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March 26, 2004 Issue of Senate e-Briefly

Highlights

Constitutional amendment for natural resources advanced

A bill proposing a constitutional amendment to dedicate one-fourth of one percent of the sales tax collected each year for natural resources purposes was heard at the Thurs., Mar. 25, meeting of the Environment, Agriculture and Economic Development Budget Division. S.F. 401, carried by Division Chair Dallas Sams (DFL-Staples), creates a heritage enhancement fund, a parks and trails fund and a clean water fund. In addition, the measure establishes a Heritage Enhancement Council and a Clean Waters Council.

Under the measure, 40 percent of the funds would be directed to the heritage enhancement fund for improvement, enhancement and protection of the state's fish, wildlife and habitat, 30 percent of the funds would be directed to the parks and trails fund for parks, trails and zoos, and 30 percent would be directed to the clean water fund for protection and restoration of lakes, rivers, streams, wetlands and groundwater. The measure was advanced to the full Finance Committee.

In other action, the division heard three additional bills. S.F. 1942, also carried by Sams, extends the interest-free status of methane digester loans and expands the purposes for the loans. S.F. 2275, authored by Sen. Scott Dibble (DFL-Mpls.), appropriates $194,000 for grants to the Minneapolis Employment Center for people who are deaf and hard-of hearing. S.F. 2289, sponsored by Sen. Julie Rosen (R-Fairmont), authorizes the commissioner of employment and economic development to transfer $1.325 million from the centers for independent living program to the vocational rehabilitation program to match federal vocational rehabilitation funds. All three measures were laid over for inclusion in the division's omnibus bill.

Death penalty denied

A proposal to put the return of the death penalty before Minnesota voters this fall was defeated, Wed., Mar. 24. Members of the Crime Prevention and Public Safety Committee, chaired by Sen. Leo Foley (DFL-Coon Rapids), defeated the bill on a 2-8 roll call vote.

S.F. 1860 is not a simple bill, said Sen. Mady Reiter (R-Shoreview), its chief author. Reiter said she was spurred to introduce the bill last year after two sets of murders committed by Jonathan Carpenter and Christopher Earl. "There are people among us who are morally bankrupt," Reiter said. They know right from wrong, she said, but they commit heinous crimes nonetheless. This bill is not about revenge, but about justice for victims and their families, Reiter said. She said interviews conducted with prisoners indicate that the death penalty does have a deterrent effect. Most inmates will openly say they don't want to live in a state with the death penalty, she said. Reiter said Minnesotans often exceed expectations and bend over backwards to make sure the state does the right things. She said the measure is fair, not targeted at any specific racial or social group, and will be applied fairly.

If voters approve the constitutional amendment, the bill immediately starts the ball rolling to implement the death penalty. S.F. 1860 creates a Capital Punishment Policy Commission and requires it to develop a best practices capital punishment model policy and death penalty prosecutorial charge guidelines. The bill addresses prosecutorial notice, which offenders or offenses are death penalty eligible, how the decision to sentence an offender to death occurs, alternatives to the death penalty, appellate judicial review of death sentences, commutation of death penalty sentences and state responsibility for the fiscal costs related to the death penalty.

Sue Ann Bleess said murderers act like God when they make choices for their victims. Bleess, whose friends were killed by Carpenter and Earl, said that if individuals can legally defend themselves with lethal force, juries of 12 people should be allowed to exact the ultimate justice. "If you choose to take a life, shouldn't you know that your life might also be taken in the end?" asked Amanda Lenore. Pequot Lakes Police Chief Mark Forsberg said he moved from the Metro Area to work on a small town police force. Times have changed rapidly, he said, and bad things really do happen in small communities. The death penalty is a tool to be used in the right circumstances, Forsberg said.

Representatives of religious groups spoke against the bill. "We should confront crime without vengeance," said Archbishop Harry Flynn, Minnesota Catholic Conference. There are alternative solutions that do not require taking another human life, he said. States with the death penalty have higher homicide rates than non-capital punishment states, Flynn said. The fact that 113 innocent people have been released since 1973 begs the question of how many innocent people are still sitting on death row or have been executed. Bishop Peter Rogness, Evangelical Lutheran Church of America, Rabbi Aaron Brusso, Adath Jeshurun Congregation, and Rev. David Everett of the Minnesota Baptist Convention also raised religious, social justice and public policy concerns about the death penalty.

Family members of some victims said the death penalty does not provide closure. Don Streufert, whose daughter was murdered, said there is no sweetness in revenge. The death penalty is a response to fear, he said. James Lym, who also lost a child to murder, said restorative justice changes criminals' lives for the better.

Sarah Griffith, whose cousin was executed for rape and murder in Missouri, said executions affect the families of the criminals. "My cousin Paul is dead and part of me is dead, too." The first person in the United States freed from death row because of DNA testing, Kirk Bloodsworth, said wrongly subjecting innocent people to death row creates two victims. Prosecutors and public defenders also spoke against the bill, raising concerns about the costs of trying a death penalty case, especially on an already stretched judicial system.

DNA is an important part of our criminal law and a strong safeguard against wrongful convictions, said Sen. Dave Kleis (R-St. Cloud). The question should be put to the voters, he said. Kleis said that opponents of the death penalty who discuss the details of executions or the injuries caused to innocent death row inmates forget to talk about the victims.

However, Sen. David Knutson (R-Burnsville) said the state can be tough on crime without imposing the death penalty. "The thing that I cannot justify in my mind, in the state that I live in, or in the society that I want to raise my kids in is the intentional taking of a life as punishment," Knutson said.

Motion to withdraw bill fails

An attempt to accelerate the legislative process for a bill proposing a constitutional amendment defining marriage failed as Senators met in session, Mon., Mar. 22.

Sen. Michele Bachmann (R-Stillwater) moved to withdraw the bill, S.F. 2715, from the Judiciary Committee and place it on the Senate's General Orders. Bachmann said the bill is scheduled to be heard by the committee Fri., Mar. 26. Over the weekend, Bachmann said, she heard from reporters that the bill has already been targeted for certain defeat. The public has deep concerns about this measure, she said, and the Senate needs to take it up. Bachmann noted that the day of the hearing is the last day it can be heard, under committee deadlines. Also, under Rule 5.1, after the committee deadline has passed, a motion to remove the bill from committee requires 41 votes, instead of 34 votes. Bachmann noted the importance of another date. She said May 17 is both the deadline, placed by the Massachusetts Supreme Judicial Court, for the legalization of same-sex marriage in Massachusetts and the constitutional deadline for the adjournment of the Minnesota Legislature. Because marriage is a fundamental issue for our society, she said, it is imperative that we take this measure up.

This bill was expected to be introduced early in the session, said Sen. Don Betzold (DFL-Fridley), chair of the Judiciary Committee. A letter went out to all members asking that bills needing to be heard first in the Judiciary Committee be introduced in the first month of the session, he said, in an effort to manage time effectively. Anticipating a bill on this issue, Betzold said, he tried to arrange the committee's schedule to accommodate an early hearing. "We cannot schedule a bill that has not been introduced," he said. The bill was introduced in the other body on March 4 and S.F. 2715 was introduced a week later, he said. By that point, Betzold said, the committee had a full agenda of other bills scheduled. People want to be heard on the bill, he said, and a committee hearing is the place for that. Betzold said he has assured both sides of equal time, without interruption from committee members.

Members then approved, on a 35-31 roll call vote, a motion, made by Betzold, to close debate. The Bachmann motion was defeated, 31-35. Later in the session, Bachmann said the delay in introducing the bill was required to respond appropriately to activity in Massachusetts, California and other states. "We weren't dragging our heels," she said. Betzold replied that amendments have been accepted in the other body and would have been appropriate in the Senate as the national situation progressed.

In other action, several bills were granted final passage on the Consent Calendar.

S.F. 1653, carried by Sen. Yvonne Prettner Solon (DFL-Duluth), clarifies plat and survey approval requirements and the process for preserving section and quarter-section markers. S.F. 2386, authored by Sen. Scott Dibble (DFL-Mpls.), provides a bidding exception for certain federally subsidized transit facilities. Sen. Charles "Chuck" Wiger (DFL-North St. Paul) carried S.F. 2647, which authorizes the city of St. Paul to participate in the creation of, and to contract with, a nonprofit organization for management and operation of the RiverCentre complex. S.F. 1928, sponsored by Sen. Steve Dille (R-Dassel), changes the board membership of the Minnesota Comprehensive Health Association and requires the association to post notice of the reasons for a change in writing carriers.

Sen. Leo Foley (DFL-Coon Rapids) carried a bill, S.F. 2357, defining collateral sanctions and requiring the creation of a chapter in Minnesota Statutes containing cross-references to collateral sanctions located throughout the statute books. S.F. 1671, sponsored by Sen. Mee Moua (DFL-St. Paul), places the term "assisted living facility" into statute as a formal means of referring to registered housing-with-services establishments. Sen. Geoff Michel (R-Edina) carried a bill, S.F. 2300, adjusting the boundary betweens districts 41A and 41B. H.F. 307, carried by Sen. David Hann (R-Eden Prairie), provides an exemption for noncommercial signs from ordinances that limit the number of noncommercial signs. Sen. Linda Berglin (DFL-Mpls.) sponsored S.F. 1604, which requires the commissioner of human services to provide rate notices within 60 days after receiving the information needed to compute the rate adjustment. Sen. David Tomassoni (DFL-Chisholm) carried two measures. S.F. 1958 authorizes townships to make payments by electronic or wire transfer and accept payment by credit card. S.F. 2772 permits the city of Hoyt Lakes to extend its zoning and subdivision regulations within part of the town of White subject to the town's consent.

Additionally, Senators granted concurrence and repassage, 65-0, to S.F. 1626. Carried by Wiger, the bill modifies provisions relating to storm and sanitary sewer authorizations.

Outsourcing bill considered

Members of the Senate met in floor session Thurs., Mar. 25, and continued the debate on the bill, S.F. 1792, to prohibit outsourcing of state agency contracts. Sen. Thomas Bakk (DFL-Cook) offered an amendment adding more conditions under which an agency may award contracts to companies that outsource the work. Under the amendment, a waiver may be granted to a contractor that demonstrates the employees will be paid total compensation, including benefits, at least equal to 110 percent of the federal poverty guideline for a family of four. In addition, the amendment requires the employer to pay retirement benefits that include an employer contribution and to conduct a comprehensive security assessment if the contractor retains personally identifiable information on Minnesota residents. Finally, the amendment requires the commissioner to publish notice of the waiver and the contract in the State Register and requires the commissioner to develop and implement policies, procedures or standards that address the consideration of the use of workers in the state to perform services under state contracts in making best value determinations. Bakk said the amendment simply requires the same standards that are used when Minnesota companies request assistance from the state.

Sen. Satveer Chaudhary (DFL-Fridley) spoke in support of the amendment. "We can do a lot better in creating jobs in Minnesota than engaging in protectionism," Chaudhary said. He said, "The best way to create jobs is to use a Minnesota preference, but the amendment goes further in achieving the goal of job creation than the original bill."

However, Sen. Warren Limmer (R-Maple Grove) opposed the amendment. "I think the amendment invalidates just about every employer in the third world because of the lack of retirement and health care infrastructure. We could be providing a meaningful job or service to those who live in third world countries without the amendment."

Bakk countered that the amendment is simply outlining a minimum standard if Minnesota tax dollars are going to be used to purchase goods and services. "It is the same standard we hold Minnesota employers to when they ask for assistance," he said.

The amendment was adopted on a 45-19 roll call vote.

Sen. Dick Day (R-Owatonna) offered an amendment to prohibit the Iron Range Resources and Rehabilitation Board from having contracts with foreign entities. Bakk said the IRRRB has a $31,000 contract with a firm in Germany to study steel making technology--technology that is not available in this country. The amendment failed on a 29-35 roll call vote.

