENT.] If the state auditor finds that 20.25 the local government unit is failing to comply with the terms of 20.26 the agreement under subdivision 5, the state auditor may rescind 20.27 the agreement. Upon the rescission, the local unit of 20.28 government becomes subject to the rules and laws covered by the 20.29 agreement. 20.30 Subd. 7. [ACCESS TO DATA.] If a local government unit, 20.31 through a cooperative program under this section, gains access 20.32 to data collected, created, received, or maintained by another 20.33 local government that is classified as not public, the unit 20.34 gaining access is governed by the same restrictions on access to 20.35 and use of the data as the unit that collected, created, 20.36 received, or maintained the data. 21.1 Sec. 5. [8.065] [PRIVATE ATTORNEY CONTRACTS.] 21.2 The attorney general may not enter into a contract for 21.3 legal services in which the fees and expenses paid by the state 21.4 exceed, or can reasonably be expected to exceed, $1,000,000 21.5 unless the attorney general first submits the proposed contract 21.6 to the Legislative Advisory Commission, and waits at least 20 21.7 days to receive a possible recommendation from the commission. 21.8 Sec. 6. [10.60] [PUBLIC WEB SITES AND PUBLICATIONS.] 21.9 Subdivision 1. [DEFINITIONS.] For purposes of this section: 21.10 (1) "political subdivision" means a county, statutory or 21.11 home rule charter city, town, school district, or other 21.12 municipal corporation, and the Metropolitan Council and a 21.13 metropolitan or regional agency; 21.14 (2) "publication" means a document printed with public 21.15 money by an elected or appointed official of a state agency or 21.16 political subdivision that is intended to be distributed 21.17 publicly outside of the state agency or political subdivision; 21.18 (3) "state agency" means an entity in the executive, 21.19 judicial, or legislative branch of state government; and 21.20 (4) "Web site" means a site maintained on the World Wide 21.21 Web that is available for unrestricted public access and that is 21.22 maintained with public money by an elected or appointed official 21.23 of a state agency or political subdivision. 21.24 Subd. 2. [PURPOSE OF WEB SITE AND PUBLICATIONS.] The 21.25 purpose of a Web site and a publication must be to provide 21.26 information about the duties and jurisdiction of a state agency 21.27 or political subdivision or to facilitate access to public 21.28 services and information related to the responsibilities or 21.29 functions of the state agency or political subdivision. 21.30 Subd. 3. [PROHIBITIONS.] (a) A Web site or publication 21.31 must not include pictures or other materials that tend to 21.32 attribute the Web site or publication to an individual or group 21.33 of individuals instead of to a public office, state agency, or 21.34 political subdivision. A publication must not include the words 21.35 "with the compliments of" or contain letters of personal 21.36 greeting that promote an elected or appointed official of a 22.1 state agency or political subdivision. 22.2 (b) A Web site may not contain a link to a Weblog or site 22.3 maintained by a candidate, a political committee, a political 22.4 party or party unit, a principal campaign committee, or a state 22.5 committee. Terms used in this paragraph have the meanings given 22.6 them in chapter 10A, except that "candidate" also includes a 22.7 candidate for an elected office of a political subdivision. 22.8 Subd. 4. [PERMITTED MATERIAL.] (a) Material specified in 22.9 this subdivision may be included on a Web site or in a 22.10 publication, but only if the material complies with subdivision 22.11 2. This subdivision is not a comprehensive list of material 22.12 that may be contained on a Web site or in a publication, if the 22.13 material complies with subdivision 2. 22.14 (b) A Web site or publication may include biographical 22.15 information about an elected or appointed official, a single 22.16 official photograph of the official, and photographs of the 22.17 official performing functions related to the office. There is 22.18 no limitation on photographs, Webcasts, archives of Webcasts, 22.19 and audio or video files that facilitate access to information 22.20 or services or inform the public about the duties and 22.21 obligations of the office or that are intended to promote trade 22.22 or tourism. A state Web site or publication may include 22.23 photographs or information involving civic or charitable work 22.24 done by the governor's spouse, provided that these activities 22.25 relate to the functions of the governor's office. 22.26 (c) A Web site or publication may include press releases, 22.27 proposals, policy positions, and other information directly 22.28 related to the legal functions, duties, and jurisdiction of a 22.29 public official or organization. 22.30 Subd. 5. [OTHER STANDARDS.] This section does not prohibit 22.31 a state agency or political subdivision from adopting more 22.32 restrictive standards for the content of a Web site or 22.33 publication maintained by the agency or political subdivision. 22.34 Subd. 6. [ENFORCEMENT.] Violation of this section is not a 22.35 crime and is not subject to civil penalty. 22.36[EFFECTIVE DATE.] This section is effective for state 23.1 agencies July 1, 2005. This section is effective for political 23.2 subdivisions July 1, 2006. 23.3 Sec. 7. Minnesota Statutes 2004, section 11A.24, 23.4 subdivision 6, is amended to read: 23.5 Subd. 6. [OTHER INVESTMENTS.] (a) In addition to the 23.6 investments authorized in subdivisions 1 to 5, and subject to 23.7 the provisions in paragraph (b), the state board may invest 23.8 funds in: 23.9 (1) venture capital investment businesses through 23.10 participation in limited partnerships, trusts, private 23.11 placements, limited liability corporations, limited liability 23.12 companies, limited liability partnerships, and corporations; 23.13 (2) real estate ownership interests or loans secured by 23.14 mortgages or deeds of trust or shares of real estate investment 23.15 trusts through investment in limited partnerships, bank 23.16 sponsored collective funds, trusts, mortgage participation 23.17 agreements, and insurance company commingled accounts, including 23.18 separate accounts; 23.19 (3) regional and mutual funds through bank sponsored 23.20 collective funds and open-end investment companies registered 23.21 under the Federal Investment Company Act of 1940, and closed-end 23.22 mutual funds listed on an exchange regulated by a governmental 23.23 agency; 23.24 (4) resource investments through limited partnerships, 23.25 trusts, private placements, limited liability corporations, 23.26 limited liability companies, limited liability partnerships, and 23.27 corporations; and 23.28 (5) international securities. 23.29 (b) The investments authorized in paragraph (a) must 23.30 conform to the following provisions: 23.31 (1) the aggregate value of all investments made according 23.32 to paragraph (a), clauses (1) to (4), may not exceed 35 percent 23.33 of the market value of the fund for which the state board is 23.34 investing; 23.35 (2) there must be at least four unrelated owners of the 23.36 investment other than the state board for investments made under 24.1 paragraph (a), clause (1), (2), (3), or (4); 24.2 (3) state board participation in an investment vehicle is 24.3 limited to 20 percent thereof for investments made under 24.4 paragraph (a), clause (1), (2), (3), or (4); and 24.5 (4) state board participation in a limited partnership does 24.6 not include a general partnership interest or other interest 24.7 involving general liability. The state board may not engage in 24.8 any activity as a limited partner which creates general 24.9 liability. 24.10 (c) All financial, business, or proprietary data collected, 24.11 created, received, or maintained by the state board in 24.12 connection with investments authorized by paragraph (a), clause 24.13 (1), (2), or (4), are nonpublic data under section 13.02, 24.14 subdivision 9. As used in this paragraph, "financial, business, 24.15 or proprietary data" means data, as determined by the 24.16 responsible authority for the state board, that is of a 24.17 financial, business, or proprietary nature, the release of which 24.18 could cause competitive harm to the state board, the legal 24.19 entity in which the state board has invested or has considered 24.20 an investment, the managing entity of an investment, or a 24.21 portfolio company in which the legal entity holds an interest. 24.22 As used in this section, "business data" is data described in 24.23 section 13.591, subdivision 1. Regardless of whether they could 24.24 be considered financial, business, or proprietary data, the 24.25 following data received, prepared, used, or retained by the 24.26 state board in connection with investments authorized by 24.27 paragraph (a), clause (1), (2), or (4), are public at all times: 24.28 (1) the name and industry group classification of the legal 24.29 entity in which the state board has invested or in which the 24.30 state board has considered an investment; 24.31 (2) the state board commitment amount, if any; 24.32 (3) the funded amount of the state board's commitment to 24.33 date, if any; 24.34 (4) the market value of the investment by the state board; 24.35 (5) the state board's internal rate of return for the 24.36 investment, including expenditures and receipts used in the 25.1 calculation of the investment's internal rate of return; and 25.2 (6) the age of the investment in years. 25.3[EFFECTIVE DATE.] This section is effective the day 25.4 following final enactment. 25.5 Sec. 8. Minnesota Statutes 2004, section 13.635, is 25.6 amended by adding a subdivision to read: 25.7 Subd. 1a. [STATE BOARD OF INVESTMENT.] Certain government 25.8 data of the State Board of Investment related to investments are 25.9 classified under section 11A.24, subdivision 6. 25.10 Sec. 9. [14.127] [LEGISLATIVE APPROVAL REQUIRED.] 25.11 Subdivision 1. [COST THRESHOLDS.] An agency must determine 25.12 if the cost of complying with a proposed rule in the first year 25.13 after the rule takes effect will exceed $25,000 for: (1) any 25.14 one business that has less than 50 full-time employees; or (2) 25.15 any one statutory or home rule charter city that has less than 25.16 ten full-time employees. For purposes of this section, 25.17 "business" means a business entity organized for profit or as a 25.18 nonprofit, and includes an individual, partnership, corporation, 25.19 joint venture, association, or cooperative. 25.20 Subd. 2. [AGENCY DETERMINATION.] An agency must make the 25.21 determination required by subdivision 1 before the close of the 25.22 hearing record, or before the agency submits the record to the 25.23 administrative law judge if there is no hearing. The 25.24 administrative law judge must review and approve or disapprove 25.25 the agency determination under this section. 25.26 Subd. 3. [LEGISLATIVE APPROVAL REQUIRED.] If the agency 25.27 determines that the cost exceeds the threshold in subdivision 1, 25.28 or if the administrative law judge disapproves the agency's 25.29 determination that the cost does not exceed the threshold in 25.30 subdivision 1, any business that has less than 50 full-time 25.31 employees or any statutory or home rule charter city that has 25.32 less than ten full-time employees may file a written statement 25.33 with the agency claiming a temporary exemption from the rules. 25.34 Upon filing of such a statement with the agency, the rules do 25.35 not apply to that business or that city until the rules are 25.36 approved by a law enacted after the agency determination or 26.1 administrative law judge disapproval. 26.2 Subd. 4. [EXCEPTIONS.] (a) Subdivision 3 does not apply if 26.3 the administrative law judge approves an agency's determination 26.4 that the legislature has appropriated money to sufficiently fund 26.5 the expected cost of the rule upon the business or city proposed 26.6 to be regulated by the rule. 26.7 (b) Subdivision 3 does not apply if the administrative law 26.8 judge approves an agency's determination that the rule has been 26.9 proposed pursuant to a specific federal statutory or regulatory 26.10 mandate. 26.11 (c) This section does not apply if the rule is adopted 26.12 under section 14.388 or under another law specifying that the 26.13 rulemaking procedures of this chapter do not apply. 26.14 (d) This section does not apply to a rule adopted by the 26.15 Public Utilities Commission. 26.16 (e) Subdivision 3 does not apply if the governor waives 26.17 application of subdivision 3. The governor may issue a waiver 26.18 at any time, either before or after the rule would take effect, 26.19 but for the requirement of legislative approval. As soon as 26.20 possible after issuing a waiver under this paragraph, the 26.21 governor must send notice of the waiver to the speaker of the 26.22 house of representatives and the president of the senate and 26.23 must publish notice of this determination in the State Register. 26.24 Subd. 5. [SEVERABILITY.] If an administrative law judge 26.25 determines that part of a proposed rule exceeds the threshold 26.26 specified in subdivision 1, but that a severable portion of a 26.27 proposed rule does not exceed the threshold in subdivision 1, 26.28 the administrative law judge may provide that the severable 26.29 portion of the rule that does not exceed the threshold may take 26.30 effect without legislative approval. 26.31[EFFECTIVE DATE.] This section is effective July 1, 2005. 26.32 This section applies to any rule for which the hearing record 26.33 has not closed before July 1, 2005, or, if there is no public 26.34 hearing, for which the agency has not submitted the record to 26.35 the administrative law judge before that date. 26.36 Sec. 10. Minnesota Statutes 2004, section 14.19, is 27.1 amended to read: 27.2 14.19 [DEADLINE TO COMPLETE RULEMAKING.] 27.3 Within 180 days after issuance of the administrative law 27.4 judge's report or that of the chief administrative law judge, 27.5 the agency shall submit its notice of adoption, amendment, or 27.6 repeal to the State Register for publication. If the agency has 27.7 not submitted its notice to the State Register within 180 days, 27.8 the rule is automatically withdrawn. The agency may not adopt 27.9 the withdrawn rules without again following the procedures of 27.10 sections 14.05 to 14.28, with the exception of section 14.101, 27.11 if the noncompliance is approved by the chief administrative law 27.12 judge. The agency shall report to the Legislative Coordinating 27.13 Commission, other appropriate committees of the legislature, and 27.14 the governor its failure to adopt rules and the reasons for that 27.15 failure. The 180-day time limit of this section does not 27.16 include: 27.17 (1) any days used for review by the chief administrative 27.18 law judge or the commission if the review is required by law;or27.19 (2) days during which the rule cannot be adopted, because 27.20 of votes by legislative committees under section 14.126; or 27.21 (3) days during which the rule cannot be adopted because 27.22 approval of the legislature is required under section 14.127. 27.23 Sec. 11. Minnesota Statutes 2004, section 15.054, is 27.24 amended to read: 27.25 15.054 [PUBLIC EMPLOYEES NOT TO PURCHASE MERCHANDISE FROM 27.26 GOVERNMENTAL AGENCIES; EXCEPTIONS; PENALTY.] 27.27 No officer or employee of the state or any of its political 27.28 subdivisions shall sell or procure for sale or possess or 27.29 control for sale to any other officer or employee of the state 27.30 or subdivision, as appropriate, any property or materials owned 27.31 by the state or subdivision except pursuant to conditions 27.32 provided in this section. Property or materials owned by the 27.33 state or a subdivision and not needed for public purposes, may 27.34 be sold to an employee of the state or subdivision after 27.35 reasonable public notice at a public auction or by sealed 27.36 response, if the employee is not directly involved in the 28.1 auction or process pertaining to the administration and 28.2 collection of sealed responses. Requirements for reasonable 28.3 public notice may be prescribed by other law or ordinance so 28.4 long as at least one week's published notice is specified. An 28.5 employee of the state or a political subdivision may purchase no 28.6 more than one motor vehicle from the statein any 12-month28.7periodat any one auction. A person violating the provisions of 28.8 this section is guilty of a misdemeanor. This section shall not 28.9 apply to the sale of property or materials acquired or produced 28.10 by the state or subdivision for sale to the general public in 28.11 the ordinary course of business. Nothing in this section shall 28.12 prohibit an employee of the state or a political subdivision 28.13 from selling or possessing for sale public property if the sale 28.14 or possession for sale is in the ordinary course of business or 28.15 normal course of the employee's duties. 28.16 Sec. 12. [15.60] [PUBLIC SAFETY OFFICERS; AMERICAN FLAG.] 28.17 (a) A public employer may not forbid a peace officer or 28.18 firefighter from wearing a patch or pin depicting the flag of 28.19 the United States of America on the employee's uniform, 28.20 according to customary and standard flag etiquette. However, a 28.21 public employer may limit the size of a flag patch worn on a 28.22 uniform to no more than three inches by five inches. 28.23 (b) For purposes of this section: 28.24 (1) "peace officer" has the meaning given in section 28.25 626.84, subdivision 1, paragraph (c) or (f); 28.26 (2) "firefighter" means a person as defined in section 28.27 299A.41, subdivision 4, clause (3) or (4); and 28.28 (3) "public employer" has the meaning given in section 28.29 179A.03, subdivision 15, and also includes a municipal fire 28.30 department and an independent nonprofit firefighting corporation. 28.31 (c) A peace officer or firefighter who believes a public 28.32 employer is violating this section may request the attorney 28.33 general to issue an opinion on the issue. Upon request, the 28.34 attorney general must issue a written opinion, which is binding, 28.35 unless a court makes a contrary decision. If after issuing an 28.36 opinion, the attorney general determines that a public employer 29.1 continues to violate this section, the attorney general may 29.2 bring an action in district court to compel compliance. 29.3 Sec. 13. Minnesota Statutes 2004, section 16A.103, is 29.4 amended by adding a subdivision to read: 29.5 Subd. 4. [REPORT ON EXPENDITURE INCREASES.] By January 10 29.6 of an odd-numbered year, the commissioner of finance must report 29.7 on those programs or components of programs for which 29.8 expenditures for the next biennium according to the forecast 29.9 issued the previous November are projected to increase more than 29.10 15 percent over the expenditures for that program in the current 29.11 biennium. The report must include an analysis of the factors 29.12 that are causing the increases in expenditures. 29.13 Sec. 14. Minnesota Statutes 2004, section 16A.1286, 29.14 subdivision 3, is amended to read: 29.15 Subd. 3. [APPROPRIATION.] Money transferred into the 29.16 account is appropriated to the commissioner to pay for statewide 29.17 systems servicesduring the biennium in which it is appropriated. 29.18 Sec. 15. Minnesota Statutes 2004, section 16A.151, 29.19 subdivision 2, is amended to read: 29.20 Subd. 2. [EXCEPTIONS.] (a) If a state official litigates 29.21 or settles a matter on behalf of specific injured persons or 29.22 entities, this section does not prohibit distribution of money 29.23 to the specific injured persons or entities on whose behalf the 29.24 litigation or settlement efforts were initiated. If money 29.25 recovered on behalf of injured persons or entities cannot 29.26 reasonably be distributed to those persons or entities because 29.27 they cannot readily be located or identified or because the cost 29.28 of distributing the money would outweigh the benefit to the 29.29 persons or entities, the money must be paid into the general 29.30 fund. 29.31 (b) Money recovered on behalf of a fund in the state 29.32 treasury other than the general fund may be deposited in that 29.33 fund. 29.34 (c) This section does not prohibit a state official from 29.35 distributing money to a person or entity other than the state in 29.36 litigation or potential litigation in which the state is a 30.1 defendant or potential defendant. 30.2 (d) State agencies may accept funds as directed by a 30.3 federal court for any restitution or monetary penalty under 30.4 United States Code, title 18, section 3663(a)(3) or United 30.5 States Code, title 18, section 3663A(a)(3). Funds received must 30.6 be deposited in a special revenue account and are appropriated 30.7 to the commissioner of the agency for the purpose as directed by 30.8 the federal court. 30.9 (e) Subdivision 1 does not apply to a recovery or 30.10 settlement of less than $750,000. 30.11 Sec. 16. Minnesota Statutes 2004, section 16A.152, 30.12 subdivision 2, is amended to read: 30.13 Subd. 2. [ADDITIONAL REVENUES; PRIORITY.] (a) If on the 30.14 basis of a forecast of general fund revenues and expenditures, 30.15 the commissioner of finance determines that there will be a 30.16 positive unrestricted budgetary general fund balance at the 30.17 close of the biennium, the commissioner of finance must allocate 30.18 money to the following accounts and purposes in priority order: 30.19 (1) the cash flow account established in subdivision 1 30.20 until that account reaches $350,000,000; 30.21 (2) the budget reserve account established in subdivision 30.22 1a until that account reaches $653,000,000; 30.23 (3) the amount necessary to increase the aid payment 30.24 schedule for school district aids and credits payments in 30.25 section 127A.45 to not more than 90 percent rounded to the 30.26 nearest tenth of a percent without exceeding the amount 30.27 available and with any remaining funds deposited in the budget 30.28 reserve; and 30.29 (4) the amount necessary to restore all or a portion of the 30.30 net aid reductions under section 127A.441 and to reduce the 30.31 property tax revenue recognition shift under section 123B.75, 30.32 subdivision 5, paragraph (c), and Laws 2003, First Special 30.33 Session chapter 9, article 5, section 34, as amended by Laws 30.34 2003, First Special Session chapter 23, section 20, by the same 30.35 amount. 30.36 (b) The amounts necessary to meet the requirements of this 31.1 section are appropriated from the general fund within two weeks 31.2 after the forecast is released or, in the case of transfers 31.3 under paragraph (a), clauses (3) and (4), as necessary to meet 31.4 the appropriations schedules otherwise established in statute. 31.5 (c) To the extent that a positive unrestricted budgetary 31.6 general fund balance is projected, appropriations under this 31.7 section must be made beforeany transfer is made undersection 31.8 16A.1522 takes effect. 31.9 (d) The commissioner of finance shall certify the total 31.10 dollar amount of the reductions under paragraph (a), clauses (3) 31.11 and (4), to the commissioner of education. The commissioner of 31.12 education shall increase the aid payment percentage and reduce 31.13 the property tax shift percentage by these amounts and apply 31.14 those reductions to the current fiscal year and thereafter. 31.15 Sec. 17. Minnesota Statutes 2004, section 16A.1522, 31.16 subdivision 1, is amended to read: 31.17 Subdivision 1. [FORECAST.] If, on the basis of a forecast 31.18 of general fund revenues and expenditures in November of an 31.19 even-numbered year or February of an odd-numbered year, the 31.20 commissioner projects a positive unrestricted budgetary general 31.21 fund balance at the close of the biennium that exceeds one-half 31.22 of one percent of total general fund biennial revenues, the 31.23 commissioner shall designate the entire balance as available for 31.24 rebate to the taxpayers of this state.In forecasting,31.25projecting, or designating the unrestricted budgetary general31.26fund balance or general fund biennial revenue under this31.27section, the commissioner shall not include any balance or31.28revenue attributable to settlement payments received after July31.291, 1998, and before July 1, 2001, as defined in Section IIB of31.30the settlement document, filed May 18, 1998, in State v. Philip31.31Morris, Inc., No. C1-94-8565 (Minnesota District Court, Second31.32Judicial District).31.33 Sec. 18. Minnesota Statutes 2004, section 16A.281, is 31.34 amended to read: 31.35 16A.281 [APPROPRIATIONS TO LEGISLATURE.] 31.36 Except as provided in this section, section 16A.28 applies 32.1 to appropriations made to the legislature, the senate, the house 32.2 of representatives, or its committees or commissions. An 32.3 appropriation made to the legislature, the senate, the house of 32.4 representatives, or a legislative commission or committee other 32.5 than a standing committee, if not spent during the first year, 32.6 may be spent during the second year of a biennium. An 32.7 unexpended balance not carried forward and remaining unexpended 32.8 and unencumbered at the end of a biennium lapses and shall be 32.9 returned to the fund from which appropriated. Balances may be 32.10 carried forward into the next biennium and credited to special 32.11 accounts to be used only as follows: (1) for nonrecurring 32.12 expenditures on investments that enhance efficiency or improve 32.13 effectiveness; (2) to pay expenses associated withspecial32.14 sessions, interim activities, public hearings, or other public 32.15 outreach efforts and related activities; and (3) to pay 32.16 severance costs of involuntary terminations. The approval of 32.17 the commissioner of finance under section 16A.28, subdivision 2, 32.18 does not apply to the legislature. An appropriation made to the 32.19 legislature, the senate, the house of representatives, or a 32.20 standing committee for all or part of a biennium may be spent in 32.21 either year of the biennium. 32.22 Sec. 19. [16B.296] [TRANSFER OF REAL PROPERTY.] 32.23 Notwithstanding any law to the contrary, real property 32.24 purchased in whole or in part with state funds may not be 32.25 transferred for less than the appraised value, or if the 32.26 property has not been appraised, for less than the fair market 32.27 value as determined by the commissioner of administration. This 32.28 section does not apply to a department listed in section 15.01, 32.29 the Minnesota State Colleges and Universities, the University of 32.30 Minnesota, or a political subdivision of the state. 32.31 Sec. 20. Minnesota Statutes 2004, section 16B.33, 32.32 subdivision 4, is amended to read: 32.33 Subd. 4. [DESIGNER SELECTION PROCESS.] (a) [ PUBLICITY.] 32.34 Upon receipt of a request from a user agency for a primary 32.35 designer, the board shall publicize the proposed project in 32.36 order to determine the identity of designers interested in the 33.1 design work on the project. The board shall establish criteria 33.2 for the selection process and make this information public, and 33.3 shall compile data on and conduct interviews of designers. The 33.4 board's selection criteria must include consideration of each 33.5 interested designer's performance on previous projects for the 33.6 state or any other person. Upon completing the process, the 33.7 board shall select the primary designer and shall state its 33.8 reasons in writing. If the board's vote for the selection of a 33.9 primary designer results in a tie vote, the nonvoting member 33.10 appointed under subdivision 2, paragraph (b), must vote for the 33.11 selection of the primary designer. Notification to the 33.12 commissioner of the selection shall be made not more than 60 33.13 days after receipt from a user agency of a request for a primary 33.14 designer. The commissioner shall promptly notify the designer 33.15 and the user agency. The commissioner shall negotiate the 33.16 designer's fee and prepare the contract to be entered into 33.17 between the designer and the user agency. 33.18 (b) [CONFLICT OF INTEREST.] A board member may not 33.19 participate in the review, discussion, or selection of a 33.20 designer or firm in which the member has a financial interest. 33.21 (c) [SELECTION BY COMMISSIONER.] In the event the board 33.22 receives a request for a primary designer on a project, the 33.23 estimated cost of which is less than the limit established by 33.24 subdivision 3, or a planning project with estimated fees of less 33.25 than the limit established by subdivision 3, the board may 33.26 submit the request to the commissioner of administration, with 33.27 or without recommendations, and the commissioner shall thereupon 33.28 select the primary designer for the project. 33.29 (d) [SECOND SELECTION.] If the designer selected for a 33.30 project declines the appointment or is unable to reach agreement 33.31 with the commissioner on the fee or the terms of the contract, 33.32 the commissioner shall, within 60 days after the first 33.33 appointment, request the board to make another selection. 33.34 (e) [SIXTY DAYS TO SELECT.] If the board fails to make a 33.35 selection and forward its recommendation to the commissioner 33.36 within 60 days of the user agency's request for a designer, the 34.1 commissioner may appoint a designer to the project without the 34.2 recommendation of the board. 34.3 (f) [LESS THAN SATISFACTORY PERFORMANCE.] The 34.4 commissioner, or the University of Minnesota and the Minnesota 34.5 State Colleges and Universities for projects under their 34.6 supervision, shall forward to the board a written report 34.7 describing each instance in which the performance of a designer 34.8 selected by the board or the commissioner has been less than 34.9 satisfactory. Criteria for determining satisfaction include the 34.10 ability of the designer to complete design work on time, to 34.11 provide a design responsive to program needs within the 34.12 constraints of the budget, to solve design problems and achieve 34.13 a design consistent with the proposed function of the building, 34.14 to avoid costly design errors or omissions, and to observe the 34.15 construction work. These reports are public data and are 34.16 available for inspection under section 13.03. 34.17 Sec. 21. [16C.064] [COST-BENEFIT ANALYSIS.] 34.18 (a) The commissioner or an agency official to whom the 34.19 commissioner has delegated duties under section 16C.03, 34.20 subdivision 16, may not approve a contract or purchase of goods 34.21 or services in an amount greater than $50,000,000 unless a 34.22 cost-benefit analysis has been completed and shows a positive 34.23 benefit to the public. The Management Analysis Division must 34.24 perform or direct the performance of the analysis. Money 34.25 appropriated for the contract or purchase must be used to pay 34.26 for the analysis. A cost-benefit analysis must be performed for 34.27 a project if an aggregation of contracts or purchases for a 34.28 project exceeds $50,000,000. 34.29 (b) All cost-benefit analysis documents under this section, 34.30 including preliminary drafts and notes, are public data. 34.31 (c) If a cost-benefit analysis does not show a positive 34.32 benefit to the public, the governor may approve a contract or 34.33 purchase of goods or services if a cost-effectiveness study had 34.34 been done that shows the proposed project is the most effective 34.35 way to provide a necessary public good. 34.36 (d) This section applies to contracts for goods or services 35.1 that are expected to have a useful life of more than three 35.2 years. This section does not apply for purchase of goods or 35.3 services for response to a natural disaster if an emergency has 35.4 been declared by the governor. This section does not apply to 35.5 contracts involving the Minnesota state colleges and 35.6 universities, state buildings, or state highways. 35.7 (e) This section is repealed effective July 1, 2008. 35.8 Sec. 22. Minnesota Statutes 2004, section 16C.10, 35.9 subdivision 7 is amended to read: 35.10 Subd. 7. [REVERSE AUCTION.] (a) For the purpose of this 35.11 subdivision, "reverse auction" means a purchasing process in 35.12 which vendors compete to provide goodsor engineering designor 35.13 computer services at the lowest selling price in an open and 35.14 interactive environment. 35.15 (b) The provisions of sections 13.591, subdivision 3, and 35.16 16C.06, subdivision 2, do not apply when the commissioner 35.17 determines that a reverse auction is the appropriate purchasing 35.18 process. 35.19 Sec. 23. [16C.143] [ENERGY FORWARD PRICING MECHANISMS.] 35.20 Subdivision 1. [DEFINITIONS.] The following definitions 35.21 apply in this section: 35.22 (1) "energy" means natural gas, heating oil, propane, and 35.23 any other energy source except electricity used in state 35.24 facilities; and 35.25 (2) "forward pricing mechanism" means a contract or 35.26 financial instrument that obligates a state agency to buy or 35.27 sell a specified quantity of energy at a future date at a set 35.28 price. 35.29 Subd. 2. [AUTHORITY.] Notwithstanding any other law to the 35.30 contrary, the commissioner may use forward pricing mechanisms 35.31 for budget risk reduction. 35.32 Subd. 3. [CONDITIONS.] Forward pricing mechanism 35.33 transactions must be made only under the following conditions: 35.34 (1) the quantity of energy affected by the forward pricing 35.35 mechanism must not exceed 90 percent of the estimated energy use 35.36 for the state agency for the same period, which shall not exceed 36.1 24 months; and 36.2 (2) a separate account must be established for each state 36.3 agency using a forward pricing mechanism. 36.4 Subd. 4. [WRITTEN POLICIES AND PROCEDURES.] Before 36.5 exercising the authority under this section, the commissioner 36.6 must develop written policies and procedures governing the use 36.7 of forward pricing mechanisms. 36.8[EFFECTIVE DATE.] This section is effective the day 36.9 following final enactment. 36.10 Sec. 24. Minnesota Statutes 2004, section 16C.144, is 36.11 amended to read: 36.12 16C.144 [GUARANTEED ENERGY SAVINGSCONTRACTSPROGRAM.] 36.13 Subdivision 1. [DEFINITIONS.] The following definitions 36.14 apply to this section. 36.15 (a) "Utility" means electricity, natural gas, or other 36.16 energy resource, water, and wastewater. 36.17 (b) "Utility cost savings" means the difference betweenthe36.18utility costs under the precontract conditions andthe utility 36.19 costs afterthe changes have been made under the contract. Such36.20savings shall be calculated in comparison to an established36.21baseline of utility costsinstallation of the utility 36.22 cost-savings measures pursuant to the guaranteed energy savings 36.23 agreement and the baseline utility costs after baseline 36.24 adjustments have been made. 36.25 (c)"Established baseline" means the precontract utilities,36.26operations, and maintenance costs.36.27(d)"Baseline" means the preagreement utilities, 36.28 operations, and maintenance costs. 36.29 (d) "Utility cost-savings measure" means a measure that 36.30 produces utility cost savingsand/oror operation and 36.31 maintenance cost savings. 