language to be deleted (2) new language
Laws of Minnesota 1984 CHAPTER 628-S.F.No. 2046 An act relating to statutes; revising the text of certain laws to remove redundant and obsolete language, to simplify grammar and syntax, and to improve the style of language without causing changes in the meaning of the laws affected; requiring the revisor of statutes to editorially change criminal fines in a manner consistent with 1983 regular session changes made in maximum authorized fines; amending Minnesota Statutes 1982, chapters 1, as amended; 16A, as amended; 177, as amended; and 300, as amended; and Minnesota Statutes 1982, sections 10.39; 15.375; 80A.22, subdivision 1; 152.15, subdivision 1; 609.20; Minnesota Statutes 1983 Supplement, sections 609.21; 609.52, subdivision 3; 609.582; 617.246, subdivisions 2, 3, and 4; repealing Minnesota Statutes 1982, sections 10.02; 10.03; 16A.02; 16A.04, subdivisions 2 and 3; 16A.07; 16A.08; 16A.125, subdivision 6; 16A.132; 16A.52; 16A.55; 16A.65, subdivision 3; and Minnesota Statutes 1983 Supplement, section 609.0341, subdivision 3. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: REVISOR'S BILL ARTICLE 1 Section 1. Minnesota Statutes 1982, chapter 1, as amended by Laws 1983, chapter 119, sections 1, 2, and 4, and chapter 305, section 1, is amended to read: 1.01 [EXTENT.] The sovereignty and jurisdiction of this state
shallextend to all places within theits boundaries thereofas defined in the constitution and, concurrently, to the waters forming a common boundary between this and adjoining states, subject only to suchrights of jurisdiction as have been or shall beacquired by the United States over places thereinin it. 1.02 [JURISDICTION OVER WATERS.] AllCourts and officers now or hereafterhaving and exercisingjurisdiction in anya county which is now or may hereafter be formed in any part of this statebordering upon Big Stone Lake, Lake Traverse, Bois de Sioux River, or the Red River of the North, shallhave and exercisejurisdiction in allcivil and criminal cases upon suchthose waters concurrently with the courts and officers of other states bordering on such watersthem, so far andto suchthe extent asany of these bodies of water formthem forms a common boundary between this state and any other state. 1.03 [WATERS INCLUDED.] The concurrent jurisdiction of anya county now or hereafter formedand of allcourts and officers exercising jurisdiction throughout the county shall extendit extends over suchthe water area asthat would be included if the boundary lines of the county were produced in the direction of their approach and extended across thesethe waters to the opposite shore. 1.041 [CONCURRENT JURISDICTION OF STATE AND UNITED STATES.] Subdivision 1. [RIGHTS OF STATE.] Except as otherwise expressly provided, the jurisdiction of the United States over any land or other property withinin this state nowowned or hereafter acquiredfor national purposes is concurrent with and subject to the jurisdiction and right of the state to cause its civil and criminal process to be executed thereinthere, to punish offenses against its laws committed thereinthere, and to protect, regulate, control, and dispose of any property of the state thereinthere. Subd. 2. [LAND EXCHANGE COMMISSION MAY CONCUR.] In any case not otherwise provided for, the consent of the state of Minnesotato the acquisition by the United States of any land or right or interest therein,in land in this state, desired for any authorized national purpose, with concurrent jurisdiction as defined in subdivision 1, may be given by concurrence of a majority of the members of the Land Exchange Commission created by the Constitution of the State ofMinnesota, Article XI, Section 10, upon finding that suchthe acquisition and the methods thereofof the acquisition and the exercise of suchthe jurisdiction are consistent with the best interests of the state, providedif application for suchthe state's consent is made by an authorized officer of the United States, setting forth a description of the property, with a map when necessary for its proper identification thereof, and the authority for, purpose of, and method used or to be used in acquiring the sameit. The commission may prescribe the use of any specifiedspecify the method of acquisition as a condition of suchits consent. In case of acquisition by purchase or gift, suchthe state's consent shall be obtained prior tobefore the execution of any instrument conveying the lands involved or any interest thereinin them to the United States. In case of condemnation, suchconsent shall be obtained prior tobefore the commencement of anya condemnation proceeding therefor. 1.042 [CONSENT OF STATE.] Subdivision 1. [GIVEN FOR CERTAIN PURPOSES.] The consent of the State of Minnesota is herebygiven in accordance with the Constitution of the United States, Article I, Section 8, Clause 17, to the acquisition by the United States in any manner of any land or right or interest thereinin land in this state required for sites for customs houses, courthouses, hospitals, sanatoriums, post offices, prisons, reformatories, jails, forestry depots, supply houses, or offices, aviation fields or stations, radio stations, military or naval camps, bases, stations, arsenals, depots, terminals, cantonments, storage places, target ranges, or any other military or naval purpose of the United States. Subd. 2. [JURISDICTION CEDED TO UNITED STATES.] So far as jurisdiction, exclusive or partial, in or over any land or place in this state now owned or hereafterMinnesota acquired by the United States for any purpose specified in subdivision 1 heretofore has been accepted or hereafteris accepted by the head or other authorized officer of any department or independent establishment or agency of the United States as provided by the laws of the United States, suchthe jurisdiction is herebyceded to the United States, subject to the conditions and reservations of subdivision 3. When the premises abut upon the navigable waters of this stateMinnesota, suchthe jurisdiction shall extend to andinclude the underwater lands adjacent theretoto them lying between the line of low-water mark and the bulkhead or pier-head line as now or hereafter established. Subd. 3. [CONDITIONS AND RESERVATIONS.] The right of the state to cause its civil and criminal process to be executed in any suchceded land or place is herebyreserved to the state. The state furtheralso reserves the right to impose the following taxes: (A) an income tax on persons residing in suchthe land or place or receiving income from transactions occurring or services performed in such land or placethere; (B) a sales or use tax levied on or measured by sales, receipts from sales, purchases, storage, or use of tangible personal property in suchthe land or place; (C) a tax on personal property situated within suchin the land or place, or on the use of personal property by a private individual, association, or corporation within such land or placethere, except suchpersonal property as isowned by the United States or isby law exempt from taxation; and (D) a tax on the use of real property within suchthe land or place by a private individual, association, or corporation. 1.043 [JURISDICTION, WHEN TO VEST.] The jurisdiction granted or ceded to the United States over any place in the state under sections 1.041 or 1.042 shall not vest until the United States has acquired the title to or right of possession of the premises affected, and shall continue only while the United States owns or occupies the samethem for the purpose orpurposes to which suchthe jurisdiction appertains as specified in those sections or until the United States relinquishes to the state full or partial jurisdiction pursuant tounder section 1.0431. 1.0431 [RETROCESSION.] Subdivision 1. Notwithstanding any other law to the contrary, all or any part of the jurisdiction acquired by the United States over any land or place in the state pursuant tounder sections 1.041 or 1.042 or any other statute may be retroceded to the state in the manner provided hereinin this section. Subd. 2. Retrocession of jurisdiction shall be initiated by written offer to the governor by an authorized officer of the United States agency having supervision over the land. Retrocession shall not take effect until (a) the governor, after consulting with the governing bodies of counties or municipalities within whose boundaries liewhere all or part of the federal lands are situated, has accepted jurisdiction on behalf of the state and, (b) a certificate evidencing acceptance has beenis filed with the secretary of state, and (c) a duplicate is recorded in the office of the county recorder of each county in whichwhere the lands or any part thereofof them are situated. Subd. 3. The jurisdiction ceded to the state under subdivision 1 shall be exercised by the appropriate state authorities and by the local governmental unit orunits within whose boundaries liewhere all or part of the affected federal lands are situated. 1.044 [UPPER MISSISSIPPI RIVER WILD LIFE AND FISH REFUGE.] Consent of the State of Minnesota is given to the acquisition by the United States by purchase, gift, or lease of suchthe areas of land or water, or both, in this state as the United States may deemdeems necessary for the establishment of the Upper Mississippi River Wild Life and Fish Refuge in accordance with and for the purposes of the act of congress approved June 7, 1924, entitled "An act to establish the Upper Mississippi River Wild Life and Fish Refuge," reserving to the state full and complete jurisdiction and authority over all suchthe areas not incompatiblecompatible with thetheir maintenance and control thereofby the United States for the purposes and under the terms of that act of congress. 1.045 [STATE, CONSENT TO ACQUISITION OF LANDS.] Consent of the State of Minnesota is given to the acquisition by the United States in any manner authorized by act of congress of lands lying within the original boundaries of the Chippewa National Forest and the Superior National Forest for any purpose incident to the development or maintenance of those forests, subject to concurrent jurisdiction of the state and the United States as defined in section 1.041. 1.046 [EVIDENCE OF CONSENT.] The consent of the state given by or pursuant to the provisions ofunder sections 1.041 to 1.048 to the acquisition by the United States of any land or right or interest thereinin land in this state or to the exercise of jurisdiction over any place in this state shall be evidenced by the certificate of the governor, which shall beissued in duplicate, under the great seal of the state, upon application by an authorized officer of the United States and upon proof that title to the property has vested in the United States. The certificate shall set forth (a) a description of the property, (b) the authority for, purpose of, and method used in acquiring the sameit, and (c) the conditions of the jurisdiction of the state and the United States in andover the sameit, and shall declare the consent of the state thereto in accordance with the provisions ofunder sections 1.041 to 1.048, as the case may require. When necessary for proper identification of the property a map may be attached to the certificate, and the applicant may be required to furnish the sameit. One duplicate of the certificate shall be filed with the secretary of state. The other shall be delivered to the applicant, who shall cause the same to be recordedrecord it in the office of the county recorder of each county in which the land or any part thereofof it is situated. 1.047 [CONDEMNATION PROCEEDINGS MAY BE BROUGHTIN STATE COURTS BY UNITED STATES.] In any case whereWhen consent to the acquisition by the United States of any land or any right or interest thereinin land by condemnation is given by or under the provisions ofsections 1.041 to 1.048, the United States may effect suchcondemnation in the courts of this state in accordance with the laws of this state relating to eminent domain, or may effect suchcondemnation in the courts of the United States ,as may beauthorized by act of congress. In any case whereWhen consent by the Land Exchange Commission is required underby section 1.041 the commission may specify which method of condemnation shall be used as a condition of suchits consent. 1.048 [EFFECT OF REPEAL OF CERTAIN LAWS.] Mason's Minnesota Statutes of 1927, Sections 4 and 5, as amended by Laws 1941, Chapter 66, and Mason's Minnesota Statutes of 1927, Sections 6, 6-2, 6-3, 6-4, 6-5, and 6-6, and Mason's Supplement 1940, Section 6-1, are herebyrepealed, but suchtheir repeal shall not affect any case in which the consent of the state to the acquisition of property or the exercise of jurisdiction by the United States was given by or underany of said provisionsthem and the acquisition of the property was completed before the taking effect of Laws 1943, Chapter 343, nor any case in which the consent of the state was given underby Laws 1941, Chapter 66, before the taking effect of Laws 1943, Chapter 343. 1.049 [ACQUISITION OF LANDS IN TAMARAC NATIONAL WILDLIFE REFUGE BY UNITED STATES.] Consent of the State of Minnesota is given to the acquisition by the United States in any manner authorized by act of Congress of lands lying within the original boundaries of the Tamarac National Wildlife Refuge as established by Executive Order No. 7902 dated May 31, 1938, of the President of the United States for any purpose incident to the development or maintenance of that refuge, allother acts or parts of acts to the contrarynotwithstanding. 1.12 [FEDERAL FLOWAGE EASEMENTS OVER HIGHWAYS.] When sorequested by the commissioner of transportation the governor, in behalf of the state, may , from time to time,grant, bargain, sell, and convey to the United States of America any easement for flowage in and upon any easement or fee owned by the State of Minnesota for trunk highway right of way purposes when the same shall beit is required by the United States into aid of anya public improvement. 1.13 [MONEYS RECEIVED CREDITED TO HIGHWAY FUND.] Any payment so received for the granting of an easement shall be deposited in and become a part ofthe trunk highway fund. 1.141 [OFFICIAL STATE FLAG.] Subdivision 1. The design of the state flag asproposed by the legislative interim commission acting under Laws 1955, Chapter 632, is adopted as the official state flag. Subd. 2. The secretary of state shall secure andfile a photograph of the state flag as adopted by this section. He shall also secure andretain custodial control over the sample design flag of the commission for use by the public for copy purposescopies. Subd. 3. The design of the flag shall conform substantially to the following description: The staff is surmounted by a bronze eagle with outspread wings; the flag is rectangular in shape and is on a medium blue background with a narrow gold border and a golden fringe. A circular emblem is contained in the center of the blue field. The circular emblem is on a general white background with a yellow border. The word MINNESOTA is inscribed in red lettering on the lower part of the white field. The white emblem background surrounding a center design contains 19 five pointed stars arranged symmetrically in four groups of four stars each and one group of three stars. The latter group is in the upper part of the center circular white emblem. The group of stars at the top in the white emblem consists of three stars of which the uppermost star is the largest and represents the north star. A center design is contained on the white emblem and is made up of the scenes from the great seal of the state of Minnesota, surrounded by a border of intertwining Cypripedium reginae, the state flower, on a blue field of the same color as the general flag background. The flower border design contains the figures 1819, 1858, 1893. The coloring is the same on both sides of the flag, but the lettering and the figures appear reversed on one side. Subd. 4. From and after the passage of this sectionThe stateflag as abovedescribed shall beabove is the official flag of the state of Minnesota. Subd. 5. The official state flag shall be flown on the state capitol grounds at all times between the hours ofsunrise and sunset. 1.142 [STATE FLOWER.] Subdivision 1. The pink and white lady slipper, Cypripedium reginae, is adopted asthe official flower of the state of Minnesota. Subd. 2. A photograph of the pink and white lady slipper, to beobtained and approved by the commissioner of natural resources, shall be preserved in the office of the secretary of state. 1.143 [STATE TREE, DESIGNATION.] The Red pine (Pinus resinosa), more commonly known as Norway pine, is herebydesignated as the official state tree of the state of Minnesota. 1.145 [STATE BIRD.] Subdivision 1. The loon, Gavia immer, is adopted asthe official bird of the state of Minnesota. Subd. 2. A photograph of the loon shall be preserved in the office of the secretary of state. 1.146 [STATE FISH.] Subdivision 1. The walleye, Stizostedion v. vitreum, is adopted asthe official fish of the state of Minnesota. Subd. 2. A photograph of the walleye shall be preserved in the office of the secretary of state. 1.147 [STATE GEMSTONE.] Subdivision 1. The Lake Superior agate is adopted asthe official gemstone of the state of Minnesota. Subd. 2. A photograph and a typical specimen of the Lake Superior agate shall be preserved in the office of the secretary of state. 1.148 [STATE GRAIN.] Subdivision 1. Zizania aquatica, commonly known as wild rice or manomin, is adopted asthe official state grain of the state of Minnesota. Subd. 2. A photograph of zizania aquatica, commonly known as wild rice or manomin, may be displayed in the office of the secretary of state. 1.15 [BOUNDARY COMPACT; MICHIGAN, WISCONSIN, MINNESOTA.] The following compact is herebyratified and approved: A COMPACT Entered into by and between the State of Michigan, the State of Minnesota and the State of Wisconsin, states signatory hereto. The contracting states solemnly agree: 1. That the boundary between the State of Michigan and the State of Wisconsin in the center of Lake Michigan be and it hereby is finally fixed and established as the line marked A-B-C-D-E-F-G on the map, Exhibit A, annexed hereto, which line is more particularly described as follows: Starting at Point A, a point equi-distant from either shore on the line which is the eastward continuation of the boundary line between Wisconsin and Illinois or latitude 42 degrees 29 minutes 37 seconds North; Thence to Point B, a point equi-distant from either shore on the line drawn through the Port Washington Fog Signal and Storm Signal and the White Lake Storm Signal, on a true azimuth of 354 degrees 12 minutes 00 seconds a distance of 61.55 statute miles; Thence to Point C, a point equi-distant from either shore on a line drawn through the Sheboygan Coast Guard Storm Signal, Fog Signal, Radio Beacon and Little Sable Point Light, on a true azimuth of 03 degrees 01 minute 15 seconds, a distance of 22.18 statute miles; Thence to Point D, a point equi-distant from either shore on a line drawn through the Twin River Point Light and Fog Signal and Big Sable Fog and Light Signal, on a true azimuth of 10 degrees 04 minutes 30 seconds, a distance of 30.33 statute miles; Thence to Point E, a point equi-distant from either shore on a line from Bailey's Harbor Inland Light and Point Betsie Fog Signal, Radio Beacon, and Distance Finding Station, on a true azimuth of 17 degrees 09 minutes 55 seconds, a distance of 54.20 statute miles; Thence to Point F, a point equi-distant from either shore on a line drawn through the Pilot Island Light and Fog Signal and Sleeping Bear Point Light, on a true azimuth of 33 degrees 29 minutes 10 seconds, a distance of 17.24 statute miles; Thence to Point G, the point determined by the United States Supreme Court decree of March 12, 1936 which is a point 45,600 meters from the center of Rock Island Passage on a bearing of South 60 degrees East, on the true azimuth of 40 degrees 34 minutes 10 seconds, a distance of 15.66 statute miles. The latitude and longitude of the named control points is as follows: Point A - Latitude 42 degrees 29' 37" Longitude 87 degrees 01' 15" Point B - Latitude 43 degrees 22' 50" Longitude 87 degrees 08' 50" Point C - Latitude 43 degrees 42' 00" Longitude 87 degrees 07' 20" Point D - Latitude 44 degrees 07' 55" Longitude 87 degrees 00' 45" Point E - Latitude 44 degrees 52' 50" Longitude 86 degrees 41' 10" Point F - Latitude 45 degrees 05' 20" Longitude 86 degrees 29' 30" Point G - Latitude 45 degrees 14' 10" Longitude 86 degrees 14' 55" 2. That the western boundary of the State of Michigan in the waters of Lake Superior and the eastern boundary in the waters of Lake Superior of the states of Minnesota and Wisconsin be and it hereby is finally fixed and established as the line marked M-N on the map, Exhibit B, annexed hereto, which line is more particularly described as follows: Starting at Point M, the point where the line through the middle of the main channel of the Montreal River enters Lake Superior, Thence in a direct line to Point N, the point where a line drawn through the most easterly point of Pigeon Point and the most southerly point of Pine Point intersects the international boundary, on a true azimuth of 23 degrees 27 minutes 24 seconds and a distance of 108.86 statute miles. The latitude and longitude of the named control points is: Point M - Latitude 46 degrees 34' 05" Longitude 90 degrees 25' 05" Point N - Latitude 48 degrees 00' 50" Longitude 89 degrees 29' 00" 3. That the boundary between the State of Minnesota and the State of Wisconsin in the center of Lake Superior be and it hereby is finally fixed and established as the line marked A-B-C-D on the map, Exhibit B, annexed hereto, which line is more particularly described as follows: Starting at Point A which is the midpoint on the line M-N described in paragraph 2, supra; Thence to Point B, the midpoint in a direct line between the mouth of Cross River, Minnesota and the Lighthouse on Outer Island in Wisconsin, on a true azimuth of 272 degrees 17 minutes 10 seconds, a distance of 33.15 statute miles; Thence to Point C, the midpoint in a direct line between the Lighthouse on shore at Two Harbors, Minnesota and the light on the lakeward end of the government east pier at Port Wing, Wisconsin on a true azimuth of 235 degrees 27 minutes 40 seconds, a distance of 49.60 statute miles; Thence to Point D, the midpoint in a direct line at right angles to the central axis of the Superior entry between the tops of the eastern ends of the pierheads at the lakeward ends of the United States government breakwaters at the Superior entry of Duluth Superior Harbor, on a true azimuth of 239 degrees 50 minutes 20 seconds, a distance of 26.43 statute miles; The latitude and longitude of the named control points is as follows: Point A - Latitude 47 degrees 17' 30" Longitude 89 degrees 57' 00" Point B - Latitude 47 degrees 18' 35" Longitude 90 degrees 39' 15" Point C - Latitude 46 degrees 54' 10" Longitude 91 degrees 31' 25" Point D - Latitude 46 degrees 42' 39.875" Longitude 92 degrees 00' 24.571" 4. All azimuths are measured clockwise from true north. 5. That this compact shall become operative immediately upon its ratification by any state as between it and the other state or states so ratifying. Ratification shall be made by act of the legislature of the ratifying state. 6. That immediately upon ratification of this compact by all three states, each state will appoint two members to a Joint Survey Commission to survey and mark the boundaries defined in this compact by establishing and perpetuating monuments at the reference points on shore by means of which the control points of said boundaries are located. The expense of marking the Lake Michigan Boundary shall be borne jointly by the states of Michigan and Wisconsin; the expense of marking the boundary line described in paragraph 2 above shall be borne equally by the states of Minnesota, Michigan and Wisconsin. The expense of marking the Lake Superior and Superior Bay boundary between Minnesota and Wisconsin shall be borne jointly by the states of Minnesota and Wisconsin. 1.16 [MAPS ON FILE.] The maps referred to in the abovecompact in section 1.15 as Exhibits A, B, and C are the original maps on file with the report of the Michigan-Minnesota-Wisconsin boundary conference in the office of the Secretary of State of Wisconsin, of which duplicate original maps are on file in the office of the Secretary of State of Minnesota. 1.17 [RATIFICATION.] The Governor of Minnesota is authorized and directed toshall witness the ratification of this compact by the State of Minnesota by executing the final draft thereofin his own name as Governor for and on behalfof the State of Minnesota and affixing the seal of the State of Minnesota. 1.21 [GREAT LAKES BASIN COMPACT.] The Great Lakes Basin Compact is herebyratified, enacted into law, and entered into by this state as a party theretowith any other state or province which, pursuant to Article II of saidthe compact, has legally joined thereinin it in the form substantially as follows: The party states solemnly agree: ARTICLE I The purposes of this compact are, through means of joint or cooperative action: 1. To promote the orderly, integrated, and comprehensive development, use, and conservation of the water resources of the Great Lakes Basin (hereinafter called the Basin), 2. To plan for the welfare and development of the water resources of the Basin as a whole as well as for those portions of the Basin which may have problems of special concern. 3. To make it possible for the states of the Basin and their people to derive the maximum benefit from utilization of public works, in the form of navigational aids or otherwise, which may exist or which may be constructed from time to time. 4. To advise in securing and maintaining a proper balance among industrial, commercial, agricultural, water supply, residential, recreational, and other legitimate uses of the water resources of the Basin. 5. To establish and maintain an intergovernmental agency to the end that the purposes of this compact may be accomplished more effectively. ARTICLE II A. This compact shall enter into force and become effective and binding when it has been enacted by the legislatures of any four of the States of Illinois, Indiana, Michigan, Minnesota, New York, Ohio, Pennsylvania, and Wisconsin and thereafter shall enter into force and become effective and binding as to any other of said states when enacted by the legislature thereof. B. The Province of Ontario and the Province of Quebec, or either of them, may become states party to this compact by taking such action as their laws and the laws of the Government of Canada may prescribe for adherence thereto. For the purpose of this compact the word "state" shall be construed to include a province of Canada. ARTICLE III The Great Lakes Commission created by Article IV of this compact shall exercise its powers and perform its functions in respect to the Basin which, for the purposes of this compact, shall consist of so much of the following as may be within the party states: 1. Lakes Erie, Huron, Michigan, Ontario, St. Clair, Superior, and the St. Lawrence River, together with any and all natural or man-made water interconnections between or among them. 2. All rivers, ponds, lakes, streams, and other watercourses which, in their natural state or in their prevailing condition, are tributary to Lakes Erie, Huron, Michigan, Ontario, St. Clair, and Superior or any of them or which comprise part of any watershed draining into any of said lakes. ARTICLE IV A. There is hereby created an agency of the party states to be known as The Great Lakes Commission (hereinafter called the Commission). In that name the commission may sue and be sued, acquire, hold and convey real and personal property and any interest therein. The commission shall have a seal with the words "The Great Lakes Commission" and such other design as it may prescribe engraved thereon by which it shall authenticate its proceedings. Transactions involving real or personal property shall conform to the laws of the state in which the property is located, and the commissioner may by bylaws provide for the execution and acknowledgment of all instruments in its behalf. B. The commission shall be composed of not less than three commissioners nor more than five commissioners from each party state designated or appointed in accordance with the law of the state which they represent and serving and subject to removal in accordance with such law. C. Each state delegation shall be entitled to three votes in the commission. The presence of commissioners from a majority of the party states shall constitute a quorum for the transaction of business at any meeting of the commission. Actions of the commission shall be by a majority of the votes cast except that any recommendations made pursuant to Article VI of this compact shall require an affirmative vote of not less than a majority of the votes cast from each of a majority of the states present and voting. D. The commissioners of any two or more party states may meet separately to consider problems of particular interest to their states but no action taken at any such meeting shall be deemed an action of the commission unless and until the commission shall specifically approve the same. E. In the absence of any commissioner, his vote may be cast by another representative or commissioner of his state provided that said commissioner or other representative casting said vote shall have a written proxy in proper form as may be required by the commission. F. The commission shall elect annually from among its members a chairman and vice-chairman. The commission shall appoint an executive director who shall also act as secretary-treasurer, and who shall be bonded in such amount as the commission may require. The executive director shall serve at the pleasure of the commission and at such compensation and under such terms and conditions as may be fixed by it. The executive director shall be custodian of the records of the commission with authority to affix the commission's official seal and to attest to and certify such records or copies thereof. G. The executive director, subject to the approval of the commission in such cases as its bylaws may provide, shall appoint and remove or discharge such personnel as may be necessary for the performance of the commission's functions. Subject to the aforesaid approval, the executive director may fix their compensation, define their duties, and require bonds of such of them as the commission may designate. H. The executive director, on behalf of, as trustee for, and with the approval of the commission, may borrow, accept, or contract for the services of personnel from any state or government or any subdivision or agency thereof, from any intergovernmental agency, or from any institution, person, firm or corporation; and may accept for any of the commission's purposes and functions under this compact any and all donations, gifts, and grants of money, equipment, supplies, materials, and services from any state or government or any subdivision or agency thereof or intergovernmental agency or from any institution, person, firm or corporation and may receive and utilize the same. I. The commission may establish and maintain one or more offices for the transacting of its business and for such purposes the executive director, on behalf of, as trustee for, and with the approval of the commission, may acquire, hold and dispose of real and personal property necessary to the performance of its functions. J. No tax levied or imposed by any party state or any political subdivision thereof shall be deemed to apply to property, transactions, or income of the commission. K. The commission may adopt, amend and rescind bylaws, rules and regulations for the conduct of its business. L. The organization meeting of the commission shall be held within six months from the effective date of this compact. M. The commission and its executive director shall make available to the party states any information within its possession and shall always provide free access to its records by duly authorized representatives of such party states. N. The commission shall keep a written record of its meetings and proceedings and shall annually make a report thereof to be submitted to the duly designated official of each party state. O. The commission shall make and transmit annually to the legislature and Governor of each party state a report covering the activities of the commission for the preceding year and embodying such recommendations as may have been adopted by the commission. The commission may issue such additional reports as it may deem desirable. ARTICLE V A. The members of the commission shall serve without compensation, but the expenses of each commissioner shall be met by the state which he represents in accordance with the law of that state. All other expenses incurred by the commission in the course of exercising the powers conferred upon it by this compact, unless met in some other manner specifically provided by this compact, shall be paid by the commission out of its own funds. B. The commission shall submit to the executive head or designated officer of each party state a budget of its estimated expenditures for such period as may be required by the laws of that state for presentation to the legislature thereof. C. Each of the commission's budgets of estimated expenditures shall contain specific recommendations of the amount or amounts to be appropriated by each of the party states. Detailed commission budgets shall be recommended by a majority of the votes cast, and the costs shall be allocated equitably among the party states in accordance with their respective interests. D. The commission shall not pledge the credit of any party state. The commission may meet any of its obligations in whole or in part with funds available to it under Article IV (H) of this compact, provided that the commission takes specific action setting aside such funds prior to the incurring of any obligations to be met in whole or in part in this manner. Except where the commission makes use of funds available to it under Article IV (H) hereof, the commission shall not incur any obligations prior to the allotment of funds by the party states adequate to meet the same. E. The commission shall keep accurate accounts of all receipts and disbursements. The receipts and disbursements of the commission shall be subject to the audit and accounting procedures established under the bylaws. However, all receipts and disbursements of funds handled by the commission shall be audited yearly by a qualified public accountant and the report of the audit shall be included in and become a part of the annual report of the commission. F. The accounts of the commission shall be open at any reasonable time for inspection by such agency, representative or representatives of the party states as may be duly constituted for that purpose and by others who may be authorized by the commission. ARTICLE VI The commission shall have power to: A. Collect, correlate, interpret, and report on data relating to the water resources and the use thereof in the Basin or any portion thereof. B. Recommend methods for the orderly, efficient, and balanced development, use, and conservation of the water resources of the Basin or any portion thereof to the party states and to any other governments or agencies having interests in or jurisdiction over the Basin or any portion thereof. C. Consider the need for and desirability of public works and improvements relating to the water resources in the Basin or any portion thereof. D. Consider means of improving navigation and port facilities in the Basin or any portion thereof. E. Consider means of improving and maintaining the fisheries of the Basin or any portion thereof. F. Recommend policies relating to water resources including the institution and alteration of flood plain and other zoning laws, ordinances and regulations. G. Recommend uniform or other laws, ordinances, or regulations relating to the development, use and conservation of the Basin's water resources to the party states or any of them and to other governments, political subdivisions, agencies or intergovernmental bodies having interests in or jurisdiction sufficient to affect conditions in the Basin or any portion thereof. H. Consider and recommend amendments or agreements supplementary to this compact to the party states or any of them, and assist in the formulation and drafting of such amendments or supplementary agreements. I. Prepare and publish reports, bulletins, and publications appropriate to this work and fix reasonable sale prices therefor. J. With respect to the water resources of the Basin or any portion thereof, recommend agreements between the governments of the United States and Canada. K. Recommend mutual arrangements expressed by concurrent or reciprocal legislation on the part of Congress and the Parliament of Canada including but not limited to such agreements and mutual arrangements as are provided for by Article XIII of the Treaty of 1909 Relating to Boundary Waters and Questions Arising Between the United States and Canada. (Treaty Series, No. 548.) L. Cooperate with the governments of the United States and of Canada, the party states and any public or private agencies or bodies having interests in or jurisdiction sufficient to affect the Basin or any portion thereof. M. At the request of the United States, or in the event that a province shall be a party state, at the request of the Government of Canada, assist in the negotiation and formulation of any treaty or other mutual arrangement or agreement between the United States and Canada with reference to the Basin or any portion thereof. N. Make any recommendation and do all things necessary and proper to carry out the powers conferred upon the commission by this compact, provided that no action of the commission shall have the force of law in, or be binding upon, any party state. ARTICLE VII Each party state agrees to consider the action the commission recommends in respect to: A. Stabilization of lake levels. B. Measures for combating pollution, beach erosion, floods, and shore inundation. C. Uniformity in navigation regulations within the constitutional powers of the states. D. Proposed navigation aids and improvements. E. Uniformity or effective coordinating action in fishing laws and regulations and cooperative action to eradicate destructive and parasitical forces endangering the fisheries, wild life and other water resources. F. Suitable hydroelectric power developments. G. Cooperative programs for control of soil and bank erosion for the general improvement of the Basin. H. Diversion of waters from and into the Basin. I. Other measures the commission may recommend to the states pursuant to Article VI of this compact. ARTICLE VIII This compact shall continue in force and remain binding upon each party state until renounced by act of the legislature of such state, in such form and manner as it may choose and as may be valid and effective to repeal a statute of said state, provided that such renunciation shall not become effective until six months after notice of such action shall have been officially communicated in writing to the executive head of the other party states. ARTICLE IX It is intended that the provisions of this compact shall be reasonably and liberally construed to effectuate the purposes thereof. The provisions of this compact shall be severable and if any phrase, clause, sentence or provision of this compact is declared to be contrary to the constitution of any party state or of the United States, or in the case of a province, to the British North America Act of 1867 as amended, or the applicability thereof to any state, agency, person or circumstance is held invalid, the constitutionality of the remainder of this compact and the applicability thereof to any state, agency, person or circumstance shall not be affected thereby, provided further that if this compact shall be held contrary to the constitution of the United States, or in the case of a province, to the British North America Act of 1867 as amended, or of any party state, the compact shall remain in full force and effect as to the remaining states and in full force and effect as to the state affected as to all severable matters. 1.22 [COMMISSIONERS.] In pursuance of Article IV of the compact, there shall be five commissioners on the Great Lakes commission from this state. Four of whomTwo shall be members of the legislature, two beingmembers of the house of representatives and two beingshall be members of the state senate ; and. One member shall be appointed by and serve at the pleasure of the governor. The saidhouse members shall be appointed by the speaker of the house and the members of the senate shall be appointed by the committee on committees. The commissioners so appointedshall exercise all voting rights conferred by the compact on the commissioners from the party state as provided in Article IV, (B and C) of the compact. 1.23 [STATE OFFICERS, DUTIES.] All officers of this state are hereby authorized and directed toshall do all things falling within their respective jurisdictions necessary to or incidental to thecarrying out of saidthe compact in every particular ; it being hereby declared to be. It is the policy of this state to perform and carry out the saidcompact and to accomplish theits purposes thereof. All officers, bureaus, departments and persons of and inthe state government or administration of this state are hereby authorized and directedshall, at reasonable times and upon request of saidthe commission to, furnish the said commissionit with information and data possessed by them or any of themand toaid said commissionit by loan of personnel or other means lyingwithin their legal powers respectively. 1.25 [SECRETARY OF STATE, DUTIES.] The secretary of state is hereby authorized and directed toshall transmit a duly authenticated copy of sections 1.21 to 1.25 and the compact contained thereinin them to each jurisdiction nowwhich is or becomes a party to the compact and to each jurisdiction which subsequently shall become party to the compact. 1.26 [ENEMY ATTACK, TEMPORARY RELOCATION OF SEATS OF GOVERNMENT.] Subdivision 1. [POLITICAL SUBDIVISION DEFINED.] As used in this section, "political subdivision" includes counties, cities,home rule charter and statutory cities, towns, townships, school districts, authorities, and other public corporations and entities whether organized and existing under charter or general law. Subd. 2. [STATE GOVERNMENT.] WheneverWhen, due to an emergency resulting from the effects of enemy attack, or the anticipated effects of a threatened enemy attack, it becomes imprudent, inexpedient or impossible to conduct the affairs of state government at the normal location of the seat thereofin the city of St. Paul, Ramsey county, Minnesota, the governor shall, as often as the exigencies of the situation require, by proclamation, declare an emergency temporary location, or locations, for the seat of government at sucha place, or places, withinin or without thisout of the state as he may deemdeems advisable under the circumstances, and shall take suchaction and issue suchorders as may benecessary for an orderly transition of the affairs of state government to suchthe emergency temporary location, or locations. SuchThe emergency temporary location, or locations, shall remain asthe seat of government until the legislature shallby law establishestablishes a new location, or locations, or until the emergency is declared to be ended by the governor and the seat of government is returned to its normal location. Subd. 3. [VALIDITY OF OFFICIAL ACTS OF STATE GOVERNMENT.] During such time asWhile the seat of government remains at suchan emergency temporary location, or locations, all official acts now or hereafterrequired by law to be performed at the seat of government by any officer, agency, department or authority of this state, including the convening and meeting of the legislature in regular, extraordinary, or emergency session, shall be as valid and binding when performed at suchthe emergency temporary location, or locations, as if performed at the normal location of the seat of government. Subd. 4. [LOCAL GOVERNMENTS.] WheneverWhen, due to an emergency resulting from the effects of enemy attack, or the anticipated effects of a threatened enemy attack, it becomes imprudent, inexpedient or impossible to conduct the affairs of local government at thetheir regular or usual place or places thereof, the governing body of each political subdivision of this state may meet at any place withinin or withoutout of the territorial limits of suchthe political subdivision on the call of the presiding officer or any two members of suchthe governing body, and shall proceed to establish anddesignate by ordinance, resolution or other manner, alternate or substitute sites orplaces as the emergency temporary location, or locations, of government where all, or any part, of the public business may be transacted andconducted during the emergency situation. Such sites orThe places may be withinin or withoutout of the territorial limits of suchthe political subdivision and may be within or without thisthe state. Subd. 5. [VALIDITY OF ACTS OF LOCAL GOVERNMENTS.] During the period whenWhile the public business is being conducted at the emergency temporary location, or locations, the governing body and other officers of a political subdivision of this stateshall have and possess and shallexercise, at suchthe location, or locations, all of the executive, legislative, and judicial powers and functions conferred upon such bodyit and its officers by or underits charter ,and the laws and constitution of this state. AllActs of suchthe governing body and officers shall be as valid and binding as if performed within the territorial limits of their political subdivision. Subd. 6. [CONFLICTING LAWS.] The provisions ofThis section shall control andbe supreme in the eventif it shall beis employed notwithstanding any statutoryother statute, charter or ordinance provision to the contrary or in conflict herewith. 