The bill was then granted final passage on a vote of 42-19. A few moments later, Sen. Pat Pariseau (R-Farmington) requested a member to ask for reconsideration of the bill because her vote did not register. The vote was retaken and the bill passed on a 44-19 roll call vote.

In other action, members granted final passage to a bill, H.F. 2878, designating Oct. 16 as Dr. Norman Borlaug World Food Prize Day. Chief Author Ellen Anderson (DFL-St. Paul) said it was important to pass the bill because it was Borlaug's 90th birthday. Anderson said Borlaug has been internationally recognized for his work in agriculture and that it has been said he is responsible for saving more lives than any other person in history. Anderson said he was awarded the Nobel Peace Prize in 1970 and is still working to improve agricultural production and prevent hunger throughout the world. The bill was granted final passage on a unanimous 64-0 roll call vote.

S.F. 40, a bill providing for the recovery of damages resulting from graffiti, was taken from the table. Sen. Linda Berglin (DFL-Mpls.), chief author of the bill, moved the Senate concur with House amendments and grant the bill final passage. Berglin said the other body repealed a provision increasing the limit for parental liability for damages caused by a minor. The Senate passed the bill on a 63-0 roll call vote.

Sen. Dave Kleis (R-St. Cloud) moved to withdraw S.F. 1565, the initiative and referendum bill, from the Elections Committee and place the measure on General Orders. He said the citizens of Minnesota should have a voice on issues the Legislature fails to act upon. Sen. Linda Higgins (DFL-Mpls.) urged members to defeat the motion. "The bill had lots of discussion in committee and failed to be approved," she said. The motion failed 25-28.

Two measures on the Consent Calendar were given final passage. S.F. 2626, sponsored by Sen. Sharon Marko (DFL-Cottage Grove), extends the Veterans Homes Board's leasing authority in Hastings. H.F. 2105, carried by Sen. Tom Saxhaug (DFL-Grand Rapids), provides for the name of the office of the commission of Iron Range Resources and Rehabilitation Board.

The Senate recessed for several hours in order for the Rules and Administration Subcommittee on Bill Referral and full Rules and Administration Committee to meet to decide the referral of two bills. S.F. 3003, sponsored by Sen. Don Betzold (DFL-Fridley), proposes a constitutional amendment restricting the power of the judicial branch to define marriage or its equivalent. The measure was referred to the Judiciary Committee. S.F. 2077, carried by Sen. Steve Kelley (DFL-Hopkins), sets forth a stem cell research policy. The measure was directed to the Finance Committee. A third bill, pulled into the committee because it was thought measure had no companion, was directed to the floor. The measure, S.F. 2819, was sponsored by Sen. Mee Moua (DFL-St. Paul).

 

Committee update

Agriculture, Veterans and Gaming

Appointments approved

The Agriculture, Veterans and Gaming Committee met Mon., Mar. 22, to consider several gubernatorial appointments. The committee, chaired by Sen. Jim Vickerman (DFL-Tracy), approved the appointment of Gene Hugoson as commissioner of the Dept. of Agriculture. Hugoson was first appointed by Gov. Arne Carlson in 1995 and was reappointed by both Gov. Jesse Ventura and Gov. Time Pawlenty. He spoke for some time on the current activities of the department and plans for the future.

Members also approved the appointments of Mahesh Kumar and John P. Whitten to the Board of Animal Health. The appointments of Lisa Heggedahl and Julian Sjostrom to the Minnesota Rural Finance Agency were also approved. All the appointments now go to the full Senate for confirmation.

Commerce

Homeowners Protection Act gains

Members of the Commerce Committee approved a consumer protection bill when the panel met Mon., Mar. 22. The measure, which specifically provides protections for homeowners, was advanced to the State and Local Government Operations Committee.

S.F. 2248, carried by Committee Chair Linda Scheid (DFL-Brooklyn Park), provides for continuing education programs for building inspectors, requires the commissioner of commerce to adopt standards for continuing education for building contractors and requires that a homeowner who successfully sues a builder of a new home or a remodeler under the statutory homeowner's warranty be awarded attorney fees and expenses.

Several homeowners shared their experiences and difficulties in dealing with mold in their homes. Dorothy Morris of Woodbury said current law provides many loopholes for owners to fall through and makes it difficult to achieve resolution. Everyone blames everyone else, from builders to window installers to stucco manufacturers, she said.

Sen. William Belanger (R-Bloomington) said the bill does not fix the fundamental problem with the building. Houses need to be allowed to breathe again, he said. Scheid acknowledged the building code needs revision, but said the measure represents a first step to addressing the issue.

Members adopted an amendment, offered by Scheid, providing for a homeowner's guide developed by the commissioner of commerce. The guide must include information on moisture problems in homes, homeowner warranties, required disclosures regarding the history and condition of property, pre-purchase inspections and other sources of information for homeowners. Under the amendment, the guide must also include space for owners to record important home information and the commissioner must encourage homeowners to transfer possession of the guide along with the home.

Sen. Lawrence Pogemiller (DFL-Mpls.) offered two amendments. One provides a property tax credit for homeowners whose homes have suffered mold damage. The other amendment provides for written, binding estimates to be made to homeowners by contractors. Both amendments were adopted.

In other action, the panel approved three additional bills. S.F. 2453, carried by Sen. Becky Lourey (DFL-Kerrick), updates provisions relating to weights and measures regulations. The bill was recommended for placement on the Consent Calendar. S.F. 2379, authored by Scheid, puts existing rules relating to real estate brokers and salespersons into statute. The bill was re-referred to the Judiciary Committee. Another Scheid bill, S.F. 2607, establishes a Division of Insurance Fraud Prevention in the Department of Commerce and provides funding for the new unit. Under the bill, insurers must pay a fee-ranging from $400 to $4,000-based on total assets and total written Minnesota premium. The measure was advanced to the State and Local Government Operations Committee.

Omnibus bills gain

The omnibus liquor bill and the omnibus insurance bill were both approved and advanced to the Senate floor at the Wed., Mar. 24, meeting of the Commerce Committee. The panel, chaired by Sen. Linda Scheid (DFL-Brooklyn Park), heard several additional bills at the last hearing of the session.

S.F. 2696, sponsored by Sen. Sandra Pappas (DFL-St. Paul), makes numerous changes in the state's liquor laws. Members adopted several amendments to reflect discussions that had taken place since the bill had been approved in subcommittee. The bill establishes parity between brewpubs and micro-brewers by raising the production limit for micro-breweries from 2,000 to 3,500 barrels per year and increasing the license fee to $500. Members adopted an amendment to allow a micro-brewer to obtain an off-sale license to sell 64-ounce containers know as growlers. The committee also adopted an amendment providing that brewers who manufacture more than 3,500 barrels of malt liquor a year pay a $2,500 license fee. Pappas said the amendment is revenue neutral. In addition, members adopted an amendment allowing strong beer made in Minnesota to be sold at the Minnesota State Fair. The bill allows Minnesota wine to be sold at the State Fair and the amendment adds strong beer. Currently, only 3.2 beer is sold at the fair. A final amendment, authorizing a municipality to issue a brewer who manufactures fewer than 3,500 barrels of malt liquor in a year a temporary license for the on-sale of intoxicating liquor in connection with a social event within the municipality sponsored by the brewer.

The omnibus insurance bill, S.F. 2884, sponsored by Sen. Dan Sparks (DFL-Austin), was also amended several times before gaining approval. Sparks said originally the bill was primarily a technical department bill, but that he was offering amendments that contained some policy matters. The first amendment, which the committee adopted, made a number of housekeeping changes in the provisions relating to insurance.

The second amendment contained provisions adopted in the other body. A number of people spoke to the changes, outlining the various provisions. One provision specifies that if the termination of an agency contract is the ground for nonrenewal of a policy of homeowner's insurance, the company must provide notice to the policyholder that the policy is not being renewed due to the termination of the company's contract with the agency. Another provision, which sparked considerable discussion, allows an HMO to move the assessment for Minnesota Comprehensive Health Association from administrative costs to medical costs for loss ratio calculation purposes. One provision provides that a policyholder cannot be penalized because of an inquiry about a hypothetical claim or a potential claim. Another provision sets forth procedures for the self-insurer's security fund to pay workers compensation claims from a company that has gone out of business. Finally, the amendment contains a provision providing for a Medicare Supplement Working Group. The panel adopted the amendment. A third amendment outlines procedures for notifying insureds or claimants for claims made under a policy of accident and sickness insurance and for claims submitted under a health plan. The amendment was also adopted. An amendment specifying that benefits for individuals age 19 up to the limiting age for coverage of the dependent are limited to inpatient or outpatient expenses arising from medical and dental treatment that was scheduled or initiated prior to the dependent turning age 19, was also adopted. Finally, members adopted an amendment, offered by Sen. Brian LeClair (R-Woodbury), allowing companies to offer both a high deductible health plan and a medical savings plan. The bill was then advanced to the Senate floor.

In other action, the committee approved an additional four bills. S.F. 2587, carried by Sparks, establishes risk-based capital requirements for health organizations, establishes the minimum standard of valuation for health insurances and enacts model regulations of the National Association of Insurance Commissioners. S.F. 1944, also sponsored by Sparks, authorizes the Joint Underwriting Association to issue medical malpractice insurance policies to long-term providers who are members of an activated class with limits not to exceed $2 million for each claimant and $4 million for all claimants in a year provided the association find the applicant needs the higher limits. S.F. 2078, authored by Sen. Dallas Sams (DFL-Staples), permits service cooperatives to provide group health coverage to private employers. All of the bills were advanced to the Senate floor.

Members also reconsidered a bill, S.F. 1408, authored by Sen. Geoff Michel (R-Edina), that had failed in a previous hearing. Michel offered an amendment specifying that all arbitration awards must be itemized and that a partial award of medical benefits rendered by an arbitrator and paid by an obligor will be considered full and final payment. The amendment also requires the itemization of medical services claims to include the names and addresses of all health care providers whose charges are the subject of the claims. The amendment was adopted and the bill advanced to the full Senate.

Crime Prevention and Public Safety

False reporting bill discussed

A bill, S.F. 1726, making it a crime to falsely report police misconduct was debated extensively at the Mon., Mar. 22, meeting of the Crime Prevention and Public Safety Committee. The bill, sponsored by Sen. Mike McGinn (R-Eagan), also provides that informing a law enforcement officer that a crime has been committed or otherwise providing false information to an officer, while knowing that it is false, is a crime. McGinn said, "In the operation of a police department, nothing is more important than the trust of the public and a key element of that trust is integrity. A false claim against an officer can severely damage the public's relationship with the department." McGinn also said charges are aggressively investigated, often at great cost, particularly to public confidence. William Gillespie, Minnesota Police and Peace Officer Association, said false reporting against an officer causes confusion and a loss of time and resources. Deputy Chief Steve Johnston, Rochester Police, said a false charge of misconduct deeply impacts officers and there needs to be some avenue of redress.

Speaking in opposition to the bill, Jill Clark, a civil rights attorney, said to be fair, the bill should contain remedies for a false misconduct charge against a citizen, because the repercussions are the same for a falsely accused citizen. Clark said the bill infringes on several constitutional rights and that a disproportionate number of claims involve members of minorities. Michelle Gross, Communities United Against Police Brutality, said the bill would have a chilling effect on complaints against police. She said that complaints against police already have a history of not being upheld and that the bill would make it even more difficult.

The bill was laid over for further discussion.

Members also discussed, but took no action on, a bill making changes to the CriMNet law. S.F. 2727, sponsored by Committee Chair Leo Foley (DFL-Coon Rapids), makes a number of technical changes to provisions relating to CriMNet. Foley offered, and the panel adopted, an amendment making changes in the composition of the CriMNet Policy Board. The amendment specifies that two members, representing and appointed by the Criminal and Juvenile Justice Task Force, be appointed to the board and that the commissioner of finance and one member appointed by the Supreme Court be removed. Sen. Jane Ranum (DFL-Mpls.) said the amendment was more substantive than a technical amendment and asked that the bill be laid on the table.