36.32 (e) "Operation and maintenance cost savings" means a 36.33 measurabledecrease indifference between operation and 36.34 maintenance costs after the installation of the utility 36.35 cost-savings measures pursuant to the guaranteed energy savings 36.36 agreement and the baseline operation and maintenance coststhat37.1is a direct result of the implementation of one or more utility37.2cost-savings measures but doesafter inflation adjustments have 37.3 been made. Operation and maintenance costs savings shall not 37.4 include savings from in-house staff labor.Such savings shall37.5be calculated in comparison to an established baseline of37.6operation and maintenance costs.37.7 (f) "Guaranteed energy savingscontractagreement" meansa37.8contractan agreement for theevaluation, recommendation, and37.9 installation of one or more utility cost-savings measures that 37.10 includes the qualified provider's guarantee as required under 37.11 subdivision 2.The contract must provide that all payments are37.12to be made over time but not to exceed ten years from the date37.13of final installation, and the savings are guaranteed to the37.14extent necessary to make payments for the utility cost-savings37.15measures.37.16 (g) "Baseline adjustments" means adjusting theestablished37.17 utility cost savings baselinesin paragraphs (b) and37.18(d)annually for changes in the following variables: 37.19 (1) utility rates; 37.20 (2) number of days in the utility billing cycle; 37.21 (3) square footage of the facility; 37.22 (4) operational schedule of the facility; 37.23 (5) facility temperature set points; 37.24 (6) weather; and 37.25 (7) amount of equipment or lighting utilized in the 37.26 facility. 37.27 (h) "Inflation adjustment" means adjusting the operation 37.28 and maintenance cost-savings baseline annually for inflation. 37.29 (i) "Lease purchasecontractagreement" meansa37.30contractan agreement obligating the state to make regular lease 37.31 payments to satisfy the lease costs of the utility cost-savings 37.32 measures until the final payment, after which time the utility 37.33 cost-savings measures become the sole property of the state of 37.34 Minnesota. 37.35(i)(j) "Qualified provider" means a person or business 37.36 experienced in the design, implementation, and installation of 38.1 utility cost-savings measures. 38.2(j)(k) "Engineering report" means a report prepared by a 38.3 professional engineer licensed by the state of Minnesota 38.4 summarizing estimates of all costs of installations, 38.5 modifications, or remodeling, including costs of design, 38.6 engineering, installation, maintenance, repairs, and estimates 38.7 of the amounts by which utility and operation and maintenance 38.8 costs will be reduced. 38.9(k)(l) "Capital cost avoidance" means money expended by a 38.10 state agency to pay for utility cost-savings measures with a 38.11 guaranteed savingscontractagreement so long as the measures 38.12 that are being implemented to achieve the utility, operation, 38.13 and maintenance cost savings are a significant portion of an 38.14 overall project as determined by the commissioner. 38.15(l)(m) "Guaranteed energy savingscontractingprogram 38.16 guidelines" means policies, procedures, and requirements of 38.17 guaranteed savingscontractsagreements established by the 38.18 Department of Administrationupon enacting this legislation. 38.19 Subd. 2. [GUARANTEED ENERGY SAVINGSCONTRACTAGREEMENT.] 38.20 The commissioner may enter into a guaranteed energy savings 38.21contractagreement with a qualified provider if: 38.22 (1) the qualified provider is selected through a 38.23 competitive process in accordance with the guaranteed energy 38.24 savingscontractingprogram guidelines within the Department of 38.25 Administration; 38.26 (2) the qualified provider agrees to submit an engineering 38.27 report prior to the execution of the guaranteed energy savings 38.28contractagreement. The cost of the engineering report may be 38.29 considered as part of the implementation costs if the 38.30 commissioner enters into a guaranteed energy savings agreement 38.31 with the provider; 38.32 (3) the term of the guaranteed energy savings agreement 38.33 shall not exceed 15 years from the date of final installation; 38.34 (4) the commissioner finds that the amount it would spend 38.35 on the utility cost-savings measures recommended in the 38.36 engineering report will not exceed the amount to be saved in 39.1 utility operation and maintenance costs overten15 years from 39.2 the date of implementation of utility cost-savings measures; 39.3(4)(5) the qualified provider provides a written guarantee 39.4 that the annual utility, operation, and maintenance cost savings 39.5 during the term of the guaranteed energy savings agreement will 39.6 meet or exceed thecosts of the guaranteed savings contract39.7 annual payments due under a lease purchase agreement. The 39.8 qualified provider shall reimburse the state for any shortfall 39.9 of guaranteed utility, operation, and maintenance cost savings; 39.10 and 39.11(5)(6) the qualified provider gives a sufficient bond in 39.12 accordance with section 574.26 to the commissioner for the 39.13 faithful implementation and installation of the utility 39.14 cost-savings measures. 39.15 Subd. 3. [LEASE PURCHASECONTRACTAGREEMENT.] The 39.16 commissioner may enter into a lease purchase agreement with any 39.17 party for the implementation of utility cost-savings measures in 39.18 accordance withan engineering reportthe guaranteed energy 39.19 savings agreement. The implementation costs of the utility 39.20 cost-savings measures recommended in the engineering report 39.21 shall not exceed the amount to be saved in utility and operation 39.22 and maintenance costs over the term of the lease purchase 39.23 agreement. The term of the lease purchase agreement shall not 39.24 exceedten15 years from the date of final installation. The 39.25 lease is assignable in accordance with terms approved by the 39.26 commissioner of finance. 39.27 Subd. 4. [USE OF CAPITAL COST AVOIDANCE.] The affected 39.28 state agency may contribute funds for capital cost avoidance for 39.29 guaranteed energy savingscontractsagreements. Use of capital 39.30 cost avoidance is subject to the guaranteed energy savings 39.31contractingprogram guidelines within the Department of 39.32 Administration. 39.33 Subd. 5. [REPORT.] By January 15of 2005 and, 2007, the 39.34 commissioner of administration shall submit to the commissioner 39.35 of finance and the chairs of the senate and house of 39.36 representatives capital investment committees a list of projects 40.1 in the agency that have been funded using guaranteed energy 40.2 savings, as outlined in this section, during the preceding 40.3 biennium. For each guaranteed energy savingscontractagreement 40.4 entered into, the commissioner of administration shall contract 40.5 with an independent third party to evaluate the 40.6 cost-effectiveness of each utility cost-savings measure 40.7 implemented to ensure that such measures were the least-cost 40.8 measures available. For the purposes of this section, 40.9 "independent third party" means an entity not affiliated with 40.10 the qualified provider, that is not involved in creating or 40.11 providing conservation project services to that provider, and 40.12 that has expertise (or access to expertise) in energy savings 40.13 practices. 40.14Subd. 6. [CONTRACT LIMITS.] Contracts may not be entered40.15into after June 30, 2007.40.16[EFFECTIVE DATE.] This section is effective the day 40.17 following final enactment. 40.18 Sec. 25. Minnesota Statutes 2004, section 16C.16, 40.19 subdivision 1, is amended to read: 40.20 Subdivision 1. [SMALL BUSINESS PROCUREMENTS.] (a) The 40.21 commissioner shall for each fiscal year ensure that small 40.22 businesses receive at least 25 percent of the value of 40.23 anticipated total state procurement of goods and services, 40.24 including printing and construction. The commissioner shall 40.25 divide the procurements so designated into contract award units 40.26 of economically feasible production runs in order to facilitate 40.27 offers or bids from small businesses. 40.28 (b) The commissioner must solicit and encourage Minnesota 40.29 small businesses to submit responses or bids when the 40.30 commissioner is entering into master contracts. If 40.31 cost-effective, when entering into a master contract, the 40.32 commissioner must attempt to negotiate contract terms that allow 40.33 agencies the option of purchasing from small businesses, 40.34 particularly small businesses that are geographically proximate 40.35 to the entity making the purchase. 40.36 (c) In making the annual designation of such procurements 41.1 the commissioner shall attempt (1) to vary the included 41.2 procurements so that a variety of goods and services produced by 41.3 different small businesses are obtained each year, and (2) to 41.4 designate small business procurements in a manner that will 41.5 encourage proportional distribution of such awards among the 41.6 geographical regions of the state. To promote the geographical 41.7 distribution of awards, the commissioner may designate a portion 41.8 of the small business procurement for award to bidders from a 41.9 specified congressional district or other geographical region 41.10 specified by the commissioner. The failure of the commissioner 41.11 to designate particular procurements shall not be deemed to 41.12 prohibit or discourage small businesses from seeking the 41.13 procurement award through the normal process. 41.14 Sec. 26. [16C.231] [SURPLUS PROPERTY.] 41.15 Notwithstanding section 15.054 or 16C.23, the commissioner 41.16 may sell a surplus gun used by a state trooper to the trooper 41.17 who used the gun in the course of employment. The sale price 41.18 must be the fair market value of the gun, as determined by the 41.19 commissioner. 41.20 Sec. 27. Minnesota Statutes 2004, section 16C.26, 41.21 subdivision 3, is amended to read: 41.22 Subd. 3. [PUBLICATION OF NOTICE; EXPENDITURES OVER 41.23$15,000$25,000.] If the amount of an expenditure is estimated 41.24 to exceed$15,000$25,000,sealedbids must be solicited by 41.25 public noticeinserted at least once in a newspaper or trade41.26journal not less than seven days before the final date of41.27submitting bidsin a manner designated by the commissioner.The41.28commissioner shall designate the newspaper or trade journal for41.29that publication and may designate different newspapers or41.30journals according to the nature of the purchase or41.31contract.To the extent practical, this must include posting on 41.32 a state Web site. For expenditures over $50,000, the 41.33 commissioner shallalsosolicit sealed bids bysendingproviding 41.34 noticesby mailto all prospective bidders known to the 41.35 commissionerandby posting notice ona public bulletin board in41.36the commissioner's officea state Web site at leastfiveseven 42.1 days before the final date of submitting bids. All bids over 42.2 $50,000 must be sealed when they are received and must be opened 42.3 in public at the hour stated in the notice. All original bids 42.4 and all documents pertaining to the award of a contract must be 42.5 retained and made a part of a permanent file or record and 42.6 remain open to public inspection. 42.7 Sec. 28. Minnesota Statutes 2004, section 16C.26, 42.8 subdivision 4, is amended to read: 42.9 Subd. 4. [BUILDING AND CONSTRUCTION CONTRACTS; 42.10$15,000$50,000 OR LESS.]All contracts, the amount of which is42.11estimated to be $15,000 or less, may be made either upon42.12competitive bids or in the open market, in the discretion of the42.13commissioner. So far as practicable, however, they must be42.14based on at least three competitive bids which must be42.15permanently recorded.An informal bid may be used for building, 42.16 construction, and repair contracts that are estimated at less 42.17 than $50,000. Informal bids must be authenticated by the bidder 42.18 in a manner specified by the commissioner. 42.19 Sec. 29. Minnesota Statutes 2004, section 16C.28, 42.20 subdivision 2, is amended to read: 42.21 Subd. 2. [ALTERATIONS AND ERASURES.] A bid containing an 42.22 alteration or erasure of any price contained in the bid which is 42.23 used in determining the lowest responsible bid must be rejected 42.24 unless the alteration or erasure is correctedunder this42.25subdivisionin a manner that is clear and authenticated by an 42.26 authorized representative of the responder. An alteration or 42.27 erasure may be crossed out and the correction printed in ink or 42.28 typewritten adjacent to it and initialedin ink by the person42.29signing the bidby an authorized representative of the responder. 42.30 Sec. 30. [168.1298] [SPECIAL "SUPPORT OUR TROOPS" LICENSE 42.31 PLATES.] 42.32 Subdivision 1. [GENERAL REQUIREMENTS AND PROCEDURES.] (a) 42.33 The commissioner shall issue special "Support Our Troops" 42.34 license plates to an applicant who: 42.35 (1) is an owner of a passenger automobile, one-ton pickup 42.36 truck, recreational vehicle, or motorcycle; 43.1 (2) pays a fee of $10 to cover the costs of handling and 43.2 manufacturing the plates; 43.3 (3) pays the registration tax required under section 43.4 168.013; 43.5 (4) pays the fees required under this chapter; 43.6 (5) contributes a minimum of $30 annually to the Minnesota 43.7 "Support Our Troops" account established in section 190.19; and 43.8 (6) complies with laws and rules governing registration and 43.9 licensing of vehicles and drivers. 43.10 (b) The license application under this section must 43.11 indicate that the annual contribution specified under paragraph 43.12 (a), clause (5), is a minimum contribution to receive the plates 43.13 and that the applicant may make an additional contribution to 43.14 the account. 43.15 Subd. 2. [DESIGN.] After consultation with interested 43.16 groups, the adjutant general and the commissioner of veterans 43.17 affairs shall design the special plate, subject to the approval 43.18 of the commissioner. 43.19 Subd. 3. [NO REFUND.] Contributions under this section 43.20 must not be refunded. 43.21 Subd. 4. [PLATE TRANSFERS.] Notwithstanding section 43.22 168.12, subdivision 1, on payment of a transfer fee of $5, 43.23 plates issued under this section may be transferred to another 43.24 passenger automobile, one-ton pickup truck, recreational 43.25 vehicle, or motorcycle owned by the individual to whom the 43.26 special plates were issued. 43.27 Subd. 5. [CONTRIBUTION AND FEES CREDITED.] Contributions 43.28 under subdivision 1, paragraph (a), clause (5), must be paid to 43.29 the commissioner and credited to the Minnesota "Support Our 43.30 Troops" account established in section 190.19. The fees 43.31 collected under this section must be deposited in the vehicle 43.32 services operating account in the special revenue fund. 43.33 Subd. 6. [RECORD.] The commissioner shall maintain a 43.34 record of the number of plates issued under this section. 43.35 Sec. 31. [190.19] [MINNESOTA "SUPPORT OUR TROOPS" 43.36 ACCOUNT.] 44.1 Subdivision 1. [ESTABLISHMENT.] The Minnesota "Support Our 44.2 Troops" account is established in the special revenue fund. The 44.3 account shall consist of contributions from private sources and 44.4 appropriations. 44.5 Subd. 2. [USES.] (a) Money appropriated from the Minnesota 44.6 "Support Our Troops" account may be used for: 44.7 (1) grants directly to eligible individuals; 44.8 (2) grants to one or more eligible foundations for the 44.9 purpose of making grants to eligible individuals, as provided in 44.10 this section; or 44.11 (3) veterans' services. 44.12 (b) The term, "eligible individual" includes any person who 44.13 is: 44.14 (1) a member of the Minnesota National Guard or a reserve 44.15 unit based in Minnesota who has been called to active service as 44.16 defined in section 190.05, subdivision 5; 44.17 (2) a Minnesota resident who is a member of a military 44.18 reserve unit not based in Minnesota, if the member is called to 44.19 active service as defined in section 190.05, subdivision 5; 44.20 (3) any other Minnesota resident performing active service 44.21 for any branch of the military of the United States; and 44.22 (4) members of the immediate family of an individual 44.23 identified in clause (1), (2), or (3). For purposes of this 44.24 clause, "immediate family" means the individual's spouse and 44.25 minor children and, if they are dependents of the member of the 44.26 military, the member's parents, grandparents, siblings, 44.27 stepchildren, and adult children. 44.28 (c) The term "eligible foundation" includes any 44.29 organization that: 44.30 (1) is a tax-exempt organization under section 501(c)(3) of 44.31 the Internal Revenue Code; 44.32 (2) has articles of incorporation under chapter 317A 44.33 specifying the purpose of the organization as including the 44.34 provision of financial assistance to members of the Minnesota 44.35 National Guard and other United States armed forces reserves and 44.36 their families and survivors; and 45.1 (3) agrees in writing to distribute any grant money 45.2 received from the adjutant general under this section to 45.3 eligible individuals as defined in this section and in 45.4 accordance with any written policies and rules the adjutant 45.5 general may impose as conditions of the grant to the foundation. 45.6 (d) The maximum grant awarded to an eligible individual in 45.7 a calendar year with funds from the Minnesota "Support Our 45.8 Troops" account, either through an eligible institution or 45.9 directly from the adjutant general, may not exceed $2,000. 45.10 Subd. 3. [ANNUAL REPORT.] The adjutant general must report 45.11 by February 1, 2007, and each year thereafter, to the chairs and 45.12 ranking minority members of the legislative committees and 45.13 divisions with jurisdiction over military and veterans' affairs 45.14 on the number, amounts, and use of grants made by the adjutant 45.15 general from the Minnesota "Support Our Troops" account in the 45.16 previous year. 45.17 Sec. 32. Minnesota Statutes 2004, section 240A.03, 45.18 subdivision 5, is amended to read: 45.19 Subd. 5. [EXEMPTION OF PROPERTY.] Real or personal 45.20 property acquired, owned, leased, controlled, used, or occupied 45.21 by the commission for the purposes of amateur sports facilities 45.22 is declared to be acquired, owned, leased, controlled, used, and 45.23 occupied for public, governmental, and municipal purposes, and 45.24 is exempt from ad valorem taxation by the state or any political 45.25 subdivision of the state, provided that the properties are 45.26 subject to special assessments levied by a political subdivision 45.27 for a local improvement in amounts proportionate to and not 45.28 exceeding the special benefit received by the properties from 45.29 the improvement. The exemption from ad valorem taxation under 45.30 this subdivision does not apply to land that is leased by the 45.31 commission to any entity, public or private. No possible use of 45.32 any of the properties in any manner different from their use 45.33 under sections 240A.01 to 240A.07 at the time may be considered 45.34 in determining the special benefit received by the properties. 45.35 Assessments are subject to confirmation by the commission, whose 45.36 determination of the benefits is subject to court review. 46.1 Notwithstanding the provisions of section 272.01, subdivision 2, 46.2 or 273.19, real or personal property leased by the commission to 46.3 another person for uses related to the purposes of sections 46.4 240A.01 to 240A.07 is exempt from taxation regardless of the 46.5 length of the lease. 46.6 Sec. 33. Minnesota Statutes 2004, section 240A.03, is 46.7 amended by adding a subdivision to read: 46.8 Subd. 16. [FINANCIAL REPORTS.] By January 15 of each year, 46.9 the commission must report to the chairs of the legislative 46.10 committees with jurisdiction over the commission and its 46.11 finances regarding the revenue received by the commission from 46.12 leases in the previous fiscal year. The report must detail 46.13 revenue received from individual lessees and costs incurred by 46.14 the commission for maintenance and operation of the leased 46.15 property. The report must also estimate the revenue from leases 46.16 for the current and following fiscal years. 46.17 Sec. 34. [298.215] [IRON RANGE RESOURCES AND 46.18 REHABILITATION; EARLY SEPARATION INCENTIVE PROGRAM 46.19 AUTHORIZATION.] 46.20 (a) Notwithstanding any law to the contrary, the 46.21 commissioner of iron range resources and rehabilitation, in 46.22 consultation with the commissioner of employee relations, may 46.23 offer a targeted early separation incentive program for 46.24 employees of the commissioner who have attained the age of 60 46.25 years and have at least five years of allowable service credit 46.26 under chapter 352, or who have received credit for at least 30 46.27 years of allowable service under the provisions of chapter 352. 46.28 (b) The early separation incentive program may include one 46.29 or more of the following: 46.30 (1) employer-paid postseparation health, medical, and 46.31 dental insurance until age 65; and 46.32 (2) cash incentives that may, but are not required to be, 46.33 used to purchase additional years of service credit through the 46.34 Minnesota State Retirement System, to the extent that the 46.35 purchases are otherwise authorized by law. 46.36 (c) The commissioner of iron range resources and 47.1 rehabilitation shall establish eligibility requirements for 47.2 employees to receive an incentive. 47.3 (d) The commissioner of iron range resources and 47.4 rehabilitation, consistent with the established program 47.5 provisions under paragraph (b), and with the eligibility 47.6 requirements under paragraph (c), may designate specific 47.7 programs or employees as eligible to be offered the incentive 47.8 program. 47.9 (e) Acceptance of the offered incentive must be voluntary 47.10 on the part of the employee and must be in writing. The 47.11 incentive may only be offered at the sole discretion of the 47.12 commissioner of iron range resources and rehabilitation. 47.13 (f) The cost of the incentive is payable solely by funds 47.14 made available to the commissioner of iron range resources and 47.15 rehabilitation by law, but only on prior approval of the 47.16 expenditures by a majority of the Iron Range Resources and 47.17 Rehabilitation Board. 47.18 (g) This section and section 298.216 are repealed June 30, 47.19 2006. 47.20[EFFECTIVE DATE.] This section is effective the day 47.21 following final enactment. 47.22 Sec. 35. [298.216] [APPLICATION OF OTHER LAWS.] 47.23 Unilateral implementation of section 298.215 by the 47.24 commissioner of iron range resources and rehabilitation is not 47.25 an unfair labor practice under chapter 179A. 47.26 Sec. 36. Minnesota Statutes 2004, section 349A.10, 47.27 subdivision 3, is amended to read: 47.28 Subd. 3. [LOTTERY OPERATIONS.] (a) The director shall 47.29 establish a lottery operations account in the lottery fund. The 47.30 director shall pay all costs of operating the lottery, including 47.31 payroll costs or amounts transferred to the state treasury for 47.32 payroll costs, but not including lottery prizes, from the 47.33 lottery operating account. The director shall credit to the 47.34 lottery operations account amounts sufficient to pay the 47.35 operating costs of the lottery. 47.36 (b) Except as provided in paragraph (e), the director may 48.1 not credit in any fiscal year thereafter amounts to the lottery 48.2 operations account which when totaled exceed15nine percent of 48.3 gross revenue to the lottery fund in that fiscal year. In 48.4 computing total amounts credited to the lottery operations 48.5 account under this paragraph the director shall disregard 48.6 amounts transferred to or retained by lottery retailers as sales 48.7 commissions or other compensation. 48.8 (c) The director of the lottery may not expend after July 48.9 1, 1991, more than 2-3/4 percent of gross revenues in a fiscal 48.10 year for contracts for the preparation, publication, and 48.11 placement of advertising. 48.12 (d) Except as the director determines, the lottery is not 48.13 subject to chapter 16A relating to budgeting, payroll, and the 48.14 purchase of goods and services. 48.15 (e) In addition to the amounts credited to the lottery 48.16 operations account under paragraph (b), the director is 48.17 authorized, if necessary, to meet the current obligations of the 48.18 lottery and to credit up to 25 percent of an amount equal to the 48.19 average annual amount which was authorized to be credited to the 48.20 lottery operations account for the previous three fiscal years 48.21 but was not needed to meet the obligations of the lottery. 48.22 Sec. 37. Minnesota Statutes 2004, section 359.01, is 48.23 amended by adding a subdivision to read: 48.24 Subd. 4. [APPLICATION.] The secretary of state shall 48.25 prepare the application form for a commission. The form may 48.26 request personal information about the applicant, including, but 48.27 not limited to, relevant civil litigation, occupational license 48.28 history, and criminal background, if any. For the purposes of 48.29 this section, "criminal background" includes, but is not limited 48.30 to, criminal charges, arrests, indictments, pleas, and 48.31 convictions. 48.32 Sec. 38. [471.661] [OUT-OF-STATE TRAVEL.] 48.33 By January 1, 2006, the governing body of each statutory or 48.34 home rule charter city, county, school district, regional 48.35 agency, or other political subdivision, except a town, must 48.36 develop a policy that controls travel outside the state of 49.1 Minnesota for the applicable elected officials of the relevant 49.2 unit of government. The policy must be approved by a recorded 49.3 vote and specify: 49.4 (1) when travel outside the state is appropriate; 49.5 (2) applicable expense limits; and 49.6 (3) procedures for approval of the travel. 49.7 The policy must be made available for public inspection 49.8 upon request and reviewed annually. Subsequent changes to the 49.9 policy must be approved by a recorded vote. 49.10 Sec. 39. [471.701] [SALARY DATA.] 49.11 A city or county with a population of more than 15,000 must 49.12 annually notify its residents of the positions and base salaries 49.13 of its three highest-paid employees. This notice may be 49.14 provided on the homepage of the primary Web site maintained by 49.15 the political subdivision for a period of not less than 90 49.16 consecutive days, in a publication of the political subdivision 49.17 that is distributed to all residents in the political 49.18 subdivision, or as part of the annual notice of proposed 49.19 property taxes prepared under section 275.065. 49.20 Sec. 40. Minnesota Statutes 2004, section 507.093, is 49.21 amended to read: 49.22 507.093 [STANDARDS FOR DOCUMENTS TO BE RECORDED OR FILED.] 49.23 (a) The following standards are imposed on documents to be 49.24 recorded with the county recorder or filed with the registrar of 49.25 titles: 49.26 (1) The document shall consist of one or more individual 49.27 sheets measuring no larger than 8.5 inches by 14 inches. 49.28 (2) The form of the document shall be printed, typewritten, 49.29 or computer generated in black ink and the form of the document 49.30 shall not be smaller than 8-point type. 49.31 (3) The document shall be on white paper of not less than 49.32 20-pound weight with no background color, images, or writing and 49.33 shall have a clear border of approximately one-half inch on the 49.34 top, bottom, and each side. 49.35 (4) The first page of the document shall contain a blank 49.36 space at the top measuring three inches, as measured from the 50.1 top of the page. The right half to be used by the county 50.2 recorder for recording information or registrar of titles for 50.3 filing information and the left half to be used by the county 50.4 auditor or treasurer for certification. 50.5 (5) The title of the document shall be prominently 50.6 displayed at the top of the first page below the blank space 50.7 referred to in clause (4). 50.8 (6) No additional sheet shall be attached or affixed to a 50.9 page that covers up any information or printed part of the form. 50.10 (7) A document presented for recording or filing must be 50.11 sufficiently legible to reproduce a readable copy using the 50.12 county recorder's or registrar of title's current method of 50.13 reproduction. 50.14 (b) The standards inthisparagraph (a) do not apply to a 50.15 document that is recorded or filed as part of a pilot project 50.16 for the electronic filing of real estate documents implemented 50.17 by the task force created in Laws 2000, chapter 391, and 50.18 continued by standards established by the Electronic Real Estate 50.19 Recording Task Force created under section 507.094. A county 50.20 that participated in the pilot project for the electronic filing 50.21 of real estate documents under the task force created in Laws 50.22 2000, chapter 391, may continue to record or file documents 50.23 electronically, if: 50.24 (1) the county complies with standards adopted by that task 50.25 force; and 50.26 (2) the county uses software that was validated by that 50.27 task force. 50.28 (c) A county that did not participate in the pilot project 50.29 may record or file a real estate document electronically, if: 50.30 (i) the document to be recorded or filed is of a type 50.31 included in the pilot project for the electronic filing of real 50.32 estate documents under the task force created in Laws 2000, 50.33 chapter 391; 50.34 (ii) the county complies with the standards adopted by the 50.35 task force; 50.36 (iii) the county uses software that was validated by the 51.1 task force; and 51.2 (iv) the task force created under section 507.094 votes to 51.3 accept a written certification of compliance with paragraph (b), 51.4 clause (2), of this section by the county board and county 51.5 recorder of the county to implement electronic filing under this 51.6 section. 51.7(b) The recording or filing fee for a document that does51.8not conform to the standards in paragraph (a) shall be increased51.9as provided in sections 357.18, subdivision 5; 508.82; and51.10508A.82.51.11(c) The recorder or registrar shall refund the recording or51.12filing fee to the applicant if the real estate documents are not51.13filed or registered within 30 days after receipt, or as51.14otherwise provided by section 386.30.51.15[EFFECTIVE DATE.] This section is effective the day 51.16 following final enactment. 51.17 Sec. 41. [507.094] [ELECTRONIC REAL ESTATE RECORDING TASK 51.18 FORCE.] 51.19 Subdivision 1. [CREATION; MEMBERSHIP.] (a) The Electronic 51.20 Real Estate Recording Task Force established under this section 51.21 shall continue the work of the task force established under Laws 51.22 2000, chapter 391, to implement and make recommendations for 51.23 implementation of electronic filing and recording of real estate 51.24 documents. 51.25 (b) The task force consists of 17 members. The secretary 51.26 of state is a member and the chair of the task force and shall 51.27 convene the first meeting of the task force. Members who are 51.28 appointed under this section shall serve for a term of three 51.29 years beginning July 1, 2005. The task force must include: 51.30 (1) four county government officials appointed by the 51.31 Association of County Officers, including two county recorders, 51.32 one county auditor, and one county treasurer; 51.33 (2) two county board members appointed by the Association 51.34 of Minnesota Counties, including one board member from within 51.35 the seven-county metropolitan area and one board member from 51.36 outside the seven-county metropolitan area; 52.1 (3) seven members from the private sector recommended by 52.2 their industries and appointed by the governor, including 52.3 representatives of: 52.4 (i) real estate attorneys, real estate agents; 52.5 (ii) mortgage companies, and other real estate lenders; and 52.6 (iii) technical and industry experts in electronic commerce 52.7 and electronic records management and preservation who are not 52.8 vendors of real estate related services to counties; 52.9 (4) a nonvoting representative selected by the Minnesota 52.10 Historical Society; and 52.11 (5) two representatives of title companies. 52.12 (c) The task force may refer items to subcommittees. The 52.13 chair shall recommend and the task force shall appoint the 52.14 membership of a subcommittee. An individual may be appointed to 52.15 serve on a subcommittee without serving on the task force. 52.16 Subd. 2. [STUDY AND RECOMMENDATIONS.] (a) The task force 52.17 shall continue the work of the task force created by Laws 2000, 52.18 chapter 391, and make recommendations regarding implementation 52.19 of a system for electronic filing and recording of real estate 52.20 documents and shall consider: 52.21 (1) technology and computer needs; 52.22 (2) legal issues such as authenticity, security, timing and 52.23 priority of recordings, and the relationship between electronic 52.24 and paper recorder systems; 52.25 (3) a timetable and plan for implementing electronic 52.26 recording, considering types of documents and entities using 52.27 electronic recording; 52.28 (4) permissive versus mandatory systems; and 52.29 (5) other relevant issues identified by the task force. 52.30 The task force shall review the Uniform Electronic 52.31 Recording Act as drafted by the National Conference of 52.32 Commissioners on Uniform State Laws and the Property Records 52.33 Industry Association position statement on the Uniform Real 52.34 Property Electronic Recording Act and recommend alternative 52.35 structures for the permanent Commission on Electronic Real 52.36 Estate Recording Standards. 53.1 (b) The task force may commence establishing standards for 53.2 the electronic recording of the remaining residential real 53.3 estate deed and mortgage documents and establish pilot projects 53.4 to complete the testing and functions of the task force 53.5 established in Laws 2000, chapter 391, after considering 53.6 national standards from the Mortgage Industry Standards 53.7 Maintenance Organization, the Property Records Industry 53.8 Association, or other recognized national groups. 53.9 (c) The task force shall submit a report to the legislature 53.10 by January 15 of each year during its existence reporting on the 53.11 progress toward the goals provided in this subdivision. 53.12 Subd. 3. [DONATIONS; REIMBURSEMENT.] The task force may 53.13 accept donations of money or resources, including loaned 53.14 employees or other services. The donations are appropriated to 53.15 the task force and must be under the sole control of the task 53.16 force. 53.17 Subd. 4. [EXPIRATION.] This section expires June 30, 2008. 53.18[EFFECTIVE DATE.] This section is effective July 1, 2005. 53.19 Sec. 42. Minnesota Statutes 2004, section 507.24, 53.20 subdivision 2, is amended to read: 53.21 Subd. 2. [ORIGINAL SIGNATURES REQUIRED.] (a) Unless 53.22 otherwise provided by law, an instrument affecting real estate 53.23 that is to be recorded as provided in this section or other 53.24 applicable law must contain the original signatures of the 53.25 parties who execute it and of the notary public or other officer 53.26 taking an acknowledgment. However, a financing statement that 53.27 is recorded as a filing pursuant to section 336.9-502(b) need 53.28 not contain: (1) the signatures of the debtor or the secured 53.29 party; or (2) an acknowledgment. 