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Key: (1) language to be deleted (2) new language

CHAPTER 350--H.F.No. 3800
An act
relating to transportation; modifying or adding provisions relating
to highways, motor vehicles, vehicle registration, traffic regulations and
surcharges, commercial vehicles and vehicle combinations and permits,
pupil transportation and school bus drivers, drivers' licenses, driver training,
motor fuels, the State Patrol, transit and paratransit planning, the transfer of
right-of-way to state rail bank, nonmotorized transportation, transportation
finance, and other transportation-related programs or practices; requiring
studies and reports; imposing penalties; appropriating money;amending
Minnesota Statutes 2006, sections 86B.825, subdivision 5; 161.14, by adding a
subdivision; 162.02, by adding a subdivision; 163.051, subdivision 1; 168.011,
subdivisions 7, 22; 168.012, subdivision 1, by adding a subdivision; 168.013,
by adding a subdivision; 168.021, subdivisions 1, 2; 168.09, subdivision 7;
168.185; 168.28; 168A.01, subdivision 21; 168A.03, subdivision 1; 168A.05,
subdivision 9; 168B.051, subdivision 2; 168B.06, subdivisions 1, 3; 168B.07,
by adding subdivisions; 168B.08, subdivision 1; 169.01, subdivisions 55, 76,
by adding subdivisions; 169.18, subdivisions 1, 5, by adding a subdivision;
169.21, by adding a subdivision; 169.224; 169.435; 169.446, subdivision
2; 169.67, subdivision 3; 169.781, subdivisions 1, 2, 5; 169.79; 169.801;
169.82, subdivision 3; 169.826, subdivision 1a; 169.85, subdivision 1; 169.86,
subdivision 8, as added; 169.99, by adding a subdivision; 171.01, subdivisions
35, 46; 171.03; 171.055, subdivision 2; 171.0701; 171.13, subdivision 1, by
adding subdivisions; 171.165, subdivision 2; 171.321, subdivision 1; 174.03,
subdivision 1, by adding a subdivision; 174.24, by adding a subdivision; 219.51;
221.011, by adding a subdivision; 221.031, subdivision 1; 221.036, subdivisions
1, 3; 221.121, subdivisions 1, 6a; 221.151, subdivision 1; 221.221, subdivision
2; 222.50, subdivision 7; 239.791, subdivision 10, by adding a subdivision;
299D.03, subdivision 1; 299D.06; 465.74, by adding a subdivision; 473.13,
subdivision 1a; 473.399, by adding a subdivision; 609.85, subdivision 6;
Minnesota Statutes 2007 Supplement, section 171.02, subdivision 2; Laws 1976,
chapter 199, section 14, subdivision 1, as amended; proposing coding for new
law in Minnesota Statutes, chapters 168; 169; 171; 174; 219; repealing Minnesota
Statutes 2006, sections 168.123, subdivision 2a; 168B.087, subdivision 2;
169.145; 169.446, subdivision 3; 221.121, subdivision 4.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1
TRANSPORTATION POLICY

    Section 1. Minnesota Statutes 2006, section 86B.825, subdivision 5, is amended to read:
    Subd. 5. No legal title without certificate. A person acquiring a watercraft,
required to have a certificate of title under this section, through a sale or gift does not
acquire a right, title, claim, or interest in the watercraft until the person has been issued
a certificate of title to the watercraft or has received a manufacturer's or importer's
certificate. A waiver or estoppel does not operate in favor of that person against another
person who has obtained possession of the certificate of title or manufacturer's or
importer's certificate for the watercraft for valuable consideration.

    Sec. 2. Minnesota Statutes 2006, section 161.14, is amended by adding a subdivision
to read:
    Subd. 61. Mayor William "Bill" Sandberg Memorial Bridge. The bridge
over Margaret Street on marked Trunk Highway 36 in North St. Paul is designated the
"Mayor William "Bill" Sandberg Memorial Bridge." The commissioner of transportation
shall adopt a suitable design to mark this highway and erect appropriate signs, subject
to section 161.139.

    Sec. 3. Minnesota Statutes 2006, section 162.02, is amended by adding a subdivision
to read:
    Subd. 3b. Insurance standards. When reviewing data and information for the
development of safety improvements for trunk highways and state-aid projects, the
commissioner of transportation may consider, among other things, the Insurance Institute
for Highway Safety's findings in addition to standards contained in Department of
Transportation manuals, American Association of State Highway and Transportation
Officials manual on design of highways and streets, and other applicable federal
publications.

    Sec. 4. Minnesota Statutes 2006, section 163.051, subdivision 1, is amended to read:
    Subdivision 1. Tax authorized. (a) Except as provided in paragraph (b), the board
of commissioners of each metropolitan county is authorized to levy a wheelage tax of $5
for the year 1972 and each subsequent year thereafter by resolution on each motor vehicle,
except motorcycles as defined in section 169.01, subdivision 4, which that is kept in such
county when not in operation and which that is subject to annual registration and taxation
under chapter 168. The board may provide by resolution for collection of the wheelage
tax by county officials or it may request that the tax be collected by the state registrar of
motor vehicles, and the state registrar of motor vehicles shall collect such tax on behalf
of the county if requested, as provided in subdivision 2.
    (b) The following vehicles are exempt from the wheelage tax:
    (1) motorcycles, as defined in section 169.01, subdivision 4;
    (2) motorized bicycles, as defined in section 169.01, subdivision 4a;
    (3) electric-assisted bicycles, as defined in section 169.01, subdivision 4b; and
    (4) motorized foot scooters, as defined in section 169.01, subdivision 4c.

    Sec. 5. Minnesota Statutes 2006, section 168.011, subdivision 7, is amended to read:
    Subd. 7. Passenger automobile. (a) "Passenger automobile" means any motor
vehicle designed and used for carrying not more than 15 individuals, including the driver.
    (b) "Passenger automobile" does not include motorcycles, motor scooters, buses,
school buses, or commuter vans as defined in section 168.126. Except as provided in
paragraph (c), clause (1), a vehicle with a gross vehicle weight rating of 9,000 to 13,000
pounds that is a pickup truck or a van is not a passenger automobile.
    (c) "Passenger automobile" includes, but is not limited to:
    (1) pickup trucks and vans, including those vans designed to carry passengers, with
a manufacturer's nominal rated carrying capacity of one ton a vehicle that is: (i) a pickup
truck or a van; (ii) not used in furtherance of a commercial enterprise; and (iii) not subject
to state or federal regulation as a commercial motor vehicle; and
    (2) neighborhood electric vehicles, as defined in section 169.01, subdivision 91; and
    (3) medium-speed electric vehicles, as defined in section 169.01, subdivision 95.
EFFECTIVE DATE.Paragraph (b) and paragraph (c), clause (1), are effective the
day following final enactment and apply to any additional tax for a registration period that
starts on or after March 1, 2011.

    Sec. 6. Minnesota Statutes 2006, section 168.011, subdivision 22, is amended to read:
    Subd. 22. Special mobile equipment. (a) "Special mobile equipment" means every
vehicle not designed or used primarily for the transportation of persons or property and
only incidentally operated or moved over a highway, including except vehicles described
in paragraph (b). Special mobile equipment includes, but is not limited to: ditch-digging
apparatuses, moving dollies, pump hoists and other water well-drilling equipment
registered and licensed under chapter 103I, street-sweeping vehicles, and other road
construction or road maintenance machinery such as asphalt spreaders, bituminous mixers,
bucket loaders, tractors other than truck-tractors, ditchers, leveling graders, finishing
machines, motor graders, road rollers, scarifiers, aggregate processing and conveying
equipment, truck-mounted log loaders, earth-moving carryalls, scrapers, power shovels,
draglines, self-propelled cranes, and earth-moving equipment that are used exclusively for
commercial logging, and self-propelled cranes. The term
     (b) "Special mobile equipment" does not include travel trailers,: (1) machinery that
has been temporarily or permanently mounted on a commercial motor vehicle chassis
that is used only to provide a service and is not able to haul goods for resale; or (2)
dump trucks, truck-mounted transit mixers, truck-mounted feed grinders, or other motor
vehicles designed for the transportation of persons or property to which machinery has
been attached.
EFFECTIVE DATE.This section is effective the day following final enactment and
applies to any additional tax for a registration period that starts on or after March 1, 2009.

    Sec. 7. Minnesota Statutes 2006, section 168.012, subdivision 1, is amended to read:
    Subdivision 1. Vehicles exempt from tax, fees, or plate display. (a) The following
vehicles are exempt from the provisions of this chapter requiring payment of tax and
registration fees, except as provided in subdivision 1c:
    (1) vehicles owned and used solely in the transaction of official business by the
federal government, the state, or any political subdivision;
    (2) vehicles owned and used exclusively by educational institutions and used solely
in the transportation of pupils to and from those institutions;
    (3) vehicles used solely in driver education programs at nonpublic high schools;
    (4) vehicles owned by nonprofit charities and used exclusively to transport disabled
persons for charitable, religious, or educational purposes;
    (5) vehicles owned by nonprofit charities and used exclusively for disaster response
and related activities;
    (6) ambulances owned by ambulance services licensed under section 144E.10, the
general appearance of which is unmistakable; and
    (6) (7) vehicles owned by a commercial driving school licensed under section
171.34, or an employee of a commercial driving school licensed under section 171.34, and
the vehicle is used exclusively for driver education and training.
    (b) Vehicles owned by the federal government, municipal fire apparatuses including
fire-suppression support vehicles, police patrols, and ambulances, the general appearance
of which is unmistakable, are not required to register or display number plates.
    (c) Unmarked vehicles used in general police work, liquor investigations, or arson
investigations, and passenger automobiles, pickup trucks, and buses owned or operated by
the Department of Corrections, must be registered and must display appropriate license
number plates, furnished by the registrar at cost. Original and renewal applications for
these license plates authorized for use in general police work and for use by the Department
of Corrections must be accompanied by a certification signed by the appropriate chief of
police if issued to a police vehicle, the appropriate sheriff if issued to a sheriff's vehicle,
the commissioner of corrections if issued to a Department of Corrections vehicle, or the
appropriate officer in charge if issued to a vehicle of any other law enforcement agency.
The certification must be on a form prescribed by the commissioner and state that the
vehicle will be used exclusively for a purpose authorized by this section.
    (d) Unmarked vehicles used by the Departments of Revenue and Labor and Industry,
fraud unit, in conducting seizures or criminal investigations must be registered and must
display passenger vehicle classification license number plates, furnished at cost by the
registrar. Original and renewal applications for these passenger vehicle license plates
must be accompanied by a certification signed by the commissioner of revenue or the
commissioner of labor and industry. The certification must be on a form prescribed by
the commissioner and state that the vehicles will be used exclusively for the purposes
authorized by this section.
    (e) Unmarked vehicles used by the Division of Disease Prevention and Control of the
Department of Health must be registered and must display passenger vehicle classification
license number plates. These plates must be furnished at cost by the registrar. Original
and renewal applications for these passenger vehicle license plates must be accompanied
by a certification signed by the commissioner of health. The certification must be on a
form prescribed by the commissioner and state that the vehicles will be used exclusively
for the official duties of the Division of Disease Prevention and Control.
    (f) Unmarked vehicles used by staff of the Gambling Control Board in gambling
investigations and reviews must be registered and must display passenger vehicle
classification license number plates. These plates must be furnished at cost by the
registrar. Original and renewal applications for these passenger vehicle license plates must
be accompanied by a certification signed by the board chair. The certification must be on a
form prescribed by the commissioner and state that the vehicles will be used exclusively
for the official duties of the Gambling Control Board.
    (g) Each state hospital and institution for persons who are mentally ill and
developmentally disabled may have one vehicle without the required identification on
the sides of the vehicle. The vehicle must be registered and must display passenger
vehicle classification license number plates. These plates must be furnished at cost by the
registrar. Original and renewal applications for these passenger vehicle license plates must
be accompanied by a certification signed by the hospital administrator. The certification
must be on a form prescribed by the commissioner and state that the vehicles will be used
exclusively for the official duties of the state hospital or institution.
    (h) Each county social service agency may have vehicles used for child and
vulnerable adult protective services without the required identification on the sides of the
vehicle. The vehicles must be registered and must display passenger vehicle classification
license number plates. These plates must be furnished at cost by the registrar. Original
and renewal applications for these passenger vehicle license plates must be accompanied
by a certification signed by the agency administrator. The certification must be on a form
prescribed by the commissioner and state that the vehicles will be used exclusively for the
official duties of the social service agency.
    (i) All other motor vehicles must be registered and display tax-exempt number
plates, furnished by the registrar at cost, except as provided in subdivision 1c. All vehicles
required to display tax-exempt number plates must have the name of the state department
or political subdivision, nonpublic high school operating a driver education program, or
licensed commercial driving school, or other qualifying organization or entity, plainly
displayed on both sides of the vehicle; except that each state hospital and institution for
persons who are mentally ill and developmentally disabled may have one vehicle without
the required identification on the sides of the vehicle, and county social service agencies
may have vehicles used for child and vulnerable adult protective services without the
required identification on the sides of the vehicle. This identification must be in a color
giving contrast with that of the part of the vehicle on which it is placed and must endure
throughout the term of the registration. The identification must not be on a removable
plate or placard and must be kept clean and visible at all times; except that a removable
plate or placard may be utilized on vehicles leased or loaned to a political subdivision or
to a nonpublic high school driver education program.

    Sec. 8. Minnesota Statutes 2006, section 168.012, is amended by adding a subdivision
to read:
    Subd. 2c. Spotter trucks. Spotter trucks, as defined in section 169.01, subdivision
7a, shall not be taxed as motor vehicles using the public streets and highways, and shall be
exempt from the provisions of this chapter.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires June 30, 2013.

    Sec. 9. Minnesota Statutes 2006, section 168.013, is amended by adding a subdivision
to read:
    Subd. 1l. Concrete pumps and street-sweeping vehicles. The tax on
vehicle-mounted concrete pumps and street-sweeping vehicles that are not registered
under section 168.187 is 15 percent of the Minnesota base rate schedule. Vehicles
registered under this subdivision must display plates from a distinctive series.
EFFECTIVE DATE.This section is effective the day following final enactment and
applies to any additional tax for a registration period that starts on or after March 1, 2009.

    Sec. 10. Minnesota Statutes 2006, section 168.021, subdivision 1, is amended to read:
    Subdivision 1. Disability plates; application. (a) When a motor vehicle registered
under section 168.017, a motorcycle, a truck having a manufacturer's nominal rated
capacity of one ton and resembling a pickup truck, or a self-propelled recreational vehicle
is owned or primarily operated by a permanently physically disabled person or a custodial
parent or guardian of a permanently physically disabled minor, the owner may apply for
and secure from the commissioner (1) immediately, a temporary permit valid for 30 days
if the applicant is eligible for the disability plates issued under this section and (2) two
disability plates with attached emblems, one plate to be attached to the front, and one
to the rear of the motor vehicle.
    (b) The commissioner shall not issue more than one set of plates to any owner of a
motor vehicle at the same time unless all motor vehicles have been specifically modified
for and are used exclusively by a permanently physically disabled person the state council
on disability approves the issuance of a second set of plates to a motor vehicle owner.
    (c) When the owner first applies for the disability plates, the owner must submit a
medical statement in a format approved by the commissioner under section 169.345, or
proof of physical disability provided for in that section.
    (d) No medical statement or proof of disability is required when an owner of a motor
vehicle applies for plates for one or more motor vehicles that are specially modified for
and used exclusively by permanently physically disabled persons.
    (e) The owner of a motor vehicle may apply for and secure (i) immediately, a permit
valid for 30 days, if the applicant is eligible to receive the disability plates issued under
this section, and (ii) a set of disability plates for a motor vehicle if:
    (1) the owner employs a permanently physically disabled person who would qualify
for disability plates under this section; and
    (2) the owner furnishes the motor vehicle to the physically disabled person for the
exclusive use of that person in the course of employment.

