ARTICLE 1 – HIGHER EDUCATION APPROPRIATIONS

Sections 6 to 19 are policy changes related to the appropriations contained in the article.

Section 6, together with section 13, amend a law related to high school Principal’s Leadership Institutes.  Current law authorizes institutes at the University of Minnesota and within MnSCU.  Sections 6 and 13 separate the two institutes with section 6 retaining current law for the University of Minnesota and Section 13 authorizing a MnSCU system institute at Minnesota State University Mankato.  The two sections contain different operating language.

Section 7 relates to the state grant program administered by the Office of Higher Education (OHE).  It reduces the assigned family responsibility portion used in the calculation of state grants which has the effect of increasing state payments for a grant generally.

Section 8 amends the definition of “satisfactory academic progress” for the purpose of the state grant program to accommodate the pilot program for developmentally delayed students created by section 17.

Section 9 authorizes OHE to make outreach grants to community colleges and school districts for the purpose of the PIPELINE (dual training) program.

Section 10 creates a special account in the state treasury for appropriations made for the PIPELINE (dual training) program.

Section 11 authorizes OHE to use up to five percent of PIPELINE (dual training) appropriations for administrative costs.

Section 12 requires OHE to make reasonable efforts to obtain and provide information to students and parents about the dual credit acceptance polices of colleges and universities in Minnesota, South Dakota, North Dakota, and Iowa.

Section 13 authorizes a Principal Leadership Institute at Minnesota State University Mankato.  

Section 14 requires MnSCU to adopt policies and makes recommendations for policy strategies for developmental education and supplemental instruction.  Developmental education relates to remedial non-credit classes and supplemental instruction is instruction to address a student’s identified academic weaknesses.

Section 15 creates an OHE administered grant program to make improvements in retention, completion, and well-paying job attainment for students historically underrepresented in college. 

Section 16 establishes tuition caps for the 2017 fiscal year for the purpose of the state grant program.

Section 17 establishes a pilot academic program at MnSCU for developmentally delayed students.  The program must be offered at up to four system campuses with existing facilities, including residential facilities.  The enrollment goal at each campus must be at least ten students.  The pilot must commence in the 2017-2018 academic year.

Section 18 requires OHE to issue a request for proposals for a Web-based job and intern-seeking software tool that blind matches students and employers.

Section 19 requires the commissioner of OHE to make a report and recommendations to the legislature concerning teacher diversity.

 ARTICLE 2 – ECONOMIC DEVELOPMENT

Section 1 [Appropriations] specifies definitions of fiscal years.

Section 2 [Department of Employment and Economic Development] provides appropriations for the Department of Employment and Economic Development. See spreadsheet for details.

Section 3 [Department of Labor and Industry] provides appropriations for the Department of Labor and Industry. See spreadsheet for details.

Section 4 [Explore Minnesota Tourism] provides appropriations for Explore Minnesota Tourism. See spreadsheet for details.

Section 5 [Public Employment Relations Board] provides appropriations for the Public Employment Relations Board. See spreadsheet for details.

Section 6 [Housing Finance Agency] provides appropriations for the Housing Finance Agency. See spreadsheet for details.

Section 7 [Department of Commerce] provides appropriations for the Department of Commerce. See spreadsheet for details.

Section 8 [Access by labor organizations, the Bureau of Mediation Services, and the Public Employment Relations Board] amends the personnel data statute provision that allows personnel data to be disseminated to labor organizations to add the Public Employment Relations Board (PERB). Contains an effective date of July 1, 2016.

Section 9 [Public employment relations board data] adds a new section to chapter 13 governing PERB data. Contains an effective date of July 1, 2016.

Section 10 [Minnesota 21^st century fund] renames the “Minnesota minerals 21^st century fund” to the “Minnesota 21^st century fund” to reflect expanded uses of the fund to other sectors and industries, including manufacturing and technology projects. This is from S.F. 3155 (Tomassoni).

Section 11 [Iron Range Resources and Rehabilitation Board Contribution] makes corresponding changes due to changes in section 12 relating to the Minnesota 21^st century fund. This is from S.F. 3155 (Tomassoni).

Section 12 [Grant program established; purpose] requires that in awarding grants under the Greater Minnesota Business Development Public Infrastructure Grant (BDPI) program, that the commissioner adheres to program criteria. Specifies that if the commissioner awards a grant for less than 50 percent of the project, the commissioner shall provide the applicant and the legislature a written explanation of why less than 50 percent of the capital costs were awarded in the grant.

Section 13 [Eligible projects] expands development projects eligible for a BDPI grant to include industrial park development prior to any commitment by businesses to locate within the proposed park.

Section 14 [Application] modifies the criteria to be evaluated by the commissioner in reviewing grant applications to include projects that are expected to result in or will attract substantial public and private capital investment and are expected to or will create or retain full-time jobs. Current law requires that projects will result in investment and will create or maintain full-time jobs.

Section 15 [Maximum grant amount] increases the maximum grant award that a city or county may receive from $1,000,000 to $2,000,000 every two years.

Section 16 [Bureau of small business], subdivision 1 [Generally] adds technical assistance center and other technical assistance to scope of activities of the Bureau of Small Business. This section is from S.F. 2679 (Jensen).

Subdivision 2 [Duties] specifies the provision of business finance assistance and information as a duty of the bureau; updates mediums for contacting the bureau; and provides specificity regarding the development of the bureau’s public awareness program regarding state assistance programs for small businesses.

Sections 17 to 23 [Definitions] add and amend definitions relating to changing the name of the Urban Initiative Board in Chapter 116M to the Minnesota Initiative Board and expansion of the program statewide. Sections 15 to 25 are from S.F. 2437 (Sparks).

Section 24 [Membership] amends the membership composition to reflect changes to the Minnesota Initiative Board. Increases governor appointees to the board from eight to 12 members, increases representatives from minority business enterprises from six to nine members, and prohibits more than six public members from being of one gender. Requires geographic balance in appointed membership. Requires at least half of the public members to have experience in working to address racial income disparities.

Section 25 [Technical assistance] requires the department of employment and economic development (DEED) to provide technical assistance and informational outreach about the program to lenders, nonprofit corporations, and low-income and minority communities throughout the state that support the development of business enterprises and entrepreneurs.

Section 26 [Reports] requires the board to include information on the number of jobs created by the Minnesota Initiative program in their annual report to the legislature.

Section 27 [Minnesota Initiative program] establishes a statewide grant program to award grants to nonprofit corporations to fund loans to businesses owned by minority or low-income persons or women. Requires DEED to review existing agreements with nonprofit corporations every five years and allows DEED to renew or terminate agreements based on their review. Requires nonprofit corporations that receive grants to establish a commissioner-certified revolving loan fund for the purpose of making eligible loans. Allows grants for microenterprise loans to be made for a minimum of $5,000 (increased from $1,000) and a maximum of $35,000 ($50,000 in low-income areas). Allows DEED to make capacity building grants to nonprofit corporations. 

Section 28 [Open meetings] adds a section to the PERB governing statute regarding open meetings to exclude meetings of the Public Employment Relations Board when it is deliberating on the merits of unfair labor practice charges or revealing specified decisions relating to unfair labor practices or exercising its hiring authority. Contains an effective date of the day following final enactment.

Section 29 [Report] adds a reporting requirement to the PERB governing statute. Requires a report to be submitted to the legislature by November 16, 2016, summarizing the nature, number, and resolution of charges filed with the PERB. Contains an effective date of July 1, 2016.

Section 30 [Exceptions to boiler requirements] extends the exception for high pressure boiler attendance requirements at a sawmill facility until August 1, 2018, or upon the effective date of a rule regulating high pressure boiler attendance requirements for the facility.

Section 31 [Workforce and affordable homeownership development program] establishes a grant program to be administered by the Minnesota Housing Finance Agency (MHFA) to award homeownership development grants to nonprofits, cooperatives, and community land trusts in order to increase the supply of workforce and affordable, owner-occupied housing in Minnesota.  Requires a report from MHFA to the legislature specifying the projects that received grant funds.

Section 32 [Metropolitan are definition change] amends the definition of “metropolitan area” to exclude the city of Cannon Falls.

Section 33 [Explore Minnesota Tourism] makes a technical correction to the 2015 appropriation rider language for Explore Minnesota Tourism.

Section 34 [Bureau of Mediation Services] amends 2015 appropriations for the Bureau of Mediation Services. See spreadsheet for details.

Section 35 [Day training and habilitation grant program] establishes a grant program to be administered by DEED for a day training and habilitation competitive grant program in relation to the Olmstead Plan requirements. Requires DEED to submit an annual report to the legislature on the amount of funds awarded and the outcomes reported by grantees. This is from S.F. 1155 (Hoffman).

Section 36 [Exploited families rental assistance program] requires the commissioner of housing finance to establish a rental assistance program to serve families from emerging communities at risk of being homeless and who have been victims of gender-based violence, including, but not limited to domestic violence, sexual assault, trafficking, international abusive marriage, or forced marriage. Defines “gender-based violence” and “emerging communities.” Provides the eligibility for grant recipients, including the requirement that recipients of the rental subsidy must pay rent at 30 percent of their income. Requires the organizations receiving grants to provide aggregate data on participants to evaluate the program. This is from S.F. 311 (Johnson).

Section 37 [“Getting to work” grant program] establishes the “Getting to Work” grant program to be administered by DEED to provide grants to nonprofit organizations to establish and operate programs that provide, repair, or maintain motor vehicles to assist eligible individuals to obtain or maintain employment. Requires a report from DEED to the legislature regarding results and analysis of the impact of the grant program. This is from S.F. 641 (Saxhaug).

Section 38 [Revisor’s instruction] directs the Revisor of Statutes to change the term “Urban Initiative Board” to “Minnesota Initiative Board” consistent with the changes made to the program in sections 17 to 27. 

                                                     ARTICLE 3 – AGRICULTURE

Section 1 [Appropriations] provides the technical language on how the appropriations in this article are treated.

Section 2 [Department of Agriculture] appropriates $3.5 million from the general fund in fiscal year 2017 to the Department of Agriculture for:

·         Noxious weed grants, $350,000 (SF 1389, Sparks);

·         Tractor rollover grants, $1 million (SF 2701, Sparks);

·         Pollinator investment grants, $300,000 (SF 2191, Schmit);

·         A grant to Duluth for a deep winter greenhouse, $200,000 (SF 3032, Reinert);

·         The industrial hemp pilot project, $500,000 (SF 3076, Eken);

·         Organic agriculture transition grants, $150,000 (SF 3330, Dahle); and

·         Grants to the U of M for Forever Green, $1 million (SF 579, Dahle).

Sections 3 and 4 [Eligible projects; Ag BMP loan program] provide that drinking water projects that implement best management practices (BMPs) to achieve drinking water standards are eligible for the agriculture best management practices (Ag BMP) loan program.

Section 5 [Tractor rollover protection pilot grant program] establishes a tractor rollover protection pilot grant program in the Department of Agriculture to pay farmers or schools for 70 percent or the amount to reduce the farmer’s or school’s cost to $500, whichever is greater, to retrofit eligible tractors. Tractors built before 1987 are eligible tractors for the program.  This section also provides for promotion and administration of the pilot program and the acceptance of contributions from nonstate sources.  The pilot program expires on June 30, 2019.  This is from SF 2701, Sparks.

Section 6 [Pollinator investment grant program] establishes a pollinator investment grant program in the Department of Agriculture to provide grants of up to $10,000 to farmers who implement BMPs to protect pollinators.  Farmers are limited to multiple grants not to exceed $30,000. This is from SF 2191, Schmit.

Section 7 [Activities authorized; AGRI program] eliminates bioenergy grants made by the NextGen Energy Board as specifically authorized under the agricultural, growth, research, and innovation (AGRI) program.  The NextGen Energy Board expired on June 30, 2015.

Section 8 [Duties; grants AGREETT program] makes clarifying changes related to extension and technology transfer under the agriculture research, education, extension, and technology transfer (AGREETT) grant program.

Section 9 [AGREETT advisory panel] removes the representative from College of Food, Agriculture, and Natural Resources Sciences (CFANS) from the advisory panel for AGREETT and requires that the representative from CFANS consult with the advisory panel.  This section also clarifies the appointment of certain members of the advisory panel.

Sections 10 to 13 [Biobased products definitions] reenact biobased product definition that are used for the biobased products producer payment programs – advanced biofuels, renewable chemicals, and biomass thermal.  These definitions were part of the NextGen Energy Board statute that expired on June 30, 2015.

Section 14 [Biobased products; quarterly definition] defines “quarterly” for the purposes of the biobased products producer payment programs.

Section 15 [Technical] removes an obsolete reference.

Sections 16 to 19 [Quarterly limits] convert annual limits to quarterly limits for the purpose of the biobased products producer payment programs.  Section 16 also clarifies that biobutanol is eligible for the advance biofuel producer payment program.

Section 20 [Siding production incentive] establishes a siding production incentive program to begin in fiscal year 2018.  The Commissioner of Agriculture will make payments of $7.50 per 1,000 square feet of siding produced for ten years of production.  To be eligible, a siding producer must produce at least 200 million square feet of siding and the payment is limited to 400 million square feet of siding.  An open appropriation that is capped at $3 million per fiscal year is provided.  This is from SF 3154, Tomassoni.

Section 21 [Technical] changes references to the reenacted definition of biobutanol in this article.

Section 22 [2015 appropriation; AGREETT and AGRI] modifies the 2015 appropriation language for AGREETT to:

·        Specify the amounts for cultivated wild rice breeding ($450,000) and potato breeding ($350,000);

·         Clarify that the rapid response appropriation is to the Minnesota Agricultural Experiment Station                   Rapid Response Fund;

·        Specify that after the carve outs, the remaining money is transferred to the U of M for agricultural                 research, extension, and technology transfer; and

·        Specify that the first year grants may be carried over to the second year of the biennium.

This section also allows AGRI grants that are encumbered before June 30, 2017, to be available until June 30, 2021, and allows first year AGRI grants for food hubs to be carried over to the second year of the biennium.

Section 23 [2015 appropriation; avian influenza] reduces a 2015 appropriation for avian influenza by 43 million.

ARTICLE 4 – NATURAL RESOURCES

Section 1 [Appropriations] provides the technical language on how the appropriations in this article are treated.

Section 2 [Natural Resources] appropriates approximately $2.3 million in fiscal year 2016 and approximately $14.8 million in fiscal year 2017 to the Department of Natural Resources (DNR). Of this amount, approximately $13.9 million is from the general fund, approximately $2.3 million is from the natural resources fund, and $780,000 is from the game and fish fund.  Specific appropriations are for:

·         The school trust lands director for costs related to trust land sales in the Boundary Waters Canoe Area            Wilderness, $400,000 (SF 2638, Saxhaug);

·         School trust land valuation process, $200,000;

·         Middle-Snake-Tamarac Rivers Watershed District hydraulic modeling, $187,000 (SF 2321, Stumpf);

·         Pineland sand aquifer study, $1 million;

·         Koronis Lake Association grant for aquatic invasive species, $200,000;

·         Little Stone Lake Dam maintenance, $250,000;

·         Forest road maintenance pilot, $600,000 (SF 424, Saxhaug);

·         Private forest management assistance, $2.5 million (SF 3391, Saxhaug);

·         Parks and trails management, $5.1 million;

·         David K. Dill trail signage, $20,000 (SF  2557, Saxhaug);

·         Wooden Frog Campground sanitary sewer, $100,000;

·         Douglas County park grant, $250,000;

·         Transfer-on-death watercraft title change, $29,000; (SF 1040, Pratt)

·         Fish virus surveillance, $50,000 (SF 2671, Bakk);

·         Legal costs related to permitting the NorthMet mining project, approximately $4 million;

·         Wolf Ridge ELC grant, $1.5 million (SF 2921, Bakk); and

·         SE Asian community outreach, $60,000 (SF 2705, Hawj).

Section 3 [Wild rice license exemption] exempts tribal members who possess a valid tribal license to harvest wild rice from needing a state wild rice harvesting license.

Sections 4 and 5 [OHV trail pass; residents] allows residents to purchase a $20 off-road vehicle (OHV) trail pass and use OHV trails for 30 days without OHV registration.  This is from SF 3177, Tomassoni.

Section 6 [David K. Dill Trail] establishes the David K. Dill Trail.  This is from SF 2557, Saxhaug.

Section 7 [Transfer-on-death title to watercraft] provides for a watercraft owner to have the watercraft titled in transfer-on-death.  This is from SF 1040, Pratt.

Section 8 [FMIA; certified costs deposit] provides for certified costs incurred on nonstate lands to be deposited in the forest management investment account (FMIA).  This is from SF 3391, Saxhaug.

Section 9 [Minerals Management Coordinating Committee; extension] extends the Minerals Management Coordinating Committee another ten years to 2026.

Section 10 [Minerals Management Account] provides for quarterly transfers from the minerals management account to the trust funds rather than annual transfers.  This is from SF 2638, Saxhaug.

Section 11 [Expedited land exchanges; school and university lands] makes school trust and university lands eligible for expedited exchanges.  This is from SF 2638, Saxhaug.

Section 12 [Expedited land exchanges; valuation of land] clarifies land valuation for expedited land exchanges.  This is from SF 2638, Saxhaug.

Section 13 [Expedited land exchanges; reversionary interest] eliminates the retention of a reversionary interest for expedited land exchanges.  This is from SF 2638, Saxhaug.

Sections 14 and 16 [Lifetime game and fish license designation on driver’s license] allows a person to have their lifetime license designation on their driver’s license and to use their driver’s license as proof of having the game and fish license.  These sections are effective the earlier of January 1, 2018, or the implementation of a new computer program by the Department of Public Safety.  This is from SF 2936, Bakk.

Section 15 [Nonresident members of the National Guard] allows nonresident members of the Minnesota National Guard to obtain a resident license to take game and fish, other than elk or moose.  This is from SF 3184, Anderson.

Section 17 [Boathouse leases] provides that leases for boathouses on Stuntz Bay of Lake Vermilion cannot exceed 50 percent of the average market rate, based on comparative private lease rates adjusted every five years.  This is from SF 3245, Limmer.

Section 18 [2014 appropriation; Asian youth fishing recruitment] expands the use of a 2014 appropriation for Asian youth fishing recruitment and extends the appropriation to June 30, 2017.

Section 19 [2015 appropriation; local park and trail grants] allows the DNR to use 2.5 percent of the fiscal years 2016 and 2017 appropriations for local park and trail grants for administration of the grants.

Section 20 [2015 surplus land sales requirement; exchanges] amends the 2015 law requiring certain surplus land sales to allow exchanges instead of sales.

Section 21 [Cold Spring water appropriation permits; report] directs the Commissioner of Natural Resources to amend a certain water appropriation permit for the city of Cold Spring and report on monitoring.

Section 22 [Minneapolis Park and Recreation Board reallocation] allows for a reallocation of expenditures from 2013 and 2014 parks and trails fund appropriations that are based on the most recent priority rankings.

ARTICLE 5 – BROADBAND

Section 1 [Appropriations] specifies definitions of fiscal years.

Section 2 [Department of Employment and Economic Development] appropriates $85,000,000 in fiscal year 2017 for the Border-to-Border Broadband Development Program.

Section 3 [Definitions] amends definitions relating to broadband development, including updating the definitions of “underserved areas” and “unserved areas” with regard to download and upload speeds. This is from S.F. 2448 (Schmit).

Section 4 [Expenditures] caps the amount the Department of Employment and Economic Development may use to administer the border-to-border broadband grant program at three percent of any expenditures.

Section 5 [Universal access and high-speed goal] updates the universal access and high-speed goal for the state so that by 2022, all Minnesota businesses and homes have access to high-speed broadband that provides minimum download speeds of at least 25 megabits per second and minimum upload speeds of at least three megabits per second; and by 2026, all Minnesota businesses and homes have access to at least one provider of broadband with download speeds of at least 100 megabits per second and upload speeds of at least 20 megabits per second. This is from S.F. 2448 (Schmit).

ARTICLE 6 – EQUITY

Section 1 [Appropriations] provides the technical language on how the appropriations in this article are treated.

Section 2 [Equity Appropriations] provides the appropriations for this article.       

Subdivision 1 [Total Appropriations] appropriates a total of $87,130,000 to various departments.

Subdivision 2 [Department of Employment and Economic Development]  appropriates $60,557,000 to the Department of Employment and Economic Development for:

• Grants to the Neighborhood Development Center for small business programs, $1,420,000;
• The Minnesota Initiatives program, with priority for loans to businesses operated by women of color, $2,500,000;
•  A competitive grant program for organizations that provide support for individuals, such as job training, employment preparation, internships, assistance to fathers in supporting their children, financial literacy, academic and behavioral interventions for low-performing students, and youth intervention;

• Grants to YWCA organizations to provide job training services and workforce development programs and services, $2,100,000;

• A grant to EMERGE Community Development for services targeting communities with highest concentrations of African and African-American joblessness, $4,250,000;
• A grant to the Metropolitan Economic Development Association (MEDA) for statewide business development and assistance services, $5,050,000;

• A grant to the Minneapolis Foundation for a strategic intervention program designed to target and connect program participants to employment, $1,500,000;
• A grant to Twin Cities R!se for the  Metro Transit technician training program, $407,000;
• A grant to Hennepin County for the creation of additional multiemployer, sector- based career connections pathways, $4,800,000;

• The high-wage, high-demand, nontraditional jobs grant program, $1,500,000;

• The youth-at-work competitive grant program, $8,000,000;
• A competitive grant program to organizations providing services to relieve economic disparities in the Southeast Asian community through workforce recruitment, development, job creation, assistance of smaller organizations to increase capacity, and outreach, $4,000,000;

• A grant to Latino Communities United in Service (CLUES) to expand culturally tailored programs that address employment and education skills gaps, $1,500,000;
• A grant to the American Indian Opportunities and Industrialization Center to reduce academic disparities for American Indian students and adults, $880,000;
• A grant to the White Earth Nation for the White Earth Nation Integrated Business Development System, $1,000,000;

• The emerging entrepreneur fund program, $6,000,000;
• The Pathways to Prosperity adult workforce development competitive grant program, $5) 00,000;
• The capacity grant building program to assist nonprofit organizations offering workforce development and economic development programming, $3,000,000; and

• A grant to Youthprise for positive youth development, community engagement, legal services, and capacity building for community-based organizations serving Somali youth, $2,000,000.