53.30 (b) Any electronic instruments, including signatures and 53.31 seals, affecting real estate may only be recorded as part of a 53.32 pilot project for the electronic filing of real estate documents 53.33 implemented by the task force created in Laws 2000, chapter 53.34 391., or by the Electronic Real Estate Recording Task Force 53.35 created under section 507.094. A county that participated in 53.36 the pilot project for the electronic filing of real estate 54.1 documents under the task force created in Laws 2000, chapter 54.2 391, may continue to record or file documents electronically, if: 54.3 (1) the county complies with standards adopted by the task 54.4 force; and 54.5 (2) the county uses software that was validated by the task 54.6 force. 54.7 A county that did not participate in the pilot project may 54.8 record or file a real estate document electronically, if: 54.9 (i) the document to be recorded or filed is of a type 54.10 included in the pilot project for the electronic filing of real 54.11 estate documents under the task force created in Laws 2000, 54.12 chapter 391; 54.13 (ii) the county complies with the standards adopted by the 54.14 task force; 54.15 (iii) the county uses software that was validated by the 54.16 task force; and 54.17 (iv) the task force created under section 507.094, votes to 54.18 accept a written certification of compliance with paragraph (b), 54.19 clause (2), of this section by the county board and county 54.20 recorder of the county to implement electronic filing under this 54.21 section. 54.22 (c) Notices filed pursuant to section 168A.141, 54.23 subdivisions 1 and 3, need not contain an acknowledgment. 54.24[EFFECTIVE DATE.] This section is effective the day 54.25 following final enactment. 54.26 Sec. 43. Laws 1998, chapter 404, section 15, subdivision 54.27 2, as amended by Laws 2005, chapter 20, article 1, section 40, 54.28 is amended to read: 54.29 Subd. 2. National Sports Center 4,800,000 54.30 $1,700,000 is to purchase and develop 54.31 land adjacent to the National Sports 54.32 Center in Blaine for use as athletic 54.33 fields. 54.34 $3,100,000 is to develop the National 54.35 Children's Golf Course. The primary 54.36 purpose of the National Children's Golf 54.37 Course is to serve youth of 18 years 54.38 and younger. Market rates must be 54.39 charged for adult golf. 54.40 The Minnesota Amateur Sports Commission 55.1 may lease up to 20 percent of the area 55.2 of the land purchased with money from 55.3 the general fund appropriations in this 55.4 subdivision for a term of up to 30 55.5 years to one or more governmental or 55.6 private entities for any use by the 55.7 lessee, whether public or private, so 55.8 long as the use provides some benefit 55.9 to amateur sports. The commission must 55.10 submit proposed leases for the land 55.11 described in this subdivision to the 55.12 chairs of the legislative committees 55.13 with jurisdiction over state government 55.14 policy and finance for review at least 55.15 30 days before the leases may be 55.16 entered into by the commission. Up to 55.17 $300,000 of lease payments received by 55.18 the commissionareeach fiscal year is 55.19 appropriated to the commission for the 55.20 purposes specified in Minnesota 55.21 Statutes, chapter 240A. The land 55.22 purchased from the general fund 55.23 appropriations may be used for any 55.24 amateur sport. 55.25[EFFECTIVE DATE.] This section is effective retroactively 55.26 on the effective date of Laws 2005, chapter 20, article 1, 55.27 section 40. 55.28 Sec. 44. [BUILDING LEASE.] 55.29 Notwithstanding any provision of Minnesota Statutes, 55.30 section 16B.24, or other law or rule to the contrary, the 55.31 commissioner of administration may, without approval of the 55.32 State Executive Council, enter into a lease of up to ten years 55.33 with a private tenant for use of the state-owned building at 168 55.34 Aurora Avenue in the city of St. Paul as a child care and 55.35 after-school activity facility. If leased to a faith-based 55.36 organization, the program may not promote any particular faith 55.37 and must operate in a nondiscriminatory manner. 55.38[EFFECTIVE DATE.] This section is effective the day 55.39 following final enactment. 55.40 Sec. 45. [SALE OF STATE LAND.] 55.41 Subdivision 1. [STATE LAND SALES.] The commissioner of 55.42 administration shall coordinate with the head of each department 55.43 or agency having control of state-owned land to identify and 55.44 sell at least $6,440,000 of state-owned land. Sales should be 55.45 completed according to law and as provided in this section as 55.46 soon as practicable but no later than June 30, 2007. 55.47 Notwithstanding Minnesota Statutes, sections 16B.281 and 56.1 16B.282, 94.09 and 94.10, or any other law to the contrary, the 56.2 commissioner may offer land for public sale by only providing 56.3 notice of lands or an offer of sale of lands to state 56.4 departments or agencies, the University of Minnesota, cities, 56.5 counties, towns, school districts, or other public entities. 56.6 Subd. 2. [ANTICIPATED SAVINGS.] Notwithstanding Minnesota 56.7 Statutes, section 94.16, subdivision 3, or other law to the 56.8 contrary, the amount of the proceeds from the sale of land under 56.9 this section that exceeds the actual expenses of selling the 56.10 land must be deposited in the general fund, except as otherwise 56.11 provided by the commissioner of finance. Notwithstanding 56.12 Minnesota Statutes, section 94.11 or 16B.283, the commissioner 56.13 of finance may establish the timing of payments for land 56.14 purchased under this section. If the total of all money 56.15 deposited into the general fund from the proceeds of the sale of 56.16 land under this section is anticipated to be less than 56.17 $6,440,000, the governor must allocate the amount of the 56.18 difference as reductions to general fund operating expenditures 56.19 for other executive agencies for the biennium ending June 30, 56.20 2007. 56.21 Subd. 3. [SALE OF STATE LANDS REVOLVING LOAN 56.22 FUND.] $290,000 is appropriated from the general fund in fiscal 56.23 year 2006 to the commissioner of administration for purposes of 56.24 paying the actual expenses of selling state-owned lands to 56.25 achieve the anticipated savings required in this section. From 56.26 the gross proceeds of land sales under this section, the 56.27 commissioner of administration must cancel the amount of the 56.28 appropriation in this subdivision to the general fund by June 56.29 30, 2007. 56.30 Sec. 46. [FORD BUILDING.] 56.31 The Ford Building at 117 University Avenue in St. Paul may 56.32 not be demolished during the biennium ending June 30, 2007. By 56.33 January 15, 2006, the commissioner of administration, in 56.34 consultation with interested legislators, private sector real 56.35 estate professionals, historic preservation specialists, and 56.36 representatives of the city of St. Paul, neighboring property, 57.1 and St. Paul neighborhood associations, must report to the 57.2 legislature with recommendations regarding potential means of 57.3 preserving and using the Ford Building. The report must include: 57.4 (1) availability of potential lessees for the building; 57.5 (2) constraints on leasing the building, including the 57.6 requirement to pay off any state general obligation bonds 57.7 previously used in maintaining or rehabilitating the building; 57.8 and 57.9 (3) the cost of restoring and rehabilitating the building, 57.10 and the feasibility of various means of paying these costs, 57.11 including potential use of revenue bonds. 57.12[EFFECTIVE DATE.] This section is effective the day 57.13 following final enactment. 57.14 Sec. 47. [STATE HEALTH CARE PURCHASING AUTHORITY.] 57.15 Subdivision 1. [PURCHASING AUTHORITY CREATED.] By December 57.16 15, 2005, the commissioner of employee relations, in 57.17 consultation with the commissioners of health, human services, 57.18 labor and industry, corrections, commerce, and administration 57.19 and the Minnesota Comprehensive Health Association board of 57.20 directors, may enter into interagency agreements regarding the 57.21 formation of the Minnesota Health Care Purchasing Authority for 57.22 the purpose of implementing a unified strategy and joint 57.23 purchasing of health care services for the state of Minnesota. 57.24 The strategy shall include implementing a process that examines 57.25 the health care purchasing decisions and coverage in terms of 57.26 cost and medical efficacy based on reliable research evidence to 57.27 ensure access to appropriate and necessary health care. By 57.28 December 15, 2005, the commissioners shall submit to the 57.29 legislature a report and draft legislation for the creation of 57.30 the purchasing authority responsible for all state purchasing of 57.31 health care. 57.32 Subd. 2. [PRINCIPLES OF STATE PURCHASING.] The purchasing 57.33 authority shall prepare and submit to the governor and 57.34 legislature an annual report and plan for the unified purchasing 57.35 of health care services. The plan must: 57.36 (1) promote personal choice and responsibility; 58.1 (2) encourage and promote better health of patients and 58.2 residents of the state; 58.3 (3) provide incentives to privately based health plans and 58.4 health care delivery systems to improve efficiency and quality; 58.5 (4) use community standards and measurement methods for 58.6 determining the value of specific health care services based on 58.7 quality and performance; and 58.8 (5) separate the health care purchasing functions of state 58.9 government from those activities relating to regulation and 58.10 delivery of services, but require consistent use of uniform 58.11 quality and performance standards and methods for purchasing, 58.12 regulation, and delivery of health care services. 58.13 Subd. 3. [PURCHASING AND COVERAGE GUIDELINES.] The 58.14 purchasing authority shall convene a panel of health care policy 58.15 experts and health care providers to establish a process to 58.16 select evidence-based guidelines based on sound research 58.17 evidence and implement an integrated approach using these 58.18 guidelines for purchasing decisions and coverage design. 58.19 Subd. 4. [PUBLIC AND PRIVATE PURCHASERS.] (a) The 58.20 purchasing authority shall prepare and submit to the governor 58.21 and legislature by December 15, 2005, a plan for permitting 58.22 public employers, including school districts, cities, counties, 58.23 and other governmental entities, to purchase a secure benefit 58.24 set with the state purchasing authority. The secure benefit set 58.25 must include the services described under subdivision 6. 58.26 (b) Notwithstanding any laws to the contrary, the 58.27 commissioner of employee relations may expand the range of 58.28 health coverage options available to purchase under the public 58.29 employees insurance program established under Minnesota 58.30 Statutes, section 43A.316, including the option to purchase the 58.31 secure benefit set as defined under subdivision 6. Under this 58.32 option, public employers may purchase health coverage for their 58.33 employees through the public employees insurance program 58.34 beginning July 1, 2006. 58.35 (c) The purchasing authority shall include in the plan 58.36 described in paragraph (a) recommendations for: 59.1 (1) a process for permitting nursing homes and other 59.2 long-term care providers to purchase the secure benefit set with 59.3 the assistance of the state health care purchasing authority as 59.4 part of a separate risk pool; and 59.5 (2) a process for permitting individuals to purchase the 59.6 secure benefit set as part of a separate risk pool through the 59.7 state health care purchasing authority beginning January 1, 2009. 59.8 Subd. 5. [COORDINATION AND COMMON STANDARDS FOR STATE 59.9 PURCHASING AND REGULATION.] The purchasing authority, in 59.10 consultation with all state agencies, boards, and commissioners 59.11 that have responsibility for purchasing or for regulating 59.12 individuals and organizations that provide health coverage or 59.13 deliver health care services, shall prepare and submit to the 59.14 governor and legislature by December 15, 2005, a report and 59.15 draft legislation that will: 59.16 (1) require all state purchasing and regulatory 59.17 requirements to use common standards and measurement methods for 59.18 quality and performance; and 59.19 (2) provide for the coordination of health care purchasing 59.20 strategies and activities administered by the state, including, 59.21 but not limited to, the state employees group insurance plan, 59.22 the public employees insurance program, purchasing activities 59.23 for public and private employers and individuals established 59.24 under subdivision 4, and health care programs administered by 59.25 the commissioner of human services or the commissioner of health. 59.26 Subd. 6. [SECURE BENEFIT SET DEVELOPMENT.] The purchasing 59.27 authority, in consultation with a panel of health care policy 59.28 experts, shall define a secure benefit set that includes 59.29 coverage for preventive health services, as specified in 59.30 preventive services guidelines for children and adults developed 59.31 by the Institute for Clinical Systems Improvement, prescription 59.32 drug coverage, and catastrophic coverage. Nothing in this 59.33 section authorizes the purchasing authority to change the 59.34 benefits covered by the medical assistance, MinnesotaCare, or 59.35 general assistance medical care programs to the extent these 59.36 benefits are specified in state or federal law. 60.1 Subd. 7. [SPECIAL POPULATIONS.] In developing a plan for 60.2 the unified purchasing of health care services and a secure 60.3 benefit set, the purchasing authority must take into account the 60.4 needs of special populations, including, but not limited to, 60.5 persons who are elderly or disabled and persons with chronic 60.6 conditions. 60.7 Subd. 8. [COST AND QUALITY DISCLOSURE.] The purchasing 60.8 authority, in cooperation with organizations representing 60.9 consumers, employers, physicians and other health professionals, 60.10 hospitals, long-term care facilities, health plan companies, 60.11 quality improvement organizations, research and education 60.12 institutions, and other appropriate constituencies, shall 60.13 identify and contract with a private, nonprofit organization to 60.14 serve as a statewide source of comparative information on health 60.15 care costs and quality. 60.16 Sec. 48. [TRAINING SERVICES.] 60.17 During the biennium ending June 30, 2007, state executive 60.18 branch agencies must consider using services provided by 60.19 Government Training Services before contracting with other 60.20 outside vendors for similar services. 60.21 Sec. 49. [STUDY OF WATER AND SEWER BILLING.] 60.22 The director of the Legislative Coordinating Commission 60.23 must provide administrative support to a working group to study 60.24 issues relating to collection of delinquent water and sewer 60.25 bills from owners, lessees, and occupants of rental property. 60.26 The group consists of the following members: 60.27 (1) two representatives of cities; 60.28 (2) two representatives of residential rental property 60.29 owners; 60.30 (3) one representative of tenants; 60.31 (4) one legislator from the majority caucus of the house of 60.32 representatives appointed by the speaker, and one legislator 60.33 from the minority caucus of the house appointed by the minority 60.34 leader; 60.35 (5) one representative of the majority and minority 60.36 caucuses of the senate, appointed by the senate subcommittee on 61.1 committees; and 61.2 (6) one public member appointed by the speaker of the house 61.3 of representatives and one public member appointed by the 61.4 majority leader of the senate. 61.5 Members specified in clauses (1) to (3) must be appointed 61.6 jointly by the speaker of the house of representatives and the 61.7 majority leader of the senate. 61.8 The working group must report findings and recommendations 61.9 to the legislature by January 15, 2006. This section expires on 61.10 the day following the date the working group submits its report. 61.11 Sec. 50. [PORTRAITS.] 61.12 The Capitol Area Architectural and Planning Board, in 61.13 consultation with the Minnesota Historical Society, must request 61.14 the Smithsonian Institution to extend the period during which 61.15 the portraits of Julia Finch Gilbert and Cass Gilbert are 61.16 displayed in the Capitol building. In negotiating an extension 61.17 of the loan period, the board must request that the portraits 61.18 remain on display in the Capitol when they are not being 61.19 publicly displayed elsewhere, but must recognize that it is 61.20 desirable for the portraits to be displayed in other buildings 61.21 designed by Cass Gilbert, in conjunction with centennial 61.22 celebrations for those buildings. 61.23 Sec. 51. [COYA KNUTSON MEMORIAL.] 61.24 The commissioner of administration shall establish a 61.25 memorial in the Capitol building honoring Coya Knutson. The 61.26 commissioner, with the assistance and approval of the Capitol 61.27 Area Architectural and Planning Board, shall select an 61.28 appropriate site. The commissioner may accept donations from 61.29 nonstate sources for the memorial, and this money is 61.30 appropriated to the commissioner for purposes of the memorial. 61.31 Sec. 52. [REPEALER.] 61.32 (a) Minnesota Statutes 2004, sections 3.9222; 16A.151, 61.33 subdivision 5; 16A.30; and 16B.52, are repealed. 61.34 (b) Minnesota Statutes 2004, section 471.68, subdivision 3, 61.35 is repealed effective July 1, 2006. 61.36 ARTICLE 3 62.1 PUBLIC EMPLOYMENT 62.2 Section 1. Minnesota Statutes 2004, section 43A.23, 62.3 subdivision 1, is amended to read: 62.4 Subdivision 1. [GENERAL.] The commissioner is authorized 62.5 to request bidsfrom carriers or to negotiate with carriersand 62.6 to enter into contracts withcarriersparties which in the 62.7 judgment of the commissioner are best qualified tounderwrite62.8andprovide service to the benefit plans. Contracts entered 62.9 intowith carriersare not subject to the requirements of 62.10 sections 16C.16 to 16C.19. The commissioner may negotiate 62.11 premium rates and coverageprovisions with all carriers licensed62.12under chapters 62A, 62C, and 62D. The commissioner may also62.13negotiate reasonable restrictions to be applied to all carriers62.14under chapters 62A, 62C, and 62D. Contracts to underwrite the 62.15 benefit plans must be bid or negotiated separately from 62.16 contracts to service the benefit plans, which may be awarded 62.17 only on the basis of competitive bids. The commissioner shall 62.18 consider the cost of the plans, conversion options relating to 62.19 the contracts, service capabilities, character, financial 62.20 position, and reputation of the carriers, and any other factors 62.21 which the commissioner deems appropriate. Each benefit contract 62.22 must be for a uniform term of at least one year, but may be made 62.23 automatically renewable from term to term in the absence of 62.24 notice of termination by either party.The commissioner shall,62.25to the extent feasible, make hospital and medical benefits62.26available from at least one carrier licensed to do business62.27pursuant to each of chapters 62A, 62C, and 62D. The62.28commissioner need not provide health maintenance organization62.29services to an employee who resides in an area which is not62.30served by a licensed health maintenance organization. The62.31commissioner may refuse to allow a health maintenance62.32organization to continue as a carrier. The commissioner may62.33elect not to offer all three types of carriers if there are no62.34bids or no acceptable bids by that type of carrier or if the62.35offering of additional carriers would result in substantial62.36additional administrative costs.A carrier licensed under 63.1 chapter 62A is exempt from the taxes imposed by chapter 297I on 63.2 premiums paid to it by the state. 63.3 All self-insured hospital and medical service products must 63.4 comply with coverage mandates, data reporting, and consumer 63.5 protection requirements applicable to the licensed carrier 63.6 administering the product, had the product been insured, 63.7 including chapters 62J, 62M, and 62Q. Any self-insured products 63.8 that limit coverage to a network of providers or provide 63.9 different levels of coverage between network and nonnetwork 63.10 providers shall comply with section 62D.123 and geographic 63.11 access standards for health maintenance organizations adopted by 63.12 the commissioner of health in rule under chapter 62D. 63.13 Sec. 2. [43A.346] [POSTRETIREMENT OPTION.] 63.14 Subdivision 1. [DEFINITION.] For purposes of this section, 63.15 "state employee" means a person currently occupying a civil 63.16 service position in the executive branch of state government, 63.17 the Minnesota State Retirement System, or the Office of the 63.18 Legislative Auditor, or a person employed by the Metropolitan 63.19 Council. 63.20 Subd. 2. [ELIGIBILITY.] This section applies to a state or 63.21 Metropolitan Council employee who: 63.22 (1) for at least the five years immediately preceding 63.23 separation under clause (2), has been regularly scheduled to 63.24 work 1,044 or more hours per year in a position covered by a 63.25 pension plan administered by the Minnesota State Retirement 63.26 System or the Public Employees Retirement Association; 63.27 (2) terminates state or Metropolitan Council employment; 63.28 (3) at the time of termination under clause (2), meets the 63.29 age and service requirements necessary to receive an unreduced 63.30 retirement annuity from the plan and satisfies requirements for 63.31 the commencement of the retirement annuity or, for an employee 63.32 under the unclassified employees retirement plan, meets the age 63.33 and service requirements necessary to receive an unreduced 63.34 retirement annuity from the plan and satisfies requirements for 63.35 the commencement of the retirement annuity or elects a lump-sum 63.36 payment; and 64.1 (4) agrees to accept a postretirement option position with 64.2 the same or a different appointing authority, working a reduced 64.3 schedule that is both (i) a reduction of at least 25 percent 64.4 from the employee's number of regularly scheduled work hours; 64.5 and (ii) 1,044 hours or less in state or Metropolitan Council 64.6 service. 64.7 Subd. 3. [UNCLASSIFIED SERVICE.] Notwithstanding any law 64.8 to the contrary, state postretirement option positions shall be 64.9 in the unclassified service but shall not be covered by the 64.10 Minnesota State Retirement System unclassified employees plan. 64.11 Subd. 4. [ANNUITY REDUCTION NOT APPLICABLE.] 64.12 Notwithstanding any law to the contrary, when an eligible state 64.13 employee in a postretirement option position under this section 64.14 commences receipt of the annuity, the provisions of section 64.15 352.115, subdivision 10, or 353.37 governing annuities of 64.16 reemployed annuitants, shall not apply for the duration of 64.17 employment in the position. 64.18 Subd. 5. [APPOINTING AUTHORITY DISCRETION.] The appointing 64.19 authority has sole discretion to determine if and the extent to 64.20 which a postretirement option position under this section is 64.21 available to a state employee. Any offer of such a position 64.22 must be made in writing to the employee by the appointing 64.23 authority on a form prescribed by the Department of Employee 64.24 Relations and the Minnesota State Retirement System or the 64.25 Public Employees Retirement Association. The appointing 64.26 authority may not require a person to waive any rights under a 64.27 collective bargaining agreement or unrepresented employee 64.28 compensation plan as a condition of participation. 64.29 Subd. 6. [DURATION.] Postretirement option employment 64.30 shall be for an initial period not to exceed one year. During 64.31 that period, the appointing authority may not modify the 64.32 conditions specified in the written offer without the employee's 64.33 agreement, except as required by law or by the collective 64.34 bargaining agreement or compensation plan applicable to the 64.35 employee. At the end of the initial period, the appointing 64.36 authority has sole discretion to determine if the offer of a 65.1 postretirement option position will be renewed, renewed with 65.2 modifications, or terminated. Postretirement option employment 65.3 may be renewed for periods of up to one year, not to exceed a 65.4 total duration of five years. No person shall be employed in 65.5 one or a combination of postretirement option positions under 65.6 this section for a total of more than five years. 65.7 Subd. 7. [COPY TO FUND.] The appointing authority shall 65.8 provide the Minnesota State Retirement System or the Public 65.9 Employees Retirement Association with a copy of the offer, the 65.10 employee's acceptance of the terms, and any subsequent renewal 65.11 agreement. 65.12 Subd. 8. [NO SERVICE CREDIT.] Notwithstanding any law to 65.13 the contrary, a person may not earn service credit in the 65.14 Minnesota State Retirement System or the Public Employees 65.15 Retirement Association for employment covered under this 65.16 section, and employer contributions and payroll deductions for 65.17 the retirement fund must not be made based on earnings of a 65.18 person working under this section. No change shall be made to a 65.19 monthly annuity or retirement allowance based on employment 65.20 under this section. 65.21 Subd. 9. [INSURANCE CONTRIBUTION.] Notwithstanding any law 65.22 to the contrary, the appointing authority must make an employer 65.23 insurance contribution for a person who is employed in a 65.24 postretirement option position under this section and who is not 65.25 receiving any other state-paid or Metropolitan Council-paid 65.26 employer insurance contribution. The amount of the contribution 65.27 must be equal to the percent time worked in the postretirement 65.28 option position (hours scheduled to be worked annually divided 65.29 by 2,088) times 1.5 times the full employer contribution for 65.30 employee-only health and dental coverage. The appointing 65.31 authority must contribute that amount to a health reimbursement 65.32 arrangement. 65.33 Subd. 10. [SUBSEQUENT EMPLOYMENT.] If a person has been in 65.34 a postretirement option position and accepts any other position 65.35 in state or Metropolitan Council-paid service, in the subsequent 65.36 state or Metropolitan Council-paid employment the person may not 66.1 earn service credit in the Minnesota State Retirement System or 66.2 Public Employees Retirement Association, no employer 66.3 contributions or payroll deductions for the retirement fund 66.4 shall be made, and the provisions of section 352.115, 66.5 subdivision 10, or section 353.37, shall apply. 66.6 Sec. 3. [VOLUNTARY HOUR REDUCTION PLAN.] 66.7 (a) This section applies to a state employee who: 66.8 (1) on the effective date of this section is regularly 66.9 scheduled to work 1,044 or more hours a year in a position 66.10 covered by a pension plan administered by the Minnesota state 66.11 retirement system; and 66.12 (2) enters into an agreement with the appointing authority 66.13 to work a reduced schedule of 1,044 hours or less in the covered 66.14 position. 66.15 (b) Notwithstanding any law to the contrary, for service 66.16 under an agreement entered into under paragraph (a), 66.17 contributions may be made to the applicable plan of the 66.18 Minnesota state retirement system as if the employee had not 66.19 reduced hours. The employee must pay the additional employee 66.20 contributions and the employer must pay the additional employer 66.21 contributions necessary to bring the service credit and salary 66.22 up to the level prior to the voluntary reduction in hours. 66.23 Contributions must be made in a time and manner prescribed by 66.24 the executive director of the Minnesota state retirement system. 66.25 (c) The amount of hours worked, the work schedule, and the 66.26 duration of the voluntary hour reduction must be mutually agreed 66.27 to by the employee and the appointing authority. The appointing 66.28 authority may not require a person to waive any rights under a 66.29 collective bargaining agreement as a condition of participation 66.30 under this section. The appointing authority has sole 66.31 discretion to determine if and the extent to which voluntary 66.32 hour reduction under this section is available to an employee. 66.33 (d) A person who works under this section is a member of 66.34 the appropriate bargaining unit; is covered by the appropriate 66.35 collective bargaining contract or compensation plan; and is 66.36 eligible for health care coverage as provided in the collective 67.1 bargaining contract or compensation plan. 67.2 (e) An agreement under this section may apply only to work 67.3 through June 30, 2007. 67.4 Sec. 4. [VOLUNTARY UNPAID LEAVE OF ABSENCE.] 67.5 (a) Appointing authorities in state government may allow 67.6 each employee to take unpaid leaves of absence for up to 1,040 67.7 hours between July 1, 2005, and June 30, 2007. Each appointing 67.8 authority approving such a leave shall allow the employee to 67.9 continue accruing vacation and sick leave, be eligible for paid 67.10 holidays and insurance benefits, accrue seniority, and, if 67.11 payments are made under paragraph (b), accrue service credit and 67.12 credited salary in the state retirement plans as if the employee 67.13 had actually been employed during the time of leave. An 67.14 employee covered by the unclassified plan may voluntarily make 67.15 the employee contributions to the unclassified plan during the 67.16 leave of absence. If the employee makes these contributions, 67.17 the appointing authority must make the employer contribution. 67.18 If the leave of absence is for one full pay period or longer, 67.19 any holiday pay shall be included in the first payroll warrant 67.20 after return from the leave of absence. The appointing 67.21 authority shall attempt to grant requests for the unpaid leaves 67.22 of absence consistent with the need to continue efficient 67.23 operation of the agency. However, each appointing authority 67.24 shall retain discretion to grant or refuse to grant requests for 67.25 leaves of absence and to schedule and cancel leaves, subject to 67.26 the applicable provisions of collective bargaining agreements 67.27 and compensation plans. 67.28 (b) To receive eligible service credit and credited salary 67.29 in a defined benefit plan, the member shall pay an amount equal 67.30 to the applicable employee contribution rates. If an employee 67.31 pays the employee contribution for the period of the leave under 67.32 this section, the appointing authority must pay the employer 67.33 contribution. The appointing authority may, at its discretion, 67.34 pay the employee contributions. Contributions must be made in a 67.35 time and manner prescribed by the executive director of the 67.36 applicable pension plan. 68.1[EFFECTIVE DATE.] This section is effective the day 68.2 following final enactment. 68.3 Sec. 5. [LABOR AGREEMENTS AND COMPENSATION PLANS.] 68.4 Subdivision 1. [AMERICAN FEDERATION OF STATE, COUNTY, AND 68.5 MUNICIPAL EMPLOYEES.] The arbitration award and labor agreement 68.6 between the state of Minnesota and the American Federation of 68.7 State, County, and Municipal Employees, unit 8, approved by the 68.8 Legislative Coordinating Commission Subcommittee on Employee 68.9 Relations on June 14, 2004, is ratified. 68.10 Subd. 2. [MINNESOTA LAW ENFORCEMENT ASSOCIATION; 68.11 ARBITRATION AWARD.] The arbitration award between the state of 68.12 Minnesota and the Minnesota Law Enforcement Association, 68.13 approved by the Legislative Coordinating Commission Subcommittee 68.14 on Employee Relations on June 14, 2004, is ratified. 68.15 Subd. 3. [HIGHER EDUCATION SERVICES OFFICE; COMPENSATION 68.16 PLAN.] The compensation plan for unrepresented employees of the 68.17 Higher Education Services Office, approved by the Legislative 68.18 Coordinating Commission Subcommittee on Employee Relations on 68.19 June 14, 2004, is ratified. 68.20 Subd. 4. [MINNESOTA LAW ENFORCEMENT ASSOCIATION; 68.21 BARGAINING AGREEMENT.] The collective bargaining agreement 68.22 between the state of Minnesota and the Minnesota Law Enforcement 68.23 Association, submitted to the Legislative Coordinating 68.24 Commission Subcommittee on Employee Relations on September 29, 68.25 2004, and implemented after 30 days on October 30, 2004, is 68.26 ratified. 68.27 Subd. 5. [INTER FACULTY ORGANIZATION.] The collective 68.28 bargaining agreement between the state of Minnesota and the 68.29 Inter Faculty Organization, submitted to the Legislative 68.30 Coordinating Commission Subcommittee on Employee Relations on 68.31 September 29, 2004, and implemented after 30 days on October 29, 68.32 2004, is ratified. 68.33 Subd. 6. [MINNESOTA NURSES ASSOCIATION.] The arbitration 68.34 award and the collective bargaining agreement between the state 68.35 of Minnesota and the Minnesota Nurses Association, approved by 68.36 the Legislative Coordinating Commission Subcommittee on Employee 69.1 Relations on December 20, 2004, is ratified. 69.2 Subd. 7. [TEACHERS RETIREMENT ASSOCIATION.] The proposal 69.3 to increase the salary of the executive director of the Teachers 69.4 Retirement Association, as modified and approved by the 69.5 Legislative Coordinating Commission Subcommittee on Employee 69.6 Relations on December 20, 2004, is ratified. 69.7 Subd. 8. [MINNESOTA STATE RETIREMENT SYSTEM.] The proposal 69.8 to increase the salary of the executive director of the 69.9 Minnesota State Retirement System, as modified and approved by 69.10 the Legislative Coordinating Commission Subcommittee on Employee 69.11 Relations on December 20, 2004, is ratified. 69.12 Subd. 9. [PUBLIC EMPLOYEES RETIREMENT ASSOCIATION.] The 69.13 proposal to increase the salary of the executive director of the 69.14 Public Employees Retirement Association, as modified and 69.15 approved by the Legislative Coordinating Commission Subcommittee 69.16 on Employee Relations on December 20, 2004, is ratified. 69.17[EFFECTIVE DATE.] This section is effective the day 69.18 following final enactment. 69.19 ARTICLE 4 69.20 MILITARY AND VETERANS 69.21 Section 1. Minnesota Statutes 2004, section 190.16, is 69.22 amended by adding a subdivision to read: 69.23 Subd. 6a. [RENTAL OF CAMP RIPLEY FACILITIES.] The adjutant 69.24 general or the adjutant general's designee may rent buildings or 69.25 other facilities at Camp Ripley to persons under terms and 69.26 conditions specified by the adjutant general or designee. 69.27 Subject to any prohibitions or restrictions in any agreement 69.28 between the United States and the state of Minnesota, proceeds 69.29 of rentals under this subdivision must be applied as follows: 69.30 (1) payment of increased utilities, maintenance, or other 69.31 costs directly attributable to the rental; 69.32 (2) other operating and maintenance or repair costs for the 69.33 building or facility being rented; and 69.34 (3) maintenance and improvement of buildings or other 69.35 facilities at Camp Ripley. 