In other action, the committee advanced several additional bills. S.F. 2640, sponsored by Foley, establishes an expedited process for the nonconsensual collection of a blood sample from an inmate when a corrections employee is significantly exposed to the potential transfer of a bloodborne pathogen. The measure was approved and sent to the Senate floor. S.F. 2790, carried by Foley, authorizes the Dept. of Corrections Fugitive Apprehension Unit to share in asset forfeitures under the forfeiture law. The bill was approved and sent to the Senate floor.

H.F. 1721, also carried by Foley, authorizes a county board to require that each person who is booked at a county or regional jail pay a fee of up to $10 to the sheriff's department of the county. Current law specifies that the booking fee is charged to those persons who are confined in the county or regional jail. The bill was approved and sent to the full Senate. S.F. 1943, sponsored by Sen. James Metzen (DFL-South St. Paul), sets criminal penalties for the unauthorized use of audiovisual recording devices in motion picture theaters. The bill was approved and re-referred to the Judiciary Committee.

The committee recommended four bills for placement on the Consent Calendar. S.F. 1614, sponsored by Sen. Charles "Chuck" Wiger (DFL-North St. Paul), requires restitution for harm caused to a service animal by a dog. The measure also provides for criminal penalties and clarifies civil liability. S.F. 2387, authored by Sen. Mee Moua (DFL-St. Paul), treats probation officers the same as correction officers for purposes of felony fourth degree assault. The measure provides for a gross misdemeanor penalty and a fine of up to $3,000 if the assault inflicts demonstrable bodily harm or if the person intentionally throws or otherwise transfers bodily fluids or feces at or onto a peace officer. The measure provides for a felony penalty and a fine of up to $4,000 if the assault inflicts demonstrable bodily harm or if the person intentionally throws or otherwise transfers bodily fluids or feces at or onto a probation officer or other qualified person employed in supervising offenders. S.F. 2347, sponsored by Sen. Wesley Skoglund (DFL-Mpls), provides procedures for retaking and reincarceration of parolees and probationers under the Interstate Compact of Adult Offender Supervision and delays the repeal of the old compact until 2006. S.F. 2499, also carried by Skoglund, authorizes a five-level correctional facility classification system.

Early Childhood Policy and Budget Division

Constitutional amendment okayed

An amendment to the Minnesota Constitution expanding the state's mandate to educate Minnesotans gained the approval of members of the Early Childhood Policy and Budget Division, Tues., Mar. 23.

S.F. 2033, sponsored by Sen. John Hottinger (DFL-St. Peter), places a question on the 2004 general election ballot asking voters to approve a requirement for the state to provide for early childhood education. The amendment to the constitution, in the bill, requires the state to provide for the education of children through age five, in addition to the existing mandate to establish a general and uniform system of public schools. Hottinger, who also chairs the panel, said Legislators are facing a host of proposed constitutional amendments this year. The current mandate in the constitution gives education a special place in Minnesota, he said. Hottinger said we know the importance of early childhood education and development. This is the best investment we can make in our state, he said. The proposed amendment does not require a specific legislative approach to providing early childhood education, he said. Early childhood education, however, is often left at the starting gate when policymakers set priorities, Hottinger said, and a constitutional mandate for early childhood education provides a leg up.

Constitutional amendments should not be placed on the ballot because Legislators support the merits of the issue, because that is a question for the electorate, said Sen. Bob Kierlin (R-Winona). Rather, he said, two criteria must be met to put questions on the ballot: the proposal is a true constitutional question and there is significant interest in the issue among voters. S.F. 2033 passes the first test, he said, but the public interest threshold may not yet be met. Hottinger said it is difficult to evaluate how any question meets the second criterion, but he said early childhood education is represented in press coverage, institutional support and user satisfaction.

Dr. Karen Effrem, a pediatrician representing Ed Watch, said there are significant scientific and policy concerns with the research underlying the support for early childhood education. She highlighted research pointing to the negative impacts of working mothers and out-of-home care. Polls show that parents prefer changes to tax laws promoting stay-at-home parenthood, she said, and recent census figures show an increase in the numbers of stay-at-home mothers. Group education weakens family bonds, Effrem said, and dehumanizes children by treating them as human capital. Hottinger said the proposed amendment does not mandate any specific form of early childhood education. The Legislature has the flexibility to ensure early childhood education in numerous forms, he said.

S.F. 2033 was approved and advanced to the full Finance Committee.

Education

Alternative teacher training discussed

The Education Committee, chaired by Sen. Steve Kelley (DFL-Hopkins), met Tues., Mar. 23, to consider several bills for inclusion in the omnibus policy bill.

Members discussed a bill, S.F. 2109, providing an alternative teacher training program for qualified professionals. Sen. David Hann (R-Eden Prairie), chief author of the measure, said the bill is a way to attract mid-career individuals to the teaching field. In addition, Hann said, the measure is also a way to attract more minorities to the field.

The bill provides that the program may be offered in any instructional field and lays out the requirements for someone to participate in the program. Under the bill, the applicant must have a bachelor's degree from an accredited four-year postsecondary institution, have an undergraduate major or post baccalaureate degree in the subject to be taught, have a minimum of five years of professional employment in a subject area related to the subject area in which the applicant is seeking licensure and pass an examination of skills in reading, writing and mathematics.

Supporters argued the measure was one way to be more creative and get members of communities of color into the teaching field. Opponents said there are already alternative ways of obtaining a teaching license and that the quality of teaching might be compromised.

The measure was laid on the table for possible inclusion in the omnibus bill.

In other action, the committee re-referred one bill to the State and Local Government Operations Committee. S.F. 2202, sponsored by Sen. Jane Ranum (DFL-Mpls.), requires the commissioner of education to amend the rules governing the use of aversive and deprivation procedures to require that planned application of aversive and deprivation procedures only be instituted after completion of a functional behavior assessment and behavior intervention plan that is included in the individual education plan. The bill also requires school districts to report to the commissioner any use of emergency procedures and to register with the commissioner any room used for seclusion. The bill also specifies that a pupil may not be placed in seclusion except in an emergency in which no safe alternative intervention is available and then only as long as the emergency continues.

Ranum authored two additional bills. S.F. 2609, including a mental health community representative on a community transition team for youth with disabilities, was approved and recommended for placement on the Consent Calendar. S.F. 2605 requires a mental health screening when a student is suspended from school for more than 10 school days in a school year. The measure was laid over for inclusion in the omnibus bill.

The panel heard several additional bills and laid them over for possible inclusion in the omnibus policy bill. S.F. 708, sponsored by Sen. Steve Dille (R-Dassel), specifies that a school board that has declined to renew the coaching contract of a head varsity coach must give the coach timely notice. In addition, the bill provides that if the coach requests reasons for not renewing the contract, the board must give the coach its reasons within 10 days of receiving the request. S.F. 2221, sponsored by Sen. Sheila Kiscaden (IP-Rochester), modifies the swimming pool requirement for high school diving competitions. S.F. 2029, carried by Sen. Gen Olson (R-Minnetrista), provides for a value added assessment program to measure growth in student academic achievement. S.F. 2794, authored by Sen. Geoff Michel (R-Edina), allows Sobriety High to limit admission to chemically dependent students who have completed a licensed treatment program. Several members expressed concern about the idea of restricting access to a public charter school, but the committee decided to lay the bill over for further consideration.

Sports participation bill considered

Students participating in high school league sports could also participate in non-school sports during the season and throughout the year, under a bill heard by the Education Committee, Thurs., Mar. 25.

S.F. 2802 permits students to improve their athletic ability by having other opportunities to practice and compete, said Chief Author Linda Scheid (DFL-Brooklyn Park). Roxane Akradi, a senior at Eagan High School who has qualified for Olympic trials, said her high school swimming team only practiced six times a week. An outside club in which she participated, she said, practiced 11 times a week. To be more competitive and to have a chance at breaking records, Akradi said, extra practices and competition at a higher level are absolutely necessary. She said swimmers cannot practice alone, since pool time is at a premium. Scheid said parents are the best judges of students' limits. The state should not arbitrarily limit student accomplishment, she said.

David Stead, executive director of the Minnesota State High School League, said current rules permit students to get outside lessons during the season. He said the issue addressed by the bill was not raised with the league until very recently. League schools have been flexible in dealing with the issues that have arisen over the years, Stead said, and will respond to this issue as well. He urged the committee to trust the process used by the MSHSL. "When you assure me your process works, I have a hard time believing you," said Committee Chair Steve Kelley (DFL-Hopkins). If the process worked, Legislators would not have to introduce bills solving the problem for the league just to get a response out of the league, he said. The rule preventing students from participating in outside activities appears designed to protect a coach's career record, not to protect students, Kelley said.

The bill was laid over for possible inclusion in the committee's omnibus education policy bill.

Members also considered three other bills. S.F. 2048, carried by Kelley, creates a demonstration project for equipping all students in a school with a wireless laptop. Another Kelley bill, S.F. 2975, provides grants for site-based achievement contracts and for implementing innovative school personnel methods. Both bills were approved for inclusion in the omnibus bill. S.F. 2680, sponsored by Sen. Yvonne Prettner Solon (DFL-Duluth), specifies the duty of care of a regular route transit bus driver to passengers. Joel Carlson, Minnesota Trial Lawyers Association, said the bill sets different standards for students riding school buses and transit buses. Students should be equally protected when going to school, he said. The bill was laid on the table.

The panel then began the process of assembling the omnibus bill. S.F. 2026, carried by Kelley, is the vehicle for the omnibus bill. Members adopted several provisions heard earlier in the year into the omnibus bill. No final action was taken on the omnibus bill.

Elections

Initiative and Referendum bill fails

A bill that would amend the constitution to authorize initiative and referendum failed on a divided voice vote at the Fri., Mar. 19, meeting of the Elections Committee.

S.F. 1565, sponsored by Sen. Dave Kleis (R-St. Cloud), provides procedures to propose or repeal laws at general elections and sets forth the requirements for petitions to place the questions on the ballot. Kleis said, "Initiative and referendum gives the voters the opportunity, in the purest form of government by the people, to be a check on the Legislature." A number of other states have initiative and referendum, which is a way to allow the people to propose or reject laws. "Initiative and referendum make government more accountable," he said. Kleis also said the bill's provisions make it one of the strictest initiative and referendum bills in the country.

Supporters of the bill argued that initiative and referendum puts issues into the hands of the citizens and puts power back in the hands of the people. Jack Tomczak, representing Let Minnesota Vote, said "When there is gridlock in the Legislature, initiative and referendum gives the people a way to make things happen." Cam Gordon, Minnesota Green Party, said, "One of our core values is grass roots democracy and initiative and referendum is a direct application of democracy."

Opponents countered that issues are best resolved in the legislative arena. Nancy Witta, representing the League of Women Voters, said, "The problem with initiative and referendum is that voters have to vote yes or no. There is no possibility for amendment and debate is limited to the media." Mark McAfee, representing AFSCME Council 6, said, "We do have the power at the ballot box every two years with general elections. Often initiative and referendum involves a single issue that has been reduced to very simplistic terms.

In other action, the committee, chaired by Sen. Charles "Chuck" Wiger (DFL-North St. Paul), did approve several bills. S.F. 2172 sponsored by Sen. Keith Langseth (DFL-Glyndon) and S.F. 2358, sponsored by Kleis, both propose an amendment to the constitution changing the age of eligibility to hold elective office from 21 to 18. Several students spoke in support of the bill. S.F. 2172 was advanced to the Rules and Administration Committee. S.F. 2358 was laid on the table.

S.F. 658, sponsored by Sen. Linda Higgins (DFL-Mpls.), requires distribution of voter registration forms to students who will be eligible to vote in upcoming elections. S.F. 2778, carried by Sen. Ann Rest (DFL-New Hope), eliminates duplicate campaign finance filings in Hennepin County. S.F. 452, authored by Sen. Linda Scheid (DFL-Brooklyn Park), eliminates the requirement for approval by the county auditor of an election conducted by mail. All three measures were approved and advanced to the Senate floor.