    Sec. 11. Minnesota Statutes 2006, section 168.021, subdivision 2, is amended to read:
    Subd. 2. Plate design; furnished by commissioner. The commissioner shall design
and furnish two disability plates with attached emblems to each an eligible owner. The
emblem must bear the internationally accepted wheelchair symbol, as designated in
section 16B.61, subdivision 5, approximately three inches square. The emblem must
be large enough to be visible plainly from a distance of 50 feet. An applicant eligible
for disability plates shall pay the motor vehicle registration fee authorized by sections
168.013 and 168.09.

    Sec. 12. Minnesota Statutes 2006, section 168.09, subdivision 7, is amended to read:
    Subd. 7. Display of temporary permit; special plates. (a) A vehicle that displays a
special Minnesota plate issued under section 168.021; 168.12, subdivision 2, 2a, 2b, 2c, or
2d; 168.123; 168.124; 168.125; 168.126; 168.128; or 168.129, chapter 168 may display a
temporary permit in conjunction with expired registration if:
    (1) the current registration tax and all other fees and taxes have been paid in full; and
    (2) the plate requires replacement under section 168.12, subdivision 1, paragraph
(d), clause (3) has been applied for.
    (b) A vehicle that is registered under section 168.10 may display a temporary permit
in conjunction with expired registration, with or without a registration plate, if:
    (1) the plates have been applied for and;
    (2) the registration tax has and other fees and taxes have been paid in full, as
provided for in section 168.10; and
    (2) (3) either the vehicle is used solely as a collector vehicle while displaying the
temporary permit and not used for general transportation purposes or the vehicle was
issued a 21-day permit under section 168.092, subdivision 1.
    (c) The permit is valid for a period of 60 days. The permit must be in a format
prescribed by the commissioner and whenever practicable must be posted upon the
driver's side of the rear window on the inside of the vehicle. The permit is valid only
for the vehicle for which it was issued to allow a reasonable time for the new plates to
be manufactured and delivered to the applicant. The permit may be issued only by the
commissioner or by a deputy registrar under section 168.33.

    Sec. 13. MINNESOTA SESQUICENTENNIAL SPECIAL PLATES.
    Subdivision 1. Issuance and design. Notwithstanding Minnesota Statutes,
section 168.1293, the commissioner shall issue Minnesota sesquicentennial plates or
one motorcycle plate to an applicant who:
    (1) is a registered owner of a passenger automobile, one-ton pickup truck,
motorcycle, or recreational vehicle;
    (2) pays a fee of $10 for each set of license plates;
    (3) contributes a minimum of $25 to the Minnesota Sesquicentennial Commission;
and
    (4) complies with this chapter and rules governing registration of motor vehicles
and licensing of drivers.
    Subd. 2. Novelty plates. Notwithstanding subdivision 1, the commissioner may
issue distinctive Minnesota Sesquicentennial novelty plates for a fee of $5 for each plate,
and a minimum contribution of $25 to the Minnesota Sesquicentennial Commission.
    Subd. 3. Design. After consultation with the Minnesota Sesquicentennial
Commission, the commissioner shall design the special plate.
    Subd. 4. Plates transfer. On payment of a transfer fee of $5, plates issued under
subdivision 1 may be transferred to another passenger automobile, one-ton pickup truck,
motorcycle, or recreational vehicle registered to the individual to whom the special
plates were issued.
    Subd. 5. Fees. Fees collected under subdivision 1, clause (2), or under subdivision
2, are credited to the vehicle services operating account in the special revenue fund.
    Subd. 6. Contributions. Contributions collected under subdivision 1, clause (3), or
under subdivision 2, are credited to the sesquicentennial account, which is established
in the special revenue fund. Money in the account is appropriated to the Minnesota
Sesquicentennial Commission to be used in performance of the commission's powers
and duties. After the commission expires, money in the account is appropriated to the
Capitol Area Architectural and Planning Board for restoration and renovation of the
Capitol Building.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires for issuance of plates after June 30, 2011.

    Sec. 14. Minnesota Statutes 2006, section 168.185, is amended to read:
168.185 USDOT NUMBERS.
    (a) Except as provided in paragraph (d), an owner of a truck or truck-tractor having a
gross vehicle weight of more than 10,000 pounds, as defined in section 169.01, subdivision
46
, other than a farm truck that is not used in interstate commerce, shall report to the
registrar commissioner at the time of registration its USDOT carrier number. A person
subject to this paragraph who does not have a USDOT number shall apply for the number
at the time of registration by completing a form MCS-150 Motor Carrier Identification
Report, issued by the Federal Motor Carrier Safety Administration, or comparable
document as determined by the registrar commissioner. The registrar commissioner shall
not assign a USDOT carrier number to a vehicle owner who is not subject to this paragraph.
    (b) Assigned USDOT numbers need not be displayed on the outside of the
vehicle, but must be made available upon request of an authorized agent of the registrar
commissioner, peace officer, other employees of the State Patrol authorized in chapter
299D, or employees of the Minnesota Department of Transportation. The vehicle owner
shall notify the registrar commissioner if there is a change to the owner's USDOT number.
    (c) If an owner fails to report or apply for a USDOT number, the registrar
commissioner shall suspend the owner's registration.
    (d) Until October 1, 2003, paragraphs (a) to (c) do not apply to an agricultural
fertilizer or agricultural chemical retailer while exclusively engaged in delivering fertilizer
or agricultural chemicals to a farmer for on-farm use. This section does not apply to
(1) a farm truck that is not used in interstate commerce, (2) a vehicle that is not used
in intrastate commerce or interstate commerce, or (3) a vehicle that is owned and used
solely in the transaction of official business by the federal government, the state, or any
political subdivision.

    Sec. 15. Minnesota Statutes 2006, section 168.28, is amended to read:
168.28 VEHICLES SUBJECT TO TAX; EXCEPTIONS.
    Every motor vehicle (except those exempted in section 168.012, and except those
which are being towed upon the streets and highways and which shall not be deemed to
be using the streets and highways within the meaning of this section) shall be deemed to
be one using the public streets and highways and hence as such subject to taxation under
this chapter if such motor vehicle has since April 23, 1921, used such public streets or
highways, or shall actually use them, or if it shall come into the possession of an owner
other than as a manufacturer, dealer, warehouse operator, mortgagee or pledgee. New and
unused motor vehicles in the possession of a dealer solely for the purpose of sale, and
used or secondhand motor vehicles which have not theretofore used the public streets or
highways of this state which are in the possession of a dealer solely for the purpose of sale
and which are duly listed as herein provided, shall not be deemed to be vehicles using the
public streets or highways. The driving or operating of a motor vehicle upon the public
streets or highways of this state by a motor vehicle dealer or any employee of such motor
vehicle dealer for demonstration purposes or for any purpose incident to the usual and
customary conduct and operation of the business in which licensed under section 168.27
to engage, or solely for the purpose of moving it from points outside or within the state
to the place of business or storage of a licensed dealer within the state or solely for the
purpose of moving it from the place of business of a manufacturer, or licensed dealer
within the state to the place of business or residence of a purchaser outside the state, shall
not be deemed to be using the public streets or highways in the state within the meaning
of this chapter or of the Constitution of the state of Minnesota, article XIV, and shall not
be held to make the motor vehicle subject to taxation under this chapter as one using the
public streets or highways, if during such driving or moving the dealer's plates herein
provided for shall be duly displayed upon such vehicle. Any dealer or distributor may
register a motor vehicle prior to its assessment or taxation as personal property, and pay
the license fee and tax thereon for the full calendar year as one using the public streets and
highways, and thereafter such vehicle shall be deemed to be one using the public streets
and highways and shall not be subject to assessment or taxation as personal property
during the calendar year for which it is so registered, whether or not such vehicle shall
actually have used the streets or highways. Special mobile equipment is subject to a
penalty equal to the tax due under this chapter for the full registration year if it is used to
transport persons or property at any time using the public streets.

    Sec. 16. Minnesota Statutes 2006, section 168A.01, subdivision 21, is amended to read:
    Subd. 21. Special mobile equipment. "Special mobile equipment" means every
vehicle not designed or used primarily for the transportation of persons or property
and only incidentally operated or moved over a highway, including but not limited to:
ditch-digging apparatuses, well-boring apparatuses, moving dollies, sawing machines,
corn shellers, and road construction and maintenance machinery such as asphalt spreaders,
bituminous mixers, bucket loaders, tractors other than truck-tractors, ditchers, leveling
graders, finishing machines, motor graders, road rollers, scarifiers, earth-moving carryalls
and scrapers, power shovels and draglines, and self-propelled cranes and earth-moving
equipment. The term does not include travel trailers, dump trucks, truck-mounted transit
mixers, truck-mounted feed grinders, or other vehicles designed for the transportation
of persons or property to which machinery has been attached has the meaning given it
in section 168.011.

    Sec. 17. Minnesota Statutes 2006, section 168A.03, subdivision 1, is amended to read:
    Subdivision 1. No certificate issued. The registrar shall not issue a certificate of
title for:
    (1) a vehicle owned by the United States;
    (2) a vehicle owned by a nonresident and not required by law to be registered in
this state;
    (3) a vehicle owned by a nonresident and regularly engaged in the interstate
transportation of persons or property for which a currently effective certificate of title
has been issued in another state;
    (4) a vehicle moved solely by animal power;
    (5) an implement of husbandry;
    (6) special mobile equipment;
    (7) a self-propelled wheelchair or invalid tricycle;
    (8) a trailer (i) having a gross weight of 4,000 pounds or less unless a secured party
holds an interest in the trailer or a certificate of title was previously issued by this state or
any other state or (ii) designed primarily for agricultural purposes except a recreational
vehicle or a manufactured home, both as defined in section 168.011, subdivisions 8 and 25;
    (9) a snowmobile.; and
    (10) a spotter truck, as defined in section 169.01, subdivision 7a.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires June 30, 2013.

    Sec. 18. Minnesota Statutes 2006, section 168A.05, subdivision 9, is amended to read:
    Subd. 9. Neighborhood electric vehicle and medium-speed electric vehicles;
certificate required. Neighborhood electric vehicles and medium-speed electric vehicles,
as defined in section 169.01, subdivision subdivisions 91 and 95, must be titled as
specified in section 168A.02. The department shall not issue a title for a neighborhood
electric vehicle or a medium-speed electric vehicle (1) that lacks a vehicle identification
number, and (2) for which a manufacturer's certificate of origin clearly labeling the
vehicle as a neighborhood electric vehicle or similar designation has not been issued. The
department shall not issue a vehicle identification number to a homemade neighborhood
electric or low-speed vehicle or retrofitted golf cart, and such vehicles do not qualify as
neighborhood electric vehicles.

    Sec. 19. Minnesota Statutes 2006, section 168B.051, subdivision 2, is amended to read:
    Subd. 2. Sale after 45 days or title transfer. An (a) If an unauthorized vehicle is
impounded, other than by the city of Minneapolis or the city of St. Paul, the impounded
vehicle is eligible for disposal or sale under section 168B.08, the earlier of:
    (1) 45 days after notice to the owner, if the vehicle is determined to be an
unauthorized vehicle that was not impounded by the city of Minneapolis or the city of
St. Paul; or
    (2) the date of a voluntary written title transfer by the registered owner to the
impound lot operator.
    (b) A voluntary written title transfer constitutes a waiver by the registered owner of
any right, title, and interest in the vehicle.

    Sec. 20. Minnesota Statutes 2006, section 168B.06, subdivision 1, is amended to read:
    Subdivision 1. Contents; Written notice given within five days of impound. (a)
When an impounded vehicle is taken into custody, the unit of government or impound lot
operator taking it into custody shall give written notice of the taking within five days to
the registered vehicle owner and any lienholders.
    (b) The notice shall must:
    (1) set forth the date and place of the taking,;
    (2) provide the year, make, model, and serial number of the impounded motor
vehicle, if such information can be reasonably obtained, and the place where the vehicle
is being held,;
    (2) (3) inform the owner and any lienholders of their right to reclaim the vehicle
under section 168B.07, and;
    (3) (4) state that failure of the owner or lienholders to:
    (i) exercise their right to reclaim the vehicle and contents within the appropriate time
allowed under section 168B.051, subdivision 1, 1a, or 2, shall be deemed and under the
conditions set forth in section 168B.07, subdivision 1, constitutes a waiver by them of all
right, title, and interest in the vehicle and contents and a consent to the transfer of title to
and disposal or sale of the vehicle and contents pursuant to section 168B.08; or
    (ii) exercise their right to reclaim the contents of the vehicle within the appropriate
time allowed and under the conditions set forth in section 168B.07, subdivision 3,
constitutes a waiver by them of all right, title, and interest in the contents and consent to
sell or dispose of the contents under section 168B.08; and
    (5) state that a vehicle owner who provides to the impound lot operator
documentation from a government or nonprofit agency or legal aid office that the owner
is homeless, receives relief based on need, is eligible for legal aid services, or has a
household income at or below 50 percent of state median income has the unencumbered
right to retrieve any and all contents without charge.

    Sec. 21. Minnesota Statutes 2006, section 168B.06, subdivision 3, is amended to read:
    Subd. 3. Unauthorized vehicle; second notice. If an unauthorized vehicle remains
unclaimed after 30 days from the date the notice was sent under subdivision 2, a second
notice shall must be sent by certified mail, return receipt requested, to the registered owner,
if any, of the unauthorized vehicle and to all readily identifiable lienholders of record.

    Sec. 22. Minnesota Statutes 2006, section 168B.07, is amended by adding a
subdivision to read:
    Subd. 3. Retrieval of contents. (a) For purposes of this subdivision:
    (1) "contents" does not include any permanently affixed mechanical or
nonmechanical automobile parts; automobile body parts; or automobile accessories,
including audio or video players; and
    (2) "relief based on need" includes, but is not limited to, receipt of MFIP
and Diversionary Work Program, medical assistance, general assistance, general
assistance medical care, emergency general assistance, Minnesota supplemental aid,
MSA-emergency assistance, MinnesotaCare, Supplemental Security Income, energy
assistance, emergency assistance, food stamps, earned income tax credit, or Minnesota
working family tax credit.
    (b) A unit of government or impound lot operator shall establish reasonable
procedures for retrieval of vehicle contents, and may establish reasonable procedures to
protect the safety and security of the impound lot and its personnel.
    (c) At any time before the expiration of the waiting periods provided in section
168B.051, a registered owner who provides documentation from a government or
nonprofit agency or legal aid office that the registered owner is homeless, receives relief
based on need, is eligible for legal aid services, or has a household income at or below 50
percent of state median income has the unencumbered right to retrieve any and all contents
without charge and regardless of whether the registered owner pays incurred charges or
fees, transfers title, or reclaims the vehicle.