69.36 Rentals under this subdivision must be made under terms and 70.1 conditions that do not conflict with the use of Camp Ripley for 70.2 military purposes. 70.3 Sec. 2. Minnesota Statutes 2004, section 192.19, is 70.4 amended to read: 70.5 192.19 [RETIRED MEMBERS MAY BE ORDERED TO ACTIVE DUTY.] 70.6 The commander-in-chief or the adjutant general may assign 70.7 officers, warrant officers, and enlisted personnel on the 70.8 retired list, with their consent, to temporary active service in 70.9 recruiting, upon courts-martial, courts of inquiry and boards, 70.10 to staff duty not involving service with troops, or in charge of 70.11 a military reservation left temporarily without officers. Such 70.12 personnel while so assigned shall receive the full pay and 70.13 allowances of their grades at time of retirement, except that 70.14 the commander-in-chief or the adjutant general may authorize pay 70.15 and allowances in a higher grade when it is considered 70.16 appropriate based on special skills or experience of the person 70.17 being assigned to temporary active service. 70.18 Sec. 3. Minnesota Statutes 2004, section 192.261, 70.19 subdivision 2, is amended to read: 70.20 Subd. 2. [REINSTATEMENT.] Except as otherwise hereinafter 70.21 provided, upon the completion of such service such officer or 70.22 employee shall be reinstated in the public position, which was 70.23 held at the time of entry into such service, or a public 70.24 position of like seniority, status, and pay if such is available 70.25 at the same salary which the officer or employee would have 70.26 received if the leave had not been taken, upon the following 70.27 conditions: (1) that the position has not been abolished or 70.28 that the term thereof, if limited, has not expired; (2) that the 70.29 officer or employee is not physically or mentally disabled from 70.30 performing the duties of such position; (3) that the officer or 70.31 employee makes written application for reinstatement to the 70.32 appointing authority within 90 days after termination of such 70.33 service, or 90 days after discharge from hospitalization or 70.34 medical treatment which immediately follows the termination of, 70.35 and results from, such service; provided such application shall 70.36 be made within one year and 90 days after termination of such 71.1 service notwithstanding such hospitalization or medical 71.2 treatment; (4) that the officer or employee submits an honorable 71.3 discharge or other form of release by proper authority 71.4 indicating that the officer's or employee's military or naval 71.5 service was satisfactory. Upon such reinstatement the officer 71.6 or employee shall have the same rights with respect to accrued 71.7 and future seniority status, efficiency rating, vacation, sick 71.8 leave, and other benefits as if that officer or employee had 71.9 been actually employed during the time of such leave. The 71.10 officer or employee reinstated under this section is entitled to 71.11 vacation and sick leave with pay as provided in any applicable 71.12 civil service rules, collective bargaining agreement, or 71.13 compensation plan, and accumulates vacation and sick leave from 71.14 the time the person enters active military service until the 71.15 date of reinstatement without regard to any otherwise applicable 71.16 limits on civil service rules limiting the number of days which 71.17 may be accumulated. No officer or employee so reinstated shall 71.18 be removed or discharged within one year thereafter except for 71.19 cause, after notice and hearing; but this shall not operate to 71.20 extend a term of service limited by law. 71.21[EFFECTIVE DATE.] This section is effective the day 71.22 following final enactment and applies to any public officer or 71.23 public employee serving in active military service on or after 71.24 September 11, 2001. 71.25 Sec. 4. Minnesota Statutes 2004, section 192.501, 71.26 subdivision 2, is amended to read: 71.27 Subd. 2. [TUITION AND TEXTBOOK REIMBURSEMENT GRANT 71.28 PROGRAM.] (a) The adjutant general shall establish a program to 71.29 provide tuition and textbook reimbursement grants to eligible 71.30 members of the Minnesota National Guard within the limitations 71.31 of this subdivision. 71.32 (b) Eligibility is limited to a member of the National 71.33 Guard who: 71.34 (1) is serving satisfactorily as defined by the adjutant 71.35 general; 71.36 (2) is attending a postsecondary educational institution, 72.1 as defined by section 136A.15, subdivision 6, including a 72.2 vocational or technical school operated or regulated by this 72.3 state or another state or province; and 72.4 (3) provides proof of satisfactory completion of 72.5 coursework, as defined by the adjutant general. 72.6In addition,(c) Notwithstanding paragraph (b), clause (1), 72.7 for a person who: 72.8 (1) has satisfactorily completed the person's service 72.9 contract in the Minnesota National Guard or the portion of it 72.10 involving selective reserve status, for which any part of that 72.11 service was spent serving honorably in federal active service or 72.12 federally funded state active service since September 11, 2001, 72.13 the person's eligibility is extended for a period of two years, 72.14 plus an amount of time equal to the duration of that person's 72.15 active service, subject to the credit hours limit in paragraph 72.16 (g); or 72.17 (2) has served honorably in the Minnesota National Guard 72.18 and has been separated or discharged from that organization due 72.19 to a service-connected injury, disease, or disability, the 72.20 eligibility period is extended for eight years beyond the date 72.21 of separation, subject to the credit hours limit in paragraph 72.22 (g). 72.23 (d) If a member of the Minnesota National Guard is killed 72.24 in the line of state active service or federally funded state 72.25 active service,as defined in section 190.05, subdivisions 5a72.26and 5b,the member's surviving spouse, and any surviving 72.27 dependent who has not yet reached 24 years of age, is eligible 72.28 for a tuition and textbook reimbursement grant, with each 72.29 eligible person independently subject to the credit hours limit 72.30 in paragraph (g). 72.31 (e) The adjutant general may, within the limitations of 72.32this paragraphparagraphs (b) to (d) and other applicable laws, 72.33 determine additional eligibility criteria for the grant, and 72.34 must specify the criteria in department regulations and publish 72.35 changes as necessary. 72.36(c)(f) The amount of a tuition and textbook reimbursement 73.1 grant must be specified on a schedule as determined and 73.2 published in department regulations by the adjutant general, but 73.3 is limited to a maximum of an amount equal to the greater of: 73.4 (1) up to 100 percent of the cost of tuition for lower 73.5 division programs in the College of Liberal Arts at the Twin 73.6 Cities campus of the University of Minnesota in the most recent 73.7 academic year; or 73.8 (2) up to 100 percent of the cost of tuition for the 73.9 program in which the person is enrolled at that Minnesota public 73.10 institution, or if that public institution is outside the state 73.11 of Minnesota, for the cost of a comparable program at the 73.12 University of Minnesota, except that in the case of a survivor 73.13 as defined in paragraph(b)(d), the amount of the tuition and 73.14 textbook reimbursement grant for coursework satisfactorily 73.15 completed by the person is limited to 100 percent of the cost of 73.16 tuition for postsecondary courses at a Minnesota public 73.17 educational institution. 73.18Paragraph(g) Paragraphs (b) to (e) notwithstanding, a 73.19 person is no longer eligible for a grant under this subdivision 73.20 once the person has received grants under this subdivision for 73.21 the equivalent of 208 quarter credits or 144 semester credits of 73.22 coursework. 73.23(d)(h) Tuition and textbook reimbursement grants received 73.24 under this subdivision may not be considered by the Minnesota 73.25 Higher Education Services Office or by any other state board, 73.26 commission, or entity in determining a person's eligibility for 73.27 a scholarship or grant-in-aid under sections 136A.095 to 73.28 136A.1311. 73.29(e)(i) If a member fails to complete a term of enlistment 73.30 during which a tuition and textbook reimbursement grant was 73.31 paid, the adjutant general may seek to recoup a prorated amount 73.32 as determined by the adjutant general. However, this authority 73.33 does not apply to a person whose separation from the Minnesota 73.34 National Guard is due to a medical condition or financial 73.35 hardship. 73.36 (j) For purposes of this section, the terms "active 74.1 service," "state active service," "federally funded state active 74.2 service," and "federal active service" have the meanings given 74.3 in section 190.05, subdivisions 5 to 5c, respectively, except 74.4 that for purposes of paragraph (c), clause (1), these terms 74.5 exclude service performed exclusively for purposes of: 74.6 (1) basic combat training, advanced individual training, 74.7 annual training, and periodic inactive duty training; 74.8 (2) special training periodically made available to reserve 74.9 members; 74.10 (3) service performed in accordance with section 190.08, 74.11 subdivision 3; and 74.12 (4) service performed as part of the active guard/reserve 74.13 program pursuant to United States Code, title 32, section 74.14 502(f), or other applicable authority. 74.15[EFFECTIVE DATE.] This section is effective the day 74.16 following final enactment and applies to persons who have served 74.17 in the Minnesota National Guard at anytime since September 11, 74.18 2001, and if the person has died in the line of service, to the 74.19 person's surviving spouse and dependents. 74.20 Sec. 5. Minnesota Statutes 2004, section 193.29, 74.21 subdivision 3, is amended to read: 74.22 Subd. 3. [JOINT BOARDS.] In all cases in which more than 74.23 one company or other unit of the military forces shall occupy 74.24 the same armory, the armory board shall consist of 74.25officersmilitary personnel assigned to the units or 74.26 organizations quartered therein. The adjutant general shall 74.27 designate by order from time to time the representatives of each 74.28 unit quartered therein to comprise the armory board for each 74.29 armory. In the discretion of the adjutant general, the 74.30 membership of the board may be comprised of officers, warrant 74.31 officers, and enlisted personnel and may be changed from time to 74.32 time so as to give the several organizations quartered therein 74.33 proper representation on the board. 74.34 Sec. 6. Minnesota Statutes 2004, section 193.30, is 74.35 amended to read: 74.36 193.30 [COMMANDING OFFICERSMANAGEMENT OF ARMORY BOARD.] 75.1 The seniorofficermember on each armory board shall be the 75.2 chair, and the juniorofficermember thereof shall be the 75.3 recorder. A record of the proceedings of the board shall be 75.4 kept, and all motions offered, whether seconded or not, shall be 75.5 put to a vote and the result recorded. In the case of a tie 75.6 vote the adjutant general, upon the request of any member, shall 75.7 decide. The governor may make and alter rules for the 75.8 government of armory boards, officers, and other persons having 75.9 charge of armories, arsenals, or other military property of the 75.10 state. 75.11 Sec. 7. Minnesota Statutes 2004, section 193.31, is 75.12 amended to read: 75.13 193.31 [SENIOR OFFICER TOCONTROL OF DRILL HALL.] 75.14 The seniorofficermember of any company or other 75.15 organization assembling at an armory for drill or instruction 75.16 shall have control of the drill hall or other portion of the 75.17 premises used therefor during such occupancy, subject to the 75.18 rules prescribed for its use and the orders of thatofficer's75.19 member's superior. Any person who intrudes contrary to orders, 75.20 or who interrupts, molests, or insults any troops so assembled, 75.21 or who refuses to leave the premises when properly requested so 75.22 to do, shall be guilty of a misdemeanor. Nothing in this 75.23 section shall prevent reasonable inspection of the premises by 75.24 the proper municipal officer, or by the lessor thereof in 75.25 accordance with the terms of the lease. 75.26 Sec. 8. Minnesota Statutes 2004, section 197.608, 75.27 subdivision 5, is amended to read: 75.28 Subd. 5. [QUALIFYING USES.] The commissioner shall consult 75.29 with the Minnesota Association of County Veterans Service 75.30 Officers in developing a list of qualifying uses for grants 75.31 awarded under this program. The commissioner is authorized to 75.32 use any unexpended funding for this program to provide training 75.33 and education for county veterans service officers. 75.34[EFFECTIVE DATE.] This section is effective the day 75.35 following final enactment. 75.36 Sec. 9. Minnesota Statutes 2004, section 471.975, is 76.1 amended to read: 76.2 471.975 [MAY PAY DIFFERENTIAL OF RESERVE ON ACTIVE DUTY.] 76.3 (a) Except as provided in paragraph (b), a statutory or 76.4 home rule charter city, county, town, or other political 76.5 subdivision may pay to each eligible member of the National 76.6 Guard or other reserve component of the armed forces of the 76.7 United States an amount equal to the difference between the 76.8 member's basic active duty military salary and the salary the 76.9 member would be paid as an active political subdivision 76.10 employee, including any adjustments the member would have 76.11 received if not on leave of absence. This payment may be made 76.12 only to a person whose basic active duty military salary is less 76.13 than the salary the person would be paid as an active political 76.14 subdivision employee. Back pay authorized by this section may 76.15 be paid in a lump sum. Payment under this section must not 76.16 extend beyond four years from the date the employee reported for 76.17 active service, plus any additional time the employee may be 76.18 legally required to serve. 76.19 (b) Subject to the limits under paragraph (g), each school 76.20 district shall pay to each eligible member of the National Guard 76.21 or other reserve component of the armed forces of the United 76.22 States an amount equal to the difference between the member's 76.23 basic active duty military salary and the salary the member 76.24 would be paid as an active school district employee, including 76.25 any adjustments the member would have received if not on leave 76.26 of absence. The pay differential must be based on a comparison 76.27 between the member's daily rate of active duty pay, calculated 76.28 by dividing the member's military monthly salary by the number 76.29 of paid days in the month, and the member's daily rate of pay 76.30 for the member's school district salary, calculated by dividing 76.31 the member's total school district salary by the number of 76.32 contract days. The member's salary as a school district 76.33 employee must include the member's basic salary and any 76.34 additional salary the member earns from the school district for 76.35 cocurricular activities. The differential payment under this 76.36 paragraph must be the difference between the daily rates of 77.1 military pay times the number of school district contract days 77.2 the member misses because of military active duty. This payment 77.3 may be made only to a person whose basic active duty military 77.4 salary is less than the salary the person would be paid as an 77.5 active school district employee. Payments may be made at the 77.6 intervals at which the member received pay as a school district 77.7 employee. Payment under this section must not extend beyond 77.8 four years from the date the employee reported for active 77.9 service, plus any additional time the employee may be legally 77.10 required to serve. 77.11 (c) An eligible member of the reserve components of the 77.12 armed forces of the United States is a reservist or National 77.13 Guard member who was an employee of a political subdivision at 77.14 the time the member reported for active service on or after May 77.15 29, 2003, or who is on active service on May 29, 2003. 77.16 (d)Notwithstanding other obligations under law andExcept 77.17 as provided in paragraph (e) and elsewhere in Minnesota 77.18 Statutes, a statutory or home rule charter city, county, town, 77.19 or other political subdivision has total discretion regarding 77.20 employee benefit continuation for a member who reports for 77.21 active service and the terms and conditions of any benefit. 77.22 (e) A school district must continue the employee's 77.23 enrollment in health and dental coverage, and the employer 77.24 contribution toward that coverage, until the employee is covered 77.25 by health and dental coverage provided by the armed forces. If 77.26 the employee had elected dependent coverage for health or dental 77.27 coverage as of the time that the employee reported for active 77.28 service, a school district must offer the employee the option to 77.29 continue the dependent coverage at the employee's own expense. 77.30 A school district must permit the employee to continue 77.31 participating in any pretax account in which the employee 77.32 participated when the employee reported for active service, to 77.33 the extent of employee pay available for that purpose. 77.34 (f) For purposes of this section, "active service" has the 77.35 meaning given in section 190.05, subdivision 5, but excludes 77.36 service performed exclusively for purposes of: 78.1 (1) basic combat training, advanced individual training, 78.2 annual training, and periodic inactive duty training; 78.3 (2) special training periodically made available to reserve 78.4 members; and 78.5 (3) service performed in accordance with section 190.08, 78.6 subdivision 3. 78.7 (g) A school district making payments under paragraph (b) 78.8 shall place a sum equal to any difference between the amount of 78.9 salary that would have been paid to the employee who is 78.10 receiving the payments and the amount of salary being paid to 78.11 substitutes for that employee into a special fund that must be 78.12 used to pay or partially pay the deployed employee's payments 78.13 under paragraph (b). A school district is required to pay only 78.14 this amount to the deployed school district employee. 78.15[EFFECTIVE DATE.] This section is effective the day 78.16 following final enactment and applies to any public officer or 78.17 public employee serving in active military service on or after 78.18 September 11, 2001. 78.19 Sec. 10. Laws 2000, chapter 461, article 4, section 4, as 78.20 amended by Laws 2003, First Special Session chapter 12, article 78.21 6, section 3, and Laws 2004, chapter 267, article 17, section 7, 78.22 is amended to read: 78.23 Sec. 4. [EFFECTIVE DATE; SUNSET REPEALER.] 78.24 (a) Sections 1, 2, and 3 are effectiveonthe day following 78.25 final enactment. 78.26 (b) Sections 1, 2, and 3, are repealed on May 16,20062007. 78.27 Sec. 11. [PLAQUE HONORING VETERANS OF THE PERSIAN GULF 78.28 WAR.] 78.29 A memorial plaque may be placed in the court of honor on 78.30 the capitol grounds to recognize the valiant service to our 78.31 nation by the thousands of brave men and women who served 78.32 honorably as members of the United States Armed Forces during 78.33 the Persian Gulf War. The plaque must be furnished by a person 78.34 or organization other than the Department of Veterans Affairs 78.35 and must be approved by the commissioner of veterans affairs and 78.36 the Capitol Area Architectural and Planning Board. 79.1[EFFECTIVE DATE.] This section is effective the day 79.2 following final enactment. 79.3 Sec. 12. [REPEALER.] 79.4 Minnesota Statutes 2004, sections 43A.11, subdivision 2; 79.5 and 197.455, subdivision 3, are repealed. 79.6 ARTICLE 5 79.7 OFFICE OF ENTERPRISE TECHNOLOGY 79.8 Section 1. Minnesota Statutes 2004, section 10A.01, 79.9 subdivision 35, is amended to read: 79.10 Subd. 35. [PUBLIC OFFICIAL.] "Public official" means any: 79.11 (1) member of the legislature; 79.12 (2) individual employed by the legislature as secretary of 79.13 the senate, legislative auditor, chief clerk of the house, 79.14 revisor of statutes, or researcher, legislative analyst, or 79.15 attorney in the Office of Senate Counsel and Research or House 79.16 Research; 79.17 (3) constitutional officer in the executive branch and the 79.18 officer's chief administrative deputy; 79.19 (4) solicitor general or deputy, assistant, or special 79.20 assistant attorney general; 79.21 (5) commissioner, deputy commissioner, or assistant 79.22 commissioner of any state department or agency as listed in 79.23 section 15.01 or 15.06, or the state chief information officer; 79.24 (6) member, chief administrative officer, or deputy chief 79.25 administrative officer of a state board or commission that has 79.26 either the power to adopt, amend, or repeal rules under chapter 79.27 14, or the power to adjudicate contested cases or appeals under 79.28 chapter 14; 79.29 (7) individual employed in the executive branch who is 79.30 authorized to adopt, amend, or repeal rules under chapter 14 or 79.31 adjudicate contested cases under chapter 14; 79.32 (8) executive director of the State Board of Investment; 79.33 (9) deputy of any official listed in clauses (7) and (8); 79.34 (10) judge of the Workers' Compensation Court of Appeals; 79.35 (11) administrative law judge or compensation judge in the 79.36 State Office of Administrative Hearings or referee in the 80.1 Department of Employment and Economic Development; 80.2 (12) member, regional administrator, division director, 80.3 general counsel, or operations manager of the metropolitan 80.4 council; 80.5 (13) member or chief administrator of a metropolitan 80.6 agency; 80.7 (14) director of the Division of Alcohol and Gambling 80.8 Enforcement in the Department of Public Safety; 80.9 (15) member or executive director of the Higher Education 80.10 Facilities Authority; 80.11 (16) member of the board of directors or president of 80.12 Minnesota Technology, Inc.; or 80.13 (17) member of the board of directors or executive director 80.14 of the Minnesota State High School League. 80.15 Sec. 2. Minnesota Statutes 2004, section 15.06, is amended 80.16 by adding a subdivision to read: 80.17 Subd. 1a. [APPLICATION TO OFFICE OF ENTERPRISE 80.18 TECHNOLOGY.] For the purposes of this section, references to 80.19 "commissioner" include the chief information officer of the 80.20 Office of Enterprise Technology. 80.21 Sec. 3. Minnesota Statutes 2004, section 16B.04, 80.22 subdivision 2, is amended to read: 80.23 Subd. 2. [POWERS AND DUTIES, GENERAL.] Subject to other 80.24 provisions of this chapter, the commissioner is authorized to: 80.25 (1) supervise, control, review, and approve all state 80.26 contracts and purchasing; 80.27 (2) provide agencies with supplies and equipment and 80.28 operate all central store or supply rooms serving more than one 80.29 agency; 80.30 (3)approve all computer plans and contracts, and oversee80.31the state's data processing system;80.32(4)investigate and study the management and organization 80.33 of agencies, and reorganize them when necessary to ensure their 80.34 effective and efficient operation; 80.35(5)(4) manage and control state property, real and 80.36 personal; 81.1(6)(5) maintain and operate all state buildings, as 81.2 described in section 16B.24, subdivision 1; 81.3(7)(6) supervise, control, review, and approve all capital 81.4 improvements to state buildings and the capitol building and 81.5 grounds; 81.6(8)(7) provide central duplicating, printing, and mail 81.7 facilities; 81.8(9)(8) oversee publication of official documents and 81.9 provide for their sale; 81.10(10)(9) manage and operate parking facilities for state 81.11 employees and a central motor pool for travel on state business; 81.12(11)(10) establish and administer a State Building Code; 81.13 and 81.14(12)(11) provide rental space within the capitol complex 81.15 for a private day care center for children of state employees. 81.16 The commissioner shall contract for services as provided in this 81.17 chapter. The commissioner shall report back to the legislature 81.18 by October 1, 1984, with the recommendation to implement the 81.19 private day care operation. 81.20 Sec. 4. Minnesota Statutes 2004, section 16B.48, 81.21 subdivision 4, is amended to read: 81.22 Subd. 4. [REIMBURSEMENTS.] Except as specifically provided 81.23 otherwise by law, each agency shall reimburseintertechnologies81.24andthe general services revolving funds for the cost of all 81.25 services, supplies, materials, labor, and depreciation of 81.26 equipment, including reasonable overhead costs, which the 81.27 commissioner is authorized and directed to furnish an agency. 81.28 The cost of all publications or other materials produced by the 81.29 commissioner and financed from the general services revolving 81.30 fund must include reasonable overhead costs. The commissioner 81.31 of administration shall report the rates to be charged foreach81.32 the general services revolvingfundfunds no later than July 1 81.33 each year to the chair of the committee or division in the 81.34 senate and house of representatives with primary jurisdiction 81.35 over the budget of the Department of Administration. The 81.36 commissioner of finance shall make appropriate transfers to the 82.1 revolving funds described in this section when requested by the 82.2 commissioner of administration. The commissioner of 82.3 administration may make allotments, encumbrances, and, with the 82.4 approval of the commissioner of finance, disbursements in 82.5 anticipation of such transfers. In addition, the commissioner 82.6 of administration, with the approval of the commissioner of 82.7 finance, may require an agency to make advance payments to the 82.8 revolving funds in this section sufficient to cover the agency's 82.9 estimated obligation for a period of at least 60 days. All 82.10 reimbursements and other money received by the commissioner of 82.11 administration under this section must be deposited in the 82.12 appropriate revolving fund. Any earnings remaining in the fund 82.13 established to account for the documents service prescribed by 82.14 section 16B.51 at the end of each fiscal year not otherwise 82.15 needed for present or future operations, as determined by the 82.16 commissioners of administration and finance, must be transferred 82.17 to the general fund. 82.18 Sec. 5. Minnesota Statutes 2004, section 16B.48, 82.19 subdivision 5, is amended to read: 82.20 Subd. 5. [LIQUIDATION.] If theintertechnologies or82.21 general services revolvingfund isfunds are abolished or 82.22 liquidated, the total net profit from the operation of each fund 82.23 must be distributed to the various funds from which purchases 82.24 were made. The amount to be distributed to each fund must bear 82.25 to the net profit the same ratio as the total purchases from 82.26 each fund bears to the total purchases from all the funds during 82.27 the same period of time. 82.28 Sec. 6. Minnesota Statutes 2004, section 16E.01, 82.29 subdivision 1, is amended to read: 82.30 Subdivision 1. [PURPOSECREATION; CHIEF INFORMATION 82.31 OFFICER.] The Office of Enterprise Technology, referred to in 82.32 this chapter as the "office," isunder the supervision of the82.33commissioner of administrationan agency in the executive branch 82.34 headed by the state chief information officer. The appointment 82.35 of the chief information officer is subject to the advice and 82.36 consent of the senate under section 15.066. 83.1 Subd. 1a. [RESPONSIBILITIES.] The office shall 83.2 provide oversight, leadership, and direction for information and 83.3communicationstelecommunications technology policy and the 83.4 management, delivery, and security of information and 83.5 telecommunications technology systems and services in 83.6 Minnesota. The office shallcoordinatemanage strategic 83.7 investments in information andcommunicationstelecommunications 83.8 technology systems and services to encourage the development of 83.9 a technically literate societyand, to ensure sufficient access 83.10 to and efficient delivery of government services, and to 83.11 maximize benefits for the state government as an enterprise. 83.12 Sec. 7. Minnesota Statutes 2004, section 16E.01, 83.13 subdivision 3, is amended to read: 83.14 Subd. 3. [DUTIES.] (a) The office shall: 83.15 (1)coordinatemanage the efficient and effective use of 83.16 available federal, state, local, andprivatepublic-private 83.17 resources to develop statewide information andcommunications83.18 telecommunications technology systems and services and its 83.19 infrastructure; 83.20 (2)reviewapprove state agency and intergovernmental 83.21 information andcommunicationstelecommunications technology 83.22 systems and services development efforts involving state or 83.23 intergovernmental funding, including federal funding, provide 83.24 information to the legislature regarding projects reviewed, and 83.25 recommend projects for inclusion in the governor's budget under 83.26 section 16A.11; 83.27 (3)encourageensure cooperation and collaboration among 83.28 state and local governments in developing intergovernmental 83.29communication andinformation and telecommunications technology 83.30 systems and services, and define the structure and 83.31 responsibilities ofthe Information Policy Councila 83.32 representative governance structure; 83.33 (4) cooperate and collaborate with the legislative and 83.34 judicial branches in the development of information and 83.35 communications systems in those branches; 83.36 (5) continue the development of North Star, the state's 84.1 official comprehensive on-line service and information 84.2 initiative; 84.3 (6) promote and collaborate with the state's agencies in 84.4 the state's transition to an effectively competitive 84.5 telecommunications market; 84.6 (7) collaborate with entities carrying out education and 84.7 lifelong learning initiatives to assist Minnesotans in 84.8 developing technical literacy and obtaining access to ongoing 84.9 learning resources; 84.10 (8) promote and coordinate public information access and 84.11 network initiatives, consistent with chapter 13, to connect 84.12 Minnesota's citizens and communities to each other, to their 84.13 governments, and to the world; 84.14 (9) promote and coordinate electronic commerce initiatives 84.15 to ensure that Minnesota businesses and citizens can 84.16 successfully compete in the global economy; 84.17 (10) manage and promoteand coordinatethe regular and 84.18 periodic reinvestment in thecoreinformationcommunicationsand 84.19 telecommunications technology systems and services 84.20 infrastructure so that state and local government agencies can 84.21 effectively and efficiently serve their customers; 84.22 (11) facilitate the cooperative development of and ensure 84.23 compliance with standards and policies for information and 84.24 telecommunications technology systems and services, electronic 84.25 data practices and privacy, and electronic commerce among 84.26 international, national, state, and local public and private 84.27 organizations;and84.28 (12)work with others to avoideliminate unnecessary 84.29 duplication of existing information and telecommunications 84.30 technology systems and services provided by other public and 84.31 private organizations while building on the existing 84.32 governmental, educational, business, health care, and economic 84.33 development infrastructures; 84.34 (13) identify, sponsor, develop, and execute shared 84.35 information and telecommunications technology projects and 84.36 ongoing operations; and 85.1 (14) ensure overall security of the state's information and 85.2 technology systems and services. 85.3 (b) Thecommissioner of administrationchief information 85.4 officer in consultation with the commissioner of financemay85.5 must determinethatwhen it is cost-effective for agencies to 85.6 develop and use shared information andcommunications85.7 telecommunications technology systems and services for the 85.8 delivery of electronic government services.This determination85.9may be made if an agency proposes a new system that duplicates85.10an existing system, a system in development, or a system being85.11proposed by another agency.Thecommissioner of85.12administrationchief information officer may require agencies to 85.13 use shared information and telecommunications technology systems 85.14 and services. The chief information officer shall establish 85.15 reimbursement rates in cooperation with the commissioner of 85.16 finance to be billed to agencies and other governmental entities 85.17 sufficient to cover the actual development, operating, 85.18 maintenance, and administrative costs of the shared systems. 85.19 The methodology for billing may include the use of interagency 85.20 agreements, or other means as allowed by law. 85.21 Sec. 8. Minnesota Statutes 2004, section 16E.02, is 85.22 amended to read: 85.23 16E.02 [OFFICE OF ENTERPRISE TECHNOLOGY; STRUCTURE AND 85.24 PERSONNEL.] 85.25 Subdivision 1. [OFFICE MANAGEMENT AND STRUCTURE.] (a) The 85.26commissioner of administrationchief information officer is 85.27 appointed by the governor. The chief information officer serves 85.28 in the unclassified service at the pleasure of the governor. 85.29 The chief information officer must have experience leading 85.30 enterprise-level information technology organizations. The 85.31 chief information officer is the state's chief information 85.32 officer and information and telecommunications technology 85.33 advisor to the governor. 85.34 (b) The chief information officer may appoint other 85.35 employees of the office. The staff of the office must include 85.36 individuals knowledgeable in information andcommunications86.1 telecommunications technology systems and services and 86.2 individuals with specialized training in information security. 86.3 Subd. 1a. [ACCOUNTABILITY.] The chief information officer 86.4 reports to the governor. The chief information officer must 86.5 consult regularly with the commissioners of administration, 86.6 finance, human services, revenue, and other commissioners as 86.7 designated by the governor, on technology projects, standards, 86.8 and services as well as management of resources and staff 86.9 utilization. 86.10 Subd. 2. [INTERGOVERNMENTAL PARTICIPATION.] The 86.11commissioner of administrationchief information officer or the 86.12commissioner'schief information officer's designee shall serve 86.13 as a member ofthe Minnesota Education Telecommunications86.14Council,the Geographic Information Systems Council,and the 86.15 Library Planning Task Force,or their respective successor 86.16 organizations,and as a nonvoting member ofMinnesota86.17Technology, Inc. andthe Minnesota Health Data Instituteas a86.18nonvoting member. 86.19 Subd. 3. [ADMINISTRATIVE SUPPORT.] The commissioner of 86.20 administration must provide office space and administrative 86.21 support services to the office. The office must reimburse the 86.22 commissioner for these services. 