Subdivision 3 [Department of Administration] appropriates $2,500,000 to the Department of Administration to assess, upgrade, and enhance software to facilitate targeted group business utilization and data reporting.

Subdivision 4 [Department of Corrections] appropriates $350,000 for a grant to a nonprofit organization to provide job skills training to individuals who have been released from incarceration for a felony-level offense in the preceding 12 months.   ··

Subdivision 5 [Minnesota Housing Finance Agency] appropriates $500,000 to the Minnesota Housing Finance Agency for a grant to Build Wealth MN to provide for family stabilization plan program.

Subdivision 6 [Department of Agriculture] appropriates $5,000,000 to the Department of Agriculture for the good food access account.

Subdivision 7 [Department of Education] appropriates $10,200,000 to the Department of Education for:

• Grow Your Own teacher residency pilot program, $1,500,000;
• Grants to adult basic education programs and providers, $3,200,000;
• Minnesota's future teachers grant program, $2,750,000; and

• Stepping up for Kids financial assistance, $2,750,000.

Subdivision 8 [Minnesota Management and Budget] appropriates $3,615,000 to Minnesota Management and Budget for administrative expenses related to grants appropriated in this article.

Subdivision 9 [Department of Human Services] appropriates $8,000 to the Department of Human Services for the MAXIS system.

Sections 3 to 8 permit the Commissioner of Administration to award a contract under $25,000 to a small business, small targeted group business, veteran-owned small business, or a small business in an economically disadvantaged area for goods, services, or construction, without competitive bidding. Permits the commissioner to set goals for contractors to subcontract with businesses from any combination of the disadvantaged categories. These sections are from SF 2736, Champion.

Sections 9 and 10 establish the good food access program and the corresponding advisory committee. These sections are from SF 2958, Sparks.  

Section 11 [Emerging Entrepreneur Fund Program] establishes the emerging entrepreneur fund to provide financial and technical assistance for small businesses owned by minorities, women, veterans, or persons with disabilities, or businesses located in low-income areas in the seven-county metropolitan area.

Section 12 [Youth-At-Work Grant Program] establishes a grant program to organizations that provide workforce development and training opportunities to economically disadvantaged or at-risk youth ages 14-24. This is from SF 3146, Dziedzic.

Section 13 [Women and High-Wage, High-Demand, Nontraditional Jobs Grant Program] requires the Commissioner of Employment and Economic Development to give priority to  grant program applicants that encourage and assist women of color to enter high-wage, high­ demand, nontraditional occupations and STEM occupations. The potential uses of the grant funds are expanded. This is from SF 3056, Wiklund.

Sections 14 to 24 establish the Minnesota Initiative Program, which replaces the Urban Challenge Grants Program. The new program awards grants to nonprofit corporations to fund loans to businesses owned by minority or low-income persons or women statewide. These sections are from SF 2437, Sparks.

Section 25 [General Education Development (GED) Test Fees] requires the Commissioner of Education to pay the fee that is charged for a general education development (GED) test. This is from SF 3482, Wiger.

Section 26 [Minnesota's Future Teachers Grant Program] establishes a grant program for eligible institutions with approved teacher preparation programs to provide financial assistance and support to students interested in entering the teaching profession. This is from SF 3482, Wiger.

Section 27 [Food Stamp Employment and Training] makes participation in employment and training services optional, rather than mandatory, which is a federal option for all states. Eligible people are allowed three months of SNAP benefits in three years, unless they are meeting federal work participation standards. This is from SF 2658, Hayden.

Section 28 [Total Appropriation] allows up to $4,400,000 in federal Supplemental Nutrition Assistance employment and training funds to be appropriated from the general fund to the Commissioner of Human Services to expand the Supplemental Nutrition Assistance Program Employment and Training Program. This is from SF 2684, Hayden.

Section 29 [Family Homeless Prevention] appropriates an additional $250,000 to the family homes prevention and assistance programs for grants to create or expand risk mitigation programs to reduce landlord financial risks for renting to eligible persons. This is from SF 3485, Tomassoni.

Section 30 [Home Ownership Assistance Fund] appropriates an additional $3 million to the home ownership assistance fund. This is from SF 3485, Tomassoni.

Section 31 [Capacity Building Grants] appropriates an additional $500,000 for capacity building grants for competitive grants to nonprofit housing organizations, housing and redevelopment authorities, or other political subdivisions to provide intensive financial education and coaching services to individuals or families who have the goal of homeownership. This is from SF 3485, Tomassoni.

Section 32 [GED tests] increases the appropriation to the Department of Education to pay for GED test fees required by section 25. This is from SF 3482, Wiger.

Section 33 [Stepping Up For Kids; Financial Assistance] creates an account to disburse financial assistance for paraprofessionals when enrolled a program in Minnesota leading to teacher licensure. This is from SF 3482, Wiger.

Section 34 [Good Food Access Advisory Committee] provides organizational details for the Good Food Access Advisory Committee created in section 10.

Section 35 [Requirements for Grants to Individually Specified Recipients] provides requirements that named recipients must follow, including prerequisites that must be met before funding is provided, a financial review, and reporting requirements.

Section 36 [Revisor's Instructions] requires the Revisor of Statutes to make name changes for the Minnesota Initiative Program that correspond to the changes made in sections 14 to 24.

Section 37 [Repealer] repeals a limitation that prevents organizations that received a direct grant in the 2015 omnibus appropriations bill section that funded the Department of Employment and Economic Development from participating in competitive grant programs funded in that same section during the fiscal years when the organization receives the direct grants.  This section is effective the day following final enactment.

ARTICLE 7 – ENVIRONMENT AND ENERGY

Section 1 [Appropriations] specifies definitions of fiscal years.

Section 2 [Pollution Control Agency] provides appropriations for the Pollution Control Agency. See spreadsheet for details.

Section 3 [Board of Water and Soil Resource] provides appropriations for the Board of Water and Soil Resources. See spreadsheet for details.

Section 4 [Working lands watershed restoration program], subdivision 1 [Definitions] defines terms, including “biomass processing facility” and “perennial crops.”

Subdivision 2 [Establishment of program] requires BWSR to administer a program to incentivize the establishment and maintenance of perennial crops in consultation with the commissioner of Agriculture. Requires BWSR to contract with landowners to incentivize the establishment and maintenance of perennial crops. Requires BWSR to give preference to contracts that would implement water protection actions identified in a Watershed Restoration and Protection Strategy.

Subdivision 3 [Eligible land] provides that land eligible for the program has either been used to grow annual crops or set aside/enrolled/diverted in another federal or state program for at least two of the past five years and not currently be set aside/enrolled/diverted in another federal or state program.

Subdivision 4 [Contract terms; use as livestock feed] directs BWSR to enter into contracts of at least ten years in duration that pay landowners up to 90 percent of the latest federal Conservation Reserve Program rate for the county. Authorizes BWSR to make additional payments to assist the landowner with establishment of the perennial crops. Allows perennial crops grown on land enrolled in the program to be used as livestock feed or by a facility biomass processing facility.

Subdivision 5 [Pilot watershed selection] authorizes BWSR to select up to two watersheds to conduct a pilot program consisting of up to 100,000 total acres. Provides criteria BWSR must use when selecting pilot watersheds. 

Section 5 [Owner or operator definition] defines “owner or operator” for the purpose of clarifying eligibility for reimbursement from the dry cleaner response and reimbursement account.  This definition will replace the definition repealed in Section 20.

Section 6 [Reimbursement limitation] makes the limitation for reimbursement from the dry cleaner response and reimbursement account to a single dry cleaning facility $100,000.  Under current law, the limit for a single dry cleaning facility is 20 percent of the balance in the account.

Section 7 [Reimbursement adjustment rulemaking] authorizes expedited rulemaking to adjust reimbursement amounts.

Section 8 [Extension of Petrofund] extends the repeal date for the Petroleum Tank Release Cleanup Act (Petrofund) for an additional five years to June 30, 2022.

Section 9 [Reimbursable costs] clarifies that certain costs are reimbursable as it applies to the power purchase agreement specified.

Section 10 [Assessing specific utility] allows assessments collected from a public utility to be paid out of a special revenue fund.

Section 11 [Utility assessment account; appropriation] creates a utility assessment account in the special revenue fund for the deposit of funds received for assessment of costs related to activities of the energy planning and advocacy unit within the Department of Commerce.  Specifies that the funds are annually appropriated to the commissioner. Places a $3,000,000 annual cap on the amount the department may assess under the new subdivision. 

Section 12 [Allocation of revenues] increases the proportion of solid waste management tax revenues available to the state for solid waste activities (county SCORE grants) by increasing the transfers to the environmental fund to 75 percent in fiscal years 2017 and 2018, and 80 percent in fiscal year 2018 thereafter. Under current law, 70 percent of solid waste management tax revenues is transferred to the environmental fund, with 30 percent going to the general fund.

Section 13 [Metropolitan landfill contingency action trust fund account] requires funds in the MLCAT account to be managed by the State Board of Investment. 

Section 14 [Effective date] amends the effective date of changes made to the Petrofund program regarding reimbursement in 2014 from July 1, 2015 to July 1, 2016. Makes the amended effective date effective retroactively from May 5, 2014.

Section 15 [2015 appropriation modification] adjusts the general fund total for Department of Commerce to reflect the ability for the department to assess for certain activities under new authority provided in Sections 9 and 10.

Section 16 [Energy resources appropriation] adjusts the general fund total for the energy resources unit within the Department of Commerce to reflect the ability for the department to assess for certain activities of the unit under new authority provided in Sections 9 and 10.

Section 17 [Public Utilities Commission appropriation] adjusts appropriation amounts to the Public Utilities Commission for additional staff and increased costs related to implementation of recent legislative changes. 

Section 18 [2015 Appropriation modification] modifies a 2015 appropriation to the dry cleaner response and reimbursement account by removing a restriction requiring a 2016 enactment related to the insolvency of the dry cleaner response and reimbursement account.  This section also removes a provision related to priorities in the use of the appropriation.

Section 19 [Feasibility study and program plan; working lands watershed restoration program] requires BWSR to develop a detailed plan to implement the new working lands watershed program. Specifies eleven plan components. Requires BWSR to work with stakeholders and specified state agencies. Requires BWSR to submit to legislative committees an interim report by October 15, 2017, and the final feasibility study and implementation plan by February 1, 2018.

Section 20 [Rulemaking; dry cleaner response and reimbursement account] directs the Commissioner of the Pollution Control Agency to use expedited rulemaking to address certain issues with the dry cleaner response and reimbursement account relating to applications for reimbursement, reasonable costs for reimbursement, and to establish a process to adjust reimbursement rates.  Sets certain parameters for the rules.

Section 21 [Repealer] repeals the definition of "owner or operator" for the purpose of the dry cleaner response and reimbursement program.

ARTICLE 8 – STATE GOVERNMENT

Section 1 [Appropriations] specifies that amounts appropriated in this act are in addition to amounts appropriated in the 2015 State Departments budget bill.  Appropriations are from the general fund, unless otherwise specified, and are available in the fiscal year indicated. Appropriations for fiscal year 2016 are effective the day after enactment.

Section 2 [Administration] appropriates money to the Department of Administration.

Subdivision 1 [Total Appropriations] sums the total appropriated to the Department of Administration.

Subdivision 2 [Government and Citizen Services – Olmstead Plan Increased Capacity] appropriates money for administrative costs to expand services provided under the Olmstead Plan for people with disabilities.

Subdivision 3 [Government and Citizen Services – Targeted-Group and Veterans Business Preference Program] appropriates money to implement a new preference program for businesses owned by women, people of certain ethnic backgrounds, people with disabilities, and veterans. This is a onetime appropriation.

Subdivision 4 [Strategic Management Services – Capitol Complex Child Care Facility] appropriates money to predesign a child care facility to be located in the Capitol complex, and adds money to the base appropriation for the Department of Administration beginning in fiscal year 2018 to operate the facility.

Subdivision 5 [Fiscal Agent – Capitol Workers Memorial Plaque] appropriates money to design, construct, and install a plaque honoring people who have worked on construction and preservation of the Capitol Building.  This is a onetime appropriation.

Subdivision 6  [Fiscal Agent – Veterans’ Voices] appropriates money for a grant to the Association of Minnesota Public Educational Radio Stations for statewide programming to promote the Veterans’ Voices program. This is a onetime appropriation.

Section 3 [MN.IT Services] appropriates money to MN.IT for cybersecurity across state government and for MN.IT to provide IT services to the Gambling Control Board. This is a onetime appropriation.

Section 4 [Minnesota Management and Budget] appropriates money to Minnesota Management and Budget for statewide information technology systems. This is a onetime appropriation.

Section 5 [Revenue] appropriates money to the Department of Revenue for tax refund fraud protection.  A portion of this appropriation is onetime.

Section 6 [Amateur Sports Commission]

Subdivision 1 [Total Appropriation] sums the total appropriations to the Amateur Sports Commission.

Subdivision 2 [Mighty Ducks] appropriates money for the so-called Mighty Ducks program, to replace R-22 in the cooling systems of ice arenas around the state. This is a onetime appropriation.

Subdivision 3 [Red Wing Ski Jump] appropriates money for a grant to the city of Red Wing to construct an Olympic ski jump.  Requires a nonstate match of $3 million. This is a onetime appropriation.

Section 7 [Humanities Center] appropriates money to the Minnesota Humanities Center for the Veterans Voices’ program and for education efforts around the Veterans’ Voices program. This is a onetime appropriation.

Section 8 [Minnesota Historical Society; Digital Preservation] appropriates money to the Minnesota Historical Society for digital preservation and access.  This is a onetime appropriation.

Section 9 [Minnesota State Retirement System] appropriates money for transfer to the judges’ retirement fund and adds this amount to the base. The transfer continues until the judges’ retirement plan reaches 100 percent funding.

Section 10 [Military Affairs] appropriates money to the Department of Military Affairs.

Subdivision 1 [Total Appropriation] sums the appropriations to the Department of Military Affairs.

Subdivision 2 [Maintenance of Training Facilities] appropriates money for security upgrades.  This is a onetime appropriation.

Subdivision 3 [Security Improvement – General Support]

Section 11 [Veterans Affairs] appropriates money to the Department of Veterans Affairs.

Subdivision 1 [Total Appropriation] sums the appropriations to the Department of Veterans Affairs.

Subdivision 2 [Veterans Homes Domiciliary Increase] appropriates money to increase the personal needs allowance for residents of veterans homes. Specified amounts are added to the base.

Subdivision 3 [Mental Health Study] appropriates money for a study, described later in the article, to determine unmet needs for veterans behavior and mental health.

Subdivision 4 [Disabled Veterans Interim Housing Study] appropriates money for a study, described later in the article, on interim housing for disabled veterans who are waiting for residency in a veterans home.

Subdivision 5 [Veterans Homes – Montevideo and Bemidji] adds money to the base in fiscal years 2018 and 2019 for operating new veterans homes in Montevideo and Bemidji. Specifies that this appropriation cannot be used for operations at a veterans  home in Minneapolis.

Section 12 [Agencies must Request Designer] raises the threshold for the size of an agency project or planning project for which the Designer Selection Board selects a primary designer.

Section 13 [Designer Selection Process] requires the Designer Selection Board to consider the geographic proximity, among other criteria specified in current law, when selecting a designer for a state agency project or planning project.

Sections 14 and 15 establish a new preference and mentoring program for state contracting for businesses owned by women, people of certain ethnic backgrounds, people with disabilities, and veterans.  These sections are in Sen. Hayden’s bill, SF 2738.

Section 14 [Procurement from Other Targeted and Veteran-Owned Businesses]

Subdivision 1 [Designation of eligible groups] permits the Commissioner of Administration to establish a category of businesses that are eligible for certain preferences under state contracting laws. The new category includes businesses that do not meet the definition of “small” (for purposes of existing preferences for certain small businesses) but are majority-owned and operated by women, persons with a substantial physical disability, specific minorities, or veterans.

Subdivision 2 [Preference] permits the Commissioner of Administration to award  up to three percent preference for contracts for specified goods, services, or construction.

Subdivision 3 [Limitations on Preference] precludes application of this preference where the preference would preclude the business from receiving an award under existing preference programs for targeted businesses.

Subdivision 4 [Subcontracting Incentives and Penalties] establishes incentives and penalties for prime contractors for using subcontractors that meet the designation of subdivision 1.  These incentives and penalties are the same as in existing laws with respect to subcontracting with small targeted-group businesses.

Subdivision 5 [Mentoring Program] requires the Commissioner of Administration to collaborate with organizations that represent targeted-group and veteran-owned businesses to prepare recommendations for establishing a mentoring program to incentivize larger businesses to mentor targeted-group businesses and veteran-owned businesses.

Section 15 [Eligibility; Rules] permits the Commissioner of Administration to use a nationally recognized certifying organization to certify businesses as owned by targeted groups or veterans to be eligible for preferences in state contracting, under existing preference programs and under the new program established under section 1.  This section requires the Commissioner of Administration to adopt rules, using expedited procedures, to certify businesses for eligibility for preferences.

Section 16 [State Agency Technology Projects] permits a state agency to transfer an unexpended operating balance to a specified account (“the information and telecommunications technology systems and services account”) for the information technology cost of a specific project, subject to the review of the Legislative Advisory Commission.

Section 17 [Charges] permits MN.IT Services to receive a fund transfer from a state agency for purchases of information and telecommunications technology systems and services.

Section 18 [Legislative Advisory Commission Review] precludes the transfer of money into the information and telecommunications technology systems and services account until the Commissioner of Management and Budget submits the proposed transfer to the Legislative Advisory Commission for review and recommendation.  Establishes steps and timeline for review of a proposal by the Legislative Advisory Commission.

Section 19 [Lapse] provides that money transferred into the information and telecommunications technology systems and services account that is not spent lapses at the close of the fiscal year four years after the funds were received in the account.  The lapsed funds are returned to the fund from which they had been transferred into the information and telecommunications technology systems and services account.

Section 20 [Report] requires the chief information officer to report to the legislature in odd-numbered years on the projects funded through the information and telecommunications technology systems and services account.

Sections 21 and 22 increase the amount paid for personal needs to veterans residing in veterans homes.  These sections are in Sen. Sieben’s bill, SF 131.

Section 21 [Cost of Care] requires the Commissioner of Veterans Affairs to establish in rules a method to calculate a maintenance charge for domiciliary residents.  The maintenance charge establishes a personal needs allowance based on the resident’s monthly income. This section sets the minimum personal needs allowance for the period June 30, 2016, to June 30, 2017, at $122 per month and at $130 for the following year.  After that, the allowance is adjusted annually by one-half of the percentage change of the Consumer Price Index on the first day of each calendar year. 

Section 22 [Arrearages] specifies that when a resident enters into an agreement for a payment schedule to address overdue maintenance charges, the agreement must not reduce the resident’s personal needs allowance below the minimum amounts specified in section 1 of the bill.

Section 23 [Veterans Homes; Montevideo and Bemidji] provide for new veterans homes in Montevideo and Bemidji.  This section is from Sen. Saxhaug’s bill, SF 2856.

Subdivision 1 [Veterans Homes Established] permits the Commissioner of Veterans Affairs to apply for federal funding for 143 beds in new veterans homes in Montevideo and Bemidji, and requires the state to pay operating expenses not covered by revenue and federal funding.

 Subdivision 2 [Nonstate Contribution] permits the Commissioner of Aministration to accept contributions for  development of the new veterans homes.

Section 24 [Governor and Lieutenant Governor] amends the rider language from the 2015 appropriation for the Office of the Governor and Lieutenant Governor to permit the Governor’s Office to receive payments from executive agencies for office costs. Payments must be deposited in a special revenue account and are appropriated to the Governor.  This is a proposal in the Governor’s supplemental budget.

Section 25 [Allocating Senate Space in the State Office Building to the Revisor of Statutes; Appropriation]    

 Subd. 1.  [State Office Building space allocation] allocates certain space to the Revisor of Statutes that is currently allocated to the senate in the State Office Building. 

Subd. 2 [Lease cancellation] directs the commissioner of administration to cancel the lease for space in the 525 Park Avenue building, currently occupied by the Revisor of Statutes, with notice.

Subd. 3 [Cancellation; appropriation] cancels the portion of the appropriation from Laws 2015 to the Legislative Coordinating Commission that would be saved in rent by the cancellation in this section, and appropriates that amount from the general fund in fiscal year 2016 to the commissioner of administration to remodel the vacated space in the State Office Building for the Revisor of Statutes.

Section 26 [Feasibility Study on Partnerships to Provide Interim Housing for Disabled Veterans] requires the Commissioner of Veterans Affairs to study the feasibility of partnering with a nonprofit organization to provide interim housing for disabled veterans in conjunction with fully integrated and customizable support services.  This section requires the commissioner to report the results of the study to the legislature.  This section is from Sen. Clausen’s bill, SF 3149.

Section 27 [Plaque or Marker Authorized to Honor Capitol Construction Workers] requires that a plaque be placed in the Capitol building to honor workers who constructed the State Capitol Building and those who worked subsequently on projects to preserve the building.  The plaque shall specifically honor the six workers who died during construction. The Capital Area Architectural and Planning (CAAP) Board and the Minnesota Historical Society are required to set parameters and select a location for the plaque.  The CAAP Board must conduct a contest for sixth graders to submit designs for the plaque that will be used as a basis for the final production of the plaque.  The plaque must be installed during completion of the remodel of the Capitol.  This section is from Sen. Jensen’s bill, SF 2033.