    Sec. 23. Minnesota Statutes 2006, section 168B.07, is amended by adding a
subdivision to read:
    Subd. 4. Waiver of rights. The failure of the registered owner or lienholders to
exercise the right to reclaim the vehicle before the expiration of the waiting periods
provided under section 168B.051 constitutes a waiver of all right, title, and interest in
the vehicle and a consent to the transfer of title to, and disposal or sale of, the vehicle
under section 168B.08. The failure of the registered owner to exercise the right provided
under subdivision 3 constitutes a waiver of all right, title, and interest in the contents and
a consent to the transfer of title to, and disposal or sale of, the contents under section
168B.08.

    Sec. 24. Minnesota Statutes 2006, section 168B.08, subdivision 1, is amended to read:
    Subdivision 1. Auction or sale. (a) If an abandoned or unauthorized vehicle and
contents taken into custody by a unit of government or any impound lot is not reclaimed
under section 168B.07, subdivision 1, it may be disposed of or sold at auction or sale when
eligible pursuant to sections 168B.06 and 168B.07. If the contents of an abandoned or
unauthorized vehicle taken into custody by a unit of government or any impound lot is not
reclaimed under section 168B.07, subdivision 3, it may be disposed of or sold at auction
or sale when eligible pursuant to sections 168B.06 and 168B.07.
    (b) The purchaser shall be given a receipt in a form prescribed by the registrar of
motor vehicles which shall be sufficient title to dispose of the vehicle. The receipt shall
also entitle the purchaser to register the vehicle and receive a certificate of title, free and
clear of all liens and claims of ownership. Before such a vehicle is issued a new certificate
of title it must receive a motor vehicle safety check.

    Sec. 25. Minnesota Statutes 2006, section 169.01, is amended by adding a subdivision
to read:
    Subd. 7a. Spotter truck. "Spotter truck" means a truck-tractor with a manufacturer's
certificate of origin "not for on road use" specification, used exclusively for staging or
shuttling trailers in the course of a truck freight operation or freight shipping operation.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires June 30, 2013.

    Sec. 26. Minnesota Statutes 2006, section 169.01, subdivision 55, is amended to read:
    Subd. 55. Implement of husbandry. "Implement of husbandry" has the meaning
given in section 168A.01, subdivision 8 means a self-propelled or towed vehicle designed
or adapted to be used exclusively for timber-harvesting, agricultural, horticultural, or
livestock-raising operations.

    Sec. 27. Minnesota Statutes 2006, section 169.01, subdivision 76, is amended to read:
    Subd. 76. Hazardous materials. "Hazardous materials" means those materials
found to be hazardous for the purposes of the federal Hazardous Materials Transportation
Act and that require the motor vehicle any material that has been designated as hazardous
under United States Code, title 49, section 5103, and is required to be placarded under
Code of Federal Regulations, title 49, parts 100-185 part 172, subpart F, or any quantity of
a material listed as a select agent or toxin in Code of Federal Regulations, title 42, part 73.

    Sec. 28. Minnesota Statutes 2006, section 169.01, is amended by adding a subdivision
to read:
    Subd. 98. Wireless communications device. "Wireless communications device"
means (1) a cellular phone, or (2) a portable electronic device that is capable of receiving
and transmitting data, including but not limited to text messages and e-mail, without an
access line for service. A wireless communications device does not include a device that
is permanently affixed to the vehicle, or a global positioning system or navigation system
when the system is used exclusively for navigation purposes.

    Sec. 29. Minnesota Statutes 2006, section 169.01, is amended by adding a subdivision
to read:
    Subd. 95. Medium-speed electric vehicle. "Medium-speed electric vehicle"
means an electrically powered four-wheeled motor vehicle, equipped with a roll cage
or crushproof body design, that can attain a maximum speed of 35 miles per hour on a
paved level surface, is fully enclosed and has at least one door for entry, has a wheelbase
of 40 inches or greater and a wheel diameter of ten inches or greater, and except with
respect to maximum speed, otherwise meets or exceeds regulations in the Code of Federal
Regulations, title 49, section 571.500, and successor requirements.

    Sec. 30. Minnesota Statutes 2006, section 169.18, subdivision 1, is amended to read:
    Subdivision 1. Keep to the right. Upon all roadways of sufficient width a vehicle
shall be driven upon the right half of the roadway, except as follows:
    (1) when overtaking and passing another vehicle proceeding in the same direction
under the rules governing such movement;
    (2) when the right half of a roadway is closed to traffic while under construction
or repair;
    (3) upon a roadway divided into three marked lanes for traffic under the rules
applicable thereon;
    (4) upon a roadway designated and signposted for one-way traffic as a one-way
roadway; or
    (5) as necessary to comply with subdivision 11 when approaching an authorized
emergency vehicle parked or stopped on the roadway.; or
    (6) as necessary to comply with subdivision 12 when approaching a road
maintenance or construction vehicle parked or stopped on the roadway.

    Sec. 31. Minnesota Statutes 2006, section 169.18, subdivision 5, is amended to read:
    Subd. 5. Driving left of roadway center; exception. (a) No vehicle shall be driven
to the left side of the center of the roadway in overtaking and passing another vehicle
proceeding in the same direction unless such left side is clearly visible and is free of
oncoming traffic for a sufficient distance ahead to permit such overtaking and passing to
be completely made without interfering with the safe operation of any vehicle approaching
from the opposite direction or any vehicle overtaken. In every event the overtaking
vehicle must return to the right-hand side of the roadway before coming within 100 feet
of any vehicle approaching from the opposite direction.
    (b) Except on a one-way roadway or as provided in paragraph (c), no vehicle shall,
in overtaking and passing another vehicle or at any other time, be driven to the left half of
the roadway under the following conditions:
    (1) when approaching the crest of a grade or upon a curve in the highway where the
driver's view along the highway is obstructed within a distance of 700 feet;
    (2) when approaching within 100 feet of any underpass or tunnel, railroad grade
crossing, intersection within a city, or intersection outside of a city if the presence of the
intersection is marked by warning signs; or
    (3) where official signs are in place prohibiting passing, or a distinctive centerline
is marked, which distinctive line also so prohibits passing, as declared in the Manual on
Uniform Traffic Control Devices adopted by the commissioner.
    (c) Paragraph (b) does not apply to a self-propelled or towed implement of
husbandry that (1) is escorted at the front by a registered motor vehicle that is displaying
vehicular hazard warning lights visible to the front and rear in normal sunlight, and (2)
does not extend into the left half of the roadway to any greater extent than made necessary
by the total width of the right half of the roadway together with any adjacent shoulder
that is suitable for travel.
    (d) Paragraph (b) does not apply to a self-propelled or towed implement of
husbandry that is operated to the left half of the roadway if such operation is not to a
greater extent than is necessary to avoid collision with a parked vehicle, sign, or other
stationary object located on the highway right-of-way.

    Sec. 32. Minnesota Statutes 2006, section 169.18, is amended by adding a subdivision
to read:
    Subd. 12. Passing certain parked vehicles. (a) When approaching and before
passing a freeway service patrol, road maintenance, or construction vehicle with its
warning lights activated that is parked or otherwise stopped on or next to a street or
highway having two lanes in the same direction, the driver of a vehicle shall safely move
the vehicle to the lane farthest away from the vehicle, if it is possible to do so.
    (b) When approaching and before passing a freeway service patrol, road
maintenance, or construction vehicle with its warning lights activated that is parked or
otherwise stopped on or next to a street or highway having more than two lanes in the
same direction, the driver of a vehicle shall safely move the vehicle so as to leave a full
lane vacant between the driver and any lane in which the vehicle is completely or partially
parked or otherwise stopped, if it is possible to do so.

    Sec. 33. Minnesota Statutes 2006, section 169.21, is amended by adding a subdivision
to read:
    Subd. 6. Driver education curriculum. The class D curriculum, in addition to
driver education classroom curriculum prescribed in rules of statutes for class D motor
vehicles, must include instruction on the duties of a driver when encountering a bicycle,
other nonmotorized vehicles, or a pedestrian.

    Sec. 34. Minnesota Statutes 2006, section 169.224, is amended to read:
169.224 NEIGHBORHOOD AND MEDIUM-SPEED ELECTRIC VEHICLES.
    Subdivision 1. Definition. For purposes of this section, "road authority" means the
commissioner, as to trunk highways; the county board, as to county state-aid highways
and county highways; the town board, as to town roads; and the governing body of
a city, as to city streets.
    Subd. 2. Required equipment. Notwithstanding any other law, a neighborhood
electric vehicle or a medium-speed electric vehicle may be operated on public streets and
highways if it meets all equipment and vehicle safety requirements in Code of Federal
Regulations, title 49, section 571.500, and successor requirements.
    Subd. 3. Operation. A neighborhood electric vehicle or a medium-speed electric
vehicle may not be operated on a street or highway with a speed limit greater than 35 miles
per hour, except to make a direct crossing of that street or highway.
    Subd. 4. Restrictions and prohibitions. (a) A road authority, including the
commissioner of transportation by order, may prohibit or further restrict the operation
of neighborhood electric vehicles and medium-speed electric vehicles on any street or
highway under the road authority's jurisdiction.
    (b) Neither a neighborhood electric vehicle nor a medium-speed electric vehicle may
not be used to take any examination to demonstrate ability to exercise control in the
operation of a motor vehicle as required under section 171.13.

    Sec. 35. [169.228] SPOTTER TRUCKS.
    Notwithstanding any other law, a spotter truck may be operated on public streets
and highways if:
    (1) the operator has the appropriate class of driver's license;
    (2) the vehicle complies with the size, weight, and load restrictions under this
chapter;
    (3) the vehicle meets all inspection requirements under section 169.781; and
    (4) the vehicle is operated (i) within a zone of two air miles from the truck freight
operation or freight shipping operation where the vehicle is housed, or (ii) directly to and
from a repair shop, service station, or fueling station for the purpose of repair, servicing,
or refueling.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires June 30, 2013.

    Sec. 36. Minnesota Statutes 2006, section 169.435, is amended to read:
169.435 STATE SCHOOL BUS SAFETY ADMINISTRATION OFFICE OF
PUPIL TRANSPORTATION SAFETY.
    Subdivision 1. Responsibility; Department of Public Safety. The Department of
Public Safety has the primary responsibility for school transportation safety. The Office of
Pupil Transportation Safety is created as a section under the Division of State Patrol. The
commissioner or the commissioner's designee shall serve as state designate a director of
pupil transportation according to subdivision 3.
    Subd. 3. Pupil transportation safety director. (a) The commissioner of public
safety or the commissioner's designee shall serve as pupil transportation safety director.
    (b) The duties of the pupil transportation safety director shall include:
    (1) overseeing all department activities related to school bus safety;
    (2) assisting in the development, interpretation, and implementation of laws
and policies relating to school bus safety, in consultation with a stakeholder group
consisting of, but not limited to, representatives of the school board association, school
superintendents, private bus contractors, directors of transportation, school bus employees
or their exclusive bargaining representatives, and parent organizations;
    (3) supervising preparation of the School Bus Inspection Manual; and
    (4) in conjunction with the Department of Education and the stakeholder group
described in clause (2), assisting school districts in developing and implementing
comprehensive transportation policies and establishing best practices for private contracts;
    (5) developing and maintaining a consistent record-keeping system to document
school bus inspections, out-of-service school transportation vehicles, driver turnover
rate, and driver files; and
    (6) conducting periodic audits of selected school districts to determine compliance
with federal law and state statute concerning: (i) school bus driver requirements and
driver employee background and license checks, including controlled substance and
alcohol testing requirements; and (ii) duty to report violations to the commissioner of
public safety. Audit results must be documented and retained by the Office of Pupil
Transportation Safety, and any statutory violations documented in the audit must be
reported to the commissioners of public safety and education.
    Subd. 4. Staff. In addition to the pupil transportation safety director, who must be a
state trooper, the Office of Pupil Transportation Safety must be staffed by a minimum of:
    (1) three state troopers, each of whom must be assigned to the metropolitan area,
northern Minnesota, or southern Minnesota; and
    (2) 15 school bus vehicle inspectors, one of whom must be designated chief
inspector. The school bus vehicle inspectors shall perform annual and spot inspections
of school buses and Head Start buses as required by law.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 37. Minnesota Statutes 2006, section 169.446, subdivision 2, is amended to read:
    Subd. 2. Driver training programs. The commissioner of public safety shall
adopt rules requiring a minimum of 30 minutes of thorough instruction concerning
section 169.444 for persons enrolled in driver training programs offered at public, private
and parochial schools, and commercial driver training schools. The instruction must
encompass at least the responsibilities of drivers, the content and requirements of section
169.444, and the penalties for violating that section.

    Sec. 38. [169.475] USE OF WIRELESS COMMUNICATIONS DEVICE.
    Subdivision 1. Definition. For purposes of this section, "electronic message"
means a self-contained piece of digital communication that is designed or intended to
be transmitted between physical devices. An electronic message includes, but is not
limited to, e-mail, a text message, an instant message, a command or request to access
a World Wide Web page, or other data that uses a commonly recognized electronic
communications protocol. An electronic message does not include voice or other data
transmitted as a result of making a phone call, or data transmitted automatically by a
wireless communications device without direct initiation by a person.
    Subd. 2. Prohibition on use. No person may operate a motor vehicle while using a
wireless communications device to compose, read, or send an electronic message, when
the vehicle is in motion or a part of traffic.
    Subd. 3. Exceptions. This section does not apply if a wireless communications
device is used:
    (1) solely in a voice-activated or other hands-free mode;
    (2) for making a cellular phone call;
    (3) for obtaining emergency assistance to (i) report a traffic accident, medical
emergency, or serious traffic hazard, or (ii) prevent a crime about to be committed;
    (4) in the reasonable belief that a person's life or safety is in immediate danger; or
    (5) in an authorized emergency vehicle while in the performance of official duties.

    Sec. 39. Minnesota Statutes 2006, section 169.67, subdivision 3, is amended to read:
    Subd. 3. Trailer, semitrailer. (a) No trailer or semitrailer with a gross vehicle
weight of 3,000 or more pounds, or a gross weight that exceeds the empty weight of the
towing vehicle, may be drawn on a highway unless it is equipped with brakes that are
adequate to control the movement of and to stop and hold the trailer or semitrailer. A
surge brake on a trailer or semitrailer meets the requirement of this paragraph for brakes
adequate to stop and hold the trailer or semitrailer.
    (b) No trailer or semitrailer that is required to have brakes and that has with a gross
vehicle weight of more than 6,000 3,000 pounds may be drawn on a highway unless it is
equipped with brakes that are so constructed that they are adequate to stop and hold the
trailer or semitrailer whenever it becomes detached from the towing vehicle.
    (c) Except as provided in paragraph (d), paragraph (a) does not apply to:
    (1) a trailer used by a farmer while transporting farm products produced on the user's
farm, or supplies back to the farm of the trailer's user;
    (2) a towed custom service vehicle drawn by a motor vehicle that is equipped with
brakes that meet the standards of subdivision 5, provided that such a towed custom service
vehicle that exceeds 30,000 pounds gross weight may not be drawn at a speed of more
than 45 miles per hour;
    (3) a trailer or semitrailer operated or used by retail dealers of implements of
husbandry while engaged exclusively in the delivery of implements of husbandry;
    (4) (2) a motor vehicle drawn by another motor vehicle that is equipped with brakes
that meet the standards of subdivision 5; and
    (5) a tank trailer of not more than 12,000 pounds gross weight owned by a distributor
of liquid fertilizer while engaged exclusively in transporting liquid fertilizer, or gaseous
fertilizer under pressure;
    (6) a trailer of not more than 12,000 pounds gross weight owned by a distributor of
dry fertilizer while engaged exclusively in the transportation of dry fertilizer; and
    (7) (3) a disabled vehicle while being towed to a place of repair.
    (d) Vehicles described in paragraph (c), clauses (1), (3), and (4) clause (2), may be
operated without complying with paragraph (a) only if the trailer or semitrailer does
not exceed the following gross weights:
    (1) 3,000 pounds while being drawn by a vehicle registered as a passenger
automobile, other than a pickup truck as defined in section 168.011, subdivision 29;
    (2) 12,000 pounds while being drawn by any other motor vehicle except a
self-propelled implement of husbandry.