1.27 [LOCAL INTERIM EMERGENCY SUCCESSION ACT.] Subdivision 1. [SHORT TITLE.] This section shall be known asis the local interim emergency succession act. Subd. 2. [DECLARATION OF POLICY.] Because of the existing possibility of a nuclear attack or a natural disaster requiring the declaration of a state of emergency, it is found urgent and necessary to insure the continuity of duly elected and lawful leadership of the political subdivisions of the state of Minnesota. Subd. 3. [SUCCESSION TO LOCAL OFFICES.] The governing body of any county or municipality in the state of Minnesotamay enact suchordinances or resolutions as may benecessary to provide for the continuity of theirits government and the emergency interim succession of theirits key government officials. SuchThe ordinances and resolutions shall provide a method for temporary emergency appointments to local public offices. Subd. 4. [DUTIES AND TERM OF SUCCESSOR.] An "interim emergency successor," when sodesignated by the governing body of thata political subdivision as provided for inunder subdivision 3 shall exercise the powers and duties ofthat office until the duly elected or appointed officer shall resumeresumes the office or a successor is designated as required by law. 1.31 [MINNESOTA-WISCONSIN BOUNDARY COMPACT; POLICY.] A compact for the purpose of present and future protection, use and development in the public interest, of the boundary lands, river valleys, and waters comprising the boundaries of this state is herebyratified, enacted into law and entered into with the state of Wisconsin and withall other jurisdictions legally joining thereinin it in the form substantially as follows: COMPACT Sec. 1. [COMPACT; PURPOSE AND INTENT.] In order to conduct studies and to develop recommendations relating to the present and future protection, use and development in the public interest, of the lands, river valleys and waters which form the boundary between this state and any other state party to this compact; and In order to assist in coordinating the studies, conservation efforts and planning undertaken by the several departments, agencies or municipalities of the states parties to this compact with respect to such lands, river valleys and waters; and In order to assist in the participation by states parties to this compact in federal programs which relate to the present and future protection, use and development in the public interest, of such boundary lands, river valleys or waters; This state hereby solemnly agrees: To cooperate with any neighboring state party to this compact for the purposes of, and subject to the limitations provided by, this compact; To establish a boundary area commission; To consider, and to promote the consideration by its municipalities of, the recommendations of the boundary area commission with respect to: (1) Joint regional planning for the development of boundary areas; (2) Measures for controlling air and water pollution, maintaining water quality, and controlling water use; (3) Programs for control of soil and river bank erosion and the general improvement of the river basins; (4) Diversion of waters from and into the rivers; (5) Restrictions and regulation of land use development designed to preserve the scenic and recreational attributes of the river basins; (6) Other restrictions, regulations or programs the commission may recommend to the party states. Sec. 2. [COMMISSION CREATED.] Subdivision 1. [MEMBERS.] There is hereby created an interstate commission to be known as the boundary area commission of the states parties to this compact. Each party state shall appoint five commissioners. The manner of appointing such commissioners, terms of office and provisions for removal and suspension of commissioners or appointments to fill vacancies shall be determined by each party state pursuant to the laws thereof but each commissioner shall be a resident of the state from which he is appointed. Subd. 2. [COMPENSATION.] The members of the commission shall serve without compensation, but the actual and necessary expenses incurred by any commissioner in the performance of his duties shall be met by the state which he represents, according to the laws thereof. Subd. 3. [OFFICERS.] The commission shall annually elect from among its members a chairman who cannot succeed himself, a vice chairman who shall not be a citizen of the state represented by the chairman, and a secretary treasurer. Subd. 4. [MEETINGS.] The commission shall meet at the call of the chairman, or at the call of three of its members, upon five days' notice, but at least twice in each calendar year, and such mandatory meetings shall not be held in the same calendar quarter year. Subd. 5. [ADVISORY COMMITTEES.] In order to assist the commission in the execution of its functions, each party state shall create a legislative advisory committee comprising not more than ten members, and shall create a technical advisory committee consisting of not to exceed ten state administrative officers or employees having expertise in the subject matter areas of this compact. Members of the advisory committees shall be reimbursed as provided in subdivision 2. Sec. 3. [POWERS AND DUTIES.] Subdivision 1. [GENERAL POWERS AND DUTIES.] The boundary area commission shall make recommendations, review and correlate studies of the federal government and other agencies, develop plans and evolve findings and do all things necessary and proper to carry out the powers conferred upon the commission by this compact; provided that no recommendation, plan or finding of the commission shall have the force of law or be binding upon or limit the powers of any party state or its departments, agencies, or municipalities. The commission: Subd. 2. [COOPERATION.] Shall cooperate with the federal government of the United States and with any public or private agencies having an interest in, or jurisdiction sufficient to affect, the present and future protection, use and development in the public interest, of the lands, river valleys or waters comprising the boundary of this state with any other party state; Subd. 3. [RECOMMENDATIONS.] (a) May make recommendations with regard to land and water use in such boundary areas to the proper department, agency or municipality of any party state, including proposed laws, administrative rules, ordinances or other regulations. (b) For the purpose of obtaining information relative to land and water use in such areas, the commission may hold public hearings. Subd. 4. [STUDIES.] (a) May study any land and water conservation, development and use factors which affect the boundary areas of the party states for the purpose of determining the most beneficial and practicable plan for: 1. Regional development; 2. Navigation, including public access to waters; 3. Dams and improvements for flood control and industry; 4. Agriculture; 5. Fish and wildlife; 6. Recreation, including protection of natural, scenic and other cultural resources; 7. The development of housing, commerce and industry; 8. Control of air and water pollution; and 9. Any other beneficial public purposes. (b) May appoint subcommittees for the purpose of conducting specific studies under clause (a). Sec. 4. [STAFF.] Subdivision 1. [EMPLOYEES.] The commission shall, insofar as reasonably possible, maintain an even balance between the party states with respect to the number of employees and the responsibilities thereof, but this compact shall not create a self-executing obligation for the financing of a commission staff by the party states. Subd. 2. [EXECUTIVE DIRECTOR.] The commission may appoint an executive director and such other staff as may be necessary, on a full or part time basis, and may engage consultants as needed. Subject to the control of the commission, the executive director shall be in complete charge of the administrative functions of the commission, and shall have such additional powers and duties as the commission may delegate to and require of him. Subd. 3. [STATE DEPARTMENTS AND AGENCIES TO COOPERATE.] All officers, employees, departments and agencies of the states parties to this compact are by this compact encouraged to do all things within their respective jurisdictions, to assist the commission in carrying out the duties imposed upon it by this compact. Sec. 5. [OPERATING REPORTS.] Subdivision 1. [MINUTES.] The commission shall compile and make available to the public a written record of its proceedings and recommendations. The commission may provide for the recording verbatim of any testimony given before it. Subd. 2. [REPORTS.] On or before January 15 of each odd numbered year the commission shall make a report to the governor and legislature of each state party to this compact and such report shall include, without limitation because of enumeration, accounts of: (a) The activities of the commission during the biennium then concluded, and its intended activities for the biennium then commenced; and (b) The appropriations, gifts and grants, if any, received by the commission, and of the commission's expenditures from such funds as verified by the audit under section 6, subdivision 3 hereof. Sec. 6. [FINANCE.] Subdivision 1. [DONATIONS, GIFTS, GRANTS AND APPROPRIATIONS.] The commission may accept, for any of its purposes and functions, donations, gifts, grants and appropriations of money, equipment, supplies, materials and services from the federal government of the United States, from any party state or from any department, agency or municipality thereof, or from any institution, person, firm or corporation. Subd. 2. [EXPENDITURES.] All expenses incurred by the commission in exercising the powers conferred, or executing the duties imposed, upon it by this compact, unless otherwise provided in this compact, shall be paid by the commission out of the funds then available to it. The commission shall not go into debt. Except as provided in section 2, subdivision 2, nothing in this compact shall be construed as obligating any party state to commit its credit for the operation of the commission. Subd. 3. [ANNUAL AUDIT.] The commission shall keep accurate accounts of all receipts and disbursements which shall be audited as of December 31 of each year by a qualified public accountant. Subd. 4. [BUDGET.] The commission shall submit to the officer designated by the laws of each party state, at such times as required by the laws of each party state, a budget of its actual past and estimated future expenditures, for such periods as are required by the laws of each party state. Sec. 7. [ENTRY INTO FORCE AND WITHDRAWAL.] Subdivision 1. [SIGNATURE.] The governor of each party state is authorized and directed to witness the ratification of this compact for his state by executing the final draft thereof in his own name as governor for and on behalf of his state and affixing thereto, pursuant to the laws of his state, the official seal of his state. Subd. 2. [ENABLING LEGISLATION.] This compact shall become operative immediately after the passage of an act by any two party states incorporating the provisions of this compact into the laws of such states. Subd. 3. [WITHDRAWAL.] Any state acceding to this compact reserves the right at any time to withdraw from such compact, but such withdrawal shall be based upon a law properly enacted according to the constitution and laws of the withdrawing party state. Sec. 8. [CONSTRUCTION AND SEVERABILITY.] This compact shall be liberally construed so as to effectuate the purposes thereof. The provisions of this compact shall be severable and if any phrase, clause, sentence, or provision of this compact is declared to be contrary to the constitution of any party state or of the United States or the applicability thereof to any government, agency, person, or circumstance is held invalid, the validity of the remainder of this compact and the applicability thereof to any government, agency, person, or circumstance shall not be affected thereby. If this compact or any part thereof shall be held contrary to the constitution of any party state, the compact shall remain in full force and effect as to the remaining party states and, as to the state so affected, in full force and effect as to all severable matters. (End of Compact) 1.32 [COMMISSION, AUTHORITY.] The Minnesota-Wisconsin boundary area commission shall havehas the powers, duties, and functions provided in the compact set out in section 1.31. 1.33 [REPRESENTATIVES, SELECTION.] In pursuance of section 1.31 creatingThe Minnesota representation on the Minnesota-Wisconsin boundary area commission , the Minnesota representation thereonshall consist of five commissioners appointed by the governor, by andwith the advice and consent of the senate, each for a four year term. The terms of the commissioners shall be staggered. Vacancies shall be filled by appointment by the governor with the advice and consent of the senate for the unexpired term. 1.331 [TERMS OF COMMISSIONERS.] In 1981 , when the current terms of the members of the Minnesota-Wisconsin boundary area commission expire, two commissioners shall be appointed to four year terms and one commissioner each appointed to a one year term, a two year term, and a three year term. Thereafter all terms shall be for four years. 1.34 [LEGISLATIVE ADVISORY COMMITTEE.] Subdivision 1. In orderTo assist the Minnesota-Wisconsin boundary area commission in the performance of its duties, there is createda legislative advisory committee is created to be comprised of five members of the house of representatives to beappointed by the speaker, and five members of the senate to beappointed by the committee on committees. The members of the advisory committee shall be selected by January 31 of each odd numbered year. Vacancies, when the legislature is not in regular session, shall be filled by appointment of the last duly elected speaker, in the case of members of the house of representatives, and the last duly elected members of the committee on committees, in the case of members of the senate. Subd. 2. The members of the legislative advisory committee shall select a chairman and suchother officers as may bedeemed necessary. 1.35 [TECHNICAL ADVISORY COMMITTEE.] Subdivision 1. In orderTo assist the Minnesota-Wisconsin boundary area commission in the performance of its duties, there is createda technical advisory committee comprised of ten members is created, to be appointed by the governor and toserve at his pleasure. Each member of the technical advisory committee shall have expertise in the subject matter of the duties of the Minnesota-Wisconsin boundary area commission ,and shallbe eitheran officer or employee of the executive branch of the state government, or of anya governmental subdivision, or body politic and corporate of the state. Subd. 2. The members of the technical advisory committee shall select a chairman and suchother officers as may bedeemed necessary. 1.36 [COMPENSATION AND REIMBURSEMENT FOR EXPENSES.] Subdivision 1. Members of the commission shall serve without compensation, but the actual and necessary expenses incurred by any member thereofin the performance of hisits duties shall be reimbursed from the appropriations made for the support of the commission by the state of Minnesota. Subd. 2. Members of the legislative advisory committee shall be compensated and reimbursed for expenses in the same manner that members of legislative standing committees are compensated and reimbursed pursuant tounder section 3.102. 1.37 [COOPERATION OF STATE OFFICERS.] All departments and agencies of the state shall cooperate with the commission and its advisory committees in the execution of their functions, and shallassist the commission in carryingto carry out theits duties imposed upon it. 1.38 [GIFTS.] The Minnesota commissioners may accept on behalf of the state a gift from any source, private or public, and mayuse such giftit for the purposes for which it is tendered, consistent with the duties of the Minnesota-Wisconsin boundary area commission. AnyMoney so received shall be deposited in the state treasury ,and the amount thereofis herebyappropriated annually to the commissioners for the purpose of carryingto carry out the terms and provisionsof suchthe gift. 1.39 [BUDGET.] The Minnesota commissioners shall submit a budget of the estimated expenditures of the commission from time to time to the commissioner of administration for suchthe period and in suchthe form ashe shall requirerequires. 1.40 [APPROPRIATION.] Money appropriated by Minnesota for the support of the commission shall be paid overin suchamounts and at suchtimes as the Minnesota commissioners shalldirect. A sufficient amount of the money of such appropriation, however,appropriated shall be withheld in orderto reimburse the Minnesota members of the commission and the members of the advisory committees for their expenses. Expenses of the commissioners shall be paid on the authorization of the chairman of the commission, or upon the authorization of any other person designated by it. Expenses of the members of the two advisory committees shall be paid on the authorization of the respective chairmen or any other member designated by the respective committees. ARTICLE 2 Section 1. Minnesota Statutes 1982, chapter 16A, as amended by Laws 1983, chapters 289, section 5; 299, section 36; 301, sections 88, 89, 90, 91, 92, 93, 94, 95, 96, 97, 98, and 99; 342, article 18, sections 1, 2, 3, and 4 is amended to read: 16A.01 [ CREATIONDEPARTMENT OF FINANCE; COMMISSIONER; DEPUTIES;EMPLOYEES.] Subdivision 1. [COMMISSIONER.] The commissioner of finance manages the department of finance is hereby created under the control and supervision of the commissioner of finance, which office is hereby established. The commissioner is the state's controller and chief accounting officer, the principaland financial officer and the state controller. Subd. 2. [APPOINTMENT; QUALIFICATION.] The governor appoints the commissioner of finance is appointed by the governorunder the provisions ofsection 15.06. The commissioner shallmust have broad experience as an executive financial manager. Subd. 3. [DEPUTY; CONFIDENTIAL SECRETARY.] The commissioner may appoint onea deputy commissioner,and a confidential secretary ,. Each of whom shall serveserves at the commissioner's pleasure of the commissionerin the unclassified service. Subd. 4. [ORGANIZE, HIRE, DELEGATE.] Subject to the provisions of Laws 1973, Chapter 492 and to other applicable laws governing a state department or agency,The commissioner shall: (1) organize the department and; (2) employ such other officers, employees, and agents as he may deemhire the agents and classified civil service employees necessary to dischargerun the functions of hisdepartment ,; (3) define thetheir duties of such officers, employees, and agents; and to delegate to them any of his(4) set conditions for, and control, delegation of the commissioner's powers, duties, and responsibilities subject to his control and under such conditions as he may prescribe. Personnel employed pursuant to this subdivision are in the classified service of the state civil serviceto them. [16A.011] [DEFINITIONS.] Subdivision 1. [IN THIS CHAPTER.] In this chapter, the words and phrases listed in this section have the meanings or inclusions given them here. Subd. 2. [AGENCY.] Except when otherwise modified, "agency" includes an office, department, board, council, committee, authority, or commission of state government. Subd. 3. [ALLOTMENT.] "Allotment" means a limit placed by the commissioner on the amount to be spent or encumbered during a period of time pursuant to an appropriation. Subd. 4. [APPROPRIATION.] "Appropriation" means an authorization by law to spend or encumber an amount in the treasury. Subd. 5. [APPROPRIATIONS COMMITTEE.] "Appropriations committee" means the appropriations committee of the House of Representatives. Subd. 6. [BIENNIUM.] "Biennium" means a period of two consecutive fiscal years beginning in an odd-numbered calendar year and ending in the next odd-numbered calendar year. On July 1, 1984, the current biennium is the 1983-1985 biennium. Subd. 7. [COMMISSIONER.] "Commissioner" means the commissioner of finance unless a different commissioner is specified. Subd. 8. [CONSTITUTION.] "Constitution" means the state Constitution. Subd. 9. [DEPARTMENT.] Except in subdivision 2, "department" means the department of finance unless a different department is specified. Subd. 10. [EMPLOYEE.] "Employee" includes elected officials, officers, and employees of the state, or agency, as the context requires. Subd. 11. [EXECUTIVE AGENCY.] "Executive agency" means an agency in the executive branch of state government. Subd. 12. [FINANCE COMMITTEE.] "Finance committee" means the finance committee of the Senate. Subd. 13. [FISCAL YEAR.] "Fiscal year" means the period beginning at midnight between June 30 and July 1 and ending 12 months later. On July 1, 1984, the current fiscal year is 1985. Subd. 14. [TREASURER.] "Treasurer" means the state treasurer. Subd. 15. [TREASURY.] Unless otherwise modified, "treasury" means the state treasury. 16A.04 [ TRANSFER OF POWERS FROM DEPARTMENT OF ADMINISTRATIONBUDGET AND CASH PROJECTION; RULEMAKING.] Subdivision 1. [TO PREPARE, CONSULT, SUPERVISE.] The department of financecommissioner shall prepare athe biennial budget andwith a ten-year cash receipts and disbursementdisbursements projection. In consultation withdoing so, the commissioner shall consult the commissioner of administration. under the supervision of the governor. In even numbered years immediately before the inauguration of a new governor, such budget and a ten year cash receipts and disbursement projection shall be prepared under the supervision of the governor-electThe governor shall supervise the preparation unless there is a governor-elect, who then shall provide the supervision. Subd. 2. All the powers, duties, and responsibilities now vested in and imposed upon the commissioner of administration by sections 3.30, relating to the contingent fund; 16.027, relating to payrolls; 16.138, relating to reimbursements; 16.14, 16.15, and 16.155 relating to budgets and the budget, are transferred to, vested in and imposed upon the department of finance. Subd. 3. All the powers, duties, and responsibilities now vested in and imposed upon the commissioner of administration by sections 16.20, 16.245, 16.25, 16.62, 16.63, 16.64 and any other law relating to the supervision and control of accounts and expenditures of the state government, its departments and agencies including but not limited to fees, payroll deductions, tax withholding, and compensation schedules, are hereby transferred to, vested in, and imposed upon the department of finance.Subd. 4. [RULEMAKING.] The department of financecommissioner may make rules and regulations governingon the powers, duties, and responsibilities transferred to it under the terms ofby Laws of Minnesota 1973, chapter 492. 16A.055 [ DUTIESSOME OF COMMISSIONERTHE COMMISSIONER'S DUTIES.] Subdivision 1. [LIST.] The commissioner of financeshall: (1) exercise the rights, powers, and duties vested in and imposed upon hisof the office . He shall have charge of the administration of; (2) manage the state's financial affairs of the state. He shall; (3) keep the state's general account books of account of the state. The general books of account shall be on a double entry control basis, with suchaccording to generally accepted government accounting principles; (4) revenue, expenditure, asset and liability accounts as will give complete control over all financial and expenditure operations of the state and over all officials, departments, and agencies of the state government. Accounts shall be set both as to expenditures andkeep expenditure and revenue accounts according to generally accepted practice in governmentalgovernment accounting principles . The commissioner of finance shall formulate and; (5) develop, provide instructions for, prescribe for all departments and other state agencies, and manage a state uniform accounting system of uniform records, accounts, financial statements, estimates, revenue receipt forms, vouchers, bills, and demands with suitable instructions governing the installation and use thereof. The accounting system and form so prescribed shall be adopted and employed by all officials, departments, and agencies of the state government. The commissioner of finance shall exercise constant supervision and control thereof. He shall; and (6) provide to the state officials, departments and agenciesthe expertise necessaryto assureensure that all state funds are accounted for in a manner consistent withunder generally accepted government accounting principles. All accounting and financial records shall be kept on the fiscal year basis of 12 months ending at midnight between June 30 and July 1.Subd. 2. [ACCOUNTING SYSTEM REQUIRED.] An agency must use the uniform accounting system prescribed by the commissioner. Subd. 3. [ACCESS TO RECORDS.] The commissioner of finance and his designated agents shall at all times haveAn agency must give the commissioner or a designee of the commissioner free access to the books, records, accounts, and papers of the several departments and agenciesits financial documents. Subd. 4. [COMMISSIONER'S DESIGNEE.] To accomplish the above duties,The commissioner may assign a designee to any department oran agency of the stateto monitor the fiscalits financial activities therein, insureand to ensure compliance with statutes and administrative requirements promulgated by the commissioner and provide any additional assistance he deems. The designee may assist the agency as the commissioner considers appropriate. Development of a budget consistent with a department orThe agency's head shall supervise its employees and develop a budget consistent with its goals, responsibilities , and priorities and supervision of a department or agency's personnel shall be the responsibility of the department or agency head. Subd. 5. [RETIREMENT FUND REPORTING.] Nothing in this section shall be construed as authorizingThe commissioner of finance tomay not require anya public retirement fund to adopt or implementuse financial or actuarial reporting practices or procedures that do not conform with the provisions ofdifferent from those required by section 356.20 or 356.215. 16A.06 [OTHER COMMISSIONER DUTIES AND POWERS.] Subdivision 1. [AGENCY TO COMPLY.] The commissioner has the duties and powers stated in this section. An executive agency must do what the commissioner requires of it under this section. Subd. 2. [FINANCIAL REPORTS.] The commissioner of finance: (1)from time to time shall require each department in therequire an executive branchagency to prepare financial reports in such form, and to be made at such intervals, as he may prescribe which will permit administrative and legislative comparisons ofon department forms so the administration and the legislature can compare spending plans in relation towith appropriations for programs and activities ;. (2)Subd. 3. [EVALUATE AND COMPARE COSTS.] The commissioner shall formulate and prescribeprovide a system of measuringto measure the effect of fund expenditures which will permit the evaluation and comparisons ofso as to evaluate and compare the cost of functions or programs ;. (3)Subd. 4. [OBJECTIVES.] The commissioner from time to time shall require each departmentexecutive agency to state in writingwrite objectives of each activity or functionon the department's form for its authorized against which performance may be measuredactivities and functions. The objectives shallmust be specific as to amount and time and for a period includingso that their performance can be measured. The objectives must cover the current and the followingnext biennium and reported at such times and in such form as the commissioner shall direct;. (4)Subd. 5. [ESTIMATES FOR FINANCIAL CONDITION.] The commissioner from time to time shall require the department of revenue and other departments in therequire an executive branchagency to report at his designated intervals concerningestimates of its income and receipts whether from taxes or otherwise, and use such information in evaluating the financial condition and affairs of the state;. The commissioner shall use the estimates to evaluate the state's financial condition. (5)Subd. 6. [REPORT ON FINANCIAL AFFAIRS.] The commissioner shall make such reports concerning, when directed, report on the financialstate's financial affairs of the state asto the governor or to the commissioner of administration may direct in addition to such reporting as may be otherwise prescribed by law;. (6)Subd. 7. [INFORMATION FOR POLICY MAKING.] The commissioner shall require such reports and other information of the state treasurer and other departments and agencies in theobtain from an executive branch as will permit formulation ofagency any information needed to make state financial policy on all fiscal and financial matters of state government. 16A.065 [ ADVANCE PAYMENTS AND DEPOSITSADVANCES FOR SOFTWARE ALLOWABLE.] Notwithstanding any other law to the contrary,Despite section 16A.41, subdivision 1, the commissioner of financemay allow an agency to make advance deposits or payments by any departmentfor the procurement ofsoftware or software maintenance services for state-owned or leased electronic data processing equipment. 16A.095 [STATE BUDGET SYSTEM.] Subd. 2Subdivision 1. [ ESTABLISHMENT OF PROGRAMRULES AND INSTRUCTIONS.] The commissioner of financeshall promulgate regulationsmake rules and instructions applicable tofor budget preparation governing the classification of. They must deal with classifying expenditures and with the content ,and submission of budget requests and appropriation measures. Subd. 2. [BUDGET IMPROVEMENTS.] The commissioner of finance shall from time to time selectmay choose executive agencies and departmentsto implementtest improvements in the budget system. The commissioner of financeshall make recommendations to the legislature on the subject of any legislation or special appropriations which may be required for implementation ofrecommend required legislation to install improvements in the budgetingbudget system for all state departments andexecutive agencies. The budget system shallmust, to the greatest extent practicable, emphasize alternative approaches in theprogram development and criteria for performance evaluation and measurementto evaluate and measure performance. Subd. 2a. [MUTUAL COOPERATION; DUE REGARD.] All state departments andExecutive agencies shallmust cooperate with the commissioner of finance to assure implementation of budgets whichin making a budget. The budget must meet the commissioner's requirements of the commissioner of finance and which givewhile giving due regard to the executive agencies' requirements of the various departments and agencies involved. No state agency shall begin or install any system of program or programmatic budgeting until it has first secured the explicit permission of the commissioner of finance. Subd. 3. [ WAIVER OF REQUIREMENT OF SUBMITTING BUDGETPROGRAM BUDGETS.] Notwithstanding any other law to the contrary,The commissioner of finance after consulting the committee on appropriations of the house of representatives and the committee on finance of the senate may waive the requirements for submitting a budget by object of expenditure for agencies and departments which are, at his direction, requestingmay require an executive agency to request programmatic appropriations. For that executive agency, the commissioner may waive the requirement to request appropriations by object of expenditure. Before acting, the commissioner must consult with the appropriations and finance committees. An executive agency may not install a programmatic budget system without written permission of the commissioner. 16A.10 [ COMMISSIONER TO PREPAREBUDGET PREPARATION.] Subdivision 1. [ BUDGET ESTIMATE FORMSBY MAY 1 AND SEPTEMBER 1.] It shall be the duty ofEach even-numbered calendar year the commissioner , or his designated deputy, toshall prepare the budget for all state departments andagencies, subject to the approval of the governor. By May 1 of each even-numbered year, the commissioner shall furnish the committee on finance of the senate and the committee on appropriations of the house of representatives with copies ofsend the proposed budget forms he proposesto use inthe appropriations and finance committees detailed budget estimates presented by the governor to the legislatureand shallreceive their advisory recommendations on possible improvements in the forms. The recommendations are advisory only.By September 1, the commissioner shall furnish every department, official, andsend each agency of the state authorized to expend state moneys with a sufficient number of budget estimateenough forms forto make its use by September first of each even-numbered yearbudget estimates. The budgetforms shall be so drawn as tomust show actual expenditures and receipts for the two precedingmost recent fiscal years, estimated expenditures and receipts for the current fiscal year, and estimates for each fiscal year of the succeedingnext biennium, the same data in respect to departmental receipts,and an estimated appropriation balance at the end of the current fiscal year. TheEstimated expenditures shallmust be classified to set forth the databy funds and character of expenditures ,and the agencymay be subclassified by programs and activities. The departmentAgency revenue estimates shallmust show how the basis upon whichthe estimates were made and thewhat factors involved in the same, and shallwere used. Receipts must be classified so as to show receiptsby funds, programs, and activities. TheExpenditure and revenue estimates of expenditures and revenue shallmust be based upon theon the law in existence at the time the estimates are prepared. Subd. 2. [ FILING BUDGET ESTIMATESBY OCTOBER 1 AND NOVEMBER 15.] Each state department, official, orBy October 1, an agency shall, not later than the first day of October preceding the convening of the legislature,must file the following with the commissioner: (1) its budget estimates in the form provided, including; (2) a concise explanation of itsany requests for anyincreased appropriations and for the, expansion of services, and the addition ofor new activities ,; (3) a statement of thework accomplisheddone during the precedingcurrent biennium and the workproposed to be donefor the next biennium ,; and (4) a list of all employees, their titles, and their salarieseach employee's name, title, and salary. The commissioner shall prepare and file the budget estimates for all departments, boards, and agencies that failan agency failing to file requeststhem. By November 15, the commissioner shall transmit a copysend copies of the budget estimates and accompanying information for the biennial budget as submitted by each department or agency to the commissioner to the committee on finance of the senate and to the committee on appropriations of the house of representatives on or before the 15th day of November of each even-numbered yearfiled material to the appropriations and finance committees. Subd. 3. [ REPORTDUTIES TO GOVERNOR-ELECT.] Immediately after the election of a new governor, the commissioner shall report the budget estimates and make available to the governor-elect immediately after his election, and shall make available to him all information, staff, and facilities in the department relating to the budgetall department information, staff, and facilities relating to the budget. 16A.11 [BUDGET SUBMITTEDTO LEGISLATURE.] Subdivision 1. [WHEN TO BE SUBMITTED.] The governor shall , within three weeks after the first Monday in January in each odd-numbered year,submit thea two-part budget to the legislature by the fourth Monday in January in each odd-numbered year. It shall include recommendations as to capital expenditure, but thesethey need not be submitted until April 15. The budget shall include two parts.Subd. 2. [ BUDGETPART ONE: MESSAGE.] Part 1one of the budget, the governor's message, shall consist of a budget message prepared by the governor, including hisinclude the governor's recommendations with reference toon the fiscalfinancial policy of the state governmentfor the coming biennium, describing the important features of the budget plan, embracing a general budget summary setting forth the aggregate figures of the budget so as to show the balanced relation between the total proposed expenditures and the total anticipated income, with the basis and factors on which the estimates are made, the amount to be borrowed, and other means of financing the budget for the ensuingcoming biennium, compared with the corresponding figures for at least the last two completed fiscal years and the current year. The budget plan shall be supported by explanatory schedules or statements, classifying theits expenditures contained thereinby agencies and funds, and the income by agencies, sources, funds, and the proposed amount of new borrowing, as well as proposed new tax or revenue sources. The budget plan shall be submitted for all special and dedicated funds, as well as the general fund, and shall include the estimated amounts of federal aids, for whatever purpose provided, together with estimated expenditures therefromfrom them. Subd. 3. [PART TWO: DETAILED BUDGET ESTIMATES.] Part 2two of the budget shall embrace, the detailed budget estimates both of expenditures and revenues ., Itshall also include statements of the bonded indebtedness of the state government, showing the actual amount of the debt service for at least the past two completed fiscal years, and the estimated amount for the current fiscal year and for the next two fiscal years, the debt authorized and unissued, the condition of the sinking funds, and the borrowing capacity. It shall also contain any statements relative toon the financial plan which the governor may deembelieves desirable or which may be required by the legislature. The detailed estimates shall include the budget request of each department oragency arranged in tabular form so it may readily be compared with the governor's budget for each department oragency. They shall also include, as part of each agency's organization chart, a summary of the personnel employed by the agency, showing the complement approved by the legislature for the current biennium, additional complement positions authorized through the governor or the commissioner of finance, positions transferred into or out of the agency, additional part-time and seasonal positions and the number of employees of all kinds actuallyemployed by the agency on June 30 of the last complete fiscal year. To the extent practical, the summary of personnel shall also be shown for each functional division of the agency, and for each fund and type of appropriation. Subd. 4. [ FURTHERINFORMATION FURNISHED; HEARINGS.] The commissioner shall, uponon request, furnishgive the governor or the legislature with any furtherinformation required concerningon the budget ,and shall, upon request,attend legislative budget hearings of committees of the legislature in regard thereto. 16A.123 [APPROVED COMPLEMENT.] Subdivision 1. [LIMIT; NO CONTRACTORS.] TheAn agency's approved complement set for an agency by lawlimits the number of its personnel positions in the agencyat any one time. It includes a position regardless of which fund or appropriation pays for it. The approved complement does not apply toinclude independent contractors. In addition to the approved complement, part-time employees, seasonal or intermittent employees as defined by the commissioner of employee relations, summer student help, service workers, preservice trainees employed pursuant to affirmative action programs approved by the commissioner of employee relations, CETA employees, or employees engaged in repair or construction projects may be employed with the advance approval of the commissioner of finance who shall determine the need for them and that money is available. The approved complement applies to positions in the agency regardless of the fund or appropriation from which they are paid.Subd. 2. [MORE THAN ONE.] IfWhen more than one approved complement figure for an agency is shownin a law, the figures may be taken as cumulative, or a larger figure may be taken as a total or subtotal of related smaller figures, asthe context indicatesdetermines if they are to be added, or if one includes the others. Approved complement figurescomplements for an agency shown in separate lawsenacted at the same biennial session of the legislaturein separate laws during a biennium are cumulativeto be added. Subd. 3. [EXCLUSIONS.] The following kinds of employees need not be counted in an agency's approved complement: (1) part-time employees; (2) seasonal or intermittent employees as defined by the commissioner of employee relations; (3) summer student employees; (4) service employees; (5) preservice trainees in an affirmative action program approved by the commissioner of employee relations; (6) CETA employees; (7) repair or construction project employees. The commissioner must conclude there is a need and available money before an agency hires an employee of a kind listed in this subdivision. Subd. 4. [TO EXCEED COMPLEMENT.] Additional full-time positions over the number of the approved complement may be created on the basisAn agency may exceed its approved complement because of public necessity or emergency. The addition shall not be made withoutThe agency must first get the written approval of the governor. Before approval, the governor shall not approve the addition until after he has consulted with the legislative advisory commission and the commission has made itsshall seek an advisory recommendation on the matterfrom the legislative advisory commission. The recommendation is advisory only. Failure or refusal to make aIf no prompt recommendation promptly is deemed a negativeis made, the recommendation is negative. 16A.125 [STATE FOREST TRUST LANDS ; FUNDS.] Subd. 5. [SUSPENSE ACCOUNT.] The term "state forest trust fund lands" as used in this subdivision, means any state school lands or otherpublic landsland subject toin trust provisionsunder the stateConstitution and heretofore or hereafterset apart as "forest lands under the authority of the commissioner" of natural resources as defined by section 89.001, subdivision 13. The commissioner of finance and the statetreasurer shall keep a separate account of all receiptscredit the revenue from the sale of timber or other revenue from such stateforest trust fund lands , to be known as the stateto the forest suspense account , specifying. The account must specify the trust funds interested in suchthe lands and the respective receipts therefrom, respectivelyof the lands. As soon as practicable after the close of eachAfter a fiscal quarter, upon information which shall be supplied bythe commissioner of finance natural resources, the commissioner of financeshall determine andcertify the total costs incurred by the statefor forestry during that quarter under appropriations madefor the protection, improvement, administration, and management of state forest trust fund lands for forestry purposes as authorized by law, specifying. The certificate must specify the trust funds interested in suchthe lands. The commissioner of natural resources shall supply the commissioner of finance with the information needed for the certificate. As soon as practicable after the end of eachAfter a fiscal year, the commissioner of financeand the statetreasurer shall distribute the receipts credited to the state forestsuspense account during that fiscal year as follows: (1)(a) The totalamount of the certified costs incurred by the state for forest management purposesduring the fiscal year as certified in this subdivisionshall be transferred to the state forest development account , except that. If the totalthese costs exceed $500,000, the costs inamount of the excess of $500,000shall be transferred to the forest management fund established underof section 89.04. (2)(b) The balance of saidthe receipts shall then be transferredreturned prorated to the statetrust funds concernedin accordance withproportion to their respective interests in the lands fromwhich produced the receipts were derived. Subd. 5a. [APPROPRIATION.] All moneysMoney accruing and credited to the state forest development account areis appropriated to the division of forestry in the department of natural resources , subject to the supervision and control of the commissioner of natural resources, for the purpose of implementing theto apply state forest resource management policy and plan on stateplans to forest trust fund lands , to remain available until expended. The appropriation is supervised and controlled by the commissioner of natural resources. All appropriations under this subdivisionThe appropriation shall be expended subject to the provisions ofspent according to law and remains available until spent. NoThe appropriation shall becomeis not available for expenditurespending until any estimates required by law are approved by the commissioner of finance. NoAn obligation involving expenditure ofto spend money shallmay not be entered intomade unless there is aan available balance in the appropriation availablenot otherwise encumbered to pay obligations previously incurredin the appropriation. 