Section 28 [Immigration Integration Advisory Task Force] creates an Immigration Advisory Task Force to research state laws and rules that negatively affect immigrants.  This section describes the membership of the task force, provides certain operating parameters, and requires a report to the legislature.  The task force sunsets by January 30, 2017.  This section is from Sen. Torres-Ray’s bill, SF 3405.

ARTICLE 9 – PUBLIC SAFETY AND CORRECTIONS

This article appropriates money to the Supreme Court, District Courts, Guardian ad litem Board, Department of Human Rights, Department of Corrections and the Department of Public Safety.  It also makes two general fund revenue adjustments.

Supreme Court

• $5,000,000 for Safe and Secure Courthouse grants.

District Courts

• $1,547,000 to increase the juror per diem from $10 to $20 and the mileage reimbursement from 27 cents to 54 cents.

Guardian ad litem Board

• $1,581,000 to hire additional staff to comply with state and federal mandates.

Department of Human Rights

• $400,000 to enhance statewide outreach, education, and enforcement of the Human Rights Act.

Department of Corrections – Institutions

• $11,739,000 for increased employee compensation ($13.2 million department-wide).
• $5,367,000 to expand the Challenge Incarceration Program at Togo and Willow River (contingent upon the inclusion of $3.5 million in the bonding bill for capital costs necessary to expand the program).
• $3,000,000 to combat infectious diseases in the prisons.
• $1,500,000 for 24-hour nursing at Minnesota Corrections Facilities Shakopee, St. Cloud, Lino Lakes and Stillwater.
• $1,550,000 for behavioral and mental health therapists and increased security staffing at MCF-Oak Park Heights.
• $1,800,000 for increased security staffing systemwide.
• $750,000 for 70 new chemical dependency and mental health beds.
• $250,000 for chemical dependency release planners at MCF-Shakopee and MCF-Stillwater.
• $375,000 to expand the EMPLOY program administered by MINNCOR.

Department of Corrections – Community Services

• $1,101,000 for increased employee compensation.
• $406,000 to expand the Challenge Incarceration Program at Togo and Willow River (contingent upon the inclusion of $3.5 million in the bonding bill for capital costs necessary to expand the program).
• $1,000,000 for a victim notification system.
• $500,000 for re-entry and halfway house grants.
• $2,000,000 for two high-risk revocation reduction programs, one in the metro area and one outstate.

Department of Corrections – Operations Support

• $402,000 for increased employee compensation.
• $3,000,000 for critical information technology updates.

Department of Public Safety

• $650,000 for eight new DNA forensic scientists.
• $100,000 for missing persons training for law enforcement.
• $88,000 for an assessment of law enforcement needs for detention facilities in northeast Minnesota.
• $150,000 for a CHIPS and Foster care legal representation grant.
• $129,000 for Youth Intervention Program grants.
• $150,000 for the development of a mental health crisis training curriculum.
• $50,000 for training law enforcement on how to deal with autistic persons.
• $250,000 for sex trafficking investigation grants.

General Fund Revenue Adjustments

• $110,000 to eliminate the Harassment Restraining Order (HRO) respondent filing fee.
• $28,000 to eliminate the Order for Protection (OFP) respondent filing fee.
• The article also carries $27,000 to the Department of Corrections for the fiscal year 2017 cost of S.F. No. 3122 (Limmer) which extends the identity theft statute of limitations, and forecast tail costs for S.F. No. 3122 and S.F. No. 82 (Dahms) enhancing criminal vehicular homicide penalties under certain circumstances.  These two bills are traveling separately at this time.

ARTICLE 10 – TRANSPORTATION APPROPRIATIONS

Section 1 amends the total transportation appropriations summary in Laws 2015, chapter 75.

Section 2 amends total appropriations to the Department of Transportation in Laws 2015, chapter 75.

Section 3 amends appropriations in Laws 2015, chapter 75, for Multimodal Systems in the Department of Transportation:

• $10.259 million is appropriated onetime from the state airports fund in FY 2016 for airport development and assistance;
• $313,000 is appropriated onetime from the state airports fund in FY 2017 for system updates related to drone regulation;
• $500,000 is appropriated onetime from the state airports fund in FY 2017 for an air transport optimization planning study for the St. Cloud airport;
• $150,000 is appropriated from the general fund in FY 2017 and $185,000 in subsequent years, for an interagency rail director at the Department of Transportation;
• $1.128 million is appropriated onetime from the general fund in FY 2017 for freight and rail planning, engineering, administration and related activities; and
• $108,000 is appropriated from the general fund in FY 2017 (and $95,000 in FY 2018 and $37,000 in FY 2019) for required department activities of emergency response and preparedness related to oil and hazardous substances transported by rail.

Section 4 amends appropriations in Laws 2015, chapter 75, for State Road Program Planning and Delivery in the Department of Transportation. It appropriates $140,000 onetime from the trunk highway fund in FY 2017 for the costs of developing, adopting and implementing best practices for project evaluation and selection.

Section 5 amends appropriations in Laws 2015, chapter 75, to the Metropolitan Council. It appropriates $50,000 onetime from the general fund in FY 2017 to the Council for a grant to the city of St Paul for a transitway development outreach pilot program.

Section 6 amends total appropriations to the Department of Public Safety in Laws 2015, chapter 75.

Section 7 amends appropriations in Laws 2015, chapter 75, for payment of public safety officer survivor benefits through the Department of Public Safety.  Beginning in FY 2017, the annual general fund appropriation for this purpose increases to $640,000 from $380,000.

Section 8 amends appropriations in Laws 2015, chapter 75, for the State Patrol in the Department of Public Safety. It appropriates $4.5 million from the trunk highway fund in FY 2017 and in subsequent years to recruit, hire, train, and equip an annual State Patrol Academy.

Section 9 appropriates $1.0 million from the rail service improvement account in the special revenue fund to the commissioner of transportation for a grant to the city of Grand Rapids. The grant shall fund rail planning studies, design and preliminary engineering for a freight rail line in Itasca, St. Louis and Lake Counties. The city must collaborate with the Itasca Economic Development Corporation and the Itasca County Regional Railroad Authority in these activities. The appropriation is available until June 30, 2019.

Section 10 appropriates $25,000 onetime from the general fund in FY 2017 to the Commissioner of Transportation for the administrative costs related to the autonomous vehicles task force. The appropriation is available until June 30, 2019.

Section 11 appropriates $35,000 onetime from the general fund in fiscal year 2017 to the commissioner of public safety for a report to analyze and compare oil train and pipeline safety training programs.  The report must be submitted to the legislature by February 1, 2017.

ARTICLE 11 – TRANSPORTATION FISCAL PROVISIONS

Section 1 (S.F. No. 3352, Sen. Jensen) relates to preparedness and response for railroads in case of oil and hazardous substance discharge.

Subdivision 2 expands the current requirement that railroads offer training and refresher training to fire departments along oil-transporting train routes to include training for local organizations for emergency management.  The requirement that initial training be offered by June 30, 2016, is stricken.

Subdivision 3 provides that railroads must coordinate with specified entities to assist emergency managers to assess local threats in areas with high population concentration or key facilities.

Subdivision 5 specifies that currently-required railroad drills are called environmental response drills and involve at least one tabletop exercise every year and at least one full-scale exercise every three years.

Subdivision 5a is new language that requires a railroad’s prevention and response plan to describe the capacity and methods to be utilized to meet statutory requirements concerning time limits for required actions following confirmation of a discharge.

Subdivision 6 deletes obsolete language and provides that a railroad’s prevention and response plan may need to be updated more frequently than every three years if there has been a significant discharge, significant change in operation or ownership, significant change in national or area contingency plans, or change in capabilities or role of a person named in a plan as having an important response role.

Subdivision 7 is a new subdivision requiring each railroad to file with the Commissioner of Transportation a financial responsibility plan demonstrating ability to pay for environmental costs, with the amount to be determined by MnDOT and PCA.  The subdivision lists acceptable evidence of the railroad company’s ability to pay, based on the volume of oil or hazardous substances carried and worst-case discharge costs.  The financial responsibility plan must be continuous, and the railroad must notify MnDOT in the event of material change.

Section 2 (S.F. No. 2036, Sen. Skoe) allows the Commissioner of Transportation, for highway construction on the Red Lake Reservation, to allow a preference of up to ten percent for Indian-owned contractors, or to allow a tribal authority, for a reasonable cost, to award and administer a construction contract, with the commissioner providing funds for the state share of the project.

Section 3 (S.F. No. 2741, Sen. Kent) changes the frequency of MnDOT’s required report to the Legislature concerning the status of the trunk highway bridge improvement program from an annual report to a biennial report, due by January 15 of each odd-numbered year.

Section 4 (S.F. No. 789, Sen. Kiffmeyer) requires the Department of Public Safety to cancel registration and provide a full refund on registration taxes for passenger automobiles, ambulances, hearses, and pickup trucks, if the application for refund is submitted within the first ten days of the registration period. This section is effective the day following final enactment, for registration periods beginning on or after January 1, 2017.

Section 5 (S.F. No. 2399, Sen. Sheran) adds “motorized bicycle” to the types of vehicles that may bear a disability plate when other eligibility conditions are met. This section is effective January 1, 2017, if associated costs can be absorbed within existing vehicle services account resources.

Section 6 (S.F. No. 2399, Sen. Sheran) adds a reference to a motorized bicycle to the language directing the Commissioner of Public Safety to design a disability plate that, in the case of a motorized bicycle, must be the same size as a regular motorcycle plate.  This section is effective January 1, 2017, if associated costs can be absorbed within existing vehicle services account resources.

Section 7 (S.F. No. 2399, Sen. Sheran) adds a reference to a motorized bicycle to the language authorizing transfer of a disability plate from one vehicle to a replacement vehicle owned or primarily operated by the physically disabled person.  This section is effective January 1, 2017, if associated costs can be absorbed within existing vehicle services account resources.

Section 8 (S.F. No. 3119, Sen. Senjem) directs the Commissioner of Public Safety to issue law enforcement memorial license plates to a vehicle owner who pays all applicable fees and makes an initial contribution of $25, and an annual contribution of $5 thereafter, to the Minnesota Law Enforcement Memorial Association.  The commissioner must consult with the Law Enforcement Memorial Association before adopting a plate design.  The effective date of the section is January 1, 2017.

Section 9 (S.F. No. 1040, Sen. Pratt) creates a Transfer-on-death (TOD) title to motor vehicles.

Subdivision 1 allows a TOD beneficiary designation to be entered on a motor vehicle certificate of title. This designation is subject to the rights of creditors.

Subdivision 2 specifies the information that must be included on the title certificate to accomplish registration in TOD form. The beneficiary is not required to pay for the designation or transfer, and the title does not need to be delivered to the beneficiary for the designation to be effective.  An owner who is married at the time of designation must have the spouse’s written consent to designate a beneficiary other than the spouse.

Subdivision 3 provides that a TOD beneficiary has no interest in the motor vehicle until the death of the owner. The owner or joint owners with rights of survivorship may change the TOD designation without the beneficiary’s consent by applying for a new certificate of title.

Subdivision 4 provides that motor vehicle ownership vests in a TOD beneficiary upon the death of the owner or the last surviving joint owner, subject to the rights of secured parties. The TOD beneficiary may obtain a new certificate of title upon providing a certified death record of the transferor. If no TOD beneficiaries survive the transferor, the motor vehicle is included in the probate estate of the deceased owner. A TOD transfer is not a testamentary transfer.

Subdivision 5, paragraph (a) states that this section does not limit the rights of secured parties or creditors of the owner against a TOD beneficiary.

Paragraph (b) clarifies that claims for medical assistance, from county social service agencies, or from the Department of Revenue against the transferor’s motor vehicle are all claims from a creditor and continue to apply against the beneficiary after the motor vehicle has been transferred.

Section 10 (S.F. No. 3524, Sen. Dibble) extends the sunset from June 30, 2016, to June 30, 2019, of the $1 surcharge that is added to the certificate of title fee and to the duplicate certificate of title fee, for credit to the driver and vehicle services technology account.  This section is effective the day after final enactment.

Section 11 (S.F. No. 2399, Sen. Sheran) adds a reference to motorized bicycle to the language that explains how a disability certificate must be properly displayed—in the case of a motorized bicycle, similarly to a motorcycle, it must be secured to the vehicle.  This section is effective January 1, 2017, if associated costs can be absorbed within existing vehicle services account resources.

Section 12 (S.F. No. 3136, Sen. Nelson) amends the definition of “physically disabled person” for purposes of qualification for disability parking permits and plates, to include a person with diagnosed dementia associated with physical complications, or whose dementia impacts the person’s ability to perform daily activities or creates a safety risk for the person.

Section 13 (S.F. No. 2399, Sen. Sheran) adds a reference to motorized bicycle to the language that governs issuance of a temporary or permanent disability certificate.  This section is effective January 1, 2017, if associated costs can be absorbed within existing vehicle services account resources.

Section 14 (S.F. No. 3524, Sen. Dibble) extends the sunset from June 30, 2016, to June 30, 2019, of the $1 surcharge that is added to each driver’s license and Minnesota identification card application fee, for credit to the driver and vehicle services technology account.  This section is effective the day after final enactment.

Section 15 (S.F. No. 2741, Sen. Kent) amends the requirement that MnDOT perform a life-cycle cost analysis among competing paving materials.  MnDOT will continue to perform this analysis using equal comparison periods, but not equal design lives.  The section removes obsolete language and specifies that the annual report to the Transportation committees must be submitted by January 15.

Section 16 (S.F. No. 3205, Sen. Sheran) strikes the exemption from the special transportation services operating standards for common carriers operating under a fixed route and schedule, and replaces it with an exception for public transit providers that receive financial assistance under the public transit participation program or from the Transportation Accessibility Advisory Committee.

Section 17 (S.F. No. 3205, Sen. Sheran) adds a new definition of “disqualified” to clarify that an individual who is disqualified after a Department of Human Services background check remains disqualified for the purposes of the special transportation services even if the Commissioner of Human Services has rescinded a disqualification, unless the commissioner explicitly specifies that the disqualification is rescinded for the purposes of special transportation services.

Section 18 (S.F. No. 3205, Sen. Sheran) clarifies that the Commissioner of Transportation may prohibit a vehicle from being used in the provision of special transportation services if the vehicle fails to meet the operating standards found in Minnesota Rules, chapter 8840.

Section 19 (S.F. No. 3205, Sen. Sheran) clarifies that the Commissioner of Transportation may refuse to issue a certificate of compliance with the special transportation operating standards whenever an owner, controlling individual, or managerial official is disqualified.

Section 20 (S.F. No. 3205, Sen. Sheran) Paragraph (b) specifies that the Commissioner of Transportation must provide a special transportation provider with written notice to immediately cease to permit any individual whom the Commissioner of Human Services has disqualified after a background check from performing any services or functions for the provider, and that the commissioner may revoke the provider’s certificate of compliance for failure to do so.

Paragraph (c) permits the Commissioner of Transportation to suspend or revoke a certificate of compliance if a provider does not comply with the requirements of the notice provided under paragraph (b).

Section 21 (S.F. No. 3205, Sen. Sheran) clarifies that in addition to services, the provision of which requires a background study, disqualified individuals cannot provide any function that requires a background study.  This section also clarifies that in addition to Minnesota Statutes, section 245C.23, the Commissioner of Human Services has authority to rescind a disqualification under section 245C.22.

Section 22 (S.F. No. 3352, Sen. Jensen) expands the state rail safety inspection program.

Subdivision 1 allows the Commissioner of Transportation to increase the number of state rail safety inspector positions from the current level of three or four, to a maximum of nine and adds to the inspectors’ powers the inspection of train equipment.

Subdivision 2 modifies the existing assessment on rail carriers, basing it on route miles in Minnesota at the time of assessment.  The commissioner is directed to include in the assessment calculation of the cost of additional positions, along with inspection, administration, supervision, travel, equipment, and training.

Subdivision 5 is a new subdivision that requires the Commissioner of Transportation to maintain on its public Web site information on state rail safety inspection.  The subdivision specifies the minimum information that must be posted, including defects, violations, inspection reports, enforcement activity, corrective actions, revenue sources and expenditures from the state rail safety inspection account, and railroad bridge inspection reports submitted to the commissioner. 

This section is effective the day following final enactment.

Section 23 (S.F. No. 3524, Sen. Dibble) amends the statutory language creating the grade crossing safety account to add that the account consists of funds donated, allotted, transferred, or otherwise provided, and it may be used for planning and other costs associated with administration and delivery of grade crossing projects.

Section 24 (S.F. No. 3352, Sen. Jensen) establishes a new statutory section on incident emergency response, preparation, and information.

Subdivision 1 defines terms, including “emergency manager,” “hazardous substance,” “oil,” and “rail carrier.”

Subdivision 2 details required notice a rail carrier must provide to the Department of Public Safety as well as emergency managers and fire chiefs along routes where oil and hazardous substances are transported.  The notification must include geographic inventories of emergency response equipment and supplies and response staff.  The rail carrier must promptly update this notification in the event of a material change in the information provided.

Subdivision 3 directs a rail carrier to provide route planning and analysis, including risk assessment, required by federal regulations to emergency managers and fire chiefs where oil and hazardous substances are transported.

Subdivision 4 requires a rail carrier to submit hazardous materials emergency response plans to emergency managers and fire chiefs where oil and hazardous substances are transported.

Subdivision 5 requires a rail carrier to provide railroad bridge inspection reports to emergency managers and the appropriate road authorities.

Subdivision 6 requires all rail carries to maintain a single software program accessible by a downloadable application and over the Internet.  The program must provide specific information regarding transportation of oil and other hazardous substances.

Subdivision 7 directs a rail carrier to provide all data required under subdivisions 2 to 6 without abridgment.  The railroad may not require an emergency manager or fire chief to enter into an agreement restricting ability to share data with local emergency responders in the same jurisdiction or other emergency managers or fire chiefs for emergency life-safety response planning and coordination.

Subdivision 8 requires rail carriers, before transporting oil and hazardous substances through the state, to provide community notice on a public Web site of the planned transportation.  The types of information required are detailed in the subdivision, including routes, schedule, number of tankers, description of material transported, emergency response information, and railroad company contact information. 

This section is effective July 1, 2016, except subdivision 6, which is effective July 1, 2017.

Section 25 (S.F. No. 3524, Sen. Dibble) amends the statutory language creating the rail service improvement account to add that the account consists of funds donated, allotted, transferred, or otherwise provided.  Language is stricken that prohibits rail service improvement program administration costs from being deposited in or paid out of the account.

Section 26 (S.F. No. 3524, Sen. Dibble) amends language concerning grants from the rail service improvement account, providing that grants may be approved for freight rail service improvements that support economic development.

Section 27 (S.F. No. 3524, Sen. Dibble) amends the statute that states permissible uses of rail service improvement account funds.  The section removes a reference to payment of the state match for Transportation Investment Generating Economic Recovery (TIGER) grants and substitutes more general language, allowing payment of the state match for federal grants for freight rail projects.  Language allowing payment of rail planning studies is broadened to specify rail planning activities and other administrative and program expenses.

Section 28 (S.F. No. 3205, Sen. Sheran) authorizes the Commissioner of Human Services to terminate, deny, or suspend a nonemergency medical transportation provider from enrolling as a Medical Assistance provider of nonemergency medical transportation services if (1) the provider fails to initiate required background studies on the owners, controlling individuals, and managerial agents of the provider, or (2) these individuals have been disqualified and their disqualification has not been rescinded by the commissioner of human services.

Section 29 (S.F. No. 1040, Sen. Pratt) adds assets conveyed through TOD titles or deeds to the list of assets to be considered as a part of the decedent’s estate to determine medical assistance claims by the state.

Section 30 (S.F. No. 1040, Sen. Pratt) excludes a vehicle transferred by TOD title from the definition of “sales, sells, selling, purchase, purchased or acquired” in the chapter of statute regarding sales tax on motor vehicles. This allows a motor vehicle transfer to a beneficiary without payment of the motor vehicle sales tax.

Section 31 (S.F. No. 2743, Sen. Pappas) expands the definition of “killed in the line of duty” for the purposes of the public safety officer benefit provisions under chapter 299A to include the following.

• The death of any public safety officer caused by accidental means while the officer is acting in the course and scope of duties as a public safety officer.  Under current law, accidental deaths for the purposes of this section only apply to peace officers.  The bill expands the definition to include all public safety officers as defined in section 299A.41, subdivision 4.
• The death of any public safety officer who dies as the result of a heart attack, stroke, or vascular rupture if the officer engaged in stressful or strenuous tasks while on duty or training, or dies within 24 hours after engaging in stressful or strenuous duty or training.  A “killed in the line of duty” presumption can be overcome by competent medical evidence to the contrary.

This section is effective the day following final enactment.

Section 32 (S.F. No. 2882, Sen. Marty) adds Department of Public Safety employees who are not state troopers, but whose primary duty is Capitol Security, to the definition of “public safety officer” for purposes of eligibility for public safety officer and survivor benefits.  This section is effective the day following final enactment.

Section 33 (S.F. No. 3352, Sen. Jensen) amends the existing railroad and pipeline safety language to refer to incident preparedness.

Subdivision 1 provides a federal citation for the definition of “hazardous substance.”

Subdivision 2 updates the name of railroad and pipeline safety account to an incident account and increases the annual statutory appropriation to the Pollution Control Agency (PCA) commissioner from $104,000 to $345,000 in fiscal year 2017, and $250,000 annually thereafter for environmental protection activities related to railroad discharge preparedness.