86.23 Sec. 9. Minnesota Statutes 2004, section 16E.03, 86.24 subdivision 1, is amended to read: 86.25 Subdivision 1. [DEFINITIONS.] For the purposes ofsections86.2616E.03 to 16E.05chapter 16E, the following terms have the 86.27 meanings given them. 86.28 (a) "Information and telecommunications technology systems 86.29 and services" means all computing and telecommunications 86.30 hardware and software, the activities undertaken to secure that 86.31 hardware and software, and the activities undertaken to acquire, 86.32 transport, process, analyze, store, and disseminate information 86.33 electronically. "Information and telecommunications technology 86.34 systems and services" includes all proposed expenditures for 86.35 computing and telecommunications hardware and software, security 86.36 for that hardware and software, and related consulting or other 87.1 professional services. 87.2(a)(b) "Information andcommunicationstelecommunications 87.3 technology project" meansthe development or acquisition of87.4information and communications technology devices and systems,87.5but does not include the state information infrastructure or its87.6contractors.87.7(b) "Data processing device or system" means equipment or87.8computer programs, including computer hardware, firmware,87.9software, and communication protocols, used in connection with87.10the processing of information through electronic data processing87.11means, and includes data communication devices used in87.12connection with computer facilities for the transmission of data.87.13 an effort to acquire or produce information and 87.14 telecommunications technology systems and services. 87.15 (c) "Telecommunications" means voice, video, and data 87.16 electronic transmissions transported by wire, wireless, 87.17 fiber-optic, radio, or other available transport technology. 87.18 (d) "Cyber security" means the protection of data and 87.19 systems in networks connected to the Internet. 87.20(c)(e) "State agency" means an agency in the executive 87.21 branch of state government and includes the Minnesota Higher 87.22 Education Services Office, but does not include the Minnesota 87.23 State Colleges and Universities unless specifically provided 87.24 elsewhere in this chapter. 87.25 Sec. 10. Minnesota Statutes 2004, section 16E.03, 87.26 subdivision 2, is amended to read: 87.27 Subd. 2. [COMMISSIONER'SCHIEF INFORMATION OFFICER 87.28 RESPONSIBILITY.] Thecommissionerchief information officer 87.29 shall coordinate the state's information andcommunications87.30 telecommunications technology systems and services to serve the 87.31 needs of the state government. Thecommissionerchief 87.32 information officer shall: 87.33 (1)coordinate thedesignofa master plan for information 87.34 andcommunicationstelecommunications technology systems and 87.35 services in the state and its political subdivisions and shall 87.36 report on the plan to the governor and legislature at the 88.1 beginning of each regular session; 88.2 (2) coordinate, review, and approve all information and 88.3communicationstelecommunications technologyplans and contracts88.4 projects and oversee the state's information andcommunications88.5 telecommunications technology systems and services; 88.6 (3) establish and enforce compliance with standards for 88.7 information andcommunicationstelecommunications technology 88.8 systems and services thatencourage competitionare 88.9 cost-effective and support open systems environments and that 88.10 are compatible with state, national, and international 88.11 standards;and88.12 (4) maintain a library of systems and programs developed by 88.13 the state and its political subdivisions for use by agencies of 88.14 government; 88.15 (5) direct and manage the shared operations of the state's 88.16 information and telecommunications technology systems and 88.17 services; and 88.18 (6) establish and enforce standards and ensure acquisition 88.19 of hardware and software necessary to protect data and systems 88.20 in state agency networks connected to the Internet. 88.21 Sec. 11. Minnesota Statutes 2004, section 16E.03, 88.22 subdivision 3, is amended to read: 88.23 Subd. 3. [EVALUATION AND APPROVAL.] A state agency may not 88.24 undertake an information andcommunicationstelecommunications 88.25 technology project until it has been evaluated according to the 88.26 procedures developed under subdivision 4. Thegovernor or88.27governor's designeechief information officer shall give written 88.28 approval of the proposed project.If the proposed project is88.29not approvedWhen notified by the chief information officer that 88.30 a project has not been approved, the commissioner of finance 88.31 shall cancel the unencumbered balance of any appropriation 88.32 allotted for the project.This subdivision does not apply to88.33acquisitions or development of information and communications88.34systems that have anticipated total cost of less than $100,000.88.35The Minnesota State Colleges and Universities shall submit for88.36approval any project related to acquisitions or development of89.1information and communications systems that has a total89.2anticipated cost of more than $250,000.89.3 Sec. 12. Minnesota Statutes 2004, section 16E.03, 89.4 subdivision 7, is amended to read: 89.5 Subd. 7. [DATACYBER SECURITY SYSTEMS.] In consultation 89.6 with the attorney general and appropriate agency heads, the 89.7commissionerchief information officer shall developdatacyber 89.8 security policies, guidelines, and standards, andthe89.9commissioner of administrationshall install and administer 89.10 state data security systems on the state'scentralizedcomputer 89.11facilityfacilities consistent with these policies, guidelines, 89.12 standards, and state law to ensure the integrity of 89.13 computer-based and other data and to ensure applicable 89.14 limitations on access to data, consistent with the public's 89.15 right to know as defined in chapter 13. The chief information 89.16 officer is responsible for overall security of state agency 89.17 networks connected to the Internet. Each department or agency 89.18 head is responsible for the security of the department's or 89.19 agency's data within the guidelines of established enterprise 89.20 policy. 89.21 Sec. 13. Minnesota Statutes 2004, section 16E.04, is 89.22 amended to read: 89.23 16E.04 [INFORMATION ANDCOMMUNICATIONSTELECOMMUNICATIONS 89.24 TECHNOLOGY POLICY.] 89.25 Subdivision 1. [DEVELOPMENT.] The office shallcoordinate89.26with state agencies in developing and establishingdevelop, 89.27 establish, and enforce policies and standards for state agencies 89.28 to follow in developing and purchasing information and 89.29communicationstelecommunications technology systems and 89.30 services and training appropriate persons in their use. The 89.31 office shall develop, promote, andcoordinatemanage state 89.32 technology, architecture, standards and guidelines, information 89.33 needs analysis techniques, contracts for the purchase of 89.34 equipment and services, and training of state agency personnel 89.35 on these issues. 89.36 Subd. 2. [RESPONSIBILITIES.] (a) In addition to other 90.1 activities prescribed by law, the office shall carry out the 90.2 duties set out in this subdivision. 90.3 (b) The office shall develop and establish a state 90.4 information architecture to ensure thatfurtherstate agency 90.5 development and purchase of information and communications 90.6 systems, equipment, and services is designed to ensure that 90.7 individual agency information systems complement and do not 90.8 needlessly duplicate or conflict with the systems of other 90.9 agencies. When state agencies have need for the same or similar 90.10 public data, thecommissionerchief information officer, in 90.11 coordination with the affected agencies, shallpromotemanage 90.12 the most efficient and cost-effective method of producing and 90.13 storing data for or sharing data between those agencies. The 90.14 development of this information architecture must include the 90.15 establishment of standards and guidelines to be followed by 90.16 state agencies. The office shall ensure compliance with the 90.17 architecture. 90.18 (c) The office shall assist state agencies in the planning 90.19 and management of information systems so that an individual 90.20 information system reflects and supports the state agency's 90.21 mission and the state's requirements and functions. The office 90.22 shall review and approve agency technology plans to ensure 90.23 consistency with enterprise information and telecommunications 90.24 technology strategy. 90.25 (d) The office shall review and approve agency requests for 90.26legislative appropriationsfunding for the development or 90.27 purchase of information systems equipment or software before the 90.28 requests may be included in the governor's budget. 90.29 (e) The office shall review major purchases of information 90.30 systems equipment to: 90.31 (1) ensure that the equipment follows the standards and 90.32 guidelines of the state information architecture; 90.33 (2) ensurethat the equipment is consistent with the90.34information management principles adopted by the Information90.35Policy Council;90.36(3) evaluate whetherthe agency's proposed purchase 91.1 reflects a cost-effective policy regarding volume purchasing; 91.2 and 91.3(4)(3) ensure that the equipment is consistent with other 91.4 systems in other state agencies so that data can be shared among 91.5 agencies, unless the office determines that the agency 91.6 purchasing the equipment has special needs justifying the 91.7 inconsistency. 91.8 (f) The office shall review the operation of information 91.9 systems by state agencies andprovide advice and assistance to91.10 ensure that these systems are operated efficiently and securely 91.11 and continually meet the standards and guidelines established by 91.12 the office. The standards and guidelines must emphasize 91.13 uniformity that is cost-effective for the enterprise, that 91.14 encourages information interchange, open systems environments, 91.15 and portability of information whenever practicable and 91.16 consistent with an agency's authority and chapter 13. 91.17 (g) The office shall conduct a comprehensive review at 91.18 least every three years of the information systems investments 91.19 that have been made by state agencies and higher education 91.20 institutions. The review must include recommendations on any 91.21 information systems applications that could be provided in a 91.22 more cost-beneficial manner by an outside source. The office 91.23 must report the results of its review to the legislature and the 91.24 governor. 91.25 Subd. 3. [RISK ASSESSMENT AND MITIGATION.] (a) A risk 91.26 assessment and risk mitigation plan are required foranall 91.27 information systems developmentproject estimated to cost more91.28than $1,000,000 that isprojects undertaken by a state agency in 91.29 the executive or judicial branch or by a constitutional officer. 91.30 Thecommissioner of administrationchief information officer 91.31 must contract with an entity outside of state government to 91.32 conduct the initial assessment and prepare the mitigation plan 91.33 for a project estimated to cost more than $5,000,000. The 91.34 outside entity conducting the risk assessment and preparing the 91.35 mitigation plan must not have any other direct or indirect 91.36 financial interest in the project. The risk assessment and risk 92.1 mitigation plan must provide for periodic monitoring by the 92.2 commissioner until the project is completed. 92.3 (b) The risk assessment and risk mitigation plan must be 92.4 paid for with money appropriated for the informationsystems92.5developmentand telecommunications technology project. The 92.6 chief information officer must notify the commissioner of 92.7 finance when work has begun on a project and must identify the 92.8 proposed budget for the project. The commissioner of finance 92.9 shall ensure that no more than ten percent of theamount92.10anticipated toproposed budget be spent on the project, other 92.11 than the money spent on the risk assessment and risk mitigation 92.12 plan,may beis spent until the risk assessment and mitigation 92.13 plan are reported to thecommissioner of administrationchief 92.14 information officer and thecommissionerchief information 92.15 officer has approved the risk mitigation plan. 92.16 Sec. 14. Minnesota Statutes 2004, section 16E.0465, 92.17 subdivision 1, is amended to read: 92.18 Subdivision 1. [APPLICATION.] This section applies to an 92.19 appropriation of more than $1,000,000 of state or federal funds 92.20 to a state agency for any information andcommunications92.21 telecommunications technology projector data processing device92.22or systemor for any phase of such a project, device, or 92.23 system. For purposes of this section, an appropriation of state 92.24 or federal funds to a state agency includes an appropriation: 92.25 (1)to the Minnesota State Colleges and Universities;92.26(2)to a constitutional officer; 92.27(3)(2) for a project that includes both a state agency and 92.28 units of local government; and 92.29(4)(3) to a state agency for grants to be made to other 92.30 entities. 92.31 Sec. 15. Minnesota Statutes 2004, section 16E.0465, 92.32 subdivision 2, is amended to read: 92.33 Subd. 2. [REQUIRED REVIEW AND APPROVAL.] (a) A state 92.34 agency receiving an appropriation for an information and 92.35communicationstelecommunications technology projector data92.36processing device or systemsubject to this section must divide 93.1 the project into phases. 93.2 (b) The commissioner of finance may not authorize the 93.3 encumbrance or expenditure of an appropriation of state funds to 93.4 a state agency for any phase of a project, device, or system 93.5 subject to this section unless the Office of Enterprise 93.6 Technology has reviewed each phase of the project, device, or 93.7 system, and based on this review, thecommissioner of93.8administrationchief information officer has determined for each 93.9 phase that: 93.10 (1) the project is compatible with the state information 93.11 architecture and other policies and standards established by the 93.12commissioner of administrationchief information officer;and93.13 (2) the agency is able to accomplish the goals of the phase 93.14 of the project with the funds appropriated; and 93.15 (3) the project supports the enterprise information 93.16 technology strategy. 93.17 Sec. 16. Minnesota Statutes 2004, section 16E.055, is 93.18 amended to read: 93.19 16E.055 [COMMON WEB FORMATELECTRONIC GOVERNMENT SERVICES.] 93.20 A state agency that implements electronic government 93.21 services for fees, licenses, sales, or other purposes must usea93.22common Web page format approved by the commissioner of93.23administration for those electronic government services. The93.24commissioner may create athe single entry site created by the 93.25 chief information officer for all agencies to use for electronic 93.26 government services. 93.27 Sec. 17. Minnesota Statutes 2004, section 16E.07, 93.28 subdivision 8, is amended to read: 93.29 Subd. 8. [SECURE TRANSACTION SYSTEM.] The office shall 93.30 plan and develop a secure transaction system to support delivery 93.31 of government services electronically. A state agency that 93.32 implements electronic government services for fees, licenses, 93.33 sales, or other purposes must use the secure transaction system 93.34 developed in accordance with this section. 93.35 Sec. 18. [16E.14] [ENTERPRISE TECHNOLOGY REVOLVING FUND.] 93.36 Subdivision 1. [CREATION.] The enterprise technology 94.1 revolving fund is created in the state treasury. 94.2 Subd. 2. [APPROPRIATION AND USES OF FUND.] Money in the 94.3 enterprise technology revolving fund is appropriated annually to 94.4 the chief information officer to operate information and 94.5 telecommunications services, including management, consultation, 94.6 and design services. 94.7 Subd. 3. [REIMBURSEMENTS.] Except as specifically provided 94.8 otherwise by law, each agency shall reimburse the enterprise 94.9 technology revolving fund for the cost of all services, 94.10 supplies, materials, labor, and depreciation of equipment, 94.11 including reasonable overhead costs, which the chief information 94.12 officer is authorized and directed to furnish an agency. The 94.13 chief information officer shall report the rates to be charged 94.14 for the revolving fund no later than July 1 each year to the 94.15 chair of the committee or division in the senate and house of 94.16 representatives with primary jurisdiction over the budget of the 94.17 Office of Enterprise Technology. 94.18 Subd. 4. [CASH FLOW.] The commissioner of finance shall 94.19 make appropriate transfers to the revolving fund when requested 94.20 by the chief information officer. The chief information officer 94.21 may make allotments and encumbrances in anticipation of such 94.22 transfers. In addition, the chief information officer, with the 94.23 approval of the commissioner of finance, may require an agency 94.24 to make advance payments to the revolving fund sufficient to 94.25 cover the office's estimated obligation for a period of at least 94.26 60 days. All reimbursements and other money received by the 94.27 chief information officer under this section must be deposited 94.28 in the enterprise technology revolving fund. 94.29 Subd. 5. [LIQUIDATION.] If the enterprise technology 94.30 revolving fund is abolished or liquidated, the total net profit 94.31 from the operation of the fund must be distributed to the 94.32 various funds from which purchases were made. The amount to be 94.33 distributed to each fund must bear to the net profit the same 94.34 ratio as the total purchases from each fund bears to the total 94.35 purchases from all the funds during the same period of time. 94.36 Sec. 19. Minnesota Statutes 2004, section 299C.65, 95.1 subdivision 1, is amended to read: 95.2 Subdivision 1. [MEMBERSHIP, DUTIES.] (a) The Criminal and 95.3 Juvenile Justice Information Policy Group consists of the 95.4 commissioner of corrections, the commissioner of public safety, 95.5 thecommissioner of administrationstate chief information 95.6 officer, the commissioner of finance, and four members of the 95.7 judicial branch appointed by the chief justice of the Supreme 95.8 Court. The policy group may appoint additional, nonvoting 95.9 members as necessary from time to time. 95.10 (b) The commissioner of public safety is designated as the 95.11 chair of the policy group. The commissioner and the policy 95.12 group have overall responsibility for the successful completion 95.13 of statewide criminal justice information system integration 95.14 (CriMNet). The policy group may hire a program manager to 95.15 manage the CriMNet projects and to be responsible for the 95.16 day-to-day operations of CriMNet. The policy group must ensure 95.17 that generally accepted project management techniques are 95.18 utilized for each CriMNet project, including: 95.19 (1) clear sponsorship; 95.20 (2) scope management; 95.21 (3) project planning, control, and execution; 95.22 (4) continuous risk assessment and mitigation; 95.23 (5) cost management; 95.24 (6) quality management reviews; 95.25 (7) communications management; and 95.26 (8) proven methodology. 95.27 (c) Products and services for CriMNet project management, 95.28 system design, implementation, and application hosting must be 95.29 acquired using an appropriate procurement process, which 95.30 includes: 95.31 (1) a determination of required products and services; 95.32 (2) a request for proposal development and identification 95.33 of potential sources; 95.34 (3) competitive bid solicitation, evaluation, and 95.35 selection; and 95.36 (4) contract administration and close-out. 96.1 (d) The policy group shall study and make recommendations 96.2 to the governor, the Supreme Court, and the legislature on: 96.3 (1) a framework for integrated criminal justice information 96.4 systems, including the development and maintenance of a 96.5 community data model for state, county, and local criminal 96.6 justice information; 96.7 (2) the responsibilities of each entity within the criminal 96.8 and juvenile justice systems concerning the collection, 96.9 maintenance, dissemination, and sharing of criminal justice 96.10 information with one another; 96.11 (3) actions necessary to ensure that information maintained 96.12 in the criminal justice information systems is accurate and 96.13 up-to-date; 96.14 (4) the development of an information system containing 96.15 criminal justice information on gross misdemeanor-level and 96.16 felony-level juvenile offenders that is part of the integrated 96.17 criminal justice information system framework; 96.18 (5) the development of an information system containing 96.19 criminal justice information on misdemeanor arrests, 96.20 prosecutions, and convictions that is part of the integrated 96.21 criminal justice information system framework; 96.22 (6) comprehensive training programs and requirements for 96.23 all individuals in criminal justice agencies to ensure the 96.24 quality and accuracy of information in those systems; 96.25 (7) continuing education requirements for individuals in 96.26 criminal justice agencies who are responsible for the 96.27 collection, maintenance, dissemination, and sharing of criminal 96.28 justice data; 96.29 (8) a periodic audit process to ensure the quality and 96.30 accuracy of information contained in the criminal justice 96.31 information systems; 96.32 (9) the equipment, training, and funding needs of the state 96.33 and local agencies that participate in the criminal justice 96.34 information systems; 96.35 (10) the impact of integrated criminal justice information 96.36 systems on individual privacy rights; 97.1 (11) the impact of proposed legislation on the criminal 97.2 justice system, including any fiscal impact, need for training, 97.3 changes in information systems, and changes in processes; 97.4 (12) the collection of data on race and ethnicity in 97.5 criminal justice information systems; 97.6 (13) the development of a tracking system for domestic 97.7 abuse orders for protection; 97.8 (14) processes for expungement, correction of inaccurate 97.9 records, destruction of records, and other matters relating to 97.10 the privacy interests of individuals; and 97.11 (15) the development of a database for extended 97.12 jurisdiction juvenile records and whether the records should be 97.13 public or private and how long they should be retained. 97.14 Sec. 20. Minnesota Statutes 2004, section 299C.65, 97.15 subdivision 2, is amended to read: 97.16 Subd. 2. [REPORT, TASK FORCE.] (a) The policy group shall 97.17 file an annual report with the governor, Supreme Court, and 97.18 chairs and ranking minority members of the senate and house 97.19 committees and divisions with jurisdiction over criminal justice 97.20 funding and policy by December 1 of each year. 97.21 (b) The report must make recommendations concerning any 97.22 legislative changes or appropriations that are needed to ensure 97.23 that the criminal justice information systems operate accurately 97.24 and efficiently. To assist them in developing their 97.25 recommendations, the policy group shall appoint a task force 97.26 consisting of its members or their designees and the following 97.27 additional members: 97.28 (1) the director of the Office of Strategic and Long-Range 97.29 Planning; 97.30 (2) two sheriffs recommended by the Minnesota Sheriffs 97.31 Association; 97.32 (3) two police chiefs recommended by the Minnesota Chiefs 97.33 of Police Association; 97.34 (4) two county attorneys recommended by the Minnesota 97.35 County Attorneys Association; 97.36 (5) two city attorneys recommended by the Minnesota League 98.1 of Cities; 98.2 (6) two public defenders appointed by the Board of Public 98.3 Defense; 98.4 (7) two district judges appointed by the Conference of 98.5 Chief Judges, one of whom is currently assigned to the juvenile 98.6 court; 98.7 (8) two community corrections administrators recommended by 98.8 the Minnesota Association of Counties, one of whom represents a 98.9 community corrections act county; 98.10 (9) two probation officers; 98.11 (10) four public members, one of whom has been a victim of 98.12 crime, and two who are representatives of the private business 98.13 community who have expertise in integrated information systems; 98.14 (11) two court administrators; 98.15 (12) one member of the house of representatives appointed 98.16 by the speaker of the house; 98.17 (13) one member of the senate appointed by the majority 98.18 leader; 98.19 (14) the attorney general or a designee; 98.20 (15) thecommissioner of administrationstate chief 98.21 information officer or a designee; 98.22 (16) an individual recommended by the Minnesota League of 98.23 Cities; and 98.24 (17) an individual recommended by the Minnesota Association 98.25 of Counties. 98.26 In making these appointments, the appointing authority shall 98.27 select members with expertise in integrated data systems or best 98.28 practices. 98.29 (c) The commissioner of public safety may appoint 98.30 additional, nonvoting members to the task force as necessary 98.31 from time to time. 98.32 Sec. 21. Minnesota Statutes 2004, section 403.36, 98.33 subdivision 1, is amended to read: 98.34 Subdivision 1. [MEMBERSHIP.] (a) The commissioner of 98.35 public safety shall convene and chair the Statewide Radio Board 98.36 to develop a project plan for a statewide, shared, trunked 99.1 public safety radio communication system. The system may be 99.2 referred to as "Allied Radio Matrix for Emergency Response," or 99.3 "ARMER." 99.4 (b) The board consists of the following members or their 99.5 designees: 99.6 (1) the commissioner of public safety; 99.7 (2) the commissioner of transportation; 99.8 (3) thecommissioner of administrationstate chief 99.9 information officer; 99.10 (4) the commissioner of natural resources; 99.11 (5) the chief of the Minnesota State Patrol; 99.12 (6) the commissioner of health; 99.13 (7) the commissioner of finance; 99.14 (8) two elected city officials, one from the nine-county 99.15 metropolitan area and one from Greater Minnesota, appointed by 99.16 the governing body of the League of Minnesota Cities; 99.17 (9) two elected county officials, one from the nine-county 99.18 metropolitan area and one from Greater Minnesota, appointed by 99.19 the governing body of the Association of Minnesota Counties; 99.20 (10) two sheriffs, one from the nine-county metropolitan 99.21 area and one from Greater Minnesota, appointed by the governing 99.22 body of the Minnesota Sheriffs' Association; 99.23 (11) two chiefs of police, one from the nine-county 99.24 metropolitan area and one from Greater Minnesota, appointed by 99.25 the governor after considering recommendations made by the 99.26 Minnesota Chiefs' of Police Association; 99.27 (12) two fire chiefs, one from the nine-county metropolitan 99.28 area and one from Greater Minnesota, appointed by the governor 99.29 after considering recommendations made by the Minnesota Fire 99.30 Chiefs' Association; 99.31 (13) two representatives of emergency medical service 99.32 providers, one from the nine-county metropolitan area and one 99.33 from Greater Minnesota, appointed by the governor after 99.34 considering recommendations made by the Minnesota Ambulance 99.35 Association; 99.36 (14) the chair of the Metropolitan Radio Board; and 100.1 (15) a representative of Greater Minnesota elected by those 100.2 units of government in phase three and any subsequent phase of 100.3 development as defined in the statewide, shared radio and 100.4 communication plan, who have submitted a plan to the Statewide 100.5 Radio Board and where development has been initiated. 100.6 (c) The Statewide Radio Board shall coordinate the 100.7 appointment of board members representing Greater Minnesota with 100.8 the appointing authorities and may designate the geographic 100.9 region or regions from which an appointed board member is 100.10 selected where necessary to provide representation from 100.11 throughout the state. 100.12 Sec. 22. [TRANSFER OF DUTIES.] 100.13 Responsibilities of the commissioner of administration for 100.14 state telecommunications systems, state information 100.15 infrastructure, and electronic conduct of state business under 100.16 Minnesota Statutes, sections 16B.405; 16B.44; 16B.46; 16B.465; 100.17 16B.466; and 16B.467, are transferred to the Office of 100.18 Enterprise Technology. All positions in the Office of 100.19 Technology and the Intertechnologies Group are transferred to 100.20 the Office of Enterprise Technology. Minnesota Statutes, 100.21 section 15.039, applies to the transfer of responsibilities in 100.22 this section. 100.23 Sec. 23. [REVISOR INSTRUCTION.] 100.24 In the next and subsequent editions of Minnesota Statutes, 100.25 the revisor of statutes shall: 100.26 (1) substitute the term "chief information officer" for 100.27 "commissioner" and "commissioner of administration" in the 100.28 following sections: 16B.405; 16B.44; 16B.46; 16B.465; 16B.466; 100.29 16B.467; 16E.03, subdivisions 4, 5, 6, and 8; 16E.035; and 100.30 16E.07, subdivision 4; 100.31 (2) substitute the term "Office of Enterprise Technology" 100.32 for the term "Office of Technology"; and 100.33 (3) recodify the following sections into chapter 16E: 100.34 16B.405; 16B.44; 16B.46; 16B.465; 16B.466; and 16B.467. 100.35 Sec. 24. [REPEALER.] 100.36 Minnesota Statutes 2004, sections 16B.48, subdivision 3; 101.1 and 16E.0465, subdivision 3, are repealed. 101.2 ARTICLE 6 101.3 ELECTIONS AND CAMPAIGN FINANCE 101.4 Section 1. Minnesota Statutes 2004, section 10A.01, 101.5 subdivision 5, is amended to read: 101.6 Subd. 5. [ASSOCIATED BUSINESS.] "Associated business" 101.7 means an association, corporation, partnership, limited 101.8 liability company, limited liability partnership, or other 101.9 organized legal entity from which the individual receives 101.10 compensation in excess of $50, except for actual and reasonable 101.11 expenses, in any month as a director, officer, owner, member, 101.12 partner, employer or employee, or whose securities the 101.13 individual holds worth $2,500 or more at fair market value. 101.14 Sec. 2. Minnesota Statutes 2004, section 10A.01, 101.15 subdivision 26, is amended to read: 101.16 Subd. 26. [NONCAMPAIGN DISBURSEMENT.] "Noncampaign 101.17 disbursement" means a purchase or payment of money or anything 101.18 of value made, or an advance of credit incurred, or a donation 101.19 in kind received, by a principal campaign committee for any of 101.20 the following purposes: 101.21 (1) payment for accounting and legal services; 101.22 (2) return of a contribution to the source; 101.23 (3) repayment of a loan made to the principal campaign 101.24 committee by that committee; 101.25 (4) return of a public subsidy; 101.26 (5) payment for food, beverages, entertainment, and 101.27 facility rental for a fund-raising event; 101.28 (6) services for a constituent by a member of the 101.29 legislature or a constitutional officer in the executive branch, 101.30 including the costs of preparing and distributing a suggestion 101.31 or idea solicitation to constituents, performed from the 101.32 beginning of the term of office to adjournment sine die of the 101.33 legislature in the election year for the office held, and half 101.34 the cost of services for a constituent by a member of the 101.35 legislature or a constitutional officer in the executive branch 101.36 performed from adjournment sine die to 60 days after adjournment 102.1 sine die; 102.2 (7) payment for food and beveragesprovided to campaign102.3 consumed by a candidate or volunteers while they are engaged in 102.4 campaign activities; 102.5 (8) payment for food or a beverage consumed while attending 102.6 a reception or meeting directly related to legislative duties; 102.7 (9) payment of expenses incurred by elected or appointed 102.8 leaders of a legislative caucus in carrying out their leadership 102.9 responsibilities; 102.10(9)(10) payment by a principal campaign committee of the 102.11 candidate's expenses for serving in public office, other than 102.12 for personal uses; 102.13(10)(11) costs of child care for the candidate's children 102.14 when campaigning; 102.15(11)(12) fees paid to attend a campaign school; 102.16(12)(13) costs of a postelection party during the election 102.17 year when a candidate's name will no longer appear on a ballot 102.18 or the general election is concluded, whichever occurs first; 102.19(13)(14) interest on loans paid by a principal campaign 102.20 committee on outstanding loans; 102.21(14)(15) filing fees; 102.22(15)(16) post-general election thank-you notes or 102.23 advertisements in the news media; 102.24(16)(17) the cost of campaign material purchased to 102.25 replace defective campaign material, if the defective material 102.26 is destroyed without being used; 102.27(17)(18) contributions to a party unit;and102.28(18)(19) payments for funeral gifts or memorials; and 102.29 (20) other purchases or payments specified in board rules 102.30 or advisory opinions as being for any purpose other than to 102.31 influence the nomination or election of a candidate or to 102.32 promote or defeat a ballot question. 102.33 The board must determine whether an activity involves a 102.34 noncampaign disbursement within the meaning of this subdivision. 102.35 A noncampaign disbursement is considered to be made in the 102.36 year in which the candidate made the purchase of goods or 103.1 services or incurred an obligation to pay for goods or services. 103.2 Sec. 3. Minnesota Statutes 2004, section 10A.025, is 103.3 amended by adding a subdivision to read: 103.4 Subd. 1a. [ELECTRONIC FILING.] A report or statement 103.5 required to be filed under this chapter may be filed 103.6 electronically. The board shall adopt rules to regulate 103.7 electronic filing and to ensure that the electronic filing 103.8 process is secure. 103.9 Sec. 4. Minnesota Statutes 2004, section 10A.071, 103.10 subdivision 3, is amended to read: 103.11 Subd. 3. [EXCEPTIONS.] (a) The prohibitions in this 103.12 section do not apply if the gift is: 103.13 (1) a contribution as defined in section 10A.01, 103.14 subdivision 11; 103.15 (2) services to assist an official in the performance of 103.16 official duties, including but not limited to providing advice, 103.17 consultation, information, and communication in connection with 103.18 legislation, and services to constituents; 103.19 (3) services of insignificant monetary value; 103.20 (4) a plaque or similar memento recognizing individual 103.21 services in a field of specialty or to a charitable cause; 103.22 (5) a trinket or mementoof insignificant valuecosting $5 103.23 or less; 103.24 (6) informational material of unexceptional value; or 103.25 (7) food or a beverage given at a reception, meal, or 103.26 meeting away from the recipient's place of work by an 103.27 organization before whom the recipient appears to make a speech 103.28 or answer questions as part of a program. 103.29 (b) The prohibitions in this section do not apply if the 103.30 gift is given: 103.31 (1) because of the recipient's membership in a group, a 103.32 majority of whose members are not officials, and an equivalent 103.33 gift is given to the other members of the group; or 103.34 (2) by a lobbyist or principal who is a member of the 103.35 family of the recipient, unless the gift is given on behalf of 103.36 someone who is not a member of that family. 