16A.126 [ COMMISSIONER TO APPROVE BILLING RATES FORREVOLVING FUNDSFUND BILLING.] Subdivision 1. [SET RATES.] The commissioner of financeshall approve the rates at which services are billed state departments or agencies by anyan agency must pay to a revolving fund for services. Subd. 2. [IMMEDIATE NEEDS.] In orderTo reduce revolving fundreserves maintainedfor unforeseen needs, and therebyso reduce thethese rates which using agencies must pay, the commissioner may transfer moneys not otherwise appropriated in theunappropriated general fund money to a revolving fund if, in the commissioner's judgment, a bona fide, immediate expenditure is necessary and if there are insufficient moneys in the revolving fund to meet the expenditure. Any money so transferred for the purchase of equipment shall be repaid to the general fund in installments over its useful life on a schedule established by the commissioner of finance. Other moneys so transferred shall be repaid to the general fund on a schedule established by the commissioner of finance but within a period not to exceed five years. Before doing so, the commissioner must decide there is not enough money in the revolving fund for an immediate necessary expenditure. Subd. 3. [REPAYMENT SCHEDULES.] The commissioner shall make schedules for repayment to the general fund of the transferred money. A schedule to repay money used to buy equipment may extend over the equipment's useful life. Otherwise, a schedule may not extend beyond five years. 16A.127 [INDIRECT COSTS.] Subdivision 1. [ DEFINITIONSSTATEWIDE INDIRECT COSTS.] As used in this section the following terms shall have the meanings given them: (a) "State agency" means a state department, board, council, committee, authority, commission or other entity in the executive branch of state government; (b) "Nongeneral fund moneys" means any moneys any state agency is authorized to receive and expend from a source other than the general fund; (c) "Statewide indirect costs" means all operating costs incurred by the state treasurer and all departments and agencies which are attributable to the provision of services to any other state agency; except as prohibited by federal law, "statewide indirect costs" include all operating costs incurred by the legislative and judicial branches of state government; (d) "Commissioner" means the commissioner of finance.and in section 16A.128, "statewide indirect costs" means all operating costs incurred by the treasurer and all agencies attributable to providing services to any other agency except as prohibited by federal law. It includes all operating costs incurred by the legislative and judicial branches. Subd. 2. [STATEWIDE INDIRECT COSTPLAN.] Each yearThe commissioner shall annually prepare a statewide indirect costplan showing the categorykind and amount of each executive agency's statewide indirect costs attributable to each state agencyfor the current fiscal year. The commissioner shall submit copies ofreport the plan to the governor and tothe legislature pursuant to section 3.195. Subd. 3. [TRANSFER OF FUNDS.] Pursuant toUnder the statewide indirect costplan, the commissioner shall make and record the transfer to the general fund that portionof the statewide indirect costs applicable toattributable to an executive agency's nongeneral fundsfund moneys received by any state agencyreceipts for the previouslast fiscal year. Upon making such a transfer, the commissioner is authorized and directed to make appropriate entries in the records of the funds involved in the transfer. Notwithstanding the foregoing,However, the commissioner may determine, for reasons of sound fiscalfinancial management, towaive the transfer to the general fund of the indirect costs for certain nongeneral fund moneysreceipts. The commissioner shall report any waivers under this subdivision to the governor and the legislature at the time of his submission of thea waiver in the next statewide indirect cost plan for the following fiscal year. Subd. 4. [FEDERAL INDIRECT COSTPROPOSALS.] Whenever a state agency applies or submits a budget for or receives federal moneys, the state agency shall prepare and submit to the appropriate federal agency an indirect cost proposal and make such furtherAn executive agency's application for federal money shall include necessary submissions necessary to obtainto get both statewide and stateagency indirect cost moneysmoney. Any indirect cost proposals and related documentsThe indirect cost submission must be submitted to and approved by the commissioner prior to the time they are submitted to the appropriate federal agency. A state agency need not prepare and submithave the prior approval of the commissioner. An indirect cost proposal if it establishes to the commissioner's satisfaction that suchsubmission is unnecessary if the executive agency convinces the commissioner that the submission is not economically feasibleeconomical. Subd. 5. [ TRANSFER OF FUNDS,FEDERAL INDIRECT COST PROPOSALSHARE.] If the appropriate federal agency approves a state agency's indirect cost proposal,The commissioner shall transfer to the general fund that portion of the federal moneys received by the state agency attributable tofederal money received by an executive agency for statewide indirect costs to the general fund. If the federal agency approves only a portion of the state agency's indirect costless than the entire executive agency proposal is federally approved, the commissioner shallmay transfer to the general fund all or such part, if any, of that portion of the federal moneys received by the state agency attributable to statewide indirect costs that the commissioner deems appropriateless than all of the federal receipts. If theno federal agency fails to approve any portion of the state agency'sfunds are approved for indirect cost proposalcosts, the stateexecutive agency shall submit documentation of the failure to approve and a statement of the reasons thereformust document that fact to the commissioner. Subd. 6. [ REPORTSREQUIRED INFORMATION.] The commissioner shall require such information and reports from each stateAn executive agency as he deems necessarymust supply the information required by the commissioner to carry out the duties ofthis section. Subd. 7. [ LEGISLATIVE AUDITORAUDIT FEES.] Unless otherwise specified by law, a state agency whose financial affairs are audited byThe legislative auditor , andmay recommend waiver, and the legislative audit commission may waive all or part of a fee for an audit. A state audited executive agency whose funds are not administered by the statetreasurer , shallmust transfer to the general fund that portionthe amount of the cost of the audit applicable to the moneys received by the agency from sources other than the generalattributable to the executive agency's nongeneral fund receipts. The collection by the legislative auditor of the cost of an audit may be waived in whole or in part by the legislative audit commission upon recommendation by the legislative auditor.16A.128 [FEE ADJUSTMENTS.] Subdivision 1. [APPROVAL REQUIRED; AMOUNTS.] TheFixed fees fixedfor the variousaccounts for which appropriations are made by law may not be increased or decreased except with themay not be adjusted without the approval of the commissioner of finance. If the fee or fee adjustment is required by law to be fixed by rule, the commissioner's approval by the commissionermust be includedin the statement of need and reasonableness. AllThese fees must be reviewed at least onceeach six months , and,. Except in special fee situationsas determined by the commissioner, adjustments must be made to the end thatso the total fees received must approximate the amount appropriatednearly equal the sum of the appropriation for the severalaccounts ,plus the portion ofthe agency's general support costs and statewide indirect costs of the agency that isattributable to the fee function for which the fee is charged. Subd. 2. [ PROCEDURENO RULEMAKING.] Fees that are based on actual direct costs of a service, are one-time in nature, are not significant in terms of revenue as in the case of minor copying fees, are only billed within or between state agencies, or are specifically exempted by law from approval by the commissioner of finance, need not be set by rule unless specifically required by lawThe kinds of fees that need not be fixed by rule unless specifically required by law are: (1) fees based on actual direct costs of a service; (2) one-time fees; (3) fees that produce insignificant revenues; (4) fees billed within or between state agencies; or (5) fees exempt from commissioner approval. Subd. 2a. [PROCEDURE.] AllOther fees not setfixed by law must be setfixed by rule. Fee adjustments authorized under this section may be made pursuant toThe procedure for noncontroversial rules in sections 14.21 to 14.28 , but without amay be used except that no public hearing may be held. public hearing, whichThe notice of intention to adopt the rules must state ,that no hearing will be held. This procedure may be used only when the total fees estimated to be received during the fiscalfor the biennium willdo not exceed the sum of alldirect appropriations, indirect costs, transfers in, and salary supplements for that purpose for the biennium. This exemption from theA public hearing requirements of the Administrative Procedure Act does not apply tois required for adjustments of fees expended pursuant tospent under open appropriations of dedicated receipts. 16A.1281 [REPORT ON LOW FEES.] In even-numbered years, the commissioner of financeshall review and analyzefees collected by state departments andagencies. By November 15, the commissioner shall prepare areport on thosethe fees in which the cost of collections of the fee and the service provided for the fee appear excessive in relation to the amount of the fee collectedto the appropriation and finance committees. The report shall be submitted by November 15 of any even numbered year to the committee on finance of the senate and the committee on appropriations of the house of representativesmust analyze the fees that the commissioner believes are too low for the service provided. The analysis must take into account the cost of collecting the fee. 16A.129 [ COMMISSIONER'SMORE POWERS.] Subdivision 1. [LIST OF SALARIES.] The commissioner of finance shall have the power tomay require a complete recordlist of the officers, assistants, andemployees appointed or employed by the various officials, departments, and agenciesof the state government and institutionsan agency, and to require thethat their salaries of the same to be in conformityconform with the scale of compensation established pursuant toby law ;. Subd. 2. [CLASSIFIED BUDGET, ACCOUNTS.] and to prepare and prescribe classes ofThe commissioner may classify expenditures and revenue for the purpose ofbudget making and accounting. 16A.13 [FEDERAL TAX WITHHOLDING.] Subdivision 1. [ CREATIONCUSTODIAN; BOND.] There is hereby created and established the Victory Tax Fund in which shall be deposited all deductions made pursuant to this section.The statetreasurer shall be ex-officiois the custodian of all moneys deposited with him to the credit of the victory tax fund and his generaldeposits of federal tax withheld from the pay of an employee. The treasurer's bond to the state shall cover allthe liability for histhe custodian's acts as custodian thereof. Such moneys shall beThe deposits are subject to all provisions of law governing thelaws on keeping and disbursement ofpaying out state moneys, so far as applicable, except as otherwise herein providedmoney. Subd. 2. [COMMISSIONER TO ACT ASIS AGENT FOR THE UNITED STATES.] The commissioner of finance is authorized and empowered tomay cooperate with and act as agent for the United States of America in the collection of anycollecting federal tax now or hereafter imposed by the United States of America upon any officer or employee of the state of Minnesota or his salary or wages which is to be collected by withholding it from the salary or wages of the officer or employeefrom the pay of employees. Subd. 2a. [PROCEDURE.] The head of each department of the state is hereby required to cause suchan agency shall see that the deduction for the withheld tax to be withheld by causing the necessary deduction to beis made from the salary or wages of each of said persons on everyan employee's pay on the payroll abstract and to. The agency head shall approve one voucherwarrant payable to the statetreasurer , custodian, victory tax fund,for the aggregatetotal amount sodeducted from the salaries or wages covered by said payrollon the abstract , provided that. Deductions from salaries or wages of officers or employeesthe pay of an employee paid direct by any institution oran agency of the stateshall be made by the officer or employee authorized by law to pay such salaries or wagesemployee's payroll authority. Whenever an error has been made with respect toA later deduction hereunder, proper adjustment shall bemust correct an error made by decreasing or increasing subsequent deductions. All warrants and checks for deductions hereunder shall be remittedon an earlier deduction. The paying authority shall see that a warrant or check for the deductions is promptly sent to the statetreasurer who. The treasurer shall deposit the amount thereof to the creditof the warrant or check the victory tax fund. The money so deposited with the state treasurer shall be paid out upon authorization of the commissioner of finance by state warrant payableto the credit of the proper federal authority or suchother person as may beauthorized by federal law of the United States of Americato receive the sameit. Subd. 2b. [APPROPRIATION.] Such portion of said fund as may beThere is appropriated the amount necessary to discharge the state's obligation of the State of Minnesota to the United States of America now or hereafter imposed by any law of the United States of Americaunder federal law requiring the deductions from salaries or wages is hereby appropriated for such purposepay in this section. Subd. 3. [ COMMISSIONER TO MAKEREPORTS; PAYMENTS.] The commissioner of financeshall ,report as required by properfederal authority, make all necessary reports oflaw on the deductions made hereunderunder this section and cause the moneys sosee that the deducted to bemoney is paid out as herein providedrequired. Subd. 4. [ OFFICERS ANDEMPLOYEES TO REPORT TO COMMISSIONER AS REQUIREDPROVIDE INFORMATION.] All officers and employeesAn employee shall prepare and transmitsend to the commissioner of finance suchthe information and forms as he may require for the purposes ofthe commissioner requires under this section. 16A.131 [ SALARYDEDUCTIONS , AUTHORIZATIONFOR FEDERAL SECURITIES, TRANSIT CARDS.] Subdivision 1. [FEDERAL SECURITIES.] Every officer andAn employee of the statemay purchase and pay for bonds, stamps, and other securities issued by the federal government by directing in writing to the appropriate officer of the department where he is employed that deductions of the amount specified by him be made from his salarydirect the payroll officer of the employing agency, in writing, to deduct stated amounts from the employee's pay to buy federal securities. The employing agency's head of each department of the state is hereby required to cause suchshall see that the deduction to befrom the employee's pay is made from the salary of each said personson everythe payroll abstract and to. The head shall approve one voucherwarrant payable to the statetreasurer for the aggregatetotal amount sodeducted from the salaries covered by saidon the payroll abstract , provided that. Deductions from salaries of officers or employeesthe pay of an employee paid direct by any institution oran agency of the stateshall be made by the officer or employee authorized by law to pay such salaries, and remitted by him to the director by checkemployee's paying authority. The authority shall send a warrant or check for the amount of the deductions to the treasurer payable to the statetreasurer. With it must go a statement showing the amount of each of such deductions and thelist of the names of the officers andemployees on whose account the same have been made. The money so depositedwith the amount deducted for each. The statetreasurer shall be paid out on authorization ofpay out the amount deposited, when authorized by the governor by state warrant payable to the proper federal authority or to the officer ordirecting employee from whose salary the money was deducted, as the case may require. Subd. 2. [TRANSIT CARDS.] An employee may direct the commissioner of finance, with the written consent of a state employee, mayin writing, to deduct from the salary of the employee a sum agreed to by the employee for the purchase ofa stated amount from the employee's pay to buy mass transit ridership cards. The commissioner of financeshall deposit all money resulting from these payroll deductionsthe amount in the special account authorized by section 16.72, subdivision 7. 16A.14 [ALLOTMENT AND ENCUMBRANCE SYSTEM.] Subdivision 1. [ ALLOTMENT PERIODLESS THAN FISCAL YEAR.] For the purposes of operation of the allotment system, each fiscal year shall be one fiscal year of 12 months which shall end at midnight between each June 30 and July 1, provided, thatThe commissioner of financemay prescribe a differentset an allotment period suited to the circumstances, not exceeding 12 months norshorter than and not extending beyond the end ofthe fiscal year. Subd. 1a. [PERMANENT IMPROVEMENTS.] This provisionSubdivision 1 does not apply tofor allotments made with respect toof appropriations madefor constructions orpermanent improvementimprovements, including acquisition of real property. Subd. 2. [ FUNDS TO WHICH SYSTEM APPLIESAPPLICATION.] Except as otherwise expressly provided therein, the provisions of this chapter relating toThe allotment and encumbrance system and to the encumbering of funds shall apply toapplies to all appropriations and funds of all kinds, including standing or annual appropriations and dedicated funds from which expenditures are to be made, from time to time, by or under the authority of any agency, but shallexcept as provided in subdivisions 2a, 2b, and 2c. Subd. 2a. [EXCEPTIONS.] The allotment and encumbrance system does not apply to: (1) appropriations for the courts or the legislature , nor to; (2) payment of unemployment compensation benefits nor to the funds deposited; or (3) deposits in the statetreasury for disbursementto be paid out by the commissioner of transportation whenacting as the agent by law of a political subdivision pursuant to law. Subd. 2b. [IMPRACTICAL ALLOTMENTS.] In the case of construction or otherWith permanent improvement contracts and transactions for the acquisition of real estate, equipment, repair, rehabilitation, appurtenances or utility systems to be used for public purposes, where periodical allotments are impracticable,the commissioner may dispense therewith and prescribe such regulations as willdo away with periodic allotments as impractical and make rules to insureensure the proper application and encumbering of funds. Subd. 2c. [CONTINGENT FUNDS.] Contingent funds appropriatedappropriations for the governor orand the attorney general shallare not besubject to the provisions thereof relating toallotment , but shall be. They are subject to the other provisions thereofprescriptions in this chapter relating to expenditurespending and encumbering of funds. Subd. 3. [ APPROPRIATIONS FOR ALLOTMENT;SPENDING PLANSPLAN.] NoAn appropriation to anyan agency shall becomemay not be made available for expenditure thereby during anyspending in the next allotment period until suchthe agency shall havehas submitted a spending plan to the commissioner of finance a spending plan in advance, in suchon the commissioner's form as the commissioner shall prescribe, for such allotment period next ensuing, ofwith the amount required for each activity to be carried onand each purpose for which money is to be expended during that period, and until suchspent. The spending plan shall have beenmust also be approved , increased,or decreasedmodified by the commissioner of financeand funds allotted thereforfor the plan before the money is made available. Subd. 4. [ SPENDING PLANS WITHIN APPROPRIATION;APPROVAL PROCEDURE.] If the spending plan is within the terms of the appropriation as to amount and purposes, having due regard for the probable further needs of the agency for the remainder of the fiscal year or other term for which the appropriation was made, and if there is a need for such appropriation for the next ensuing allotment period,The commissioner of financeshall approve the estimated amount for expenditure if the spending plan is within the amount and purpose of the appropriation. In doing so, the commissioner must keep in mind the probable needs of the agency for the rest of the term of the appropriation, and whether there is a need for the appropriation in the next allotment period. Otherwise the commissioner of financeshall modify the spending plan so asand the allotment to conform with the terms ofthe appropriation and the prospectivefuture needs of the agency and shall reduce the amount allotted accordingly. The commissioner of finance shall act promptly upon allon a spending plans, andplan. The commissioner shall notify everyan agency of its allotments at least five days before the beginning of eachan allotment period. The total amount allottedAllotments to anyan agency for the fiscal year or other terms for which thean appropriation was made shallterm may not exceed the amount appropriated for such year orthat term. Subd. 5. [MODIFICATION.] After approval, the commissioner of finance shall also have authority at any time tomay modify or amend anya spending plan previously approved by him, upon application of or upon notice to the agency concerned, and upon a showing of emergency or otherfor cause ; provided, no. An agency may apply for and must be notified of the modification. The modification may not result in a deficit or an undue reduction of funds to meet future agency needs of such agency will result therefrom. 16A.15 [ACCOUNTING SYSTEM; ALLOTMENT AND ENCUMBRANCE.] Subdivision 1. [REDUCTION.] In caseIf the commissioner of finance shall discover at any timedetermines that theprobable receipts from taxes or other sourcesfor anyan appropriation, fund, or item will be less than wasanticipated, and that consequentlythe amount available for the remainder of the biennium will be less than the amount estimated or allotted therefor, heneeded, the commissioner shall, with the approval of the governor, and after consultation withconsulting the legislative advisory commission created by section 3.30, transfer from the budget reserve account established in subdivision 6 to the general fund the amount necessarymoney needed to balance expenditures with revenue and expenditures. AnyAn additional deficit shall, with the approval of the governor, and after consultation withconsulting the legislative advisory commission, be made up by reducing allotments. In reducing allotments, the commissioner of financemay consider other sources of revenue available to recipients of state appropriations and may apply allotment reductions based on all sources of revenue available. In like manner he, the commissioner shall request reduction of the amount allotted or to be allottedreduce allotments to anyan agency by the amount of any saving whichthat can be effected uponmade over previous spending plans through a reduction in prices or other cause. Subd. 2. [ COMMISSIONER OF FINANCE;ACCOUNTING SYSTEM.] There shall be kept in the office ofThe commissioner of financeshall keep an accounting system in the department's office showing at all times,by fundsfund and items, the amounts appropriated for and the estimated revenues of such agency, the amounts allotted and available for expenditure, the amounts of expenditures or obligations authorized to be incurred, actual receipts and disbursements, actual balances on hand, and the unencumbered balances after deduction of all actual and authorized expendituresitem: (1) the amounts appropriated for and the estimated revenue of the agency; (2) the amount allotted and available for expenditure; (3) the amount of expenditures or obligations authorized to be incurred; (4) the actual receipts and disbursements; (5) actual balances on hand; and (6) the unencumbered balances after deduction of all actual and authorized expenditures. Subd. 3. [ PAYMENT WITHINALLOTMENT AND ENCUMBRANCE ; EXCEPTIONS.] NoA payment shallmay not be made without prior obligation. NoAn obligation shallmay not be incurred against any fund, allotment, or appropriation unless the commissioner of finance shall first certify that there ishas certified a sufficient unencumbered balance in suchthe fund, allotment, or appropriation to meet the sameit. EveryAn expenditure or obligation authorized or incurred in violation of the provisions ofthis chapter shall be presumedis invalid and shall beineligible for payment until its validity is established as hereinafter providedmade valid. EveryA payment made in violation of the provisions ofthis chapter shall be deemedis illegal , and every official. An employee authorizing or making suchthe payment, or taking part thereinin it, and everya person receiving such payment, orany part thereofof the payment, shall beare jointly and severally liable to the state for the fullamount sopaid or received. If any appointive officer oran employee of the state shallknowingly incur anyincurs an obligation or shall authorize or make anyauthorizes or makes an expenditure in violation of the provisions ofthis chapter or taketakes part thereinin the violation, it shall be groundsthe violation is just cause for histhe employee's removal by the officerappointing him, and, if the appointing officer be other thanauthority or by the governor and shall fail to remove such officer or employee, the governor may exercise such power of removal, after givingif an appointing authority other than the governor fails to do so. In the latter case, the governor shall give notice of the chargesviolation and an opportunity for hearing thereonto be heard on it to the accused officer oremployee and to the officerthe appointing himauthority. ClaimsA claim presented against existing appropriationsan appropriation without prior allotment or encumbrance may , upon investigation, review, and approval by the commissioner of finance be determinedbe made valid on investigation, review, and approval whereby the commissioner, if the services, materials, andor supplies for which payment is claimed have been actually rendered orto be paid for were actually furnished to the statein good faith without collusion and without intent to defraud. ThereafterThe commissioner of financemay then draw hisa warrant in payment of such claims in the same manner in which otherto pay the claim just as properly allotted and encumbered claims , properly allotted and encumbered prior to inception thereof,are paid. Subject to approval byThe commissioner of finance and pursuant to increases authorized by section 16.07, subdivision 1, themay approve payment amountfor materials and supplies may exceedin excess of the obligation amount when increases are authorized by section 16.07, subdivision 1. Subd. 4. [PERIODIC ALLOTMENT.] In the case of appropriations made for construction or otherpermanent improvementimprovements, including acquisition of real estate, equipment, repair, rehabilitation, appurtenances or utility systemsproperty, which appropriations do not lapse until the purposes for whichof the appropriations were made shall have beenare accomplished or abandoned, the commissioner of financemay dispense with periodic allotmentallotments and shall prescribe such regulations as will insuremake rules to ensure the proper application and encumbrance of funds. Subd. 5. [ NOTIFICATION OF LEGISLATIVENOTICE TO COMMITTEES.] IfThe commissioner of finance determines to reduce an allotment pursuant to subdivision 1 or if he determines it is necessary to withhold any payment after the statutorily prescribed date for payment in compliance with subdivision 3, the commissionershall notify the committees on finance and taxes and tax laws of the senate ,and the committees on appropriations and taxes of the house of representatives of a reduction in an allotment under subdivision 1. The notice shall be mademust be in writing not later thanand delivered within 15 days after the reduction in the allotment is made or the date prescribed for payment for any payment withheldof the commissioner's act. The notice shallmust specify: (1) the amount of the reduction in the allotment and; (2) the agency and programs affected ,; (3) the amount of any paymentspayment withheld ,; and (4) any additional information the commissioner determines is appropriate. Subd. 6. [BUDGET RESERVE ACCOUNT.] The commissioner of finance on July 1, 1983 shall transfer $250,000,000 to a budget reserve account in the general fund in the state treasury. Subd. 7. [DELAY IN PAYMENT; REDUCTION.] The commissioner of financemay delay payment of an amountpaying up to 15 percent of an appropriation dueto a special taxing district or a system of higher education in that entity's fiscal year for up to 60 days after the start of its next fiscal year. The delayed amount delayedis subject to allotment reduction under section 16A.15,subdivision 1. 16A.155 [ BUDGET AND ALLOTMENT SYSTEM;REFUNDS; CHARGED WHEN PAID.] Notwithstanding the provisions ofsections 16A.14 and 16A.15, or any other law to the contrary, the payment of a refund for any purpose authorized by lawshall be chargeable againstcharged to the fund, appropriation, allotment or encumbrance for the period in which the refund is paid. 16A.17 [PREPARATION OF STATE PAYROLL.] Subdivision 1. [SALARIES; WHEN PAID.] The commissioner of finance, with the approval of the governor, shall fix the time for payment of salaries due elective and appointive officers andmay choose to pay salaried employees of the state government. Salaries shall be paid either monthly,semimonthly or for each two week period; provided, however, that nobiweekly. employee whose salary is less than the amount prescribed by Title 29, Code of Federal Regulations, Part 541, as amended through December 31, 1974, shall be paid on a monthly or longer basis.Subd. 3. [EQUAL PAYMENTS.] In order to utilize modern accounting methods in processing payrolls,The commissioner of financemay adjust salaries of all state officers and employees whether fixed by statute or otherwise on an annual, monthly, semi-monthly, daily or other basis, so that they are payable inthe salary of an employee to provide equal payments throughoutthrough the year and to make use of modern accounting in preparing the payroll. TheAdjusted salaries so adjusted shallmust be based on a year of 2088 working hours. OddFractions may be dropped or added in order to permit equal payments throughout the year regardless of whether the computation slightly decreases or increases the fixed annual, monthly, semi-monthly, daily or other salary of the state officers or employeeseven if the salary is then slightly changed. Subd. 4. [ALLOCATIONS.] IfThe commissioner provides for equal payments of salaries throughout the year, the payrollshall be allocated as provided in this subdivision. (1) If theset procedures for allocating and encumbering equal salary payments when a payroll period extends beyond onethe end quarterof the fiscal year and into another quarter of the year, the amount of the payroll for such payroll period shall be chargeable to the respective allotments and encumbrances according to procedures to be established by the commissioner of finance. (2)Subd. 4a. [APPLICATION.] ThisSubdivision is applicable4 applies to salaries of state officers and employees payable in equal payments throughout the year notwithstanding any other provision in Minnesota Statutes. No provision of any subsequent law relating to the budget, allotment, and encumbrance system or to appropriations for the payment of salaries of state officers and employees shall be construed as inconsistent with this subdivision unless andexcept only so faras expressly provided in suchthe subsequent act that the provisions of thissubdivision shall4 does not be applicableapply or shall beis superseded, modified, amended, or repealed. Subd. 5. [PAYROLL DUTIES.] Whenever in any law the duty is imposed upon the head of a stateWhen the department orprepares the payroll for an agency, the commissioner assumes the agency head's duties to make authorized or required deductions from, or employer contributions on, the salaries and wages of state officers andpay of the agency's employees for such purposes as are authorized or directed by lawand to prepare orand issue vouchers in connection therewith and the payroll for such officers and employees is prepared by the department of finance, such duties shall devolve upon the commissioner of financethe necessary warrants. Subd. 5a. [VOLUNTARY DEDUCTIONS.] Notwithstanding any other law to the contrary, where a state officer orThe commissioner may require an employee directs, in writing, thatmaking a voluntary deduction shall be made from his salary or wages, the officer or employee shall file an original and one copy of his written instruction with the credit union, organization, association, agency, or carrier to which the deduction is to be paid and the intended recipient of such deduction shall forward the original of the instruction, signed by the employee, together with such other information as the commissioner of finance may prescribe concerning the amount of the deduction or change therein to the head of the state department or agency who prepares the payroll involvedand the recipient of the deduction to provide information on the amount of or a change in the amount of the deduction. The employee making a voluntary deduction must sign and send the deduction instructions to the intended recipient of the deduction. The intended recipient shall forward the original signed instruction and other required information to the employee's payroll preparer. Subd. 6. [BRANCH PAYROLLS.] All payrolls for the compensation of work performed, by elective and appointive state officers and employees, in theThe commissioner shall prepare the payroll for the executive branch shall be prepared by the department of finance. Upon request of the rules committee of the senate or house of representatives or the supreme court, as appropriate, the commissioner shall alsoprepare the payrolls forof the legislative and judicial branches by using pay procedures similar to those used in the executive branchin a similar way. Subd. 7. [ CERTIFICATION OFCERTIFY HOURS.] (1)The commissioner of financemay authorize certification by authorized officials as toan official to certify the hours worked for payroll purposes in anticipation of the hours actually worked. Subd. 8. [EXCEPTIONS.] The commissioner shall prescribe procedures as may be necessaryto assure that nopayment shall beis made only for hours notworked unless covered by leave in accordance with collective bargaining agreements, or plans pursuant to section 43A.18 or rules of the department of employee relations or pursuant to the resolution of a grievance through the formal steps of a grievance procedure established by law or collective bargaining agreement or as provided in clause (2). (2) Upon certification by the commissioner of finance, any agency of the state government shall release part or all of any fund held for an employee to correct an overpayment to any officer or employee described in subdivision 6 who has been erroneously paid. Provided, however, that employee contributions in a retirement fund shall not be released until such time as the former state employee or person otherwise entitled thereto would be eligible to apply for a refundment and has been given proper notice. Amounts paid under the provisions of this section shall be considered the equivalent of a refundment. If an employee or survivor is entitled to an immediate or deferred annuity or survivor benefit, no funds shall be paid from his retirement account under the provisions of this sectionexcept: (1) for leave under a collective bargaining agreement; (2) for leave under a plan according to section 43A.18 or the rules of the department of employee relations; or (3) to resolve a formal employee grievance permitted by law or collective bargaining agreement. Subd. 8a. [OVERPAYMENT.] The head of an agency shall release to the commissioner money held for an employee when the commissioner certifies to the head that the money is required to correct an overpayment to an employee. An employee's contribution to a retirement fund may not be released until the person otherwise entitled to the employee's retirement account has been notified of the release certification and is eligible to apply for a refund. Released funds are the equivalent of a refund. Funds may not be released if the employee or a survivor is entitled to an immediate or deferred annuity or to a survivor's benefit. Subd. 9. [AGENCIES SHARE.] In the instance ofIf a direct appropriation for the costs of preparing the statepayroll , all state departments and agenciespreparation is made, the commissioner shall be billed for theirbill an agency for its share of thepayroll preparationcosts. The billing shall be done through the indirect cost billing system , with the moneys. Money collected beingmust be deposited in the general fund. 16A.18 [ JUDICIAL AND LEGISLATIVE BRANCHES,ACCOUNTING AND PAYROLL SYSTEMSFOR COURTS AND LEGISLATURE.] Notwithstanding the provisions of any other law to the contrary, neitherThe judicial norand legislative branches of state governmentare not required to participate in the statewideuse the state accounting system or ina computerized payroll system. 16A.19 [RETIREMENT APPROPRIATIONS;, SOCIAL SECURITY DEFICIENCIES.] Subdivision 1. [PROCEDURE.] In the event thatIf a direct appropriation for retirement contributions, benefits, or administrative expenses, or for social security contributions pursuant tounder section 355.46, is determined by the chief administrative official of the agency to which or by the officer to whom the appropriation was made to be insufficient to meet the state's obligation under the program for which it is made for the fiscal year for which it is made, the chief administrativeofficial or the officer shall certify to the committee onfinance of the senatecommittee, the committee onappropriations of the house of representativescommittee, and the commissioner of financethe amount necessary to meet the deficiency. Upon this certification, the commissioner of financeshall transfer the necessary amounts to the appropriate accounts. Subd. 2. [APPROPRIATION.] The amount necessary to make the transfer under subdivision 1 is appropriated from the general fund in the state treasury to the agency to which or to the officer to whom the transfer is made. 16A.25 [ INVESTED FUNDS; CONVERSION INTO CASH; COMMISSIONER'S CERTIFICATIONSALE OF SECURITIES BEFORE MATURITY.] When it shall appear toThe commissioner of finance that any invested funds are needed for current purposes before the maturity dates of the securities held, he shall so certify and itshall then be the duty ofnotify the board of investment to order the sale or conversion into cash of securities of the amount so certifiedif invested funds are needed for current purposes before maturity of the securities held. The board of investment shall then order the needed amount of securities sold or cashed. 16A.26 [ DEPOSIT OF TAX RECEIPTS IN SINGLEONE DEPOSITORY ACCOUNT FOR EACH TAX.] Notwithstanding the provisions ofsections 290.361, 291.33,297.13, 298.17, 298.282, 298.39, 298.396, 298.51, 298.64, 298.65, 340.60 and similar laws to the contrary relating to the depositing, disposition, or apportionment of tax receipts, the commissioner of financemay provide for a singleuse one depository account for each tax or kind of taxes providing adequate. To do so, there must be enough information is availableto determine the sourceidentify and disposition or apportionmentdispose of or apportion the tax to meet statutory requirementsunder law. The commissioner shall request suchask the appropriate officials for the transfers and necessary certifications as are necessary to meet such statutory requirements. The commissioner of financemay issue directives to implement the provisions ofcarry out this section. 16A.27 [STATE FUNDS; DEPOSIT; REGULATIONCONTROL BY COMMISSIONER.] Subdivision 1. [TREASURER TO COMPLY.] (a) Deposit of state funds in depositories by the treasurer under this section is subject to regulation byThe commissioner of finance. He may determine the amount of funds to deposit in a depository and any other matter which he deemsshall, in the public interest, control the amount and manner of deposit of state funds in depositories by the treasurer. The treasurer shall comply with such regulationsthe controls. Subd. 2. [DAILY REPORT.] (b) All depositories with variousBy 9:00 a.m. every business day, a depository holding a total of over $100,000 in noninterest-bearing state deposits which, as a group, total over $100,000shall report suchthe balances as of the close of the previouslast business day by 9:00 a.m. dailyto the treasurer and the commissioner of finance. The commissioner of financeshall record these dailythe balances , which shall be a matter of public record at, send a copy of them to the legislative reference library, and reportedreport them monthly to the legislative audit commission. Subd. 3. [COMPETITIVE BIDS.] (c) All state accounts shall be establishedThe depository for a state account must be selected by competitive bid among the designated depositories. The commissioner of financeshall send written notice of his intent to acceptinvite bids for the handling of the state account, or accounts,by written notice to alldesignated depositories. The notice shallmust specify suchthe considerations, fiscalfinancial activities, and conditions asthe commissioner may requirerequires for the bid. All such deposits shall be awarded by competitive bidThe account must be awarded to the lowest bidding depository whichthat can, in the opinion of the commissioner, has the capacity to discharge the required considerations, fiscal activities, and conditionsmeet the requirements. Subd. 4. [EXCEPTIONS.] (d)In exceptional cases, the commissioner may dispense with the bid procedurebidding. In such event, heThe commissioner shall report the circumstances and reasons thereforto the legislative audit commission within five days after establishingopening the account. Subd. 5. [CHARGES, COMPENSATING BALANCES.] (e) All presently existing state accounts shall be closed, and new accounts shall be established in compliance with the bid procedure established in clause (c) no later than one year after the effective date of Laws 1973, Chapter 492. (f) Notwithstanding any provision in this section to the contrary,The commissioner of financemay agree to pay a depository a reasonable charge or to keep appropriate compensating balances there for handling state funds, for cashing state warrants, vouchers and the likeperforming depository related services. 16A.275 [DAILY RECEIPTS DEPOSITED WITH STATE TREASURER.] All receipts from any source shall be deposited with the state treasurer each day,Except as otherwise provided by law, an agency shall deposit receipts totaling $250 or more with the treasurer daily. Receipts under $250 may be deferred until they aggregate that sum. When receipts are deposited, a report of all receipts since the last previous report and of the disposition thereof shall be made to the commissioner of finance by the depositing agency. All moneys received by the treasurer during any month shall be credited by him and by the commissioner of financeThe depositing agency shall send a report to the commissioner on the disposition of receipts since the last report. The treasurer and the commissioner shall credit the deposits received during a month to the proper funds not later than the first day of the followingnext month. 