The members had an extensive discussion of a bill restoring voting rights to convicted felons who are under supervised release or probation after having served terms of incarceration. Higgins, chief author of the bill, said S.F. 309 changes the current law that limits the restoration of civil rights until after any incarceration or supervised release or probation is completed. Higgins offered an amendment to limit the restoration of civil rights to persons who are under supervised release or probation, but have not been incarcerated. However, members voted to lay the bill on the table.

Environment and Natural Resources

Six bills gain

Members of the Environment and Natural Resources Committee met Mon., Mar. 22, to consider several bills.

S.F. 1999, carried by Sen. Dan Sparks (DFL-Austin), expands an existing restriction on the use of fertilizers containing phosphorus. S.F. 2068, authored by Sen. Steve Dille (R-Dassel), prohibits planting trees over a drain tile that provides for the drainage of land owned or leased by another person, unless the person planting the trees receives permission from all persons who receive drainage benefits from the drain tile. Both bills were advanced to the full Senate. Committee Chair John Marty (DFL-Roseville) sponsored S.F. 2422. The bill provides for the management of polychlorinated biphenyl (PCB) waste. The measure was recommended for placement on the Consent Calendar.

Two bills were forwarded to the Finance Committee. S.F. 1997, sponsored by Sen. Carrie Ruud (R-Breezy Point), requires the use of the Environmental Quality Board as the responsible governmental unit in proposed actions on public waters bordering more than one county. The bill also requires an environmental impact statement if the proposed action is on public waters that border more than one county and the action includes a watercraft mooring capacity of 10 or more boats. Sen. Rod Skoe (DFL-Clearbrook) carried S.F. 2145, authorizing acquisition of 35-year or permanent easements under the Reinvest in Minnesota conservation reserve program. The measure also authorizes the sale of $20 million in state bonds to finance the acquisitions.

S.F. 2583, carried by Sen. Tom Saxhaug (DFL-Grand Rapids), modifies the forest resources Interagency Information Cooperative and the State Timber Act. The bill was sent to the State and Local Government Operations Committee.

One bill was discussed and laid on the table. S.F. 2644, sponsored by Sen. Gary Kubly (DFL-Granite Falls), requires the Department of Natural Resources to obtain permits for construction activities in watershed districts.

Bills gain

Members of the Environment and Natural Resources Committee, chaired by Sen. John Marty (DFL-Roseville), met Wed., Mar. 24, to consider several bills.

S.F. 1693, sponsored by Sen. David Tomassoni (DFL-Chisholm), removes references to taconite from laws governing permits for deposition of fine tailings from minerals processing facilities into mine pits. S.F. 2299, carried by Sen. Thomas Bakk (DFL-Cook), expands enforcement procedures relating to petroleum storage tanks to include aboveground tanks at bulk plants. Both bills were recommended for placement on the Consent Calendar.

Two other bills were sent to the full Senate. S.F. 1740, carried by Sen. Steve Kelley (DFL-Hopkins), provides for the consumptive use of groundwater in the cities of Golden Valley, Crystal and New Hope. S.F. 2621, authored by Sen. Julie Rosen (R-Fairmont), exempts from environmental impact statements ethanol plants in Greater Minnesota using less than 100 million gallons of water per year.

Sen. Tom Saxhaug (DFL-Grand Rapids) carried S.F. 2203, the omnibus game and fish bill. The bill will next be heard in the Finance Committee.

Environment, Agriculture and Economic Development Budget Division

Jobs creation bills heard

The Environment, Agriculture and Economic Development Budget Division met Tues., Mar. 23, to consider several measures. Two of the measures, carried by Division Chair Dallas Sams (DFL-Staples), deal with programs to create jobs. S.F. 2591 creates a program to retain and create jobs by providing grants to eligible employers. Under the bill an employer is eligible if the employer can show that it will not be able to create or retain jobs without a grant because the employer is a start-up business, is in a short-term downturn of a business cycle or is expanding. Under the bill, retail or casino operations are not eligible for the grants. The measure specifies the grants be used in Greater Minnesota.

The second measure, S.F. 2954, appropriates $250,000 for a statewide demonstration project of youth job skills development. The bill provides that the project, which may have crime intervention components, is to encourage, train and assist youth in job-seeking skills, workplace orientation and job-site knowledge through coaching. In addition, the measure requires a 25 percent funding match from nonstate resources.

Both bills were laid over for inclusion in the division's omnibus bill.

In other action, the panel also approved a bill prohibiting the disposal of electronic products with cathode ray tubes in mixed municipal solid waste. The bill was approved last year, but needed to go through the committee process again. The measure requires manufacturers to establish permanent, accessible programs in Minnesota to collect, transport, and reuse or recycle electronic products and provides that the costs to collect, transport, and reuse or recycle electronic products are not recovered through an end-of-life fee to the consumer. The bill was laid over for possible inclusion in the omnibus bill.

S.F. 2363, authored by Sen. John Hottinger (DFL-St. Peter), provides specifications for review and waivers of 401 certification under the federal Clean Water Act. The measure also requires implementation of a voluntary professional wetland delineator certification program and modifies environmental review to take into account relevant local plans. The measure was laid over for possible inclusion in the omnibus bill.

Finance

Transportation policy bills advanced

The Finance Committee met Tues., Mar. 23, to take action on a number of transportation policy bills. All bills approved by the Transportation Policy and Budget Division must be advance first to the full Finance Committee, even those bills with no financial implication. The division one of two divisions that consider both policy and budget bills. As a result, the Finance Committee, chaired by Sen. Richard Cohen (DFL-St. Paul), moved rapidly through the agenda to refer the policy bills to another committee or the Senate floor.

S.F. 1639, sponsored by Sen. Linda Scheid (DFL-Brooklyn Park), provides for the removal and disposal of unauthorized or abandoned vehicles on private property used for servicing vehicles. S.F. 2680, carried by Sen. Yvonne Prettner Solon (DFL-Duluth), specifies the duty of care of bus drivers to passengers. Both measures were re-referred to the Judiciary Committee.

S.F. 2178, authored by Sen. Michael Jungbauer (R-East Bethel), requires notice and a public hearing before the closure of a municipal airport. S.F. 2263, authored by Sen. Julianne Ortman (R-Chanhassen), makes a number of technical and housekeeping changes in provisions relating to transportation. S.F. 1798, authored by Sen. Charles "Chuck" Wiger (DFL-North St. Paul), provides that a county or town board must not make final payment on any road construction or improvement contract until the engineer has certified to the county board or town board that the work has been done. S.F. 2399, carried by Sen. Sharon Marko (DFL-Cottage Grove), repeals authorization for private toll roads and bridges. S.F. 2397, sponsored by Sen. Scott Dibble (DFL-Mpls.), requires the commissioner to prepare a toll facilities plan and prohibits noncompete provisions in facility development agreements that restrict or prohibit public transit. All five measures were re-referred to the State and Local Government Operations Committee.

All of the following bills were advanced to the Senate floor.

S.F. 1910, authored by Sen. Mark Ourada (R-Buffalo), makes technical corrections to conform state law to amended federal regulations relating to truck driver hours. S.F. 1788, sponsored by Sen. Dave Kleis (R-St. Paul), requires some applicants for license renewal to pass examinations and requires physicians to report driving-related physical or mental conditions to the commissioner of public safety. The bill specifies that an applicant must pass a written examination after incurring a conviction for one or more moving violations since the last previous license renewal and that an applicant must pass a road test after incurring three or more moving violations or after having been found at fault in two or more crashes. S.F. 1813, sponsored by Betsy Wergin (R-Princeton), allows volunteer firefighters to display blue lights on private motor vehicles. S.F. 1592, carried by Wiger, enacts the Safe School Zone Law and makes clarifying and technical changes.

S.F. 1584, sponsored by Wiger, prohibits the sale and unauthorized use and ownership of mobile infrared transmitter devices to change traffic lights. S.F. 1674, authored by Sen. Brian LeClair (R-Woodbury), removes the length limitation from the definition of residential roadway. S.F. 1852, sponsored by Sen. Mady Reiter (R-Shoreview), requires vehicles to wait at railroad crossings until the roadway is clear. S.F. 1729, authored by Sen. Bob Kierlin (R-Winona), prohibits leaving a child under the age of nine unattended in a passenger vehicle. S.F. 457, sponsored by Sen. William Belanger (R-Bloomington), exempts garbage trucks and recycling vehicles from weight restrictions. S.F. 1954, authored by Sen. Ann Rest (DFL-New Hope), deletes the requirement for Regional Development Commission or Metropolitan Council approval of projects funded from the state transportation fund. S.F. 1953, carried by Rest, repeals the requirement that designation of natural preservation routes on county state-aid highways be reviewed by an advisory committee.

S.F. 2395, sponsored by Sen. Steve Murphy (DFL-Red Wing), provides that a peace officer assigned to a bomb squad unit may operate any vehicle or combination of vehicles while engaged in bomb squad duties. S.F. 2144, sponsored by Murphy, provides that a provisional license holder may not operate a motor vehicle with more than one passenger, except family members, or between the hours of midnight and 5 a.m. S.F. 2611, authored by Sen. David Knutson (R-Burnsville), prohibits the operation of a motor vehicle with a child between the ages of four and eight not properly fastened in a booster seat. S.F. 555, carried by Sen. Tom Saxhaug (DFL-Grand Rapids), allows the two-way operation of snowmobiles on either side of highway right-of-way when authorized by the commissioner of transportation

S.F. 2709, authored by Sen. Jane Ranum (DFL-Mpls.), requires a chapter on aviation planning in the state transportation plan. S.F. 2805, sponsored by Sen. Sean Nienow (R-Cambridge), prohibits young drivers from using cell phones. S.F. 2851, carried by Wergin, prohibits the issuance of a provisional driver's licenses to a person who has incurred a conviction for a crash-related violation. S.F. 2550, authored by Murphy, makes violation of the seat belt law a primary offense and requires all passengers to wear seat belts.

Health and Family Security

Massage therapist bill gains

The Health and Family Security Committee met Fri., Mar. 19, to wrap up consideration of bills originating in the Senate. The panel, chaired by Sen. Becky Lourey (DFL-Kerrick), approved all but one of the bills.

S.F. 689, sponsored by Sen. Linda Higgins (DFL-Mpls.), establishes a registration system for massage therapists and Asian bodywork therapists. The measure provides definitions, outlines required qualifications for registration, details prohibited conduct, outlines penalties and provides for rulemaking. The measure was approved and advanced to the Finance Committee. S.F. 2839, sponsored by Sen. Steve Kelley (DFL-Hopkins), exempts newly arrived refugees and asylees as defined by federal law from participating in the diversionary work program. The bill also provides that newly arrived refugees and asylees may enroll directly into the Minnesota Family Investment program (MFIP). The bill was approved and re-referred to the Finance Committee.

S.F. 2672, carried by Lourey, requires the implementation of the pharmaceutical care demonstration project. The project provides culturally specific pharmaceutical care to American Indian Medical Assistance recipients over the age of 55. The bill was approved and re-referred to the Finance Committee. A second bill, S.F. 2512, sponsored by Lourey was approved and re-referred to the State and Local Government Operations Committee. The measure makes changes to the Emergency Powers Act passed in 2002. The act sets up procedures for dealing with a public health emergency and the bill makes changes to liability protections for public health volunteers, emergency responders and provides employment protections for qualifying employees who have been in isolation or quarantine.

S.F. 2255, sponsored by Sen. Brian LeClair (R-Woodbury), phases out the nursing facility equal rates requirement. The bill allows facilities to charge private pay patient's the Medical Assistance rate plus an additional percentage. Under the bill, the rate is an additional two percent after July 1, 2004, four percent after July 1, 2005, six percent after July 1, 2006, and eight percent after July 1, 2007. After July 1, 2008, the equal rates requirement would be eliminated. The bill was opposed by the Office of Ombudsman for Older Minnesotans and Karin Allen, representing AARP. The measure was defeated on a 2-5 roll call vote.