Subdivision 3 adds risks to the general public to the list of priority uses of available funds.  Two categories are added to the specified permissible uses of funds.  These are life-safety emergency response exercises and public education and outreach.

Subdivision 4 updates the name of the relevant account.

Section 34 (S.F. No. 3524, Sen. Dibble) increases from $1,000,000 to $2,500,000 the deduction for credit to the Minnesota grade crossing safety account from that portion of State Patrol traffic fines and forfeited bail money that is otherwise credited to the trunk highway fund.

Section 35 (S.F. No.  2743, Sen. Pappas) adds the expanded definition of “killed in the line of duty” in section 26 to the definition of “line of duty death” for the purposes of chapter 353, the Public Employees Retirement Association (PERA).  This section is effective the day following final enactment.

Section 36 (S.F. No. 3312, Sen. Rest) defines “drone” for purposes of chapter 360 (Airports and Aeronautics) as a powered aircraft that is operated without the possibility of direct human intervention from within or on the aircraft.  This section is effective January 1, 2017.

Section 37 (S.F. No. 3312, Sen. Rest) corrects a citation to federal law and adds two misdemeanor violations involving drones to the section in the aeronautics chapter that enumerates aviation-related misdemeanors.   The new drone specific violations are:

• Using a drone with intent to interfere with an aircraft in motion; and
• Knowingly operating a drone within an emergency zone or within one mile of a public safety helicopter.

Prosecution for intent to interfere with an aircraft is not a bar to conviction of or punishment for another crime.  This section is effective January 1, 2017, and applies to crimes committed on and after that date.

Section 38 (S.F. No. 3312, Sen. Rest) makes technical and clarifying changes to the subdivision language making it a gross misdemeanor to commit a repeat violation of the aviation misdemeanors detailed in section 32 (including the drone-related misdemeanors).  This section is effective January 1, 2017, and applies to crimes committed on and after that date.

Section 39 (S.F. No. 3312, Sen. Rest) provides that a drone that weighs up to 55 pounds is exempt from statutory taxes and fees applicable to other aircraft, but may be subject to fees under section 35.  This section is effective January 1, 2017.

Section 40 (S.F. No. 3312, Sen. Rest) provides for a drone commercial use permit.

Subdivision 1 directs the Commissioner of Transportation to issue a commercial use permit to the owner of a drone that weighs up to 55 pounds when certain requirements are met.  The owner must: use the drone for a purpose other than hobby or recreation; provide proof of payment of sales tax on the drone; identify each operator and certify that the operator is qualified under statutory standards; provide proof of insurance at statutory levels; pay an annual permit fee of $25; and provide any additional information required by the commissioner. 

Subdivision 2 requires fee proceeds to be credited to the state airports fund.

Subdivision 3 establishes qualifications for drone operators, including passing a knowledge test in Minnesota or another state, being at least 17 years of age, possessing a valid driver’s license in Minnesota or another state, and satisfying all other applicable state or federal requirements.

Subdivision 4 directs the commissioner to implement a permit application process, offering technical guidance for applicants and permit holders.  The commissioner must inform an applicant of a permit issuance decision within ten days after receipt of the application.

Subdivision 5 makes an owner or operator of a drone who violates this section guilty of a misdemeanor.

This section is effective January 1, 2017, and applies to crimes committed on and after that date.

Section 41 (S.F. No. 3437, Sen. Tomassoni) amends a 1994 law directing the Commissioner of Transportation to convey certain real property to the city of Floodwood, by removing the restriction that the city of Floodwood continue to operate the property as a rest area.

Sections 42 to 46 (S.F. No. 2741, Sen. Kent) extend an effective date from November 30, 2016, to November 30, 2018, to conform to the anticipated availability of the Minnesota Licensing and Registration System (MNLARS).  The effective dates in these sections apply to enacted legislation that links expiration dates of overweight truck permits to vehicle registration renewal dates.

Section 47 (S.F. No. 3524, Sen. Dibble) requires the Commissioners of Public Safety and MN.IT services to report, before January 1, 2019, to the legislative Transportation and Public Safety committees on operating costs of the new Minnesota License and Registration System, including recommending ongoing funding sources.

Section 48 (S.F. No. 3211, Sen. Jensen) Subdivision 1 directs the Commissioner of Transportation to develop, adopt, and implement best practices for project evaluation and selection, after consultation with specified entities including the Federal Highway Administration, local and regional governments, and other stakeholders. These practices must apply to the standard selection process and to special department programs. The commissioner must adopt and begin implementing the practices by October 2017, and shall publicize them on the department’s Web site.  The practices as adopted must include:

1. identification and weight of ranking criteria for each selection process;
2. identification and application of criteria in enacted state or federal law or added by the commissioner;
3. identification to stakeholders and to the public of candidate projects, whether the projects are selected or considered but not selected;
4. involvement by area transportation partnerships and other local authorities in the candidate project scoring and ranking process; and
5. means of publicizing the scoring, ranking and decisions with regard to each candidate project.

Subdivision 2 requires the commissioner to submit a report on the best practices to the Legislature by March 1, 2017. The report must include information on input from the public and from the entities listed as consulting partners in subdivision 1.

This section is effective the day following final enactment.

Section 49 (S.F. No. 2569, Sen. Schmit) establishes the autonomous vehicles task force.

Subdivision 1 states the purpose of the task force to design a demonstration project and report to the Legislature concerning use of autonomous vehicles on public roads and highways by people with disabilities.

Subdivision 2 defines "autonomous vehicle" for the purposes of this section, as a vehicle equipped with technology that can drive a vehicle without active control or monitoring of a human operator.  

Subdivision 3 creates a task force of 21 members, to be appointed by July 31, 2016, specifying members as follows: Senators and Representatives; Governor appointees; representatives of Departments of Transportation, Public Safety, and Commerce; members with experience in paratransit administration; and additional individuals, including representatives of the disability community and the Alliance of Automobile Manufacturers, and an expert in autonomous vehicle technology.  The Governor selects the chair of the task force.  Public members appointed by the Speaker of the House of Representatives, Senate majority leader, and Governor should reflect geographic balance across the state.

Subdivision 4 requires the chair to convene the first meeting by October 15, 2016.

Subdivision 5 specifies that the duty of the task force is to examine and report to the Legislature on ways to utilize autonomous vehicles to serve the mobility needs of people with disabilities.  The task force is directed to design a demonstration project.

Subdivision 6 authorizes the task force to solicit funding from private and public sources, to be deposited in an autonomous vehicle project account.  Money in the account is appropriated to the Commissioner of Transportation to pay costs of the task force and the demonstration project.

Subdivision 7 provides that public members of the task force receive no compensation or per diem payments.

Subdivision 8 requires the Commissioner of Transportation to provide administrative support.

Subdivision 9 subjects task force meetings to the Open Meeting law.

Subdivision 10 requires the task force to submit reports to the legislative Transportation committee leadership.  By January 31, 2017, the task force must report on recommendations for a demonstration project.  By December 31, 2018, the task force must report findings concerning use of autonomous vehicles to provide for mobility needs of people with disabilities in the metro area and in greater Minnesota.

Subdivision 11 sunsets the task force on June 30, 2019.

This section is effective the day following final enactment.

Section 50 (S.F. No. 2403, Sen. Hawj) creates a transitway development outreach pilot grant program. 

Subdivision 1 directs the Metropolitan Council to fund a grant to the city of St. Paul to conduct the grant program.  Grants are awarded through a competitive process to be used for outreach, education, and engagement concerning development of transitways, particularly to minorities and new American communities.  A portion of the grant proceeds must be used for dissemination of information through ethnic radio programs and credible liaisons in the oral-culture community.

Subdivision 2 requires the Metropolitan Council to report to the legislative Transportation committee leadership by September 1, 2017, concerning the use of the grant money and results achieved.

Section 51 (S.F. No. 3352, Sen. Jensen) instructs the Revisor to recodify two subdivisions now coded in the oil and hazardous substance discharge preparedness chapter of statute (Chapter 115E) as subdivisions in the Railroad Safety and Employment chapter (Chapter 219).  These subdivisions relate to the subject of railroad training of fire departments and emergency managers (based on new language in this bill) for emergency response and requirements for railroads to coordinate emergency response activities with various specified entities.

 ARTICLE 12 – GENERAL EDUCATION

Section 1. Length of school year; hours of instruction. Requires that the school calendar for prekindergarten, if offered by the district, must include at least 350 hours of instruction for the school year.

Effective date: makes this section effective for the 2016-2017 school year and later.

Section 2. Program reimbursement. Provides that the state reimburses a district $1.30 for each school breakfast served to a prekindergarten pupil.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 3. No fees. Prohibits a district from charging a fee for a school breakfast served to a prekindergarten pupil.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 4. Voluntary prekindergarten program.

Subdivision 1. Establishment; purpose. Authorizes a school district, charter school, or combination thereof to operate a voluntary prekindergarten program for four-year-old pupils. Clarifies that the purpose of a prekindergarten program is to prepare students for kindergarten entry.

Subdivision 2. Program requirements. Requires that a program under this section meet certain program characteristics related to instruction, assessment, class size, teacher compensation, teacher licensure and qualifications, community involvement and coordination, parent engagement, and professional development, among other requirements. Requires districts and charter schools to include prekindergarten elements in the world’s best workforce report.

Subdivision 3. Mixed delivery of services. Authorizes a district or charter school to contract with a charter school, Head Start or child care center, licensed family child care programs, or community-based organization to provide the prekindergarten program.

Subdivision 4. Eligibility. Provides that a child is eligible to participate if they are at least four years-old on September 1 and complete all required screenings within 90 days of enrollment.

Subdivision 5. Application process; priority for high poverty schools. Provides for application and notification deadlines. Requires certain information related to the proposed program and estimated participation in the application materials. Requires the commissioner to proportionally allocate the funds available among four groups of applicants: (1) Minneapolis and Saint Paul, (2) metro-region school districts, (3) rural region school districts, and (4) charter schools. Requires that, within each of the four applicant groups, priority be given to applicants based on (1) the concentration of kindergarten students who qualify for free or reduced price lunch, and (2) the availability of three- or four-star Parent Aware rated programs within or near the district. Provides that an approved applicant shall remain approved, regardless of later changes in the concentration of students eligible for free- or reduced-price lunch. Directs the commissioner to break any ties in the rank order based on the proportion of the applicants prekindergarten teachers who have an early childhood license.

Subdivision 6. Program and revenue limits. Limits the number of prekindergarten pupil units for a district to no more than 60 percent of that district’s kindergarten pupil units. Requires the commissioner to limit the statewide aid entitlement for the prekindergarten program in fiscal year 2017 and later.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 5. English learner. Provides that a prekindergarten pupil may meet the definition of “English learner” for the purposes of English learner programming and aid.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 6. Eligible pupils. For the 2016-2017 school year only, allows an English learner with an interrupted formal education, who is 21, but not yet 22, to participate in the graduation incentives program and in concurrent enrollment course.

Section 7. Pupil unit. Provides that the pupil units for a prekindergarten pupil, except a pupil with a disability or assessed for a disability, equals the greater of 0.6 or the ratio of the number of hours of instruction to 850.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 8. Compensation revenue pupil units. Clarifies the calculation of compensation revenue pupil units for prekindergarten programs in the first year of operation.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 9. Declining enrollment revenue. Excludes prekindergarten pupil units from the calculation of declining enrollment revenue.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 10. Operating capital levy. Changes the operating capital equalizing factor for fiscal year 2017 and later to offset increased levies associated with other provisions in this bill. Strikes other obsolete language.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 11. Equity revenue. Modifies the equity revenue formula to provide additional revenue for certain districts that overlap the seven-county metro area.

Section 12. Early repayment. Authorizes a district with an outstanding capital loan balance that received a maximum effort loan prior to January 1, 2017, to repay the outstanding original principal balance and the liability of the district is satisfied and discharged and interest on the loan ceases.

Effective date: makes this section effective immediately.

Sections 13-15. Appropriations. See fiscal tracking sheets.

Section 16. Reciprocity agreement exemption; Hendricks. Exempts the Hendricks school district from the state’s reciprocity agreement with South Dakota.

Effective date. Makes this section effective for the 2016-2017 school year and later.

 ARTICLE 13 – EDUCATION EXCELLENCE

Section 1. Student-user privacy requirements. States that section 125B.27 governs privacy related to online educational services.

Section 2. Required academic standards. Directs the department to adopt the most recent National Association of Sport and Physical Education kindergarten through grade 12 standards and benchmarks for physical education as the required state academic standards. Allows for modifications and adaptations of the standards to accommodate state interest as long as they maintain the purpose and integrity of the national standards. Directs the department to make sample assessments available beginning in the 2018-2019 school year.

Section 3. Rulemaking. Allows the commissioner to adopt rules to implement the physical education academic standards.

Section 4. Revisions and reviews required. Directs the commissioner to review the physical education academic standards and benchmarks beginning in the 2024-2025 school year and every ten years thereafter.

Section 5. Physical Education.

Subdivision 1. Exclusion from class; recess. Allows a student to be excused from a physical education class: 1) if the student submits information signed by a physician that physical activity will jeopardize the student’s health; 2) if being excused meets the child’s unique and individualized needs according to their individualized education program, 504 plan, or individualized health plan; or 3) if the parent or guardian requests an exemption on religious grounds.  Strongly encourages school not to exclude students from recess due to punishment or disciplinary action.

Subdivision 2. Teachers.  Requires physical education to be taught by teachers licensed to teach physical education. 

Section 6. Character development education.

Subdivision 1. Character development education. (b) Allows character development education to include a voluntary elementary, middle, and high school program that incorporates the history and values of Congressional Medal of Honor recipients. 

Subdivision 1a. Staff development; continuing education. Allows staff development opportunities under section 122A.60 to include training in character development education that incorporates the history and values of Congressional Medal of Honor recipients.  Encourages local continuing education and relicensure committees to approve up to six clock hours of continuing education for licensed teacher who complete the character development education training.

Subdivision 2. Funding sources. Allows districts to accept programs funded through the Congressional Medal of Honor foundation.

Effective Date. Makes the section effective immediately.

Section 7. Department of Education assistance. Requires a proposal for the statewide testing system to include disclosures containing:

1. comprehensive information regarding test administration monitoring practices; and
2. data privacy safeguards for student information to be transmitted to or used by the bidder.

Section 8. Database. Requires the commissioner to establish a reporting system for teachers, administrators, and students to report service disruptions and technical interruptions.

Section 9. Student performance data. Directs the commissioner to disaggregate student data over time to report summary student growth and student learning and outcome data.  Requires the commissioner to use student categories identified under the federal Elementary and Secondary Education Act (ESEA), including ethnicity, race, home language, immigrant status, refugee status; English language learners, and free or reduced lunch.

Effective Date. Makes the section effective for the 2017-2018 school year and later.

Section 10. Test preparation costs.  Requires the department to collect and publish data on the expenditures by school district for preparation of all assessment administered under 120B.30.

Section 11. Student academic achievement and growth.

Subdivision 1. Student indicators of growth and achievement. Requires indicators of achievement and prior achievement to be based on summative, interim, or formative assessments.

Subdivision 2. Federal expectations for student academic achievement. Directs the commissioner to include aggregated and disaggregated student growth and student learning and outcome data available through the continuous improvement Web site.

Subdivision 3. State growth target; other state measures. Requires the state growth model established by the commissioner to allow users to compare aggregated and disaggregated student data used the student categories identified under the federal ESEA, and in addition to the Karen community, other student categories as determined by the total Minnesota population at or above the 1,000-person threshold based on the most recent decennial census.  Requires the same student categories to be used when reporting core measures indicated the extent to which high school graduates are being prepared for postsecondary academic and career opportunities and when reporting student performance.

Effective Date. Makes the section effective for the 2017-2018 school year and later.

Section 12. School accountability. Amends the commissioner’s report on student academic performance data to include the academic progress of all English learners who are currently or were previously counted as an English learner and on all students enrolled who are currently or were previously in foster care.

Effective Date. Makes the section effective for the 2017-2018 school year and later.

Section 13. School performance reports. Amends the commissioner’s report on student academic performance data to include the weekly amount of time students in kindergarten through grade 8 are schedule to spend in physical education class, the percent of students who receive a passing grade in physical education, and the number of required physical education credits high school students must complete to graduate.

Effective Date.  Makes the section effective immediately and applicable to reports for the 2017-2018 school year and later.

Section 14. Licensure via portfolio. Requires revenue generated by the licensure via portfolio fee to be deposited in an education licensure via portfolio account in the special revenue fund and is appropriated to the commissioner for licensure via portfolio expenditures.

Section 15. Basic alternative teacher compensation aid.  Lifts the cap on basic alternative teacher compensation aid.

Effective Date.  Makes the section effective immediately.

Section 16. Staff development revenue for school districts.  Clarifies that the reserved revenue is for school districts.

Effective Date. Makes the section effective for revenue for fiscal year 2017.

Section 17. Staff development aid for intermediate school districts and other cooperative units. Allows intermediate school districts or other cooperative units providing instruction to students in federal instructional settings of level 4 or higher to qualify for staff development aid.  Aid received must be used to enhance services to students who may have challenging behaviors or mental health issues or be suffering from trauma.

Effective Date. Makes the section effective for revenue for fiscal year 2017 and later.

Section 18.  Establishment.  Allows the commissioner to award additional joint grants to prepare American Indian teachers if additional funds are available.

Section 19. Agreement. Allows for an agreement to create a teacher-governed school.

Effective Date. Makes the section effective for fiscal year 2017 and later.

Section 20. Teacher-governed schools. Establishes a grant program to encourage licensed teachers at a school site to explore and develop teacher-governed schools.  Allows the commissioner to award planning and start-up grants on a first-come first-served basis.  Requires grant recipients to submit to the commissioner recommended best practices based on their experience.

Effective Date. Makes the section effective for fiscal year 2017 and later.

Section 21. Eligibility. Strikes an obsolete fiscal year reference.

Section 22. Aid; tuition reimbursement. Allows a school board and the teachers to agree to use up to 25 percent of the concurrent enrollment aid to offset tuition paid for coursework that secondary teachers need to meet requirements to teacher concurrent enrollment course.  Requires a teacher to repay the district if they do not complete the training.  Requires a teacher receiving a reimbursement equal to 50 percent or more of their tuition to continue to teach in the school district for two years after completing the training.

Section 23. Full-service community school program. Increases the annual award amount a school site may receive from $100,000 to $150,000.  Requires a site deciding not to use planning funds to submit their plan with the application. 

Section 24. English learner data. Requires English learner data to include all pupils who are currently or were previously counted as an English learner and the data to be disaggregated by currently counted and previously counted English learners.

Effective Date. Makes the section effective for the 2017-2018 school year and later.

Section 25. Student-user privacy in education rights.

Subdivision 1. Definitions. Defines the following terms “online educational service,” “operator,” “protected information,” “school purposes,” “student,” “vendor,” and “targeted advertising.”

Subdivision 2. Prohibited activities; targeted advertising; creation of student profiles; sale or unauthorized disclosure of information. Prohibits an operator from engaging in the following activities:

1. (i) targeted advertising on the operator’s online educational service; or (ii) targeted advertising on any other site, service, or application;
2. gather, use, or share information acquired or created by the operator’s online educational service, to create a profile about a student, except in furtherance of school purposes;
3. sell a student’s information; or
4. disclose protected information, unless the disclosure:

i.         is made in furtherance of the educational purpose of the site, service, or application;

ii.         is legally required to comply with subdivision 3;

iii.         is made to ensure legal and regulatory compliance;

iv.         is for a school, educational, or employment purpose requested by the student; or

v.         is made pursuant to a contract between the operator and a service provider.

Subdivision 3. Security procedures and practices. Requires an operator to:

1. implement and maintain reasonable security procedures and practices; and
2. delete a student’s protected information within a reasonable period of time.

Subdivision 4. Permissible disclosures. Allows an operator to use or disclose protected student information under the following circumstances:

1. if other provisions of federal or state law require the operator to disclose the information;
2. for legitimate research purposes; and
3. to a state or local educational agency for school purposes as permitted by state or federal law.

Subdivision 5. Use of information by operator. Clarifies that the section does not prohibit an operator from doing the following:

1. using protected information within the operator’s site, service, or application;
2. using protected information that is not associated with an identified student to demonstrate the effectiveness of the operator’s products or services;
3. sharing aggregate information that does not directly or indirectly identify a student for the development and improvement of educational sites, services, or applications;
4. using recommendation engines to recommend to a student either of the following:

     i. additional content; or

     ii. additional services; or

5. responding to a student’s request for information or for feedback.

Subdivision 6. Certain activities not effected. States that the section does not limit the authority of a law enforcement agency to obtain information from an operator.  States that the section does not limit the ability of an operator to use student information for adaptive learning or customized student learning purposes.  States that the section does not apply to general audience Web site, services, applications, or mobile applications.  States that the section does not limit the ability of Internet service providers to provide connectivity to schools, students or their families.  Allows operators to market educational products to parents as long as it is not based on the use of protected information obtained through the provision of services covered by this section. 

Section 26. Grants to student teachers in shortage areas.  Directs the commissioner of the Office of Higher Education to establish a grant program for student teachers who, upon graduation, would be able to teacher in a Minnesota school district in a shortage area.

Section 27. Innovative delivery of education services and sharing of school or district resources; pilot project.

Subdivision 1. Establishment; requirements for participation. (a) Allows one or more school districts to work together or with postsecondary institutions or employers to:

1. provide innovative education programs and activities consistent with the standard adult high school diploma or experiential and applied learning opportunities;
2. conduct research with rigorous methodology on these innovative education programs and activities; and
3. share district or school and other resources, with the goal of improving students’ career and college readiness.