    Sec. 40. Minnesota Statutes 2006, section 169.781, subdivision 1, is amended to read:
    Subdivision 1. Definitions. For purposes of sections 169.781 to 169.783:
    (a) "Commercial motor vehicle" means:
    (1) a commercial motor vehicle as defined in section 169.01, subdivision 75,
paragraph (a); and
    (2) each vehicle in a combination of more than 26,000 pounds.; and
    (3) a spotter truck.
"Commercial motor vehicle" does not include (1) a school bus or Head Start bus
displaying a certificate under section 169.451, (2) a bus operated by the Metropolitan
Council or by a local transit commission created in chapter 458A, or (3) a motor vehicle
that is required to be placarded under Code of Federal Regulations, title 49, parts 100-185.
    (b) "Commissioner" means the commissioner of public safety.
    (c) "Owner" means a person who owns, or has control, under a lease of more than 30
days' duration, of one or more commercial motor vehicles.
    (d) "Storage semitrailer" means a semitrailer that (1) is used exclusively to store
property at a location not on a street or highway, (2) does not contain any load when
moved on a street or highway, (3) is operated only during daylight hours, and (4) is marked
on each side of the semitrailer "storage only" in letters at least six inches high.
    (e) "Building mover vehicle" means a vehicle owned or leased by a building mover
as defined in section 221.81, subdivision 1, paragraph (a), and used exclusively for
moving buildings.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires June 30, 2013.

    Sec. 41. Minnesota Statutes 2006, section 169.781, subdivision 2, is amended to read:
    Subd. 2. Inspection required. It is unlawful for a person to operate or permit
the operation of:
    (1) a commercial motor vehicle registered in Minnesota or a spotter truck; or
    (2) special mobile equipment as defined in section 168.011, subdivision 22, and
which is self-propelled, if it is mounted on a commercial motor vehicle chassis,
unless the vehicle displays a valid safety inspection decal issued by an inspector certified
by the commissioner, or the vehicle carries (1) proof that the vehicle complies with
federal motor vehicle inspection requirements for vehicles in interstate commerce, and
(2) a certificate of compliance with federal requirements issued by the commissioner
under subdivision 9.
EFFECTIVE DATE.This section is effective the day following final enactment
and expires on June 30, 2013.

    Sec. 42. Minnesota Statutes 2006, section 169.781, subdivision 5, is amended to read:
    Subd. 5. Inspection decal; violation, penalty. (a) A person inspecting a
commercial motor vehicle shall issue an inspection decal for the vehicle if each inspected
component of the vehicle complies with federal motor carrier safety regulations. The decal
must state that in the month specified on the decal the vehicle was inspected and each
inspected component complied with federal motor carrier safety regulations. The decal is
valid for 12 months after the month specified on the decal. The commissioners of public
safety and transportation shall make decals available, at a fee of not more than $2 for each
decal, to persons certified to perform inspections under subdivision 3, paragraph (b).
    (b) Minnesota inspection decals may be affixed only to:
    (1) commercial motor vehicles bearing Minnesota-based license plates; or
    (2) special mobile equipment, within the meaning of subdivision 2, clause (2).
    (c) Notwithstanding paragraph (a), a person inspecting (1) a vehicle of less
than 57,000 pounds gross vehicle weight and registered as a farm truck, (2) a storage
semitrailer, or (3) a building mover vehicle must issue an inspection decal to the vehicle
unless the vehicle has one or more defects that would result in the vehicle being declared
out of service under the North American Uniform Driver, Vehicle, and Hazardous
Materials Out-of-Service Criteria issued by the Federal Highway Administration and the
Commercial Vehicle Safety Alliance. A decal issued to a vehicle described in clause (1),
(2), or (3) is valid for two years from the date of issuance. A decal issued to such a vehicle
must clearly indicate that it is valid for two years from the date of issuance.
    (d) Notwithstanding paragraph (a), a commercial motor vehicle that (1) is registered
as a farm truck, (2) is not operated more than 75 miles from the owner's home post office,
and (3) was manufactured before 1979 that has a dual transmission system, is not required
to comply with a requirement in an inspection standard that requires that the service brake
system and parking brake system be separate systems in the motor vehicle.
    (e) A person who, with the intent to defraud, falsely makes, duplicates, alters, or
forges a decal or other writing or thing purporting to be a Minnesota inspection decal
described in this subdivision is guilty of a gross misdemeanor. A person who, with the
intent to defraud, possesses a decal or other writing or thing falsely purporting to be a
Minnesota inspection decal described in this subdivision is guilty of a gross misdemeanor.

    Sec. 43. Minnesota Statutes 2006, section 169.79, is amended to read:
169.79 VEHICLE REGISTRATION; DISPLAYING LICENSE PLATES.
    Subdivision 1. Registration required. No person shall operate, drive, or park a
motor vehicle on any highway unless the vehicle is registered in accordance with the laws
of this state and has the number plates or permit confirming that valid registration or
operating authority has been obtained, except as provided in sections 168.10 and 168.12,
subdivision 2f
, as assigned to it by the commissioner of public safety, conspicuously
displayed thereon in a manner that the view of any plate or permit is not obstructed. A
plate issued under section 168.27 or a permit issued under chapter 168 may be displayed
on a vehicle in conjunction with expired registration whether or not it displays the license
plate to which the last registration was issued.
    Subd. 2. Semitrailer. If the vehicle is a semitrailer, the number plate displayed must
be assigned to the registered owner and correlate to the certificate of title documentation
on file with the department and shall not display a year indicator.
    Subd. 3. Rear display of single plate. If the vehicle is a motorcycle, motor scooter,
motorized bicycle, motorcycle sidecar, trailer registered at greater than 3,000 pounds
gross vehicle weight (GVW), semitrailer, or vehicle displaying a dealer plate, then one
license plate must be displayed horizontally with the identifying numbers and letters
facing outward from the vehicle and must be mounted in the upright position on the
rear of the vehicle.
    Subd. 3a. Small trailer. If the vehicle is a trailer with 3,000 pounds or less GVW
with lifetime registration, the numbered plate or sticker must be adhered to the side of the
trailer frame tongue near the hitch.
    Subd. 4. Collector's vehicle. If the vehicle is (1) a collector's vehicle with a pioneer,
classic car, collector, or street rod license; (2) a vehicle that meets the requirements
of a pioneer, classic, or street rod vehicle except that the vehicle is used for general
transportation purposes; or (3) a vehicle that is of model year 1972 or earlier, not registered
under section 168.10, subdivision 1c, and is used for general transportation purposes, then
one plate must be displayed on the rear of the vehicle, or one plate on the front and one
on the rear, at the discretion of the owner.
    Subd. 5. Truck-tractor, road-tractor, or farm truck. If the vehicle is a
truck-tractor, road-tractor, or farm truck, as defined in section 168.011, subdivision 17, but
excluding from that definition semitrailers and trailers, then one plate must be displayed
on the front of the vehicle.
    Subd. 6. Other motor vehicles. If the motor vehicle is any kind of motor vehicle
other than those provided for in subdivisions 2 to 4, one plate must be displayed on the
front and one on the rear of the vehicle.
    Subd. 7. Plate fastened and visible. All plates must be (1) securely fastened so as
to prevent them from swinging, (2) displayed horizontally with the identifying numbers
and letters facing outward from the vehicle, and (3) mounted in the upright position. The
person driving the motor vehicle shall keep the plate legible and unobstructed and free
from grease, dust, or other blurring material so that the lettering is plainly visible at all
times. It is unlawful to cover any assigned letters and numbers or the name of the state
of origin of a license plate with any material whatever, including any clear or colorless
material that affects the plate's visibility or reflectivity.
    Subd. 8. Plate registration stickers. As viewed facing the plates:
    (a) License plates issued to vehicles registered under section 168.017 must display
the month of expiration in the lower left corner as viewed facing the of each plate and the
year of expiration in the lower right corner as viewed facing the of each plate.
    (b) License plates issued to vehicles registered under section 168.127 must display
either fleet registration validation stickers in the lower right corner as viewed facing the
plates of each plate or distinctive license plates, issued by the registrar, with "FLEET
REG" displayed on the bottom center portion of the each plate.
    (c) License plates issued after July 1, 2008, requiring validation must display the
month of expiration in the lower left corner of each plate and the year of expiration in the
lower right corner of the plate.
    Subd. 9. Tax-exempt vehicle marking. Vehicles displaying tax-exempt plates
issued under section 16B.581 or 168.012 must have vehicle markings that comply with
section 168.012, subdivision 1.

    Sec. 44. Minnesota Statutes 2006, section 169.801, is amended to read:
169.801 IMPLEMENT OF HUSBANDRY.
    Subdivision 1. Exemption from size, weight, load provisions. Except as provided
in this section and section 169.82, the provisions of sections 169.80 to 169.88 that govern
size, weight, and load do not apply to:
    (1) a horse-drawn wagon while carrying a load of loose straw or hay;
    (2) a specialized vehicle resembling a low-slung trailer having a short bed or
platform, while transporting one or more implements of husbandry; or
    (3) an implement of husbandry while being driven or towed at a speed of not
more than 30 miles per hour; provided that this exemption applies to an implement of
husbandry owned, leased, or under the control of a farmer or implement dealer only
while the implement of husbandry is being operated on noninterstate roads or highways
within 75 miles of any farmland or implement dealership: (i) owned, leased, or operated
by the farmer or implement dealer and (ii) on which the farmer or implement dealer
regularly uses or sells or leases the implement of husbandry while operated in compliance
with this section.
    Subd. 2. Weight per inch of tire width restrictions. (a) An implement of
husbandry that is not self-propelled and is equipped with pneumatic tires may not be
operated on a public highway with a maximum wheel load that exceeds 600 pounds
per inch of tire width before August 1, 1996, and 500 pounds per inch of tire width on
and after August 1, 1996.
    (b) After December 31, 2009, a person operating or towing an implement of
husbandry on a bridge must comply with the gross weight limitations provided in section
169.824.
    Subd. 3. Hitches. A towed implement of husbandry must be equipped with (1)
safety chains that meet the requirements of section 169.82, subdivision 3, paragraph
(b); (2) a regulation fifth wheel and kingpin assembly approved by the commissioner of
public safety; or (3) a hitch pin or other hitching device with a retainer that prevents
accidental unhitching.
    Subd. 4. Bridge posting. Despite subdivision 2, a person operating or towing
an implement of husbandry must comply with a sign that limits the maximum weight
allowed on a bridge.
    Subd. 5. Height and width. A person operating, towing, or transporting an
implement of husbandry that is higher than 13 feet six inches or wider than allowed under
section 169.80, subdivision 2, must ensure that the operation or transportation does not
damage a highway structure, utility line or structure, or other fixture adjacent to or over
a public highway.
    Subd. 6. Speed. No person may operate or tow an implement of husbandry at
a speed of more than 30 miles per hour.
    Subd. 7. Driving rules. (a) An implement of husbandry may not be operated or
towed on an interstate highway.
    (b) An implement of husbandry may be operated or towed to the left of the center
of a roadway only if it is escorted at the front by a vehicle displaying hazard warning
lights visible in normal sunlight and the operation does not extend into the left half of the
roadway more than is necessary.
    Subd. 8. Lights. An implement of husbandry must be equipped with lights that
comply with section 169.55, subdivisions 2 and 3.
    Subd. 9. Slow moving vehicle emblem. An implement of husbandry must comply
with section 169.522.
    Subd. 10. Brakes. Notwithstanding section 169.67:
    (a) A self-propelled implement of husbandry must be equipped with brakes adequate
to control its movement and to stop and hold it and any vehicle it is towing.
    (b) A towed implement of husbandry must be equipped with brakes adequate to
control its movement and to stop and hold it if:
    (1) it has a gross vehicle weight of more than 24,000 pounds and was manufactured
and sold after January 1, 1994;
    (2) it has a gross vehicle weight of more than 12,000 pounds and is towed by a
vehicle other than a self-propelled implement of husbandry; or
    (3) it has a gross vehicle weight of more than 3,000 pounds and is being towed by a
registered passenger automobile other than a pickup truck as defined in section 168.011,
subdivision 29.
    (c) If a towed implement of husbandry with a gross vehicle weight of more than
6,000 pounds is required under paragraph (b) to have brakes, it must also have brakes
adequate to stop and hold it if it becomes detached from the towing vehicle.

    Sec. 45. INFRASTRUCTURE ADAPTATIONS.
    The commissioner of transportation shall investigate and recommend opportunities
for infrastructure adaptations to accommodate the implementation of manure application
technologies that lessen impacts on roads and bridges.

    Sec. 46. Minnesota Statutes 2006, section 169.82, subdivision 3, is amended to read:
    Subd. 3. Hitch, chain, or cable. (a) Every trailer or semitrailer must be hitched to
the towing motor vehicle by a device approved by the commissioner of public safety.
    (b) Every trailer and semitrailer must be equipped with safety chains or cables
permanently attached to the trailer except in cases where the coupling device is a
regulation fifth wheel and kingpin assembly approved by the commissioner of public
safety. In towing, the chains or cables must be attached to the vehicles near the points of
bumper attachments to the chassis of each vehicle, and must be of sufficient strength to
control the trailer in the event of failure of the towing device. The length of chain or cable
must be no more than necessary to permit free turning of the vehicles. A minimum fine
of $25 must be imposed for a violation of this paragraph.
    (c) This subdivision does not apply to towed implements of husbandry.
    (d) No person may be charged with a violation of this section solely by reason of
violating a maximum speed prescribed in section 169.145 or 169.67 or 169.801.

    Sec. 47. Minnesota Statutes 2006, section 169.826, subdivision 1a, is amended to read:
    Subd. 1a. Harvest season increase amount. The limitations provided in sections
169.822 to 169.829 are increased by ten percent from the beginning of harvest to
November 30 each year for the movement of sugar beets, carrots, and potatoes from the
field of harvest to the point of the first unloading. Transfer of the product from a farm
vehicle or small farm trailer, within the meaning of chapter 168, to another vehicle is not
considered to be the first unloading. A permit issued under section 169.86, subdivision 1,
paragraph (a), is required. The commissioner shall not issue permits under this subdivision
if to do so will result in a loss of federal highway funding to the state.