16A.276 [CASH OVERAGE AND SHORTAGE ACCOUNT.] The commissioner of financemay establishkeep accounts to record on adaily basis discrepanciesthe difference between actual cash receiptsand recorded cash receipts including losses from forged and uncollectible checks. At the end of eachthe fiscal year, these accountsthe commissioner shall be clearedclear the accounts by transferring the balances to the general fund and paying allthe deficits from theoperating accounts of the variousagencies generatingcharged with the deficit . Aand shall report of all adjustments shall be madean adjustment to the legislative audit commission upon closing the books of account each fiscal year. 16A.28 [TREATMENT OF UNUSED APPROPRIATIONS TO REVERT TO STATE TREASURY.] Subdivision 1. [LAPSE.] Except as specifically provided for in appropriation acts, everya part of an appropriation or part thereof of any kind hereafter madesubject to the provisions ofthis section remainingunexpended and unencumbered at the close of anya fiscal year shall lapse andlapses. The commissioner shall cause same to besee that the remainder is returned to the fund from which suchthe appropriation was made ; provided, that. Subd. 2. [REINSTATEMENT; FINAL LAPSE.] The commissioner, with the approval of the governor, may reinstate a lapsed appropriation within three months after the date the appropriation lapsedof the lapse. AnA reinstated appropriation reinstated pursuant to this section shall lapselapses again no later than three months after the date the appropriation hasit first lapsed. NoA payment may be made pursuant tounder a reinstated appropriation except as providedmay be made only under section 16A.15, subdivision 3. Subd. 3. [PERMANENT IMPROVEMENTS.] Notwithstanding the foregoing,An appropriation for construction or otherpermanent improvement shallimprovements, including the acquisition of real property does not lapse until the purposes for whichpurpose of the appropriation was made shall have beenis accomplished or abandoned unless such. However, the appropriation has stood during the entire fiscal biennium without anylapses if no expenditure therefromis made from it or encumbrances thereonencumbrance made on it during a biennium. Subd. 4. [CANCELED OCTOBER 16.] On October 16 of each yearall allotments and encumbrances for the precedinglast fiscal year shall be cancelledcanceled unless an agency head certifies to the commissioner that there is an encumbrance incurred pursuant to lawfor services rendered or goods ordered in the precedinglast fiscal year. The commissioner may: reinstate that portionthe part of the cancellation needed to meet the certified encumbrance or he maycharge the certified encumbrance against the current year's appropriation. Subd. 5. [EXCEPTIONS.] Except as otherwise expressly provided by law, the provisions of this section shallsubdivisions 1 to 4 apply to every appropriation of a stated sum for a specified purpose or purposes heretofore or hereafter made, but shalldo not, unless expressly soprovided by law, apply to any fund or balance of a fund derived wholly or partly from special taxes, fees, earnings, fines, federal grants, or other sources whichthat are by law appropriated for special purposes by standing, continuing, or revolving appropriations. 16A.281 [ LEGISLATIVEAPPROPRIATIONS TO LEGISLATURE EXEMPT.] Section 16A.28 is inapplicabledoes not apply to appropriations made to the legislature, the senate, the house of representatives or its committees or commissions. An appropriation made to the legislature, the senate, the house of representatives or theira legislative commission or committee other than a standing committees for a fiscal biennium or any part thereof shall be available for expenditure in either year of the biennium or for the fiscal year preceding or following thecommittee, if not spent during the first year, may be spent during the second year of a biennium. An appropriation made to a committee or commission of the legislature if unexpended during the first year of a fiscal biennium is available for expenditure during the second year thereof, but anyunexpended balance remaining at the end of thea biennium shall lapselapses and shall be returned to the fund from which appropriated. An appropriation made to the legislature, the Senate, the House of Representatives, or a standing committee for all or part of a biennium may be spent in either year of the biennium or the year before or after the biennium. 16A.30 [ APPLICATIONS FORCOMMISSIONER TO APPROVE APPLICATIONS FOR NONSTATE FUNDS.] Subdivision 1. [ON ORIGINAL APPLICATION; RULES AND APPROVAL.] Every department orAn executive agency of the executive branch of state government shall, prior to the submission of any applicationmay not apply for nonstate moneys, submit the original of the application tomoney without getting the approval of the commissioner of financeon the original of the application. The commissioner shall promptly return the application indicating his approval or disapproval. No application for nonstate moneys shall be submitted without the prior approval of the commissioner of finance.The commissioner of financemay promulgatemake rules , regulations,and directives to implement the provisions ofcarry out this section. Subd. 2. [HISTORICAL SOCIETY.] The provisions of this section shallSubdivision 1 does not apply to the Minnesota historical society. 16A.35 [ FEDERAL GENERALREVENUE SHARING FUNDS, TRANSFERTO GENERAL FUND.] Any moneys heretofore or hereafter received fromThe commissioner shall transfer federal general revenue-sharing funds received and anyinterest earned on such moneys shall be transferredon them to the general fund in order to comply with the United States Department of Treasury regulations that such federal general revenue sharing. The funds shall then be appropriated and expended in the same manner as the state's own revenues. Upon transfer such federal general revenue sharing funds shall be appropriated and expended in the same manner as all other moneys in the general fund. Provided, however, that such federal general revenue sharing funds shall not be appropriated or considered to be appropriatedas is other money in the general fund; but they may not be appropriated to any local unit of government, including school districts, to the University of Minnesota, or for any purpose that iscontrary to the provisions ofPublic Law Number 92-512 or the regulations of the United States Department of the Treasury. The commissioner of finance shall make such transfers, and thesums sotransferred are then a part of the general fund and, available for appropriation and expenditure. 16A.36 [ GRANTS FROM UNITED STATES,USE OF AND INCOME FROM FEDERAL GRANTS.] All FundsMoney received by the state from the federal government of the United Statesas grants-in-aid for the financing of aid to dependent children, or for maternal and child health services, or for the care of crippled children, or for the care of neglected children and child welfare generally, or for vocational rehabilitation, or for the extension of public health services, or for any otherpublic assistance or public welfare purpose shallmust be used solelyonly for the grant purpose for which the grant was made. Any interest or income arising from the funds so granted shall be credited by the state treasurer to the particular account for which the grant was made and used solely for the purpose of that grant, or repaid to the United States TreasuryIf the proper authorities or the federal government of the United Statesso require, or otherwise shall be creditedthe treasurer shall credit interest or income from the grant to the grant account to be used only for the grant purpose, or shall pay it to the federal treasury. Otherwise, the treasurer shall credit the interest or income to the general fund. 16A.40 [WARRANTS PRINTED, REGISTERED IN NUMERICAL ORDER.] Warrants shallmust be drawn on printed blanks progressively numbered and for every warrant issuedthat are in numerical order. The commissioner shall enter, in numerical order in a warrant register, the number, amount, date, and name ofpayee shall be entered in progressive order infor every warrant registers kept by him for that purposeissued. 16A.41 [CLAIMS AGAINST STATE.] Subdivision 1. [CERTIFIED.] When claims against the state for any purpose are made for which there is an appropriation available theAn official havingwith authority over the appropriation from which theto pay a claim is to be paidshall causeapprove the claim to be approvedby certification thereoncertifying that the service was performed or the goods or material furnished. These claimsThe claim shall be forwardedsent to the commissioner of financeaccompanied by suchthe transmittal form as he prescribesprescribed by the commissioner. Subd. 2. [DECLARATION.] The commissioner of financemay require any person makinga claim against the state for any purposeclaimant to declare that the claim and theits amount thereof isare just and correct and that no part thereofof it has been paid. Such declaration if required by the commissioner of finance is sufficient if inThe following form may be used: "I declare under the penalties of perjury that this claim is just and correct and that no part of it has been paid. Signature of Claimant." Subd. 3. [DECLARATION SAME AS OATH.] The effect of thisTo sign the declaration shall be the samein subdivision 2 is the same as if subscribed and swornto sign and swear under oath. 16A.42 [ PRESCRIBES FORM OF CLAIMCLAIMS: FORM, APPROVAL, REGISTER.] Subdivision 1. [FORM.] The commissioner shall prescribe the form of thea claim is prescribed by the commissioner of finance. Subd. 2. [APPROVAL.] The warrant is completed and signed by the commissioner and the treasurer, upon approval of the claim by the commissioner, shallIf the claim is approved, the commissioner shall complete and sign a warrant in the amount of the claim. The treasurer shall then accept the warrant with his signature, makingand make the warrant negotiable . The treasurer may confer authority upon one or more of his assistants to accept the warrant in his behalf. The warrant shall be entered in the warrant register the same as a cash paymentby signing it. Subd. 3. [TREASURER'S DESIGNEE.] The treasurer may authorize an assistant to accept a warrant for the treasurer. Subd. 4. [REGISTER.] The commissioner shall enter a warrant in the warrant register as if it were a cash payment. 16A.43 [ ENDORSEMENT OFWARRANT A RECEIPT.] The endorsement by the payee of thea warrant constitutesis a receipt in full for the claim thereinpaid by the warrant. 16A.44 [ SUBPOENASCOMMISSIONER MAY COMPEL TESTIMONY.] The commissioner of financemay issue subpoenas to any person who renders an account to the state in the nature of a bill for expenses for articles sold or purchased or involving any other transactionsubpoena, administer oaths to, and examine under oath, the parties and witnesses to any transaction between the state and anya person, corporation, or copartnershippartnership, or corporation. He may place such individual under oath and examine him as to the correctness of any account rendered. He may subpoena witnesses, administer oaths, and examine witnesses under oath in any transaction entered into between the state and any person, copartnership, or corporation.16A.45 [ OUTSTANDING UNPAIDOLD WARRANTS CANCELED, CANCELATIONREPLACED, IF PRESENTED.] Subdivision 1. [CANCEL; CREDIT.] At the beginning ofEach fiscal year, the commissioner of financeand the statetreasurer shall cancel upon their booksall outstandingunpaid commissioner of finance'swarrants that have been issued and delivered foroutstanding more than six years prior to that dateand credit tothe general fund with the respective amountsamount of the canceled warrants. Subd. 2. [REPLACEMENT.] When anya canceled warrant is presented for payment it shall be taken up bythe commissioner andshall keep it. A new warrant for the same amount, payable to the lawful holder thereof, but bearingwith a current number , shallmust be issued to the lawful holder in the same amount. The new warrant must be charged against the general fund from which the amount necessary to pay the new warrant is hereby appropriated. Subd. 3. [APPROPRIATION.] The amount needed to pay the new warrant is appropriated from the general fund. 16A.46 [ UNPAIDLOST OR DESTROYED WARRANT , ISSUANCE OFDUPLICATE; INDEMNITY.] When it is shown toThe commissioner of finance by affidavit that any unpaid state warrant is lost or destroyed hemay issue to the ownera duplicate thereof and thereupon the original is voidto an owner if the loss or destruction of an unpaid warrant is documented by affidavit. When the duplicate is issued, the original is void. If it appears toThe commissioner that any person may be damaged thereby, hemay require an indemnity bond from the applicant a bond of indemnityto the state infor double the amount of the warrant , conditioned for the benefit of the person so damagedfor anyone damaged by the issuance of the duplicate. The commissioner in his discretionmay refuse to issue a duplicate of an unpaid state warrant. If hethe commissioner acts in good faith hethe commissioner is not liable, whether the application is granted or denied. 16A.47 [ RECORD OFCOMMISSIONER'S DUTIES WITH ACCOUNTS AND, DOCUMENTS.] The commissioner of financeshall entermake and keep in histhe department's office , in suitable books,a record of all accounts and documents as arerequired by law to be returned to or filed with himthe commissioner. HeThe commissioner shall file and preservekeep all official receipts and othervouchers relating to his official business. HeThe commissioner shall keep an account with the treasurer , charging him therein with. The commissioner shall charge the treasurer for all moneysmoney paid into the treasury and creditingcredit the treasurer for all warrants redeemed by himthe treasurer and returned to the commissioner. The commissioner shall also keep an account shall likewise be kept withfor each moneyappropriation made by the legislature, showing allthe disbursements made therefrom. HeThe commissioner shall keep suchother accounts as are necessaryneeded to exhibitshow the daily condition of thestate finances from day to day. 16A.48 [ REFUNDSREFUND OF ERRONEOUS DEPOSITS.] Subdivision 1. [PROCEDURE.] Money paid into the state treasury through error or under circumstances such that the state is not legally entitled to retain it, may be refunded upon the submission of a verified claim therefor. The claimant shall present his verified claim, together with a complete statement of facts and reasons for which the refund is claimed, to the head of the state agency concerned, who shall forthwith examine it, attach thereto his approval or disapproval thereof together with his reasons therefor, and submit the claim to the commissioner of finance for settlement in the manner provided by lawA verified claim may be submitted to the concerned agency head for refund of money in the treasury to which the state is not entitled. The claimant must submit with the claim a complete statement of facts and reasons for the refund. The agency head shall consider and approve or disapprove the claim, attach a statement of reasons, and forward the claim to the commissioner for settlement. Subd. 2. [APPROPRIATION.] There is herebyThe amount needed to pay a refund under subdivision 1 is appropriated to the personsperson entitled to such refund,it from the fund in the state treasuryto which the money was credited , an amount sufficient to make the refund and payment. 16A.49 [REFUNDS OF $1 OR LESS.] Moneys in the state treasury shall not be used in making a refund where the amount thereof is $1 or less except where the amount received by the state giving rise to the refund, is $1 or less. Such refunds may be made in conformity with the requirements established by the commissioner of finance and may be in lieu of the conditions prescribed by section 16A.48, subdivision 1A refund of $1 or less may not be paid from the treasury unless the receipts giving rise to the refund were $1 or less. The commissioner shall set requirements for the small refunds, which may differ from the procedure in section 16A.48. 16A.50 [FINANCIAL REPORT TO LEGISLATURE.] On or beforeBy December 31 of each year, the commissioner of financeshall prepare and submitreport to the legislature and make available to the public a financial report covering the operationson the operation of all state funds during the precedinglast fiscal year. The report shall contain financial statements and disclosures which presentshow the state's financial position and the fiscal results of state operationsfinancial operations and position. ThisThe report shall be in conformitymust conform with generally accepted government accounting principles. 16A.51 [ UNPAID DRAFTSMONEY DUE THE STATE; DEADLINES, INTEREST, EXCEPTIONS.] Subdivision 1. [DEADLINES; INTEREST.] Except as provided in subdivision 2, drafts issued by the commissioner of finance for claims due the state and delivered to the state treasurer for collection shall be paid within 30 days thereafter unless the claim is to be paid by a county and is for services rendered by the university of Minnesota hospitals in which case the claim shall be paid within 60 days of the date the bill is presented to the county board. If not paid within that period interest shall accrue and be collected upon the principal of the claims at the rate of eight percent per annum from the due date of the draftA claim to be paid by a county for services by the University of Minnesota hospitals shall be paid within 60 days after the bill is presented to the county board. Other bills for money due the state issued by the commissioner and delivered to the treasurer for collection must be paid within 30 days of delivery. After the deadlines, interest shall accrue and be collected on the principal of a claim at eight percent per year from the due date of the bill. Subd. 2. [EXCEPTIONS.] The provisions of subdivision 1 do not apply to drafts issued for timber stumpage, gross earning taxes, or for amounts due for principal or interest upon state loans, or other claims due the state where the interest is now provided by lawSubdivision 1 does not apply to bills for: timber stumpage, gross earnings taxes, principal or interest on state loans, and claims on which the interest is fixed by other law. 16A.53 [BOOKKEEPING ACCOUNTS.] WheneverWhen a provision oflaw now existing or hereafter enacted provides for creatingcreates a fund in the statetreasury into which are deposited certain revenues and out of which certain expenditures are appropriated, the commissioner of financemay consider the creation of suchthe fund as the creation of a bookkeeping account in the state's general books of account of the stateso as to reflect the revenues deposited in the statetreasury and credited to suchthe account and the expenditures appropriated from the statetreasury and charged to suchthe account. This section is inapplicabledoes not apply to anya fund created by the Constitution or to anya fund required to be created in the statetreasury by the provisions of anyfederal law or a rule or regulation promulgated by a federal authority pursuant thereto. 16A.54 [GENERAL FUND DEFINED.] Except as provided in section 16A.671, subdivision 2, the term "general fund" appearing in any existing or hereafter enacteda law relating to revenues deposited in or expenditures appropriated from the statetreasury means such moneys as have beenmoney deposited in the statetreasury for the usual, ordinary, running, and incidental expenses of the state governmentand does not include moneys deposited in the statetreasury for a special or dedicated purpose. 16A.56 [ SPECIFICCOMMISSIONER'S RECEIPT AND CLAIM DUTIES.] The commissioner of finance or his designated agentsor a designee shall examine every receipt , account, bill,and claim, refund, and demand against the state,and if a legal, correct, andproper claim, he shall, approve the same, designatethem, name the account to be charged therefor,or credited, and issue his warrant in payment thereof in the manner provided by law. He shall approve all documents and reports showing evidences of payments into receipts by the state treasurer and shall designate the fund to be credited therewithwarrants to pay claims. 16A.57 [APPROPRIATION AND, ALLOTMENT REQUIRED FOR EXPENDITURES, AND WARRANT NEEDED.] Unless otherwise expressly provided by law, no money belonging to or for the uses of the state shall be expended or applied by any official, department, or agency of the state government or any institution under its control, except under authority of an appropriation by law and an allotment relating thereto as herein provided and upon warrant of the commissioner of financestate money may not be spent or applied without an appropriation, an allotment, and issuance of a warrant. 16A.58 [ SUPERVISION OF ORIGINALCOMMISSIONER CUSTODIAN OF PAYMENT DOCUMENTS.] Except as otherwise provided by law, all original bills, claims, contracts, deeds, leases, demands, and vouchers on which money has been or may be paid by the state treasurer shall be kept in the office of the commissioner of finance and shall be under his supervision and controlThe commissioner is the custodian of original documents on which money has been or may be paid by the treasurer. 16A.59 [ QUARTERLYQUARTER AND FISCAL YEAR STATEMENTS.] At the end of every quarterly periodeach quarter and at the end of eachfiscal year, the commissioner of financeshall prepare and submit tofor the governor and make available to the public a summary statement showing all revenuesof revenue and expenses for the period covered by the statement, including a comparison with the previous corresponding period. These statements shall be in sufficientThe summary must detail as tothe appropriations and funds asto show the exact financial condition of the state andeach department andagency thereofand of the state. The summary must include a comparison with the last corresponding period. 16A.60 [ COMMISSIONER OF FINANCE TO REIMBURSECOST TO COLLECT HIGHWAY TAXES TO GENERAL FUND.] The commissioner of finance, aswhen authorized from time to time by law, shall transfer money from the highway user tax distribution fund to the general fund money. The transfer is to reimburse the general fund for the costscost of collecting the taxes provided formentioned in article 14 of the Constitution of the State of Minnesota. 16A.61 [ TRANSFER OF MONEYSCERTIFICATE MONEY TO GENERAL FUND.] The commissioner of finance is hereby authorized and directed toshall transfer to the general fund in the state treasury, all moneysmoney credited to anya fund established in connection with the payment ofset up for paying off certificates of indebtedness to the general fund when the purposes for which the act authorizing suchpurpose of the certificates have beenis accomplished. 16A.62 [ SPECIAL FUNDS OR ACCOUNTS, TRANSFERMONEY IN ABOLISHED FUND TO GENERAL FUND.] Moneys deposited in the state treasury or on deposit on June 30 of each year from tax sources or otherwise to the credit of a special fund or account which is abolished by law shall be transferred to and credited to the general fundEach June 30, the commissioner shall transfer to and credit to the general fund, money in a special fund or account abolished by law. 16A.63 [ MINNESOTASTATE BUILDING FUND; RELATED APPROPRIATIONS.] Subdivision 1. [ CREATION; USEPURPOSE.] For the purpose of providing money to state agencies for the acquisition and betterment of public lands and other public improvements of a capital nature, the Minnesota state building fund is created as a separate bookkeeping account in the general books of account of the state. Proceeds of state bonds credited to this fund are appropriated for construction and other permanent improvement and shall be available until the purposes for which the appropriation was made have been accomplished or abandoned. None of such moneys shall be canceled. When the purpose of any such appropriation has been accomplished or abandoned, the authority to whom the appropriation was made shall so certify to the commissioner of finance. Thereupon the unexpended balance of such appropriation, unless transferred under authority of the appropriation act to another purpose therein designated, shall be transferred and credited to the state bond fund. Amounts so transferred and credited are appropriated for the purpose of reducing the amount of tax otherwise required to be levied for the state bond fund by Article XI, Section 7 of the ConstitutionThe state building fund, a separate bookkeeping account in the state's general account books, is established to receive state bond proceeds that have been appropriated to agencies to acquire and to better public lands and buildings and other public improvements of a capital nature as authorized by the Constitution, article XI, section 5(a). Subd. 1a. [APPROPRIATION FOR CAPITAL PROJECTS.] State bond proceeds credited to the state building fund are appropriated for the capital projects referred to in subdivision 1. Subd. 1b. [DISPOSITION OF APPROPRIATION.] The amount appropriated in subdivision 1a is available until the purpose of the appropriation is accomplished or abandoned. The head of the agency receiving the appropriation shall certify the accomplishment or abandonment to the commissioner. Then, unless the appropriation is transferred under authority of the appropriating act to another purpose specified in the same act, the unexpended balance of the appropriation is transferred to the state bond fund. None of the money is canceled. Subd. 1c. [BOND LEVY APPROPRIATION.] The amount transferred to the state bond fund by subdivision 1b is appropriated to reduce the tax otherwise required to be levied for the state bond fund. Subd. 2. [ TEMPORARY FINANCINGANTICIPATED BOND PROCEEDS.] In anticipation of the receipt of proceeds of state bonds,The commissioner of financemay transfer amounts not in excess of the anticipatedan amount not to exceed the amount of anticipated bond proceeds from the general fund to the Minnesota state buildingfund or other state fundto which the proceeds are appropriated, before the proceeds are received. Upon receipt of the state bond proceeds in anticipation of which a general fund transfer has been made, the commissioner of finance shall transfer to the general fund from the fund to which the proceeds were appropriated an amount equal to the sum originally transferred from the general fund. There are annually appropriated to the commissioner of finance from the general fund and from the proceeds of the bonds sums sufficient to effect the transfers authorized by this subdivisionWhen the proceeds are received, the commissioner shall replace the transferred funds. Subd. 2a. [APPROPRIATION FOR TRANSFERS.] The money needed to make the transfer and replacement in subdivision 2 is appropriated annually to the commissioner from the general fund and from the bond proceeds. 16A.64 [MINNESOTA STATE BUILDING BONDS.] Subdivision 1. [GENERAL AUTHORITY.] For the purpose of providing money appropriated to state agencies from the Minnesota state building fund for the acquisition and betterment of public lands and buildings and other public improvements of a capital nature, when authorized by law, the commissioner of finance shall issue and sell bonds of the state of Minnesota for the prompt and full payment of which, with interest thereon, the full faith, credit, and taxing powers of the state are irrevocably pledged. The proceeds of such bonds shall be credited to said state building fund,When authorized by law, the commissioner shall sell and issue state bonds to provide the money appropriated to agencies from the state building fund for projects of a capital nature. The full faith, credit, and taxing powers of the state are irrevocably pledged for the prompt and full payment of the bonds. The bond proceeds shall be credited to the state building fund except that accrued interest and any premium received on sale of the bonds shall be credited to the state bond fund created by the Constitution, article XI, section 7. Subd. 2. [BOND PROVISIONS.] The bonds shall be issued and sold upon sealed bids upon such notice, at such times, in such form and denominations, bearing interest at such rate or rates, maturing on such dates, either without option of prior payment or subject to prepayment upon such notice and at such times and prices, payable at such bank or banks, within or without the state, with such provisions for registration, conversion, and exchange and for the issuance of notes in anticipation of the sale and delivery of definitive bonds, and in accordance with such further provisions, as the commissioner of finance shall determine, subject to the approval of the attorney general (but not subject to the provisions of sections 14.02, 14.04 to 14.36, 14.38, 14.44 to 14.45, and 14.57 to 14.62).The bonds shall be sold and issued by sealed bids according to provisions set by the commissioner, subject to the approval of the attorney general. Among the provisions the commissioner shall set are those dealing with: (1) the notice of sale; (2) the time of sale; (3) the denomination and form; (4) the interest rate; (5) the maturity date; (6) whether without option of prior payment, or subject to prepayment; (7) the notice, time, and price of prepayment, if any; (8) the place of payment at a bank in or out of the state; (9) registration, conversion, and exchange; (10) issuance of notes in anticipation of the sale and delivery of definitive bonds. In setting the provisions, the commissioner is not subject to sections 14.02, 14.04 to 14.36, 14.38, 14.44 to 14.45, and 14.57 to 14.62. Each bond shall mature within 20 years from its date of issue and. Each bond shall be executed by the commissioner of financeand attested by the statetreasurer under their official seals. TheFacsimile signatures of these officers on the face of any bond and on the interest coupons appurtenant to it,and theirseals ,may be printed, lithographed, stamped, engraved, or otherwisereproduced thereonon the bonds and the attached interest coupons. Each bond shall be authenticated by the manual signature on its face of one of the officersthe commissioner, the state treasurer, or a person authorized to sign on behalf of a bank or trust company designatedchosen by the commissioner to actas registrar or otherauthenticating agent. Subd. 3. [CERTIFICATION.] The commissioner of finance shall ascertain and certify to the purchasers of the bonds the performance and existence of all acts, conditions, and things necessary to make them valid and binding general obligations of the state of Minnesota in accordance with their terms, subject to the approval of the attorney general. Any act directing the issuance of bonds pursuant to this section shall, together with this section, constitute complete authority for such issue, and such bonds shall not be subject to the restrictions or limitations contained in any other lawThe commissioner shall certify, subject to the approval of the attorney general, to the purchasers of the bonds, that all conditions exist and all needed actions have been taken to make the bonds valid and binding general obligations of the state according to the terms of the bond. A law directing bonds to be issued under this section is, with this section, full authority for the issue. Subd. 4. [EXPENSES.] All expenses incidental to the sale, printing, execution, and delivery of bonds pursuant to this section, including, but not limited to, actual and necessary travel and subsistence expenses of state officers and employees for such purposes, shall be paid from the Minnesota state building fund, and the amounts necessary therefor are appropriated from said fundActual and necessary travel and subsistence expenses of employees, and all other expenses incidental to the sale, printing, execution, and delivery of bonds under this section, shall be paid from the state building fund. Subd. 4a. [EXPENSE APPROPRIATION.] The amount needed to pay expenses under subdivision 4 is appropriated from the state building fund. Subd. 5. [BUILDING BOND ACCOUNT.] The commissioner of financeshall maintain inthe state building bond fund a separate bookkeepingaccount which shall be designated asin the Minnesotastate buildingbond accountfund. The legislature may appropriate to this account, for the payment of Minnesota state building bonds and interest thereon, any moneysunappropriated money in the statetreasury not otherwise appropriatedto the account to pay state building bonds. On the first day ofEach November of each1 year there, the commissioner shall be transferredtransfer to the Minnesotastate building bond account all of the moneys thenenough money from available under any such appropriation or such lesser sum as will be sufficient, with allappropriations when added to the money previously transferred to said account,and allthe income from the investment of suchmoney ,already there to pay allthe principal and interest then and theretoforedue and all principal and interest to becomecoming due within the next ensuing year andto and including July 1 in the second ensuing year, on Minnesotastate building bonds. All moneys soThe transferred money and allthe income from the investment thereof shall beit is available for the payment of suchpaying for the bonds and the interest thereon, and so much thereof as may be necessary is appropriated for such paymentson them. The commissioner of financeand the statetreasurer are directed toshall make the appropriate entries in the accounts of the respective funds. Subd. 5a. [BOND PAYMENT APPROPRIATION.] The money needed to make the payments under subdivision 5 is appropriated. Subd. 6. [CONSTITUTIONAL TAX LEVY.] Under the Constitution, article XI, section 7, the state auditor shall levy each year on all taxable property withinin the state whatever, the tax may be necessaryneeded to produce anbe added to the amount sufficient, with all money then and theretofore transferredavailable under subdivision 5 , and all income from the investment thereof,to pay all the entire amount ofprincipal and interest which is thendue or is to becomecoming due within the then ensuing year andto and including July 1 of the second ensuing year on Minnesotastate building bonds. SuchThe tax shallmust be levied uponon all taxable real property used for the purposes of a homestead, as well as other taxable property, including homesteads, notwithstanding the provisions ofsection 273.13, subdivisions 6 and 7. Such tax shall be subject to no limitation ofThe rate or amount of the tax is unlimited until all suchthe bonds and interest thereonon them are fully paid. The proceeds of such taxes are appropriated and credited to the state bond fund, and the principal and interest of said bonds are payable from the proceeds of such taxes, and the whole thereof, or so much thereof as may be necessary, is appropriated for such payments. If at any time there is insufficient money from the proceeds of the taxes provided for herein to pay the principal and interest when due on such bonds, then such principal and interest shall be paid out of the general fund in the state treasury, and the amount necessary therefor is hereby appropriated. The general fund shall be reimbursed from the proceeds of said taxes when received. Subd. 6a. [APPROPRIATION FOR LEVY, DEFICIENCY.] (a) The proceeds of the tax levy made under subdivision 6 are appropriated and credited to the state bond fund. The state bonds and the interest on them, required to be paid for under subdivision 6, are payable from the proceeds of the tax levy. As much of the proceeds of the tax levy as is needed for the payments is appropriated. (b) If the tax levy proceeds are ever insufficient to make the principal and interest payments on the state bonds when due, then the balance must be paid out of the general fund. The amount needed to pay the balance is appropriated from the general fund. The general fund must be reimbursed from the proceeds of the tax when received. 16A.65 [ STATE BOND FUND; APPROPRIATIONSBONDS; MATURITIES TO AVOID TAX; VALIDITY.] Subdivision 1. [BOND LEVY APPROPRIATION.] In order to reduce the amount of taxes otherwise required to be levied,There is herebyannually appropriated annuallyto the state bond fundfrom the general fund in the state treasury such sums of money sufficient inthe amount whenthat, added to the balance on hand in the state bond fund on November 1 each year, is needed to pay allthe principal of and interest on state bonds issued for the purposes set forth in subdivision 2, due and to become due within the then ensuing year and includingthrough July 1 in the second ensuing year. The moneys received and on hand pursuant to the appropriation annually made by this subdivision aremoney must be available in the statebond fund prior to the levy ofbefore the tax in any yearrequired by the Constitution, article XI, section 7 , and shall be used to reduce the amount of the tax otherwise required to beis levied. Subd. 2. [WHICH BONDS.] The state bonds referred to in subdivision 1 are those issued pursuant to the Constitution, Article XI, Section 5, to provide funds for the acquisitionto acquire and betterment ofto better public land and buildings and other public improvements of a capital nature or for refunding certificates of indebtedness authorized by the legislature prior to January 1, 1963. Subd. 4. [MATURITIES; APPROVAL.] In the issuance of each series ofissuing each series of state bonds authorized by law for any purpose, the commissioner of financeshall endeavortry to establish the maturities thereof in such manner that the sums anticipated to be received in the state bond fund on or before November 1 in each year of the then current biennium from the general fund and from all other sources except property taxes, pursuant to appropriation by any law, will be sufficient to provide for the payment of all state bonds and interest without the levy of a property tax on that date under the provisions of Article XI, Section 7 of the Constitution. In the issuance of each such series the commissioner of finance shall also endeavor to estimate whether the issuance thereof, with maturities and other provisions which the commissioner believes to be most advantageous to the state for the marketing of the bonds, is likely, except in the event of refunding of such series, to result in the requirement of a propertyand other terms to avoid the necessity of a constitutional tax levy in any subsequent year, having regard to the historical and projected receipts from nonproperty tax sources appropriated to the state bond fund. If in the commissioner's judgment such issuance is likely to cause a future property tax levy or refunding, he shall report this fact to. The commissioner shall inform the executive council , and the bonds shall not be issued and sold with the proposed maturities and other provisions unless approved by resolution ofif it is likely that issuing a series of bonds will require a constitutional tax levy. The executive council ; butmust give prior approval by resolution for the sale and issuance of that series. Subd. 4a. [SOLD BONDS.] Nothing herein shall impair or affect in any mannerin subdivision 4 affects the validity or security of any bonds actuallystate bonds issued and sold under authority of anylaw , in the hands of the initial purchaser or any subsequent holder thereof,regardless of the date and amount of anythe maturity selected for any series of bonds, in a mannerif issued and sold consistent with the law authorizing the issuanceissuing of such seriesthe bonds. 16A.66 [ MINNESOTASTATE REFUNDING BONDS.] Subdivision 1. [AUTHORITY PLEDGE.] For the purpose of refunding state bonds of any series heretofore or hereafter authorized, including interest on them,The commissioner of financemay, with the approval by resolution of the executive council, issue state bonds of the state of Minnesota in the manner and upon the terms and conditions prescribed into refund a series of authorized state bonds. The refunding bonds must comply with this section and inwith the Constitution, article XI, section 7. For the prompt and full payment of all such refunding bonds and the interest thereonThe full faith and credit and taxing powers of the state are irrevocably pledged for the prompt and full payment of the refunding bonds and interest on them. The proceeds of such bonds shall be credited to the state bond fund created by the Constitution, and within that fund to such separatethe bookkeeping account as shall have beencreated for the payment of the bonds to be refunded and the interest thereon,on them and shall be credited only against the tax otherwise required by the Constitution to be levied with respectto pay the refunded bonds. Subd. 2. [JOINT AUTHORITY.] Unless otherwise expressly provided in the law authorizing the issuance of any series of bonds, suchthe authorization shall include authorization toalso authorizes the commissioner to issue refunding bonds for the purpose of refunding the same in the manner and upon the terms and conditionsto refund them as prescribed inby this section. Any act directing the issuance of bonds for any purpose shall,is together with this section , constitutecomplete authority for the issuance ofissuing the refunding bonds to refund the same, and suchthe refunding bonds shallare not besubject to the restrictions or limitations contained in anyof other law. Subd. 3. [ISSUE AND SALE.] SuchThe refunding bonds shallmay be issued and sold upon sealed bids , or may be; sold directly to the state board of investment without bids ,; or may beexchanged for the refunded bonds refundedby agreement with the holders thereof, and shall. The refunding bonds must be prepared, executed, and delivered, and when issued shallmust be secured , in the same manner in all respectsas provided by law and the Constitution forjust as the refunded bonds refunded therebywere. The proceeds of the refunding bonds may be deposited, invested, and applied to accomplish the refunding in the manner and upon the conditionsas provided in section 475.67, subdivisions 5 to 10. The interest rate on refunding bonds may exceed that on the refunded bonds refunded when in the judgment ofif the commissioner and the council want the refunding is nevertheless necessary or desirable for the purpose of extendingbonds to extend the maturities and reducing the annual amountof the property tax or other fundsrefunded bonds or reduce the money needed annually to pay and secure the refunded bonds and the interest on them. Subd. 4. [APPROPRIATION.] Such moneys as are requiredThe money needed to carry out the purposes ofthis section areis appropriated annually therefor. Subd. 5. [ADVISORY RECOMMENDATION.] Prior to eachBefore a sale of general obligation bonds, the commissioner of financeshall report toseek the advisory recommendation of the chairmen of the house appropriations and senate finance committees, house and senate tax committees, and the minority leaders of the house and senate, as to the amount of bondingbonds to be issued and a detailed list of the projects which areto be financed and shall receive their recommendations. These recommendations are advisory only; failure to. The recommendation is positive if the commissioner receives no reply within ten days is deemed a positive response. 