(b) Requires interested groups to collaborate with school staff, postsecondary faculty, or employees to form a partnership, prepare a plan, and complete an application to participate in a pilot project.  Requires the plan evaluations to provide for a rigorous evaluation premised on returns on investment, program effectiveness, or beat-the-odds analysis and allows them to offer career and college readiness assessments or other interim assessments.

(c) Allows an interested partnership to structure its plan to do any of the following:

1. reduce duplicative assessments identified as less useful for information instruction or diagnosing areas for targeted interventions;
2. establish expectations for career and college readiness;
3. use fully adaptive, on and off-grade assessments;
4. provide students with predictive information;
5. use career and college readiness assessments or other interim or formative assessments highly correlated with the Minnesota comprehensive assessments in reading and math;
6. allow a student to use a course in applied math or STEM as an equivalent to algebra II; or
7. include student assessment data in the district’s annual world’s best workforce report.

Allows a district or charter school to use alternative assessments in place of the Minnesota comprehensive assessments administered in high school.  Allows a school district or charter school to include certain students in the four-year graduation rate even though they are still participating in an innovative postsecondary program.  Allows for attendance to be taken only once per day.

(d) Requires the school district or charter school member of an interested partnership to submit an application to the commissioner. 

(f)  Requires participating school districts and charter schools to submit a biennial evaluation in each odd-numbered year. 

Subdivision 2.  Commissioner’s role. Adds a researcher appointed by the Office of Higher Education and a researcher appointed by the University of Minnesota Educational Psychology Department to the panel that advises the commissioner on applications submitted for the approval.  Allows the commissioner to approve no more than two partnerships applying to conduct research using alternative measures in place of the Minnesota comprehensive assessments. 

Subdivision 3. Pilot project evaluation. Directs the commissioner to analyze data on participating districts’ and charter schools’ progress in realizing their goal and objectives.  Requires the commissioner to submit an interim report on March 30, 2019 and a final report on February 1, 2022.

Effective Date. Makes the section effective immediately and applicable to applications submitted after that date.  Allows districts with plans already approved to continue to operate under the law as it existed when they were approved.

Sections 28 to 38, and 40 and 41.  Appropriations.  See fiscal tracking sheets.

Section 39. College entrance examination reimbursement. Makes the appropriation available until October 1, 2017.  Limits the fiscal year 2016 reimbursement to ACT examination fees.

Section 42. Agricultural educator grants. Establishes a grant program to pay agricultural education teachers for work over the summer with high school students on extended projects.

Section 43. Excellence in teaching incentive grants.  Directs the Board of Teaching to award a onetime incentive grant of $2,000 to a teacher who achieves National Board Certification.

Section 44.  Outdoor place-based education advisory group.

Subdivision 1. Definitions. Defines “outdoor place-based education.”

Subdivision 2. Advisory group creation. Creates a 14-member advisory group.

Subdivision 3. Advisory group duties; report required. Directs the advisory group to develop recommendations for a statewide outdoor place-based education plan for students in prekindergarten through grade 12. Requires the report to include the following:

1. recommended strategies for the integration of outdoor place-based education in each of the required academic standards subject areas;
2. identify grades or grade ranges in which outdoor place-based education may have the greatest impact;
3. recommend an assessment instrument that districts may use to evaluate the impact of outdoor place-based education; and
4. estimate the financial and human resources required to implement the recommendations statewide.

Subdivision 4. Administrative provisions. Directs the commissioner of education to convene the first meeting by September 1, 2016, to provide meeting space, and administrative services for the group.  The group expires February 15, 2017 or upon submission of the report.

Effective Date. Makes the section effective immediately.

Section 45. Paraprofessional pathway to teacher licensure. Directs the commissioner to establish a grant program for school districts to provide a paraprofessional pathway to teacher licensure or a grow your own new teacher program.

Section 46. Support our students grant program.

Subdivision 1. Definitions. Defines “student support services personnel” and “new position.”

Subdivision 2. Purpose. Declares that the purpose of the grant program is to:

1. address shortages of student support services personnel;
2. decrease caseloads for existing student support services personnel;
3. ensure that students receive effective academic guidance;
4. ensure that student support services personnel serve within the scope and practice of their training and licensure;
5. fully integrate learning supports, instruction, and school management; and
6. improve school safety and school climate.

Subdivision 3. Grant eligibility and application. Allows a school district, charter school, intermediate school district, or other cooperative unit to apply for a six-year matching grant. 

Subdivision 4. Allowed uses; match requirements. Requires the grant to be used to hire a new position.  Requires a local match for each year of the grant. 

Subdivision 5. Report required. Requires a grant recipient to submit a report indicating how the new positions affected two or more of the following measures:

1. school climate;
2. attendance rates;
3. academic achievement;
4. career and college readiness; and
5. postsecondary completion rates.

Section 47. Teacher development and evaluation aid. Provides a formula for teacher development and evaluation aid for fiscal year 2017 for school districts, intermediate school districts, educational cooperatives, education districts, or charter schools with a school site that does not have an alternative professional pay system agreement.

Section 48. Appropriations.  See fiscal tracking sheets.

 ARTICLE 14 – CHARTER SCHOOLS

Section 1. School closures. Requires a charter school board of directors to appoint, and the authorizer to approve, a school closure trustee upon the final decision to close a charter school. Requires certain qualifications of the trustee. Gives responsibility to the trustee for activating and executing the school closure plan, including activities relating to reporting and payments.  Entitles the trustee to immunity provided by common law, though not from illegal or criminal acts nor acts of malfeasance or misfeasance. Establishes a charter school closure fund at the Department of Education and authorizes certain fund management fees. Requires an annual report on the fund. Redirects a portion of charter school aids to fund the required balance. Authorizes a trustee to request distributions from the fund for certain expenditures related to closure of a charter school. Provides other policy related to charter school closures.

Section 2. Cash flow adjustment. Modifies the eligibility criteria for cash flow adjustment for certain charter schools. Provides that, according to the definition of “eligible special education charter school” under section 124E.21, subdivision 2, a charter school is eligible for cash flow adjustment if:

1. the percent of students eligible for special education services equals at least 90 percent of the charter school's total enrollment; and
2. the school submits to the commissioner a preliminary annual budget by June 15 prior to the start of the fiscal year and a revised budget by January 15 of the current fiscal year detailing its unreimbursed costs for educating students eligible and not eligible for special education services.

Effective date: makes this section effective for revenue for fiscal year 2017 and later.

Section 3. Laws 2015 effective date. Amends a Laws 2015 effective date to allow a charter school with at least 90 percent of enrolled students who are eligible for special education services and have a primary disability of deaf or hard-of-hearing to enroll prekindergarten pupils with a disability under section 126C.05, subdivision 1, paragraph (a), even if the enrollment would increase state aids attributable to the pupil.

Effective date: makes this section effective immediately.

Section 4. Appropriations. See fiscal tracking sheets.

 ARTICLE 15 – SPECIAL EDUCATION

Section 1. Individualized education programs.  Allows a school district to accept documentation from a licensed health provider within the scope of their practice, instead of only a physician, when making a determination of other health disability.

Section 2. Nonresident tuition rate; other costs. Clarifies the tuition billing process relating to costs for building lease and debt service that are billed to intermediate districts and cooperatives. Strikes obsolete language relating to reporting revenues and expenditures on the resident district’s accounts.  Clarifies that an intermediate district or cooperative may charge access fees and membership fees to recover unreimbursed costs of serving special education students. Requires intermediates and coops to provide an explanation of any access fees or membership fees that they charge. Strikes other obsolete language.

Section 3. Use of reimbursements. Clarifies that a district must reserve third-party revenue and provides allowable uses of third-party reimbursements.

Section 4. Special education aid. Directs the department to establish procedures through UFARS relating to tracking and reporting third-party billings.

Section 5. Definitions. Clarifies the calculation of “unreimbursed nonfederal special education expenditures” for the purposes of calculating special education aid.

Section 6. Alternative attendance programs. Clarifies the calculation of “unreimbursed cost of providing special education and services” for the purposes of calculating special education aid for resident and nonresident districts.

Section 7 and 8. Appropriations. See fiscal tracking sheets.

 ARTICLE 16 – FACILITIES AND TECHNOLOGY

Section 1. Equalized debt service levy. Modifies the calculation of equalized debt service levies. Provides that, beginning in fiscal year 2018, the equalizing factors for first and second tier equalized debt services levies annually adjust for changes in the total statewide adjusted net tax capacity per pupil unit.

Effective date: makes this section effective for taxes payable in 2017 and later.

Section 2. Enhanced debt service equalization. Provides that, for a district that consolidated on or after July 1, 2016, with an approved consolidation plat and plan under section 123A.48 that included building or remodeling school facilities, the district’s debt service equalization revenue is equalized at 300 percent of the statewide adjusted net tax capacity equalizing factor. (The adjusted net tax capacity equalizing factor equals the quotient derived by dividing the total adjusted net tax capacity of all school districts in the state for the year before the year the levy is certified by the total number of adjusted pupil units in the state for the year prior to the year the levy is certified.) Makes other technical and grammatical corrections.

Effective date: makes this section effective for taxes payable in 2017 and later.

Section 3. Long-term facilities maintenance revenue. Modifies the calculation of long-term facilities maintenance revenue to include costs approved by the commissioner for remodeling existing instructional space to accommodate prekindergarten instruction.

Effective date: makes this section effective for revenue in fiscal year 2017 and later.

Section 4. Allowed uses for long-term facilities maintenance revenue. Authorizes a district to use long-term facilities maintenance revenue for violence prevention and facility security, ergonomics, or emergency communication devices.

Section 5. Restrictions on long-term facilities maintenance revenue. Clarifies that a district may use long-term facilities maintenance revenue for violence prevention and facility security, ergonomics, or emergency communication devices. 

Sections 6, 7, and 9. Appropriations. See fiscal tracking sheets.

Section 8. Generation Connect aid. Provides a formula for generation connect aid for school districts and charter schools for fiscal year 2017 only. Provides that allowable uses for generation connect aid include any use otherwise allowable for operating capital revenue.

 ARTICLE 17 – EARLY CHILDHOOD EDUCATION

Section 1. Home visiting revenue.  Modifies the home visiting levy program into a home visiting revenue program. Makes districts that are eligible to levy for early childhood family education eligible to receive home visiting revenue. Increases the amount for home visiting from $1.60 per person under five residing in the district to $3.00 per person under five residing in the district.

Effective date: makes this section effective for revenue in fiscal year 2018 and later.

Section 2. Home visiting levy.  Modifies the home visiting levy program by establishing an equalized levy based on adjusted net tax capacity per adjusted pupil unit.

Effective date: makes this section effective for revenue in fiscal year 2018 and later.

Section 3. Home visiting aid.  Provides home visiting aid according to the share of revenue provided by the home visiting levy.

Effective date: makes this section effective for revenue in fiscal year 2018 and later.

Section 4. Help Me Grow system.

Subdivision 1. Purpose. Provides that the purpose of the Help Me Grow system is to develop and implement a comprehensive, statewide, coordinated system of early identification, referral, and follow-up for children, prenatal through age eight, and their families.

Subdivision 2. Establishment and administration. Requires the commissioner of education to provide funding and work collaboratively through interagency agreements with the commissioners of human services and health to implement this section and maintain annual affiliate status with the Help Me Grow National Center.

Subdivision 3. Duties. Requires certain functions of the Help Me Grow system relating to early detection and intervention; connections between and to community-based services; community outreach to health care providers, early education providers and others; single-point access to services; and data collection and analysis.

Subdivision 4. Review. Directs the Department to annually review outcomes achieved by the system; alignment with overall early childhood goals and objectives; and impacts on young children.

Sections 5 and 6. Appropriations. See fiscal tracking sheets.

 ARTICLE 18 – SELF-SUFFICIENCY AND LIFELONG LEARNING

Section 1. After-school community learning grants.

Subdivision 1. Grant program established. Establishes a grant program to support community-based organizations offering enrichment activities that promote youth development.

Subdivision 2. Application. Requires the commissioner to develop a grant application process and criteria.

Subdivision 3. Grant awards. Directs the commissioner to award grants equitably among geographic regions. Authorizes the commissioner to give priority to applicants that collaborate with and leverage existing community resources.

Section 2. Appropriations. See fiscal tracking sheets.

 ARTICLE 19 – STATE AGENCIES

Section 1. Regional centers of excellence. Requires the department to employ a literacy/dyslexia specialist at one regional center and a literacy/dyslexia specialist at the department to provide technical assistance and information relating to dyslexia and related disorders. Defines literacy/dyslexia specialist.

Effective date: makes this section effective for the 2016-2017 school year and later.

Section 2. Certificates of advanced professional study. Requires the Board of Teaching to adopt rules for approving certificates of advanced professional study to increase the availability of teachers qualified to teach in shortage areas or in disciplines for which full licenses or licensure programs do not exist in Minnesota.

Sections 3 and 5. Appropriations. See fiscal tracking sheets.

Section 4. System Redesign; Homeless Children Supports. Directs the Children’s Cabinet to create a plan for a cross-agency systems that provides support for a family that is homeless, especially with children up to four years of age, to access available services.

 ARTICLE 20 – FORECAST ADJUSTMENTS

This article amends appropriations for forecasted programs for fiscal years 2016 and 2017 to conform with the February 2016 budget forecast.

 ARTICLE 21 – CHILDREN AND FAMILIES

Section 1 (119B.13, subd. 1) increases the child care provider rate.  Beginning January 2, 2017, the rate for child care assistance is the rate in effect February 3, 2014, increased by seven percent.

Section 2 (145.4716, subd. 2) makes a technical modification to the safe harbor statute by adding a cross-reference to Minnesota Statutes, section 609.3241. (Section 23)

Section 3 (145.4716, subd. 3) expands eligibility for the safe harbor services and housing to youth 24 years of age or younger, consistent with the Homeless Youth Act under 256K and related federal law.

Sections 4 to 15 (245A.10, subd. 2, 245C.03, subd. 6a, 245C.04, subd. 1, 245C.05, subd. 2b,  245C.05, subd. 4, 245C.05, subd. 7, 245C.08, subd. 1, 245C.08, subd. 2, 245C.08, subd. 4,  245C.11, subd. 3, 245C.17, subd. 6, 245C.23, subd. 2) amend the Department of Human Services (DHS) Licensing Act and DHS Background Study Act, by transferring the responsibility to perform background studies on family child care and legal nonlicensed child care providers from the county to DHS.

Section 16 (256M.41, subd. 3) amends the child protection payment formula to counties to retain the existing formula.  This section also changes the month the commissioner makes threshold determinations and the month that payments are sent to counties.

Section 17 (256N.26, subd. 3) increases the basic monthly rate for Northstar Care for Children by 15 percent.

Section 18 (256P.06, subd. 3) clarifies that income includes all child support that the assistance unit receives, not just current support.

Section 19 (260C.125) creates a new section of law establishing the procedure for transferring the responsibility for the placement and care of an Indian child in out-of-home placement from the social services agency to a tribal agency.

Section 20 (260C.203) strikes language that is consolidated in a new section of law, section 260C.452.

Section 21 (260C.212, subd. 1) allows a child 14 years or older to select one member of the case planning team to be designated as the child’s adviser and to advocate for reasonable and prudent parenting standards.  For a child 18 years or older, this section requires, when appropriate, that the social services agency involve the child’s parents in the child’s case planning. This section also provides more detail related to educational stability requirements for foster children, clarifies the child’s role in the development of the independent living plan, and requires that the child receives notice of rights.

Section 22 (260C.212, subd. 14) defines the term “developmentally appropriate,” and modifies the definition of “reasonable and prudent parenting.”  This section also requires the commissioner to provide guidance as to what activities a foster parent must consider when applying reasonable and prudent standards.

Section 23 (260C.215, subd. 4) requires the curriculum for foster parents to include, as necessary, knowledge and skills related to reasonable and prudent parenting standards.

Section 24 (260C.451, subd. 6) clarifies that a child may reenter foster care prior to 21 years of age.

Section 25 (260C.451, subd. 9) adds a new subdivision clarifying requirements of administrative or court reviews to ensure the social services agency is making reasonable efforts to finalize the permanency plan for the child.

Section 26 (260C.452) creates a new section of law consolidating provisions related to the successful transition to adulthood for children under the guardianship of the commissioner, which includes independent living plan, notification of right to continued access to services, administrative or court review of placements, and notification of termination of foster care.

Section 27 (260C.521, subd. 1) modifies the purpose of the court review hearing of an order for permanent custody by specifying requirements of the responsible social services agency.

Section 28 (260D.14) amends the chapter of law related to a child in voluntary foster care for treatment chapter of law, by creating a new section related to the successful transition to adulthood, which includes case planning, notification of continued right to access services, and administrate or court reviews.

Section 29 (518.175, subd. 5) amends the statute governing modification of parenting time to provide that if a parenting plan or parenting time order cannot be used to determine the number of overnights a child has with each parent, the court must modify the plan or order so that the amount may be determined for purposes of the statute governing the parenting expense adjustment.

Section 30 (518A.26, subd. 14) amends the definition of “obligor” to provide that if a parent has more than 55% court-ordered parenting time, there is a rebuttable presumption that the parent has a zero dollar basic support obligation.  Factors to be considered overcoming this presumption are specified.  It does not eliminate an obligation to pay child support arrears or apply in cases where the public authority is bringing an action for contribution by a parent.

Section 31 (518A.34) modifies the parenting expense adjustment to the basic support obligation, consistent with other amendments in the bill.  New provisions are included governing calculations in cases where parents have split custody of joint children.  Parallel provisions are included for purposes of the basic support obligation, child care support obligation, and medical support.

Section 32 (518A.35, subd. 1) provides that unless a parent has court-ordered parenting time, the parenting expense adjustment formula must not be applied.  Special provisions are included in cases where a support order is sought by the public authority.

Section 33 (518A.36) contains the operative language governing changes in the parenting expense adjustment.

Subdivision 1 requires the percentage of time in a calendar year that a child is scheduled to spend with the parent to be calculated based on a two-year average.  Language governing the use of overnight equivalents for purposes of calculating the percentage of parenting time is included.

Subdivision 2 contains the new formula for the calculation of the parenting expense adjustment.

Subdivision 3 strikes language applicable in cases where parenting time is equal, which is replaced by new provisions in subdivision 2.

Section 34 (518A.39, subd. 2) amends the law governing modification of maintenance or support orders.  Special provisions are included for cases where child support was established by applying a parenting expense adjustment under prior law where there is no parenting plan or order from which overnights may be determined.  A formula is included for determining an obligation under previously existing child support guidelines.  Changes are made in the modification language applicable when child support guidelines are amended and application of the change would result in a hardship.

Section 35 (609.3241) amends chapter 609, which is the criminal code, related to the assessment imposed due to a conviction under 609.322 (Solicitation, Inducement, and Promotion of Prostitution; Sex Trafficking) and 609.324 (Patrons; Prostitutes; Housing Individuals Engaged in Prostitution; Penalties), by changing the assessment formula; the assessment that is currently forwarded to the Commissioner of Public Safety, and deposited in the safe harbor for youth account in the special revenue fund, will instead be forwarded to the Commissioner of Health.

Section 36 (626.556, subd. 2) amends the definition of sexual abuse in the Maltreatment of Minors Act.  Effective May 29, 2017, the term sexual abuse includes a child who is a victim of sex trafficking.

Section 37 (626.556, subd. 3c) Paragraph (b) requires the Department of Human Services (DHS) to investigate maltreatment in foster homes that are monitored by private agencies, and foster homes monitored by the county, upon agreement by the county and DHS.  This section also, in new paragraph (c), requires the Department of Human Services to investigate the death of a child in a foster care program.

Section 38 (626.556, subd. 3e) provides that the local welfare agency is responsible for investigating when a child is identified as a victim of sex trafficking, effective May 29, 2017.

Section 39 (626.556, subd. 10b) requires the Commissioner of Human Services to investigate every incident involving the death of a child during placement in a licensed child foster care home.

Section 40 (626.556, subd. 10f) makes a conforming change, resulting from changes in a previous section shifting the responsibility for maltreatment investigations of private agencies from the county to the commissioner.

Section 41 requires that allowable child protection services be expanded to include child care.

Section 42 prohibits the Commissioner of Human Services from counting the payment made to families participating in the pilot project related to child development in the first three years of life.  This section expires January 1, 2022, and a report is due January 1, 2023.

Section 43 requires the commissioner to convene a working group to review the impact of removing licensing responsibilities from private agencies, and report back to the legislative committees having jurisdiction over foster care issues by January 15, 2017.

Section 44 requires the commissioner to conduct a survey and report on existing liability insurance and the availability of coverage for family child care license holders.  The report is due January 16, 2017.

 ARTICLE 22 – MENTAL HEALTH

Section 1 (245.735, subd. 3) modifies the Excellence in Mental Health Act demonstration project, which establishes certified community behavioral health clinics (CCBHC), by adding components needed to implement the demonstration project, including providers standards, certification process, and prospective payment methodology.  This section is effective the day following final enactment.

Section 2 (245.735, subd. 4) requires the commissioner to collaborate and partner with stakeholders listed in this section in developing and implementing the CCBHCs.  This section is effective the day following final enactment.

Section 3 (245.99, subd. 2) amends the adult mental illness crisis housing assistance program by changing the eligibility; under current law, persons with serious and persistent mental illness are eligible and the modification allows for persons with serious mental illness to be eligible. This section is effective the day following final enactment.

Sections 4 and 7 (254B.01, subd. 4a, 254B.05, subd. 5) modify culturally specific programs to include subprograms for purposes of receiving enhanced chemical dependency rates. This section is effective the day following final enactment.

Section 5 (254B.03, subd. 4) changes the county share, for fiscal year 2017 only, with regard to chemical dependency services for publically funded clients from 22.95 percent to 15 percent, and changes the county share of the state collection from a private or third-party payment from 22.9 percent to 15 percent.