104.1 Sec. 5. Minnesota Statutes 2004, section 10A.08, is 104.2 amended to read: 104.3 10A.08 [REPRESENTATION DISCLOSURE.] 104.4 A public official who represents a client for a fee before 104.5 an individual, board, commission, or agency that has rulemaking 104.6 authority in a hearing conducted under chapter 14, must disclose 104.7 the official's participation in the action to the board within 104.8 14 days after the appearance. The board must send a notice by 104.9 certified mail to any public official who fails to disclose the 104.10 participation within 14 days after the appearance. If the 104.11 public official fails to disclose the participation within ten 104.12 business days after the notice was sent, the board may impose a 104.13 late filing fee of $5 per day, not to exceed $100, starting on 104.14 the 11th day after the notice was sent. The board must send an 104.15 additional notice by certified mail to a public official who 104.16 fails to disclose the participation within 14 days after the 104.17 first notice was sent by the board that the public official may 104.18 be subject to a civil penalty for failure to disclose the 104.19 participation. A public official who fails to disclose the 104.20 participation within seven days after the second notice was sent 104.21 by the board is subject to a civil penalty imposed by the board 104.22 of up to $1,000. 104.23 Sec. 6. Minnesota Statutes 2004, section 10A.20, 104.24 subdivision 5, is amended to read: 104.25 Subd. 5. [PREELECTION REPORTS.] In a statewide election 104.26 any loan, contribution, or contributions from any one source 104.27 totaling $2,000 or more, or in any judicial district or 104.28 legislative election totaling more than $400, received between 104.29 the last day covered in the last report before an election and 104.30 the election must be reported to the board in one of the 104.31 following ways: 104.32 (1) in person within 48 hours after its receipt; 104.33 (2) by telegram or mailgram within 48 hours after its 104.34 receipt;or104.35 (3) by certified mail sent within 48 hours after its 104.36 receipt; or 105.1 (4) by electronic means sent within 48 hours after its 105.2 receipt. 105.3 These loans and contributions must also be reported in the 105.4 next required report. 105.5 The 48-hour notice requirement does not apply with respect 105.6 to a primary in which the statewide or legislative candidate is 105.7 unopposed. 105.8 Sec. 7. Minnesota Statutes 2004, section 10A.27, 105.9 subdivision 1, is amended to read: 105.10 Subdivision 1. [CONTRIBUTION LIMITS.] (a) Except as 105.11 provided in subdivision 2, a candidate must not permit the 105.12 candidate's principal campaign committee to accept aggregate 105.13 contributions made or delivered by any individual, political 105.14 committee, or political fund in excess of the following: 105.15 (1) to candidates for governor and lieutenant governor 105.16 running together, $2,000 in an election year for the office 105.17 sought and $500 in other years; 105.18 (2) to a candidate for attorney general, $1,000 in an 105.19 election year for the office sought and $200 in other years; 105.20 (3) to a candidate for the office of secretary of state or 105.21 state auditor, $500 in an election year for the office sought 105.22 and $100 in other years; 105.23 (4) to a candidate for state senator, $500 in an election 105.24 year for the office sought and $100 in other years; and 105.25 (5) to a candidate for state representative, $500 in an 105.26 election year for the office sought and $100 in the other year. 105.27 (b) The following deliveries are not subject to the 105.28 bundling limitation in this subdivision: 105.29 (1) delivery of contributions collected by a member of the 105.30 candidate's principal campaign committee, such as a block worker 105.31 or a volunteer who hosts a fund-raising event, to the 105.32 committee's treasurer; and 105.33 (2) a delivery made by an individual on behalf of the 105.34 individual's spouse. 105.35 (c) A lobbyist, political committee, political party unit, 105.36 or political fund must not make a contribution a candidate is 106.1 prohibited from accepting. 106.2 Sec. 8. Minnesota Statutes 2004, section 10A.28, 106.3 subdivision 2, is amended to read: 106.4 Subd. 2. [EXCEEDING CONTRIBUTION LIMITS.]A political106.5committee, political fund, or principal campaign committee that106.6makes a contribution, or a candidate who permits the candidate's106.7principal campaign committee to accept contributions, in excess106.8of the limits imposed by section 10A.27 is subject to a civil106.9penalty of up to four times the amount by which the contribution106.10exceeded the limits.The following are subject to a civil 106.11 penalty of up to four times the amount by which a contribution 106.12 exceeds the applicable limits: 106.13 (1) a lobbyist, political committee, or political fund that 106.14 makes a contribution in excess of the limits imposed by section 106.15 10A.27, subdivisions 1 and 8; 106.16 (2) a principal campaign committee that makes a 106.17 contribution in excess of the limits imposed by section 10A.27, 106.18 subdivision 2; 106.19 (3) a political party unit that makes a contribution in 106.20 excess of the limits imposed by section 10A.27, subdivisions 2 106.21 and 8; or 106.22 (4) a candidate who permits the candidate's principal 106.23 campaign committee to accept contributions in excess of the 106.24 limits imposed by section 10A.27. 106.25 Sec. 9. Minnesota Statutes 2004, section 10A.31, 106.26 subdivision 4, is amended to read: 106.27 Subd. 4. [APPROPRIATION.] (a) The amounts designated by 106.28 individuals for the state elections campaign fund, less three 106.29 percent, are appropriated from the general fund, must be 106.30 transferred and credited to the appropriate account in the state 106.31 elections campaign fund, and are annually appropriated for 106.32 distribution as set forth in subdivisions 5, 5a, 6, and 7. The 106.33 remaining three percent must be kept in the general fund for 106.34 administrative costs. 106.35 (b) In addition to the amounts in paragraph 106.36 (a),$1,500,000$1,250,000 for each general election is 107.1 appropriated from the general fund for transfer to the general 107.2 account of the state elections campaign fund. 107.3 Of this appropriation, $65,000 each fiscal year must be set 107.4 aside to pay assessments made by the Office of Administrative 107.5 Hearings under section 211B.37. Amounts remaining after all 107.6 assessments have been paid must be canceled to the general 107.7 account. 107.8 Sec. 10. Minnesota Statutes 2004, section 10A.31, 107.9 subdivision 5, is amended to read: 107.10 Subd. 5. [ALLOCATION.] (a) [GENERAL ACCOUNT.] In each 107.11 calendar year the money in the general account must be allocated 107.12 to candidates as follows: 107.13 (1) 21 percent for the offices of governor and lieutenant 107.14 governor together; 107.15 (2) 4.2 percent for the office of attorney general; 107.16 (3) 2.4 percent each for the offices of secretary of state 107.17 and state auditor; 107.18 (4) in each calendar year during the period in which state 107.19 senators serve a four-year term, 23-1/3 percent for the office 107.20 of state senator, and 46-2/3 percent for the office of state 107.21 representative; and 107.22 (5) in each calendar year during the period in which state 107.23 senators serve a two-year term, 35 percent each for the offices 107.24 of state senator and state representative. 107.25 (b) [PARTY ACCOUNT.] In each calendar year the money in 107.26 each party account must be allocated as follows: 107.27 (1) 14 percent for the offices of governor and lieutenant 107.28 governor together; 107.29 (2) 2.8 percent for the office of attorney general; 107.30 (3) 1.6 percent each for the offices of secretary of state 107.31 and state auditor; 107.32 (4) in each calendar year during the period in which state 107.33 senators serve a four-year term, 23-1/3 percent for the office 107.34 of state senator, and 46-2/3 percent for the office of state 107.35 representative; 107.36 (5) in each calendar year during the period in which state 108.1 senators serve a two-year term, 35 percent each for the offices 108.2 of state senator and state representative; and 108.3 (6) ten percent or $50,000, whichever is less, for the 108.4 state committee of a political party; one-third of any amount in 108.5 excess of that allocated to the state committee of a political 108.6 party under this clause must be allocated to the office of state 108.7 senator and two-thirds must be allocated to the office of state 108.8 representative under clause (4). 108.9 Money allocated to each state committee under clause (6) 108.10 must be deposited in a separate account and must be spent for 108.11 only those items enumerated in section 10A.275. Money allocated 108.12 to a state committee under clause (6) must be paid to the 108.13 committee by the board as it is received in the account on a 108.14 monthly basis, with payment on the 15th day of the calendar 108.15 month following the month in which the returns were processed by 108.16 the Department of Revenue, provided that these distributions 108.17 would be equal to 90 percent of the amount of money indicated in 108.18 the Department of Revenue's weekly unedited reports of income 108.19 tax returns and property tax refund returns processed in the 108.20 month, as notified by the Department of Revenue to the board. 108.21 The amounts paid to each state committee are subject to biennial 108.22 adjustment and settlement at the time of each certification 108.23 required of the commissioner of revenue under subdivisions 7 and 108.24 10. If the total amount of payments received by a state 108.25 committee for the period reflected on a certification by the 108.26 Department of Revenue is different from the amount that should 108.27 have been received during the period according to the 108.28 certification, each subsequent monthly payment must be increased 108.29 or decreased to the fullest extent possible until the amount of 108.30 the overpayment is recovered or the underpayment is distributed. 108.31 Sec. 11. Minnesota Statutes 2004, section 200.02, 108.32 subdivision 7, is amended to read: 108.33 Subd. 7. [MAJOR POLITICAL PARTY.] (a) "Major political 108.34 party" means a political party that maintains a party 108.35 organization in the state, political division or precinct in 108.36 question and that has presented at least one candidate for 109.1 election to the office of: 109.2 (1) governor and lieutenant governor, secretary of state, 109.3 state auditor, or attorney general at the last preceding state 109.4 general election for those offices; or 109.5 (2) presidential elector or U.S. senator at the last 109.6 preceding state general election for presidential electors; and 109.7 whose candidate received votes in each county in that 109.8 election and received votes from not less than five percent of 109.9 the total number of individuals who voted in that election. 109.10 (b) "Major political party" also means a political party 109.11 that maintains a party organization in the state, political 109.12 subdivision, or precinct in question and that has presented at 109.13 least 45 candidates for election to the office of state 109.14 representative, 23 candidates for election to the office of 109.15 state senator, four candidates for election to the office of 109.16 representative in Congress, and one candidate for election to 109.17 each of the following offices: governor and lieutenant governor, 109.18 attorney general, secretary of state, and state auditor, at the 109.19 last preceding state general election for those offices. 109.20 (c) "Major political party" also means a political party 109.21 that maintains a party organization in the state, political 109.22 subdivision, or precinct in question and whose members present 109.23 to the secretary of state at any time before the close of filing 109.24 for the state partisan primary ballot a petition for a place on 109.25 the state partisan primary ballot, which petition contains 109.26 signatures of a number of the party members equal to at least 109.27 five percent of the total number of individuals who voted in the 109.28 preceding state general election. 109.29(c)(d) A political party whose candidate receives a 109.30 sufficient number of votes at a state general election described 109.31 in paragraph (a) or a political party that presents candidates 109.32 at an election as required by paragraph (b) becomes a major 109.33 political party as of January 1 following that election and 109.34 retains its major party statusnotwithstanding thatfor at least 109.35 two state general elections even if the party fails to present a 109.36 candidate who receives the number and percentage of votes 110.1 required under paragraph (a) or fails to present candidates as 110.2 required by paragraph (b) atthe followingsubsequent state 110.3 generalelectionelections. 110.4(d)(e) A major political party whose candidates fail to 110.5 receive the number and percentage of votes required under 110.6 paragraph (a) and that fails to present candidates as required 110.7 by paragraph (b) ateithereach of two consecutive state general 110.8electionelections described by paragraph (a) or (b), 110.9 respectively, loses major party status as of December 31 110.10 following themost recentlater of the two consecutive state 110.11 generalelectionelections. 110.12 Sec. 12. Minnesota Statutes 2004, section 200.02, 110.13 subdivision 23, is amended to read: 110.14 Subd. 23. [MINOR POLITICAL PARTY.] (a) "Minor political 110.15 party" means a political partythat is not a major political110.16party as defined by subdivision 7 andthat has adopted a state 110.17 constitution, designated a state party chair, held a state 110.18 convention in the last two years, filed with the secretary of 110.19 state no later than December 31 following the most recent state 110.20 general election a certification that the party has met the 110.21 foregoing requirements, and met the requirements of paragraph 110.22 (b) or (e), as applicable. 110.23 (b) To be considered a minor party in all elections 110.24 statewide, the political party must have presented at least one 110.25 candidate for election to the office of: 110.26 (1) governor and lieutenant governor, secretary of state, 110.27 state auditor, or attorney general, at the last preceding state 110.28 general election for those offices; or 110.29 (2) presidential elector or U.S. senator at the preceding 110.30 state general election for presidential electors; and 110.31 who received votes in each county that in the aggregate 110.32 equal at least one percent of the total number of individuals 110.33 who voted in the election, or its members must have presented to 110.34 the secretary of state at any time before the close of filing 110.35 for the state partisan primary ballot a nominating petition in a 110.36 form prescribed by the secretary of state containing the 111.1 signatures of party members in a number equal to at least one 111.2 percent of the total number of individuals who voted in the 111.3 preceding state general election. 111.4 (c) A political party whose candidate receives a sufficient 111.5 number of votes at a state general election described in 111.6 paragraph (b) becomes a minor political party as of January 1 111.7 following that election and retains its minor party status 111.8notwithstanding thatfor at least two state general elections 111.9 even if the party fails to present a candidate who receives the 111.10 number and percentage of votes required under paragraph (b) 111.11 atthe followingsubsequent state generalelectionelections. 111.12 (d) A minor political party whose candidates fail to 111.13 receive the number and percentage of votes required under 111.14 paragraph (b) ateithereach of two consecutive state general 111.15electionelections described by paragraph (b) loses minor party 111.16 status as of December 31 following themost recentlater of the 111.17 two consecutive state generalelectionelections. 111.18 (e) A minor party that qualifies to be a major party loses 111.19 its status as a minor party at the time it becomes a major 111.20 party. Votes received by the candidates of a major party must 111.21 be counted in determining whether the party received sufficient 111.22 votes to qualify as a minor party, notwithstanding that the 111.23 party does not receive sufficient votes to retain its major 111.24 party status. To be considered a minor party in an election in 111.25 a legislative district, the political party must have presented 111.26 at least one candidate for a legislative office in that district 111.27 who received votes from at least ten percent of the total number 111.28 of individuals who voted for that office, or its members must 111.29 have presented to the secretary of state a nominating petition 111.30 in a form prescribed by the secretary of state containing the 111.31 signatures of party members in a number equal to at least ten 111.32 percent of the total number of individuals who voted in the 111.33 preceding state general election for that legislative office. 111.34 Sec. 13. Minnesota Statutes 2004, section 200.02, is 111.35 amended by adding a subdivision to read: 111.36 Subd. 24. [METROPOLITAN AREA.] "Metropolitan area" means 112.1 the counties of Anoka, Carver, Chisago, Dakota, Hennepin, 112.2 Isanti, Ramsey, Scott, Sherburne, Washington, and Wright. 112.3 Sec. 14. Minnesota Statutes 2004, section 201.014, 112.4 subdivision 2, is amended to read: 112.5 Subd. 2. [NOT ELIGIBLE.] The following individuals are not 112.6 eligible to vote. Any individual: 112.7 (a) Convicted of treason or any felony whose civil rights 112.8 have not been restored; 112.9 (b) Under a guardianshipof the personin which the court 112.10 orderprovides that the ward does not retainrevokes the ward's 112.11 right to vote; or 112.12 (c) Found by a court of law to be legally incompetent. 112.13 Sec. 15. Minnesota Statutes 2004, section 201.061, 112.14 subdivision 3, is amended to read: 112.15 Subd. 3. [ELECTION DAY REGISTRATION.] (a) An individual 112.16 who is eligible to vote may register on election day by 112.17 appearing in person at the polling place for the precinct in 112.18 which the individual maintains residence, by completing a 112.19 registration application, making an oath in the form prescribed 112.20 by the secretary of state and providing proof of residence. An 112.21 individual may prove residence for purposes of registering by: 112.22 (1) presenting a driver's license or Minnesota 112.23 identification card issued pursuant to section 171.07; 112.24 (2) presenting any document approved by the secretary of 112.25 state as proper identification; 112.26 (3) presenting one of the following: 112.27 (i) a current valid student identification card from a 112.28 postsecondary educational institution in Minnesota, if a list of 112.29 students from that institution has been prepared under section 112.30 135A.17 and certified to the county auditor in the manner 112.31 provided in rules of the secretary of state; or 112.32 (ii) a current student fee statement that contains the 112.33 student's valid address in the precinct together with a picture 112.34 identification card; or 112.35 (4) having a voter who is registered to vote in the 112.36 precinct, or who is an employee employed by and working in a 113.1 residential facility in the precinct and vouching for a resident 113.2 in the facility, sign an oath in the presence of the election 113.3 judge vouching that the voter or employee personally knows that 113.4 the individual is a resident of the precinct. A voter who has 113.5 been vouched for on election day may not sign a proof of 113.6 residence oath vouching for any other individual on that 113.7 election day. A voter who is registered to vote in the precinct 113.8 may sign up to 15 proof-of-residence oaths on any election day. 113.9 This limitation does not apply to an employee of a residential 113.10 facility described in this clause. The secretary of state shall 113.11 provide a form for election judges to use in recording the 113.12 number of individuals for whom a voter signs proof-of-residence 113.13 oaths on election day. The form must include space for the 113.14 maximum number of individuals for whom a voter may sign 113.15 proof-of-residence oaths. For each proof-of-residence oath, the 113.16 form must include a statement that the voter is registered to 113.17 vote in the precinct, personally knows that the individual is a 113.18 resident of the precinct, and is making the statement on oath. 113.19 The form must include a space for the voter's printed name, 113.20 signature, telephone number, and address. 113.21 The oath required by this subdivision and Minnesota Rules, 113.22 part 8200.9939, must be attached to the voter registration 113.23 application and the information on the oath must be recorded on 113.24 the records of both the voter registering on election day and 113.25 the voter who is vouching for the person's residence, and 113.26 entered into the statewide voter registration system by the 113.27 county auditor when the voter registration application is 113.28 entered into that system. 113.29 (b) The operator of a residential facility shall prepare a 113.30 list of the names of its employees currently working in the 113.31 residential facility and the address of the residential 113.32 facility. The operator shall certify the list and provide it to 113.33 the appropriate county auditor no less than 20 days before each 113.34 election for use in election day registration. 113.35 (c) "Residential facility" means transitional housing as 113.36 defined in section 119A.43, subdivision 1; a supervised living 114.1 facility licensed by the commissioner of health under section 114.2 144.50, subdivision 6; a nursing home as defined in section 114.3 144A.01, subdivision 5; a residence registered with the 114.4 commissioner of health as a housing with services establishment 114.5 as defined in section 144D.01, subdivision 4; a veterans home 114.6 operated by the board of directors of the Minnesota Veterans 114.7 Homes under chapter 198; a residence licensed by the 114.8 commissioner of human services to provide a residential program 114.9 as defined in section 245A.02, subdivision 14; a residential 114.10 facility for persons with a developmental disability licensed by 114.11 the commissioner of human services under section 252.28; group 114.12 residential housing as defined in section 256I.03, subdivision 114.13 3; a shelter for battered women as defined in section 611A.37, 114.14 subdivision 4; or a supervised publicly or privately operated 114.15 shelter or dwelling designed to provide temporary living 114.16 accommodations for the homeless. 114.17 (d) For tribal band membersliving on an Indian114.18reservation, an individual may prove residence for purposes of 114.19 registering by presenting an identification card issued by the 114.20 tribal government of a tribe recognized by the Bureau of Indian 114.21 Affairs, United States Department of the Interior, that contains 114.22 the name,streetaddress, signature, and picture of the 114.23 individual.The county auditor of each county having territory114.24within the reservation shall maintain a record of the number of114.25election day registrations accepted under this section.114.26 (e) A county, school district, or municipality may require 114.27 that an election judge responsible for election day registration 114.28 initial each completed registration application. 114.29 Sec. 16. Minnesota Statutes 2004, section 201.071, 114.30 subdivision 1, is amended to read: 114.31 Subdivision 1. [FORM.] A voter registration application 114.32 must be of suitable size and weight for mailing and contain 114.33 spaces for the following required information: voter's first 114.34 name, middle name, and last name; voter's previous name, if any; 114.35 voter's current address; voter's previous address, if any; 114.36 voter's date of birth; voter's municipality and county of 115.1 residence; voter's telephone number, if provided by the voter; 115.2 date of registration; current and valid Minnesota driver's 115.3 license number or Minnesota state identification number, or if 115.4 the voter has no current and valid Minnesota driver's license or 115.5 Minnesota state identification, the last four digits of the 115.6 voter's Social Security number; and voter's signature. The 115.7 registration application may include the voter's e-mail address, 115.8 if provided by the voter, and the voter's interest in serving as 115.9 an election judge, if indicated by the voter. The application 115.10 must also contain the following certification of voter 115.11 eligibility: 115.12 "I certify that I: 115.13 (1) will be at least 18 years old on election day; 115.14 (2) am a citizen of the United States; 115.15 (3) will have resided in Minnesota for 20 days immediately 115.16 preceding election day; 115.17 (4) maintain residence at the address given on the 115.18 registration form; 115.19 (5) am not under court-ordered guardianshipof the person115.20where I have not retained thein which the court order revokes 115.21 my right to vote; 115.22 (6) have not been found by a court to be legally 115.23 incompetent to vote; 115.24 (7) havenotthe right to vote because, if I have been 115.25 convicted of a felonywithout having my civil rights restored, 115.26 my felony sentence has expired (been completed) or I have been 115.27 discharged from my sentence; and 115.28 (8) have read and understand the following statement: that 115.29 giving false information is a felony punishable by not more than 115.30 five years imprisonment or a fine of not more than $10,000, or 115.31 both." 115.32 The certification must include boxes for the voter to 115.33 respond to the following questions: 115.34 "(1) Are you a citizen of the United States?" and 115.35 "(2) Will you be 18 years old on or before election day?" 115.36 And the instruction: 116.1 "If you checked 'no' to either of these questions, do not 116.2 complete this form." 116.3 The form of the voter registration application and the 116.4 certification of voter eligibility must be as provided in this 116.5 subdivision and approved by the secretary of state. Voter 116.6 registration forms authorized by the National Voter Registration 116.7 Actmaymust also be accepted as valid. The federal postcard 116.8 application form must also be accepted as valid if it is not 116.9 deficient and the voter is eligible to register in Minnesota. 116.10 An individual may use a voter registration application to 116.11 apply to register to vote in Minnesota or to change information 116.12 on an existing registration. 116.13 Sec. 17. Minnesota Statutes 2004, section 201.091, 116.14 subdivision 4, is amended to read: 116.15 Subd. 4. [PUBLIC INFORMATION LISTS.] The county auditor 116.16 shall make available for inspection a public information list 116.17 which must contain the name, address, year of birth, and voting 116.18 history of each registered voter in the county. The telephone 116.19 number must be included on the list if provided by the voter. 116.20 The public information list may also include information on 116.21 voting districts. The county auditor may adopt reasonable rules 116.22 governing access to the list. No individual inspecting the 116.23 public information list shall tamper with or alter it in any 116.24 manner. No individual who inspects the public information list 116.25 or who acquires a list of registered voters prepared from the 116.26 public information list may use any information contained in the 116.27 list for purposes unrelated to elections, political activities, 116.28 or law enforcement. The secretary of state may provide copies 116.29 of the public information lists and other information from the 116.30 statewide registration system for uses related to elections, 116.31 political activities, or in response to a law enforcement 116.32 inquiry from a public official concerning a failure to comply 116.33 with any criminal statute or any state or local tax statute. 116.34 Before inspecting the public information list or obtaining 116.35 a list of voters or other information from the list, the 116.36 individual shall provide identification to the public official 117.1 having custody of the public information list and shall state in 117.2 writing that any information obtained from the list will not be 117.3 used for purposes unrelated to elections, political activities, 117.4 or law enforcement. Requests to examine or obtain information 117.5 from the public information lists or the statewide registration 117.6 system must be made and processed in the manner provided in the 117.7 rules of the secretary of state. 117.8 Upon receipt of awritten request and a copy of the court117.9orderstatement signed by the voter that withholding the voter's 117.10 name from the public information list is required for the safety 117.11 of the voter or the voter's family, the secretary of state and 117.12 county auditor must withhold from the public information list 117.13 the name ofanya registered voterplaced under court-ordered117.14protection. 117.15 Sec. 18. Minnesota Statutes 2004, section 201.091, 117.16 subdivision 5, is amended to read: 117.17 Subd. 5. [COPY OF LIST TO REGISTERED VOTER.] The county 117.18 auditors and the secretary of state shall provide copies of the 117.19 public information lists in electronic or other media to any 117.20 voter registered in Minnesota within ten days of receiving a 117.21 written or electronic request accompanied by payment of the cost 117.22 of reproduction. The county auditors and the secretary of state 117.23 shall make a copy of the list available for public inspection 117.24 without cost. An individual who inspects or acquires a copy of 117.25 a public information list may not use any information contained 117.26 in it for purposes unrelated to elections, political activities, 117.27 or law enforcement. 117.28 Sec. 19. Minnesota Statutes 2004, section 201.15, is 117.29 amended to read: 117.30 201.15 [DISTRICT JUDGE, REPORT GUARDIANSHIPS AND 117.31 COMMITMENTS.] 117.32 Subdivision 1. [GUARDIANSHIPS AND INCOMPETENTS.] Pursuant 117.33 to the Help America Vote Act of 2002, Public Law 107-252, the 117.34 state court administrator shall report monthly by electronic 117.35 means to the secretary of state the name, address, and date of 117.36 birth of each individual 18 years of age or over, who during the 118.1 month preceding the date of the report: 118.2 (a) was placed under a guardianshipof the personin which 118.3 the court orderprovides that the ward does not retainrevokes 118.4 the ward's right to vote; or 118.5 (b) was adjudged legally incompetent. 118.6 The court administrator shall also report the same 118.7 information for each individual transferred to the jurisdiction 118.8 of the court who meets a condition specified in clause (a) or 118.9 (b). The secretary of state shall determine if any of the 118.10 persons in the report is registered to vote and shall prepare a 118.11 list of those registrants for the county auditor. The county 118.12 auditor shall change the status on the record in the statewide 118.13 registration system of any individual named in the report to 118.14 indicate that the individual is not eligible to reregister or 118.15 vote. 118.16 Subd. 2. [RESTORATION TO CAPACITYGUARDIANSHIP TERMINATION 118.17 OR MODIFICATION.] Pursuant to the Help America Vote Act of 2002, 118.18 Public Law 107-252, the state court administrator shall report 118.19 monthly by electronic means to the secretary of state the name, 118.20 address, and date of birth of each individualtransferred from118.21 whose guardianshipto conservatorship or who is restored to118.22capacity by the courtwas modified to restore the ward's right 118.23 to vote or whose guardianship was terminated by order of the 118.24 court under section 524.5-317 after being ineligible to vote for 118.25 any of the reasons specified in subdivision 1. The secretary of 118.26 state shall determine if any of the persons in the report is 118.27 registered to vote and shall prepare a list of those registrants 118.28 for the county auditor. The county auditor shall change the 118.29 status on the voter's record in the statewide registration 118.30 system to "active." 118.31 Sec. 20. Minnesota Statutes 2004, section 203B.01, 118.32 subdivision 3, is amended to read: 118.33 Subd. 3. [MILITARY.] "Military" means the Army, Navy, Air 118.34 Force, Marine Corps, Coast Guard or Merchant Marine of the 118.35 United States, and all other uniformed services as defined in 118.36 United States Code, title 42, section 1973ff-6. 119.1 Sec. 21. Minnesota Statutes 2004, section 203B.04, 119.2 subdivision 1, is amended to read: 119.3 Subdivision 1. [APPLICATION PROCEDURES.] Except as 119.4 otherwise allowed by subdivision 2, an application for absentee 119.5 ballots for any election may be submitted at any time not less 119.6 than one day before the day of that election. The county 119.7 auditor shall prepare absentee ballot application forms in the 119.8 format providedin the rules ofby the secretary of state, 119.9 notwithstanding rules on absentee ballot forms, and shall 119.10 furnish them to any person on request. By January 1 of each 119.11 even-numbered year, the secretary of state shall make the forms 119.12 to be used available to auditors through electronic means. An 119.13 application submitted pursuant to this subdivision shall be in 119.14 writing and shall be submitted to: 119.15 (a) the county auditor of the county where the applicant 119.16 maintains residence; or 119.17 (b) the municipal clerk of the municipality, or school 119.18 district if applicable, where the applicant maintains residence. 119.19 An application shall be approved if it is timely received, 119.20 signed and dated by the applicant, contains the applicant's name 119.21 and residence and mailing addresses, and states that the 119.22 applicant is eligible to vote by absentee ballot for one of the 119.23 reasons specified in section 203B.02. The application may 119.24 contain a request for the voter's date of birth, which must not 119.25 be made available for public inspection. An application may be 119.26 submitted to the county auditor or municipal clerk by an 119.27 electronic facsimile device. An application mailed or returned 119.28 in person to the county auditor or municipal clerk on behalf of 119.29 a voter by a person other than the voter must be deposited in 119.30 the mail or returned in person to the county auditor or 119.31 municipal clerk within ten days after it has been dated by the 119.32 voter and no later than six days before the election. The 119.33 absentee ballot applications or a list of persons applying for 119.34 an absentee ballot may not be made available for public 119.35 inspection until the close of voting on election day. 119.36 An application under this subdivision may contain an 120.1 application under subdivision 5 to automatically receive an 120.2 absentee ballot application. 