16A.671 [CERTIFICATES OF INDEBTEDNESS.] Subdivision 1. [ AUTHORIZATIONAUTHORITY; ADVISORY RECOMMENDATION.] For the purpose of assuringTo assure that cash or cash equivalent assets will beare available at all times during each biennium to pay all warrants drawn on the general fund pursuant to appropriations and allotments for expenditure for any purpose during that biennium, the governor may authorize the commissioner of financeto issue certificates of indebtedness in anticipation of the collection of taxes levied for and other revenues appropriatedreceiving revenue credited to the general fund , and. The governor may also authorize the commissioner to issue additionalcertificates to refund outstanding certificates or interest thereon, under the provisions ofon them. The authority for issuing the certificates is the Constitution, article XI, section 6. Before certificates of indebtednessare sold and issued pursuant to any authorization, except for the purpose of refunding, the governor shall secureseek the advisory recommendation of the legislative advisory commission as to, or if there is no commission, the executive council, on: the necessity thereof,for the certificates, the terms and conditions of the sale and issuance ,; and the maximum amount to be issued and outstanding under the authorization. When certificates of indebtedness are to be sold and issued pursuant toIf the legislative advisory commission fails to make a prompt recommendation, the recommendation is negative. The governor need not seek a recommendation to refund outstanding certificates. The governor shall seek a recommendation before a line of credit is established or an underwriting or placement agreement is made under subdivision 5, clause (b) or (c) ,. The governor shall secure a recommendation before the line of credit is established or the underwriting or placement agreement is entered into, butneed not secure an additionalseek another recommendation foreach issuance oftime certificates of indebtedness pursuant to thatare issued under the line of credit or agreement. The recommendation of the commission shall be advisory only. The failure of the commission to make a recommendation promptly is a negative recommendation. If there is no legislative advisory commission, the governor shall request an advisory recommendation from the executive council.Subd. 2. [DEFINITIONS.] As used in this section, the followingterms defined in this subdivision have the meanings given them :. (a) "Allotment" means a limitation placed by the commissioner of finance pursuant to law, upon the amount to be expended or encumbered during any period during a biennium pursuant to an appropriation. (b) "Appropriation" means an authorization by law to expend or encumber an amount in the general fund during a biennium, including but not limited to: (1) Direct appropriations; (2) Open and standing appropriations; (3) Appropriations of sums sufficient for stated purposes, the amounts of which shall be deemed to be as estimated by the commissioner of finance from time to time; and (4) Appropriations of amounts to be paid or transferred in financial records from the general fund to any special or dedicated fund. (c)(a) "General fund" means all cash and investments from time to time received and held in the statetreasury, except proceeds of state bonds and amounts received and held in special or dedicated funds created by the stateConstitution, or by or pursuant to federal laws or regulations thereunder, or by bond instruments, pension contracts, or other agreements of the state or its agencies with private persons, entered into pursuant tounder state law. (d)(b) "Maximum current cash flow requirement" means a written estimate by the commissioner of finance of the largest of the amounts by which, on a particular designated date in each month of the term for which certificates are to be issued, the sum of the warrants then outstanding against the general fund plus those that must be drawn thereonon the fund before the same date in the following month, in payment of claims due for expenditure pursuant tounder all appropriations and allotments, will exceed the amount of cash or cash equivalent assets held in the general fund on the first of these dates, excluding the proceeds of the certificates. Subd. 3. [LIMITATIONS OF AMOUNT.] The principal amount of certificates of indebtedness to be issued at any time shallmay not exceed the smallestlesser of the following: (a)(1) an amount which, with interest thereon to maturity, added to the then outstanding amount of certificates, less the amount thereof, if any, which will benot simultaneously paid from the proceeds,and interest thereon to maturity,retired, will equal the then unexpended balance of all money whichthat will be credited to the general fund during the current biennium under existing laws, as estimated by the commissioner of finance; or (b)(2) the maximum current cash flow requirement. Subd. 4. [TERMS.] The commissioner of finance may establish by order in accordance with the provisions of this section, and not subject to the provisions of sections 14.02, 14.04 to 14.36, 14.38, 14.44 to 14.45, and 14.57 to 14.62, the principal amount of each series of certificates of indebtedness, the time or times and terms of sale, the denominations and form, whether registered or payable to bearer, with or without interest coupons, the interest rate or rates or the basis of computation of a variable rate, the maturity date or dates and amounts, the provisions, if any, for redemption at times and prices and upon notice specified, a place or places of payment which may be suitable financial institutions within or outside the state, any provisions for registration of ownership of principal, or both principal and interest, and for transfer and exchange, and any other terms the commissioner may determine with the approval of the attorney general. All certificates shall mature not later than the end of the biennium in which they are issued.The commissioner shall fix with respect to a series of certificates of indebtedness: (1) the principal amount; (2) the time or times and terms of sale; (3) the denomination and form; (4) whether registered or payable to bearer, with or without interest coupons; (5) the interest rate or rates or the basis of computation of a variable rate; (6) a maturity date or dates within the biennium of issue, and amounts; (7) the times, prices, notice and other details of redemption, if any; (8) a place or places of payment which may be suitable financial institutions in or out of Minnesota; (9) details of registration of ownership of principal, or principal and interest, and of transfer and exchange; and (10) any other term with the approval of the attorney general. The commissioner is not subject to sections 14.02, 14.04 to 14.36, 14.38, 14.44, 14.45, and 14.57 to 14.62 in fixing these terms. Subd. 5. [SALE OF CERTIFICATES.] Certificates of indebtedness may be sold by the commissioner of finance upon public advertisement for competitive bids, orin any of the ways provided in this subdivision: (a) The commissioner may advertise for competitive bids on the certificates. (b) The commissioner may contract with a suitable bank in or out of state for a line of credit. The contract must provide that for an agreed price, the commissioner may issue and sell to the bank certificates of indebtedness from time to time within an agreed period. The certificates may be at a fixed or variable interest rate. The certificates must be subject to redemption at par plus accrued interest at any time at the commissioner's option. (c) The commissioner may sell the certificates to an underwriting firm or firms or hire the firm as an agent to place the certificates with investors. The certificates may be sold to investors at an agreed discount with the interest included in the face amount payable at maturity, or at a stated interest rate on a stated principal amount payable on one or more dates. For the further security of these certificates the commissioner may contract for a line of credit under paragraph (b) to pay the certificates, with interest to maturity, if necessary, by issuing new certificates to the creditor. (a) They may be sold(d) The commissioner may sell the certificates to the state board of investment without advertisementadvertising for bids , upon terms at least. The board must determine that the terms of sale are as favorable as those on which, in the judgment of the board,available at the time for the purchase of direct obligations of the United Statesfederal government of comparable maturities can at the time be purchased from funds under its control, including the special or dedicated funds described in clause (c) of subdivision 2,. The board may purchase the certificates for any fund under its control other than pension funds ;. (b) The commissioner may negotiate with a suitable bank or banks within or outside the state for a line of credit whereby, for an agreed compensation, certificates of indebtedness may be issued from time to time within an agreed period, at a fixed or variable interest rate and subject to redemption at par plus accrued interest at any time at the option of the commissioner; or (c) The commissioner may negotiate with a firm or firms of underwriters for the purchase of certificates of indebtedness or to act as an agent in the placement of certificates of indebtedness, which may be sold to investors at a specified discount representing the interest included in the face amount payable at maturity, or at a stated interest rate on a stated principal amount, payable on one or more dates. For the further security of the certificates of indebtedness the commissioner may negotiate a credit agreement pursuant to paragraph (b), providing for the payment thereof with interest to maturity, if necessary, by the issuance of new certificates of indebtedness to the bank or banks extending the credit.Subd. 6. [EXECUTION.] Certificates of indebtedness shall beare executed by the signatures of the commissioner of financeand the statetreasurer under their official seals , and any. Attached interest coupons are executed by the signature of the commissioner. Except for one manual signature, the signatures and seals may be printed, lithographed, photocopied, or stamped , except that at least one officer shall sign manually on the face of each certificate, unless. For a manual signature: (1) either the commissioner or the treasurer shall manually sign the face of each certificate; or (2) the commissioner designates and the certificate on its face requiresmay designate a suitable financial institution to authenticate the certificate by the manual signature of itsthe institution's authorized representative, if the designation is made, the certificate must state the requirement on its face. Subd. 6a. [FISCAL AGENT BANK.] The commissioner may enter into an agreementcontract for an agreed fee with a suitable bank or banks located within or outside thein or out of the state to authenticate, issue, pay principal and interest on, cancel or otherwise deal with certificates of indebtedness issued pursuant tounder this section , for an agreed compensation. Subd. 7. [APPROPRIATION OF PROCEEDS.] The proceeds of all certificates of indebtedness issued pursuant tounder this section are appropriated to the general fund ,and shall beare available for expenditure pursuant tounder any appropriation from that fund for any purpose, including those referred to in subdivision 8. Subd. 8. [ APPROPRIATION FOR PAYMENT AND COSTSEXPENSES.] The principal of and interest and premium, if any, on all certificates of indebtedness issued hereunder, and all expenses incidental to the sale, guaranty of sale, placement, printing, execution, authorization, registration, and delivery thereof, including but not limited to actual and necessary travel and subsistence expenses of state officers and employees, and costs arising from lines of credit obtained with respect to outstanding debt shall be paid from the general fund and shall be included in the computation of current cash flow requirements and of amounts available for allotment pursuant to appropriations, andThe kinds of expenses listed in this subdivision related to certificates of indebtedness issued under this section shall be paid from the general fund. The expenses shall also be included in the computation of maximum current cash flow requirements, and in the computation of amounts available for allotment. The kinds of expenses are: (1) principal of, and interest and premium, if any, on the certificates; (2) with respect to the certificates, all expenses incidental to the sale, guaranty of sale, placement, printing, execution, authorization, registration, and delivery; (3) actual and necessary travel and subsistence expenses of state employees incidental to the events in clause (2); and (4) costs arising from lines of credit obtained with respect to outstanding debt. Subd. 8a. [APPROPRIATION FOR EXPENSES.] The amounts necessary or these purposesneeded to pay the expenses in subdivision 8 are appropriated from the general fund. These appropriations areThe appropriation is irrevocable and shallmay not be canceled. Subd. 8b. [COVENANT FOR SECURITY.] If the commissioner determines it is advisable for the marketing of certificates of indebtedness, the commissioner of financemay enter into a covenant ,on behalf of the state ,for the security of the holders of the certificates of indebtedness, for the segregation ofto segregate cash and cash equivalent assets in a special account withinin the general fund for the paymentin advance of the due date to be used only to make payments of interest, principal, and premium, if any , in. The commissioner shall decide the amounts and at thetimes in advance of the due dates that the commissioner determines to befor the segregation of cash that are advisable for the state in marketing the certificates of indebtedness and to take action required. The commissioner may act under section 16A.15, subdivision 1, to enable the performance of the covenantperform the convenant. Subd. 9. [ BIENNIAL CASH DEFICIENCYREFUNDING CERTIFICATES.] If there are not enough cash and cash equivalent amounts heldassets in the general fund on the date on which any certificates of indebtedness come due,in excess of the amount of outstanding warrants then outstanding, are not sufficientto pay all sucha certificatescertificate of indebtedness and anyits interest when due thereon, the deficiency may be paid by the issuance of, the commissioner may issue refunding certificates of indebtednessmaturing not later than December 1 in the ensuingnext calendar year to pay the deficiency. The commissioner, with the approval of the governor, may enter into a covenant on behalf of the state that suchto offer the refunding certificates of indebtedness will be offeredfor sale in the eventwhen a deficiency is anticipatedexpected. Subd. 9a. [PROPERTY TAX LEVY.] If there are not enough cash and cash equivalent amounts heldassets in the general fund in excess of the amount of outstanding warrants on the next December 1 immediately following the closeafter the end of thea biennium, in excess of warrants then outstanding, are not sufficientto pay: (1) all such refundingthe certificates of indebtedness and any otherrefunded under subdivision 9; (2) all certificates of indebtednessoutstanding at the end of the biennium and not refunded , with; and (3) all interest thenaccrued thereon,on the certificates described in clauses (1) and (2); the state auditor shall levy uponenough of a tax on all the taxable property in the state a taxcollectible in the ensuingnext calendar year sufficientto pay the samesum of the amounts in clauses (1), (2), and (3) on or before December 1 in the ensuingof the collection year with interest to the date or datesof payment. 16A.672 [BONDS AND CERTIFICATES OF INDEBTEDNESS.] Subdivision 1. [GENERAL AUTHORITY.] Notwithstanding any contrary provision of other law, the commissioner of financeand the statetreasurer shallhave the powers specified in this section with respect to the issuance, form, execution, delivery, registration of transfer and exchange, and payment of bonds and certificates of indebtedness heretofore or hereafter authorized to be issued or issued by the state. Subd. 2. [FORM OF OBLIGATIONS.] The bonds or certificates of indebtedness may be issued in one or more denominations: (1) in bearer form with interest coupons attached ,; (2) with or without provision for registration as to principal only ,; or (3) orin fully registered form , in one or more denominations, and with provisions. The commissioner may also provide for conversion of form, exchange of denominations, and transfer of ownership as prescribed by the commissioner of finance. All bonds and certificates of indebtedness, whenif issued according to orders of the commissioner of finance, shall beare securities within the meaning ofunder sections 336.8-101 to 336.8-408 , and. The commissioner of financeand the statetreasurer may do on behalf offor the state all acts and things which are permitted or required of, consistent with the order, whatever issuers of securities may or must do under those sections 336.8-101 to 336.8-408 and are consistent with the orders. The bonds or certificates of indebtednessmay be printed, lithographed, or otherwisereproduced in the style and form the commissioner prescribes , but. The form shallmust state in a general way the purpose for which they arethe purposes for which they are issued and the security provided for their payment. Subd. 3. [EXECUTION OF OBLIGATIONS.] The bonds and certificates of indebtedness shallmust be executed by the commissioner of financeand attested by the statetreasurer under their official seals. FacsimileThe commissioner may choose to use facsimiles for these signatures and seals of either or both of these officers may, as the commissioner of finance deems appropriate, be printed, lithographed, stamped, engraved, or otherwise reproduced. Every. An issued bond andor certificate issued, whether initially or upon transfer, exchange, or replacement, shall be manually signedmust be authenticated on its face by one of these officers, or by a dulythe manual signature of the commissioner or the treasurer, or of an authorized representative of a bank or trust company designatednamed by order ofthe commissioner of finance, whether at or after the time of initial issue, as registrar or otherwiseto act as the state's authenticating agent of the state to authenticate it. Subd. 4. [DELIVERY OF OBLIGATIONS.] The commissioner of financemay appointname a bank or trust company within or outsidein or out of the state to act as the state's delivery agent on behalf of the state, andto deliver upon payment the bonds or certificates of indebtednessto the initial purchaser upon payment therefor. Subd. 5. [REGISTRAR.] The commissioner of finance, in the order for the issuance of anyto issue the bonds or certificates of indebtedness, may designate a corporatename a registrar to perform on behalf of the state the duties ofact as a registrar as set forth inunder sections 336.8-101 to 336.8-408 , including but not limited tofor the state. Some of the duties the named registrar may perform are authentication and delivery upon initial issuance and upon registration of transfer, exchange, or conversion into another form. AnyThe registrar shallmust be an incorporated bank or trust company, within or outsidein or out of the state, authorized by the laws ofthe United States or ofthe state in which it is located to perform these dutiesof location to act as a registrar. Subd. 6. [PAYMENT OF OBLIGATIONS.] The order authorizing the issuance of anybonds or certificates of indebtedness to be issued may provide for the payment of principal and interest in the manner and by the meansthe way the commissioner deems necessary to ensure full and prompt payment when due , and. The order may provide for the payment at thean office of a bank or trust company within or outside the statein or out of the state. In the case ofThe order may provide that an interest payment on fully registered bonds or certificates of indebtedness, the order may provide that the interest coming due on any interest payment dateshall be payable to the person or entity who is the registered owner on the bond or certificate register on a specified date preceding the interest payment date, by check, draft, or otherby transfer to the order of the registered owner as of a specified date before the payment date. Subd. 7. [AGREEMENTS.] The commissioner of financemay enter intomake agreements containing terms which are necessary or desirableto carry out the authority given him inthis section , pursuant to applicableand the commissioner's orders of the commissionerissued under this section. The agreements may provide for the payment of compensationpaying for services to beperformed and expenses to beincurred on behalf offor the state , and may provide for their payment. The payments may be made from: (1) the proceeds of the bonds or the certificates of indebtedness, or from; (2) other money appropriated to the commissioner of finance, or from; (3) charges to be imposed onthe bond and certificate holders of bonds or certificates of indebtedness,; or from(4) a combination of thesethe sources in clauses (1), (2), and (3). Subd. 7a. [APPROPRIATIONS.] As much ofThe proceeds of the bonds or certificates as necessary isneeded under subdivision 7 are appropriated for this purpose. Subd. 8. [APPROPRIATION.] There is appropriated annually to the commissioner of finance from the general fund in the state treasury anThe amount ofmoney sufficientneeded to pay , when due all compensation and, the fees and expenses due toof registrars, and delivery agents,and paying agents for state bonds and certificates of indebtednessunder the terms ofagreements entered intomade according to subdivision 7, is appropriated annually from the general fund to the commissioner. Subd. 9. [ APPROVAL BYATTORNEY GENERAL APPROVAL.] NoAn agreement described inunder subdivision 7 shall becomeis not effective until it has beenapproved as to form and execution by the state attorney general or his designee. Subd. 10. [ REGISTRATION DATA PRIVATEINFORMATION NONPUBLIC.] AllInformation containedin anythe register maintained by the state treasurer or a corporate registrar with respect to the ownership of state bonds or certificates of indebtedness constitutesof bond or certificate of indebtedness owners is nonpublic data as defined inunder section 13.02, subdivision 9, or private data on individuals as defined inunder section 13.02, subdivision 12. The information is not public and is accessibleopen only to the individual, corporation, or other entity which is thesubject of it, except asunless disclosure: (a)(1) is necessary for the performance of the duties ofneeded by the registrar, the statecommissioner of finance, the statetreasurer, or the statelegislative auditor ,to perform a duty; or (b)(2) is requested to determine a tax by an authorized representative of the state commissioner of revenue or, the state attorney general, or ofthe United States commissioner of internal revenue of the United States for the purpose of ascertaining the application of any estate, inheritance, or other tax,; or (c)(3) is required under section 13.03, subdivision 4. 16A.675 [ BONDS AND NOTES; NONLIABILITY OF INDIVIDUALSCOMMISSIONER AND EXECUTORS, NOT PERSONALLY LIABLE.] NeitherThe commissioner of finance norand any person executing a state bondsbond or notes shall be liablecertificate of indebtedness are not personally liable on the bondsbond or notes or be subject to any personal liability or accountabilitycertificate. They also are not personally liable or accountable by reason of the issuance of them. 16A.68 [FEDERAL ACCOUNTS, TRANSFERSFUNDS TO THE GAME AND FISH ACCOUNT.] The Pittman-Robertson revolving account in the state treasury is abolished on July 1, 1963, and any balances therein are transferred to the game and fish receipts account in the state treasury. Federal aid reimbursements received on and after July 1, 1963, and due the Pittman-Robertson account shall be deposited to the credit of the game and fish receipts account in the state treasury. The Dingell-Johnson revolving account in the state treasury is abolished on July 1, 1963, and any balances therein are transferred to the game and fish receipts account in the state treasury. Federal aid reimbursements received on and after July 1, 1963, and due the Dingell-Johnson account shall be deposited to the credit of the game and fish receipts account in the state treasury.Subdivision 1. [PITTMAN-ROBERTSON ACT FUNDS.] Federal aid reimbursements for the Pittman-Robertson account shall be deposited to the credit of the game and fish receipts account in the treasury. Subd. 2. [DINGELL-JOHNSON ACT FUNDS.] Federal aid reimbursements for the Dingell-Johnson account shall be deposited to the credit of the game and fish receipts account in the treasury. 16A.69 [ TRANSFER OF APPROPRIATED FUNDSALL APPROPRIATIONS INTO SINGLE PROJECT ACCOUNT.] If moneys are appropriated during the same or different sessions of the legislature for the same or related projects which appropriations do not lapse until the purposes for which the appropriations were made shall have been accomplished or abandoned, the commissioner of finance shall, upon the certification of the commissioner of administration as to the accounts involved, make such transfers of appropriations as will place in one account all of the moneys appropriated for the same or related projectsThe commissioner shall place the money from two or more appropriations for the same or related projects in one account if all the appropriations do not lapse until their purposes are accomplished or abandoned. The commissioner of administration shall first certify which accounts are involved to the commissioner. 16A.70 [TACONITE PROPERTY TAX RELIEF FUND; CREATION; FUNCTIONACCOUNT.] Subdivision 1. [DEPOSIT.] A taconite property tax relief account in the apportionment fund in the state treasury is hereby created in the state treasury by the commissioner of finance. All funds made available from any sources to be deposited in the state treasury to the credit of such account shall be deposited therein. All moneys to be paid from such account pursuant to the provisions of Laws 1969, Chapter 1156 or any other law are hereby appropriated annually from said account for the purpose for which payment is to be madeThe commissioner shall deposit to the credit of the taconite property tax relief account in the apportionment fund of the treasury funds made available to be deposited in that account. Subd. 2. [APPROPRIATION.] The money to be paid by law from the taconite property tax relief account is appropriated annually. 16A.71 [TACONITE MUNICIPAL AID ACCOUNT ; CREATION; FUNCTION.] Subdivision 1. [DEPOSIT.] A taconite municipal aid account in the apportionment fund of the state treasury is hereby created in the state treasury. All funds available to the credit of such account under section 298.28, subdivision 1, clause (2) shall be deposited therein. All moneys to be paid from such account pursuant to the provisions of sections 298.282 and 298.283 are hereby appropriated annually from said account for the purpose for which payment is to be madeThe commissioner shall deposit all money available to the credit of the taconite municipal aid account in the apportionment fund of the treasury under section 298.28, subdivision 1, clause (2), in that account. Subd. 2. [APPROPRIATION.] The money to be paid from the taconite municipal aid account under sections 298.282 and 298.283 is appropriated annually. 16A.72 [ALL INCOME PLACED INCREDITED TO GENERAL FUND; EXCEPTIONS.] All income, including fees or receipts of any nature whatsoever, shall be deposited in and for the benefit ofcredited to the general fund, except that this shall not apply to: (1) federal aid ,; (2) contributions, or reimbursements received for any account of any division or department for which an appropriation is made by law , or; (3) income to the University of Minnesota , or to; (4) income to revolving funds now established in institutions under the control of the commissioners of corrections or public welfare , or to; (5) receipts from the operation of patients' and inmates' stores and vending machines, which shall be deposited in the social welfare fund in each institution for the benefit of the patients and inmates , or to; (6) money received in payment for services of inmate labor employed in the industries carried on in the state correctional facility -facilities St. Cloud, state correctional facility - Shakopee, and state correctional facility - Stillwater,which receipts shall be credited to the current expense fund of those institutions, orfacilities; (7) as provided in sections 16.78 and 85.22 ,; or (8) as otherwise provided by law. 16A.721 [ FEES FROM SEMINARS AND WORKSHOPSSTATE SEMINAR FEES, APPROPRIATION.] Subdivision 1. [ACCOUNT, RULES.] The commissioner of financemay adoptmake rules for charging fees for seminars and workshops conducted by stateagencies. The commissioner may establishkeep an account for deposit of the seminar and workshop fee receipts generated, which are appropriated for payment of expenses relating to the workshops and seminars. The commissioner shallmay not allow the unobligated balance of this account to exceed $10,000. Subd. 2. [APPROPRIATION.] The receipts collected under subdivision 1 are appropriated for payment of expenses relating to the workshops and seminars. 16A.73 [ STATEAIR TRAVEL ACCOUNT.] The commissioner of finance may contract with any airline company regularly engaged in carrying passengers on scheduled flights in interstate commerce for the establishment of an air travel account for the state, subject to terms and conditions as may be necessary and proper to facilitate air travel by officers and employees of the state, and may deposit in the account not more than $500The commissioner may: (1) establish a state air travel account with any interstate, scheduled flight passenger airline; (2) impose necessary and proper terms and conditions on the account to make employee air travel easier; and (3) deposit no more than $500 in the account. 16A.80 [OFFICE OF DEBT AND LOAN MANAGEMENT.] Subdivision 1. [ CREATIONPAY, EXPERIENCE.] The office of debt and loan management is createdin the department of finance. Administrative employees of the office shallmust have at leastfive years ofyears' experience in commercial lending or a related field. These employees shall receive compensation comparable to that received bymust be paid less than the deputy commissioner but comparably to private sector employees with similar backgrounds in the private sector, but not greater than the commissioner or deputy commissioner of finance. Subd. 2. [DUTIES.] Notwithstanding any law to the contrary,An agency of state government which isauthorized (1)to make, participate in, or guarantee loans to private sector businesses ,or (2)to invest directly or indirectlyin a private sector business shallmust submit eachthe loan , loan participation, loan guarantee,or investment proposal to the office of debt and loan managementbefore making a commitment to make the loan, loan participation, loan guarantee, or investmenton it. NoA loan, loan participation, loan guarantee, or investment covered by this section shallmay not be made without the approval of the office of loan management. Subd. 2a. [EXEMPT AGENCIES.] This section does not apply to: (1) the housing finance agency ,; (2) the state board of investment ,; (3) the iron range resources and rehabilitation board ,; (4) the higher education coordinating board ,; (5) the higher education facilities authority , or; and (6) the energy and economic development authority. Subd. 3. [CRITERIA.] In deciding whether to approveThe office in reviewing proposals submitted to it, the office of debt and loan managementshall considerjudge: (1) the likelihood of the state suffering financial loss as a result oflosing money on the project ,; (2) the magnitudesize of the potential losses,loss; and (3) the intent of the legislationlaw authorizing the loans, loan participation, loan guarantees, andor investments. Subd. 4. [DELEGATION.] The head of the office of debt and loan managementmay delegate itsapproval responsibilitiesunder this section to an agency which isauthorized to make loans, loan participation agreements, loan guarantees, or investments involving private businesses if the office determineshead decides that the agency has the internal capability tocan make the judgments required by subdivision 3. Sec. 2. Minnesota Statutes 1982, section 10.39, is amended to read: 10.39 [ LOANS, DUES;PAYROLL DEDUCTIONS FROM SALARIESFOR CREDIT UNION, PARKING, AND THE LIKE.] Subdivision 1. [CREDIT UNION.] The heads of the various departments of the government of the state of Minnesota are hereby authorized, by andAn agency head may, with the written consentrequest of anyan employee of any state department, to deduct from the salarypay of suchthe employee such sum or sums as may be agreed to by such employee for the payment of any moneysa requested amount to be paid to any state employees' credit union, or the Minnesota Benefit Association or to any organization contemplated by the provisions ofsection 179.65, of which the employee is a member ; provided, that where. If an employee is a member of more than one such credit union or more than one such organization, only one credit union and one organization may be paid money by payroll deduction from the employee's salary; and provided further, thatpay. No deduction shallmay be made from the salary of any statean employee for payment to anya credit union or organization hereinbefore referred tounless there are at least100 stateemployees who haverequest deductions made from their salariesfor payment to suchthe credit union or organization. Provided however, thatThe above noted numerical requirement shall100 employee minimum does not apply to present and prospective members ofcredit unions and organizations which received authorized payroll deduction payments on the effective date of this act. Subd. 2. [PARKING, AND THE LIKE.] The head of any state department or agency is authorized, with the written consent of any state employee whose payroll he prepares, to deduct, or cause to have deducted, from such employee's salary such amount or amounts as may be necessary to make payment to the state for such services or facilities as are by law authorized to be furnished or provided to the employee by the state, such as housing, board, garage, and parking facilitiesWith the written consent of an employee, an agency head shall deduct from the employee's pay the amount needed to pay for services or facilities supplied under law to the employee by the state. Food and housing, garage and parking facilities, and other facilities and services may be paid for in this way. Subd. 3. [ONLY CREDIT UNION.] AAn employee's request for payroll deductions for members ofto a credit union whichthat is currently unauthorizednot authorized to receive said deductionsthe deduction may be granted by the departmentagency head only if a credit union payroll deductionsdeduction would otherwise be unavailable to the staterequesting employee who makes such request. Sec. 3. Minnesota Statutes 1982, section 15.375, subdivision 2, is amended to read: Subd. 2. [COMBINED CHARITIES.] The commissioner of finance, upon the written request of a state officer or employee, shall deduct each payroll period from the salary or wages of the officer or employee the amount specified in the written request for payment to a registered combined charitable organization defined in section 309.501, and issue his warrant in that amount to that registered combined charitable organizationAn employee's contribution to a registered combined charitable organization defined in section 309.501 may be deducted from the employee's pay. On the employee's written request, the commissioner shall deduct a requested amount from the pay of the employee for each pay period. The commissioner shall issue a warrant in that amount to the specified organization. Sec. 4. [REPEALER.] Minnesota Statutes 1982, sections 10.02; 10.03; 16A.02; 16A.04, subdivisions 2 and 3; 16A.07; 16A.08; 16A.125, subdivision 6; 16A.132; 16A.52; 16A.55; and 16A.65, subdivision 3, are repealed. Sec. 5. [EFFECTIVE DATE.] This article is effective July 1, 1984. ARTICLE 3 Section 1. Minnesota Statutes 1982, section 80A.22, subdivision 1, is amended to read: Subdivision 1. Any person who wilfully violates any provision of sections 80A.01 to 80A.31 except section 80A.17, or any rule or order under sections 80A.01 to 80A.31, of which he has notice, or who violates section 80A.17 knowing that the statement was false or misleading in any material respect, may be fined not more than $5,000$10,000 or imprisoned not more than five years or both. Each of the acts specified shall constitute a separate offense and a prosecution or conviction for any one of such offenses shall not bar prosecution or conviction for any other offense. Sec. 2. Minnesota Statutes 1982, section 152.15, subdivision 1, is amended to read: Subdivision 1. Any person who violates section 152.09, subdivision 1, clause (1) with respect to: (1) A controlled substance classified in Schedule I or II which is a narcotic drug, is guilty of a crime and upon conviction may be imprisoned for not more than 15 years or fined not more than $25,000$40,000, or both for a first violation, and for a second or subsequent violation, upon conviction, shall be imprisoned for not less than one year nor more than 30 years or fined not more than $50,000, or both; (2) Any other controlled substance classified in Schedule I, II, or III, is guilty of a crime and upon conviction may be imprisoned for not more than five years, fined not more than $15,000$30,000, or both for a first violation, and for a second or subsequent violation, upon conviction, shall be imprisoned for not less than one year nor more than ten years or fined not more than $30,000$45,000, or both; (3) A substance classified in Schedule IV, is guilty of a crime and upon conviction may be imprisoned for not more than three years, fined not more than $10,000$20,000, or both for a first violation, and for a second or subsequent violation, upon conviction, shall be imprisoned for not less than six months nor more than six years or fined not more than $20,000$35,000, or both; (4) A substance classified in Schedule V, is guilty of a crime and upon conviction may be imprisoned for not more than one year, fined not more than $1,000$3,000, or both; (5) The distribution of a small amount of marijuana for no remuneration, shall be treated as provided in subdivision 2, clause (5). Sec. 3. Minnesota Statutes 1982, section 609.20, is amended to read: 609.20 [MANSLAUGHTER IN THE FIRST DEGREE.] Whoever does any of the following is guilty of manslaughter in the first degree and may be sentenced to imprisonment for not more than 15 years or to payment of a fine of not more than $15,000$30,000, or both: (1) Intentionally causes the death of another person in the heat of passion provoked by such words or acts of another as would provoke a person of ordinary self-control under like circumstances; or (2) Causes the death of another in committing or attempting to commit a misdemeanor or gross misdemeanor offense with such force and violence that death of or great bodily harm to any person was reasonably foreseeable, and murder in the first or second degree was not committed thereby; or (3) Intentionally causes the death of another person because the actor is coerced by threats made by someone other than his co-conspirator and which cause him reasonably to believe that his act is the only means of preventing imminent death to himself or another. Sec. 4. Minnesota Statutes 1983 Supplement, section 609.21, is amended to read: 609.21 [CRIMINAL VEHICULAR OPERATION.] Subdivision 1. [RESULTING IN DEATH.] Whoever, as a result of operating a vehicle as defined in section 169.01, subdivision 2, or an aircraft or watercraft, in a grossly negligent manner, or in a negligent manner while under the influence of alcohol or a controlled substance as defined in section 169.121, subdivision 1, causes the death of a human being not constituting murder or manslaughter is guilty of criminal vehicular operation resulting in death and may be sentenced to imprisonment for not more than five years or to payment of a fine of not more than $5,000$10,000, or both. Subd. 2. [RESULTING IN INJURY.] Whoever, as a result of operating a vehicle defined in section 169.01, subdivision 2, or an aircraft or watercraft, in a grossly negligent manner, or in a negligent manner while under the influence of alcohol or a controlled substance as defined in section 169.121, subdivision 1, causes great bodily harm to another, as defined in section 609.02, subdivision 8, not constituting attempted murder or assault is guilty of criminal vehicular operation resulting in injury and may be sentenced to imprisonment for not more than three years or the payment of a fine of not more than $3,000$5,000 or both. Sec. 5. Minnesota Statutes 1983 Supplement, section 609.52, subdivision 3, is amended to read: Subd. 3. [SENTENCE.] Whoever commits theft may be sentenced as follows: (1) To imprisonment for not more than ten years or to payment of a fine of not more than $10,000$20,000, or both, if the value of the property or services stolen exceeds $2,500, or if the property stolen was a controlled substance listed in schedule 1 or 2 pursuant to section 152.02 with the exception of marijuana; or (2) To imprisonment for not more than five years or to payment of a fine of not more than $5,000$10,000, or both, if the value of the property or services stolen is more than $250 but not more than $2,500, or if the property stolen was a controlled substance listed in schedule 3, 4, or 5 pursuant to section 152.02; or (3) To imprisonment for not more than five years or to payment of a fine of not more than $5,000$10,000, or both, notwithstanding the value of the property or services stolen is not more than $250, if any of the following circumstances exist: (a) The property is taken from the person of another or from a corpse, or grave or coffin containing a corpse; or (b) The property taken is a record of a court or officer, or a writing, instrument or record kept, filed or deposited according to law with or in the keeping of any public officer or office; or (c) The property is taken from a burning building or upon its removal therefrom, or from an area of destruction caused by civil disaster, riot, bombing, or the proximity of battle; or (d) The property taken consists of public funds belonging to the state or to any political subdivision or agency thereof; or (4) To imprisonment for not more than ten years or to payment of a fine of not more than $10,000$20,000, or both, if the property stolen is an article representing a trade secret; or if the property stolen is an explosive or an incendiary device; or (5) In all other cases where the value of the property or services stolen is $250 or less, to imprisonment for not more than 90 days or to payment of a fine of not more than $500$700, or both, provided, however, in any prosecution under clause (1), clause (2), clause (3)(a), (b) and (c), clause (4), and clause (13) of subdivision 2 the value of the money or property received by the defendant in violation of any one or more of the above provisions within any six month period may be aggregated and the defendant charged accordingly in applying the provisions of this subdivision; provided that when two or more offenses are committed by the same person in two or more counties, the accused may be prosecuted in any county in which one of the offenses was committed for all of the offenses aggregated under this paragraph. Sec. 6. Minnesota Statutes 1983 Supplement, section 609.582, is amended to read: 609.582 [BURGLARY.] Subdivision 1. [BURGLARY IN THE FIRST DEGREE.] Whoever enters a building without consent and with intent to commit a crime commits burglary in the first degree and may be sentenced to imprisonment for not more than 20 years or to payment of a fine of not more than $20,000$35,000, or both, if: (a) the building is a dwelling and another person not an accomplice is present in it; (b) the burglar possesses a dangerous weapon or explosive when entering or at any time while in the building; or (c) the burglar assaults a person within the building. Subd. 2. [BURGLARY IN THE SECOND DEGREE.] Whoever enters a building without consent and with intent to commit a crime commits burglary in the second degree and may be sentenced to imprisonment for not more than ten years or to payment of a fine of not more than $10,000$20,000, or both, if: (a) the building is a dwelling; (b) the portion of the building entered contains a banking business or other business of receiving securities or other valuable papers for deposit or safekeeping and the entry is with force or threat of force; (c) the portion of the building entered contains a pharmacy or other lawful business or practice in which controlled substances are routinely held or stored, and the entry is forcible; or (d) when entering or while in the building, the burglar possesses a tool to gain access to money or property. Subd. 3. [BURGLARY IN THE THIRD DEGREE.] Whoever enters a building without consent and with intent to steal or commit any felony or gross misdemeanor commits burglary in the third degree and may be sentenced to imprisonment for not more than five years or to payment of a fine of not more than $5,000$10,000, or both. Subd. 4. [BURGLARY IN THE FOURTH DEGREE.] Whoever enters a building without consent and with intent to commit a misdemeanor other than to steal commits burglary in the fourth degree and may be sentenced to imprisonment for not more than one year or to payment of a fine of not more than $1,000$3,000, or both. Sec. 7. Minnesota Statutes 1983 Supplement, section 617.246, subdivision 2, is amended to read: Subd. 2. [USE OF MINOR.] It is unlawful for a person to promote, employ, use or permit a minor to engage in or assist others to engage in posing or modeling alone or with others in any sexual performance if the person knows or has reason to know that the conduct intended is a sexual performance. Any person who violates this subdivision is guilty of a felony and may be sentenced to imprisonment for not more than five years or to payment of a fine of not more than $5,000$10,000 for the first offense and $10,000$20,000 for a second or subsequent offense, or both. Sec. 8. Minnesota Statutes 1983 Supplement, section 617.246, subdivision 3, is amended to read: Subd. 3. [OPERATION OR OWNERSHIP OF BUSINESS.] A person who owns or operates a business in which a work depicting a minor in a sexual performance, as defined in this section, is disseminated, and who knows the content and character of the work disseminated, is guilty of a felony and may be sentenced to imprisonment for not more than five years, or to payment of a fine of not more than $5,000$10,000 for the first offense and $10,000$20,000 for a second or subsequent offense, or both. Sec. 9. Minnesota Statutes 1983 Supplement, section 617.246, subdivision 4, is amended to read: Subd. 4. [DISSEMINATION.] A person who, knowing or with reason to know its content and character, disseminates for profit a work depicting a minor in sexual performance, as defined in this section, is guilty of a felony and may be sentenced to imprisonment for not more than five years, or to payment of a fine of not more than $5,000$10,000 for the first offense and $10,000$20,000 for a second or subsequent offense, or both. Sec. 10. [REPEALER.] Minnesota Statutes 1983 Supplement, section 609.0341, subdivision 3, is repealed. Sec. 11. [REVISOR'S INSTRUCTION.] In the next and subsequent editions of Minnesota Statutes, the revisor of statutes shall, in a manner consistent with Minnesota Statutes 1983 Supplement, sections 609.033 and 609.0341, change the maximum amount of any criminal fine by replacing the maximum fine specified in Column A with the maximum fine specified in Column B. Column A Column B $ 500 $ 700 1,000 3,000 2,000 4,000 3,000 5,000 5,000 10,000 7,000 14,000 10,000 20,000 15,000 30,000 20,000 35,000 25,000 40,000 30,000 45,000 40,000 50,000 Sec. 12. [EFFECTIVE DATE.] Sections 1 to 9 and 11 are effective the day after final enactment. Section 10 is effective the day after final enactment and applies to offenses committed on or after that date. ARTICLE 4 Section 1. Minnesota Statutes 1982, chapter 177, as amended by Laws 1983, chapter 60, sections 1 and 3; chapter 95, section 1; chapter 122, section 1; chapter 209, sections 1, 2, 3, and 4; chapter 247, sections 75 and 219; and chapter 311, section 10, are amended to read: 177.21 [CITATION; FAIR LABOR STANDARDS ACT.] Sections 177.21 to 177.35 may be cited as the "Minnesota Fair Labor Standards Act." 177.22 [STATEMENT OF POLICYPURPOSE.] It is declared to beThe policypurpose of the Minnesota Fair Labor Standards Act is: (1) to establish minimum wage and overtime compensation standards for workers at levels consistent with theirthat maintain workers' health, efficiency, and general well-being; (2) to safeguard existing minimum wage and overtime compensation standards which are adequate tothat maintain theworkers' health, efficiency, and general well-being of workersagainst the unfair competition of wage and hour standards whichthat do not provide such adequate standards of living; and (3) to sustain purchasing power and increase employment opportunities. 