Section 6 (254B.04, subd. 2a) adds language stating that it should not be a factor in making placements for chemical dependency treatment whether the treatment facility has been designated an institution for mental disease (IMD).

Section 8 (254B.06, subd. 2) requires the commissioner, for fiscal year 2017 only, to allocate 85 percent, instead of 77.05 percent, of the patient and third-party payments to the special revenue account, and allocate 22.95 percent, instead of 15 percent, to the county of financially responsible for the patient.

Section 9 (254B.06, subd. 4) adds a new subdivision prohibiting the commissioner from denying reimbursement to a program designated as an IMD due to a reduction in federal financial participation and the addition of new residential beds.

Section 10 (256B.0621, subd. 10) allows medical assistance reimbursement for interactive video for relocation case management services, which helps recipients gain access to needed services and supports if they choose to move from an institution to the community.

Section 11 (256B.0622, subd. 12) allows the commissioner to use grant funds, within available appropriations, for assertive community treatment teams, intensive residential treatment services, or crisis residential services.

Section 12 (256B.0625, subd. 20) modifies the mental health targeted case management section of law to allow medical assistance reimbursement for contact by interactive video.

Section 13 (256B.0625, subd. 20b) adds a new subdivision creating a new benefit under the medical assistance chapter for mental health targeted case management through interactive video.

Section 14 (256B.0924, subd. 4a) allows medical assistance reimbursement for interactive video contact for targeted case management for vulnerable adults and adults with developmental disabilities.  This section also sets the parameters for contact by interactive video for targeted case management.  Interactive video is subject to federal approval, and is allowed if the requirements are met.

Section 15 establishes a rural demonstration project to assist transition-aged youth and young adults with emotional behavioral disturbance or mental illness in making a successful transition into adulthood.  Requires a report by January 1, 2019, on the status and outcomes of the demonstration project.

Section 16 requires the Commissioner of Human Services to seek federal approval for interactive video contact.

 ARTICLE 23 – DIRECT CARE AND TREATMENT

Section 1 (245.4889, subd. 1) allows the commissioner to use children’s mental health grants for sustaining extended-stay inpatient psychiatric hospital services for children and adolescents.

Section 2 (246.50, subd. 7) clarifies the definition related to the county of financial responsibility for state-operated services.

Section 3 (246.54) increases the county liability for the cost of care for direct care and treatment services. Under new subdivision 1b for care at state-operated community-based behavioral health hospitals (CBHH), the county payment for the cost of care is 100 percent when the facility determines that it is clinically appropriate to discharge the client.  Under new subdivision 1c, language is moved from existing law related to the county liability for the Minnesota Security Hospital, (MSH) forensic nursing home, and forensic transition programs.  The new county liability for the cost of care at the residential competency restoration program is 20 percent for each day the client spends in the program while the client is in need of services; 50 percent for each day the client spends in the program, but the client no longer needs restoration services; and 100 percent for each day the client spends in the program once the charges against the client have been resolved or dropped.

Section 4 (246B.01, subd. 1b) clarifies the definition related to the county of financial responsibility for the Minnesota Sex Offender Program.

Section 5 (246B.01, subd. 2b) expands the definition of “cost of care” for the Minnesota Sex Offender Program (MSOP), to include aftercare services and supervision.

Section 6 (246B.035) requires the annual MSOP performance report by February 15 beginning in 2017.

Section 7 (246B.10) amends the liability of the county to pay for the cost of care provided by the Minnesota Sex Offender Program to include services in a facility or services while on provisional discharge.

Section 8 requires a quarterly report on AMRTC, MSH, and CBHH containing information on the number of licensed beds, budgeted capacity, occupancy rate, injuries, clinical and direct care positions funded, and percentage of those positions that are filled.

 ARTICLE 24 - CONTINUING CARE

Section 1 (245A.10, subd.  4) Paragraph (b), clause (5) extends by another year the grandfathered licensing fee structure for providers previously licensed under section chapter 245B. Paragraph (m) modifies the licensing fees for providers of those home and community based services that require licensure under 245D. The new annual fee is the higher of $450 or 0.27 percent of the provider’s revenue derived from the provision of 245D licensed services.  The commissioner must calculate a provider's fee based on paid claims invoiced by that provider.  Paragraph (m) is effective for fees paid after July 1, 2017.

Section 2 (245A.10, subd.  8) moves revenue collected from DHS licensing activities from the state government special revenue fund to a special revenue fund.  The sources of the revenue include various application fees, as well as various licensing fees, including those from childcare center, chemical dependency treatment programs, residential facilities, foster care providers, adoption services providers, adult day care centers, 245D licensed services, and certain mental health centers and clinics. This section is effective July 1, 2017.

Section 3 (245D.03, subd.  1) requires providers of individual community living support to be licensed under the home and community based services standards under 245D. This section is effective July 1, 2017.

Section 4 (256B.0949) adds new language concerning an existing benefit for the treatment of children with autism spectrum disorders and related conditions.

Subdivision 1 changes the name of the existing autism early intensive intervention benefit to the Early Intensive Developmental and Behavioral Intervention (EIDBI) benefit and includes language specifying that the benefit is also available for the treatment of conditions related to autism spectrum disorders (ASD).

Subdivision 2 includes several new definitions, including definitions of “agency,” “ASD and related conditions,” “clinical supervision,” “comprehensive multidisciplinary evaluation,” “individual treatment plan,” “legal representative,” “person-centered,” and definitions by cross-reference for various EIDBI professionals and providers.

Subdivision 3 modifies the eligibility criteria for the EIDBI benefit to allow children with diagnoses of a condition related to an autism spectrum disorder to be eligible.

Subdivision 3a requires providers to ensure that children and their families receive EIBDI services in a culturally and linguistically appropriate manner.

Subdivision 4 specifies the conditions a diagnosis of ASD or a related condition must meet in order for a child to be eligible for the benefit; and specifies additional information that may be included in a diagnostic assessment.

Subdivision 5 requires a comprehensive multidisciplinary evaluation (CMDE) of potential service recipients be completed to determine if EIDBI services are medically necessary; and specifies what must be included in the evaluation.

Subdivision 5a specifies the CMDE provider qualification requirements.

Subdivision 6 requires an EIDBI professional to develop and monitor a child’s individual treatment plan and specifies the required elements of an individual treatment plan.

Subdivision 6a specifies that EIDBI services may not replace services provided in a school or other settings and must be coordinated with services defined in a child’s individualized education plan or individualized family service plan; requires the commissioner to integrate medical authorization procedures for this benefit with authorization procedures for other services.

Subdivision 7 requires that a child’s progress toward achieving treatment goals be evaluated at least every six month and specifies who must supervise the evaluation and the required elements of the evaluation.

Subdivision 8 requires the commissioner to work with stakeholders to continue to refine the details of the EIBDI benefit and incorporates new language and terminology into the list of suggested issues the commissioner could consider.

Subdivision 9 specifies the requirements any treatment method must meet to be a recognized treatment option for the purposes of the EIDBI benefit.

Subdivision 10 is existing language.

Subdivision 11 is existing language.

Subdivision 12 is existing language.

Subdivision 13 lists and describes the services covered by the EIDBI benefit.

Subdivision 14 lists the rights of children and of their families who receive the EIDBI benefit.

Subdivision 15 specifies the provider qualification requirements for each of the following EIBDI providers: level I treatment providers; level II treatment providers; level III treatment providers; and qualified supervising professionals.

Subdivision 16 lists and describes the duties and responsibilities of an agency.

Subdivision 17 lists and describes the agency qualification requirements, as well as additional duties and responsibilities of agencies.

Subdivision 18 requires the commissioner to consult with stakeholders to determine if there exists a shortage of qualified providers of EIDBI services, and if so, to develop a process and criteria for granting exceptions to the provider qualification requirements, the medical assistance provider enrollment requirements, or other applicable requirements. The commissioner is required to provide annual updates to the legislature concerning the status of the shortage of qualified EIBDI providers and the use of the qualification exception process.  The commissioner may not terminate the exemption authority without providing 30 days’ notice for public comment.

Section 5 (256B.442, subd.  30) corrects a drafting error in the nursing facility payment rate reform that passed in 2015. The total care-related per diem is defined elsewhere in the payment rate language as the sum of the direct care costs per diem and the other care-related per diem. The median total care-related per diem was inadvertently defined as including only the direct care component of the total care-related per diem.

Section 6 (256B.441, subd. 66) adds nonprofit nursing homes in Moorhead to an already existing rate increase that applies to nonprofit nursing homes in Breckenridge.  The Moorhead rate increase would be effective January 1, 2020.

Section 7 (256B.4912, subd.  11) requires home and community based service providers to submit, and the commissioner of human services to analyze, wage and staffing data for certain HCBS services.

Section 8 (256B.4913, subd. 4a) modifies the historical rate for day services by setting the rate equal to the weighted average historical rate for each provider in the county, rather than the historical rate of the provider.

Section 9 (256B.4914, subd. 5) Paragraph (i) requires the commissioner to make recommendations by January 15, 2017, for incorporating into the disability waiver rate system framework the cost of increased licensing fees under section 245A.10, subdivision 4, paragraph (m).

Section 10 (256B.4914, subd.  10) replaces “county” and “county and tribal” with “Lead agency.”

Section 11 (256B.4914, subd.  11) replaces “county” with “lead agency.”

Section 12 (256B.4914, subd.  14) clarifies the circumstances under which an application for an exception to the rates set under the disability waiver rate setting system  are allowed by permitting applications when an individual’s services needs cannot be met through the weighted county average historical rate.

Section 13 (256B.4914, subd.  15) replaces “county and tribal” and “county” with “lead agency.”

Section 14 (Provider Rate Grant Increases Effective July 1, 2016) Paragraph (a) requires the commissioner of human services to increase by 2.72 percent the rate for certain home and community based services that are now subject to the U.S. Department of Labor’s Home Care Rule, which requires most home care workers to be paid for overtime and travel time.

Paragraph (b) specifies the services to which the rate increase applies.

Paragraph (c) requires managed-care plans and county-based purchasing plans to pass through the increase in capitation rates to the providers of the eligible services.

Paragraph (d) requires lead agencies to increase each consumer-directed community supports recipient’s budget by 2.27 percent.

Paragraph (e) requires the commissioner to include the increase in the rates under the disability waiver rate setting system.

Paragraph (f) requires that providers use 90 percent of the additional revenue to increase compensation-related costs for employees other than central office employees or persons paid by the provider under a management contract.

Paragraph (g) defines “compensation-related costs.”

Paragraph (h) gives providers discretion to distribute the additional revenue across the eligible compensation-related costs.

Paragraph (i) requires providers to obtain from an exclusive bargaining representative a letter of acceptance of a plan for distribution of 90 percent of the rate increase to members of the bargaining unit.

Paragraph (j) requires providers to develop and submit to the commissioner a plan for the distribution of 90 percent of the rate increase.  The distribution plan must include the provider’s overtime policy, and the overtime policy must not limit overtime when a service recipient’s needs would go unmet without a worker exceeding 40 hours in a week.

Paragraph (k) requires providers to post notice of its distribution plan in a manner accessible to employees and provide instructions for employees to contact the commissioner if they believe they have not received the compensation increases.

Section 15 (Instruction to the Commissioner) requires the commissioner of human services to update the medical assistance state plan to be consistent with the statutory changes to the EIDBI benefit under section 256B.0494.

Section 16 (Revisor’s Instruction) codifies the home and community-based incentive pool, which provides incentive payments to providers for innovations that achieve integrated competitive employment and living in integrated settings.

 ARTICLE 25 - HEALTH CARE

Section 1 (16A.724, subd. 2) increases the amount transferred each biennium from the health care access fund to the general fund to reflect the current value of the medical assistance and MinnesotaCare revenue that is included in the HMO premiums and provider gross revenue taxes to cover the increase in the provider’s rates.

Sections 2 to 20 and section 28 cover the changes in prior authorization and utilization review for prescription drugs.

Section 2 (62J.497, subd. 1) adds a definition of utilization review organization.

Section 3 (62J.497, subd. 3) requires group purchasers and utilization review organizations other than workers' compensation plans and the medical component of an automobile insurance coverage, to develop processes to ensure that prescribers can obtain information about covered drugs from the same class or classes or a drug originally prescribed that was denied.

Section 4 (62M.02, subd. 10a) adds a definition for “drug.”

Section 5 (62M.02, subd. 11a) adds a definition for “formulary.”

Section 6 (62M.02, subd. 12) modifies the definition of health benefit plan to include a health plan that provides coverage of prescription drugs.

Section 7 (62M.02, subd. 14) modifies the definition of “outpatient services” to include prescription drugs.

Section 8 (62M.02, subd. 14a) adds a definition for “prescription.”

Section 9 (62M.02, subd. 14b) adds a definition for “prescription drug order.”

Section 10 (62M.02, subd. 15) modifies the definition of  “prior authorization” to include preadmission review, pretreatment review, quantity limits, step therapy, utilization, and case management and any utilization review organization’s requirement that an enrollee or provider notify the utilization review organization prior to providing a service.

Section 11 (62M.02, subd. 17) modifies the definition of “provider” to include a licensed pharmacist.

Section 12 (62M.02, subd. 18a) adds a definition for “quantity limit.”

Section 13 (62M.02, subd. 19a) adds a definition for “step therapy.”

Section 14 (62M.05, subd. 3a) modifies the time in which an initial determination on requests for utilization review on prescription drug requests must be communicated to the provider and enrollee from ten business days to five business days of the request.

Section 15 (62M.05, subd. 3b) modifies the time in which notification of an expedited initial determination to either certify on prescription drug requests or not to certify must be provided to the provider and enrollee from no later than 72 hours to no later than 36 hours from the initial request.

Section 16 (62M.06, subd. 2) modifies the time in which a utilization review organization must notify the enrollee and attending health care professional of its determination on the expedited appeal on prescription drug requests from no later than 72 hours to no later than 36 hours after receiving the expedited appeal.

Section 17 (62M.06, subd. 3) modifies the time in which a utilization review organization must notify the enrollee, attending health care professional, and claims administrator of its determination on a standard appeal on prescription drugs from 30 days to 15 days upon receipt of the notice to appeal.  If the utilization review organization cannot make a determination within 15 days due to circumstances outside the control of the review organization, the review organization may take up to ten additional days to notify the enrollee, attending health care professional, and claims administrator of its determination.  If it takes any additional days beyond the initial 15-day period to make its determination, it must inform the enrollee, attending health care professional, and claims administrator in advance of the extension and reasons for it.

Section 18 (62M.07), Paragraph (d), specifies that any authorization for a prescription drug must remain valid for the duration of an enrollee’s contract term so long as the drug continues to be prescribed to the patient, the drug remains safe, has not been withdrawn from use by the FDA or the manufacturer, and no drug warnings or recommended changes in drug usage has occurred.

Paragraph (e) prohibits a utilization review organization, health plan company, or claims administrator from imposing step therapy requirements for enrollees currently on a prescription drug for six specified classes.

Paragraph (f) prohibits a utilization review organization, health plan company, or claims administrator from imposing step therapy requirements on enrollees who are currently taking a prescription drug for which the patient satisfied a previous step therapy requirement.

Section 19 (62M.09, subd. 3) requires all physicians conducting the review in connection with any policy issued by a health plan company, regardless of size, be licensed in Minnesota.

Section 20 (62M.11) permits a provider to file a complaint regarding compliance with the requirements of this chapter or regarding a determination not to certify directly to the commissioner responsible for regulating the utilization review organization.

Section 21 (62Q.81, subd. 4) clarifies that autism spectrum disorder treatments specified in section 62A.3094 are rehabilitative and habilitative services for purposes of the essential health benefits.  This section is effective upon a formal determination from CMS that these services are not a new state mandate.

Section 22 (62Q.83) creates prescription drug benefit transparency and management requirements.

Subdivision 1 defines the following terms:  drug; enrollee contract year; formulary; health plan company; and prescription.

Subdivision 2 requires a health plan company that cover prescription drugs and uses a formulary to make its formulary and related benefit information available by electronic means and, upon request, in writing at least 30 days prior to annual renewal dates.

Subdivision 3, paragraph (a), specifies that once a formulary has been established a health plan company, may at any time during an enrollee’s contract year, expand its formulary by adding drugs to the formulary; reduce the copayments or coinsurance; or move a drug to a benefit category that reduces the enrollee’s cost.

Paragraph (b) states that a health plan company may remove a brand name drug from its formulary or place a brand name drug in a benefit category that increases an enrollee’s cost only if an A-rated generic or multisource brand name equivalent is added to the formulary at a lower cost to the enrollee and upon 60 notice to prescribers, pharmacists, and affected enrollees.

Paragraph (c) permits a health plan company to change utilization review requirements or move drugs to a benefit category that increases an enrollee’s cost during the enrollee’s contract year upon a 60-day notice provided the change does not apply to enrollees who are currently taking the drugs affects by the change for the duration of the enrollee's contract year. 

Paragraph (d) permits a health plan company to remove any drug from its formulary that has been deemed unsafe by the FDA or it has been withdrawn by the FDA or the manufacturer, or an independent source has issued drug specific warnings or recommended changes in drug usage.

Subdivision 4, paragraph (a) requires a health plan company to establish and maintain a transition process to prevent gaps in prescription drug coverage for enrollees with ongoing prescription drug needs who are affected by changes in formulary drug availability.

Paragraph (b) requires the process to provide coverage for at least 60 days.

Paragraph (c) requires that any cost-sharing applied be based on the defined prescription drug benefit terms and must be consistent with any cost-sharing that would be charged for nonformulary drugs approved under a medication exceptions process.

Paragraph (d) requires the health plan company to ensure that written notice is provided to each affected enrollee and prescriber within three business days after adjudication of the transition coverage.

Subdivision 5, paragraph (a) requires each health plan company to establish and maintain a medication exceptions process that allows enrollees, providers, and an authorized representative to request and obtain coverage approval in certain situations.

Paragraph (b) requires the exception request to remain valid for the duration of an enrollee’s contract term provided that the medication continues to be prescribed of the same condition, and the medication has not been withdrawn by the manufacturer or the FDA.

Paragraph (c) requires the medical exceptions process to comply with the requirements under chapter 62M (utilization review).

Section 23 (62V.041) establishes a shared eligibility system that supports the eligibility determinations that use a modified adjusted gross income methodology for medical assistance, MinnesotaCare, and qualified health plan enrollment.  Requires the steering committee of the shared eligibility system to establish an overall governance structure for the system, including setting goals and priorities, allocating resources, and making major system decisions.  Requires the steering committee to operate under a consensus model and give particular attention to parts of the system with the largest enrollments and the greatest risks.  Requires MN.IT to be responsible for the design, building, maintenance, operation, and upgrade of the information technology for the system.

Section 24 (62V.05, subd. 2) requires MNsure to retain or collect up to 1.5 percent of total premiums for individual health plans and dental plans sold to Minnesota residents through MNsure and outside of MNsure to fund the operations of MNsure beginning January 1, 2018.  (Currently MNsure retains up to 3.5 percent of total premiums for individual and small group market health plans and dental plans sold through MNsure).

Section 25 (256.01, subd. 41) requires the commisioner and the MNsure Board by January 15, 2017, to develop a plan and timetable to ensure the implementation of qualifying life events and changes in circumstances are processed within 30 days of receiving a report of the qualifying life event or chabge in circumstances by persons who have been determined eligible for a public health care program or are enrolled in a qualified health plan through MNsure.

Section 26 (256B.04, subd. 14) includes allergen-reducing products to the items that the Commissioner of Human Services may use for volume-purchasing through competitive bidding and negotiations under chapter 16C.

Section 27 (256B.057, subd. 12a) requires the commissioner to establish a process for federally qualified health centers to determine presumptive eligibility for medical assistance for patients who are pregnant women or children under the age of two and have a basis for eligibility using the modified adjusted gross income methodology.

Sections 28 to 32 concern compliance with and mitigation of federal antispousal impoverishment requirements.

Section 28 (256B.059, subd. 1) strikes the definition of “spousal share” thereby removing the requirement that a community spouse be allowed to retain only half of the marital assets up to a limit.  Under the new language, a community spouse will be able to retain 100 percent of marital assets up to a limit. This section is effective June 1, 2016.

Section 29 (256B.059, subd. 2) modifies when a couple’s assets are assessed and the moment in time that is used in that assessment by eliminating the references to the first day of a continuous period of institutionalization.  Under the new language, marital assets are assessed upon application for MA long-term services. This section is effective June 1, 2016.

Section 30 (256B.059, subd. 3) sets the maximum value of assets a community spouse may retain at $119,220. The maximum current value is also $119,220 (after adjusting for inflation) but under the existing language, a community spouse can retain only one-half of the allowable marital assets, not 100 percent as is proposed under this section.  This asset limit is subject to annual inflation adjustments. This section is effective June 1, 2016.

Section 31 (256B.059, subd. 5) eliminates unnecessary language.  Under the new language, the assets available to a spouse receiving long-term care to pay for those services are all available assets after deducting the community spouse’s asset allowance. This section is effective June 1, 2016.

Section 32 (256B.059, subd. 7) expands the definition of “institutionalized spouse” to include (1) effective June 1, 2016, a spouse applying after June 1, 2016, for HCBS waiver services (2) effective March 1, 2017, a spouse enrolled prior to June 1, 2016, to receive HCBS waiver services and (3) effective June 1, 2016, a spouse applying for community first services and supports.

Section 33 (256B.06, subd. 4) requires emergency medical assistance to cover kidney transplants for persons with end-stage renal disease, who are currently receiving dialysis services, and who are a potential candidate for a kidney transplant.

Section 34 (256B.0625, subd. 9c) specifies that medical assistance covers oral health assessments if the assessment uses the risk factors established by the commissioner and is conducted by a licensed dental provider in collaborative practice to identify possible signs of oral or systemic disease, malformation or injury, and the need for referral for diagnosis and treatment.