School employee's insurance bill gains

Members of the Health and Family Security Committee devoted most of the Tues., Mar. 23, hearing to discussion of a bill that creates a statewide health insurance plan for school district employees. S.F. 2491, sponsored by Sen. LeRoy Stumpf (DFL-Thief River Falls), requires that the insurance plan be available to all eligible employees of eligible employers and that eligible employers provide health coverage only through the plan. In addition, the bill creates a board to design the plan to provide the optimal combination of coverage, cost, choice and stability. Stumpf said the bill is aimed at providing relief to school employees being hit by rising health care coverage costs. Proponents said the measure would help support positions in addition to teachers and administrators. In addition, proponents said that a larger pool would result in financial savings. Opponents argued that the bill did not provide adequately for reserves and that rising health insurance costs need to be addressed in a manner that preserves local control.

Sen. Sheila Kiscaden (IP-Rochester) offered an amendment standardizing language in the bill, requiring three members of the board be appointed by the commissioner of commerce, and requiring the board to consider coordination with or the purchase of health plans through the Minnesota Comprehensive Health Association (MCHA). Under the amendment the MCHA board of directors may consider establishment of a separate plan to purchase coverage for those enrollees who are not high risk, including the public employees and provide that enrollee premiums include the MCHA surcharge. The amendment also set forth governance requirements for the board.

Sen. Linda Higgins (DFL-Mpls.) offered an amendment to the amendment deleting the requirement that three members of the board be appointed by the commissioner of commerce. The amendment to the amendment was adopted, the amendment was adopted and the bill was re-referred to the Finance Committee.

In other action, the committee, chaired by Sen. Becky Lourey (DFL-Kerrick), considered two additional bills. S.F. 2080, sponsored by Higgins, provides regulation for outpatient surgical centers and reporting requirements for diagnostic imaging facilities. The bill was advanced to the Senate floor. S.F. 2929, sponsored by Sen. Dave Kleis (R-St. Paul), specifies patient rights and limits civilly committed sexual psychopathic personalities and sexually dangerous persons from patients' and residents' bills of rights to ensure the safety and security of the treatment facility, staff, other patients and the public. The measure was re-referred to the Crime Prevention and Public Safety Committee.

Tobacco delivery regulations approved

A proposal to increase the regulation of tobacco sales gained the approval of members of the Health and Family Security Committee, Thurs., Mar. 25. The panel advanced the bill to the Tax Committee.

S.F. 1175, carried by Sen. Ellen Anderson (DFL-St. Paul), requires retailers accepting orders for a delivery sale of tobacco products to obtain a copy of appropriate government-issued identification from the purchaser, to receive payment via check or credit card, to verify the identity and age information of the purchaser and to provide the delivery service with the age of the purchaser. The retailer is also required to mark the outside of the package as containing tobacco products, under the bill. S.F. 1175 also imposes several mandates on the delivery service, including requiring the purchaser to be the addressee, requiring the addressee to sign for the package and requiring the delivery service to check the addressee's identification. The bill requires tobacco retailers making delivery sales to report monthly to the Dept. of Revenue the names and addresses of purchasers and the brands and quantities sold. The measure provides for civil penalties of up to $10,000 for consumers who falsely identify themselves and of up to $5,000 for other violations.

Anderson said the bill is modeled after a Maine law designed to restrict youth access to tobacco via online sales. She said the measure is a step back from earlier proposals that effectively banned online tobacco sales, and other delivery of tobacco to consumers, in Minnesota. Jeremy Hanson, Minnesota Smoke-Free Coalition, said the bill is also patterned after legislation being considered in Congress to ensure that tobacco retailers and consumers do not avoid taxation by conducting business online.

Amber Backhaus, Minnesota Trucking Association, said delivery companies want to do their part to curb youth access to smoking. However, she said, S.F. 1175 treats deliverers as if they are responsible for the problem. The state and delivery companies already have methods in place for delivery of alcohol to consumers, she said. The extra requirements of the bill might force private delivery companies to stop delivering tobacco products, Backhaus said, leaving only the Postal Service to make the deliveries. She said the requirements should be pared back to require an adult signature and age verification by the delivery driver. Sen. Steve Kelley (DFL-Hopkins) offered an amendment addressing the association's concerns. The amendment removes the requirement for the retailer to provide the deliverer with the age of the purchaser, does not require the purchaser to be the addressee and permits any adult to sign for the delivery, not just the addressee. The amendment also restricts the fines of up to $5,000 to tobacco retailers or distributors. The amendment was adopted.

The bill does not provide for the data classification of the reports regarding tobacco purchasers, said Sen. Sheila Kiscaden (IP-Rochester). She said the provision may unduly expose consumers making private transactions. Kiscaden also said the $10,000 fine is excessive for youths who use an adult's ID to buy tobacco. Anderson said the reporting requirement is similar to an existing requirement in federal law. Placing the requirement in state law gives the state power to enforce it, she said. The bill was approved and advanced to the Judiciary Committee. However, Kelley later moved to reconsider the bill. He said he had consulted with the chair of the Judiciary Committee and learned that there was no need for the bill to go there. Kiscaden said it was rare for the Judiciary Committee to fail to review new civil penalties. The motion to reconsider was approved. Kiscaden then offered an amendment reducing the $10,000 fine to $1,000. She said individuals should not be exposed to a fine that is double that applied to retailers. The amendment was adopted and the bill was re-referred to the Tax Committee.

In other action, committee members, chaired by Sen. Becky Lourey (DFL-Kerrick), approved several other bills. S.F. 2844, carried by Sen. Thomas Bakk (DFL-Cook), contains the recommendations of the Workers' Compensation Advisory Council. Lourey said the bill was mistakenly sent to the committee. S.F. 2844 was sent to the full Senate without recommendation.

S.F. 2103, sponsored by Sen. Dallas Sams (DFL-Staples), modifies the nursing facilities survey process. S.F. 2639, carried by Sen. Linda Higgins (DFL-Mpls.), permits members of the Council on Disability to participate in meetings by electronic means. Both bills were sent to the floor.

S.F. 2112, also carried by Higgins, establishes criteria to demonstrate that a charitable gift was not made to establish or maintain eligibility for Medical Assistance services. The bill was forwarded to the Finance Committee.

Health, Human Services and Corrections Budget Division

Public testimony heard

Members of the Health, Human Services and Corrections Budget Division, chaired by Sen. Linda Berglin (DFL-Mpls.), met Tues., Mar. 23, to hear public testimony on the governor's budget recommendations. The panel heard from representatives of trade unions, social service agencies, care providers, legal and religious groups and professional/trade associations.

Budget overview continues

Members of the Health, Human Services and Corrections Budget Division, chaired by Sen. Linda Berglin (DFL-Mpls.), continued their consideration of the governor's budget recommendations, Wed., Mar. 24. The panel reviewed the budgets of the Departments of Health, Corrections and Human Services.

Bills heard

A bill excluding certain home and community-based waivered, targeted case management and long term care services from the MinnesotaCare gross earnings tax gained the preliminary approval of members of the Health, Human Services and Corrections Budget Division, Thurs., Mar. 25. The bill, S.F. 2076, carried by Division Chair Linda Berglin (DFL-Mpls.), was recommended for inclusion in the division's omnibus bill.

In other action, division members heard, but took no action on, five additional bills. S.F. 1600, sponsored by Sen. Charles "Chuck" Wiger (DFL-North St. Paul), permits a Medical Assistance payment rate increase for a Ramsey County nursing facility. S.F. 2923, authored by Sen. Rod Skoe (DFL-Clearbrook), authorizes a planned closure rate adjustment for a nursing facility in Becker County. S.F. 2318, carried by Berglin, modifies the provider tax paid by federally qualified health centers and health centers in Greater Minnesota. Sen. Becky Lourey (DFL-Kerrick) sponsored two measures. S.F. 1969 annually transfers $1.19 million of the appropriation to the commissioner of health for fetal alcohol spectrum (FAS) disorder administration and grants to a statewide organization focusing solely on prevention of and intervention with FAS. S.F. 2124 reduces child care center licensing fees.

Higher Education Budget Division

Reports heard

Members of the Higher Education Budget Division met Tues., Mar. 23, to hear from two education groups. The panel is chaired by Sen. Sandra Pappas (DFL-St. Paul).

Representatives of the Midwest Higher Education Compact reviewed how the compact strives to serve institutions in its member states: Illinois, Indiana, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio and Wisconsin. The compact follows six goals: enhancing productivity by reducing administrative costs, encouraging student access and affordability, facilitating policy analysis, facilitating regional academic cooperation, promoting quality programs and encouraging innovation. Compact President Larry Isaak and James McCormick, vice chair of the compact, reviewed the compact's cost-savings initiatives, policy research and data analysis, electronic dissemination of information and minority faculty development activities, as well as the Midwest Student Exchange Program.

Members also heard from representatives of the Minnesota P-16 Education Partnership on proposals for easing students' transition from high school to higher education and for ensuring the availability of high quality teachers. The partnership is a coalition of groups representing all levels of education, from preschool to higher education.

Scholarship programs considered

Two proposals creating scholarship programs were considered by members of the Higher Education Budget Division, Thurs., Mar. 25.

S.F. 3002, carried by Division Chair Sandra Pappas (DFL-St. Paul), creates a low-income scholarship program. To be eligible, students must be the first in their immediate families to attend college and must be enrolled at an institution in the Minnesota State Colleges and Universities system. The bill provides awards of $2,000, with a lifetime maximum of $4,000. Scholarship grants are awarded beginning with the lowest-income students in the state grant pool and working upwards along an income scale, until the funds available are exhausted.

S.F. 3004, sponsored by Sen. Yvonne Prettner Solon (DFL-Duluth), creates a scholarship program for low-income nursing students. Priority is given, under the bill, to students who are residents of rural or urban Health Professional Shortage Areas, as determined by the Dept. of Health. The bill provides for annual awards of up to $5,550 for tuition and fees, as well as $800 for books and supplies, for students enrolled in public postsecondary institutions. Students enrolled in nursing programs at private institutions are awarded $3,000 per academic year. The bill allows the award to be renewed up to three times, as long as the student is making satisfactory progress toward degree completion.

Panel members also heard a report from the group Growth and Justice. The report, entitled "Workforce First," focuses on putting the state on a path toward a strong economy and a decent standard of living for all Minnesotans. The division focused on the higher education recommendations in the report, including restructuring the state financial aid formula to help low-income and part-time students, adopting a program to encourage welfare recipients to attend college and encouraging online education by providing an incentive to businesses that pay for it for their employees. The report also recommends paying nonprofit training organizations for successfully moving low-wage workers up the ladder and expanding a state program in which businesses partner with postsecondary institutions to train employees in needed skills.

Jobs, Energy and Community Development

Telecom bills heard

The Jobs, Energy and Community Development Committee, chaired by Sen. Ellen Anderson (DFL-St. Paul), devoted the Fri., Mar. 19, meeting to hearing a variety of bills relating to telecommunications. No formal action was taken on any of the bills.

S.F. 908, sponsored by Sen. Dallas Sams (DFL-Staples), deregulates independent telephone companies. S.F. 1115, also carried by Sams, modifies provisions for alternative forms of regulation of small telephone companies. S.F. 1936, authored by Sen. Scott Dibble (DFL-Mpls.), prohibits a telecommunications carrier from charging for long-distance service after a customer has requested the service be canceled. S.F. 1927, also sponsored by Dibble, prohibits billing for unauthorized charges from third-party service providers.

S.F. 2774, sponsored by Sen. Steve Kelley (DFL-Hopkins), requires instant credit for wrong information from directory assistance. S.F. 2331, authored by Kelley, changes cable franchise procedures and requirements. S.F. 2402, also carried by Kelley, expands the geographic boundaries for local calling within the state.