177.23 [DEFINITIONS.] Subdivision 1. Unless the language or context clearly indicates that a different meaning is intended, the following terms, for the purposes of sections 177.21 to 177.35, shallhave the meanings given to them in this section. Subd. 2. "Department" means the Minnesotadepartment of labor and industry. Subd. 3. "Commissioner" means the commissioner of labor and industry of Minnesotaor his authorized designee or representative. Subd. 4. "Wage" means compensation due to an employee by reason of hisemployment, payable in legal tender of the United States or check on banks convertible into cash on demand at full face value, subject to suchallowances as may bepermitted by rules of the department under section 177.28. Subd. 5. "Employ" means to suffer orpermit to work. Subd. 6. "Employer" means any individual, partnership, association, corporation, business trust, or any person or group of persons acting directly or indirectly in the interest of an employer in relation to an employee. Subd. 7. "Employee" means any individual employed by an employer but shalldoes not include: (1) two or lessfewer specified individuals employed at any given time in agriculture on a farming unit or operation who are paid ona salaried basissalary; (1a)(2) any individual employed in agriculture on a farming unit or operation who is paid on a salaried basis an amount in excess of whata salary greater than the individual would be paid if the individual worked 48 hours at the state minimum wage plus 17 hours at 1-1/2 times the state minimum wage per week; (2)(3) an individual who has not attained the age ofunder 18 who is employed in agriculture on a farm to perform services other than corn detasseling or hand field work when one or both of that minor hand field worker's parents or physical custodians are also hand field workers; (2a)(4) for purposes of section 177.24, an individual who has not attained the age ofunder 18 who is employed in agricultureas a corn detasseler; (3)(5) any staff member employed with an organized resident or day camp licensed with the state; (4)(6) any individual employed in a bona fide executive, administrative, or professional capacity, or a salesman who conducts no more than 20 percent of his sales on the premises of the employer , as those terms are defined and delimited by rules of the department; (5)(7) any individual who renders service gratuitously for a nonprofit organization as those terms are defined by rules of the department; (6)(8) any individual who serves as an elected official for a political subdivision or who serves on any governmental board, commission, committee or other similar body, or who renders service gratuitously for a political subdivision; (7)(9) any individual employed by a political subdivision to provide police or fire protection services or who isemployed by an entity whose principal purpose is to provide police or fire protection services to a political subdivision; (8)(10) any individual employed by a political subdivision who is ineligible for membership in the public employees retirement association by reason of the provisions ofunder section 353.01, subdivision 2b, clausesclause (a), (b), (d), andor (i); (9)(11) any driver employed by an employer engaged in the business of operating taxicabs; (10)(12) any individual engaged in babysitting as a sole practitioner; (11)(13) any individual employed on a seasonal basis in a carnival, circus, or fair; (12)(14) any individual under the age of18 employed part-time by a municipality as part of a recreational program; (13)(15) any individual employed by the state as a natural resource manager 1, 2, or 3 (conservation officer); (14)(16) any individual in a position with respect tofor which the U.S. Department of Transportation has power to establish qualifications and maximum hours of service pursuant to the provisions of 49 U.S. Codeunder United States Code, title 49, section 304; (15)(17) any individual employed as a seafarer ;. The term "seafarer" means a master of a vessel or any person subject to the authority, direction, and control of the master who is exempt from federal overtime standards under United States Code, title 29, section 213(b)(6), including but not limited to pilots, sailors, engineers, radio operators, firefighters, watchmen, pursers, surgeons, cooks, and stewards , who is exempt from federal overtime standards under 29 U.S.C. section 213(b)(6).; or (16)(18) any individual employed by a county in a single family residence owned by a county home school as authorized under section 260.094 if the residence is an extension facility of that county home school, and if the individual as part of his employment duties and remunerationresides at saidthe residence for the purpose of supervising children as defined by section 260.015, subdivision 2. Subd. 8. "Occupation" means any occupation, service, trade, business, industry, or branch or group of industries or employment or class of employment in which employees are gainfully employed. Subd. 9. "Gratuities" means monetary contributions received directly or indirectly by an employee from a guest, patron, or customer for services rendered and includes an obligatory charge assessed to customers, guests or patrons which might reasonably be construed by the guest, customer, or patron as being a payment for personal services rendered by an employee and for which no clear and conspicuous notice is given by the employer to the customer, guest, or patron that the charge is not the property of the employee. Subd. 10. With respect to any caretaker, manager, or other on-site employee of a residential building or buildings whose principal place of residence is in the residential building or buildings, including a caretaker, manager, or other on-site employee who receives a principal place of residence as full or partial compensation for duties performed for an employer, the term "hours worked" , as contained in rules promulgated pursuant to section 177.28, shall includeincludes time during whichwhen the caretaker, manager, or other on-site employee is performing any duties of employment, but shalldoes not mean time during whichwhen the caretaker, manager, or other on-site employee is on the premises and available to perform duties of employment and is not otherwiseperforming anyduties of employment. 177.24 [PAYMENT OF MINIMUM WAGES.] Subdivision 1. [AMOUNT.] Beginning January 1, 1982, except as mayotherwise beprovided in sections 177.21 to 177.35, or by rule issued pursuant thereto,every employer shallmust pay toeach employee who is 18 years of age or older wages at a rate of not less than $2.90 an hour beginning January 1, 1980, $3.10 an hour beginning January 1, 1981, andat least $3.35 an hour beginning January 1, 1982,and shallmust pay toeach employee who isunder the age of18 wages at a rate of not less than $2.61 an hour beginning January 1, 1980, $2.79 an hour beginning January 1, 1981, andat least $3.02 an hour beginning January 1, 1982. Subd. 2. [GRATUITIES NOT APPLIED.] No employer shallmay directly or indirectly credit, apply, or utilize gratuities towards payment of minimum wages, except as provided forunder section 177.28177.295. Subd. 3. [SHARING OF GRATUITIES.] For purposes of this chapter, any gratuity received by an employee or deposited in or about a place of business for personal services rendered by an employee is the sole property of the employee. No employer shallmay require an employee to contribute or share a gratuity received by the employee with the employer or other employees or to contribute any or all of the gratuity to a fund or pool operated for the benefit of the employer or his employees , provided that nothing in. This section shalldoes not prevent an employee from voluntarily ,and upon an individual basis,individually sharing his gratuities with other employees. The agreement to share gratuities shallmust be made by the employees free of any employer participation. Subd. 4. [UNREIMBURSED EXPENSES DEDUCTED.] Unreimbursed amounts which an employee is required to pay for the items listed below shall beare subtracted from wages paid in calculating whether the wages meet the minimums set by subdivision 1: (a) uniforms or specially designed clothing required by the employer or by statute as a condition of employment, which clothingis not generally appropriate for use except in the course ofthat employment; (b) equipment used in the course ofemployment, except tools of a trade, a motor vehicle, or any other equipment which may be used outside ofthe employment; (c) travel expenses in the course of employment except those incurred in traveling to and from the employee's residence and place of employment. Subd. 5. [EXPENSE REIMBURSEMENT.] An employer, at the termination of an employee's employment, shall provide reimbursement ofmust reimburse the full cost to the employee of any of the items listed in subdivision 4 which he was obliged to purchasehad to buy during hisemployment. If suchWhen reimbursement is made, the employer may at that timerequire the employee to surrender any existing items for which the employer provided reimbursement which are still extant. 177.25 [OVERTIME.] Subdivision 1. [COMPENSATION REQUIRED.] No employer shallmay employ any of his employeesan employee for a workweek longer than 48 hours, unless suchthe employee receives compensation for hisemployment in excess of 48 hours in a workweek at a rate of not less than one and one-halfat least 1-1/2 times the regular rate at which he is employed ; (1) provided, however, that an employer if it is. The state of Minnesota or a political subdivision may grant time off at the rate of one and one-half1-1/2 hours for each hour worked in excess of 48 hours in anya week in lieu of monetary compensation ; and, (2) provided, however, that No. An employer shall be deemed to have violateddoes not violate the overtime pay provisions of this section by employing any employees for a workweek in excess of that specified in this section48 hours without paying the compensation for overtime employment prescribed herein (a)(1) if the employee is employed under an agreement meeting the requirement of section 7(b)(2) of the Fair Labor Standards Act of 1938, as amended, or (b)(2) if the employee is employed as a sugarbeet hand laborer on a piece rate basis, provided that the regular rate of pay received per hour of work pursuant to applicable rulesexceeds the applicable wage provided in section 177.24, subdivision 1 ,by at least 40 cents. Subd. 2. [HEALTH CARE EXCEPTION.] NoAn employer engaged in the operation ofwho operates a health care facility shall be deemed to have violateddoes not violate subdivision 1 if pursuant to an agreement or understanding arrived at betweenthe employer and employee agree before performance of the work ,to accept a work period of 14 consecutive days is acceptedin lieu of the workweek of seven consecutive days for the purpose of overtime compensation and if for histhe employment in excess of eight hours in any work day and in excess of 80 hours in suchthe 14-day period the employee receives compensation at a rate not less than one and one-half1-1/2 times the regular rate at which he is employed. Subd. 3. [MOTOR VEHICLE SALESPERSONS; MECHANICS.] The provisions ofSubdivision 1 shalldoes not apply with respectto any salesman, parts man, or mechanic primarily engaged in selling or servicing automobiles, trailers, trucks, or farm implements and paid on a commission or incentive basis, if employed by a nonmanufacturing establishment primarily engaged in the business ofselling suchthe vehicles to ultimate purchasers. Subd. 4. [CONSTRUCTORS OF ON-FARM SILOS.] The provisions ofSubdivision 1 shalldoes not apply if the employee is employed in the construction of on-farm silos or the installation of appurtenant equipment on a unit or piece rate basis, provided thatif the regular rate of pay received per hour of work pursuant to applicable rulesexceeds the applicable wage provided in section 177.24, subdivision 1. 177.251 [RIDESHARING NOT OVERTIME.] The provisions of this chapter relating to compensation for overtime and payment of a minimum wage do not apply to employees while they are participatingemployees' time spent in ridesharing arrangements as defined in section 169.01, subdivision 63. 177.26 [DIVISION OF LABOR STANDARDS.] Subdivision 1. [CREATION.] AThe division of labor standards is hereby createdin the department of labor and industry under the supervision and control ofis supervised and controlled by the commissioner of labor and industry. Subd. 2. [POWERS AND DUTIES.] The powers, duties, and functions vested in, or imposed upon,given to the department's division of women and children of the department of labor and industryby this chapter, and other applicable laws relating to wages, hours, and working conditions, are transferred , vested in, and imposed uponto the division of labor standards. In addition,The division of labor standards shall administer the provisions ofsections 177.21 to 177.35 and chapter 184. Subd. 3. [EMPLOYEES; TRANSFER FROM DIVISION OF WOMEN AND CHILDREN.] All persons employed by the department of labor and industryin the division of women and children shall beare transferred to the division of labor standards without loss to the. A transferred person of anydoes not lose rights acquired by reason of his employment at the time of transfer. 177.27 [POWERS AND DUTIES OF THE COMMISSIONER.] Subdivision 1. [EXAMINATION OF RECORDS.] The commissioner or his authorized representativemay enter during reasonable office hours or upon request and inspect the place of business or employment of any employer of employees in any occupationworking in the state, for the purpose of examining and inspecting any or allto examine and inspect books, registers, payrolls, and other records of any employer that in any way relate to or have a bearing upon the question ofwages, hours, and other conditions of employment of any employees ;. The commissioner may transcribe any or all of the books, registers, payrolls, and other records as he or his authorized representative may deemdeems necessary or appropriate ;and may question the employees for the purpose of ascertaining whether the provisions ofto ascertain compliance with sections 177.21 to 177.35 and the rules issued pursuant thereto have been and are being complied with. Subd. 2. [SUBMISSION OF RECORDS; PENALTY.] The commissioner or an authorized representativemay require the employer of employees engaged in any occupationworking in the state to submit to the commissioner or the authorized representativephotocopies, certified copies, or, if necessary, the originals of employment records which the commissioner or the authorized representativedeems necessary or appropriate. The records which may be required include but are not limited tofull and correct statements in writing, including sworn statements by the employer, containing information relating to wages, hours, names, addresses, and any other information pertaining to the employer's employees and the conditions of their employment as the commissioner or the authorized representativedeems necessary or appropriate. The commissioner or the commissioner's authorized representativemay require the records to be submitted by certified mail delivery or, if necessary, by personal delivery by the employer or a representative of the employer, as authorized by the employer in writing. The commissioner may impose a penalty offine the employer up to $100 on an employerfor each failure of the employerto submit or deliver records as required by this section. TheThis penalty imposed by this sectionis in addition to any penalties provided under section 177.32, subdivision 1. Subd. 3. [COMPLIANCE ORDERS.] The commissioner or his authorized representativemay issue anyan order requiring an employer to comply with the provisions ofsections 177.21 to 177.35 or with any rule promulgated under the provisions ofsection 177.28. AnyThe department shall serve the order shall be served by the departmentupon the employer or his authorized representative in person or by certified mail at the employer's place of business. IfAn employer who wishes to contest the order for any reason, he shallmust file written notice of his objection to the order with the commissioner within 10ten days after service ofbeing served with the order upon the employer. Thereafter,A public hearing shallmust then be held in accordance with the provisions ofsections 14.57 to 14.70 , and rules consistent therewith as the commissioner may make. Subd. 4. [MEDIATION.] The commissioner may investigate, mediate, and settle wage claims by an employee against an employer if the failure to pay any wage may violate Minnesota laws or any order or rule of the department thereunder, rules, or department orders. Subd. 5. [CIVIL ACTIONS.] When an employee files a written request with the commissioner, the commissioner may commence a civil action in any court of competent jurisdiction for the benefit of anythe employee for appropriate relief with respect to anya wage claim which the commissioner deems to befinds valid , upon a written request being filed with the commissioner by the employee,provided: (1) the failure to pay the wage would constitute a violation of Minnesota laws or any order or rule of the department thereunder, rules, or department orders, and (2) the wage claim does not exceed $300. The employer shall pay all costs and disbursements as may beallowed by the court ,and shall furtherpay an assessment of ten percent of the amount of any awarded wage claim to the treasurer of the state of Minnesota. In any action hereinunder this subdivision, no security for payment of costs shallmay be required. Nothing herein shall be construed toThis section does not prevent an employee from prosecuting his own claim for wages. Subd. 6. [ATTORNEY GENERAL TO COMMENCE ACTION.] Upon the written request of the commissioner, the attorney general of the state of Minnesotashall commence a civil action for appropriate relief against the employer as provided in subdivision 5. 177.28 [POWER TO MAKE RULES.] Subdivision 1. [GENERAL AUTHORITY.] The commissioner shall make and revisemay adopt rules, including definitions of terms, as he shall deem appropriateto carry out the purposes of sections 177.21 to 177.35, to prevent the circumvention or evasion thereofof those sections, and to safeguard the minimum wage and overtime rates established by sections 177.24 and 177.25. Subd. 2. [ADVISORY COMMITTEE.] The commissioner shall appoint an advisory committee which he shall consult about administrative rules. The committee must be composed of an equal number of not more than three representatives each of employers and employees and of not more than three disinterested persons representing the public , which he shall consult concerning the making and revising of administrative rules. Subd. 3. [RULES REQUIRED.] The commissioner shall establishadopt rules which define and governunder sections 177.21 to 177.35 with respect to,defining and governing: (1) salesmen who conduct no more than 20 percent of their sales on the premises of the employer; (2) allowances as part of the wage rates for board, lodging , and other facilities or services furnished by the employer and used by the employees . Rules issued by the department pursuant to this section shall include, but are not limited to,; (3) bonuses; (4) part-time rates; (5) special pay for special or extra work; (6) procedures in contested cases; (7) other facilities or services furnished by employers and used by employees; and (8) other special items usual in a particular employer-employee relationship. Rules required by this subdivision shall be established by November 1, 1973.Subd. 4. An employee who receives $35 or more per month in gratuities is a tipped employee. An employer is entitled to a credit in an amount up to 20 percent of the minimum wage which a tipped employee receives. The credit against the wages due may not be taken unless at the time the credit is taken the employer has received a signed statement for that pay period from the tipped employee stating that he did receive and retain during that pay period all gratuities received by him in an amount equal to or greater than the credit applied against the wages due by his employer. The statements shall be maintained by the employer as a part of his business records. Subd. 5.[RULES REGARDING HANDICAPPED.] In order to prevent curtailment of opportunities for employment, avoid undue hardship, and safeguard the minimum wage rates under sections 177.24 and 177.25, the department shall also issue rules providing for the employment of handicapped workers at wages lower than the wage rates applicable under sections 177.24 and 177.25, under permits and for periods of time as specified therein ; and providing. The rules must provide for the employment of learners and apprentices at wages lower than the wage rates applicable under sections 177.24 and 177.25, under permits and subject to limitations on number, proportion, length of learning period, occupations, and other conditions as the department may prescribe. The rules issued by the department shallmust provide that where a handicapped person is nowperforming or is being considered for employment where he will perform work which is equal to work performed by a nonhandicapped person, the handicapped person shallmust be paid the same wage as a nonhandicapped person with similar experience and skill. Subd. 6.5. [ADMINISTRATIVE PROCEDURE ACT TO APPLY.] Rules shall be adopted by the department only after a public hearing held upon due publication of notice, at which any interested person may be heard and of which a record shall be made. Rules shall be published by the department and shall take effect upon publication and filing with the secretary of state and the department of administration. The rules shall have the force and effect of law upon filing as provided hereinThe rules are subject to the provisions of chapter 14. 177.29 [JUDICIAL REVIEW.] Subdivision 1. [APPEAL.] AnyA person aggrieved by anyan administrative rule issued pursuant tounder section 177.28 may appeal in accordance with chapter 14. [177.295] [CREDIT FOR TIPPED EMPLOYEES.] An employee who receives $35 or more per month in gratuities is a tipped employee. An employer is entitled to a credit of up to 20 percent of the minimum wage which a tipped employee receives. The credit against the wages due may not be taken until the employer has received a signed statement for that pay period from the tipped employee stating that he did receive and retain during that pay period all gratuities received by him in an amount equal to or greater than the credit applied against the wages due by his employer. The employer shall maintain the statements as part of his business records. 177.30 [KEEPING RECORDS; PENALTY.] Every employer subject to sections 177.21 to 177.35 or any rule adopted pursuant to those sections shallmust make and keep , for a period of not less than three years in or about the premises in which any employee is employed,a record of: (1) the name, address, and occupation of each employee ,; (2) the rate of pay, and the amount paid each pay period to each employee ,; (3) the hours worked each day and each workweek by the employee ,; and (4) other information as deemedthe commissioner finds necessary and appropriate by the commissioner for the enforcement ofto enforce sections 177.21 to 177.35. The records must be kept for three years in or near the premises where an employee works. The commissioner may impose a penalty offine an employer up to $100 on an employerfor each failure of the employerto maintain records as required by this section. TheThis penalty imposed by this sectionis in addition to any penalties provided under section 177.32, subdivision 1. 177.31 [POSTING OF LAW AND RULES; PENALTY.] Every employer subject to sections 177.21 to 177.35 shallmust obtain and keep a summary of those sections, approved by the department, and copies of any applicable rules adopted pursuant tounder those sections, or a summary of the rules , and shall. The employer must post the summaries in a conspicuous and accessible place in or about the premises in which any person covered by sections 177.21 to 177.35 is employed. The department shall furnish copies of the summaries and rules to employers without charge. The commissioner may impose a penalty offine an employer up to $100 on an employerfor each failure of the employerto comply with this section. TheThis penalty imposed by this sectionis in addition to any penalties provided by section 177.32, subdivision 1. 177.32 [PENALTIES.] Subdivision 1. [MISDEMEANORS.] An employer who does any of the following is guilty of a misdemeanor: (a)(1) hinders or delays the commissioner or an authorized representativein the performance of duties required under sections 177.21 to 177.35; (b)(2) refuses to admit the commissioner or an authorized representativeto the place of business or employment of the employer, as required by section 177.27, subdivision 1; (c)(3) consistently and repeatedly fails to make, keep, and preserve records as required by section 177.30; (d)(4) falsifies any record; (e)(5) refuses to make any record available, or to furnish a sworn statement of the record or any other information as required by section 177.27; (f)(6) consistently and repeatedly fails to post a summary of sections 177.21 to 177.35 or a copy or summary of the applicable rules as required by section 177.31; (g)(7) pays or agrees to pay wages at a rate less than the rate required under sections 177.21 to 177.35; or (h)(8) otherwise violates any provision of sections 177.21 to 177.35 or any rule adopted pursuant to those sections. Subd. 2. [FINE.] AnyAn employer who discharges or in any other manner discriminatesshall be fined not less than $500 nor more than $1,000 if convicted of discharging or otherwise discriminating against any employee because such: (1) the employee has complained to his employer ,or to the department , or to an authorized representative of the departmentthat he has not been paid wages in accordance with sections 177.21 to 177.35 or rules issued pursuant thereto or because; (2) the employee has caused to beinstituted or is about to cause to be instituted anywill institute a proceeding under or related to sections 177.21 to 177.35 ,; or (3) becausethe employee has testified or is about towill testify in any proceeding shall, upon conviction therefor, be fined not less than $500 nor more than $1000. 177.33 [EMPLOYEES' REMEDIES.] AnyAn employer who pays anyan employee less than the wages and overtime compensation to which the employee is entitled under sections 177.21 to 177.35 and rules issued pursuant thereto shall beis liable to the employee for the full amount of the wages and overtime compensation, less any amount actually paid to the employee by the employer, for an additional equal amount as liquidated damages ,and for costs and reasonable attorney's fees as may beallowed by the court. AnyAn agreement between the employee and the employer to work for less than the applicable wage rate shall be nois not a defense to the action. The action may be maintained in any court of competent jurisdiction by anyone or more employees for and in behalf ofhimself or themselves. 177.34 [RELATION TO OTHER LAWS.] AnySections 177.21 to 177.35 do not affect standards relating to minimum wages, maximum hours, overtime compensation, or other working conditions in effect under any other law of this state on January 1, 1974, which are more favorable to employees than those applicable hereunder shall not be deemed to be amended, rescinded, or otherwise affected by sections 177.21 to 177.35 but shall continue in full force and effect until they are specifically superseded by standards more favorable to those employees by operation of or in accordance with sections 177.21 to 177.35 or rules issued pursuant theretothe wages, hours, compensation, and other conditions in those sections. 177.35 [RIGHT OF COLLECTIVE BARGAINING.] Nothing in sections 177.21 to 177.35 shall be deemed to interfere with, impede, or in any way diminishlimits the right of employees to bargain collectively with their employers through representatives of their own choosing in orderto establish wages or other conditions of work more favorable to the employees than those required by sections 177.21 to 177.35 and rules issued pursuant thereto. 177.41 [STATE PROJECTS AND STATE HIGHWAY CONSTRUCTION; PUBLIC POLICY.] It is in the public interest that public buildings and other public works be constructed and maintained by the best means and highest quality of labor reasonably available ,and that persons working on public works be compensated according to the real value of the services they perform. It is therefore declared to bethe publicpolicy of this state that wages of laborers, workmenworkers, and mechanics engaged in stateon projects financed in whole or part by state funds should be comparable to wages paid for similar work in the community as a whole. 177.42 [DEFINITIONS.] Subdivision 1. As used in sections 177.41 to 177.44 the terms defined in this section have the meanings given them except where the context indicates otherwise. Subd. 2. "Project" means erection, construction, remodeling, or repairing of anya public building or other public work financed in whole or part by state funds. Subd. 3. "Area" means the county or other locality from which labor for any project wouldis normally besecured. Subd. 4. "Prevailing hours of labor" means the hours of labor per day and per week worked within the area by a larger number of workmenworkers of the same class than are employed within the area for any other number of hours per day and per week ; provided, that in no event shall. The prevailing hours of labor be deemed tomay not be more than eight hours per day or more than 40 hours per week. Subd. 5. "Hourly basic rate" means the hourly wage paid to any employee. Subd. 6. "Prevailing wage rate" means the hourly basic rate of pay plus the contribution for health and welfare benefits, vacation benefits, pension benefits, and any other economic benefit paid to the largest number of workmenworkers engaged in the same class of labor within the area ,and includes , for the purposes of section 177.44, rental rates for truck hire paid to those who own and operate the truck. In no event shallThe prevailing wage rate be deemed tomay not be less than a reasonable and living wage. 177.43 [CONTRACTS FOR STATE PROJECTS; PENALTY.] Subdivision 1. [HOURS OF LABOR.] Any contract which provides for a project within the meaning of section 177.42, shall contain a stipulationmust state that: (1) no laborer or mechanic employed directly uponon the project work site by the contractor or any subcontractor, agent, or other person doing or contracting to do all or a part of the work of the project, shall beis permitted or required to work more hours than the prevailing hours of labor unless such laborer or mechanic ispaid for all hours in excess of the prevailing hours at a rate of at least one and one-half1-1/2 times histhe hourly basic rate of pay; nor shall heand (2) a laborer or mechanic may not be paid a lesser rate of wages than the prevailing wage rate in the same or most similar trade or occupation in the area. Subd. 2. [EXCEPTIONS.] This section shalldoes not apply to wage rates and hours of employment of laborers or mechanics engaged in the processingwho process or manufacture ofmaterials or products or to the delivery thereofof materials or products by or for commercial establishments which have a fixed place of business from which they regularly supply suchprocessed or manufactured materials or products ; except that. This section shall applyapplies to laborers or mechanics who deliver mineral aggregate such as sand, gravel, or stone which is incorporated into the work under the contract by depositing the material substantially in place, directly or through spreaders, from the transporting vehicle. Subd. 3. [CONTRACT REQUIREMENTS.] The contract must specifically state the prevailing wage rates, prevailing hours of labor, and hourly basic rates of pay shall be set forth specifically in the contract. Subd. 4. [DETERMINATION BY COMMISSIONER.] The prevailing wage rates, prevailing hours of labor, and hourly basic rates of pay for all trades and occupations required in any contemplatedproject shallmust be ascertained before the state asks for bids. The commissioner of labor and industry shall make such investigationsinvestigate as may benecessary to enable him toascertain suchthe information. The commissioner shall keep the information posted on the project in at least one conspicuous place for the information of the employees working on the project. A person aggrieved by a final determination of the commissioner may petition the commissioner for reconsideration of hisfindings. A person aggrieved by a decision of the commissioner after reconsideration may, within 20 days after the decision, petition the commissioner for a public hearing in the manner of a contested case under the Administrative procedures Act,sections 14.57 to 14.61. Subd. 5. [PENALTY.] AnyIt is a misdemeanor for an officer or employee of the state who executes anyto execute a contract for a project as defined in section 177.41without complying with this section, and anyor for a contractor, subcontractor, or agent thereof who, after executing a contract in compliance with this section, paysto pay any laborer, workmanworker, or mechanic employed directly uponon the project site a lesser wage for work done under suchthe contract than the prevailing wage rate as set forthstated in the contract shall be guilty of a. This misdemeanor and may be finedis punishable by a fine of not more than $300, or imprisonedimprisonment for not more than 90 days, or both. SuchEach agent or subcontractor shall furnish to the contractor evidence of compliance with this section. Each day anya violation of this section continues shall be deemedis a separate offense. Subd. 6. [EXAMINATION OF RECORDS.] It is the duty ofThe department of labor and industry toshall enforce this section. To this end itThe department may demand, and it shall bethe duty of everycontractor and subcontractor toshall furnish to the department, copies of any or all payrolls , and. The department may examine all records relating to wages paid laborers or mechanics on work to which sections 177.41 to 177.44 are applicableapply. Subd. 7. [APPLICABILITY.] This section shalldoes not apply to a contract, or work under a contract, under which: (a)(1) the estimated total cost of completing the project is less than $2,500 and only one trade or occupation is required to complete it, or (b)(2) the estimated total cost of completing the project is less than $25,000 and more than one trade or occupation is required to complete it. 177.44 [HIGHWAY CONTRACTS; HOURS OF LABOR; WAGE RATES; PENALTY.] Subdivision 1. [HOURS, WAGES PERMITTED.] NoA laborer or mechanic employed by anya contractor, subcontractor, agent, or other person doing or contracting to do all or apart of the work under a contract based on bids as provided in Minnesota Statutes 1971, section 161.32, to which the state is a party, for the construction or maintenance of anya highway, shallmay not be permitted or required to work more hourslonger than the prevailing hours of labor unless suchthe laborer or mechanic is paid for all hours in excess of the prevailing hours at a rate of at least one and one-half1-1/2 times his hourly basic rate of pay ; nor shall. He must be paid a lesser rate of wages thanat least the prevailing wage rate in the same or most similar trade or occupation in the area. Subd. 2. [APPLICABILITY.] This section shalldoes not apply to wage rates and hours of employment of laborers or mechanics engaged in the processing or manufacture of materials or products, or to the delivery thereofof materials or products by or for commercial establishments which have a fixed place of business from which they regularly supply suchthe processed or manufactured materials or products ; except that. This section shall applyapplies to laborers or mechanics who deliver mineral aggregate such as sand, gravel, or stone which is incorporated into the work under the contract by depositing the material substantially in place, directly or through spreaders, from the transporting vehicle. Subd. 3. [INVESTIGATIONS BY DEPARTMENT OF LABOR AND INDUSTRY.] The department of labor and industry shall conduct investigations and hold public hearings necessary to define classes of laborers and mechanics and to inform itself as todetermine the hours of labor and wage rates prevailing in all areas of the state for all classes of labor and mechanics commonly employed in highway construction work, with a view to ascertaining and determiningso as to determine prevailing hours of labor, prevailing wage rates, and hourly basic rates of pay accordingly. The department shall inform itself ofdetermine the nature of the equipment furnished by truck drivers who own and operate trucks on suchcontract work , with a view to ascertaining and determiningto determine minimum rates for the equipment, and shall establish by regulation suchrule minimum rates to be computed into the prevailing wage rate in accordance with the definition thereof in section 177.42. Subd. 4. [CERTIFICATION OF HOURS AND RATE.] The commissioner of labor and industry shall at least once a year certify the prevailing hours of labor, the prevailing wage rate, and the hourly basic rate of pay for all classes of laborers and mechanics referred to in subdivision 3 in each area. The certification shall in addition to the current prevailing hours of labor, the prevailing wage rates, and the hourly basic rates of pay,must also include future hours and rates when such hours and ratesthey can be determined for any suchclasses of laborers and mechanics in anyan area and shall. The certification must specifically set forthstate the effective dates thereof whenof future hours and rates when they are certified. If a construction project extends into more than one area there shall be butonly one standard of hours of labor and wage rates for the entire project. A person aggrieved by a final determination of the commissioner may petition the commissioner for reconsideration of hisfindings. A person aggrieved by a decision of the commissioner after reconsideration may within 20 days after the decision petition the commissioner for a public hearing in the manner ofas in a contested case under the Administrative procedures Act,sections 14.57 to 14.61. If , in the opinion ofthe commissioner ,finds that a change in the certified prevailing hours of labor, prevailing wage rate, and the hourly basic rate of pay for anya class of laborers or mechanics in any area is required, the commissioner may at any time certify that change. Subd. 5. [HOURS AND RATES TO BE POSTED.] The prevailing hours of labor, the prevailing wage rates and, the hourly basic rates of pay, and classifications for all labor as certified by the commissioner shallmust be specifically set forthstated in the proposals and contracts for each highway construction contract to which the state is a party , and shall. These hours, rates, and classifications, together with the provisions of subdivision 6, must be kept posted on the project by the employer in at least one conspicuous place for the information of employees working on the project. Subd. 6. [PENALTIES.] AnyA contractor, subcontractor, or agent thereofwho violates this section is guilty of a misdemeanor and may be fined not more than $300 or imprisoned not more than 90 days or both. Each day that any suchthe violation continues shall be deemedis a separate offense. Whoever induces any individual who seeks to be or is employeda job applicant or employee on any project subject to this section to give up or forego any part of the wages to which he is entitled under the contract governing suchthe project by threat not to employ, by threat of dismissal from suchemployment, or by any other means may be fined not exceeding $1,000 or imprisoned not more than one year or both. Any person employed on a projectemployee under a contract subject tothis section who knowingly permits the contractor or subcontractor to pay him less than the prevailing wage rate set forth in suchthe contract, or who gives up any part of the compensation to which he is entitled thereunderunder the contract, may be fined not exceeding $40 or imprisoned not more than 30 days or both. Each day any violation of this paragraph continues shall be deemedis a separate offense. Subd. 7. [DEPARTMENT OF TRANSPORTATION TO ENFORCE.] The department of transportation shall require adherence to this section. The transportationcommissioner of transportation may demand ,and every contractor and subcontractor shall furnish ,copies of payrolls , and it. The commissioner of transportation may examine all records relating to hours of work and the wages paid laborers and mechanics on thework to which this section is applicableapplies. Upon request of the department of transportation or upon complaint of alleged violation, the county attorney of the county in which the work is located shall make such investigation as is necessaryinvestigate and prosecute violations in a court of competent jurisdiction. ARTICLE 5 Section 1. Minnesota Statutes 1982, chapter 300, as amended by Laws 1983, chapter 87, section 1; chapter 250, sections 30 and 31; and chapter 368, section 1, is amended to read: 300.01 [EXISTING CORPORATIONS CONTINUED.] Until otherwise provided by law, alla private corporationscorporation existing and doing business at the time of the taking effect of Revised Laws 1905 shall continue, March 1, 1906, continues to exercise and enjoy all powers and privileges possessed by themit has under their respectiveits articles of incorporation and theapplicable laws applicable theretothen in force and shall remainremains subject to all the duties and liabilities to which they wereit was then subject. 