120.3 Sec. 22. Minnesota Statutes 2004, section 203B.04, 120.4 subdivision 4, is amended to read: 120.5 Subd. 4. [REGISTRATION AT TIME OF APPLICATION.] An 120.6 eligible voter who is not registered to vote but who is 120.7 otherwise eligible to vote by absentee ballot may register by 120.8 including a completed voter registration card with the absentee 120.9 ballot. The individual shall present proof of residence as 120.10 required by section 201.061, subdivision 3, to the individual 120.11 who witnesses the marking of the absentee ballots. A military 120.12 voter, as defined in section 203B.01, may register in this 120.13 manner if voting pursuant to sections 203B.04 to 203B.15, or may 120.14 register pursuant to sections 203B.16 to 203B.27. 120.15 Sec. 23. Minnesota Statutes 2004, section 203B.04, is 120.16 amended by adding a subdivision to read: 120.17 Subd. 6. [ONGOING ABSENTEE STATUS; TERMINATION.] (a) An 120.18 eligible voter may apply to a county auditor or municipal clerk 120.19 for status as an ongoing absentee voter who reasonably expects 120.20 to meet the requirements of section 203B.02, subdivision 1. 120.21 Each applicant must automatically be provided with an absentee 120.22 ballot application for each ensuing election other than an 120.23 election by mail conducted under section 204B.45, and must have 120.24 the status of ongoing absentee voter indicated on the voter's 120.25 registration record. 120.26 (b) Ongoing absentee voter status ends on: 120.27 (1) the voter's written request; 120.28 (2) the voter's death; 120.29 (3) return of an ongoing absentee ballot as undeliverable; 120.30 (4) a change in the voter's status so that the voter is not 120.31 eligible to vote under section 201.15 or 201.155; or 120.32 (5) placement of the voter's registration on inactive 120.33 status under section 201.171. 120.34 Sec. 24. Minnesota Statutes 2004, section 203B.07, 120.35 subdivision 2, is amended to read: 120.36 Subd. 2. [DESIGN OF ENVELOPES.] The return envelope shall 121.1 be of sufficient size to conveniently enclose and contain the 121.2 ballot envelope and a voter registration card folded along its 121.3 perforations. The return envelope shall be designed to open on 121.4 the left-hand end. Notwithstanding any rule to the contrary, 121.5 the return envelope must be designed in one of the following 121.6 ways: 121.7 (1) it must be of sufficient size to contain an additional 121.8 envelope that when sealed, conceals the signature, 121.9 identification, and other information; or 121.10 (2) it must provide an additional flap that when sealed, 121.11 conceals the signature, identification, and other information. 121.12 Election officials may open the flap or the additional envelope 121.13 at any time after receiving the returned ballot to inspect the 121.14 returned certificate for completeness or to ascertain other 121.15 information. A certificate of eligibility to vote by absentee 121.16 ballot shall be printed on theright hand three-fourths of the121.17 back of the envelope. The certificate shall contain a statement 121.18 to be signed and sworn by the voter indicating that the voter 121.19 meets all of the requirements established by law for voting by 121.20 absentee ballot. The certificate shall also contain a statement 121.21 signed by a person who is registered to vote in Minnesota or by 121.22 a notary public or other individual authorized to administer 121.23 oaths stating that: 121.24 (a) the ballots were displayed to that individual unmarked; 121.25 (b) the voter marked the ballots in that individual's 121.26 presence without showing how they were marked, or, if the voter 121.27 was physically unable to mark them, that the voter directed 121.28 another individual to mark them; and 121.29 (c) if the voter was not previously registered, the voter 121.30 has provided proof of residence as required by section 201.061, 121.31 subdivision 3. 121.32 The county auditor or municipal clerk shall affix first 121.33 class postage to the return envelopes. 121.34 Sec. 25. Minnesota Statutes 2004, section 203B.11, 121.35 subdivision 1, is amended to read: 121.36 Subdivision 1. [GENERALLY.] Each full-time municipal clerk 122.1 or school district clerk who has authority under section 203B.05 122.2 to administer absentee voting laws shall designate election 122.3 judges to deliver absentee ballots in accordance with this 122.4 section. The county auditormaymust also designate election 122.5 judges to perform the duties in this section. A ballot may be 122.6 delivered only to an eligible voter who is a temporary or 122.7 permanent resident or patient in a health care facility or 122.8 hospital located in the municipality in which the voter 122.9 maintains residence. The ballots shall be delivered by two 122.10 election judges, each of whom is affiliated with a different 122.11 major political party. When the election judges deliver or 122.12 return ballots as provided in this section, they shall travel 122.13 together in the same vehicle. Both election judges shall be 122.14 present when an applicant completes the certificate of 122.15 eligibility and marks the absentee ballots, and may assist an 122.16 applicant as provided in section 204C.15. The election judges 122.17 shall deposit the return envelopes containing the marked 122.18 absentee ballots in a sealed container and return them to the 122.19 clerk on the same day that they are delivered and marked. 122.20 Sec. 26. Minnesota Statutes 2004, section 203B.12, 122.21 subdivision 2, is amended to read: 122.22 Subd. 2. [EXAMINATION OF RETURN ENVELOPES.] Two or more 122.23 election judges shall examine each return envelope and shall 122.24 mark it accepted or rejected in the manner provided in this 122.25 subdivision. If a ballot has been prepared under section 122.26 204B.12, subdivision 2a, or 204B.41, the election judges shall 122.27 not begin removing ballot envelopes from the return envelopes 122.28 until 8:00 p.m. on election day, either in the polling place or 122.29 at an absentee ballot board established under section 203B.13. 122.30 The election judges shall mark the return envelope 122.31 "Accepted" and initial or sign the return envelope below the 122.32 word "Accepted" if the election judges or a majority of them are 122.33 satisfied that: 122.34 (1) the voter's name and address on the return envelope are 122.35 the same as the information provided on the absentee ballot 122.36 application; 123.1 (2) the voter's signature on the return envelope is the 123.2 genuine signature of the individual who made the application for 123.3 ballots and the certificate has been completed as prescribed in 123.4 the directions for casting an absentee ballot, except that if a 123.5 person other than the voter applied for the absentee ballot 123.6 under applicable Minnesota Rules, the signature is not required 123.7 to match; 123.8 (3) the voter is registered and eligible to vote in the 123.9 precinct or has included a properly completed voter registration 123.10 application in the return envelope; and 123.11 (4) the voter has not already voted at that election, 123.12 either in person or by absentee ballot. 123.13 There is no other reason for rejecting an absentee ballot. 123.14 In particular, failure to place the envelope within the security 123.15 envelope before placing it in the outer white envelope is not a 123.16 reason to reject an absentee ballot. 123.17 The return envelope from accepted ballots must be preserved 123.18 and returned to the county auditor. 123.19 If all or a majority of the election judges examining 123.20 return envelopes find that an absent voter has failed to meet 123.21 one of the requirements prescribed in clauses (1) to (4), they 123.22 shall mark the return envelope "Rejected," initial or sign it 123.23 below the word "Rejected," and return it to the county auditor. 123.24 Sec. 27. Minnesota Statutes 2004, section 203B.20, is 123.25 amended to read: 123.26 203B.20 [CHALLENGES.] 123.27 Except as provided in this section, the eligibility or 123.28 residence of a voter whose application for absentee ballots is 123.29 recorded under section 203B.19 may be challenged in the manner 123.30 set forth by section 201.195. The county auditor or municipal 123.31 clerk shall not be required to serve a copy of the petition and 123.32 notice of hearing on the challenged voter. If the absentee 123.33 ballot application was submitted on behalf of a voter by an 123.34 individual authorized under section 203B.17, subdivision 1, 123.35 paragraph (a), the county auditor must attempt to notify the 123.36 individual who submitted the application of the challenge. The 124.1 county auditor may contact other registered voters to request 124.2 information that may resolve any discrepancies appearing in the 124.3 application. All reasonable doubt shall be resolved in favor of 124.4 the validity of the application. If the voter's challenge is 124.5 affirmed, the county auditor shall provide the challenged voter 124.6 with a copy of the petition and the decision and shall inform 124.7 the voter of the right to appeal as provided in section 201.195. 124.8 Sec. 28. Minnesota Statutes 2004, section 203B.21, 124.9 subdivision 1, is amended to read: 124.10 Subdivision 1. [FORM.] Absentee ballots under sections 124.11 203B.16 to 203B.27 shall conform to the requirements of the 124.12 Minnesota Election Law, except that modifications in the size or 124.13 form of ballots or envelopes may be made if necessary to satisfy 124.14 the requirements of the United States postal service. The 124.15 return envelope must be designed in one of the following ways: 124.16 (1) it must be of sufficient size to contain an additional 124.17 envelope that when sealed, conceals the signature, 124.18 identification, and other information; or 124.19 (2) it must provide an additional flap that when sealed, 124.20 conceals the signature, identification, and other information. 124.21 The flap or the additional envelope must be perforated to permit 124.22 election officials to inspect the returned certificate for 124.23 completeness or to ascertain other information at any time after 124.24 receiving the returned ballot without opening the return 124.25 envelope. 124.26 Sec. 29. Minnesota Statutes 2004, section 203B.21, 124.27 subdivision 3, is amended to read: 124.28 Subd. 3. [BACK OF RETURN ENVELOPE.] On the back of the 124.29 return envelope an affidavit form shall appear with space for: 124.30 (a) The voter's address of present or former residence in 124.31 Minnesota; 124.32 (b) A statement indicating the category described in 124.33 section 203B.16 to which the voter belongs; 124.34 (c) A statement that the voter has not cast and will not 124.35 cast another absentee ballot in the same election or elections; 124.36 (d) A statement that the voter personally marked the 125.1 ballots without showing them to anyone, or if physically unable 125.2 to mark them, that the voter directed another individual to mark 125.3 them; and 125.4 (e) The voter's military identification card number, 125.5 passport number, or, if the voter does not have a valid passport 125.6 or identification card, the signature and certification of an 125.7 individual authorized to administer oaths under federal law or 125.8 the law of the place where the oath was administered ora125.9 commissioned or noncommissionedofficerpersonnel of the 125.10 military not below the rank of sergeant or its equivalent. 125.11 The affidavit shall also contain a signed and dated oath in 125.12 the form required by section 705 of the Help America Vote Act, 125.13 Public Law 107-252, which must read: 125.14 "I swear or affirm, under penalty of perjury, that: 125.15 I am a member of the uniformed services or merchant marine 125.16 on active duty or an eligible spouse or dependent of such a 125.17 member; a United States citizen temporarily residing outside the 125.18 United States; or other United States citizen residing outside 125.19 the United States; and I am a United States citizen, at least 18 125.20 years of age (or will be by the date of the election), and I am 125.21 eligible to vote in the requested jurisdiction; I have not been 125.22 convicted of a felony, or other disqualifying offense, or been 125.23 adjudicated mentally incompetent, or, if so, my voting rights 125.24 have been reinstated; and I am not registering, requesting a 125.25 ballot, or voting in any other jurisdiction in the United States 125.26 except the jurisdiction cited in this voting form. In voting, I 125.27 have marked and sealed my ballot in private and have not allowed 125.28 any person to observe the marking of the ballot, except for 125.29 those authorized to assist voters under state or federal law. I 125.30 have not been influenced. 125.31 My signature and date below indicate when I completed this 125.32 document. 125.33 The information on this form is true, accurate, and 125.34 complete to the best of my knowledge. I understand that a 125.35 material misstatement of fact in completion of this document may 125.36 constitute grounds for a conviction for perjury." 126.1 Sec. 30. Minnesota Statutes 2004, section 203B.24, 126.2 subdivision 1, is amended to read: 126.3 Subdivision 1. [CHECK OF VOTER ELIGIBILITY; PROPER 126.4 EXECUTION OF AFFIDAVIT.] Upon receipt of an absentee ballot 126.5 returned as provided in sections 203B.16 to 203B.27, the 126.6 election judges shall compare the voter's name with the names 126.7 appearing on their copy of the application records to insure 126.8 that the ballot is from a voter eligible to cast an absentee 126.9 ballot under sections 203B.16 to 203B.27.Any discrepancy or126.10disqualifying fact shall be noted on the envelope by the126.11election judges.The election judges shall mark the return 126.12 envelope "Accepted" and initial or sign the return envelope 126.13 below the word "Accepted" if the election judges are satisfied 126.14 that: 126.15 (1) the voter's name on the return envelope appears in 126.16 substantially the same form as on the application records 126.17 provided to the election judges by the county auditor; 126.18 (2) the voter has signed the federal oath prescribed 126.19 pursuant to section 705(b)(2) of the Help America Vote Act, 126.20 Public Law 107-252; 126.21 (3) the voter has set forth the voter's military 126.22 identification number or passport number or, if those numbers do 126.23 not appear, a person authorized to administer oaths under 126.24 federal law or the law of the place where the oath was 126.25 administered or a witness who is military personnel with a rank 126.26 at or above the rank of sergeant or its equivalent has signed 126.27 the ballot; and 126.28 (4) the voter has not already voted at that election, 126.29 either in person or by absentee ballot. 126.30 An absentee ballot case pursuant to sections 203B.16 to 126.31 203B.27 may only be rejected for the lack of one of clauses (1) 126.32 to (4). In particular, failure to place the envelope within the 126.33 security envelope before placing it in the outer white envelope 126.34 is not a reason to reject an absentee ballot. 126.35 Election judges must note the reason for rejection on the 126.36 back of the envelope in the space provided for that purpose. 127.1 Failure to return unused ballots shall not invalidate a 127.2 marked ballot, but a ballot shall not be counted if the 127.3 affidavit on the return envelope is not properly executed. In 127.4 all other respects the provisions of the Minnesota Election Law 127.5 governing deposit and counting of ballots shall apply. 127.6 Sec. 31. Minnesota Statutes 2004, section 204B.06, 127.7 subdivision 1, is amended to read: 127.8 Subdivision 1. [FORM OF AFFIDAVIT.](a)An affidavit of 127.9 candidacy shall state the name of the office sought and, except 127.10 as provided in subdivision 4, shall state that the candidate: 127.11 (1) is an eligible voter; 127.12 (2) has no other affidavit on file as a candidate for any 127.13 office at the same primary or next ensuing general election, 127.14 except that a candidate for soil and water conservation district 127.15 supervisor in a district not located in whole or in part in 127.16 Anoka, Hennepin, Ramsey, or Washington County, may also have on 127.17 file an affidavit of candidacy for mayor or council member of a 127.18 statutory or home rule charter city of not more than 2,500 127.19 population contained in whole or in part in the soil and water 127.20 conservation district or for town supervisor in a town of not 127.21 more than 2,500 population contained in whole or in part in the 127.22 soil and water conservation district; and 127.23 (3) is, or will be on assuming the office, 21 years of age 127.24 or more, and will have maintained residence in the district from 127.25 which the candidate seeks election for 30 days before the 127.26 general election. 127.27 An affidavit of candidacy must include a statement that the 127.28 candidate's name as written on the affidavit for ballot 127.29 designation is the candidate's true name or the name by which 127.30 the candidate is commonly and generally known in the community. 127.31 An affidavit of candidacy for partisan office shall also 127.32 state the name of the candidate's political party or political 127.33 principle, stated in three words or less. 127.34(b) Candidates for president or vice-president of the127.35United States are not required to file an affidavit of candidacy127.36for office and this subdivision does not apply to those128.1candidates.128.2 Sec. 32. Minnesota Statutes 2004, section 204B.06, 128.3 subdivision 4, is amended to read: 128.4 Subd. 4. [PARTICULARFEDERAL OFFICES.] Candidates for 128.5 president or vice-president of the United States are not 128.6 required to file an affidavit of candidacy for office. 128.7 Candidates who seek nomination for thefollowing officesoffice 128.8 of United States senator or representative shall state the 128.9 followingadditionalinformation on the affidavit: 128.10(a)(1) for United States senator, that the candidate will 128.11 be an inhabitant of this state when elected and will be 30 years 128.12 of age or older and a citizen of the United States for not less 128.13 than nine years on the next January 3 or, in the case of an 128.14 election to fill a vacancy, within 21 days after the special 128.15 election; and 128.16(b)(2) for United States representative, that the 128.17 candidate will be an inhabitant of this state when elected and 128.18 will be 25 years of age or older and a citizen of the United 128.19 States for not less than seven years on the next January 3 or, 128.20 in the case of an election to fill a vacancy, within 21 days 128.21 after the special election;. 128.22 Subd. 4a. [STATE AND LOCAL OFFICES.] Candidates who seek 128.23 nomination for the following offices shall state the following 128.24 additional information on the affidavit: 128.25(c)(1) for governor or lieutenant governor, that on the 128.26 first Monday of the next January the candidate will be 25 years 128.27 of age or older and, on the day of the state general election, a 128.28 resident of Minnesota for not less than one year; 128.29(d)(2) for Supreme Court justice, Court of Appeals judge, 128.30 or district court judge, that the candidate is learned in the 128.31 law; 128.32(e)(3) for county, municipal, school district, or special 128.33 district office, that the candidate meets any other 128.34 qualifications for that office prescribed by law; 128.35(f)(4) for senator or representative in the legislature, 128.36 that on the day of the general or special election to fill the 129.1 office the candidate will have resided not less than one year in 129.2 the state and not less than six months in the legislative 129.3 district from which the candidate seeks election. 129.4 Sec. 33. Minnesota Statutes 2004, section 204B.10, 129.5 subdivision 6, is amended to read: 129.6 Subd. 6. [INELIGIBLE VOTER.] Upon receipt of a certified 129.7 copy of a final judgment or order of a court of competent 129.8 jurisdiction that a person who has filed an affidavit of 129.9 candidacy or who has been nominated by petition: 129.10 (1) has been convicted of treason or a felony and the 129.11 person's civil rights have not been restored; 129.12 (2) is under guardianshipof the personin which the court 129.13 order revokes the ward's right to vote; or 129.14 (3) has been found by a court of law to be legally 129.15 incompetent; 129.16 the filing officer shall notify the person by certified mail at 129.17 the address shown on the affidavit or petition, and, for offices 129.18 other than President of the United States, Vice President of the 129.19 United States, United States Senator, and United States 129.20 Representative in Congress, shall not certify the person's name 129.21 to be placed on the ballot. The actions of a filing officer 129.22 under this subdivision are subject to judicial review under 129.23 section 204B.44. 129.24 Sec. 34. Minnesota Statutes 2004, section 204B.14, 129.25 subdivision 2, is amended to read: 129.26 Subd. 2. [SEPARATE PRECINCTS; COMBINED POLLING PLACE.] (a) 129.27 The following shall constitute at least one election precinct: 129.28 (1) each city ward; and 129.29 (2) each town and each statutory city. 129.30 (b) A single, accessible, combined polling place may be 129.31 established no later than June 1 of any year: 129.32 (1) for any city of the third or fourth class, any town, or 129.33 any city having territory in more than one county, in which all 129.34 the voters of the city or town shall cast their ballots; 129.35 (2) for two contiguous precincts in the same municipality 129.36 that have a combined total of fewer than 500 registered voters; 130.1 or 130.2 (3) for up to four contiguous municipalities located 130.3 entirely outside the metropolitan area, as defined by section 130.4473.121, subdivision 2200.02, subdivision 24, that are 130.5 contained in the same county. 130.6 A copy of the ordinance or resolution establishing a 130.7 combined polling place must be filed with the county auditor 130.8 within 30 days after approval by the governing body. A polling 130.9 place combined under clause (3) must be approved by the 130.10 governing body of each participating municipality. A 130.11 municipality withdrawing from participation in a combined 130.12 polling place must do so by filing a resolution of withdrawal 130.13 with the county auditor no later than May 1 of any year. 130.14 The secretary of state shall provide a separate polling 130.15 place roster for each precinct served by the combined polling 130.16 place. A single set of election judges may be appointed to 130.17 serve at a combined polling place. The number of election 130.18 judges required must be based on the total number of persons 130.19 voting at the last similar election in all precincts to be 130.20 voting at the combined polling place. Separate ballot boxes 130.21 must be provided for the ballots from each precinct. The 130.22 results of the election must be reported separately for each 130.23 precinct served by the combined polling place, except in a 130.24 polling place established under clause (2) where one of the 130.25 precincts has fewer than ten registered voters, in which case 130.26 the results of that precinct must be reported in the manner 130.27 specified by the secretary of state. 130.28 Sec. 35. Minnesota Statutes 2004, section 204B.16, 130.29 subdivision 1, is amended to read: 130.30 Subdivision 1. [AUTHORITY; LOCATION.] The governing body 130.31 of each municipality and of each county with precincts in 130.32 unorganized territory shall designate by ordinance or resolution 130.33 a polling place for each election precinct. Polling places must 130.34 be designated and ballots must be distributed so that no one is 130.35 required to go to more than one polling place to vote in a 130.36 school district and municipal election held on the same day. 131.1 The polling place for a precinct in a city or in a school 131.2 district located in whole or in part in the metropolitan area 131.3 defined by section473.121200.02, subdivision 24, shall be 131.4 located within the boundaries of the precinct or within 3,000 131.5 feet of one of those boundaries unless a single polling place is 131.6 designated for a city pursuant to section 204B.14, subdivision 131.7 2, or a school district pursuant to section 205A.11. The 131.8 polling place for a precinct in unorganized territory may be 131.9 located outside the precinct at a place which is convenient to 131.10 the voters of the precinct. If no suitable place is available 131.11 within a town or within a school district located outside the 131.12 metropolitan area defined by section473.121200.02, subdivision 131.13 24, then the polling place for a town or school district may be 131.14 located outside the town or school district within five miles of 131.15 one of the boundaries of the town or school district. 131.16 Sec. 36. Minnesota Statutes 2004, section 204B.16, 131.17 subdivision 5, is amended to read: 131.18 Subd. 5. [ACCESS BY ELDERLY ANDHANDICAPPEDPERSONS WITH 131.19 DISABILITIES.] Each polling place shall be accessible to and 131.20 usable by elderly individuals andphysically handicapped131.21 individuals with disabilities. A polling place is deemed to be 131.22 accessible and usable if it complies with the standards in 131.23 paragraphs (a) to (f). 131.24 (a) At least one set of doors must have a minimum width of 131.253132 inches if the doors must be used to enter or leave the 131.26 polling place. 131.27 (b) Any curb adjacent to the main entrance to a polling 131.28 place must have curb cuts or temporary ramps. Where the main 131.29 entrance is not the accessible entrance, any curb adjacent to 131.30 the accessible entrance must also have curb cuts or temporary 131.31 ramps. 131.32 (c) Where the main entrance is not the accessible entrance, 131.33 a sign shall be posted at the main entrance giving directions to 131.34 the accessible entrance. 131.35 (d) At least one set of stairs must have a temporary 131.36 handrail and ramp if stairs must be used to enter or leave the 132.1 polling place. 132.2 (e) No barrier in the polling place may impede the path of 132.3the physically handicappedpersons with disabilities to the 132.4 voting booth. 132.5 (f) At least onehandicappedparking space for persons with 132.6 disabilities, which may be temporarily so designated by the 132.7 municipality for the day of the election, must be available near 132.8 the accessible entrance. 132.9 The doorway, handrails, ramps, and handicapped parking 132.10 provided pursuant to this subdivision must conform to the 132.11 standards specified in the State Building Code for accessibility 132.12 byhandicappedpersons with disabilities. 132.13 A governing body shall designate as polling places only 132.14 those places which meet the standards prescribed in this 132.15 subdivision unless no available place within a precinct is 132.16 accessible or can be made accessible. 132.17 Sec. 37. Minnesota Statutes 2004, section 204B.18, 132.18 subdivision 1, is amended to read: 132.19 Subdivision 1. [BOOTHS; VOTING STATIONS.] Each polling 132.20 place must contain a number of voting booths or voting stations 132.21 in proportion to the number of individuals eligible to vote in 132.22 the precinct. Each booth or station must be at least six feet 132.23 high, three feet deep and two feet wide with a shelf at least 132.24 two feet long and one foot wide placed at a convenient height 132.25 for writing. The booth or station shallbe provided with a door132.26or curtainspermit the voter to vote privately and independently. 132.27 Eachaccessiblepolling place must have at least one accessible 132.28 voting booth or other accessible voting station and beginning 132.29 with federal and state elections held after December 31, 2005, 132.30 and county, municipal, and school district elections held after 132.31 December 31, 2007, one voting system that conforms to section 132.32 301(a)(3)(B) of the Help America Vote Act, Public Law 107-252. 132.33 All booths or stations must be constructed so that a voter is 132.34 free from observation while marking ballots.In all other132.35polling places every effort must be made to provide at least one132.36accessible voting booth or other accessible voting station.133.1 During the hours of voting, the booths or stations must have 133.2 instructions, a pencil, and other supplies needed to mark the 133.3 ballots.If needed,A chair must be provided for elderlyand133.4handicappedvoters and voters with disabilities to use while 133.5 voting or waiting to vote. Stable flat writing surfaces must 133.6 also be made available to voters who are completing 133.7 election-related forms. All ballot boxes, voting booths, voting 133.8 stations, and election judges must be in open public view in the 133.9 polling place. 133.10 Sec. 38. Minnesota Statutes 2004, section 204B.24, is 133.11 amended to read: 133.12 204B.24 [ELECTION JUDGES; OATH.] 133.13 Each election judge shall sign the following oath before 133.14 assuming the duties of the office: 133.15 "I .......... solemnly swear that I will perform the duties 133.16 of election judge according to law and the best of my ability 133.17 and will diligently endeavor to prevent fraud, deceit and abuse 133.18 in conducting this election. I will perform my duties in a fair 133.19 and impartial manner and not attempt to create an advantage for 133.20 my party or for any candidate." 133.21 The oath shall be attached to the summary statement of the 133.22 election returns of that precinct. If there is no individual 133.23 present who is authorized to administer oaths, the election 133.24 judges may administer the oath to each other. 133.25 Sec. 39. Minnesota Statutes 2004, section 204B.27, 133.26 subdivision 1, is amended to read: 133.27 Subdivision 1. [BLANK FORMS.] At least2514 days before 133.28 every state election the secretary of state shall transmit to 133.29 each county auditora sufficient number of blank county abstract133.30forms and otherexamples of any blank forms to be used as the 133.31 secretary of state deems necessary for the conduct of the 133.32 election. County abstract forms may be provided to auditors 133.33 electronically via the Minnesota State Election Reporting System 133.34 maintained by the secretary of state, and must be available at 133.35 least one week prior to the election. 133.36 Sec. 40. Minnesota Statutes 2004, section 204C.05, 134.1 subdivision 1a, is amended to read: 134.2 Subd. 1a. [ELECTIONS; ORGANIZED TOWN.] The governing body 134.3 of a town with less than 500 inhabitants according to the most 134.4 recent federal decennial census, which is located outside the 134.5 metropolitan area as defined in section473.121200.02, 134.6 subdivision224, may fix a later time for voting to begin at 134.7 state primary, special, or general elections, if approved by a 134.8 vote of the town electors at the annual town meeting. The 134.9 question of shorter voting hours must be included in the notice 134.10 of the annual town meeting before the question may be submitted 134.11 to the electors at the meeting. The later time may not be later 134.12 than 10:00 a.m. for special, primary, or general elections. The 134.13 town clerk shall either post or publish notice of the changed 134.14 hours and notify the county auditor of the change 30 days before 134.15 the election. 134.16 Sec. 41. Minnesota Statutes 2004, section 204C.06, 134.17 subdivision 2, is amended to read: 134.18 Subd. 2. [INDIVIDUALS ALLOWED IN POLLING PLACE; 134.19 IDENTIFICATION.] (a) Representatives of the secretary of state's 134.20 office, the county auditor's office, and the municipal or school 134.21 district clerk's office may be present at the polling place to 134.22 observe election procedures. Except for these representatives, 134.23 election judges, sergeants-at-arms, and challengers, an 134.24 individual may remain inside the polling place during voting 134.25 hours only while voting or registering to vote, providing proof 134.26 of residence for an individual who is registering to vote, or 134.27 assisting a handicapped voter or a voter who is unable to read 134.28 English. During voting hours no one except individuals 134.29 receiving, marking, or depositing ballots shall approach within 134.30 six feet of a voting booth, unless lawfully authorized to do so 134.31 by an election judge. 134.32 (b) Teachers and elementary or secondary school students 134.33 participating in an educational activity authorized by section 134.34 204B.27, subdivision 7, may be present at the polling place 134.35 during voting hours. 134.36 (c) Each official on duty in the polling place must wear an 135.1 identification badge that shows their role in the election 135.2 process. The badge must not show their party affiliation. 135.3 Sec. 42. Minnesota Statutes 2004, section 204C.07, is 135.4 amended by adding a subdivision to read: 135.5 Subd. 3a. [RESIDENCE REQUIREMENT.] A challenger must be a 135.6 resident of this state. 135.7 Sec. 43. Minnesota Statutes 2004, section 204C.07, 135.8 subdivision 4, is amended to read: 135.9 Subd. 4. [RESTRICTIONS ON CONDUCT.] An election judge may 135.10 not be appointed as a challenger. The election judges shall 135.11 permit challengers appointed pursuant to this section to be 135.12 present in the polling place during the hours of voting and to 135.13 remain there until the votes are counted and the results 135.14 declared. No challenger shall handle or inspect registration 135.15 cards, files, or lists. Challengers shall not prepare in any 135.16 manner any list of individuals who have or have not voted. They 135.17 shall not attempt to influence voting in any manner. They shall 135.18 not converse with a voter except to determine, in the presence 135.19 of an election judge, whether the voter is eligible to vote in 135.20 the precinct. 135.21 Sec. 44. Minnesota Statutes 2004, section 204C.08, 135.22 subdivision 1a, is amended to read: 135.23 Subd. 1a. [VOTER'S BILL OF RIGHTS.] The county auditor 135.24 shall prepare and provide to each polling place sufficient 135.25 copies of a poster setting forth the Voter's Bill of Rights as 135.26 set forth in this section. Before the hours of voting are 135.27 scheduled to begin, the election judges shall post it in a 135.28 conspicuous location or locations in the polling place. The 135.29 Voter's Bill of Rights is as follows: 135.30 "VOTER'S BILL OF RIGHTS 135.31 For all persons residing in this state who meet federal 135.32 voting eligibility requirements: 135.33 (1) You have the right to be absent from work for the 135.34 purpose of voting during the morning of election day. 135.35 (2) If you are in line at your polling place any time 135.36 between 7:00 a.m. and 8:00 p.m., you have the right to vote. 136.1 (3) If you can provide the required proof of residence, you 136.2 have the right to register to vote and to vote on election day. 136.3 (4) If you are unable to sign your name, you have the right 136.4 to orally confirm your identity with an election judge and to 136.5 direct another person to sign your name for you. 136.6 (5) You have the right to request special assistance when 136.7 voting. 136.8 (6) If you need assistance, you may be accompanied into the 136.9 voting booth by a person of your choice, except by an agent of 136.10 your employer or union or a candidate. 