Three bills sponsored by Sen. Dan Sparks (DFL-Austin) were also heard. S.F. 2345 repeals a prohibition on telephone companies from requiring deposits in excess of $50 for facilities furnished and requires that interest be paid on deposits. S.F. 2346 repeals a number of technical sections of Minnesota Rules governing telephone companies and the establishment and regulation of community calling plans. S.F. 2622 provides criminal penalties involving the transmission of commercial e-mail to a protected computer used exclusively by a state government or financial institution.

S.F. 2608, sponsored by Committee Chair Ellen Anderson (DFL-St. Paul), makes technical and clarifying changes to provisions regulating cable communications systems. S.F. 1862, carried by Sen. Michele Bachmann (R-Stillwater), provides consumer protections for wireless customers.

The committee did vote on two measures. S.F. 2898, authored by Sen. David Tomassoni (DFL-Chisholm), establishes an enterprise account for revenues and expenditures associated with the Giants Ridge Recreation Area. The bill was approved and sent to the Senate floor. S.F. 1385, sponsored by Sen. Dick Day (R-Owatonna), prohibits broadcast employers from including noncompete provisions in employment contracts. The bill was also approved and advanced to the full Senate.

JOBZ restrictions approved

Two bills limiting which businesses may qualify for tax incentives under the Job Opportunity Building Zones (JOBZ) program created last year cleared their first committee hurdle Mon., Mar. 22.

S.F. 2478, carried by Sen. Mee Moua (DFL-St. Paul), disqualifies retailers from JOBZ eligibility. Louis Jambois, Dept. of Employment and Economic Development, said the Senate version of the JOBZ proposal last year contained similar language that was not part of the final legislation. However, he said, the bill formalizes current practice in the department restricting retailers from eligibility. Buzz Anderson, Minnesota Retailers Association, told members of the Jobs, Energy and Community Development Committee that retail should not be singled out as a second-class job provider. Retail has been and will remain key to the state's economic success, he said. "A good job is a good job," he said, and many communities may want to lure retail to their business districts, depending on circumstances. S.F. 2478 was forwarded to the Tax Committee.

Committee Chair Ellen Anderson (DFL-St. Paul) sponsored S.F. 2957, which prevents businesses eligible for tax exemptions as waste tire cogeneration electric generating facilities from receiving the tax breaks provided by JOBZ. Only one proposed facility, near Preston, is eligible for the waste tire tax exemption. Anderson said the range of tax breaks afforded by the JOBZ program is not appropriate for a power plant that has generated significant controversy in the host community. Preston Mayor David Pechulis said the city has not approved including the plant in its JOBZ zone, but the plant is suing the city and may force it to include the plant in the zone. Katherine Attwood, Hugh Fendry and Bryan Van Gorp discussed the implications the tire-burning plant could have on local health, farming and businesses. Anderson said the bill resolves two key policy questions: should the program be used to force a business on a divided community and should the state provide additional subsidies to energy generation facilities via JOBZ. However, Sen. Mark Ourada (R-Buffalo) said the bill puts the cart before the horse. He noted that for a business to be eligible for JOBZ subsidies, the proposal must be approved by three local entities-the county, city and school district-and entrance into a business subsidy agreement. The bill automatically makes the answer "no," he said, regardless of local decision-making. S.F. 2957 was approved and re-referred to the Rules and Administration Committee.

Members also approved a bill making changes to laws governing the One Call Excavation Notice System. S.F. 1268, carried by Sen. Dan Sparks (DFL-Austin), was advanced to the full Senate.

Anderson also authored a bill, S.F. 2854, providing for the recovery of stranded costs by thermal energy customers adversely affected by the Metropolitan Emissions Reduction Program. Representatives of the Rock-Tenn Company, which manufactures 100 percent recycled paper board and buys steam from the High Bridge plant in St. Paul, outlined their needs and the investments they have made in their business and a steam line between the High Bridge plant and their facility, which is located in the Midway area of St. Paul. About $20 million of costs will be stranded when the High Bridge plants converts from coal to natural gas, said Larry Schedin, an engineer. Rock-Tenn Vice President Jack Greenshields said the company intends to build a biomass power generation facility on its manufacturing site. Chris Clark, Xcel Energy, said the bill is the wrong way to solve Rock-Tenn's problem. The company's contract to buy steam is with NRG, not Xcel, Clark said. Xcel ratepayers should not bear the burden of paying for Rock-Tenn's loss, he said. Beth Goodpaster, Izaak Walton League, said the bill sets an inappropriate precedent for the use of emissions reduction riders. Stranded cost recovery usually involves a taking by the state, Ourada said, but the emissions reduction plan is a voluntary action undertaken by Xcel. Rock-Tenn made a business decision to buy steam from a third party, he said. However, Anderson said the state helped along the process leading to the conversion of the High Bridge plant. A motion to advance the bill failed on a 6-6 tie.

Unemployment benefits expansion okayed

A bill extending unemployment benefits to two classes of laid-off employees gained the approval of members of the Jobs, Energy and Community Development Committee, Wed., Mar. 24. The panel, chaired by Sen. Ellen Anderson (DFL-St. Paul), sent the bill to the Finance Committee.

S.F. 2827, sponsored by Sen. Jane Ranum (DFL-Mpls.), extends unemployment benefits to military reservists who lost their jobs after being called to active duty after Jan. 1, 2003 and to Northwest Airlines mechanics who were laid off due to outsourcing of their work.

S.F. 2326, carried by Sen. Sandra Pappas (DFL-St. Paul), requires the Perpich Center for Arts Education to file an application for unemployment insurance coverage for certain unclassified positions and requires the commissioner of employment and economic development to approve the application. The bill was also sent to the Finance Committee.

Five measures were advanced to the full Senate. S.F. 2243, carried by Anderson, is an unemployment insurance housekeeping bill from the Dept. of Employment and Economic Development (DEED). Anderson also authored S.F. 2646, which updates provisions in the dislocated worker program. S.F. 2350, sponsored by Sen. Julie Rosen (R-Fairmont), addresses remaining issues relating to the merger of the Dept. of Economic Security into DEED. Sen. Thomas Bakk (DFL-Cook) carried a bill, S.F. 2009, transferring tourism development functions from DEED to a new office, Explore Minnesota Tourism. S.F. 2687, authored by Sen. Steve Kelley (DFL-Hopkins), provides that an assessment and appropriation for the purpose of establishing sustainable building guidelines for new state buildings and energy efficiency benchmarks for existing public buildings is effective retroactively to July 1, 2001.

Judiciary

Nuisance claims bill gains

A bill limiting the circumstances under which an agricultural operation would be considered a nuisance was approved by members of the Judiciary Committee, Tues., Mar. 23. The panel, chaired by Sen. Don Betzold (DFL-Fridley), advanced the bill to the full Senate.

S.F. 2866, carried by Sen. Rod Skoe (DFL-Clearbrook), provides that an agricultural operation more than two years old is not considered a nuisance, as a matter of law, if it is located in an agriculturally zoned area, complies with applicable federal, state and county laws and regulations and operates according to generally accepted agricultural practices (GAAP). The bill defines GAAP as those practices commonly used by other farmers in the county or a contiguous county. Under the measure, agricultural operations in their first two years of existence are granted a rebuttable presumption that they are not nuisances if they meet the three criteria.

Paul Sobocinski, Land Stewardship Project, said the bill should use sound or best management, rather than generally accepted, practices. Using generally accepted practices as a standard, he said, does not encourage agricultural operations to do better. Sen. Julianne Ortman (R-Chanhassen) said the bill does the opposite. If agricultural operations do better and comply fully with the law, she said, they are protected from lawsuits.

In other action, committee members approved six additional bills. S.F. 2894, sponsored by Sen. Steve Kelley (DFL-Hopkins), authorizes the State Board of Investment to increase its participation in Minnesota-based venture capital investments. The bill classifies as public data the name of the entity in which the board invests or considers investing, the commitment amount, the funded amount of the commitment, market value, internal rate of return and age of the investment. Other financial or proprietary data is classified as nonpublic, under the bill. The measure was forwarded to the Finance Committee. S.F. 2819, carried by Sen. Mee Moua (DFL-St. Paul), is the Dept. of Human Rights technical and housekeeping bill. It was sent to the full Senate.

A bill authored by Sen. Lawrence Pogemiller (DFL-Mpls.) reduces the statutory complement of the Court of Appeals, District Courts, Tax Court and Workers' Compensation Court of Appeals upon the occurrence of a vacancy in any of the courts. S.F. 1398, which also restores the statutory complements on July 1, 2007, was re-referred without recommendation to the Finance Committee. H.F. 2288, carried by Sen. Wesley Skoglund (DFL-Mpls.), eliminates a requirement for Conciliation Court cases that a judgment be docketed for at least 30 days in District Court. The bill was recommended for placement on the Consent Calendar. S.F. 2756 changes the religious reference from orthodox Hebrew to Jewish in kosher food labeling laws. The bill, carried by Sen. Richard Cohen (DFL-St. Paul), was sent to the floor. S.F. 1758, which amends provisions dealing with the presumption of paternity, was carried by Betzold. The bill was also sent to the full Senate.

The committee also considered two other measures. S.F. 2391, presented by Sen. William Belanger (R-Bloomington) for Chief Author Cal Larson (R-Fergus Falls), expands the Department of Commerce's ability to share information with other investigative agencies. The bill was laid over for possible inclusion in the omnibus data practices bill. S.F. 1976, carried by Sen. Ann Rest (DFL-New Hope), enacts the Uniform Conflict of Laws-Limitations Act recommended by the National Conference of Commissioners on Uniform State Laws. No action was taken on the bill.

Data practices bill assembled

Members of the Judiciary Committee, chaired by Sen. Don Betzold (DFL-Fridley), assembled in the evening, Tues., Mar. 23, to consider several data practices bills and create an omnibus bill.

S.F. 2391, authored by Sen. Cal Larson (R-Fergus Falls), expands the commerce commissioner's ability to share information with other investigative agencies. S.F. 2430, carried by Sen. Mee Moua (DFL-St. Paul), permits the Department of Revenue to verify to a county assessor whether an individual who is requesting or receiving a homestead classification has filed a Minnesota income tax return as a resident. S.F. 2343, sponsored by Sen. Linda Higgins (DFL-Mpls.), provides an exception to the open meeting law for security briefings. The bill requires public bodies to approve all financial matters relating to security measures at open meetings, requires closed meetings relating to security to be taped and requires the tapes to be preserved for eight years. Sen. Warren Limmer (R-Maple Grove) carried S.F. 2879, which provides that information about correctional employees is public, but may not be disclosed to facility patients, inmates or individuals who are likely to use the information to harass, intimidate or assault employees. S.F. 2223, carried by Betzold, makes technical changes to the classification of data maintained by the Dept. of Employment and Economic Development. All the bills were approved for inclusion in the omnibus data practices bill. The omnibus bill, S.F. 1889, carried by Sen. Wesley Skoglund (DFL-Mpls.), was sent to the full Senate.

The panel also advanced S.F. 2561, which provides for the classification of CriMNet data, to the Crime Prevention and Public Safety Committee. The bill is also sponsored by Betzold.

Homeowners protection bill okayed

The Judiciary Committee met twice Thurs., Mar. 25, to clear bills from the agenda before the second committee deadline. The first portion of the hearing saw action on six bills.

Sen. Linda Scheid (DFL-Brooklyn Park) carried three measures. One bill, S.F. 2248, makes a number of changes in laws to afford more protection to homeowners. The Homeowner's Protection Act requires more detail in reports from municipalities on building code enforcement, establishes a statutory cure process for home warranty claims, permits successful home warranty claimants to recover attorney fees, regulates contractor estimates and requires prelicensing education of residential building contractors. The measure was approved and re-referred to the State and Local Government Operations Committee. S.F. 2379 recodifies and modifies provisions relating to real estate brokers and salespersons. The measure was advanced to the Senate floor. S.F. 1639, carried by Scheid, provides for the removal and disposal of abandoned vehicles on automobile service premises. The measure was approved and sent to the Senate floor.