Section 35 (256B.0625, subd. 17a) increases the medical assistance payment rates by five percent for ambulance services provided by ambulance service providers whose base of operations is located outside the metropolitan counties and outside the cities of Duluth, Mankato, Moorhead, St. Cloud, and Rochester, or within a municipality with a population of less than 1,000.

Section 36 (256B.0625, subd. 30) requires the commissioner to seek a section 1115 federal waiver in order to obtain enhanced federal financial participation at 100 percent federal match available to Indian health services facilities or tribal organization facilities for expenditures made for organizations that are dually certified under the Indian Health Care Improvement Act and as a federally qualified health center that provide services to eligible American Indians and Alaskan Natives.

Section 37 (256B.0625, subd. 31) specifies that the allergen products described in section 256B.0625, subdivision 65, shall be considered durable medical equipment.

Section 38 (256B.0625, subd. 34) specifies that the medical assistance payments to a dually certified facility under section 256B.0625, subd. 30, paragraph (j), shall be the encounter rate or a rate equivalent for services provided to American Indians and Alaska Native populations.

Section 39 (256B.0625, subd 58) increases the payment rate for early and periodic screening, diagnosis, and treatment (EPSDT) screenings by five percent.

Section 40 (256B.0625, subd. 60a) adds community emergency medical technician (CEMT) services to the set of covered benefits under medical assistance by:

• establishing CEMT services as a covered benefit;
• establishing and describing a CEMT posthospital discharge visit as a CEMT service;
• establishing and describing a CEMT safety evaluation visit as a CEMT service; and
• establishing the provider rate for CEMT services.

Section 41 (256B.0625, subd. 65, paragraph (a) requires medical assistance to cover enhanced asthma care services and related products for children with poorly controlled asthma.  Requires a child to meet the following criteria in order to be eligible for these services and products.  The child must:

1. be under the age of 21;
2. have poorly controlled asthma;
3. have received health care for asthma from a hospital emergency department at least one time in the past year or been hospitalized for the treatment of asthma at least once in the past year; and
4. received a referral for these services and products from a treating health care provider.

Paragraph (b) lists the covered services and products, which includes: a home assessment conducted by a healthy homes specialist; targeted asthma education services; and allergen reducing products.

Paragraph (c) states that a child is limited to one home assessment and one visit by a certified asthma educator on how to use and maintain the allergen reducing products.  Permits an additional home assessment if the child moves into a new house, a new trigger enters the home, or the child’s provider identifies a new allergy for the child.

Paragraph (d) requires the commissioner to determine the frequency with which products may be replaced based on the reasonable expected lifetime of the product.

Sections 42 to 44 retroactively limit medical assistance estate recoveries for those individuals 55 years of age or older who receive medical assistance while not institutionalized.

Section 42 (256B.15, subd. 1) makes a conforming change to the estate recovery language by striking a reference to the “total” cost of medical assistance an individual receives.

Section 43 (256B.15, subd. 1, paragraph e) retroactively modifies the circumstances under which the Commissioner of Human Services is permitted to file a claim against the estate of an individual who received medical assistance while not residing in an institution.  

For services rendered prior to January 1, 2014, a claim against an estate must be filed if:  (1) a person received any medical assistance and the person was 55 years old or older at the time the service was rendered; or (2) the person at any age resided in an institution for six months or longer.

For services rendered after January 1, 2014, a claim against an estate must be filed, but only if:  (1) the person was 55 years old or older at the time the service was rendered and the services provided were nursing home services, home and community-based services, or related hospital and prescription drug benefits; or (2) the person at any age resided in an institution for six months or longer.

Section 44 (256B.15, subd. 2 – Limitations on claims) specifies what costs may be included in a claim against an estate.

For services rendered prior to January 1, 2014, a claim must include only (1) the total cost of medical assistance rendered after age 55, and (2) the total cost of medical assistance rendered at any age during a period of institutionalization.

For services rendered after January 1, 2014, a claim must include only (1) the total cost of nursing home services, home and community-based services, and related hospital and prescription drug benefits rendered after age 55, and (2) the total cost of medical assistance rendered at any age during a period of institutionalization.

Section 45 (256B.69, subd. 6) specifies that managed care plans and county-based purchasing plans must comply with chapter 62M and section 62Q.83, for purposes of delivering services under the prepaid medical assistance program.

Section 46 (256B.76, subd. 1) increases the payment for primary care services by five percent when provided by a physician certified in family medicine, general internal medicine, pediatric medicine, or obstetric and gynecological medicine; or a physician assistant, advanced practice registered nurse, or physician other than a psychiatrist for whom at least 60 percent of the services for which they received payment under medical assistance or MinnesotaCare were for primary care evaluation and management services or vaccine administration services.

Section 47 (256B.76, subd. 2) Paragraph (l) specifies that effective January 1, 2017, payment rates for dental services provided outside the seven-county metropolitan area are increased by 9.65 percent.  This replaces the payment rate increase for dental services that was passed last session that applied to dental services furnished by dental providers located outside of the seven-county metropolitan area.

Paragraph (m) specifies that effective for services provided on or after July 1, 2016, payment rates for preventive dental services are increased by five percent.

Section 48 (256B.76, subd. 4) Paragraph (a) modifies the medical assistance critical access dental payments from 35 percent to 37.5 percent, except as specified in paragraph (b).

Paragraph (b) specifies that the critical access dental payment for dental clinics and dental groups that meet the critical access dental provider designation under paragraph (d), clause (4), and is owned and operated by a health maintenance organization shall remain at 35 percent rate increase over what would otherwise be paid to the critical access provider.

Paragraph (c) modifies the calculation used to determine the critical access dental payments.

Paragraph (d) modifies the critical access dental provider designation so that the following dentists or dental clinics are included as critical access dental providers:  nonprofit community clinics; hospital-based dental clinics owned and operated by a city, county, or former state hospital; dental clinics or dental groups owned and operated by a nonprofit corporation with more than 10,000 patient encounters per year with patients who are uninsured or covered by medical assistance or MinnesotaCare; and private practicing dentists if the dentist’s office is located within the seven-county metropolitan area and more than 50 percent of the dentist’s patient encounters per year are with patients who are uninsured or covered by medical assistance or MinnesotaCare or is located outside the seven-county metropolitan and more than 25 percent of the dentist’s patient encounters per year are with patients who are uninsured or covered by medical assistance or MinnesotaCare.

Section 49 (256B.761) increases payment rates for outpatient mental health services by five percent.

Section 50 (256B.7625) increases the payment rates for prenatal and postpartum follow up home visits provided by public health nurses using evidence-based models to $140 per visit effective January 1, 2017.

Section 51 (256B.766) clarifies the medical assistance rate increase that was passed last year for durable medical equipment and supplies.

Sections 52 to 65 and 68, paragraph (b), make changes to the MinnesotaCare program to comply with federal regulations and expands the income eligibility for the program to 275 percent of the federal poverty guidelines if federal approval is granted or January 1, 2018, whichever is later.

Section 52 (256L.01, subd. 1a) modifies the definition of child to an individual under the age of 21.

Section 53 (256L.01, subd. 5) modifies the definition of “income” to mean a household’s current income, or if income fluctuates month to month, the income for the 12-month eligibility period.

Section 54 (256L.03, subd. 5) requires the commissioner to increase cost-sharing for covered services for enrollees with income greater than 200 percent, but not exceeding 250 percent so that the actuarial value for the MinnesotaCare benefit is 87 percent and for enrollees with income greater than 250 percent, but not exceeding 275 percent the actuarial value of the benefit is 80 percent.

Section 55 (256L.04, subd. 1) increases the income eligibility limit for MinnesotaCare from 200 percent to 275 percent for families with children.

Section 56 (256L.04, subd. 1a) requires individual and families applying to MinnesotaCare to provide a Social Security number if required under the federal regulations.

Section 57 (256L.04, subd. 2) makes it permissive for an individual or family to cooperate with the state to identify potentially liable third-party payers and assist the state in obtaining third-party payments or in establishing paternity and obtaining medical care support and payments for the child.

Section 58 (256L.04, subd. 7) increases the income eligibility limits for MinnesotaCare from 200 percent to 275 percent of federal poverty guidelines for single adults without children.

Section 59 (256L.04, subd. 7b) requires the commissioner to adjust the income limits annually each July 1 instead of January 1.

Section 60 (256L.05, subd. 3a) modifies the redetermination time period for MinnesotaCare so that the 12 month period begins the month of application and authorizes the commissioner to adjust the eligibility period for enrollees to implement renewals throughout the year.

Section 61 (256L.06, subd. 3) requires the commissioner to forgive the past due premium for individuals who are disenrolled for nonpayment of premiums before issuing a premium invoice for the fourth month following disenrollment.

Section 62 (256L.07 subd. 1) modifies the period in which disenrollment begins for individuals whose income increases above the income eligibility limit to the last day of the calendar month in which the commissioner sends advance notice in accordance with federal regulations.

Section 63 (26L.11, subd. 7) increases the critical access dental payments for MinnesotaCare from 30 percent to 32.5 percent above the payment the provider would otherwise be paid, except for the critical access dental providers described in section 256B.76, subdivision 4, paragraph (b), in which the payment shall remain at 30 percent above the payment the provider would otherwise be paid.

Section 64 (256L.15, subd. 1) requires the commissioner to accept an individual’s attestation of the individual’s status as an American Indian as verification until the federal government approves an electronic data source that purpose.

Section 65 (256L.15, subd. 2) requires the commissioner to extend the premium scale for MinnesotaCare to include individuals with incomes greater than 200 percent, but not exceeding 275 percent of FPG so that the individuals with income at 201 percent of FPG shall pay 4.09 percent of income, individuals with income at 251 percent of FPG shall pay 7.26 percent of income, and individuals with income at 275 percent of FPG shall pay 8.83 percent of income.  Requires the commissioner to set other premium amounts in a proportional manner using evenly spaced income steps.

Section 66 (Federal Waiver) requires the commissioner of human services, in consultation with the commissioners of health and commerce and the executive director of MNsure, to seek all necessary federal waiver authority to design and operate a seamless and sustainable health coverage continuum that reduces barriers, eases transition, and ensures access to comprehensive and affordable health care coverage.  The waiver shall include proposals to expand MinnesotaCare income eligibility to 275 percent of federal poverty guidelines; offer continuous eligibility for families and children; address the “family glitch;” establish a MinnesotaCare public option; and replace the annual open enrollment period with an alternative.

Section 67 (Direction to the Commissioner; Notice) requires the Department of Human Services within 90 days of enactment to notify anyone who received medical assistance nonlong-term care services of the amendments to the estate recovery language in this bill.

Section 68 requires the commissioner of management and budget to develop a request for information to consider the feasibility for a private vendor to provide the technology functions for the individual market and small business health options program (SHOP) market currently provided by MNsure.

Section 69 (Repealer.)

Paragraph (a) repeals obsolete language concerning the implementation of the rules governing the treatment of marital assets when a spouse is institutionalized effective June 1, 2016.

Paragraph (b) repeals sections 256L.04, subd. 2a (application for other benefits); 256L.04, subd. 8 (applicants potentially eligible for medical assistance); 256L.22, 256L.24; 256L.26; 256L.28 (Children’s Health program) effective the day following final enactment, effective the day following final enactment.

 ARTICLE 26 – HEALTH DEPARTMENT

Section 1 (13.3805, subd. 5) classifies radon testing and mitigation data maintained by the Department of Health as private data on individuals or nonpublic data.

Section 2 (13.3806, subd. 22) adds a reference in chapter 13 and the classification of data collected under the medical cannabis registry program to include registry information accessed under section 152.27, subdivision 8.

Section 3 (62D.04, subd. 1) specifies that a health maintenance organization (HMO) in their application for a certificate of authority must include arrangements for an ongoing evaluation of the quality of health care that includes a peer review process.

Section 4 (62D.08, subd. 3) requires HMOs to report to the Commissioner of Health data on the number of complaints received and the category of each complaint as defined by the commissioner.  Requires the commissioner to define the complaint categories to be used by each HMO by July 1, 2017, and requires the HMO to use the categories beginning in calendar year 2018.

Section 5 (62D.115) establishes an investigation process for quality of care complaints for HMOs.

Subdivision 1 defines quality of care complaints.

Subdivision 2 requires each HMO to develop and implement policies and procedures for the receipt, investigation, and resolution of quality of care complaints.

Subdivision 3, paragraph (a), requires HMOs to report quality of complaints as part of their annual report required under section 62D.08.

Paragraph (b) requires quality of care complaints received by the HMO that meet the highest level of severity as defined by the commissioner must be reported to the commissioner within ten calendar days of receipt of the complaint.  Requires the commissioner to investigate the complaint and authorizes the commissioner to contract with experts in health care or medical practice to assist in the investigation.  Requires the commissioner to provide to the person who made the complaint a written description of the commissioner’s investigative process and any action taken by the commissioner relating to the complaint.  Specifies that if the commissioner takes any corrective action or requires the HMO to make any corrective measures of any kind that the nature of the complaint and the action or measures taken are public data.

Paragraph (c) requires the commissioner to forward any quality of care complaints received by a HMO or received directly from an enrollee of a HMO that involves services by a health care provider or facility to the relevant health-related licensing board or state agency, for further investigation, upon the consent of the enrollee.

Subdivision 4 specifies that an enrollee who files a quality of care complaint with the commissioner involving an HMO may submit a written request to the commissioner for an external quality of review.  Requires the HMO to participate in the external quality of care review and cover the cost of the review.

Subdivision 5 requires the commissioner to contract with at least three organizations to provide independent external quality of care reviews submitted for external review.  Describes what the request for proposals for the contract must contain.

Subdivision 6 describes the external quality of care review process.

Subdivision 7 requires each HMO to maintain records of all quality of care complaints and their resolution and to retain those records for five years, and make them available to the commissioner upon request.  Specifies that the records provided to the commissioner are confidential data on individuals or protected nonpublic data as defined in section 13.02

Subdivision 8 specifies that this section does not apply to quality of care complaints received by a HMO from an enrollee covered under a public health care program.

Section 6 ( 62J.495, subd. 4) adds to the commissioner’s coordination efforts regarding health information technology: (1) providing financial and technical support to Minnesota health care providers to encourage implementation of admission, discharge and transfer alerts, care summary document exchange transactions and to evaluate the impact of health information technology on cost and quality of care; (2) providing educational resources and technical assistance to health care providers and patients related to privacy, security, and consent laws governing clinical health information; (3) assessing Minnesota’s legal, financial, and regulatory framework for health information exchange and making recommendations to strengthen the ability of health care providers to securely exchange data in compliance with patient preferences and in a way that is efficient and financially sustainable; and (4) seeking public input on patient impact and costs associated with requirements related to patient consent requirements for the release of health records as required under the Minnesota Health Records Act.

Section 7 (62J.496, subd. 1) permits funds in the electronic health record system revolving account to be used for activities describes in section 62J.495, subdivision 4.

Section 8 (62U.04, subd. 1) extends the date to July 1, 2019, in which the commissioner may use all payer claims data to analyze variations in health care cost, quality, utilization, and illness burden based on geographical areas or populations and requires the commissioner to develop a community input process to advise the commissioner on identifying high priority analysis to be conducted and creating additional public use files of summary data.

Section 9 (144.061) requires the commissioner as part of the incentive pilots for the early dental prevention initiative passed last year to designate up to three communities of color or of recent immigrants and work with these communities to ensure that the educational materials and information are effectively distributed within these communities, and then evaluate the strategies used to determine whether the strategies increased the numbers of infants and toddlers receiving early preventive dental care.

Section 10 (144.0615) requires the commissioner to develop a statewide coordinated dental sealant program to improve access to preventive dental services for school-aged children.  The commissioner shall award grants to nonprofit organizations to provide the school-based programs and report to the legislature by March 15, 2018, on the implementation of the program, data tools developed, outcome measures, grants awarded and location, and the evaluation results.

Section 11 (144.1912) requires the commissioner to award family medicine residency grants to existing, not-for-profit family medicine residency programs located outside the seven-county metropolitan area to support current and new residency positions.  The commissioner may fund a new residency position for up to three years.  Describes what the grant funds may be used for and requires the commissioner to collect the necessary information from the residency programs to implement and evaluate the program.

Section 12 (144.4961, subd. 3) clarifies the rulemaking authority of the commissioner for establishing licensure requirements and work standards relating to indoor radon in dwellings and other buildings.

Section 13 (144.4961, subd. 4) modifies the date in which radon mitigation systems installed must have a radon mitigation system tag provided by the commissioner from October 1, 2017, to January 1, 2018.

Section 14 (144.4961, subd. 5) modifies the effective date requiring licensure for persons performing laboratory analysis, or performs a service to mitigate radon in the indoor atmosphere, from October 1, 2017, to January 1, 2018.  Removes the licensure requirement for persons that sell devices that detect the presence of radon in the indoor atmosphere.

Section 15 (144.4961, subd. 6) specifies that licensure does not apply to radon control systems installed in newly constructed Minnesota homes, employees of a firm or corporation that installs radon control systems in newly constructed Minnesota homes; a person authorized as a building official; or any person that distributes radon testing devices or information for general education purposes.

Section 16 (144.4961, subd. 8) modifies the fees for radon licenses.

Section 17 (144.4961, subd. 10) specifies that the Radon Licensing Act does not preclude local units of government from requiring additional permits or inspections for radon control systems and does not supersede local inspection or permit requirements.

Section 18 (144A.75, subd. 5) removes from the definition of “hospice provider” the condition that a hospice patient must be terminally ill.

Section 19 (144A.75, subd. 6) expands the definition of “hospice patient” to include a person, 21 years of age or younger, who has been diagnosed with a life-threatening illness that contributes to a shortened life expectancy.

Section 20 (144A.75, subd. 8) modifies the definition of “hospice services” to allow currently existing hospice services to be provided to patients who fall under the newly expanded definition of “hospice patient.”

Section 21 (144A.75, subd. 13) modifies the definition of “residential hospice facility” by clarifying that a residential hospice facility must meet existing setting requirements concerning life safety, accessibility, and the care needs of hospice patients.

Section 22 (144A.75, subd. 13a) adds a definition for “respite care” to clarify that residential hospice facilities may provide respite services on an occasional basis to hospice patients and their caregivers, including to patients included under the newly expanded definition of “hospice patient.”

Section 23 (152.27, subd. 2) permits health care practitioners who meet certain requirements and who request access for a permissible purpose to have limited access to a patient’s registry information in the medical cannabis registry program.

Section 24 (152.27, subd. 8) paragraph (a) authorizes a health care practitioner to access a patient’s registry information in the medical cannabis registry program to the extent the information relates to a current patient for whom the health care practitioner is (1) prescribing or considering prescribing a controlled substance; (2) providing emergency medical treatment for which data may be necessary; or (3) providing other medical treatment for which access to the data may be necessary and the patient has consented to access to the registry information and with the condition that the practitioner remains responsible  for the use or misuse of the data.

Paragraph (b) authorizes a practitioner who is authorized to access the patient registry to electronically access the data.  Requires the practitioner to implement and maintain a comprehensive information security program that contains appropriate safeguards.

Paragraph (c) states that if the practitioner is accessing the data on a patient’s consent the practitioner must warrant that the request (1) contains no information known to the practitioner to be false; (2) accurately states the patient’s desire to have health records disclosed or that there is specific authorization in law; and (3) does not exceed any limits imposed by the patient in the consent.

Paragraph (d) requires the commissioner to ensure that before a health care practitioner accesses the data, that the practitioner agrees to comply with the requirements of paragraph (b).

Paragraph (e) requires the commissioner to maintain a log of all persons who access the data for a period of three years.

Section 25 (152.33, subd. 7) states that any person who intentionally makes a false statement or misrepresentation to gain access to the patient registry or otherwise accesses the patient registry under false pretenses is guilty of a misdemeanor.

Section 26 (327.14, subd. 8) excludes  from the definition of “recreational camping area” a privately owned area used for camping no more than once a year for no longer than seven consecutive days by members of a private club.  This would exclude this camping area from the regulations of chapter 327.

Section 27 amends the effective date for licensure of radon control systems.

Section 28 requires ten priority points to be assigned by the Department of Health for purposes of contaminated private wells for purposes of applying for grants and loans from the Drinking Water Revolving Fund.

Section 29 requires 15 points to be assigned by the Department of Health for the purpose of health risk limits for purposes of applying for grants and loans from the Drinking Water Revolving Fund.

Section 30 requires the Commissioner of Health to convene a public meeting of interested stakeholders to discuss the need for a uniform definition of medical necessary care for Health Maintenance Organizations (HMOs) to utilize when determining the medical necessity, appropriateness, or efficacy of a health care service or procedure and a uniform process for each HMO to follow when making an initial determination or utilization review.  The commissioner shall report the results of the public input and any recommendations to the legislature by January 15, 2017.

Section 31 requires the Commissioner of Health, in consultation with stakeholders and members of the public and family members of facility residents, to make recommendations regarding when quality of care complaint investigations should be subject to peer review, confidentiality, and identifying circumstances in which peer review final determinations may be disclosed or made available to the public.  The commissioner shall report these recommendations to the legislature by January 15, 2017.

Section 32 requires the Commissioner of Health to contract with the University of Minnesota School of Public Health to conduct an analysis of the costs and benefits of three specific proposals that seek to create a health care system with increased access, greater affordability, lower costs, and improved quality of care in comparison to the current system. The proposals to be analyzed are:  (1) a free market insurance-based competition approach; (2) a universal health care plan; and (3) a MinnesotaCare public option.  Requires the commissioner to report the results to the legislature by October 1, 2017.