300.02 [DEFINITIONS.] Subdivision 1. [ WORDS,TERMS , AND PHRASES.] Unless the language or context clearly indicates that a different meaning is intendedFor the purposes of chapters 300 to 317, the following words,terms , and phrases, for the purposes of chapters 300 to 317, shall be givendefined in this section have the meanings subjoined togiven them, unless the language or context clearly indicates that a different meaning is intended. Subd. 2. [CORPORATION.] The wordterm "corporation" means a private corporation. Subd. 3. [PRIVATE CORPORATION.] The term "private corporation" includes everya company, association, or body endowed by law with anya corporate power or function , except such as are formed solely for public and governmental purposes, which shall be deemed. The term does not include a public corporationscorporation. Subd. 4. [CERTIFICATE OF INCORPORATION.] The term "certificate of incorporation," when used in reference to corporations formed prior to the taking effect of the Revised Laws of 1905 shall be construed as meaning, March 1, 1906, means articles of incorporation. Subd. 5. [DOMESTIC CORPORATION.] The term "domestic corporation" means everya corporation organized under the laws of this state. Subd. 6. [FOREIGN CORPORATION.] The term "foreign corporation" means anya corporation exceptwhich is not a domestic corporation. Subd. 7. [PUBLIC CORPORATION.] The term "public corporation" means a corporation formed solely for public and governmental purposes. 300.025 [ORGANIZATION , CERTIFICATEOF FINANCIAL CORPORATIONS.] AnyThree or more persons may form a corporation for any of the purposes specified in section 47.12 by complying with the conditions hereinafter prescribed; provided,set out in clauses (1) to (7). No corporation shallmay be formed under this section which mightif it may be formed under the Minnesota Business Corporation Act. They shallThe incorporators must subscribe and acknowledge a certificate specifying: (1) the corporation's name, the general nature of its business, and the principal place of transacting the same. The name shallwhich must distinguish it from all other corporations , domestic or foreign,authorized to do business in this state, and shallmust contain the word "company," "corporation," "bank," "association," or "incorporated" .; (2) the general nature of the corporation's business and its principal place of business; (2)(3) the period of its duration, if limited .; (3)(4) the names and places of residence of the incorporators .; (4) In what(5) the board its management shall bein which the management of the corporation will be vested, the date of the annual meeting at which it shallwill be elected, and the names and addresses of those composingthe board members until the first election, a majority of whom shallmust always be residents of this state .; (5)(6) the amount of capital stock, if any, how the samecapital stock is to be paid in, the number of shares into which it is to be divided, and the par value of each share; and, if there is to be more than one class, a description and the terms of issue of each class, and the method of voting thereon.on each class; and (6)(7) the highest amount of indebtedness or liability to which the corporation shallwill at any time be subject. ItThe certificate may contain any other lawful provision defining and regulating the powers and business of the corporation, its officers, directors, trustees, members, and stockholders provided that corporations. A corporation subject to provisions ofsection 48.27 may show theirits highest amount of indebtedness to be 30 times the amount of its capital and actual surplus. 300.026 [ CREATION BY SPECIAL ACT,SELECTION OF TRUSTEES OR DIRECTORS BY A CORPORATION CREATED BY SPECIAL ACT.] Subdivision 1. [RESOLUTION CHANGING THE METHOD OF SELECTION.] AnyA corporation created by a special act of the legislature of the Territory of Minnesotaor ofthe State of Minnesota which prescribes a method of selection of the trustees or directors of suchthe corporation may change suchthe method as to trustees or directors other than those automatically made suchtrustees or directors by suchthe special act , through. The method change must be made by adoption of a resolution by the body or persons empowered by suchthe special act to select suchthe trustees or directors ; and. The corporation may provide in suchthe resolution that those selected shallmust hold office until their successors are selected and have qualified , and; that a vacancy in the office of trustee or director shallmust be filled by the remaining trustees or directors ,; and that the appointee tomust hold office until the next annual meeting of the corporation, at which time there shalla trustee or director will be elected in the manner provided by the resolution, a trustee or directorto serve for the remainder of the unexpired term. Subd. 2. [FILING OF RESOLUTION.] A certified copy of the resolution referred to in subdivision 1 shallmust be filed in the office of the secretary of state , and upon such filing. The resolution becomes effectivetakes effect when filed. Subd. 3. [EFFECT OF FILING RESOLUTION.] After the resolution becomes effectivetakes effect, the board of trustees or directors of the corporation are self-perpetuating. All vacancies are to be filled as provided in subdivision 1. Subd. 4. [APPLICATION OF SECTION.] This section does not apply to the Board of Regents of the University of Minnesota. 300.03 [PUBLIC SERVICE CORPORATIONS; PURPOSES.] CorporationsA corporation may be organized for the constructionto construct, acquisitionacquire, maintenancemaintain, or operation of any work of internal improvementoperate internal improvements, including railways, street railways, telegraph and telephone lines, canals, slackwater, or other navigation, dams to create or improve a water supply or to furnish power for public use, and any work for supplying the public, by whatever means, with water, light, heat, or power, including all requisite subways, pipes, and other conduits, and tunnels for transportation of pedestrians. No corporation soformed shallfor these purposes may construct, maintain, or operate a railway of any kind, or anya subway, pipe line, or other conduit, or anya tunnel for transportation of pedestrians in or upon anya street, alley, or other public ground of a city, without first obtaining from the city a franchise conferring suchthis right and compensating the city thereforfor it. 300.04 [STATE AND LOCAL CONTROL; EMINENT DOMAIN.] The state shall at all times have the right tomay supervise and regulate the business methods and management of any sucha corporation referred to in section 300.03 and from time to time tomay fix the compensation which it may charge or receive for its services. Every suchThe corporation obtaining a franchise from a city shall beis subject to suchconditions and restrictions as from time to time may beare imposed upon it by such municipalitythe city. Every suchThe corporation may acquire by right of eminent domain suchthe private property as may benecessary or convenient for the transaction of the public business for which it was formed. No street railway company shall have or exercise suchhas the right of eminent domain within the limits of anya city. 300.045 [EASEMENTS OVER PRIVATE PROPERTY, LIMITATIONS.] When public service corporations, including pipeline companies, when acquiringacquire easements over private property by purchase, gift, or eminent domain proceedings, shallexcept temporary easements for construction, they must definitely and specifically describe the easement being acquired, and shallmay not acquire an easement greater than the minimum necessary for the safe conduct of their business ; provided that the foregoing shall not apply to a temporary easement for construction. 300.05 [ MUNICIPALITYCITY MAY PURCHASE UTILITY.] Subdivision 1. [AUTHORIZATION.] The council of anygoverning body of a city , at the end of any period of five years from the granting of a franchise for the operation of any street railway, telephone, waterworks, gas works, or any electric light, heat, or power works, when authorized so to do by a two-thirds majority of the votes cast upon the question,may acquire and thereafteroperate the same, upon paying to the corporation or person owning the franchise the value of such property, to be ascertained in the manner provided by law for acquiring property under the right of eminent domain, upon petition of its governing body. Such vote shall be taken at a special election called for that purpose and held within three months next preceding the expiration of the five-year perioda street railway, telephone, waterworks, gas works, or an electric light, heat, or power works in the manner provided in subdivision 2. Subd. 2. [PROCEDURE.] The governing body of a city may petition to acquire and operate a franchise referred to in subdivision 1, if authorized to do so by a two-thirds majority of the votes cast at a special election called for that purpose. The election must be held within the three-month period prior to the expiration of any five-year period after the granting of the franchise. The city must also pay the corporation or person owning the franchise the value of the property being acquired. The value of the property is determined in the manner provided by law for acquiring property under the right of eminent domain. Subd. 3. [PAYMENT.] The consideration for suchthe works or property shallmust first be applied to the payment of any encumbrances thereon and. The remainder, if any, shallmust be paid to the owner of the franchise. 300.06 [FILING AND RECORD OF CERTIFICATE.] The certificate of eacha corporation shallmust be filed for record with the secretary of state , who,. If hethe secretary of state finds that it conforms to law ,and , if a financial corporation, has endorsed on it the approval of the commissioner of banks, or, if an insurance company, that of the insurance commissioner, and, in every case,that the required fee has been paid, shallhe or she must record it and certify that fact on it. If the corporation is a financial corporation or an insurance company, the secretary of state may not accept a certificate for filing unless the certificate also contains the endorsement of the commissioner of commerce. 300.08 [GENERAL POWERS.] Subdivision 1. [ENUMERATED POWERS.] EveryA corporation formed under the provisions of this chapter shall have powermay: (1) To have successionbe known by its corporate name for the time stated in its certificate of incorporation; (2) Tosue and be sued in any court; (3) Tohave and, use, and alter a common seal and alter the same at pleasure; (4) Toacquire, by purchase or otherwise, and tohold, enjoy, improve, lease, encumber, and convey all real and personal property necessary tofor the purposes of its organization, subject to the limitations hereafter declared; (5) Toelect or appoint in suchany manner asit may determinedetermines all necessary or proper officers, agents, boards, and committees, to fix their compensation, and to define their powers and duties; (6) Tomake and amend consistently with law bylaws providing for the management of its property and the regulation and government of its affairs; and (7) Towind up and liquidate its business in the manner provided by law. Subd. 2. [ISSUANCE OF STOCK; KINDS.] In addition to the powers enumerated in subdivision 1, every sucha corporation, except the financial corporations hereinafterreferred to in this chapter specified, shall have power to, may issue more than one class of stock. Subd. 3. [MAY HOLD STOCK OF OTHER CORPORATIONS.] AnyA corporation organized (1) for carrying on any kind of manufacturing or mechanical business not incompatiblecompatible with an honest purpose; or (2) for the mining, smelting, reducing, refining, or working of ores or minerals, for working coal mines or stone quarries, or for buying, working, selling, or dealing in mineral lands, or for any one or more of the purposes mentioned in this paragraph (2),may take, acquire, and hold stock in any otheranother corporation, if a majority of the stockholders shall electelects to do so. 300.081 [MEDICAL EXPENSES; INSURANCE; PENSIONS.] Subdivision 1. [AUTHORIZATION.] AnyA corporation now or hereafterformed under the laws of the state of Minnesota may provide by action of its board of directors for the furnishing to its employees and officers, wholly or in part at the expense of any suchthe corporation, of medical expenses, and insurance against accident, sickness, disability or death , and. The board may adopt a plan for retirement allowances or pensions to employees and officers based on services rendered before, after, or before and after, the plan is adopted ; such. A pension or allowance tomay be payable in suchamounts, at suchtimes, and upon suchconditions asdetermined by the board of directors of the corporation in its discretion shall determine. Subd. 2. [ACTS LEGALIZED.] All allowances for medical expenses, insurance against accident, sickness, disability or death, and retirement allowances or pensions heretoforegranted or paid before April 23, 1947, by any sucha corporation to its employees and officers pursuant to action by its board of directors, is herebyare validated. 300.083 [INDEMNIFICATION.] Subdivision 1. [DEFINITIONS.] (a) For purposes of this section, the terms defined in this subdivision have the meanings given them. (b) "Corporation" includes a domestic or foreign corporation that was the predecessor of the corporation referred to in this section in a merger or other transaction in which the predecessor's existence ceased upon consummation of the transaction. (c) "Official capacity" means (1) with respect to a director, the position of director in a corporation, (2) with respect to a person other than a director, the elective or appointive office or position held by an officer, member of a committee of the board, or the employment or agency relationship undertaken by an employee or agent of the corporation, and (3) with respect to a director, officer, employee, or agent of the corporation who, while a director, officer, employee, or agent of the corporation, is or was serving at the request of the corporation or whose duties in that position involve or involved service as a director, officer, partner, trustee, or agent of another organization or employee benefit plan, the position of that person as a director, officer, partner, trustee, employee, or agent, as the case may be, of the other organization or employee benefit plan. (d) "Proceeding" means a threatened, pending, or completed civil, criminal, administrative, arbitration, or investigative proceeding, including a proceeding by or in the right of the corporation. (e) "Special legal counsel" means counsel who has not represented the corporation or a related corporation, or a director, officer, employee, or agent whose indemnification is in issue. Subd. 2. [INDEMNIFICATION MANDATORY; STANDARD.] (a) Subject to the provisions of subdivision 4, a corporation shall indemnify a person made or threatened to be made a party to a proceeding by reason of the former or present official capacity of the person against judgments, penalties, fines, including, without limitation, excise taxes assessed against the person with respect to an employee benefit plan, settlements, and reasonable expenses, including attorneys' fees and disbursements, incurred by the person in connection with the proceeding, if, with respect to the acts or omissions of the person complained of in the proceeding, the person: (1) Has not been indemnified by another organization or employee benefit plan for the same judgments, penalties, fines, including, without limitation, excise taxes assessed against the person with respect to an employee benefit plan, settlements, and reasonable expenses, including attorneys' fees and disbursements incurred by the person in connection with the proceeding with respect to the same acts or omissions; (2) Acted in good faith; (3) Received no improper personal benefit; (4) In the case of a criminal proceeding, had no reasonable cause to believe his conduct was unlawful; and (5) In the case of acts or omissions occurring in the official capacity described in subdivision 1, paragraph (c), clause (1) or (2), reasonably believed that the conduct was in the best interests of the corporation, or in the case of acts or omissions occurring in his official capacity described in subdivision 1, paragraph (c), clause (3), reasonably believed that the conduct was not opposed to the best interests of the corporation. If the person's acts or omissions complained of in the proceeding relate to conduct as a director, officer, trustee, employee, or agent of an employee benefit plan, the conduct is not considered to be opposed to the best interests of the corporation if the person reasonably believed that the conduct was in the best interests of the participants or beneficiaries of the employee benefit plan. (b) The termination of a proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent does not, of itself, establish that the person did not meet the criteria set forth in this subdivision. Subd. 3. [ADVANCES.] Subject to the provisions of subdivision 4, if a person is made or threatened to be made a party to a proceeding, the person is entitled, upon written request to the corporation, to payment or reimbursement by the corporation of reasonable expenses, including attorneys' fees and disbursements, incurred by the person in advance of the final disposition of the proceeding, (a) upon receipt by the corporation of a written affirmation by the person of a good faith belief that the criteria for indemnification set forth in subdivision 2 has been satisfied and a written undertaking by the person to repay all amounts so paid or reimbursed by the corporation, if it is ultimately determined that the criteria for indemnification have not been satisfied, and (b) after a determination that the facts then known to those making the determination would not preclude indemnification under this section. The written undertaking required by clause (a) is an unlimited general obligation of the person making it, but need not be secured and shall be accepted without reference to financial ability to make the repayment. Subd. 4. [PROHIBITION OR LIMIT ON INDEMNIFICATION OR ADVANCES.] The articles or bylaws either may prohibit indemnification or advances of expenses otherwise required by this section or may impose conditions on indemnification or advances of expenses in addition to the conditions contained in subdivisions 2 and 3 including, without limitation, monetary limits on indemnification or advances of expenses, if the conditions apply equally to all persons or to all persons within a given class. Subd. 5. [REIMBURSEMENT TO WITNESSES.] This section does not require, or limit the ability of, a corporation to reimburse expenses, including attorneys' fees and disbursements, incurred by a person in connection with an appearance as a witness in a proceeding at a time when the person has not been made or threatened to be made a party to a proceeding. Subd. 6. [DETERMINATION OF ELIGIBILITY.] (a) All determinations whether indemnification of a person is required because the criteria set forth in subdivision 2 have been satisfied and whether a person is entitled to payment or reimbursement of expenses in advance of the final disposition of a proceeding as provided in subdivision 3 shall be made: (1) By the board by a majority of a quorum. Directors who are at the time parties to the proceeding shall not be counted for determining either a majority or the presence of a quorum; (2) If a quorum under clause (1) cannot be obtained, by a majority of a committee of the board, consisting solely of two or more directors not at the time parties to the proceeding, duly designated to act in the matter by a majority of the full board including directors who are parties; (3) If a determination is not made under clause (1) or (2), by special legal counsel, selected either by a majority of the board or a committee by vote pursuant to clause (1) or (2) or, if the requisite quorum of the full board cannot be obtained and the committee cannot be established, by a majority of the full board including directors who are parties; (4) If a determination is not made under clauses (1) to (3), by the shareholders, excluding the votes of shares held by parties to the proceeding; or (5) If an adverse determination is made under clauses (1) to (4), or if no determination is made under clauses (1) to (4) within 60 days after the termination of a proceeding or after a request for an advance of expenses, as the case may be, by a court in this state, which may be the same court in which the proceeding involving the person's liability took place, upon application of the person and any notice the court requires. (b) With respect to a person who is not, and was not at the time of the acts or omissions complained of in the proceedings, a director, officer, or person possessing, directly or indirectly, the power to direct or cause the direction of the management or policies of the corporation, the determination whether indemnification of this person is required because the criteria set forth in subdivision 2 have been satisfied and whether this person is entitled to payment or reimbursement of expenses in advance of the final disposition of a proceeding as provided in subdivision 3 may be made by an annually appointed committee of the board, having at least one member who is a director. The committee shall report at least annually to the board concerning its actions. Subd. 7. [INSURANCE.] A corporation may purchase and maintain insurance on behalf of a person who is or was a director, officer, employee, or agent of the corporation, or who, while a director, officer, employee, or agent of the corporation, is or was serving at the request of the corporation as a director, officer, partner, trustee, employee, or agent of another organization or employee benefit plan against any liability asserted against and incurred by the person in or arising from that capacity, whether or not the corporation would have been required to indemnify the person against the liability under the provisions of this section. Subd. 8. [DISCLOSURE.] A corporation that indemnifies or advances expenses to a person in accordance with this section in connection with a proceeding by or on behalf of the corporation shall report the amount of the indemnification or advance and to whom and on whose behalf it was paid to the shareholders in an annual report covering the period when the indemnification or advance was paid or accrued under the accounting method of the corporation. Subd. 9. [LIFE INSURANCE COMPANIES.] A domestic life insurance company having a separate account or accounts pursuant to section 61A.14 may indemnify a person who is serving or has served as a member of the managing committee of that separate account, and may purchase and maintain insurance for that purpose, in accordance with this section. 300.09 [PROPERTY; SALE, LEASE, EXCHANGE; PROCEDURE.] EveryAt a meeting of its board of directors a corporation heretofore or hereafterorganized under the laws of this state, except those formed or coming under the Minnesota Business Corporation Act, or a nonprofit corporation subject to the Minnesota Nonprofit Corporation Act or any part thereof, at any meeting of its board of directors, may sell, lease, or exchange all its property, rights, privileges, and franchises upon suchthe terms and conditions asits board of directors deemsconsiders expedient and for the best interests of the corporation , when and as. The sale, lease, or exchange must be authorized by the affirmative vote of the holders of two-thirds of the shares of stock of the company issued and outstanding having voting power, given at a stockholders' meeting duly called for that purpose, or whenauthorized by the written consent of the holders of two-thirds of the shares of stock of the company issued and outstanding having voting power. The certificate of incorporation may require the vote or written consent of a larger portion of the stockholders. 300.10 [PUBLIC SERVICE CORPORATIONS; MORTGAGES AND DEEDS OF TRUST.] AnyA public service corporation owning property in this state may mortgage or execute deeds of trust of the whole, or any part, of its property and franchises to secure money borrowed by it for the construction and equipment of its lines and properties and for its corporate purposes and. The corporation may issue its corporate bonds, in sums of not less thanat least $100, secured by these mortgages or deeds of trust ; such. The mortgages or deeds of trust may by their terms include after-acquired real and personal property , real and personal, and shall beare as valid and effectual for that purpose as if suchthis after-acquired property were owned by, and in possession of, the corporation giving suchthe mortgage or deed of trust at the time of theits execution thereof. 300.11 [EXECUTION OF MORTGAGES AND DEEDS OF TRUST LEGALIZED.] In cases where anyIf a public service corporation owning property in this state has mortgaged or executed deeds of trust of the whole, or any part, of its property and franchises to secure money borrowed by it for the construction and equipment of lines and properties and for its corporate purposes and has issued its corporate bonds in sums of not less thanat least $100 secured by mortgages or deeds of trust, bearing interest at a rate not exceeding eight percent per annumyear and suchthe mortgages or deeds of trust have by their terms included after-acquired real and personal property , real and personal, or have borne interest at a rate not exceeding eight percent per annumyear, suchthe mortgages and deeds of trust are herebylegalized and made valid and effectual to all intents and purposes as if suchthe after-acquired property were owned by and in possession of the corporation giving suchthe mortgage or deed of trust at the time of theits execution thereof, and as if suchthe corporate bonds bore interest at the rate of seven percent per annumyear. 300.111 [FINANCING STATEMENTS OF PUBLIC UTILITIES, TACONITE AND SEMI-TACONITE COMPANIES; DEFINITIONS.] Subdivision 1. [PUBLIC UTILITY.] When used in sections 300.111 to 300.113 the term "public utility" means persons, corporations, or other legal entities, their lessees, trustees, and receivers, now or hereafteroperating, maintaining, or controlling in this state after June 29, 1966, equipment or facilities for the production, generation, transmission, or distribution at retail of gas, electric, or telephone service for the public and in suchthe transmission and distribution useusing, or havehaving a right to use, public roads, streets, alleys, or anyother public wayways for the purpose of constructing, using, operating, or maintaining wires, pipes, conduits, or other facilities. No municipality producing or furnishing gas, electric, or telephone service is deemeda public utility under this definition. No person is deemed to bea public utility if it produces or furnishes its services to less than 50 persons. Subd. 2. [TACONITE COMPANY.] When used in sections 300.111 to 300.113 the term "taconite company" means anya person, corporation, or other legal entity, theirits lessees, trustees, and receivers, engaged in or preparing to engage in the business of mining and beneficiating taconite, as the term "taconite" is defined in Minnesota Statutes 1965,section 298.23, whether or not suchthe taconite company may also engage in any otheranother business. Subd. 3. [SEMI-TACONITE COMPANY.] When used in sections 300.111 to 300.113 the term "semi-taconite company" means anya person, corporation, or other legal entity, theirits lessees, trustees, and receivers, engaged in or preparing to engage in the business of mining and beneficiating semi-taconite, as the term "semi-taconite" is defined in Minnesota Statutes 1965,section 298.34, whether or not suchthe semi-taconite company may also engage in any otheranother business. Subd. 4. [ELECTRIC SERVICE COOPERATIVES.] Notwithstanding any contrary provision in subdivision 1 which may be to the contrary, the term "public utility" also means a cooperative association now or hereafteroperating, maintaining or controlling in this state after May 11, 1969, equipment or facilities for the production, generation, transmission or distribution of electric services. 300.112 [FINANCING STATEMENTS OF A PUBLIC UTILITY, A TACONITE COMPANY, AND A SEMI-TACONITE COMPANY , AND DURATION THEREOF.] Subdivision 1. [FILING WITH SECRETARY OF STATE.] Notwithstanding sectionsections 336.9-302, subsections (3) and (4); 336.9-401, subsection (1); 336.9-402; and 336.9-403 of the uniform commercial code, all filings required under the uniform commercial code in order to perfect a security interest against the personal property or fixtures of a debtor public utility, or against the personal property or fixtures of a debtor taconite company or a debtor semi-taconite company, shallmust be made and maintained in the office of the secretary of state. Subd. 2. [INFORMATION NOT REQUIRED.] When the financing statement covers goods of a debtor public utility or of a debtor taconite company or a debtor semi-taconite company, which are or are to become fixtures, no description of the real estate or the name of the record owner thereofis required. Subd. 3. [DURATION.] Filing of a financing statement against the property of a debtor public utility or against the property of a debtor taconite company or a debtor semi-taconite company is effective until five years after the maturity date contained thereinin the statement in the case of personal property and until 15 years after the maturity date in the case of fixtures annexed to real property, or if no maturity date is contained thereinin the statement, until released or terminated. 300.113 [CONTINUED EFFECTIVENESS OF CERTAIN LAWS.] Unless displaced by the specific provisions of sections 300.111 to 300.113, the uniform commercial code and other applicable laws remain in full force and effect and supplement the provisions of sections 300.111 to 300.113. 300.114 [MORTGAGES, DEEDS OF TRUST AND OTHER INSTRUMENTS OF PUBLIC UTILITIES; FILING AND RECORDING.] Subdivision 1. [FILING WITH SECRETARY OF STATE.] A mortgage or deed of trust to secure a debt executed by a public utility as defined in section 300.111 covering the whole or anypart of its easements or other less than fee simple interests in real estate used in the transmission or distribution of gas, electric, or telephone service, and also covering the fixtures of the public utility which are annexed theretoto it, may be filed in the office of the secretary of state along with, or as part of, the financing statement covering suchthe fixtures. SuchThe filing of the mortgage or deed of trust shall havehas the same effect, and shall beis notice of the rights and interests of the mortgagee or trustee in suchthe easements and other less than fee simple interests in real estate to the same extent, as if suchthe mortgage or deed of trust were duly recorded in the office of the county recorder, or duly registered in the office of the registrar of titles, of the county orcounties in which the real estate is situated , provided that. The effectiveness of suchthe filing will terminate at the same time as provided in section 300.112, subdivision 3, for the termination of the effectiveness of fixture filing. Subd. 2. [WHAT CONSTITUTES A SPECIFIC DESCRIPTION.] For the purposes of this section, anya mortgage or deed of trust filed hereunder shall be deemed to containunder this section contains a sufficient description to give notice of the rights and interests of the mortgagee or trustee in the easements and other less than fee simple interests in the real estate used for the transmission and distribution of gas, electric, or telephone service of the public utility if suchthe mortgage or deed of trust states that the security includes rights of way of or transmission or distribution systems of or lines of the public utility, or all property owned by the public utility. Subd. 3. [FILING OF PRIOR INSTRUMENTS.] AnyA mortgage or deed of trust filed before March 28, 1974 along with, or as part of, the financing statements filed under section 300.112, which complycomplies with the provisions of this section, shall be deemed to have beenis filed under this section as of March 28, 1974. Subd. 4. [APPLICATION.] This section shalldoes not apply to anyreal estate owned in fee simple by a public utility in fee simple. 300.115 [MORTGAGES AND DEEDS OF TRUST OF PIPELINE COMPANIES ,; FILING AND RECORDING.] Subdivision 1. [FILING WITH SECRETARY OF STATE.] A mortgage or deed of trust covering real property in whole or in part to secure a debt executed by a company engaged in the business of transporting oil, gas, petroleum products, or other derivatives by pipeline, other than a public utility as defined in Minnesota Statutes 1965,section 300.111, shallmust be filed with the secretary of state, and recorded in the office of the county recorder or in the office of the registrar of titles of each county through which the pipeline runs or in which it may hold land or interests in land. To secure the rights of all parties interested under suchthe mortgage or deed of trust so executed, filed, and recorded, the personal property and fixtures belonging or appertaining thereto shall be deemedto it are a part of the line, and notwithstanding the provisions of the uniform commercial code, the filing and recording of suchthe mortgage and deed of trust shall beis notice of the rights of all parties in the real and personal property and fixtures covered therebyby it and will so remain until satisfied or discharged without further affidavit, continuation statement, or proceeding whatever. Subd. 2. [EFFECT OF PRIOR INSTRUMENTS.] AnyAn instrument described in subdivision 1 and heretoforerecorded before May 11, 1967, as a real estate mortgage and filed as a chattel mortgage in accordance with law, shall be deemed to have beenis validly recorded and filed and to beis notice of the rights of the parties theretoto it in the real and personal property and fixtures covered therebyby it. 300.12 [BYLAWS; STATEMENTS.] Subdivision 1. [ADOPTION OF BYLAWS.] The first board of directors, trustees, or managers shallmust adopt bylaws , which shall remain effective until, and except as,. The bylaws may be amended by the stockholders or members at anya regular or special meeting called thereforfor that purpose. Subd. 2. [BYLAWS AND CERTAIN STATEMENTS POSTED IN PLACE OF BUSINESS.] A copy of the bylaws of everya corporation whose articles are filed with the secretary of state, the names of its officers, and a statement of the amount of theany capital stock actually and in good faith subscribed for, if there be any,the amount and character of payments actually made thereonon the stock; and, in the case of corporations empowered to take private property, the amount of its indebtedness in a general way, shallmust also be kept posted in its principal place of business ; which. The statement shallmust be corrected as often as any material change takes place in relation to any part of theits subject matter of such statement. 300.13 [CORPORATE EXISTENCE; DURATION, RENEWAL.] Subdivision 1. [PERIOD OF FORMATION, RENEWAL.] A railroad corporation, ora bank as defined in section 47.01, subdivision 2, or a trust company as defined in section 47.01, subdivision 4, may be formed for any period specified in its certificate of incorporation. A savings bank shall havehas perpetual successionduration. Every other corporation, except as (hereinafter)otherwise provided in this chapter, shall be formed for a period not exceedingnot more than 30 years in the first instance, but may be renewed from time to time for a further term not exceeding 30 years ,. The corporation is renewed whenever a three-fourths vote of the stock or members, in case of mutual or non-stock corporations represented at any regular meeting, or at any special meeting called for that purpose, which shall have been clearly specified in the call, shall have heretofore or shall hereafter adopt, adopts a resolution to that effect; and, in case of stock companies, when those desiring it shallhave purchased at its value the stock of those opposed theretoto the resolution. The resolution may be voted on at a regular meeting, or at a special meeting called for that purpose if that purpose is clearly specified in the call. Subd. 2. [EXCEPTIONS AS TO RENEWAL.] AnyA corporation formed under the provisions of the Minnesota Business Corporation Act, or the Minnesota Nonprofit Corporation Act, or a corporation which accepts the provisions of either act, or which elects not to accept them, may not be renewed under this section. Subd. 3. [NONPROFIT COOPERATIVE ASSOCIATIONS, RELIGIOUS CORPORATIONS; PERPETUAL SUCCESSION.] Unless otherwise limited by statute or by its articles or certificate of incorporation, a nonprofit cooperative association and a religious corporation formed under Minnesota Statutes 1949,chapter 315, have perpetual successionduration. When the limitation is contained in its articles or certificate of incorporation, the association or corporation may amend its articles or certificate to provide for perpetual successionduration. Subd. 4. [RESOLUTION TO ENLARGE, EFFECT.] Except in the case of a nonprofit cooperative association ,or a religious corporation formed under Minnesota Statutes 1949,chapter 315, the resolution to enlarge the period of corporate existence does not become effective until a duly certified copy of the resolution has been filed, recorded, and published in the same manner as required by law for its original articles or certificate of incorporation. A nonprofit cooperative association and a religious corporation formed under Minnesota Statutes 1949,chapter 315 ,need not publish the resolution. 300.131 [PERPETUAL CORPORATE EXISTENCE FOR INSURANCE COMPANIES.] The corporate existence of anyan insurance company heretofore or hereafterorganized under the laws of this state may be made perpetual by so providing in its articles of incorporation or by amendment thereofto them. 300.14 [CERTAIN CORPORATIONS.] Subdivision 1. [CONSOLIDATION.] AnyTwo or more corporations, except corporations organized for the purpose of carrying on the business of a railroad, bank, savings bank, trust company, building and loan association, or insurance company, or a nonprofit corporation subject to the Minnesota Nonprofit Corporation Act or any part thereofof it, may consolidate into a single corporation , which. The resulting corporation may be either one of suchthe consolidating corporations or a new corporation created by suchthe consolidation. The directors, orIf at least a majority of them, of suchthe directors of each of the corporations asdesire to consolidate, they may enter into an agreement signed by them and under the corporate seals of the respective corporations, prescribingsetting forth: (1) the terms and conditions of the consolidation ,; (2) the mode of carrying the sameconsolidation into effect , and stating such other; (3) applicable facts as are deemed applicable among thosewhich are necessary to be set out in a certificate of incorporation, as provided in section 300.025 , as well as; (4) the manner and basis of converting the shares of stock of each of the constituent corporations into the shares of the consolidated corporation, whether into the same or a different number of shares of the consolidated corporation and whether par value or no par value stock , with suchand; (5) other details and provisions aswhich are deemednecessary or desirable. The agreement must be signed by these directors under the corporate seals of those corporations. The agreement shallmust state the amount of capital stock with which the consolidated corporation will begin business, which may be any amount not less than the aggregate par value of shares of stock having par value to be distributed in place of previously issued and outstanding shares of stock of the constituent corporations. The agreement may provide for the distribution of cash, notes, or bonds in whole or in part in lieu of stock to stockholders of the constituent corporations, or any of them. Subd. 2. [AGREEMENT.] The agreement shallmust be submitted to the stockholders of record of each corporation at a meeting called separately for the purpose of considering it. Notice of the time, place, and object of the meeting shallmust be mailed at least two weeks before the meeting to each stockholder of record, whether entitled to vote or not, at his or her last known address, as shown by the corporation's records. At the meeting the agreement shallmust be considered and a vote by ballot, in person or by proxy, taken for the adoption or rejection of it. If thevotes ofto adopt the agreement are cast by stockholders of each corporation holding stock in the corporation entitling them to exercise at least nine-tenths of the voting power on a proposal to consolidate the corporation with another, or by any other proportion of the stockholders as prescribed by the certificate of incorporation for votes on the proposal shall be for the adoption of the agreement, then that fact shallmust be certified on the agreement by the secretary or assistant secretary of each corporation, under its seal. The agreement adopted and certified shallmust be signed by the president or vice-president and secretary or assistant secretary of each corporation under its corporate seal and acknowledged by the president or vice-president to be the respective acts, deeds, and agreements of the corporation. The certified and acknowledged agreement shallmust be filed for record with the secretary of state and be taken and deemedconsidered to be the agreement and acts of consolidation of the constituent corporations, and the certificate of incorporation of the consolidated corporation. A certified copy of it shall beis evidence of the performance of all antecedent acts and conditions necessary to the consolidation and of the existence of the consolidated corporation. 300.15 [POWERS, RIGHTS, LIABILITIES, AND DUTIES OF CONSOLIDATED CORPORATION.] When the agreement is signed, acknowledged, filed for record, and published as inrequired by section 300.14 is required, the separate existence of the constituent corporations shall ceaseceases and they shall thereuponbecome a single corporation in accordance with the agreement, possessing all the rights, privileges, powers, franchises, and immunities as well of a public as of a private natureand beingsubject to all the liabilities and duties of each of suchthe consolidating corporations so consolidated, and all and singular. The rights, privileges, powers, franchises, and immunities of each of suchthe corporations and all property , real, personal, and mixed, and all debts owing on whatever account, and all other things in action of or belonging to each of suchthe corporations shall beare vested in the consolidated corporation, and all suchproperty, rights, privileges, powers, franchises, immunities, and everyother interest shall beinterests are thereafter as effectually the property of the consolidated corporation as they were of the several and respective constituent corporations ; provided, that. All rights of creditors and all liens upon the property of either of the constituent corporations shall beare preserved unimpaired, and are limited in lien to the property affected by suchthe lien at the time of the consolidation ; and. All debts, liabilities, and duties of the respectiveconstituent corporations shall thenceforthattach to the consolidated corporation and may be enforced against it to the same extent as if the debts, liabilities, and duties had been incurred or contracted by it. 300.16 [ DISSENTINGRIGHTS OF STOCKHOLDERS ; RIGHTS, HOW DETERMINED.] If any stockholder entitled to vote in any corporation consolidating, as aforesaid, shall vote against the same and shall, at or prior to the taking of the vote, object thereto in writing, or if any stockholder of record in any corporation consolidating, as aforesaid, not entitled to vote thereon, shall, at or prior to the taking of the vote, object thereto in writing; and, if in either case such stockholders shall within 20 days after the taking of such vote demand in writing that the consolidated corporation make payment of the fair cash value of his stock, the consolidated corporation shall, within 30 days after proof of publication of the consolidation agreement is filed with the secretary of state, as aforesaid, pay to such objecting stockholder the fair cash value of his stock as of the day before such vote was taken.Subdivision 1. [PROCEDURE FOR OBJECTING.] A stockholder entitled to vote who votes against the consolidation and objects to it in writing at or before the time when the consolidation vote is taken, or a stockholder not entitled to vote who objects in writing to the consolidation at or before the time when the consolidation vote is taken, may demand in writing that the consolidated corporation pay the fair cash value of the stockholder's stock. The demand must be made within 20 days of the consolidation vote. The stock is to be valued as of the day before the consolidation vote was taken. The consolidated corporation must make payment to the objecting stockholder within 30 days after proof of publication of the consolidation agreement is filed with the secretary of state. Subd. 2. [VALUATION OF STOCK.] In case of disagreement as to suchthe fair cash value any suchof the stock, the stockholder, or the consolidated corporation, within 60 days after proof of publication of the consolidation agreement has been filed , as aforesaid,and upon notice to the opposite party, may petition the district court of the judicial district in which the principal office of the consolidated corporation is established to, and the court shall, appointfor the appointment of three appraisers to appraise the value of suchthe stock. The award of the appraisers ,is final and conclusive if no written objection theretois filed by either party within ten days after the same shall have beenaward is filed in court , shall be final and conclusive; and, if such. If an objection is sofiled, the same shallit must be tried summarily by the court and judgment rendered thereonon it. If the amount determined in suchthe proceeding is in excess of suchthe amount asthe consolidated corporation shall havehas offered to pay as the fair cash value of the stock, the court shallmust assess against the consolidated corporation the costs of the proceeding, including a reasonable attorney's fee, to the stockholder and a reasonable fee to the appraisers, as it shall deemconsiders equitable; otherwise, suchthe costs and fees to the appraisers shallmust be assessed, one-half against the corporation and one-half against the stockholder. AnyA party shall havehas the right ofto appeal from the judgment of the court according to then existing laws; provided thatif the appeal beis taken within ten days after the entry of the judgment. Subd. 3. [EFFECT.] Unless the consolidation is abandoned any such, the stockholder, on the making of the demand in writing, as aforesaid, shall ceaseceases to be a stockholder in the constituent corporation and shall havehas no rights with respect to suchthe stock, except the right to receive payment therefor, as aforesaid, and,for it. Upon payment of the agreed fair cash value of the stock or the value of the stock under final judgment, suchthe stockholder or stockholders shallmust transfer theirhis or her stock to the consolidated corporation ; and, in the event. If the consolidated corporation shall failfails to pay the amount of the judgment within ten days after the same shall becomeit becomes final, the judgment may be collected and enforced in the manner prescribed by law for the enforcement of judgments. Subd. 4. [ASSENTING STOCKHOLDERS.] Each stockholder in any of the constituent corporations at the time the consolidation becomes effective ,who is entitled to vote, and who does not vote against the consolidation and object theretoto it in writing, as aforesaid,and each stockholder in each of the constituent corporations at the time the consolidation becomes effective ,who is not entitled to vote, and who does not object theretoto it in writing, as aforesaid, shall ceaseceases to be a stockholder in suchthe constituent corporation and deemedis considered to have assented to the consolidation and,. Those stockholders, together with the stockholders voting in favor of the consolidation, are entitled to receive certificates of stock in the consolidated corporation or cash or notes or bonds, in the manner and on the terms specified in the agreement of consolidation. 