Members also approved a bill modifying public transit bus drivers' duty of care to passengers. S.F. 2680, sponsored by Sen. Yvonne Prettner Solon (DFL-Duluth), was approved and re-referred to the Education Committee. S.F. 2114, sponsored by Sen. Steve Kelley (DFL-Hopkins), changes the Open Meeting Law to allow a public body to close a meeting to negotiate the purchase or sale of real or personal property. The measure also requires the actual sale must be approved at an open meeting and that the price is public information. The bill was sent to the full Senate.

One measure failed to gain the committee's approval. S.F. 2763, authored by Sen. Dennis Frederickson (R-New Ulm), provides for the issuance of pipeline routing permits by the Environmental Quality Board. Members laid the bill on the table because of concerns the legislation affects an on-going lawsuit.

The committee, chaired by Sen. Don Betzold (DFL-Fridley), also began discussion of a bill providing requirements for certification of a class action. Sen. Julianne Ortman (R-Chanhassen) said the bill, S.F. 2880, allows the certification process to happen earlier in the process. She said the measure also contains provisions for appeal of certification order and sets standards for class certification. The measure was laid on the table because of time constraints.

When the panel reconvened in the evening, members began with a discussion of S.F. 2880. Ortman said the bill reforms the process for class action law suits. The measure was approved and re-referred to the Finance Committee. Betzold carried a bill, S.F. 289, which imposes a statute of limitations for owners or purchasers of dwellings or residential buildings undergoing home improvement work to bring suit relating to defects occurring within the warranty period. The bill specifies the owner has one year following the expiration of the warranty periods set forth in statute to discover a defect which has occurred within the warranty period. Further, the bill specifies that the lawsuit may be brought no more than three years after the expiration of the warranty periods. The bill was sent to the Senate floor.

Members also advanced to the floor a bill providing a factor to determine attorney's fees. S.F. 2047, authored by Sen. Thomas Neuville (R-Northfield), specifies that when a statute provides for the award of attorney fees to a party that has recovered money damages, the court, in setting the amount of attorney fees, must take into consideration the reasonableness of the ratio of the attorney fees sought to the amount damages awarded. S.F. 1233, authored by Ortman, authorizes inverse condemnation under eminent domain by a business when a governmental entity occupies the marketplace by providing goods or services previously provided by the business. The measure was laid on the table.

K-12 Education Budget Division

NCLB opt out heard

A bill requiring the state to opt out of a federal education program if the Legislature fails to affirm Minnesota's commitment to the program was heard by members of the K-12 Education Budget Division, Tues., Mar. 23.

S.F. 1921, authored by Sen. Michele Bachmann (R-Stillwater), requires the Legislature to affirm the state's commitment to the No Child Left Behind Act (NCLB) by June 1, 2004. If the Legislature fails to act before that date, the law voids all plans, contracts and agreements relating to the implementation of NCLB. This bill does have significant consequences attached to it, Bachmann said, including the loss of federal education dollars. However, she said, the measure addresses federal intrusion into state education policy. "We've never seen anything quite like this federal intrusion," she said, and it is not matched by sufficient federal money. Bachmann said federal dollars account for only between one and four percent of all school district revenue in Minnesota. "The tip of the tail is wagging the dog," she said. Studies of NCLB have shown that almost all schools in Minnesota will be designated failures within a few years, she said. Complying with the law, Bachmann said, sets up the state for adequacy lawsuits from parents and interested groups. Teachers, administrators, school boards and parents, she said, "want No Child Left Behind to be left behind."

Sen. Gen Olson (R-Minnetrista) offered an amendment, requested by Bachmann, changing the deadline for affirmation to July 1, 2005. Bachmann said the additional year allows some time for the state to test the federal requirements and for the federal government to respond to the state's concerns. Enactment of S.F. 1921, she said, strengthens the state education commissioner's hand in seeking flexibility from the federal government. The amendment was adopted.

This bill is still going too far, too fast, said Sen. Geoff Michel (R-Edina). The commissioner has been successful in negotiating with the federal department, he said. The anxiety over NCLB is concentrated on a lack of funding, Michel said, not on the intent of the law. The general theme of NCLB-closing the achievement gap-is right, he said. Bachmann said the federal law focuses more on data collection than on actively seeking to close the achievement gap. By opting out of NCLB, she said, the state and school districts can free up other funds used to meet federal requirements to hire teachers, develop new curricula and focus on improving student achievement. However, Sen. Betsy Wergin (R-Princeton) said she wasn't sure what districts would do differently if the state opted out of NCLB. Sen. Steve Kelley (DFL-Hopkins) said Minnesota would adopt a growth model, rather than the benchmark model of NCLB. A growth model focuses on charting students' growth from year to year, rather than measuring whether students meet preset goals in any given year. "In a fit of wishful thinking," Bachmann said, "NCLB dismisses the bell curve." The federal law requires equality of outcome, rather than accept that children are different and achieve in different ways, she said.

Jim Bartholomew, Minnesota Business Partnership, said Minnesota has one of the best school systems in the nation. There are also significant and persistent achievement gaps, he said. NCLB is a valuable tool that needs modification, Bartholomew said. Rather than opt out, he said, everyone should work together to improve the law and its implementation. Ken Meyer, deputy assistant secretary of the U.S. Dept. of Education, said the law is an evolution in education, not a revolution. The 1994 Elementary and Secondary Education Act (ESEA) required states to set standards and implement testing regimes to assess students against those standards, he said, so the core principles are not new. What is new, he said, is that states are being required to comply with the law. In 2001, Meyer said, only 11 states were in compliance with ESEA. Bachmann said the 1994 law led to the creation of the Profiles of Learning in Minnesota. The problems we experienced with the Profiles will remain with us, she said, if we comply with NCLB.

Division members, chaired by Sen. LeRoy Stumpf (DFL-Thief River Falls), laid over the bill to await a fiscal note.

In other action, the panel considered three other measures. S.F. 2111, carried by Sen. Wesley Skoglund (DFL-Mpls.), provides for voluntary full-day kindergarten. S.F. 2784, sponsored by Sen. David Knutson (R-Burnsville), provides for a study of no-fee, all-day kindergarten, fee-based, all-day kindergarten and no-fee, half-day kindergarten. S.F. 2123, authored by Sen. Julie Rosen (R-Fairmont), provides telecommunications/internet access equity aid to schools in Greater Minnesota. The bills were laid over for possible inclusion in the omnibus education finance bill.

Governor's proposal heard

The K-12 Education Budget Division, chaired by Sen. LeRoy Stumpf (DFL-Thief River Falls), met Wed., Mar. 24, to hear the governor's proposed supplemental budget for education.

The proposal changes appropriations to reflect forecast changes and reduces appropriations for the fiscal years ending June 30, 2004, and June 30, 2005. The proposal also cancels balances and appropriations and transfers balances to the general fund in order to avert a deficit. The proposal reduces general education aid by $966,000 for FY 2005, reduces funding for best practices seminars by $1 million, reduces funding for youth works programs by $900,000, reduces lead abatement funding by $100,000, reduces funding for the Dept. of Education by $502,000, reduces funding to the Minnesota State Academies by $31,000 and reduces funding for the Perpich Center for Arts Education by $179,000. The proposal has not yet been introduced as a bill, thus the committee just discussed the proposed language.

Members also heard several bills and laid them over for possible inclusion in the omnibus bill. S.F. 1869, carried by Sen. Rod Skoe (DFL-Clearbrook), makes a school district or a charter school that is expected to exceed its expenditure limitations as of June 30 of the current fiscal year as a direct result of changes to the estimated aid and credit entitlement payment percentage may receive a portion of its final payment on June 20, if requested by the district. S.F. 1845, sponsored by Sen. Dallas Sams (DFL-Staples), lowers the maximum effort capital loan tax rate. S.F. 2689, authored by Sen. Linda Scheid (DFL-Brooklyn Park), authorizes a pilot program to allow school districts to spend compensatory revenue at school sites with low test scores. S.F. 2019, sponsored by Sen. Ann Rest (DFL-New Hope), authorizes compensatory revenue to follow a compensatory student to a nonresident school district. S.F. 2768, carried by Sen. Wesley Skoglund (DFL-Mpls.), expands the definition of net debt limit for school districts to include bonds issued to pay pension fund liabilities.

State and Local Government Operations

Board of Education bill gains

The State and Local Government Operations Committee, chaired by Sen. Linda Higgins (DFL-Mpls.), met Mon., Mar. 22, to consider a variety of bills. One of the measures, S.F. 2629, sponsored by Sen. Steve Kelley (DFL-Hopkins), reestablishes the State Board of Education. The bill provides for the establishment of the board to oversee the Dept. of Education and outlines the appointment procedure. Under the bill, eight members, one from each Congressional District, are to be appointed by the governor and confirmed by the Senate. Further, the bill specifies that the board appoint the commissioner of education and that the commissioner serve as the secretary of the board. The bill provides that the board has the authority to exercise general supervision over education agencies and to adopt or amend administrative rules. The measure was approved and advanced to the Education Committee.

In other action, the panel advanced several additional bills. S.F. 1850, also sponsored by Kelley, extends the existence of the Electronic Real Estate Recording Task Force until 2006 and extends the surcharge on filings appropriated to the task force. The bill goes next to the Finance Committee. S.F. 2449, sponsored by Sen. David Tomassoni (DFL-Chisholm), clarifies that a town must not spend more money in a year than its total revenue, unless there has been a favorable vote of a majority of the town's electors. In addition, the measure clarifies that except as otherwise authorized by law, the tax for town purposes must not be more than the amount voted to be raised at the annual town meeting. The bill was approved and recommended for placement on the Consent Calendar.

S.F. 2733, authored by Sen. Mady Reiter (R-Shoreview) requires U.S. and Minnesota flags in the Capitol Complex to be flown at half-staff following the death of a firefighter killed in the line of duty in Minnesota. The measure was approved and sent to the Senate floor. H.F. 1737, sponsored by Sen. Brian LeClair (R-Woodbury), permits the city of Lake Elmo to adopt and implement a long-term comprehensive plan that maintains rural densities. In addition, the bill specifies that Lake Elmo not be required to construct a local sewer system to be connected to the metropolitan disposal system. The bill failed to gain the panel's approval on a 5-6 vote.

A bill authored by Sen. Jim Vickerman (DFL-Tracy) also gained approval. S.F. 2274 specifies that no interim ordinance may extend the time deadline for agency action with respect to any application filed prior to the effective date of the interim ordinance. In addition, the bill specifies that an interim ordinance may not prohibit or limit an existing and otherwise legally permissible use of land, but the bill does not prohibit the denial of a subdivision or application that fails to meet the applicable standards for approval. The measure was advanced to the full Senate.

S.F. 2210, carried by Sen. Thomas Bakk (DFL-Cook), provides for the designation of Dept. of Natural Resources (DNR) enforcement personnel by commissioner's order, provides for enforcement of rules and exempts DNR patrol vehicles from the security barrier requirement. The bill was approved and re-referred to the Crime Prevention and Public Safety Committee. A bill providing for renewal of the Emergency Health Powers Act, S.F. 2512, was also approved and advanced to the Judiciary Committee. The measure was sponsored by Sen. Becky Lourey (DFL-Kerrick).

Members also heard an informational presentation on Gov. Pawlenty's Reorganization Order 191 relating to the Dept. of Public Safety.