    Sec. 48. Minnesota Statutes 2006, section 169.85, subdivision 1, is amended to read:
    Subdivision 1. Driver to stop for weighing. (a) The driver of a vehicle that has
been lawfully stopped may be required by an officer to submit the vehicle and load to a
weighing by means of portable or stationary scales.
    (b) In addition, the officer may require that the vehicle be driven to the nearest
available scales, but only if:
    (1) the distance to the scales is no further than five miles, or if the distance from the
point where the vehicle is stopped to the vehicle's destination is not increased by more
than ten miles as a result of proceeding to the nearest available scales; and
    (2) if the vehicle is a commercial motor vehicle, no more than two other commercial
motor vehicles are waiting to be inspected at the scale.
    (c) Official traffic control devices as authorized by section 169.06 may be used to
direct the driver to the nearest scale.
    (d) When a truck weight enforcement operation is conducted by means of portable or
stationary scales, signs giving notice of the operation must be posted within the highway
right-of-way and adjacent to the roadway within two miles of the operation. The driver of
a truck or combination of vehicles registered for or weighing in excess of 12,000 with a
gross vehicle weight exceeding 10,000 pounds shall proceed to the scale site and submit
the vehicle to weighing and inspection.

    Sec. 49. Minnesota Statutes 2006, section 169.86, subdivision 8, as added by Laws
2008, chapter 287, article 1, section 58, is amended to read:
    Subd. 8. Tow truck. A tow truck or towing vehicle, when towing a disabled or
damaged vehicle to a place of repair or to a place of safekeeping, may exceed the length
and weight limitations of this chapter, subject to a $300 annual permit fee and other
conditions the commissioner may prescribe. The commissioner may issue permits to an
applicant who pays a single $300 annual fee to cover all tow trucks and towing vehicles
owned by the applicant and meets any other conditions prescribed by the commissioner.
The permit authorizes the tow truck or towing vehicle, when towing a disabled or damaged
vehicle to a place of repair or to a place of safekeeping, to exceed the length and weight
limitations of this chapter.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 50. [169.866] SPECIAL CANOLA HAULING VEHICLE PERMITS.
    Subdivision 1. Special three-unit vehicle permit. The commissioner may issue a
permit for a vehicle that meets the following requirements:
    (1) is a combination of vehicles, including a truck-tractor and a semitrailer
drawing one additional trailer or semitrailer, and no semitrailer used in the three-vehicle
combination has an overall length in excess of 28-1/2 feet;
    (2) has a maximum gross vehicle weight of 105,500 pounds;
    (3) complies with the axle weight limits in section 169.824, or with the federal
bridge formula for axle groups not described in that section;
    (4) complies with the tire weight limits in section 169.823, or the tire manufacturers'
recommended load, whichever is less;
    (5) is operated only in this state on marked Trunk Highway 175 from Hallock to the
North Dakota border, on U.S. Highway 75 from Hallock to Donaldson, and on marked
Trunk Highway 11 from Donaldson to the North Dakota border; and
    (6) the seasonal weight increases authorized under section 169.826, subdivision 1,
do not apply.
    Subd. 2. Restrictions. Vehicles issued permits under subdivision 1 must comply
with the following restrictions:
    (1) the vehicle must be operated in compliance with seasonal load restrictions under
section 169.87;
    (2) the vehicle may not be operated on the interstate highway system or national
network highways; and
    (3) the vehicle may be operated on streets or highways under the control of local
authorities only upon the approval of the local authority; however, vehicles may have
reasonable access to terminals and facilities for food, fuel, repairs, and rest, and for
continuity of route within one mile of the national network as provided by section 169.81,
subdivision 3, and by the Code of Federal Regulations, title 23, part 658.19.
    Subd. 3. Permit fee; appropriation. Vehicle permits issued under subdivision
1 must be annual permits. The fee is $850 for each vehicle and must be deposited
in the trunk highway fund. An amount sufficient to administer the permit program
is appropriated from the trunk highway fund to the commissioner for the costs of
administering the permit program.

    Sec. 51. Minnesota Statutes 2006, section 169.99, is amended by adding a subdivision
to read:
    Subd. 1c. Notice of surcharge. All parts of the uniform traffic ticket must give
conspicuous notice of the fact that, if convicted, the person to whom it was issued must
pay a state imposed surcharge under section 357.021, subdivision 6, and the current
amount of the required surcharge.
EFFECTIVE DATE.This section is effective July 1, 2008. However, law
enforcement agencies may continue to issue nonconforming tickets until the supply of
those tickets has been exhausted.

    Sec. 52. Minnesota Statutes 2006, section 171.01, subdivision 35, is amended to read:
    Subd. 35. Hazardous materials. "Hazardous materials" means those materials
found to be hazardous for the purposes of the federal Hazardous Materials Transportation
Act and that require the motor vehicle any material that has been designated as hazardous
under United States Code, title 49, section 5103, and is required to be placarded under
Code of Federal Regulations, title 49, parts 100-185 part 172, subpart F, or any quantity of
a material listed as a select agent or toxin in Code of Federal Regulations, title 42, part 73.

    Sec. 53. Minnesota Statutes 2006, section 171.01, subdivision 46, is amended to read:
    Subd. 46. School bus. "School bus" means a motor vehicle used to transport pupils
to or from a school defined in section 120A.22, or to or from school-related activities,
by the school or a school district or by someone under an agreement with the school or a
school district. A school bus does not include a motor vehicle transporting children to or
from school for which parents or guardians receive direct compensation from a school
district, a motor coach operating under charter carrier authority, a transit bus providing
services as defined in section 174.22, subdivision 7, or a vehicle otherwise qualifying as
a type III vehicle under section 169.01, subdivision 6, paragraph (5), when the vehicle
is properly registered and insured and being driven by an employee or agent of a school
district for nonscheduled transportation. has the meaning given in section 169.01,
subdivision 6.

    Sec. 54. Minnesota Statutes 2007 Supplement, section 171.02, subdivision 2, is
amended to read:
    Subd. 2. Driver's license classifications, endorsements, exemptions. (a) Drivers'
licenses are classified according to the types of vehicles that may be driven by the holder
of each type or class of license. The commissioner may, as appropriate, subdivide the
classes listed in this subdivision and issue licenses classified accordingly.
    (b) Except as provided in paragraph (c), clauses (1) and (2), and subdivision 2a, no
class of license is valid to operate a motorcycle, school bus, tank vehicle, double-trailer
or triple-trailer combination, vehicle transporting hazardous materials, or bus, unless
so endorsed. There are four general classes of licenses as described in paragraphs (c)
through (f).
    (c) Class D drivers' licenses are valid for:
    (1) operating all farm trucks if the farm truck is:
    (i) controlled and operated by a farmer, including operation by an immediate family
member or an employee of the farmer;
    (ii) used to transport agricultural products, farm machinery, or farm supplies,
including hazardous materials, to or from a farm;
    (iii) not used in the operations of a common or contract motor carrier as governed by
Code of Federal Regulations, title 49, part 365; and
    (iv) used within 150 miles of the farm;
    (2) notwithstanding paragraph (b), operating an authorized emergency vehicle,
as defined in section 169.01, subdivision 5, whether or not in excess of 26,000 pounds
gross vehicle weight;
    (3) operating a recreational vehicle as defined in section 168.011, subdivision 25,
that is operated for personal use;
    (4) operating all single-unit vehicles except vehicles with a gross vehicle weight of
more than 26,000 pounds, vehicles designed to carry more than 15 passengers including
the driver, and vehicles that carry hazardous materials;
    (5) notwithstanding paragraph (d), operating a type A school bus or a multifunctional
school activity bus without a school bus endorsement if:
    (i) the bus has a gross vehicle weight of 10,000 pounds or less;
    (ii) the bus is designed to transport 15 or fewer passengers, including the driver; and
    (iii) the requirements of subdivision 2a are satisfied, as determined by the
commissioner;
    (6) operating any vehicle or combination of vehicles when operated by a licensed
peace officer while on duty; and
    (7) towing vehicles if:
    (i) the towed vehicles have a gross vehicle weight of 10,000 pounds or less; or
    (ii) the towed vehicles have a gross vehicle weight of more than 10,000 pounds and
the combination of vehicles has a gross vehicle weight of 26,000 pounds or less.
    (d) Class C drivers' licenses are valid for:
    (1) operating class D motor vehicles;
    (2) with a hazardous materials endorsement, transporting hazardous materials in
operating class D vehicles to transport hazardous materials; and
    (3) with a passenger endorsement, operating buses; and
    (3) (4) with a passenger endorsement and school bus endorsement, operating school
buses designed to transport 15 or fewer passengers, including the driver.
    (e) Class B drivers' licenses are valid for:
    (1) operating all class C motor vehicles, class D motor vehicles, and all other
single-unit motor vehicles including, with a passenger endorsement, buses; and
    (2) towing only vehicles with a gross vehicle weight of 10,000 pounds or less.
    (f) Class A drivers' licenses are valid for operating any vehicle or combination of
vehicles.

    Sec. 55. Minnesota Statutes 2006, section 171.03, is amended to read:
171.03 PERSONS EXEMPT.
    The following persons are exempt from license hereunder:
    (a) A person in the employ or service of the United States federal government is
exempt while driving or operating a motor vehicle owned by or leased to the United
States federal government.
    (b) A person in the employ or service of the United States federal government is
exempt from the requirement to possess a valid class A, class B, or class C commercial
driver's license while driving or operating for military purposes a commercial motor
vehicle owned by or leased to for the United States federal government if the person is:
    (1) on active duty in the U. S. Coast Guard;
    (2) on active duty in a branch of the U. S. Armed Forces, which includes the Army,
Air Force, Navy, and Marine Corps;
    (3) a member of a reserve component of the U. S. Armed Forces; or
    (4) on active duty in the Army National Guard or Air National Guard, which
includes (i) a member on full-time National Guard duty, (ii) a member undergoing
part-time National Guard training, and (iii) a National Guard military technician, who is a
civilian required to wear a military uniform.
The exemption provided under this paragraph does not apply to a U. S. Armed Forces
Reserve technician.
    (c) Any person while driving or operating any farm tractor or implement of
husbandry temporarily on a highway is exempt. For purposes of this section, an all-terrain
vehicle, as defined in section 84.92, subdivision 8, an off-highway motorcycle, as defined
in section 84.787, subdivision 7, and an off-road vehicle, as defined in section 84.797,
subdivision 7
, are not implements of husbandry.
    (d) A nonresident who is at least 15 years of age and who has in immediate
possession a valid driver's license issued to the nonresident in the home state or country
may operate a motor vehicle in this state only as a driver.
    (e) A nonresident who has in immediate possession a valid commercial driver's
license issued by a state or jurisdiction in accordance with the standards of Code of
Federal Regulations, title 49, part 383, and who is operating in Minnesota the class of
commercial motor vehicle authorized by the issuing state or jurisdiction is exempt.
    (f) Any nonresident who is at least 18 years of age, whose home state or country does
not require the licensing of drivers may operate a motor vehicle as a driver, but only for a
period of not more than 90 days in any calendar year, if the motor vehicle so operated is
duly registered for the current calendar year in the home state or country of the nonresident.
    (g) Any person who becomes a resident of the state of Minnesota and who has in
possession a valid driver's license issued to the person under and pursuant to the laws of
some other state or jurisdiction or by military authorities of the United States may operate
a motor vehicle as a driver, but only for a period of not more than 60 days after becoming
a resident of this state, without being required to have a Minnesota driver's license as
provided in this chapter.
    (h) Any person who becomes a resident of the state of Minnesota and who has in
possession a valid commercial driver's license issued by another state or jurisdiction in
accordance with the standards of Code of Federal Regulations, title 49, part 383, is exempt
for not more than 30 days after becoming a resident of this state.
    (i) Any person operating a snowmobile, as defined in section 84.81, is exempt.

    Sec. 56. Minnesota Statutes 2006, section 171.055, subdivision 2, is amended to read:
    Subd. 2. Use of provisional license. (a) A provisional license holder may operate a
motor vehicle only when every occupant under the age of 18 has a seat belt or child
passenger restraint system properly fastened. A person who violates this paragraph is
subject to a fine of $25. A peace officer may not issue a citation for a violation of this
paragraph unless the officer lawfully stopped or detained the driver of the motor vehicle
for a moving violation as defined in section 171.04. The commissioner shall not record a
violation of this paragraph on a person's driving record.
    (b) A provisional license holder may not operate a vehicle while communicating
over, or otherwise operating, a cellular or wireless telephone, whether handheld or
hands free, when the vehicle is in motion. The provisional license holder may assert
as an affirmative defense that the violation was made for the sole purpose of obtaining
emergency assistance to prevent a crime about to be committed, or in the reasonable
belief that a person's life or safety was in danger. Violation of this paragraph is a petty
misdemeanor subject to section 169.89, subdivision 2.
    (c) If the holder of a provisional license during the period of provisional licensing
incurs (1) a conviction for a violation of section 169A.20, 169A.33, 169A.35, or sections
169A.50 to 169A.53, (2) a conviction for a crash-related moving violation, or (3) more
than one conviction for a moving violation that is not crash related, the person may not be
issued a driver's license until 12 consecutive months have expired since the date of the
conviction or until the person reaches the age of 18 years, whichever occurs first.
    (d) For the first six months of provisional licensure, a provisional license holder may
not operate a motor vehicle carrying more than one passenger under the age of 20 years
who is not a member of the holder's immediate family. For the second six months, the
holder of the license may not operate a motor vehicle that is carrying more than three
passengers who are under the age of 20 years and who are not members of the holder's
immediate family. This paragraph does not apply if the provisional license holder is
accompanied by a parent or guardian.
    (e) For the first six months of provisional licensure, a provisional license holder
may operate a motor vehicle between the hours of midnight and 5:00 a.m. only when
the license holder is:
    (1) driving between the license holder's home and place of employment;
    (2) driving between the license holder's home and a school event for which the
school has not provided transportation;
    (3) driving for employment purposes; or
    (4) accompanied by a licensed driver at least 25 years of age.

    Sec. 57. Minnesota Statutes 2006, section 171.0701, is amended to read:
171.0701 DRIVER EDUCATION; ORGAN AND TISSUE DONATION
CONTENT.
    (a) The commissioner shall adopt rules requiring a minimum of 30 minutes of
instruction, beginning January 1, 2007, relating to organ and tissue donations and the
provisions of section 171.07, subdivision 5, for persons enrolled in driver education
programs offered at public schools, private schools, and commercial driver training
schools.
    (b) The commissioner shall adopt rules for persons enrolled in driver education
programs offered at public schools, private schools, and commercial driver training
schools, requiring inclusion in the course of instruction, by January 1, 2009, a section on
awareness and safe interaction with commercial motor vehicle traffic. The rules must
require classroom instruction and behind-the-wheel training that includes, but is not
limited to, truck stopping distances, proper distances for following trucks, identification of
truck blind spots, and avoidance of driving in truck blind spots.
    (c) The rules adopted by the commissioner under paragraph (b) are exempt from
the rulemaking provisions of chapter 14. The rules are subject to section 14.386, except
that notwithstanding paragraph (b) of section 14.386, the rules continue in effect until
repealed or superseded by other law or rule.