300.17 [LIABILITIES OF CORPORATIONS, STOCKHOLDERS, AND OFFICERS; RIGHTS OF CREDITORS.] The liability of corporations, or the stockholders or officers thereof, or the rights or remedies of the creditors thereof, or of persons transacting business with such corporations shall not in any way be lessened or impaired byThe consolidation of two or more corporations under the provisions of sections 300.14 to 300.19 does not lessen or impair the liability of the consolidating corporations or their stockholders or officers or the rights or remedies of creditors or persons transacting business with these corporations. 300.18 [CAPITAL STOCK OF CONSOLIDATED CORPORATION.] The capital stock of a consolidated corporation, issued and represented by shares of stock, shall be deemed to beis the amount stated in the consolidation agreement as to the amount of capital stock with which the consolidated corporation will begin business, until such time asthe corporation shall issueissues shares of stock in addition to those distributed to the stockholders of its constituent corporations upon the consolidation. Upon the issue of any suchWhen additional shares are issued, the capital stock issued and represented by shares of stock shall be deemed to beis increased by the aggregate par value of all suchadditional shares of stock having par value and the aggregate amount of money or the actual value of the consideration, as fixed by the directors, or otherwise, received by the corporation for the issuance of all suchadditional shares without par value. 300.19 [FILING FEE.] Upon filing anya consolidation agreement, as provided for in sections 300.14 to 300.19, there shallmust be paid to the state treasurer the same fees as required on the filing of a certificate of the corporation, less the total amount of the fees that have previously been theretoforepaid to the state treasurer on account ofthe filing of the certificates of incorporation or any renewals thereofand anyamendments theretoincreasing capital stock of all of the corporations which are parties to suchthe consolidation agreement. 300.20 [BOARD OF DIRECTORS , ELECTION; VACANCY, HOW FILLED.] Subdivision 1. [ELECTION.] The business of savings banks must be managed by a board of at least seven trustees, residents of this state, each of whom, before being authorized to act, must file a written acceptance of the trust. The business of every such corporation, except savings banks, shall beother corporations must be managed by a board of at least three directors elected by ballot by and from the stockholders or members. AnyA board of directors of a financial institution referred to in section 47.12 which has less than five members may be increased to not more than five members by order of the commissioner of bankscommerce. Subd. 2. [VACANCIES.] When the certificate of incorporation or the bylaws so provides, a vacancy in the board of directors may be filled by the remaining directors. Not more than one-third of the members of the board may be so filled in any one year. The business of savings banks shall be managed by a board of at least seven trustees, residents of this state, each of whom, before being authorized to act, shall file a written acceptance of the trust.Subd. 3. [QUORUM TO DO BUSINESS.] A majority of the directors or trustees shall constituteconstitutes a quorum for the transaction of business. Subd. 4. [ACTION WITHOUT MEETING.] AnyAn action which might be taken at a meeting of the board of directors, trustees, or managers may be taken without a meeting if done in writing signed by all of the directors, trustees, or managers. 300.21 [OFFICERS.] Every domestic corporation, except when otherwise specially provided, shallmust have a president, secretary, and treasurer, and may have one or more vice-presidents and other officers, as its certificate of incorporation or bylaws may provide. The time and manner of their election and their respective duties shallmust be prescribed in the certificate of incorporation or in the bylaws. 300.22 [CLASSIFICATION OF MANAGERSDIRECTORS.] By so providingIn its certificate of incorporation, anya corporation may classifyestablish classes of its directors or trustees in respect to the time for which they shall severally hold office, the several classes to be elected for different terms; provided, thatand the terms for each class. No class shallmay be elected for a term of less than one year, or more than five years, and the term of office of at least one class shallmust expire each year. 300.23 [VOTING, HOW REGULATED.] Unless otherwise provided in the certificate or bylaws, at every meeting each stockholder or member , resident or nonresident, shall beis entitled to one vote in person, or by proxy made within one year or other time specially limited by law, for each share or other lawful unit of representation held by himin his or her individual, corporate, or representative capacity , but. No stock shallmay be voted on at anyan election within 20 days after its transfer on the books of the corporation. 300.24 [CUMULATIVE VOTING.] The certificate of incorporation , original or amended, or an amendment to it, of anya corporation now or hereafter organized under the laws of this state, and thereunder issuing, or authorized to issue, shares of its capital stock,may provide that, at all elections of directors or managers, each stockholder or member shall beis entitled to as many votes as shall equalequals the number of his or her shares of stock multiplied by the number of directors or managers to be elected, and that he shallthe stockholder or members may cast all of suchthese votes for a single director or manager, or may distribute them among the number to be voted for, or for any two or more of them, as he may seeor she sees fit , which. This right when exercised shall beis termed "cumulative voting." 300.25 [TRANSFER OF STOCK.] Subdivision 1. [WHEN TRANSFER IS EFFECTIVE.] Notwithstanding the transfer of a certificate of stock in accordance with the provisions ofthe uniform commercial code, the corporation shall have the right tomay pay anya dividend thereonon it and totreat the holder of record as the owner in fact until such time asthe transfer has been recorded on its books or a new certificate issued to the transferee , who,. The transferee will receive the new certificate upon delivery of the former certificate to the treasurer, or otherwise in accordance with the provisions of the uniform commercial code , shall be entitled to receive such new certificate. Subd. 2. [SURVIVAL OF ACTION AGAINST SUBSCRIBER.] Except as provided with respect to corporations formed under or coming within the Minnesota Business Corporation Act, anya corporation shall have the right tomay maintain a personal action against anya subscriber to its stock, notwithstanding that sucheven though the subscriber may havehas transferred suchthe stock in accordance with the provisions of the uniform commercial code. Subd. 3. [PLEDGED STOCK.] (a) A pledgee of stock transferred as collateral security shall beis entitled to a new certificate, if the instrument of transfer substantially describes the debt or duty intended to be secured therebyby it. (b) The new certificate shallmust state on its face the name of the pledgor, and that it is held as collateral security and the name of the pledgor, who. The pledgor alone shall beis liable as a stockholder and entitled to vote thereon; provided thatthe stock. (c) Corporations formed or coming under the Minnesota Business Corporation Act shallare not besubject to the provisions of this sentenceparagraph (b). 300.26 [EFFECT OF TRANSFER; STOCK BOOKS.] The transfer of shares is not binding upon the company until it is regularly entered on the books of the company so far asto show the names of the persons by and to whom transferred, the number or other designation of the shares, and the date of the transfer ; and such. The transfer shalldoes not in any wayexempt the person making suchthe transfer from anyliabilities of the corporation which were created prior to the transfer. The books of the company shallmust be sokept asto show intelligibly the original stockholders, their respective interests, the amount which has been paid in on their shares, and all transfers thereof, and suchof the shares. The books, or acorrect copy thereofcopies of them, so far as the items mentioned in this section are concerned, shall beare subject to the inspection of any person desiring the same. 300.27 [STOCKHOLDERS, LIABILITIES.] Subdivision 1. [PERSONAL LIABILITY.] EveryA stockholder shall beis personally liable for corporate debts in the following cases: (1) for all unpaid instalments on stock owned by him or her or transferred for the purpose of defrauding creditors; (2) for failure by the corporation to comply substantially with the provisions as to organization and publicity; and (3) for personally violating any of suchthe provisions in the transaction of any corporate business as officer, director, or member and for fraudulent or dishonest conduct in the discharge of any official duty. Subd. 2. [EXCEPTIONS.] Except as provided by subdivision 1, no stockholder or member of anya corporation or of anycooperative corporation or association is liable for anya debt of the corporation, cooperative corporation, or association. Subd. 3. [EXISTING LIABILITIES.] The provisions ofSubdivision 2 dodoes not affect anya liability existing on April 18, 1931, against stockholders or members of anya corporation or anycooperative corporation or association, other than banking or trust corporations or associations, or anya liability existing on February 15, 1955, against stockholders of a banking or trust corporation or association ; provided that. After December 31, 1955, anya claim arising under anya statute imposing double liability on stockholders or members is barred. 300.28 [PROPERTY OF STOCKHOLDERS LEVIED ON, WHEN.] The private property of a stockholder shallmay not be levied on for anya liability specified in section 300.27, subdivision 1, unless both hethe stockholder and the corporation are duly served with process in the action and the issue involving histhe stockholder's individual liability is raised and determined therein; andin the action. Individual property shallmay never be levied on until all corporate property which can be found has been exhausted. 300.29 [PROCEDURE OF OFFICER LEVYING.] The officer holding an execution , which mayto be solevied on private property , shallmust first demand payment of the president, secretary, or other acting officer of the corporation, or who wasone of its last acting officers ; and,. If hethat person fails to forthwithsatisfy the execution or point out corporate property upon which it may be levied, the officer shallholding the execution must endorse thereonon it the fact of suchthe demand and failure to pay and then levy the sameexecution upon individual property of any stockholder impleaded and served as aforesaid. SuchThe levy may be made to satisfy anythe balance due upon an execution after levy upon corporate property, or part payment from corporate funds. 300.30 [CAPITAL STOCK.] Except as otherwise provided in this chapter, the capital stock of anya stock corporation shall in no casemust not be less than $10,000. It shallmust be divided into shares of not less than $1 nor more than $100 each ; but. The capital and number of shares may be increased at anya regular or specially called meeting of the stockholders. 300.31 [CAPITAL STOCK OF CERTAIN TELEPHONE COMPANIES.] The capital stock of corporations formed for the operation of telephone systems in, or connecting, towns or statutory cities of less than 2,000 inhabitants shall in no casemust not be less than $500. 300.32 [RECORD OF STOCK; REPORTS; DIVIDENDS.] In all stock corporations the directors shallmust cause accurate and complete records to be kept of all corporate proceedings and of all stock subscribed, transferred, canceled, or retired and proper books, accounts, files, and records of all other business transacted. All suchbooks and records shallmust, at all reasonable times and for all proper purposes, be open to the inspection of anya stockholder. Its directors shallmust when required present to the stockholders written reports of its condition and business and declare suchthe dividends of the profits of the business as they deemconsider advisable , but shall. The director may not therebyby declaring dividends reduce the capital while there are outstanding liabilities. 300.33 [CORPORATE STOCK WITHOUT NOMINAL OR PAR VALUE; CLASSES OF; PREFERRED STOCK.] AnyA corporation of this state heretofore or hereafter incorporated, except banks, savings banks, trust companies, building and loan associations, and insurance companies, may create one or more classes of stock without anynominal or par value, with suchany preferences, voting powers, restrictions, and qualifications thereon not inconsistentconsistent with law as shall bethat are expressed in its certificate of incorporation or anyamendment theretoto it. Stock without par value which is preferred as to dividends or as to its distributive share of the assets of the corporation upon dissolution may be made subject to redemption at suchthe times and prices as may bedetermined in suchthe certificate of incorporation or amendment theretoto it. In the case of stock without par value which is preferred as to its distributive share of the assets of the corporation upon dissolution, the amount of suchthe preference shallmust be stated in the certificate of incorporation or amendment theretoto it. 300.34 [CERTIFICATES OF INCORPORATION; STATEMENTS THEREINAS TO PAR VALUE , WHAT TO CONTAIN.] In any case in whichWhen the par value of the shares of stock of a corporation shall beis required to be stated in the certificate of incorporation or of anyin an amendment theretoto it or in any otheranother place, it shallmust be stated in respect to shares without par value that suchthe shares are without par value ; and. When the amount of suchthe stock authorized, issued, or outstanding shall beis required to be stated, the number of shares thereofauthorized, issued, or outstanding , as the case may be, shall be statedand the fact that suchthe shares are without par value must be stated. 300.35 [STOCK CERTIFICATES TO SHOW NUMBER OF SHARES.] EachA stock certificate issued for shares without nominal or par value shallmust have plainly written or printed upon its face the number of shares which it represents and. No suchcertificate shallmay express anythe nominal or par value of suchthese shares or express anya rate of dividend to which it shall beis entitled in terms of percentage of anypar or other value. 300.36 [VALUE FOR DETERMINING PRESCRIBED MINIMUM OR MAXIMUM CAPITAL.] For the limited purpose of determining the minimum or maximum capital prescribed by law for stock corporations, but for no other purpose, such shall be taken to be of the value ofshares without nominal or par value must be valued at $10 eachper share. 300.37 [VALUE OF CAPITAL STOCK FIXED BY DIRECTORS.] For the purpose of anya rule of law or of anystatutory provision relating to the amount of capital stock issued and represented by shares of stock without par value, except as otherwise provided in this section, suchthe amount shall be taken to beis the amount of money or the actual value of the consideration, as fixed by the directors or otherwise in accordance with law, as the case may be,for which suchthe shares of stock shallhave been issued. In any case in whichWhen stock having a par value shall havehas been issued with stock without par value for a specified consideration, in determining the amount of the capital stock issued and represented by shares of stock without par value, the par value of suchthe stock having a par value shallmust first be deducted from the amount of the money or actual value of the consideration determined , as aforesaid, and. The excess thereof, if any, shall be taken to beis the amount of capital stock represented by the shares of stock without par value so issued. 300.38 [INCREASE OR REDUCTION OF VALUE OF CAPITAL STOCK.] The number of authorized shares of stock without par value may be increased or reduced in the manner and subject to the conditions provided in section 300.45 and acts supplemental theretoto it. All other statutory provisions relating to stock having a par value apply to stock without par value, so far as the same may bethey are legally, necessarily, or practically applicable to, and not inconsistentconsistent with ,the provisions of sections 300.33 to 300.43 , shall apply to stock without par value. 300.39 [PAR VALUE STOCK CHANGED TO NON-PAR VALUE STOCK.] Any suchA corporation may change any of its common or preferred stock , common or preferred,having a par value, to an equal, greater, or lesssmaller number of shares of stock having no par value ; and. In connection therewithwith this change, the corporation may fix the amount of capital stock represented by suchthese shares of stock without par value and any such corporationmay reduce its capital stock by any or all of the following methods: (1) reducing the number of shares of its stock whether the sameshares have par value or no par value , or by; (2) reducing the par value of shares which have apar value ,; or by(3) reducing the amount of capital stock represented by shares with no par value , or by any and all of such methods. 300.40 [CERTIFICATE OF INCORPORATION TO PROVIDE FOR CONVERSION OF SHARES.] TheA corporation's certificate of incorporation, or anyan amendment theretoto it, of any such corporationmay provide that shares of stock of anya class shall beare convertible into shares of stock of any otheranother class upon suchthe terms and conditions as may be thereinstated in that document, except that shares of stock without par value shallmust not be convertible into shares of stock having par value. 300.41 [POWERS OF DIRECTORS TO ISSUE STOCK.] Subject to anylimitations and restrictions set forth in the certificate of incorporation, any sucha corporation may, at anya meeting called and held for that purpose, empower its directors to issue shares of its unissued, authorized capital stock without par value and may authorize its directors to fix the amount of money or the actual value of the consideration for which suchthe stock shall beis issued ; provided. The certificate of incorporation, or anyan amendment theretoto it, of any sucha corporation may empower theits directors thereofto issue from time to time shares of suchstock without par value for suchthe consideration asthe directors may deemconsider advisable, subject to suchthe limitations and restrictions as may be set forth thereinspecified. 300.42 [COMPUTATION OF VALUE OF STOCK.] For the purpose of determining the amount of stock held or owned by anya stockholder, shares without par value shallmust be computed at the value, at the time of issue, of the cash, property, services, or expenses for which they were issued , but not including. This computation does not include paid-in surplus. 300.43 [LAWS APPLICABLE.] Except as otherwise provided hereinin this chapter, all laws applicable to corporations having shares of stock with par value shallapply to corporations issuing shares without par or face value. 300.44 [OFFICES WITHOUT ANDWITHIN AND OUTSIDE THE STATE.] EveryA domestic corporation may establish offices and conduct business in any otheranother state or country ; providedif an office , in charge of some person upon whom legal process affecting it may be served,is always maintained in this state. A person upon whom legal process may be served must be in charge of that office. 300.45 [CERTIFICATES OF INCORPORATION, AMENDMENT; EXCEPTIONS.] Except for a nonprofit corporation subject to the Minnesota Nonprofit Corporation Act or any part of it, the certificate of incorporation of anya corporation organized and existing under the laws of this state may be amended to change its name, to increase or decrease its capital stock, to change the number and par value of the shares of its capital stock, or in respect to any otheranother matter which an original certificate of a corporation of the same kind might lawfully have contained ,. The change must be accomplished by the adoption of a resolution specifying the proposed amendment at a regular meeting or at a special meeting called for that expressly stated purpose, in either of the following ways: (1) by a majority vote of all its shares, if a stock corporation; or , if not,(2) by a majority vote of its members; or, in either case, (3) by a majority vote of its entire board of directors, trustees, or other managers within one year after authorization by specific resolution duly adopted at a meeting of stockholders or members , and causing. The resolution to be embracedmust be included in a certificate duly executed by its president and secretary, or other presiding and recording officers, under its corporate seal, and approved and filed in the manner prescribed for the execution, approval, and filing of a like original certificate. As to a local building and loan association and corporations organized for the establishing, maintaining, and operating of hospitals not for profit, the resolution to amend may be adopted as aboveprovided in this section or by a two-thirds vote of the stockholders or members of the association attending the meeting in person or by proxy. 300.451 [RESTATED CERTIFICATES OF INCORPORATION.] Subdivision 1. [PROCEDURE.] An existing corporation organized pursuant to section 300.025 may by action taken in the same manner asrequired for amendment of certificates of incorporation adopt a restated certificate of incorporation consisting of the certificate of incorporation as amended to date. The restated certificate of incorporation may be adopted in connection with an amendment to the certificate of incorporation. The restated certificate of incorporation shallmust contain all the statements required by this chapter to be included in the original certificate of incorporation except that: in lieu of setting forth the names and addresses of the first board of directors, the restated certificate of incorporation shall set forthmust include the names and addresses of the directors at the time of the adoption of the restated certificate of incorporation; and no statement need be made with respect to the names and addresses of the incorporators. Subd. 2. [EFFECT.] The certificate to be filed to accomplish a restated certificate of incorporation shallmust be entitled "restated certificate of incorporation of (name of corporation)" and shallmust contain a statement that the restated certificate supersedes and takes the place of the existing certificate of incorporation and all amendments theretoto it. The restated certificate of incorporation when executed, filed and recorded in the manner prescribed for certificate of amendment shall supersedesupersedes and taketakes the place of an existing certificate of incorporation and amendments theretoto it. The secretary of state upon request shallmust certify the restated certificate of incorporation. 300.46 [NONPROFIT CORPORATIONS; TRUSTEES.] Except for a corporation that is formed under or accepts or is deemed to accept the Minnesota Nonprofit Corporation Act, anya corporation other than those for pecuniary profit heretofore or hereafterincorporated by virtue of anya law of this state may by resolution of its board of trustees adopted at any regular or called meeting by a majority vote thereofincrease or decrease the number of its trustees of such corporation and, provide for their election, and may in such resolutionprovide for the number of trustees of the corporation which shall constituteconstitutes a quorum. These actions must be taken by resolution of the corporation's board of trustees adopted by a majority vote of the board at any regular or called meeting. A copy of the resolution, subscribed and sworn to by the president and secretary of the corporation, shallmust be recorded in the office of the county recorder of the county where the corporation is located and in the office of the secretary of thestate. 300.49 [FILING FEES.] Subdivision 1. [PAID TO STATE TREASURER.] Domestic corporations shallmust pay to the state treasurer the following fees: (1) for filing articles of incorporation, $70 for the first $25,000 or fraction thereofof that amount of the par value of its authorized shares, and $1.25 for each additional $1,000 or fraction thereofof that amount; (2) for filing any otheranother instrument required or permitted by sections 300.01 to 300.68, $15; (3) for filing anyan amendment of articles of incorporation increasing the authorized number of shares, or the par value of shares previously authorized, or both, $1.25 for each $1,000 or fraction thereofof that amount, of suchthe increase. Subd. 2. [VALUE OF SHARES FIXED.] For the sole purpose of determining the fees prescribed by subdivision 1, but for no other purpose,shares without par value shall be deemed tohave a par value of $10 each, unless suchexcept as otherwise provided in this subdivision. If the shares are entitled to priority over other shares upon liquidation, in which casethe involuntary liquidation price stated in the articles of incorporation shall be deemed to beis the par value thereof, or unless. If the capital stock is reduced pursuant to section 300.39 in which case, shares without par value shallmust be computed at the value, at the time of filing the amendment to the articles of incorporation, asshown by a verified statement of assets and liabilities subscribed by the president and the secretary of the corporation. Subd. 3. [EXCEPTIONS.] This section shalldoes not apply to cooperative associations or corporations organized without capital stock and not for pecuniary profit. 300.51 [CERTIFICATE OF INCORPORATION ISSUED BY SECRETARY OF STATE.] Whenever any sucha corporation , whose incorporation has been completed, shall make application thereforapplies for incorporation to the secretary of state and paypays the prescribed fee, he shallthe secretary of state must execute, record, and issue a certificate , specifying. The certificate must contain the names of itsthe incorporators, itsthe corporation's nature and purpose, the amount of its capital stock, the fact of its compliance with all prescribed statutory provisions, and that it is duly organized and exists as a corporation under the name and of the kind specified, with the powers, rights, and privileges, and subject to the limitations and restrictions pertaining theretoto it. SuchThe certificate shall beis prima facie evidence of the facts stated thereinin it. 300.52 [MEETINGS.] Subdivision 1. [ HOW CALLEDPRIOR NOTICE.] The first meeting of everya corporation, except as otherwise prescribed in its certificate of incorporation, shallmust be called upon not less than three weeks' prior personal or published notice ,. The notice must be signed by one of the incorporators, to the others, and to each subscriber, if any, to its capital stock, specifying the time, place, and purpose thereofof the meeting. Unless otherwise provided in the certificate of incorporation or corporate bylaws, everyan annual meeting shallmust be called and held at its principal place of business upon three weeks' published notice thereof, signed by its secretary , and. No business transacted at anyan annual meeting not socalled and held shall be effectualas required by this subdivision is effective. The manner of calling and holding all meetings may be prescribed by its bylaws. Subd. 2. [CALL BY MEMBERS MAY CALL, WHEN.] When by reason of the death, absence, or other legal disability of the officers of anya corporation there is no person authorized to call or preside at a legal meeting thereofof the corporation, anythree or more of its stockholders or members may call a meeting by giving to all the others the notice prescribed in subdivision 1 and designating therein. The notice must designate some person to preside at suchthe meeting until a chairman and clerk are chosen, and who shallwill act during the absence of those authorized to act in one or both of those capacities , respectively. Any business may be done at suchthe meeting which could be lawfully transacted at a regular meeting. 300.53 [IRREGULAR MEETINGS, HOW VALIDATED.] When all the stockholders or members of a corporation are present or duly represented at anya meeting, however called or notified, and duly execute a written assent theretoto the meeting on the records thereofof the corporation, the business transacted at suchthe meeting shall beis as valid as if it had been legally called. 300.54 [CAPITAL STOCK; HOW CLASSIFIED AND ISSUED.] SaveExcept as otherwise specially limited or provided, no corporation shallmay issue anya share of stock for a less amount to be actually paid in than the par value of those first issued. AnyA railroad or exclusively manufacturing corporation may issue and dispose of such an amount ofas much special preferred, or full-paid stock as may be deemed advisable byits board of directors considers advisable. AnyA corporation, whose original or amended certificate of incorporation soprovides, may issue and dispose of special and preferred and common stock, or special or preferred and common stock ; and any. A corporation, without change of its certificate of incorporation, when its board of directors is so authorized by a majority vote of its stockholders at its annual meeting, or at a meeting called for that specifically stated purpose,may issue its capital stock, part special, part preferred, and part common, or part common and part either special or preferred, when its board of directors is so authorized by a majority vote of its stockholders at its annual meeting or at a meeting called for that specifically stated purpose, and may give suchpreference as it deems bestto suchthe special or preferred stock, or to suchthe special and preferred stock. 300.55 [STOCK CERTIFICATES, TO WHOM ISSUED.] Upon paymentWhen a person pays in full ofall amounts due anya corporation from any personupon anya certificate of its stock, and the surrender ofsurrenders all receipts, if any, issued thereforfor it, he shallor she must be furnished with a certificate, under the corporate seal, stating the number of shares and class of its stock owned by himthat person, signed by its president or vice-president, and by its secretary, or by suchthe officers asthe certificate of incorporation or bylaws may provide, butprovides. When a certificate is signed by a transfer agent or registrar, the signature of any sucha corporate officer and the corporate seal upon suchthe certificate may be engraved or printed facsimiles , engraved, or printed. The certificate shall beis prima facie evidence of suchownership of the stock. 300.57 [ EXECUTORS, ADMINISTRATORSPERSONAL REPRESENTATIVES , GUARDIANS, TRUSTEES MAY VOTE.] Every executor, administratorA personal representative, guardian, or trustee shallmust represent the shares of stock in his or her hands, for all purposes, at all meetings of the corporation ; and,. While acting in good faith, shallthis person is not bepersonally liable, but the estates and funds in his or her hands shall beare liable in like mannerin the same way and to the same extent as the beneficiary or other represented party or interest would be if competent to act and holding the stock in their own names, respectively. 300.58 [DISSOLUTION OF CORPORATIONS; EXCEPTIONS.] When any corporation, except a bank of discount and deposit, or a savings bank, or a nonprofit corporation subject to the Minnesota Nonprofit Corporation Act or any part thereof, has determined, upon the affirmative vote of a majority of each class of its stock entitled to vote, or of its members, if without capital stock, that it is for the interest of all persons concerned therein that it be dissolved, it may cause appropriate action to be taken to effect such dissolutionA corporation may cause appropriate action to be taken to dissolve the corporation when it determines that it is for the best interests of all concerned that it be dissolved. This determination must be made by the affirmative vote of a majority of each class of its stock entitled to vote, or of its members, if it is without capital stock. This section does not apply to banks of discount or deposit, savings banks, or nonprofit corporations subject to the Minnesota Nonprofit Corporation Act. 300.59 [CONTINUANCE TO CLOSE AFFAIRS; EXCEPTIONS.] Except for a corporation subject to the Minnesota Nonprofit Corporation Act or any part thereof, everya corporation whose existence terminates by limitation, forfeiture, or otherwise shall continuecontinues for three years thereafterafter the termination date for the sole purpose of prosecuting and defending actions, closing its affairs, disposing of its property, and dividing its capital , but for no other purpose. 300.60 [ DIVERSION OF CORPORATE PROPERTY A FELONYCRIMINAL PENALTIES.] Subdivision 1. [ACTS PROSCRIBED.] The following acts are felonies: (1) the diversion of corporate property to other objects than those specified in the recorded and published certificate, where injury to anyan individual results therefrom,; (2) the declaring of dividends when the profits are insufficient to pay the samethem or when the funds remaining will not meet the corporate liabilities ,; or any(3) an intentional deception of the public or individuals in relation to its means or liabilities , are felonies, and every. Subd. 2. [PUNISHMENT.] A person guilty of any one of theman act specified in subdivision 1 shall be punished by a fine of not more than $5,000 or by imprisonment in the Minnesota correctional facility-Stillwaterfor not more than three years, or by both. 300.61 [FALSE STATEMENT A FELONY.] EveryAn officer, agent, or employee of anya corporation who shallknowingly and wilfully subscribesubscribes or make anymakes a false statement, false report, or false entry in or upon any ofthe corporation's books, papers, or other documents thereof, or in the corporation's behalf thereof, or knowingly and wilfully subscribesubscribes or exhibit anyexhibits a false paper, book, or document with intent to deceive anya person or officer authorized to examine the financial condition of any suchthe corporation, or knowingly and wilfully subscribesubscribes or make anymakes a false report, shall beis guilty of a felony and shall be punished by imprisonment in the Minnesota correctional facility-Stillwaterfor not less than one year, nor more than ten years. 300.62 [EXISTING CORPORATION, HOW TO REORGANIZE.] AnyThe president and secretary of an existing corporation whose certificate or charter does not conform to the requirements of this chapter may cause to be executed by its president and secretaryexecute a new or amended certificate in compliance herewith and,with this chapter. The corporation, upon proceeding in all respects as isprescribed in the case of an original certificate of a corporation of the same kind, shall becomeis entitled to all rights, benefits, and privileges conferred, and is subject to all the requirements imposed, upon like corporations by the provisions of this chapter, saveexcept that its rights in respect to property acquired or investments made prior to the taking effect of Revised Laws 1905 shall beMarch 1, 1906, are determined and governed by the laws in force at the date of suchthe acquisition and investment, respectively. 300.63 [ATTORNEY GENERAL TO EXAMINE.] When required by the governor, the attorney general shallmust examine intothe affairs and condition of anya corporation and report such examinationin writing, together with a detailed statement of the facts found, to the governor , who shall lay. The governor must submit the same beforereport to the legislature ; and. The legislature, or either branch thereofof its branches, may examine intothe affairs and condition of any suchthe corporation. The attorney general, or either branch of the legislature through a committee appointed by it for that purpose, may administer oaths to and examine the directors and officers of anya corporation on oath in relation to its affairs and condition, may examine the vaults, books, papers, and documents belonging theretoto it or pertaining to its affairs and condition, and compel the production of all keys, books, papers, and documents. 300.64 [ WITHDRAWAL OF CAPITAL;LIABILITY OF STOCKHOLDERS ; PAYMENT OF DIVIDEND WHEN INSOLVENT, ASSENTINGAND DIRECTORS LIABLE.] Subdivision 1. [WITHDRAWAL OF CAPITAL AND REFUND TO STOCKHOLDERS.] If the capital stock of a manufacturing corporation is withdrawn and refunded to the stockholders before the payment of corporate debts for which it would have been liable, the stockholders shall beare liable to anya creditor, to the amount of the sum sorefunded to each of them, respectively ; but,. If, in anyan action under this statute, anya stockholder shall beis compelled to pay any sucha debt, he or she may call upon every stockholder to whom any part of suchthe stock has been refunded to contribute his or her proportionate share of the sum so paid by himthe stockholder. Subd. 2. [PAYMENT OF DIVIDEND BY DIRECTOR WHEN CORPORATION IS INSOLVENT.] If the directors shallpay a dividend when suchthe corporation is insolvent, knowing suchthat the corporation to beis insolvent, or that suchthe dividend would render it so, or when its payment would render it insolvent, those assenting thereto shall beto the payment are jointly and severally liable in an action on the statute for all debts due from suchthe corporation at the time of suchthe dividend. Subd. 3. [LIABILITY OF OFFICERS AND DIRECTORS FOR CORPORATE DEBT.] Every officer who shallintentionally neglectneglects or refuserefuses to perform anya duty imposed upon him or her by law shall beis liable for all corporate debts contracted during the period of suchthe neglect ; and,. If the corporation shall violate anyviolates a provision of law whereby it becomes insolvent, the directors ordering or assenting to suchthe violation shall beare liable in an action under the statute for all debts contracted after suchthe violation. 300.65 [ MEETINGS OFMINING CORPORATIONS , WHERE HELD; MEETINGS; MAY HOLDSTOCK IN OTHER COMPANIES PERMITTED; FRAUDULENT ISSUE OF STOCK A FELONYPENALTIES.] The directors, managing officers, or stockholders of a mining corporation may meet and transact business withoutoutside the state, and may establish offices elsewhere; but an office shallwhere legal process may be served must always be maintained within the state where legal process may be served. Every suchThe corporation may acquire and hold stock in any otheranother corporation, if a majority in amount of the stockholders agree theretoto the acquisition. Every officer of suchthe corporation or other person who shallfraudulently issueissues, or causecauses to be issued, any stock, scrip, or evidence of corporate debt, or who shall sellsells, offeroffers for sale, hypothecatepledges as security, or otherwise disposedisposes of any suchstock, scrip, or evidence of debt, knowing the sameit to be fraudulently issued, shall beis guilty of a felony. 300.66 [CONTRIBUTIONS BY CORPORATIONS.] Subdivision 1. [AUTHORITY.] AnyA corporation heretofore or hereafterorganized under the laws of this state or anya corporation authorized to do business in this state may contribute to or for the uses enumerated in the followingsubdivisions of this section such2 to 4, the sums asits board of directors or trustees may deemconsiders proper. Subd. 2. [GOVERNMENTAL UNITS.] ItThe corporation may contribute to the United States, anya state, territory or anypolitical subdivision thereofof it or the District of Columbia, or anya possession of the United States, for exclusively public purposes. Subd. 3. [CHARITABLE ORGANIZATIONS.] ItThe corporation may contribute to anya community chest, corporation, organization, trust, fund, association or foundation, organized and operating for religious, charitable, philanthropic, benevolent, scientific, veteran rehabilitation service, literary, artistic, educational, civic or patriotic purposes or for the prevention of cruelty to children or animals. Subd. 4. [VETERAN'S ORGANIZATIONS AND LODGES.] ItThe corporation may contribute to a fraternal society, order or association, operating under the lodge system if suchthe contributions or gifts are to be used for the purposes specified in subdivision 3, or posts or organizations of war veterans or anyan auxiliary unit or society of suchthe posts or organizations if no part of their net income inures to the benefit of anya private shareholder or individual. 300.67 [DECLARATION OF POLICIES.] It is herebydeclared to be the public policy of the state of Minnesota that anycontributions made in accordance with the provisions of section 300.66 shallconstitute a valid and proper use of corporate funds, and in the absence of an express provision in its charter to the contrary, the making of suchcontributions or gifts by anya corporation is within its powers and inures to the benefit of suchthe corporation. 300.68 [ NOT TO INVALIDATEVALIDATION OF PRIOR GIFTS.] Sections 300.66 and 300.67 shalldo not be construed as invalidating any suchinvalidate contributions or gifts heretoforemade before March 22, 1949 by any sucha corporation , and. All suchcontributions or gifts made by suchcorporations prior to the enactment hereof shall bethat date are as valid as if made after the effectivethat date hereof. ARTICLE 6 Section 1. [EFFECT OF CHANGES] The legislature intends the changes in the language of the laws amended by this act to be exclusively changes in style. No change is intended to alter or shall be construed by a court or other authority to alter the meaning of a law. If a section is amended by this act and also by another act adopted during the 1984 session and the amendments cannot be edited together in the next edition of Minnesota Statutes, the amendment by this act shall be without effect. Approved May 2, 1984
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