Omnibus pension bill advanced

The State and Local Government Operations Committee held a marathon meeting Wed., Mar. 24, to consider a variety of bills. One of the major bills on the agenda, S.F. 676, the omnibus pension bill is actually a combination of all the pension bills okayed by the Legislative Commission on Pensions and Retirement. The measure, sponsored by Sen. Don Betzold (DFL-Fridley), makes changes to various statewide and major local public pension plans, makes administrative changes, sets various limitations and requirements for public employees police and fire retirement plan disability benefit applications and resolves one person and small group pension problems. The bill was approved and advanced to the Finance Committee.

In other action, the committee, chaired by Sen. Linda Higgins (DFL-Mpls.), acted on 11 additional bills. S.F. 806, carried by Betzold, modifies the responsibilities to provide actuarial valuations and proposed legislative cost estimates for future actuarial services to the Legislative Commission on Pensions and Retirement. The measure was also advanced to the Finance Committee.

S.F. 2114, authored by Sen. Steve Kelley (DFL-Hopkins), changes the Open Meeting Law to allow a public body to close a meeting to negotiate the purchase or sale of real or personal property. The measure also requires the actual sale must be approved at an open meeting and that the price is public information. The measure was forwarded to the Judiciary Committee.

S.F. 2122, carried by Sen. Leo Foley (DFL-Coon Rapids), authorizes Anoka County to establish a Personnel Board of Appeals. S.F. 2472, authored by Sen. Dennis Frederickson (R-New Ulm), exempts the commissioner of natural resources from rulemaking when making determinations in designations, natural resources activities, fees and grants. The exemption is limited to areas where the commissioner has statutory authority and discretion. S.F. 1334, carried by Sen. Michele Bachmann (R-Stillwater), allows a city charter to prohibit members of the governing body of the city from serving on the charter commission. S.F. 2211, sponsored by Sen. Wesley Skoglund (DFL-Mpls.), modifies provisions for the control of invasive and nonnative species. The bill also sets civil and criminal penalties. S.F. 2067, carried by Sen. Jim Vickerman (DFL-Tracy), changes provisions for publication of public notices in newspapers. S.F. 2285, authored by Sen. Scott Dibble (DFL-Mpls.), adds to the list of unpaid special charges for which a city may collect a service charge as a special assessment. All of the above bills were advanced to the Senate floor.

Two bills were recommended for placement on the Consent Calendar. S.F. 2342, sponsored by Dibble, provides that the county recorder may accept security deposits to guarantee payment of charges. S.F. 2871, sponsored by Sen. Sharon Marko (DFL-Cottage Grove), increases the efficiency of payroll processing by authorizing the use of electronic time recording systems.

State Government Budget Division

Budget discussions continue

The State Government Budget Division met Tues., Mar. 23, to continue discussions of the governor's supplemental budget. The panel, chaired by Sen. Jane Ranum (DFL-Mpls.), concentrated on two sections of the budget memorandum-Article 7, dealing with state government appropriations, and Article 3, relating to criminal justice appropriations. Ranum said the governor has not submitted bills, but has issued memoranda contain the budget recommendations.

The complete budget recommendations may be found online.

Budget review continues

The State Government Budget Division chaired by Sen. Jane Ranum (DFL-Mpls.), met Wed., Mar. 24, to continue its consideration of the governor's budget recommendations. The panel concentrated on two areas: state agencies and criminal justice.

Taxes

Variety of bills heard

Members of the Tax Committee met Tues., Mar. 23, to hear several bills and rank them in priority. The committee, chaired by Sen. Lawrence Pogemiller, uses a scale of A through D to rank bills for inclusion in the omnibus tax bill.

S.F. 1706, sponsored by Sen. Yvonne Prettner Solon (DFL-Duluth), grants a sales and use tax exemption for materials, equipment, and supplies used in the construction of the St. Mary's Duluth Clinic Health System. The measure was recommended for the C list. S.F. 1747, carried by Sen. Gary Kubly (DFL-Granite Falls), excludes ambulance service personnel longevity awards from the state income tax. The bill was recommended for the D list. S.F. 1773, authored by Sen. Mady Reiter (R-Shoreview), conforms state tax law to federal tax changes to encourage consumer-driven health plans. The bill was recommended for the C list.

S.F. 1879, sponsored by Sen. Dallas Sams (DFL-Staples), provides an income tax credit for investments in a regional angel investment network fund. The bill was recommended for the C list. S.F. 1940, also carried by Sams, provides an individual income and corporate franchise tax credit for qualifying investments in dairy operations. The measure was recommended for the B list.

S.F. 2031, sponsored by Sen. John Hottinger (DFL-St. Peter), provides that the education expense credit and deduction apply to expenditures for prekindergarten expenses and museum memberships. The measure was recommended for the C list. S.F. 2119, authored by Sen. Thomas Bakk (DFL-Cook), exempts memorial stones from the sales tax. The measure was also recommended for the C list.

S.F. 2230, sponsored by Sen. James Metzen (DFL-South St. Paul), provides for members of the Minnesota National Guard to be considered nonresidents for income tax purposes while in active service. The measure was recommended for the C list. S.F. 2349, carried by Sen. Scott Dibble (DFL-Mpls.), exempts high mileage hybrid cars from the motor vehicle sales tax. The bill was recommended for the B list.

AMT discussed

The Tax Committee devoted a large part of the Wed., Mar. 24, meeting to discussion of bills modifying the alternative minimum tax (AMT). Sen. Ann Rest (DFL-New Hope) sponsored two bills dealing with the AMT, S.F. 2683 and S.F. 2701. Rest said the AMT was begun by the federal government back in the 1970s because some extremely wealthy individuals were not paying income tax. The problem, Rest said, is that the AMT is now applying to middle income families with several children. She said the original AMT was not indexed for inflation and now captures more families with modest incomes. The expansion of returns subject to AMT is occurring because the AMT is not indexed for inflation while the regular tax, the standard deduction and personal exemptions are indexed and because of federal tax cuts, Rest said. More than 90 percent of those taxpayers paying the AMT are doing so because they have dependent exemptions, standard deductions, or itemized deductions for state and local taxes, medical expenses or miscellaneous expenses, Rest said. The two bills both lower the threshold for deductions for charitable contributions and increase AMT exemption amounts and adjust the exemption amounts for inflation in future years. Both measures were recommended for the C list.

In other action, the committee, chaired by Sen. Lawrence Pogemiller (DFL-Mpls.), considered several additional bills and ranked the measures on a scale from A through D. S.F. 2320, sponsored by Sen. William Belanger (R-Bloomington), sets forth three conditions under which estates would be exempted from the Minnesota estate tax. Under the bill, the deduction for charitable contributions on the estate tax return must be at least 20 percent of the Minnesota gross estate, the decedent's Minnesota income tax for the tax year prior to the year of death must have been at least equal to 5 percent of the decedent's federal taxable income and the estate tax return must have been filed in a timely and proper manner. The measure was recommended for the C list. S.F. 2117, carried by Sen. Becky Lourey (DFL-Kerrick), provides that property used for child care located in homestead property be assessed as part of the homestead property. The bill was recommended for the A list.

S.F. 2403, sponsored by Sen. John Marty (DFL-Roseville), requires the add-back of the deduction for disqualified vehicles. Under the bill, a disqualified vehicles is a four-wheeled vehicle manufactured for use on public streets, rated between 6,001 and 14,000 pounds, designed to seat nine or fewer individuals and not equipped with an open cargo area with an interior length of 72 inches or more or does not have a covered box with an interior length of 72 inches or more that is separate from the passenger compartment. The bill was placed on the C list. S.F. 2431, sponsored by Rest, exempts publicly traded partnerships from the withholding requirements for non-resident individual partners. The bill was placed on the A list.

Transportation Policy and Budget Division

Bus strike status heard

Members of the Transportation Policy and Budget Division, chaired by Sen. Steve Murphy (DFL-Red Wing), met Tues., Mar. 23, to discuss the labor negotiations between the Metropolitan Council and Metro Transit drivers and mechanics. Amalgamated Transit Union Local 1005, which represents the drivers and mechanics, went on strike Mar. 4. Representatives of the union and Met Council met with a state mediator Mon., Mar. 22, but no agreement was reached.

Omnibus policy bill approved

The Transportation Policy and Budget Division, chaired by Sen. Steve Murphy (DFL-Red Wing), devoted the Thurs., Mar. 25, hearing to assembling the division's omnibus policy bill. The measure, carried by Murphy, contains many of the bills heard in the division over the course of the session.

S.F. 2335 contains bills relating to toll facilities carried by Sen. Sharon Marko (DFL-Cottage Grove) and Sen. Scott Dibble (DFL-Mpls.), a bill prohibiting young drivers from using cell phones carried by Sen. Sean Nienow (R-Cambridge), a bill defining school zone speed limits carried by Sen. Charles "Chuck" Wiger (DFL-North St. Paul), a bill prohibiting leaving a child under nine years old in a motor vehicle unattended carried by Sen. Bob Kierlin (R-Winona), a bill requiring booster seats carried by Sen. David Knutson (R-Burnsville) and several measures relating to transporting forest products carried by Sen. Tom Saxhaug (DFL-Grand Rapids). Other parts of the measure contain provisions making failure to wear a seat belt a primary offense sponsored by Murphy, a bill requiring the retesting of habitual violators of traffic laws carried by Sen. Dave Kleis (R-St. Cloud), a bill prohibiting the issuance of an instruction permit or provisional license to a young person involved in crash-related moving violation or driving while impaired violation sponsored by Sen. Betsy Wergin (R-Princeton), a bill prohibiting the use of a traffic signal preemption transmitter without authorization carried by Wiger, a bill requiring drivers to reduce speed near emergency vehicles carried by Murphy and a bill requiring the Dept. of Transportation to develop an aviation plan as part of the state transportation plan carried by Sen. Jane Ranum (DFL-Mpls.) Other provisions contained bills of a more technical nature.

The last portion of the bill contains the governor's recommendation for trunk highway fund appropriations and trunk highway bond proceeds appropriations. The bill appropriates $3 million for conversion of the existing analog microwave communication backbone equipment to digital equipment and $4.4 million is appropriated for capital improvements to small buildings state wide. The bond appropriations include $3.383 million to repair and renovate the exterior of the Dept. of Transportation building, $15.3 million for a new district headquarters in Mankato and $6 million for construction of a flood control perimeter dike along the east and south edges of Holman Field in St. Paul.

Members offered numerous amendments to the bill. Sen. Mee Moua (DFL-St. Paul) offered an amendment to delete the appropriation for the flood control perimeter dike. She said there were many neighborhood concerns that still need to be worked out. The amendment was adopted. Murphy offered, and the panel adopted, an amendment specifying that 911 emergency operators be classified as essential employees. Murphy also offered amendments concerning the regulation of motorized scooters and for a study to determine a way to reduce credit card fees charged to deputy registrar transactions. Both amendments were adopted. Sen. Satveer Chaudhary (DFL-Fridley) offered an amendment allowing an advanced hunter endorsement on driver's licenses. The amendment was adopted.

Moua offered an amendment to remove the status check on the driver's licenses of foreign drivers who obtain Minnesota drivers licenses. Moua said of the approximately 13,000 status check licenses that have been issued, about 3,000 have been canceled. Moua said the department has not been tracking the canceled licenses, nor does the department forward information to law enforcement. Kleis opposed the amendment and said the fact that 3,000 licenses have been canceled proves the measure is working. Moua withdrew the amendment.

Sen. Claire Robling (R-Jordan) offered an amendment reducing the fine of the seat belt violation to $50. Members adopted the amendment. Sen. Ann Rest (DFL-New Hope) offered an amendment specifying hybrid, high-mileage vehicles be exempt from tolls, should toll ways be constructed in the state. The measure was also adopted. Sen. Mark Ourada (R-Buffalo) offered an amendment deleting a provision relating to the sale of I-394 parking facilities in Minneapolis. The amendment was adopted. The final two amendments adopted by the division were offered by Wiger. One amendment specifies that traffic should keep to the right on freeways and the second amendment requires pets to be contained in the cab of a vehicle or in a cage or container.

The bill was then advanced to the full Finance Committee.

 

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