    Sec. 58. Minnesota Statutes 2006, section 171.13, subdivision 1, is amended to read:
    Subdivision 1. Examination subjects and locations; provisions for color
blindness, disabled veterans. Except as otherwise provided in this section, the
commissioner shall examine each applicant for a driver's license by such agency as the
commissioner directs. This examination must include a test of applicant's eyesight; ability
to read and understand highway signs regulating, warning, and directing traffic; knowledge
of traffic laws; knowledge of the effects of alcohol and drugs on a driver's ability to operate
a motor vehicle safely and legally, and of the legal penalties and financial consequences
resulting from violations of laws prohibiting the operation of a motor vehicle while under
the influence of alcohol or drugs; knowledge of railroad grade crossing safety; knowledge
of slow-moving vehicle safety; knowledge of laws relating to pupil transportation safety,
including the significance of school bus lights, signals, stop arm, and passing a school
bus; knowledge of traffic laws related to bicycles; an actual demonstration of ability to
exercise ordinary and reasonable control in the operation of a motor vehicle; and other
physical and mental examinations as the commissioner finds necessary to determine the
applicant's fitness to operate a motor vehicle safely upon the highways, provided, further
however, no driver's license shall be denied an applicant on the exclusive grounds that the
applicant's eyesight is deficient in color perception. Provided, however, that war veterans
operating motor vehicles especially equipped for disabled persons, shall, if otherwise
entitled to a license, be granted such license. The commissioner shall make provision for
giving these examinations either in the county where the applicant resides or at a place
adjacent thereto reasonably convenient to the applicant.

    Sec. 59. Minnesota Statutes 2006, section 171.13, is amended by adding a subdivision
to read:
    Subd. 1i. Pupil transportation safety. The commissioner shall include in each
edition of the driver's manual a section relating to pupil transportation safety laws.

    Sec. 60. Minnesota Statutes 2006, section 171.13, is amended by adding a subdivision
to read:
    Subd. 1j. Driver's manual; interaction with commercial motor vehicle. The
commissioner shall include in each edition of the driver's manual published by the
department after August 1, 2008, a section that includes information on awareness and
safe interaction with commercial motor vehicle traffic.

    Sec. 61. Minnesota Statutes 2006, section 171.165, subdivision 2, is amended to read:
    Subd. 2. Implied consent revocation. The commissioner shall disqualify a person
from operating commercial motor vehicles for a revocation under section 169A.52 or a
statute or ordinance from another state or jurisdiction in conformity with it, in accordance
with for a period that is equivalent in duration under the driver disqualifications and
penalties in Code of Federal Regulations, title 49, part 383, subpart D, that pertain to a
conviction of being under the influence of alcohol or refusal to be tested.

    Sec. 62. [171.168] NOTIFICATION OF CONVICTION FOR VIOLATION BY
COMMERCIAL DRIVER.
    (a) Each person who operates a commercial motor vehicle, who has a commercial
driver's license issued by this state, and who is convicted of a criminal offense; of a serious
traffic violation, as defined in Code of Federal Regulations, title 49, section 383.5; or of
violating any other state or local law relating to motor vehicle traffic control, other than a
parking violation, in any type of motor vehicle in another state or jurisdiction, shall notify
the department's Division of Driver and Vehicle Services of the conviction. The person
shall notify the division within 30 days after the date that the person was convicted.
    (b) Each person who operates a commercial motor vehicle, who has a commercial
driver's license issued by this state, and who is convicted of violating, in any type of
motor vehicle, a Minnesota state or local law relating to motor vehicle traffic control,
other than a parking violation, shall notify the person's employer of the conviction. The
person shall notify the person's employer within 30 days after the date that the person was
convicted. If the person is not currently employed, the person shall notify the division
according to paragraph (a).
    (c) Notification to the division must be made in writing and contain the following
information:
    (1) the driver's full name;
    (2) the driver's license number;
    (3) the date of conviction;
    (4) the specific criminal or other offense; serious traffic violation, as defined in Code
of Federal Regulations, title 49, section 383.5; and any other violation of state or local
law relating to motor vehicle traffic control, for which the person was convicted and
any suspension, revocation, or cancellation of certain driving privileges that resulted
from the conviction;
    (5) an indication whether the violation was in a commercial motor vehicle;
    (6) the location of the offense; and
    (7) the driver's signature.

    Sec. 63. [171.169] NOTIFICATION OF SUSPENSION OF LICENSE OF
COMMERCIAL DRIVER.
    Each employee, as defined in Code of Federal Regulations, title 49, section 383.5,
who has a Minnesota-issued driver's license suspended, revoked, or canceled by this
state or another state or jurisdiction, who loses the right to operate a commercial motor
vehicle in this state or another state or jurisdiction for any period, or who is disqualified
from operating a commercial motor vehicle for any period, shall notify the person's
employer of the suspension, revocation, cancellation, lost privilege, or disqualification.
The employee shall notify the employer before the end of the business day following
the day the employee received notice of the suspension, revocation, cancellation, lost
privilege, or disqualification.

    Sec. 64. Minnesota Statutes 2006, section 171.321, subdivision 1, is amended to read:
    Subdivision 1. Endorsement. No person shall drive a school bus when transporting
school children to or from school or upon a school-related trip or activity without having a
valid class A, class B, or class C driver's license with a school bus endorsement except
that a person possessing a valid driver's license but not a school bus endorsement may
drive a vehicle with a seating capacity of ten or less persons used as a school bus but not
outwardly equipped or identified as a school bus type III vehicle.

    Sec. 65. Minnesota Statutes 2006, section 174.03, subdivision 1, is amended to read:
    Subdivision 1. Statewide transportation plan; priorities; schedule of
expenditures. In order to best meet the present and future transportation needs of
the public, to insure a strong state economy, to make most efficient use of public and
private funds, and to promote the more efficient use of energy and other resources for
transportation purposes, the commissioner shall:
    (1) three months after notification that the department is ready to commence
operations and prior to the drafting of the statewide transportation plan, hold public
hearings as may be appropriate solely for the purpose of receiving suggestions for future
transportation alternatives and priorities for the state. The Metropolitan Council, regional
development commissions, and port authorities shall appear at the hearings and submit
information concerning transportation-related planning undertaken and accomplished by
these agencies. Other political subdivisions may appear and submit such information at
the hearings. These hearings shall be completed no later than six months from the date of
the commissioner's notification;
    (2) develop, adopt, revise, and monitor a statewide transportation plan, taking into
account the suggestions and information submitted at the public hearings held pursuant
to clause (1). The plan shall incorporate all modes of transportation and provide for the
interconnection and coordination of different modes of transportation. The commissioner
shall evaluate alternative transportation programs and facilities proposed for inclusion
in the plan in terms of economic costs and benefits, safety aspects, impact on present
and planned land uses, environmental effects, energy efficiency, national transportation
policies and priorities, and availability of federal and other financial assistance;
    (3) based upon the statewide transportation plan, develop statewide transportation
priorities and schedule authorized public capital improvements and other authorized
public transportation expenditures pursuant to the priorities. As permitted by the federal
Surface Transportation Program and subject to available funding, the commissioner shall
give serious consideration to prioritizing for funding those trunk highway projects in
the metropolitan area, as defined in section 473.121, subdivision 2, that are consistent
with policies included in the Metropolitan Council's metropolitan development guide,
transportation policy plan, and regional development framework, and that have been
awarded funding through the federal Surface Transportation Program. In responding to an
unforeseen, catastrophic event affecting the state transportation system, the commissioner
may, upon written notification to the chairs of the senate and house of representatives
committees with jurisdiction over transportation policy and finance, prioritize projects
without regard to availability of federal funding; and
    (4) complete the plan and priorities required by this subdivision no later than July
1, 1978. Upon completion of the plan and priorities, the commissioner shall prepare
and periodically revise, as necessary, the schedule of authorized public transportation
expenditures. The plan, priorities, and schedule are exempt from the provisions of the
Administrative Procedure Act.
EFFECTIVE DATE.This section is effective January 1, 2009.

    Sec. 66. Minnesota Statutes 2006, section 174.03, is amended by adding a subdivision
to read:
    Subd. 1b. Statewide freight and passenger rail plan. (a) The commissioner
shall develop a comprehensive statewide freight and passenger rail plan to be included
and revised as a part of the statewide transportation plan.
    (b) Before the initial version of the plan is adopted, the commissioner shall provide a
copy for review and comment to the chairs and ranking minority members of the senate
and house of representatives committees with jurisdiction over transportation policy and
finance. Notwithstanding paragraph (a), the commissioner may adopt the next revision
of the statewide transportation plan, scheduled to be completed in calendar year 2009,
prior to completion of the initial version of the comprehensive statewide freight and
passenger rail plan.

    Sec. 67. Minnesota Statutes 2006, section 174.24, is amended by adding a subdivision
to read:
    Subd. 1a. Transit service needs implementation plan. The commissioner shall
develop a transit service needs implementation plan that contains a goal of meeting at
least 80 percent of unmet transit service needs in greater Minnesota by July 1, 2015,
and meeting at least 90 percent of unmet transit service needs in greater Minnesota by
July 1, 2025. The plan must include, but is not limited to, the following: an analysis of
ridership and transit service needs throughout greater Minnesota; a calculation of unmet
needs; an assessment of the level and type of service required to meet unmet needs; an
analysis of costs and revenue options; and, a plan to reduce unmet transit service needs as
specified in this subdivision. The plan must specifically address special transportation
service ridership and needs. The commissioner may amend the plan as necessary, and
may use all or part of the 2001 greater Minnesota public transportation plan created by the
Minnesota Department of Transportation.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 68. [174.247] ANNUAL TRANSIT REPORT.
    (a) By February 15 annually, the commissioner shall submit a report to the legislature
on transit services outside the metropolitan area. The Metropolitan Council and any
public transit system receiving assistance under section 174.24 shall provide assistance
in creating the report, as requested by the commissioner.
    (b) The report must include, at a minimum, the following:
    (1) a descriptive overview of public transit in Minnesota;
    (2) a descriptive summary of funding sources and assistance programs;
    (3) a summary of each public transit system receiving assistance under section
174.24;
    (4) data that identifies use of volunteers in providing transit service;
    (5) financial data that identifies operating and capital costs, and funding sources,
for each public transit system and for each transit system classification under section
174.24, subdivision 3b; and
    (6) in each odd-numbered year, beginning in 2009, a calculation of the amounts of
surplus or insufficient funds available for (i) paying the state share of transit operating
costs under section 174.24, subdivision 3b, and (ii) paying capital and operating costs to
fully implement the transit service needs implementation plan under section 147.24,
subdivision 1a.
EFFECTIVE DATE.This section is effective January 1, 2009.

    Sec. 69. [174.37] ADVISORY COMMITTEE ON NONMOTORIZED
TRANSPORTATION.
    Subdivision 1. Purpose. (a) The commissioner of transportation shall establish
an advisory committee on nonmotorized transportation. The committee shall make
recommendations to the commissioner on items related to nonmotorized transportation,
including safety, education, and development programs. The committee shall review and
analyze issues and needs relating to operating nonmotorized transportation on public
rights-of-way, and identify solutions and goals for addressing identified issues and needs.
    (b) For purposes of this section, "nonmotorized transportation" includes bicycling,
pedestrian activities, and other forms of nonmotorized transportation.
    Subd. 2. Members. The advisory committee must consist of the following members:
    (a) The commissioner of transportation shall appoint up to 18 public members, as
follows: one member from each of the department's seven greater Minnesota districts;
four members from the department's metropolitan district; and no more than seven
members at large. Each of the members at large must represent nonmotorized interests or
organizations.
    (b) The commissioners of each of the following state agencies shall appoint
an employee of the agency to serve as a member: administration, education, health,
natural resources, public safety, transportation, and pollution control. The chair of the
Metropolitan Council shall appoint an employee of the council to serve as a member. The
director of Explore Minnesota Tourism shall appoint an employee of the agency to serve
as a member. The division administrator of the Federal Highway Administration may
appoint an employee of the agency to serve as a member.
    (c) Members of the committee shall serve four-year terms.
    Subd. 3. Meetings. The commissioner of transportation's designee shall convene the
first meeting by January 15, 2009. The committee shall elect a chair from its membership,
and shall establish a meeting schedule and meet at least annually.
    Subd. 4. Reports. The committee shall issue an annual report to the commissioner
of transportation.
    Subd. 5. Expenses. Members of the advisory committee serve without
compensation, but members who are not employees of government agencies must
be reimbursed for expenses in the same manner and amount as authorized by the
commissioner's plan adopted under section 43A.18, subdivision 2. The commissioner of
transportation shall provide department staff support to the committee.
    Subd. 6. Expiration. Notwithstanding section 15.059, subdivision 5, the committee
expires June 30, 2014.

    Sec. 70. Minnesota Statutes 2006, section 221.011, is amended by adding a subdivision
to read:
    Subd. 50. Out-of-service order. "Out-of-service order" has the meaning given it in
Code of Federal Regulations, title 49, section 383.5.

    Sec. 71. Minnesota Statutes 2006, section 221.031, subdivision 1, is amended to read:
    Subdivision 1. Powers, duties, reports, limitations. (a) This subdivision applies to
motor carriers engaged in intrastate commerce.
    (b) The commissioner shall prescribe rules for the operation of motor carriers,
including their facilities; accounts; leasing of vehicles and drivers; service; safe operation
of vehicles; equipment, parts, and accessories; hours of service of drivers; driver
qualifications; accident reporting; identification of vehicles; installation of safety devices;
inspection, repair, and maintenance; and proper automatic speed regulators if, in the
opinion of the commissioner, there is a need for the rules.
    (c) The commissioner shall direct the repair and reconstruction or replacement of
an inadequate or unsafe motor carrier vehicle or facility. The commissioner may require
the construction and maintenance or furnishing of suitable and proper freight terminals,
passenger depots, waiting rooms, and accommodations or shelters in a city in this state or
at a point on the highway traversed which the commissioner, after investigation by the
department, may deem just and proper for the protection of passengers or property.
    (d) The commissioner shall require holders of household goods mover permits to file
annual and other reports including annual accounts of motor carriers, schedules of rates
and charges, or other data by motor carriers, regulate motor carriers in matters affecting
the relationship between them and the traveling and shipping public, and prescribe other
rules as may be necessary to carry out the provisions of this chapter.
    (e) A motor carrier subject to paragraph (d) but having gross revenues from for-hire
transportation in a calendar year of less than $200,000 may, at the discretion of the
commissioner, be exempted from the filing of an annual report, if instead the motor carrier
files an abbreviated annual report, in a form as may be prescribed by the commissioner,
attesting that the motor carrier's gross revenues did not exceed $200,000 in the previous
calendar year. Motor carrier gross revenues from for-hire transportation, for the purposes
of this subdivision only, do not include gross revenues received from the operation of
school buses as defined in section 169.01, subdivision 6.
    (f) The commissioner shall enforce sections 169.781 to 169.783.

    Sec. 72. Minnesota Statutes 2006, section 221.036, subdivision 1, is amended to read:
    Subdivision 1. Order. The commissioner may issue an order requiring violations
to be corrected and administratively assessing monetary penalties for a violation of
(1) section 221.021; (2) section 221.033, subdivision 2b; (3) section 221.151; (4)
section 221.171; (5) section 221.141; (6) a federal, state, or local law, regulation, rule,
or ordinance pertaining to railroad-highway grade crossings; or (6) (7) rules of the
commissioner relating to the transportation of hazardous waste, motor carrier operations,
insurance, or tariffs and accounting. An order must be issued as provided in this section.