136.11 (7) You have the right to bring your minor children into 136.12 the polling place and into the voting booth with you. 136.13 (8) If you have been convicted of a felony butyour civil136.14rights have been restoredyour felony sentence has expired (been 136.15 completed) or you have been discharged from your sentence, you 136.16 have the right to vote. 136.17 (9) If you are under a guardianship, you have the right to 136.18 vote, unless the court order revokes your right to vote. 136.19 (10) You have the right to vote without anyone in the 136.20 polling place trying to influence your vote. 136.21(10)(11) If you make a mistake or spoil your ballot before 136.22 it is submitted, you have the right to receive a replacement 136.23 ballot and vote. 136.24(11)(12) You have the right to file a written complaint at 136.25 your polling place if you are dissatisfied with the way an 136.26 election is being run. 136.27(12)(13) You have the right to take a sample ballot into 136.28 the voting booth with you. 136.29(13)(14) You have the right to take a copy of this Voter's 136.30 Bill of Rights into the voting booth with you." 136.31 Sec. 45. Minnesota Statutes 2004, section 204C.10, is 136.32 amended to read: 136.33 204C.10 [PERMANENT REGISTRATION; VERIFICATION OF 136.34 REGISTRATION.] 136.35 (a) An individual seeking to vote shall sign a polling 136.36 place roster which states that the individual is at least 18 137.1 years of age, a citizen of the United States, has resided in 137.2 Minnesota for 20 days immediately preceding the election, 137.3 maintains residence at the address shown, is not under a 137.4 guardianship in which theindividual has not retainedcourt 137.5 order revokes the individual's right to vote, has not been found 137.6 by a court of law to be legally incompetent to vote or convicted 137.7 of a felony without having civil rights restored, is registered 137.8 and has not already voted in the election. The roster must also 137.9 state: "I understand that deliberately providing false 137.10 information is a felony punishable by not more than five years 137.11 imprisonment and a fine of not more than $10,000, or both." 137.12 (b) A judge may, before the applicant signs the roster, 137.13 confirm the applicant's name, address, and date of birth. 137.14 (c) After the applicant signs the roster, the judge shall 137.15 give the applicant a voter's receipt. The voter shall deliver 137.16 the voter's receipt to the judge in charge of ballots as proof 137.17 of the voter's right to vote, and thereupon the judge shall hand 137.18 to the voter the ballot. The voters' receipts must be 137.19 maintained during the time for notice of filing an election 137.20 contest. 137.21 Sec. 46. Minnesota Statutes 2004, section 204C.12, 137.22 subdivision 2, is amended to read: 137.23 Subd. 2. [STATEMENT OF GROUNDS; OATH.]The challenger137.24shall state the ground for the challenge, andA challenger must 137.25 be a resident of this state. The secretary of state shall 137.26 prepare a form that challengers must complete and sign when 137.27 making a challenge. The form must include space to state the 137.28 ground for the challenge, a statement that the challenge is 137.29 based on the challenger's personal knowledge, and a statement 137.30 that the challenge is made under oath. The form must include a 137.31 space for the challenger's printed name, signature, telephone 137.32 number, and address. 137.33 An election judge shall administer to the challenged 137.34 individual the following oath: 137.35 "Do you solemnly swear that you will fully and truly answer 137.36 all questions put to you concerning your eligibility to vote at 138.1 this election?" 138.2 The election judge shall then ask the challenged individual 138.3 sufficient questions to test that individual's residence and 138.4 right to vote. 138.5 Sec. 47. Minnesota Statutes 2004, section 204C.24, 138.6 subdivision 1, is amended to read: 138.7 Subdivision 1. [INFORMATION REQUIREMENTS.] Precinct 138.8 summary statements shall be submitted by the election judges in 138.9 every precinct. Forstateall elections, the election judges 138.10 shall complete three or more copies of the summary statements, 138.11 and each copy shall contain the following information for each 138.12 kind of ballot: 138.13 (a) the number of votes each candidate received or the 138.14 number of yes and no votes on each question, the number of 138.15 undervotes or partially blank ballots, and the number of 138.16 overvotes or partially defective ballots with respect to each 138.17 office or question; 138.18 (b) the number of totally blank ballots, the number of 138.19 totally defective ballots, the number of spoiled ballots, and 138.20 the number of unused ballots; 138.21 (c) the number of individuals who voted at the election in 138.22 the precinct; 138.23 (d) the number of voters registering on election day in 138.24 that precinct; and 138.25 (e) the signatures of the election judges who counted the 138.26 ballots certifying that all of the ballots cast were properly 138.27 piled, checked, and counted; and that the numbers entered by the 138.28 election judges on the summary statements correctly show the 138.29 number of votes cast for each candidate and for and against each 138.30 question. 138.31 At least two copies of the summary statement must be 138.32 prepared for elections not held on the same day as the state 138.33 elections. 138.34 Sec. 48. Minnesota Statutes 2004, section 204C.28, 138.35 subdivision 1, is amended to read: 138.36 Subdivision 1. [COUNTY AUDITOR.] Every county auditor 139.1 shall remain at the auditor's office to receive delivery of the 139.2 returns, to permit public inspection of the summary statements, 139.3 and to tabulate the votes until all have been tabulated and the 139.4 results made known, or until 24 hours have elapsed since the end 139.5 of the hours for voting, whichever occurs first. Every county 139.6 auditor shall, in the presence of the municipal clerk or the 139.7 election judges who deliver the returns, make a record of all 139.8 materials delivered, the time of delivery, and the names of the 139.9 municipal clerk or election judges who made delivery. The 139.10 county auditor shall file the record and all envelopes 139.11 containing ballots in a safe and secure place with envelope 139.12 seals unbroken. Access to the record and ballots shall be 139.13 strictly controlled. Accountability and a record of access 139.14 shall be maintained by the county auditor during the period for 139.15 contesting elections or, if a contest is filed, until the 139.16 contest has been finally determined. Thereafter, the record 139.17 shall be retained in the auditor's office for the same period as 139.18 the ballots as provided in section 204B.40. 139.19 The county auditor shall file all envelopes containing 139.20 ballots in a safe place with seals unbroken. If the envelopes 139.21 were previously opened by proper authority for examination or 139.22 recount, the county auditor shall have the envelopes sealed 139.23 again and signed by the individuals who made the inspection or 139.24 recount. The envelopes may be opened by the county canvassing 139.25 board if necessary to procure election returns that the election 139.26 judges inadvertently may have sealed in the envelopes with the 139.27 ballots. In that case, the envelopes shall be sealed again and 139.28 signed in the same manner as otherwise provided in this 139.29 subdivision. 139.30 Sec. 49. Minnesota Statutes 2004, section 204C.50, 139.31 subdivision 1, is amended to read: 139.32 Subdivision 1. [SELECTION FOR REVIEW; NOTICE.] (a) 139.33 Postelection review under this section must be conducted only on 139.34 the election for president, senator or representative in 139.35 Congress, constitutional offices, and legislative offices. 139.36 (b) The Office of the Secretary of State shall, within 140.1 three days after each state general election beginning in 2006, 140.2 randomly select 80 precincts for postelection review as defined 140.3 in this section. The precincts must be selected so that an 140.4 equal number of precincts are selected in each congressional 140.5 district of the state. Of the precincts in each congressional 140.6 district, at least five must have had more than 500 votes cast, 140.7 and at least two must have had fewer than 500 votes cast. The 140.8 secretary of state must promptly provide notices of which 140.9 precincts are chosen to the election administration officials 140.10 who are responsible for the conduct of elections in those 140.11 precincts. 140.12(b)(c) One week before the state general election 140.13 beginning in 2006, the secretary of state must post on the 140.14 office Web site the date, time, and location at which precincts 140.15 will be randomly chosen for review under this section. The 140.16 chair of each major political party may appoint a designee to 140.17 observe the random selection process. 140.18 Sec. 50. Minnesota Statutes 2004, section 204C.50, 140.19 subdivision 2, is amended to read: 140.20 Subd. 2. [SCOPE AND CONDUCT OF REVIEW.] Each review is 140.21 limited to federal and state offices and must consist of at 140.22 least the following: 140.23 (a) The election officials immediately responsible for a 140.24 precinct chosen for review must conduct the following review and 140.25 submit the results in writing to the State Canvassing Board 140.26 before it meets to canvass the election: 140.27 (1) a hand tally of the paper ballots or electronic ballot 140.28 marker record, of whatever kind used in that precinct, for each 140.29 contested election; 140.30 (2) a recount using the actual machine and software used on 140.31 election day, if a precinct-count or central-count automated 140.32 voting system was used; and 140.33 (3) a comparison of the hand tally with the reported 140.34 results for the precinct in the county canvassing board report, 140.35 as well as the actual tape of any automated tabulation produced 140.36 by any precinct-count or central-count optical scan equipment 141.1 that may have been used to tabulate votes cast in that precinct. 141.2 (b) The staff of the Office of the Secretary of State shall 141.3 conduct or directly supervise a review of the procedures used by 141.4 the election officials at all levels for a precinct chosen for 141.5 review, including an inspection of the materials retained for 141.6 the official 22-month retention period, such as the rosters, the 141.7 incident log, and the ballots themselves. The staff must submit 141.8 a written report to the secretary of state before the next 141.9 regularly scheduled meeting of the State Canvassing Board. 141.10 Sec. 51. Minnesota Statutes 2004, section 204D.03, is 141.11 amended by adding a subdivision to read: 141.12 Subd. 3. [EXCEPTION; CERTAIN PARTISAN CANDIDATES.] (a) If 141.13 no more than one candidate files for nomination by a major 141.14 political party for a partisan office, the candidate who filed 141.15 must be declared the nominee upon the close of filing. If every 141.16 candidate for a partisan office has been declared the nominee 141.17 upon the close of filing, the office must be omitted from the 141.18 state primary ballot. If all offices, both partisan and 141.19 nonpartisan, have been omitted from the state primary ballot in 141.20 a municipality or county, the governing body of the municipality 141.21 or county may decide that the state primary will not be 141.22 conducted in that municipality or county. 141.23 (b) Within 15 days after the close of filing, each 141.24 municipal clerk or county auditor whose governing body has 141.25 decided not to conduct the state primary shall post notice that 141.26 the offices have been so omitted and the state primary canceled 141.27 and shall send a copy of the notice to the secretary of state. 141.28 Sec. 52. Minnesota Statutes 2004, section 204D.14, 141.29 subdivision 3, is amended to read: 141.30 Subd. 3. [UNCONTESTED JUDICIAL OFFICES.] Judicial 141.31 offices for a specific court for which there is only one 141.32 candidate filed must appear after all other judicial offices for 141.33 that same court on the canary ballot. 141.34 Sec. 53. Minnesota Statutes 2004, section 204D.27, 141.35 subdivision 5, is amended to read: 141.36 Subd. 5. [CANVASS; SPECIAL PRIMARY; STATE CANVASSING 142.1 BOARD.] Not later than four days after the returns of the county 142.2 canvassing boards are certified to the secretary of state, the 142.3 State Canvassing Board shall complete its canvass of the special 142.4 primary. The secretary of state shall then promptly certify to 142.5 the county auditors the names of the nominated individuals, 142.6 prepare notices of nomination, and notify each nominee of the 142.7 nomination. 142.8 Sec. 54. Minnesota Statutes 2004, section 205.175, 142.9 subdivision 2, is amended to read: 142.10 Subd. 2. [METROPOLITAN AREA MUNICIPALITIES.] The governing 142.11 body of a municipality which is located within a metropolitan 142.12 countyas defined by section 473.121included in the definition 142.13 of metropolitan area in section 200.02, subdivision 24, may 142.14 designate the time during which the polling places will remain 142.15 open for voting at the next succeeding and all subsequent 142.16 municipal elections, provided that the polling places shall open 142.17 no later than 10:00 a.m. and shall close no earlier than 8:00 142.18 p.m. The resolution shall remain in force until it is revoked 142.19 by the municipal governing body. 142.20 Sec. 55. Minnesota Statutes 2004, section 205A.09, 142.21 subdivision 1, is amended to read: 142.22 Subdivision 1. [METROPOLITAN AREA SCHOOL DISTRICTS.] At a 142.23 school district election in a school district located in whole 142.24 or in part within a metropolitan countyas defined by section142.25473.121included in the definition of metropolitan area in 142.26 section 200.02, subdivision 24, the school board, by resolution 142.27 adopted before giving notice of the election, may designate the 142.28 time during which the polling places will remain open for voting 142.29 at the next succeeding and all later school district elections. 142.30 The polling places must open no later than 10:00 a.m. and close 142.31 no earlier than 8:00 p.m. The resolution shall remain in force 142.32 until it is revoked by the school board. 142.33 Sec. 56. Minnesota Statutes 2004, section 206.57, 142.34 subdivision 5, is amended to read: 142.35 Subd. 5. [VOTING SYSTEM FOR DISABLED VOTERS.] In federal 142.36 and state elections held after December 31, 2005, and in county, 143.1 municipal, and school district elections held after December 31, 143.2 2007, the voting method used in each polling place must include 143.3 a voting system that is accessible for individuals with 143.4 disabilities, including nonvisual accessibility for the blind 143.5 and visually impaired in a manner that provides the same 143.6 opportunity for access and participation, including privacy and 143.7 independence, as for other voters. 143.8 Sec. 57. Minnesota Statutes 2004, section 208.03, is 143.9 amended to read: 143.10 208.03 [NOMINATION OF PRESIDENTIAL ELECTORS.] 143.11 Presidential electors for the major political parties of 143.12 this state shall be nominated by delegate conventions called and 143.13 held under the supervision of the respective state central 143.14 committees of the parties of this state. On or before primary 143.15 election day the chair of the major political party shall 143.16 certify to the secretary of state the names of the persons 143.17 nominated as presidential electors, the names of eight alternate 143.18 presidential electors, and the names of the party candidates for 143.19 president and vice-president. 143.20 Sec. 58. Minnesota Statutes 2004, section 208.04, 143.21 subdivision 1, is amended to read: 143.22 Subdivision 1. [FORM OF PRESIDENTIAL BALLOTS.] When 143.23 presidential electors and alternates are to be voted for, a vote 143.24 cast for the party candidates for president and vice-president 143.25 shall be deemed a vote for that party's electors and alternates 143.26 as filed with the secretary of state. The secretary of state 143.27 shall certify the names of all duly nominated presidential and 143.28 vice-presidential candidates to the county auditors of the 143.29 counties of the state. Each county auditor, subject to the 143.30 rules of the secretary of state, shall cause the names of the 143.31 candidates of each major political party and the candidates 143.32 nominated by petition to be printed in capital letters, set in 143.33 type of the same size and style as for candidates on the state 143.34 white ballot, before the party designation. To the left of, and 143.35 on the same line with the names of the candidates for president 143.36 and vice-president, near the margin, shall be placed a square or 144.1 box, in which the voters may indicate their choice by marking an 144.2 "X." 144.3 The form for the presidential ballot and the relative 144.4 position of the several candidates shall be determined by the 144.5 rules applicable to other state officers. The state ballot, 144.6 with the required heading, shall be printed on the same piece of 144.7 paper and shall be below the presidential ballot with a blank 144.8 space between one inch in width. 144.9 Sec. 59. Minnesota Statutes 2004, section 208.05, is 144.10 amended to read: 144.11 208.05 [STATE CANVASSING BOARD.] 144.12 The State Canvassing Board at its meeting on the second 144.13 Tuesday after each state general election shall open and canvass 144.14 the returns made to the secretary of state for presidential 144.15 electors and alternates, prepare a statement of the number of 144.16 votes cast for the persons receiving votes for these offices, 144.17 and declare the person or persons receiving the highest number 144.18 of votes for each office duly elected. When it appears that 144.19 more than the number of persons to be elected as presidential 144.20 electors or alternates have the highest and an equal number of 144.21 votes, the secretary of state, in the presence of the board 144.22 shall decide by lot which of the persons shall be declared 144.23 elected. The governor shall transmit to each person declared 144.24 elected a certificate of election, signed by the governor, 144.25 sealed with the state seal, and countersigned by the secretary 144.26 of state. 144.27 Sec. 60. Minnesota Statutes 2004, section 208.06, is 144.28 amended to read: 144.29 208.06 [ELECTORS TO MEET AT CAPITOL; FILLING OF VACANCIES.] 144.30 The presidential electors and alternate presidential 144.31 electors, before 12:00 M. on the day before that fixed by 144.32 Congress for the electors to vote for president and 144.33 vice-president of the United States, shall notify the governor 144.34 that they are at the State Capitol and ready at the proper time 144.35 to fulfill their duties as electors. The governor shall deliver 144.36 to the electors present a certificate of the names of all the 145.1 electors. If any elector named therein fails to appear before 145.2 9:00 a.m. on the day, and at the place, fixed for voting for 145.3 president and vice-president of the United States, an alternate, 145.4 chosen from among the alternates by lot, shall be appointed to 145.5 act for that elector. If more than eight alternates are 145.6 necessary, the electors present shall, in the presence of the 145.7 governor, immediately elect by ballot a person to fill the 145.8 vacancy. If more than the number of persons required have the 145.9 highest and an equal number of votes, the governor, in the 145.10 presence of the electors attending, shall decide by lot which of 145.11 those persons shall be elected. 145.12 Sec. 61. Minnesota Statutes 2004, section 208.07, is 145.13 amended to read: 145.14 208.07 [CERTIFICATE OF ELECTORS.] 145.15 Immediately after the vacancies have been filled, the 145.16 original electors and alternates present shall certify to the 145.17 governor the names of the persons elected to complete their 145.18 number, and the governor shall at once cause written notice to 145.19 be given to each person elected to fill a vacancy. The persons 145.20 so chosen shall be presidential electors and shall meet and act 145.21 with the other electors. 145.22 Sec. 62. Minnesota Statutes 2004, section 208.08, is 145.23 amended to read: 145.24 208.08 [ELECTORS TO MEET AT STATE CAPITOL.] 145.25 The original, alternate, and substituted presidential 145.26 electors, at 12:00 M., shall meet in the executive chamber at 145.27 the State Capitol and shall perform all the duties imposed upon 145.28 them as electors by the Constitution and laws of the United 145.29 States and this state. 145.30 Each elector, as a condition of having been chosen under 145.31 the name of the party of a presidential and a vice-presidential 145.32 candidate, is obligated to vote for those candidates. The 145.33 elector shall speak aloud or affirm in a nonverbal manner the 145.34 name of the candidate for president and for vice-president for 145.35 whom the elector is voting and then confirm that vote by written 145.36 public ballot. 146.1 If an elector fails to cast a ballot for the presidential 146.2 or vice-presidential candidate of the party under whose name the 146.3 elector was chosen, the elector's vote or abstention is 146.4 invalidated and an alternate presidential elector, chosen by lot 146.5 from among the alternates, shall cast a ballot in the name of 146.6 the elector for the presidential and vice-presidential candidate 146.7 of the party under whose name the elector was chosen. The 146.8 invalidation of an elector's vote or abstention on the ballot 146.9 for president or vice-president does not apply if the 146.10 presidential candidate under whose party's name the elector was 146.11 chosen has without condition released the elector or has died or 146.12 become mentally disabled. 146.13 Sec. 63. Minnesota Statutes 2004, section 211B.13, 146.14 subdivision 1, is amended to read: 146.15 Subdivision 1. [BRIBERY, ADVANCING MONEY, AND TREATING 146.16 PROHIBITED.] A person who willfully, directly or indirectly, 146.17 advances, pays, gives, promises, or lends any money, food, 146.18 liquor, clothing, entertainment, or other thing of monetary 146.19 value, or who offers, promises, or endeavors to obtain any 146.20 money, position, appointment, employment, or other valuable 146.21 consideration, to or for a person, in order to induce a voter to 146.22 refrain from voting, or to vote in a particular way, at an 146.23 election, is guilty of a felony. This section does not prevent 146.24 a candidate from stating publicly preference for or support of 146.25 another candidate to be voted for at the same primary or 146.26 election. Refreshments of food or nonalcoholic beveragesof146.27nominalhaving a value up to $5 consumed on the premises at a 146.28 private gathering or public meeting are not prohibited under 146.29 this section. 146.30 Sec. 64. Minnesota Statutes 2004, section 383B.151, is 146.31 amended to read: 146.32 383B.151 [FINANCIAL INTEREST FORBIDDEN.] 146.33 No official, person authorized to make purchases, or county 146.34 employee shall be financially interested, either directly or 146.35 indirectly, in any contract or purchase order for any goods, 146.36 materials, supplies, equipment or contracted service furnished 147.1 to or used by any department, board, commission or agency of the 147.2 county government. No public official, person authorized to 147.3 make purchases, or county employee may accept or receive, 147.4 directly or indirectly from any person, firm or corporation to 147.5 which any contract or purchase order may be awarded any money or 147.6 anything of value whatsoever or any promise, obligation or 147.7 contract for future reward or compensation, except as authorized 147.8 under section 10A.071, subdivision 3, or 471.895, subdivision 147.9 3. Any violation of the provisions of this section shall be a 147.10 gross misdemeanor. 147.11 Sec. 65. Minnesota Statutes 2004, section 447.32, 147.12 subdivision 4, is amended to read: 147.13 Subd. 4. [CANDIDATES; BALLOTS; CERTIFYING ELECTION.] A 147.14 person who wants to be a candidate for the hospital board shall 147.15 file an affidavit of candidacy for the election either as member 147.16 at large or as a member representing the city or town where the 147.17 candidate resides. The affidavit of candidacy must be filed 147.18 with the city or town clerk not more thanten weeks70 days nor 147.19 less thaneight weeks56 days before the first Tuesday after the 147.20secondfirst Monday inSeptemberNovember of the year in which 147.21 the general election is held. The city or town clerk must 147.22 forward the affidavits of candidacy to the clerk of the hospital 147.23 district or, for the first election, the clerk of the most 147.24 populous city or town immediately after the last day of the 147.25 filing period. A candidate may withdraw from the election by 147.26 filing an affidavit of withdrawal with the clerk of the district 147.27 no later than 5:00 p.m. two days after the last day to file 147.28 affidavits of candidacy. 147.29 Voting must be by secret ballot. The clerk shall prepare, 147.30 at the expense of the district, necessary ballots for the 147.31 election of officers. Ballots must be printed on tan paper and 147.32 prepared as provided in the rules of the secretary of state. 147.33 The ballots must be marked and initialed by at least two judges 147.34 as official ballots and used exclusively at the election. Any 147.35 proposition to be voted on may be printed on the ballot provided 147.36 for the election of officers. The hospital board may also 148.1 authorize the use of voting systems subject to chapter 206. 148.2 Enough election judges may be appointed to receive the votes at 148.3 each polling place. The election judges shall act as clerks of 148.4 election, count the ballots cast, and submit them to the board 148.5 for canvass. 148.6 After canvassing the election, the board shall issue a 148.7 certificate of election to the candidate who received the 148.8 largest number of votes cast for each office. The clerk shall 148.9 deliver the certificate to the person entitled to it in person 148.10 or by certified mail. Each person certified shall file an 148.11 acceptance and oath of office in writing with the clerk within 148.12 30 days after the date of delivery or mailing of the 148.13 certificate. The board may fill any office as provided in 148.14 subdivision 1 if the person elected fails to qualify within 30 148.15 days, but qualification is effective if made before the board 148.16 acts to fill the vacancy. 148.17 Sec. 66. Minnesota Statutes 2004, section 471.895, 148.18 subdivision 3, is amended to read: 148.19 Subd. 3. [EXCEPTIONS.] (a) The prohibitions in this 148.20 section do not apply if the gift is: 148.21 (1) a contribution as defined in section 211A.01, 148.22 subdivision 5; 148.23 (2) services to assist an official in the performance of 148.24 official duties, including but not limited to providing advice, 148.25 consultation, information, and communication in connection with 148.26 legislation, and services to constituents; 148.27 (3) services of insignificant monetary value; 148.28 (4) a plaque or similar memento recognizing individual 148.29 services in a field of specialty or to a charitable cause; 148.30 (5) a trinket or mementoof insignificant valuecosting $5 148.31 or less; 148.32 (6) informational material of unexceptional value; or 148.33 (7) food or a beverage given at a reception, meal, or 148.34 meeting away from the recipient's place of work by an 148.35 organization before whom the recipient appears to make a speech 148.36 or answer questions as part of a program. 149.1 (b) The prohibitions in this section do not apply if the 149.2 gift is given: 149.3 (1) because of the recipient's membership in a group, a 149.4 majority of whose members are not local officials, and an 149.5 equivalent gift is given or offered to the other members of the 149.6 group; 149.7 (2) by an interested person who is a member of the family 149.8 of the recipient, unless the gift is given on behalf of someone 149.9 who is not a member of that family; or 149.10 (3) by a national or multistate organization of 149.11 governmental organizations or public officials, if a majority of 149.12 the dues to the organization are paid from public funds, to 149.13 attendees at a conference sponsored by that organization, if the 149.14 gift is food or a beverage given at a reception or meal and an 149.15 equivalent gift is given or offered to all other attendees. 149.16 Sec. 67. Minnesota Statutes 2004, section 524.5-310, is 149.17 amended to read: 149.18 524.5-310 [FINDINGS; ORDER OF APPOINTMENT.] 149.19 (a) The court may appoint a limited or unlimited guardian 149.20 for a respondent only if it finds by clear and convincing 149.21 evidence that: 149.22 (1) the respondent is an incapacitated person; and 149.23 (2) the respondent's identified needs cannot be met by less 149.24 restrictive means, including use of appropriate technological 149.25 assistance. 149.26 (b) Alternatively, the court, with appropriate findings, 149.27 may treat the petition as one for a protective order under 149.28 section 524.5-401, enter any other appropriate order, or dismiss 149.29 the proceeding. 149.30 (c) The court shall grant to a guardian only those powers 149.31 necessitated by the ward's limitations and demonstrated needs 149.32 and, whenever feasible, make appointive and other orders that 149.33 will encourage the development of the ward's maximum 149.34 self-reliance and independence. Any power not specifically 149.35 granted to the guardian, following a written finding by the 149.36 court of a demonstrated need for that power, is retained by the 150.1 ward. 150.2 (d) Within 14 days after an appointment, a guardian shall 150.3 send or deliver to the ward, and counsel if represented at the 150.4 hearing, a copy of the order of appointment accompanied by a 150.5 notice which advises the ward of the right to appeal the 150.6 guardianship appointment in the time and manner provided by the 150.7 Rules of Appellate Procedure. 150.8 (e) Each year, within 30 days after the anniversary date of 150.9 an appointment, a guardian shall send or deliver to the ward a 150.10 notice of the right to request termination or modification of 150.11 the guardianship and notice of the status of the ward's right to 150.12 vote. 150.13 Sec. 68. [REPEALER.] 150.14 Minnesota Statutes 2004, section 204C.50, subdivision 7, is 150.15 repealed. 150.16 Minnesota Rules, parts 4501.0300, subparts 1 and 4; 150.17 4501.0500, subpart 4; 4501.0600; 4503.0200, subpart 4; 150.18 4503.0300, subpart 2; 4503.0400, subpart 2; 4503.0500, subpart 150.19 9; and 4503.0800, subpart 1, are repealed." 150.20 Delete the title and insert: 150.21 "A bill for an act 150.22 relating to government operations; appropriating money 150.23 for the general legislative and administrative 150.24 expenses of state government; regulating state and 150.25 local government operations; modifying provisions 150.26 related to public employment; ratifying certain labor 150.27 agreements and compensation plans; regulating 150.28 elections and campaign finance; regulating Minneapolis 150.29 teacher pensions; modifying provisions related to the 150.30 military and veterans; authorizing rulemaking; 150.31 amending Minnesota Statutes 2004, sections 10A.01, 150.32 subdivisions 5, 26, 35; 10A.025, by adding a 150.33 subdivision; 10A.071, subdivision 3; 10A.08; 10A.20, 150.34 subdivision 5; 10A.27, subdivision 1; 10A.28, 150.35 subdivision 2; 10A.31, subdivisions 4, 5; 11A.24, 150.36 subdivision 6; 13.635, by adding a subdivision; 14.19; 150.37 15.054; 15.06, by adding a subdivision; 16A.103, by 150.38 adding a subdivision; 16A.1286, subdivision 3; 150.39 16A.151, subdivision 2; 16A.152, subdivision 2; 150.40 16A.1522, subdivision 1; 16A.281; 16B.04, subdivision 150.41 2; 16B.33, subdivision 4; 16B.48, subdivisions 4, 5; 150.42 16C.10, subdivision 7; 16C.144; 16C.16, subdivision 1; 150.43 16C.26, subdivisions 3, 4; 16C.28, subdivision 2; 150.44 16E.01, subdivisions 1, 3; 16E.02; 16E.03, 150.45 subdivisions 1, 2, 3, 7; 16E.04; 16E.0465, 150.46 subdivisions 1, 2; 16E.055; 16E.07, subdivision 8; 150.47 43A.23, subdivision 1; 190.16, by adding a 150.48 subdivision; 192.19; 192.261, subdivision 2; 192.501, 150.49 subdivision 2; 193.29, subdivision 3; 193.30; 193.31; 150.50 197.608, subdivision 5; 200.02, subdivisions 7, 23, by 151.1 adding a subdivision; 201.014, subdivision 2; 201.061, 151.2 subdivision 3; 201.071, subdivision 1; 201.091, 151.3 subdivisions 4, 5; 201.15; 203B.01, subdivision 3; 151.4 203B.04, subdivisions 1, 4, by adding a subdivision; 151.5 203B.07, subdivision 2; 203B.11, subdivision 1; 151.6 203B.12, subdivision 2; 203B.20; 203B.21, subdivisions 151.7 1, 3; 203B.24, subdivision 1; 204B.06, subdivisions 1, 151.8 4; 204B.10, subdivision 6; 204B.14, subdivision 2; 151.9 204B.16, subdivisions 1, 5; 204B.18, subdivision 1; 151.10 204B.24; 204B.27, subdivision 1; 204C.05, subdivision 151.11 1a; 204C.06, subdivision 2; 204C.07, subdivision 4, by 151.12 adding a subdivision; 204C.08, subdivision 1a; 151.13 204C.10; 204C.12, subdivision 2; 204C.24, subdivision 151.14 1; 204C.28, subdivision 1; 204C.50, subdivisions 1, 2; 151.15 204D.03, by adding a subdivision; 204D.14, subdivision 151.16 3; 204D.27, subdivision 5; 205.175, subdivision 2; 151.17 205A.09, subdivision 1; 206.57, subdivision 5; 208.03; 151.18 208.04, subdivision 1; 208.05; 208.06; 208.07; 208.08; 151.19 211B.13, subdivision 1; 240A.03, subdivision 5, by 151.20 adding a subdivision; 299C.65, subdivisions 1, 2; 151.21 349A.10, subdivision 3; 359.01, by adding a 151.22 subdivision; 383B.151; 403.36, subdivision 1; 447.32, 151.23 subdivision 4; 471.895, subdivision 3; 471.975; 151.24 507.093; 507.24, subdivision 2; 524.5-310; Laws 1998, 151.25 chapter 404, section 15, subdivision 2, as amended; 151.26 Laws 2000, chapter 461, article 4, section 4, as 151.27 amended; proposing coding for new law in Minnesota 151.28 Statutes, chapters 5; 6; 8; 10; 14; 15; 16B; 16C; 16E; 151.29 43A; 168; 190; 298; 471; 507; repealing Minnesota 151.30 Statutes 2004, sections 3.9222; 16A.151, subdivision 151.31 5; 16A.30; 16B.48, subdivision 3; 16B.52; 16E.0465, 151.32 subdivision 3; 43A.11, subdivision 2; 197.455, 151.33 subdivision 3; 204C.50, subdivision 7; 471.68, 151.34 subdivision 3; Minnesota Rules, parts 4501.0300, 151.35 subparts 1, 4; 4501.0500, subpart 4; 4501.0600; 151.36 4503.0200, subpart 4; 4503.0300, subpart 2; 4503.0400, 151.37 subpart 2; 4503.0500, subpart 9; 4503.0800, subpart 1." 152.1 We request adoption of this report and repassage of the 152.2 bill. 152.5 House Conferees: 152.8 ......................... ......................... 152.9 Marty Seifert Chris DeLaForest 152.12 ......................... ......................... 152.13 Greg Blaine Bill Hilty 152.16 ......................... 152.17 Loren A. Solberg 152.22 Senate Conferees: 152.25 ......................... ......................... 152.26 Sheila M. Kiscaden Linda Higgins 152.29 ......................... ......................... 152.30 James P. Metzen Geoff Michel 152.33 ......................... 152.34 Cal Larson