    Sec. 73. Minnesota Statutes 2006, section 221.036, subdivision 3, is amended to read:
    Subd. 3. Amount of penalty; considerations. (a) The commissioner may issue an
order assessing a penalty of up to $5,000 for all violations of section 221.021; 221.141;
221.151; or 221.171, or rules of the commissioner relating to motor carrier operations,
insurance, or tariffs and accounting, identified during a single inspection, audit, or
investigation.
    (b) The commissioner may issue an order assessing a penalty up to a maximum of
$10,000 for all violations of section 221.033, subdivision 2b, identified during a single
inspection or audit.
    (c) In determining the amount of a penalty, the commissioner shall consider:
    (1) the willfulness of the violation;
    (2) the gravity of the violation, including damage to humans, animals, air, water,
land, or other natural resources of the state;
    (3) the history of past violations, including the similarity of the most recent violation
and the violation to be penalized, the time elapsed since the last violation, the number of
previous violations, and the response of the person to the most recent violation identified;
    (4) the economic benefit gained by the person by allowing or committing the
violation; and
    (5) other factors as justice may require, if the commissioner specifically identifies
the additional factors in the commissioner's order.
    (d) The commissioner shall assess a penalty of not less than $1,000 against a driver
who is convicted of a violation of an out-of-service order. The commissioner shall assess
a penalty of not more than $10,000 against an employer who knowingly allows or requires
an employee to operate a commercial motor vehicle in violation of an out-of-service order.
in accordance with Code of Federal Regulations, title 49, section 383.53 against:
    (1) a driver who is convicted of a violation of an out-of-service order;
    (2) an employer who knowingly allows or requires an employee to operate a
commercial motor vehicle in violation of an out-of-service order; or
    (3) an employer who knowingly allows or requires an employee to operate a
commercial motor vehicle in violation of a federal, state, or local law or regulation
pertaining to railroad-highway grade crossings.

    Sec. 74. Minnesota Statutes 2006, section 221.121, subdivision 1, is amended to read:
    Subdivision 1. Petition; notice and hearing; scope. (a) A person desiring to operate
as a permit carrier, except as provided in subdivision 5 or section 221.296, shall file a
petition with the commissioner specifying the kind of permit desired, the name and address
of the petitioner and the names and addresses of the officers, if a corporation, and other
information as the commissioner may require. Letters of shipper support must be filed with
the petition. No person shall knowingly make a false or misleading statement in a petition.
    (b) The commissioner, after notice to interested parties and a hearing, shall issue the
permit upon compliance with the laws and rules relating to it, if it finds that petitioner is
fit and able to conduct the proposed operations, that petitioner's vehicles meet the safety
standards established by the department, that the area to be served has a need for the
transportation services requested in the petition, and that existing permit and certificated
carriers in the area to be served have failed to demonstrate that they offer sufficient
transportation services to meet fully and adequately those needs, provided that no person
who holds a permit at the time sections 221.011 to 221.291 take effect may be denied
a renewal of the permit upon compliance with other provisions of sections 221.011 to
221.291.
    (c) A permit once granted continues in full force and effect until abandoned or unless
suspended or revoked, subject to compliance by the permit holder with the applicable
provisions of law and the rules of the commissioner governing permit carriers.
    (d) No permit may be issued to a common carrier by rail permitting the common
carrier to operate trucks for hire within this state, nor may a common carrier by rail be
permitted to own, lease, operate, control, or have an interest in a permit carrier by truck,
either by stock ownership or otherwise, directly, indirectly, through a holding company,
or by stockholders or directors in common, or in any other manner. Nothing in sections
221.011 to 221.291 prevents the commissioner from issuing a permit to a common carrier
by rail authorizing the carrier to operate trucks wholly within the limits of a municipality or
within adjacent or contiguous municipalities or a common rate point served by the railroad
and only as a service supplementary to the rail service now established by the carriers.

    Sec. 75. Minnesota Statutes 2006, section 221.121, subdivision 6a, is amended to read:
    Subd. 6a. Household goods carrier. A person who desires to hold out or to operate
as a carrier of household goods shall follow the procedure established in subdivision 1,
and shall specifically request a household goods mover permit. The permit granted by
the commissioner to a person who meets the criteria established in this subdivision and
subdivision 1 shall authorize the person to hold out and to operate as a household goods
mover. A person who provides or offers to provide household goods packing services
and who makes any arrangement directly or indirectly by lease, rental, referral, or by
other means to provide or to obtain drivers, vehicles, or transportation service for moving
household goods, must have a household goods mover permit file an application with
the commissioner on a form the commissioner prescribes. Notwithstanding this or any
other section or rule to the contrary, the commissioner must not provide public notice
or hearing when reviewing the application or before granting the requested operating
authority. All permits granted to household goods carriers must allow statewide operation.
Notwithstanding any geographical restrictions imposed upon a permit at the time it was
granted or any section or rule to the contrary, the holder of a household goods permit may
operate statewide.

    Sec. 76. Minnesota Statutes 2006, section 221.151, subdivision 1, is amended to read:
    Subdivision 1. Petition. (a) Permits, except livestock permits, issued under section
221.121 may be assigned or transferred but only upon the order of the commissioner
approving the transfer or assignment after notice and hearing.
    (b) The proposed seller and buyer or lessor and lessee of a permit, except for
livestock carrier permits, shall file a joint notarized petition with the commissioner setting
forth the name and address of the parties, the identifying number of the permit, and the
description of the authority which the parties seek to sell or lease, a short statement of
the reasons for the proposed sale or lease, a statement of outstanding claims of creditors
which are directly attributable to the operation to be conducted under the permit, a copy of
the contract of sale or lease, and a financial statement with a balance sheet and an income
statement, if existent, of the buyer or lessee. If it appears to the commissioner, after notice
to interested parties and a hearing, from the contents of the petition, from the evidence
produced at the hearing, and from the department's records, files, and investigation that
the approval of the sale or lease of the permit will not adversely affect the rights of the
users of the service and will not have an adverse effect upon other competing carriers,
the commissioner may make an order granting the sale or lease. Provided, however, that
the commissioner shall make no order granting the sale or lease of a permit to a person
or corporation or association which holds a certificate or permit other than local cartage
carrier permit from the commissioner under this chapter or to a common carrier by rail.
    Provided further that the commissioner shall make no order approving the sale or
lease of a permit if the commissioner finds that the price paid for the sale or lease of a
permit is disproportionate to the reasonable value of the permit considering the assets and
goodwill involved. The commissioner shall approve the sale or lease of a permit only after
a finding that the transferee is fit and able to conduct the operations authorized under the
permit and that the vehicles the transferee proposes to use in conducting the operations
meet the safety standards of the commissioner. In determining the extent of the operating
authority to be conducted by the transferee under the sale or lease of the permit, the past
operations of the transferor within the two-year period immediately preceding the transfer
must be considered. Only such operating authority may be granted to the transferee as was
actually exercised by the transferor under the transferor's authority within the two-year
period immediately preceding the transfer as evidenced by bills of lading, company
records, operation records, or other relevant evidence. For purposes of determining the
two-year period, the date of divesting of interest or control is the date of the sale.
    (c) The commissioner shall look to the substance of the transaction rather than the
form. An agreement for the transfer or sale of a permit must be reported and filed with the
commissioner within 30 days of the agreement.
    (d) If an authority to operate as a permit carrier is held by a corporation, a sale,
assignment, pledge, or other transfer of the stock interest in the corporation which will
accomplish a substantial or material change or transfer of the majority ownership of
the corporation, as exercised through its stockholders, must be reported in the manner
prescribed in the rules of the commissioner within 30 days after the sale, assignment,
pledge, or other transfer of stock. The commissioner shall then make a finding whether or
not the stock transfer does, in fact, constitute a sale, lease, or other transfer of the permit of
the corporation to a new party or parties and, if they so find, then the continuance of the
permit issued to the corporation may only be upon the corporation's complying with the
standards and procedures otherwise imposed by this section.

    Sec. 77. Minnesota Statutes 2006, section 221.221, subdivision 2, is amended to read:
    Subd. 2. Enforcement powers. (a) Transportation program specialists and
hazardous material program specialists of the department, for the purpose of enforcing are
authorized to enforce (1) this chapter, sections 169.781 to 169.783 relating to commercial
vehicle inspections, and sections 168D.05 and 168D.12 relating to motor carrier licenses
and trip permits, (2) Code of Federal Regulations, title 49, parts 40 and 382, and (3)
the applicable rules, orders, or directives of the commissioner of transportation and the
commissioner of revenue, issued under this chapter and chapter 168D or 296A, but for
no other purpose, have the powers conferred by law upon police officers. The powers
include the authority to and (4) the North American Uniform Out-Of-Service Criteria,
including issuing out-of-service orders, as defined in Code of Federal Regulations, title 49,
section 383.5, and they may conduct inspections at designated highway weigh stations
or under other appropriate circumstances.
    (b) Transportation program specialists and hazardous material program specialists
of the department must not be armed and, except as provided in this section, have none
of the other powers and privileges reserved to peace officers, including the power to
enforce traffic laws and regulations.

    Sec. 78. Minnesota Statutes 2006, section 222.50, subdivision 7, is amended to read:
    Subd. 7. Expenditures. (a) The commissioner may expend money from the rail
service improvement account for the following purposes:
    (1) to make transfers as provided under section 222.57 or to pay interest adjustments
on loans guaranteed under the state rail user and rail carrier loan guarantee program;
    (2) to pay a portion of the costs of capital improvement projects designed to improve
rail service including construction or improvement of short segments of rail line such
as side track, team track, and connections between existing lines, and construction and
improvement of loading, unloading, storage, and transfer facilities of a rail user;
    (3) to acquire, maintain, manage, and dispose of railroad right-of-way pursuant to
the state rail bank program;
    (4) to provide for aerial photography survey of proposed and abandoned railroad
tracks for the purpose of recording and reestablishing by analytical triangulation the
existing alignment of the inplace track;
    (5) to pay a portion of the costs of acquiring a rail line by a regional railroad
authority established pursuant to chapter 398A;
    (6) to pay the state matching portion of federal grants for rail-highway grade
crossing improvement projects; and
    (7) to fund rail planning studies.
    (b) All money derived by the commissioner from the disposition of railroad
right-of-way or of any other property acquired pursuant to sections 222.46 to 222.62 shall
be deposited in the rail service improvement account.

    Sec. 79. Minnesota Statutes 2006, section 239.791, subdivision 10, is amended to read:
    Subd. 10. Exemption for airport, marina, mooring facility, and resort. A person
responsible for the product may offer for sale, sell, or dispense at an airport, marina,
mooring facility, or resort, for use in airplanes or for purposes listed under subdivision
12, paragraph (a), gasoline that is not oxygenated in accordance with subdivision 1 if the
gasoline is unleaded premium grade as defined in section 239.751, subdivision 4.

    Sec. 80. Minnesota Statutes 2006, section 239.791, is amended by adding a subdivision
to read:
    Subd. 10a. Exemption for resorts, marinas, and houseboat rental companies. A
person responsible for the product may offer for sale, sell, or dispense at a resort, marina, or
houseboat rental company gasoline that is not oxygenated in accordance with subdivision
1 if the gasoline: has an octane rating of 87 or higher; is delivered into onsite bulk storage;
and is not used for a licensed motor vehicle as defined in section 168.011, subdivision 4.

    Sec. 81. Minnesota Statutes 2006, section 299D.03, subdivision 1, is amended to read:
    Subdivision 1. Members, powers, and duties. (a) The commissioner is hereby
authorized to employ and designate a chief supervisor, a chief assistant supervisor, and
such assistant supervisors, sergeants and officers as are provided by law, who shall
comprise the Minnesota State Patrol.
    (b) The members of the Minnesota State Patrol shall have the power and authority:
    (1) as peace officers to enforce the provisions of the law relating to the protection of
and use of trunk highways;
    (2) at all times to direct all traffic on trunk highways in conformance with law, and in
the event of a fire or other emergency, or to expedite traffic or to insure safety, to direct
traffic on other roads as conditions may require notwithstanding the provisions of law;
    (3) to serve search warrants related to criminal motor vehicle and traffic violations
and arrest warrants, and legal documents anywhere in the state;
    (4) to serve orders of the commissioner of public safety or the commissioner's duly
authorized agents issued under the provisions of the Driver's License Law, the Safety
Responsibility Act, or relating to authorized brake- and light-testing stations, anywhere
in the state and to take possession of any license, permit, or certificate ordered to be
surrendered;
    (5) to inspect official brake and light adjusting stations;
    (6) to make appearances anywhere within the state for the purpose of conducting
traffic safety educational programs and school bus clinics;
    (7) to exercise upon all trunk highways the same powers with respect to the
enforcement of laws relating to crimes, as sheriffs and police officers;
    (8) to cooperate, under instructions and rules of the commissioner of public
safety, with all sheriffs and other police officers anywhere in the state, provided that
said employees shall have no power or authority in connection with strikes or industrial
disputes;
    (9) to assist and aid any peace officer whose life or safety is in jeopardy;
    (10) as peace officers to provide security and protection to the governor, governor
elect, either or both houses of the legislature, and state buildings or property in the manner
and to the extent determined to be necessary after consultation with the governor, or a
designee. Pursuant to this clause, members of the State Patrol, acting as peace officers
have the same powers with respect to the enforcement of laws relating to crimes, as
sheriffs and police officers have within their respective jurisdictions;
    (11) to inspect school buses anywhere in the state for the purposes of determining
compliance with vehicle equipment, pollution control, and registration requirements;
    (12) as peace officers to make arrests for public offenses committed in their presence
anywhere within the state. Persons arrested for violations other than traffic violations
shall be referred forthwith to the appropriate local law enforcement agency for further
investigation or disposition.; and
    (13) to enforce the North American uniform out-of-service criteria and issue
out-of-service orders, as defined in Code of Federal Regulations, title 49, section 383.5.
    (c) The state may contract for State Patrol members to render the services described
in this section in excess of their regularly scheduled duty hours and patrol members
rendering such services shall be compensated in such amounts, manner and under such
conditions as the agreement provides.
    (d) Employees thus employed and designated shall subscribe an oath.

    Sec. 82. Minnesota Statutes 2006, section 299D.06, is amended to read:
299D.06 PATROL EMPLOYEES WHO ARE NOT TROOPERS.
    (a) Department personnel must be classified employees assigned to the Division of
State Patrol if they are employed to enforce:
    (1) laws relating to motor vehicle equipment; school bus equipment; drivers'
licenses; motor vehicle registration; motor vehicle size and weight; motor carrier
insurance, registration, and safety; and motor vehicle petroleum taxes;
    (2) Pollution Control Agency rules relating to motor vehicle noise abatement; and
    (3) laws relating to directing the movement of vehicles.; and
    (4) the North American uniform out-of-service criteria and issue out-of-service
orders, as defined in Code of Federal Regulations, title 49, section 383.5.
    (b) Employees engaged in these duties, while actually on the job during their
working hours only, shall have power to:
    (1) issue citations in lieu of arrest and continued detention; and
    (2) prepare notices to appear in court for violation of these laws and rules, in the
manner provided in section 169.91, subdivision 3.
    (c) They shall not be armed and, except as provided in this section, shall have none
of the other powers and privileges reserved to peace officers including the power to
enforce traffic laws and regulations.

    Sec. 83. Minnesota Statutes 2006, section 465.74, is amended by adding a subdivision
to read:
    Subd. 10. Facility relocation costs. Notwithstanding any contrary provisions
in section 237.163, and rules adopted under that section, public right-of-way users
under Minnesota Rules, chapter 7819, including, but not limited to, district heating and
district cooling nonprofit corporations organized under chapter 317A that are exempt
organizations under section 501(c)(3) of the United States Internal Revenue Code, are
eligible to receive grants and federal money for costs of relocating facilities from public
rights-of-way to prevent interference with public light rail projects, unless eligibility
would impact the project's Federal Transit Authority required cost effectiveness index.

    Sec. 84. Minnesota Statutes 2006, section 473.13, subdivision 1a, is amended to read:
    Subd. 1a. Program evaluation. The budget procedure of the council must include a
substantive assessment and evaluation of the effectiveness of each significant program of
the council, with, to the extent possible, quantitative information on the status, progress,
costs, benefits, and effects of each program. An assessment of progress towards meeting
transit goals for people with disabilities must be included, with required elements
including, but not limited to:
    (1) a description of proposed program enhancements;
    (2) an assessment of progress;
    (3) identification of the estimated total number of potential and actual riders who are
disabled;
    (4) an assessment of the level and type of service required to meet unmet ridership
needs; and
    (5) an analysis of costs and revenue options, including a calculation of the amounts
of surplus or insufficient funds available for achieving paratransit needs.
The council shall transmit the evaluation to the legislature annually.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 85. Minnesota Statutes 2006, section 473.399, is amended by adding a subdivision
to read:
    Subd. 5. Availability of light rail transit information. The Metropolitan Council
shall maintain in a centralized location on an Internet Web site, for each light rail transit
line operated by the council and for each year of operation of the line:
    (1) financial data, including revenue by source and operating and capital expenses;
and
    (2) ridership information, including ridership and passenger miles.

    Sec. 86. Laws 1976, chapter 199, section 14, subdivision 1, as amended by Laws 1984,
chapter 572, section 3, subdivision 1, is amended to read:
    Subdivision 1. Safety regulation study. The commissioner of transportation, with
the cooperation of representatives of regional and local units of government and law
enforcement agencies, the state trail council, the Governor's trail advisory committee, the
commissioner of public safety, highway user groups and associations, and cycling groups
and associations shall review and analyze problems relating to the operation of bicycles on
the public roads and ways.
    As part of this review and analysis the commissioner shall review the Minnesota
motor vehicle code to identify provisions which give motorists and bicyclists inadequate
guidelines where such traffic conflicts or which may be inconsistent or ambiguous when
applied to traffic situations involving special bicycle facilities within or adjacent to public
streets and highways.
    No later than January 15, 1977 the commissioner shall report the results of this
review and analysis and recommendations for any necessary action to the legislative
committees having jurisdiction over the subject.
    Following the completion of the study the advisory committee on bicycling formed
by the commissioner under this subdivision shall continue to function under that name in
an advisory capacity to make recommendations to the commissioners of transportation and
public safety and the legislature on bicycle safety and bicycle education and development
programs.

    Sec. 87. ENGINE BRAKES; REGULATION BY MINNEAPOLIS.
    Notwithstanding any other law or charter provision, the governing body of the city
of Minneapolis may by ordinance restrict or prohibit the use of an engine brake on motor
vehicles along Legislative Route No. 107, also known as marked Interstate Highway 394,
beginning at the South Penn Avenue interchange in the city of Minneapolis and thence
extending easterly to the terminus of marked Interstate Highway 394. Upon notification
to the commissioner of transportation by the city of Minneapolis, the commissioner of
transportation shall erect the appropriate signs, with the cost of the signs to be paid by the
city. For purposes of this section, "engine brake" means any device that uses the engine
and transmission to impede the forward motion of the motor vehicle by compression
of the engine.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 88. LITTLE CROW TRANSIT WAY.
    The commissioner of transportation and the Metropolitan Council shall reference in
planning or study documents any commuter rail or other transit service proposal along
or near marked Trunk Highway 12 between Willmar and downtown Minneapolis as the
Little Crow transit way.

    Sec. 89. HIGHWAY CHANGES; REPEALERS; EFFECTIVE DATES;
REVISOR INSTRUCTIONS.
    Subdivision 1. Legislative Route No. 295 removed. (a) Minnesota Statutes 2006,
section 161.115, subdivision 226, is repealed effective the day after the commissioner of
transportation receives a copy of the agreement between the commissioner and the city of
St. Peter to transfer jurisdiction of Legislative Route No. 295 to the city of St. Peter and
notifies the revisor of statutes under paragraph (b).
    (b) The revisor of statutes shall delete the route identified in paragraph (a) from
Minnesota Statutes when the commissioner of transportation sends notice to the revisor in
writing that the conditions required to transfer the route are satisfied.
    Subd. 2. Legislative Route No. 335 removed. (a) Minnesota Statutes 2006,
section 161.115, subdivision 266, is repealed effective the day after the commissioner of
transportation receives a copy of the agreement between the commissioner and the city of
St. Peter to transfer jurisdiction of Legislative Route No. 335 to the city of St. Peter and
notifies the revisor of statutes under paragraph (b).
    (b) The revisor of statutes shall delete the route identified in paragraph (a) from
Minnesota Statutes when the commissioner of transportation sends notice to the revisor in
writing that the conditions required to transfer the route are satisfied.

    Sec. 90. RIGHT-OF-WAY TRANSFERRED TO STATE RAIL BANK.
    (a) Notwithstanding Minnesota Statutes, section 16B.281, 16B.282, 92.45, or any
other law to the contrary, the trunk highway right-of-way described in paragraph (b) is
hereby transferred to the state rail bank under Minnesota Statutes, section 222.63, being
a certain parcel of land located in the county of Otter Tail, state of Minnesota, being
more particularly described in paragraph (b).
    (b) All of Tracts A, B, and C described below:
TRACT A
That part of Government Lot 1 of Section 12, Township 132 North, Range
43 West, Otter Tail County, Minnesota, lying Northeasterly of the former
Southwesterly right-of-way line of the BNSF Railway Company (formerly the
St. Paul, Minneapolis and Manitoba Railway Company);
TRACT B
A strip of land 150 feet in width, being 75 feet on each side of the former
centerline of the BNSF Railway Company (formerly the St. Paul, Minneapolis
and Manitoba Railway Company) across the SW1/4NW1/4 of Section 12,
Township 132 North, Range 43 West, Otter Tail County, Minnesota, said strip
extending from the South line to the West line of said SW1/4NW1/4; together
with that part of said SW1/4NW1/4 adjoining and Westerly of the above
described strip and Easterly of the Easterly right-of-way line of said railroad
company as located prior to 1888;
TRACT C
A strip of land 100 feet in width, being 50 feet on each side of the former
centerline of the BNSF Railway Company (formerly the St. Paul, Minneapolis
and Manitoba Railway Company) across the E1/2NE1/4 of Section 11,
Township 132 North, Range 43 West, Otter Tail County, Minnesota, said strip
extending from the East to the North line of said E1/2NE1/4;
together with that part of Tract D described below:
TRACT D
A strip of land 100 feet in width, being 50 feet on each side of the former
centerline of the BNSF Railway Company (formerly the St. Paul, Minneapolis
and Manitoba Railway Company) across the E1/2 of Section 2, Township 132
North, Range 43 West, Otter Tail County, Minnesota;
which lies Southeasterly of a line run parallel with and distant 135 feet Southeasterly of
Line 1 described below:
LINE 1.
Beginning at a point on the North and South Quarter line of said Section 2,
distant 1,060.11 feet North of the South Quarter corner thereof; thence run
Northeasterly at an angle of 72°36'15" (measured from North to East) from said
North and South Quarter line for 1,600 feet and there terminating;
together with all right of access, being the right of ingress to and egress from that part of
Tract D hereinbefore described, not acquired herein, to the above described strip.

    Sec. 91. BRIDGE INFRASTRUCTURE PLANNING.
    Subdivision 1. Trunk highway bridge improvements. In conjunction with the
planning or design for construction, reconstruction, or replacement of a trunk highway
bridge in the metropolitan area, within the meaning of Minnesota Statutes, section 473.121,
the commissioner of transportation shall consult with the chair of the Metropolitan Council
to identify necessary or feasible transit infrastructure and improvements in the corridor.
    Subd. 2. Planning and development. The commissioner and the chair shall
develop a process to coordinate planning and development of highway and transit projects
to enhance the efficient use of resources, facilitate selection of appropriate infrastructure
choices, and provide a balanced transportation system for the metropolitan area.

    Sec. 92. CREATION OF PLAN, REPORTS, AND ASSESSMENTS.
    The Department of Transportation and the Metropolitan Council shall create the
plan, reports, and assessments required in Minnesota Statutes, sections 174.24, subdivision
1a; 174.247; and 473.13, subdivision 1a, within current appropriation levels.

    Sec. 93. REPORT ON OFFICE OF PUPIL TRANSPORTATION SAFETY.
    By January 15, 2009, the commissioner of public safety and the director of pupil
transportation safety must report to the chairs and ranking minority members of the
senate and house of representatives committees with jurisdiction over transportation
and education policy and finance concerning the Office of Pupil Transportation Safety,
including adequacy of funding, staffing levels, available technology to carry out the
requirements of Minnesota Statutes, section 169.435, and any recommended legislation to
improve the ability of the pupil transportation safety director to perform statutory duties.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 94. COMPLETE STREETS.
    The commissioner of transportation, in cooperation with the Metropolitan Council
and representatives of counties, statutory and home rule charter cities, and towns, shall
study the benefits, feasibility, and cost of adopting a complete streets policy applicable to
plans to construct, reconstruct, and relocate streets and roads that includes the following
elements:
    (1) safe access for all users, including pedestrians, bicyclists, motorists, and transit
riders;
    (2) bicycle and pedestrian ways in urbanized areas except where bicyclists and
pedestrians are prohibited by law, where costs would be excessively disproportionate, and
where there is no need for bicycle and pedestrian ways;
    (3) paved shoulders on rural roads;
    (4) safe pedestrian travel, including for people with disabilities, on sidewalks and
street crossings;
    (5) utilization of the latest and best design standards; and
    (6) consistency of complete streets plan with community context.
    The commissioner shall report findings, conclusions, and recommendations to
the senate Transportation Budget and Policy Division and the house of representatives
Transportation Finance Division and Transportation and Transit Policy Subcommittee by
December 5, 2009.

    Sec. 95. APPROPRIATION.
    $575,000 is appropriated from the trunk highway fund to the commissioner of public
safety in fiscal year 2009 to implement and operate the Office of Pupil Transportation
Safety.
EFFECTIVE DATE.This section is effective the day following final enactment.

    Sec. 96. REVISOR'S INSTRUCTION.
    The revisor of statutes shall change the terms "type III school bus," "type III bus," and
"type III Head Start bus" to "type III vehicle," and the terms "type III school buses," "type
III buses," and "type III Head Start buses" to "type III vehicles," in Minnesota Statutes,
chapters 169, 169A, and 171, and in Minnesota Rules, parts 7470.1400 and 7470.1500.

    Sec. 97. REPEALER.
Minnesota Statutes 2006, sections 168.123, subdivision 2a; 168B.087, subdivision
2; 169.145; 169.446, subdivision 3; and 221.121, subdivision 4, are repealed.

ARTICLE 2
RAILWAY WALKWAY SAFETY

    Section 1. [219.501] RAIL CARRIER WALKWAYS.
    Subdivision 1. Duty to provide walkways. (a) Rail carriers must provide walkways
adjacent to those portions of yard tracks where rail carrier employees frequently work on
the ground performing switching activities. For purposes of this section, "frequently
work" means at least five days per week, one shift per day.
    (b) This section applies to reconstruction and new construction of yard track
completed after July 1, 2008.
    (c) This section does not apply to an entity that owns or operates track in this state
other than class one and class two rail carriers as classified by the Federal Railroad
Administration.
    Subd. 2. General requirements. (a) Walkways constructed pursuant to this section
may be surfaced with asphalt, concrete, planking, grating, native material, crushed
material, or other similar nonrevenue material. When crushed material is used, 100
percent of the material must be capable of passing through a 1-1/2-inch square sieve
opening, and at least 90 percent of the material must be capable of passing through
a one-inch square sieve opening provided, however, a de minimus variation is not a
violation of this section where the rail carrier has made a good faith effort to comply with
the percentage requirements. Smaller crushed material is preferable, where drainage
and durability issues do not arise. Material that is three-quarter inch or less in size is
recommended for switching lead tracks.
    (b) Walkways must have a reasonably uniform surface and must be maintained in a
safe condition without compromising track drainage.
    (c) Cross slopes for walkways must not exceed one inch of elevation for each eight
inches of horizontal length in any direction.
    (d) Walkways must be a minimum width of two feet.
    (e) Walkways regulated under this section must be kept reasonably clear of spilled
fuel, oil, sand, posts, rocks, and other hazards or obstructions.
    Subd. 3. Allowances for unusual conditions. Rail carriers are not required to
comply with the requirements of this section during (1) maintenance activities or any
period of heavy rain or snow, derailments, rock and earth slides, washouts, and similar
weather or seismic conditions, and (2) during a reasonable period after any occurrences
identified in clause (1) in order to allow a return to compliance.
    Subd. 4. Waiver of requirements. Upon written request of a rail carrier, the
commissioner may waive any portion of this section where conditions do not reasonably
allow compliance. A decision of the commissioner is subject to the requirements under
section 218.041.

    Sec. 2. Minnesota Statutes 2006, section 219.51, is amended to read:
219.51 CLEARANCE VIOLATIONS AND PENALTIES.
    Subdivision 1. Clearance Violation. A common carrier, corporation, or person
subject to sections 219.45 to 219.53 violating any of the provisions of those sections, is
liable to a penalty of not more than $500 for each violation.
    Subd. 2. Failure to correct. If a common carrier, person, or corporation (1) fails
to correct a violation of sections 219.45 to 219.53 when ordered by the commissioner of
transportation within the time provided in the order, and (2) does not appeal the order,
then failure to correct the violation as ordered by the commissioner constitutes a new and
separate offense distinct from the original violation of sections 219.45 to 219.53.
    Subd. 3. Duties of attorney general. The penalty must be recovered in a suit
brought in the name of the state by the attorney general in a court having jurisdiction in
the locality where the violation was committed. Under the direction of the commissioner,
the attorney general shall bring suit upon receipt of duly verified information from any
person of a violation being committed. The commissioner shall lodge with the attorney
general information of any violation as may come to their knowledge.
    Subd. 4. Walkway orders. When the commissioner finds that rail carrier employees
who frequently work adjacent to a portion of track performing switching activities are
exposed to safety hazards due to the lack of a walkway or to the condition of a walkway
constructed before July 1, 2008, the commissioner may, under the provisions of this
section, order a rail carrier to construct a walkway adjacent to a portion of track where
employees are performing switching activities, or require a rail carrier to modify an
existing walkway in conformance with the standards set forth in section 219.501, within a
reasonable period of time.
    Subd. 5. Filing of complaints. No formal complaint of an alleged violation of
sections 219.45 to 219.53 may be filed until the filing party has attempted to address
the alleged violations with the rail carrier. Any complaint of an alleged violation must
contain a written statement that the filing party has made a reasonable, good faith attempt
to address the alleged violation.

    Sec. 3. Minnesota Statutes 2006, section 609.85, subdivision 6, is amended to read:
    Subd. 6. Trespass; allowing animals on track exception. Whoever intentionally
trespasses, or who permits animals under the person's control to trespass on a railroad
track, yard, or bridge is guilty of a misdemeanor. This subdivision does not apply to an
elected union official's access to those facilities when acting in an official capacity, to an
employee acting within the scope of employment, or to a person with written permission
from the railroad company to enter upon the railroad facility.
Presented to the governor May 19, 2008
Signed by the governor May 23, 2008, 12:01 p.m.

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569