 ARTICLE 27 – HEALTH-RELATED OCCUPATIONAL LICENSING

Sections 1 to 7 create a tiered registry for spoken language health care interpreters.

Section 1 (146C.01) defines the following terms:  advisory council; code of ethics; commissioner; common languages; interpreting standards of practice; registry; remote interpretation; spoken language health care interpreter; and spoken language interpreting services.

Section 2 (146C.03) establishes a tiered registry system for spoken language health care interpreters.

Subdivision 1, paragraph (a) requires the Commissioner of Health to establish by July 1, 2017, a registry for spoken language health care interpreters.  Specifies that the registry must contain four separate tiers based on different qualification standards for education and training.

Paragraph (b) requires any individual who wants to be on the registry to submit an application to the commissioner along with the applicable fees.  Specifies what the application must include.

Paragraph (c) requires the commissioner to determine if the applicant meets the requirements for the applicable registry tier and authorizes the commissioner to request additional information from the applicant.  Requires the commissioner to notify the applicant of the action taken on the application and if the applicant is denied the grounds for denial. 

Paragraph (d) specifies that if the application is denied, the applicant may apply for a lower tier or may reapply for the same tier at a later date.

Paragraph (e) specifies that if an applicant qualifies for different tiers for different languages, the applicant is only required to submit one application and submit the fee associated with the highest tier for which the applicant is applying.

Paragraph (f) authorizes the commissioner to request additional information from an applicant as deemed necessary.

Subdivision 2 describes the requirements for the tier 1 registry.

Subdivision 3 describes the requirements for the tier 2 registry.

Subdivision 4 describes the requirements for the tier 3 registry.

Subdivision 5 describes the requirements for the tier 4 registry.

Subdivision 6 requires a registered interpreter to inform the commissioner in writing within 30 days if the interpreter changes their name, address, or email address.  Specifies that any notice or other correspondence mailed to the interpreter’s address or e-mail on file with the commissioner shall be considered received by the interpreter.

Subdivision 7 specifies that all information submitted to the commissioner by an applicant is classified in accordance with section 13.41.

Section 3 (146C.05) establishes the registry renewal process.

Subdivision 1 specifies that the registry period is valid for one year.  To renew, an interpreter must submit a renewal application, a continuing education report, and the required fees.

Subdivision 2 requires the commissioner to send out a renewal notice to the interpreter’s last known address on file with the commissioner 60 days before the registry expiration date.  Requires the interpreter to meet the deadline for renewal for continuous inclusion on the registry even if the interpreter did not receive the renewal notice.  Specifies that a renewal application must be received by the commissioner or postmarked at least 30 days before the expiration date.

Subdivision 3 requires the renewal application to include the late fee if submitted after the deadline.

Subdivision 4 requires an interpreter whose registry listing has lapsed for more than one year to submit a new application to be listed on the registry.

Section 4 (146C.07) describes prohibited conduct and disciplinary actions that may be taken by the commissioner.

Subdivision 1 describes the prohibited conduct that if violated, may be grounds for disciplinary action.

Subdivision 2 authorizes the commissioner to initiate an investigation upon receiving a complaint alleging a violation.

Subdivision 3 lists the disciplinary action the commissioner may take.

Subdivision 4 permits interpreters who have been removed from the registry or have had their practice suspended to request and provide justification for reinstatement following a period of suspension.  The interpreter must meet the requirements of these sections or any other condition imposed by the commissioner before the interpreter may be listed on the registry or have the right to practice reinstated.

Section 5 (146C.09) specifies the continuing education requirements.

Subdivision 1 requires the advisory council to approve continuing education courses and training.  Specifies the numbers of continuing education hours that an interpreter must complete for each tier during the registry period.

Subdivision 2 requires the interpreter to submit with a renewal application a continuing education report on a form provided by the commissioner that indicates that the interpreter has met the required hours.  Authorizes the commissioner and the advisory council to audit a percentage of the reports based on a random selection.

Section 6 (146C.11) establishes the spoken language health care interpreter advisory council.  Describes the makeup of the council and their duties.

Section 7 (146C.13) establishes the applicable fees.  Specifies that the fees are nonrefundable and shall be deposited in the state government special revenue fund.

Sections 8 to 16 create licensure for genetic counselors.

Section 8 (147F.01) defines the following terms:  ABGC, ABMG, ACGC, board, eligible status, genetic counseling, genetic counselor, licensed physician, NSGC, qualified supervisor, supervisee, and supervision.

Section 9 (147F.03) describes the scope of practice for the practice of genetic counseling by a licensed genetic counselor.

Section 10 (147F.05) prohibits unlicensed practice and establishes title protection.

Subdivision 1 prohibits an individual from using the title of genetic counselor, licensed genetic counselor, gene counselor, genetic consultant, genetic assistant, genetic associate or any words, letters, abbreviations, or insignia that indicates or implies that the individual is eligible for licensure as a genetic counselor unless the individual has been licensed under the chapter.

Subdivision 2 prohibits an individual from practicing genetic counseling unless the individual is licensed as a genetic counselor under this chapter, effective January 1, 2018.

Subdivision 3, paragraph (a) specifies that nothing in this chapter prohibits an individual who is duly licensed in this state to practice any profession or occupation or to perform any act that falls within the scope of practice of that occupation or profession.

Paragraph (b) specifies that a license is not required for individuals who are employed by the federal government or federal agency; students or interns currently enrolled in an accredited genetic counseling program or who have graduated within the past six months; a visiting certified genetic counselor working as a consultant, or are licensed to practice medicine under chapter 147.

Subdivision 4 states that any individual who violates this section is guilty of a misdemeanor and is subject to sanctions under section 214.11.

Section 11 (147F.07) requirements for licensure.

Subdivision 1 establishes the general requirements for licensure.

Subdivision 2 establishes the requirements for licensure by reciprocity.

Subdivision 3 authorizes the board to grant a license to an individual who does not meet the certification requirements in subdivision 1 but who has been employed as a genetic counselor for a minimum of ten years and provides to the board no later than February 1, 2017, the following documentation:  proof of a master’s degree of higher degree in genetics or related field from an accredited institution; proof that the individual has never failed a certification exam; three letters of recommendation; and documentation of the completion of 100 hours of approved continuing education within the past five years.  This subdivision expires February 1, 2017.

Subdivision 4 states that a license is valid for one year from the date of issuance.

Subdivision 5 establishes the requirements for license renewal.

Section 12 (147F.09) requires the board to take action on each application submitted and to provide written notice to the applicant of the action taken, the grounds for denying the license if the license was denied, and the applicant’s right to review  the board’s decision to deny the license.  Permits the board to investigate information provided by the applicant.  Permits an applicant whose license application was denied to make a written request to the board within 30 days of the notice, appear before the advisory council, and for the advisory council to review the board’s decision and make a recommendation to the board as to whether the denial should be affirmed.  Permits one request for review per licensure period.

Section 13 (147F.11) requires a licensed genetic counselor to complete a minimum of 25 hours of approved continuing educations units during a two-year period.  Permits the board to grant a variance to these continuing education requirements if the licensee can demonstrate to the satisfaction of the board that the licensee was unable to complete the required number of units during the period.  The board may extend the time period for completing the required number of units but may not allow the licensee to complete less than the required number.

Section 14 (147F.13) specifies that licensed genetic counselors and applicants are subject to the disciplinary actions and reporting requirements of sections 147.091 to 147.162.  (Board of Medical Practice)

Section 15 (147F.15) establishes the Licensed Genetic Counselor Advisory Council.

Section 16 (147F.17) establishes fees for the license application, initial licensure and annual renewal, and late fee.  Permits the board to prorate the initial license fee.  Specifies that the fees are nonrefundable and that all fees collected are to be deposited to the state government special revenue fund.

Sections 17 to 27 create licensure for lactation care providers.

Section 17 (148.9801) specifies that nothing in these sections prohibits an individual from providing breastfeeding education and support services and does not require the individual be licensed under these sections.

Section 18 (148.9802) defines the following terms:  biennial licensure period; breastfeeding education and support services; certified lactation counselor, advanced lactation consultant, or advanced nurse lactation consultant; clinical lactation services; commissioner; credential; International Board-Certified Lactation Consultant; license or licensed; licensed lactation care provider; licensee; licensure by equivalency; licensure by reciprocity; and protected title.

Section 19 (148.9803) prohibits unlicensed practice and restricts the use of protected titles.

Subdivision 1 prohibits an individual from engaging in the practice of clinical lactation services unless the individual is licensed as a licensed lactation care provider under these sections, effective July 1, 2017.

Subdivision 2, paragraph (a),  prohibits an individual from using the phrases "licensed lactation consultant" or "licensed International Board-Certified Lactation Consultant;" unless the individual is licensed under these sections and possesses a credential from the International Board of Lactation Consultant Examiners.

Paragraph (b) prohibits an individual from using phrases "licensed certification lactation counselor," "certified lactation counselor," "licensed advanced lactation consultant," "advanced lactation consultant," "licensed advanced nurse lactation consultant," "advanced nurse lactation consultant," "licensed lactation counselor," or "licensed lactation consultant," unless the individual is licensed under those sections and possesses a credential from the Academy of Lactation Policy and Practice of the Healthy Children Project, Inc.

Subdivision 3 exempts the following individuals from having to be licensed:  a person employed as a lactation consultant by the federal government or federal agency; a student participating in supervised fieldwork or supervised coursework; under specified conditions a person visiting and then leaving the state and performing clinical lactation services while in the state; a dentist, physician, osteopathic physician, physician assistant, nurse, dietitian, or midwife when providing clinical lactation services incidental to the practice of their profession if they do not use the protected titles; a public employee who is acting within the scope of their employment; or a volunteer providing clinical lactation services if the volunteer does not use the protected titles, charges no fees for their service, and receives no compensation except for administrative services.

Subdivision 4 specifies that an individual may be subject to sanctions or other action if the individual practices clinical lactation services or represents that they are a licensed lactation care provider without being licensed under these sections.

Subdivision 5 specifies that these sections do not prohibit a licensed individual acting within the scope of their occupation or profession from performing any act that falls within the scope of practice of their profession or occupation.

Section 20 (148.9804) authorizes the commissioner to impose a civil penalty for each violation.

Section 21 (148.9806) specifies the licensure requirements.

Subdivision 1 states that an applicant for licensure must have a current credential from the International Board of Lactation Consultant Examiners, the International Board of Lactation Consultant Examiners, the Academy of Lactation Policy and Practice of the Healthy Children Project, Inc., or another jurisdiction whose standards are equivalent to or exceed the requirements in these sections as determined by the commissioner; submit a completed application; submit the applicable fees; sign a statement that the information of the application is correct; sign a waiver authorizing the commissioner to obtain access to the applicant’s records in this or another state; submit any additional information requested by the commissioner; and submit any additional information required for licensure by equivalency or reciprocity.

Subdivision 2 states that any applicant who is credentialed by the International Board of Lactation Consultant Examiners as an International Board-Certified lactation consultant may be eligible for licensure by equivalency.  States that the commissioner may deny licensure based on disciplinary grounds.  Requires applicants to provide verified documentation indicating that the applicant is credentialed by the International Board of Lactation Consultant Examiners as an International Board-Certified Lactation Consultant and to provide the commissioner with a waiver authorizing access to the applicant’s records.

Subdivision 3 states that any applicant who holds a current credential as a licensed lactation consultant, lactation care provider, or licensed lactation counselor in another state or territory of the US whose standards are equivalent or exceeds the requirements for licensure under these sections may be eligible for licensure by reciprocity.  States that the commissioner may deny licensure based on disciplinary grounds.  Requires the applicants to provide verification of the credentials to the commissioner.

Subdivision 4 requires the commissioner to approve, approve with conditions, or deny licensure.  Authorizes the commissioner to investigate the information provided to determine if the information is accurate and complete.  Requires the commissioner to notify an applicant of action taken on the application and if licensure is denied or approved with conditions, the grounds for this decision.  If an applicant is denied licensure or granted licensure with conditions, the applicant may make a written request for reconsideration within 30 days of the determination and may submit any information the applicant wants the commissioner to consider.  Requires the commissioner to determine whether the original determination should be affirmed or modified.  Permits the applicant no more than one request in any one biennial licensure period for reconsideration of the commissioner’s determination.

Section 22 (148.9807) establishes licensure renewal requirements.

Subdivision 1 requires the licensee to submit a completed and signed application for renewal; the renewal fee; proof that the licensee is currently credentialed; and any additional information requested by the commissioner.

Subdivision 2 specifies that licenses must be renewed every two years.  Requires that the application for renewal be received by the commissioner at least 30 calendar days before the expiration date printed on the license.  States that an application received within 30 days of the expiration date but before the expiration date must be accompanied by a late fee in addition to the renewal fee.  Applications received after the expiration date shall not be accepted and applicants must meet the licensure requirements under section 148.9808.

Subdivision 3 requires the commissioner to notify the licensee at least 60 days before the expiration date.  Failure to receive notification does not relieve the licensee of the obligation to meet the renewal deadline and other renewal requirements.

Section 23 (148.9808) specifies the licensure renewal requirements if the application for licensure renewal is received after the expiration date.

Section 24 (148.9809) requires a licensee to notify the commissioner of any change in name, address, business address, and telephone number or employment within 30 days of the change.

Section 25 (148.9810) requires that in the absence of a physician referral or prior authorization, a licensed lactation care provider must provide a client with written notification that the client may be obligated for partial or full payment for the clinical lactation services provided.  Permits this notice to be in a nonwritten format if necessary to accommodate the physical condition of the client or client’s guardian.

Section 26 (148.9811) establishes the various licensure fees, including duplicate license fees, late fees, and penalty fees.

Section 27 (148.9812) establishes the grounds for disciplinary action and the disciplinary action that may be taken by the commissioner.

Subdivision 1 lists the types of conduct that are grounds for disciplinary action.

Subdivision 2 requires the commissioner to comply with the procedures for the health-related licensing boards for receipt, investigation, and hearing complaints as provided in section 214.10.

Subdivision 3 lists the types of disciplinary action that may be taken by the commissioner.

Subdivision 4 requires the licensee to cease using the protected title if disciplinary action imposed prevents the individual from providing clinical lactation services.

Subdivision 5 permits an individual whose license has been suspended to request reinstatement.

Subdivision 6 requires the commissioner to contract with the health professional services program to provide services to licensees.

Sections 28 to 40 create registration for massage and bodywork therapists.

Section 28 (148.982) defines the following terms: "advertise," "advisory council," "applicant," "board," "client," "competency exam," "contact hour," "credential," "health care provider," "massage and bodywork therapy,"  "municipality," "physical agent modality," "practice of massage and bodywork therapy," "professional organization," "registered massage and bodywork therapist or registrant," and "state."

Section 29 (148.983), paragraph (a), lists the permitted massage and bodywork techniques and the applications that can be used on the client.

Paragraph (b) lists the prohibited practices. These practices include diagnosing illness or disease; altering a course of recommended therapy issued by a state credentialed health care provider without first consulting the provider; prescribing drugs or medicines; intentionally adjusting or manipulating or mobilizing any articulations of the body or spine applying physical agent modalities; needles that puncture the skin or injection therapy.

Section 30 (148.984) requires a massage or bodywork therapist to refer a client to a health care provider if the client’s medical condition is beyond the scope of practice established by this chapter or the rules of the board.

Section 31 (148.985) creates title protection.

Subdivision 1 states that an individual regulated by this chapter is designated as a registered massage and bodywork therapist or "RMBT."

Subdivision 2 prohibits use of "registered massage and bodywork therapist" or "RMBT" or any other words or symbols that indicate a person is a registered massage and bodywork therapist unless the individual is registered under this chapter.

Subdivision 3, paragraph (a), specifies that the registered practitioner shall be identified as a "registered massage and bodywork therapist" or "RMBT." 

Paragraph (b) permits the board to adopt rules to implement this section.

Paragraph (c) permits a practitioner who is credentialed by another state or holds certifications from professional agencies or educational providers to so indicate in advertising. Requires the name of the state and credentialing body to be clearly identified.

Subdivision 4 permits other credentialed practitioners to use massage and bodywork therapy techniques as long as the practitioner does not imply that they are registered under this act.

Section 32 (148.986) requires the board, with the advice of the Advisory Council, to issue registrations to qualified applicants. Lists the powers and duties of the board related to regulation of the profession.

Section 33 (148.9861) establishes a registered massage and bodywork therapist advisory council.

Subdivision 1 creates a five-member advisory council with two public members and three registered massage and bodywork therapists.  The members are appointed by the board.

Subdivision 2 establishes the process for filling vacancies.

Subdivision 3 requires the council to be organized under certain subdivisions of section 15.059 (Advisory Councils and Committees). 

Subdivision 4 requires the council to elect a chair.

Subdivision 5 requires the Board of Nursing to provide meeting space and administrative support to the council.

Subdivision 6 lists the duties of the council.

Subdivision 7 provides that the council does not expire.

Section 34 (148.987) establishes registration requirements.

Subdivision 1 requires an applicant to pay the required fees, submit to a criminal background check, and file a written application. Lists the items that must be included on the application form.

Subdivision 2 permits the board to deny an application for registration if an applicant has been convicted of certain crimes; has been subjected to disciplinary action under Minnesota Statutes, chapter 146A, if the board determines that denial is necessary to protect the public; or the applicant is under investigation for complaints related to the practice of massage and bodywork therapy.

Subdivision 3 lists the requirements for registration by endorsement, including payment of fees, criminal background check, proof of a current and unrestricted massage and bodywork therapy credential in another state, certain information relating to credentials and disciplinary action, and a history of drug or alcohol abuse.  States that registration issued by endorsement expires on the same schedule and renewed by same procedures as registrations issued under subdivision 1.

Subdivision 4 lists the requirements for registration by grandfathering. Permits application for registration by this method for two years after the first date the board has made applications for registration available. The applicant must pay the required fees, have a criminal background check, file a written application, provide proof that the applicant is qualified to practice, and provide certain information relating to credentials and disciplinary action and a history of drug or alcohol abuse.  Lists acceptable proof.

Subdivision 5 allows the board to issue a temporary permit to an applicant eligible for registration that is valid until the board makes a decision on the application for registration if the application is complete and all applicable fees have been paid.

Section 35 (148.9871) establishes expiration and renewal requirements.

Subdivision 1 states that registrations expire annually.

Subdivision 2 requires the registrant to complete a renewal application, submit the renewal fee, and submit any other information requested by the board.

Subdivision 3 requires the registrant to inform the board of any change in address within 30 days of the change.

Subdivision 4 requires the board to send a renewal notice to the registrant at least 60 days before the registration renewal date.

Subdivision 5 provides that the renewal application and fee must be postmarked on or before October 1 of the year of renewal, but if the postmark is illegible, then the application is considered timely if it is received by the third working day after the deadline.

Subdivision 6 allows a registrant to place a registration on inactive status and sets the criteria for reactivating the registration.

Subdivision 7 requires an individual to apply for registration renewal if registration has lapsed for two years or less; pay the required fees, including the fee for late renewal; and document compliance with continuing education requirements.

Subdivision 8 prohibits the board from renewing, restoring, or reissuing a registration that has not been renewed within two years. A former registrant must apply and meet the requirements then in existence for initial registration.

Subdivision 9 allows a registrant in good standing to request registration cancelation. If the individual seeks to re-register, the individual must complete a new application and fulfill all requirements then in existence for initial registration.

Section 36 (148.9881) instructs the board to take action on all applications for registration and determine if an applicant meets the requirements for registration or renewal. Permits the board to investigate the information submitted by the applicant. Requires the board to provide written notification to the applicant on action taken on the application. Provides the process for an applicant to appeal an adverse action.

Section 37 (148.9882) grounds for disciplinary action.

Subdivision 1 provides a list of the grounds for disciplinary action. Disciplinary action may be registration denial, revocation, suspension, limitation, or placing limitations on the registration.

Subdivision 2 provides that judgments or proceedings under seal of the court administrator or administrative agency that entered the judgment are admissible into evidence during a disciplinary proceeding under this section without further authentication and provide prima facie evidence of the violation.

Subdivision 3 authorizes the board to take action if probable cause exists for disciplinary action.

Section 38 (148.9883) provides that registered massage and bodywork therapists and applicants are subject to the disciplinary statutes under the board of nursing, sections 148.262 to 148.266.

Section 39 (148.9884) describes the effects on municipal ordinances.

Subdivision 1 preempts a municipality from licensing and regulating massage and bodywork therapists, including conducting a criminal background check and examination for a municipality's credential to practice massage and bodywork therapy.

Subdivision 2 states that nothing in sections 148.981 to 148.9885 shall be construed to limit a municipality from: (1) requiring a massage business establishment from obtaining a business license or permit; (2) enforcing health code provisions related to communicable diseases; (3) requiring criminal background checks of unregistered massage and bodywork therapists as part of applying for a license from the municipality; and (4) otherwise regulating massage business establishments by ordinance.

Subdivision 3 gives a municipality the authority to prosecute violations of this act, local ordinances, or other laws.

Section 40 (148.9885) creates fees.

Subdivision 1 provides a list of fees.

Subdivision 2 requires a late fee if the application for renewal is submitted after the deadline.

Subdivision 3 states that all fees are nonrefundable.

Subdivision 4 requires the board to deposit the fees in the state government special revenue account.

Sections 41 to 56 create licensure for orthotics, pedorthics, and prosthetics.

Section 41 (153B.10) permits chapter 153B to be cited as the Orthotics, Prosthetics, and Pedorthics Practice Act.

Section 42 (153B.15) defines the following terms:  advisory council; board; custom-fabricated device; licensed assistant; licensed orthotic fitter; licensed orthotist;  licensed pedorthists; licensed prosthetist; licensed prosthetist orthotist; NCOPE; orthosis; orthotics; over the counter; off the shelf; pedorthic device; pedorthics; prescription; prosthesis; prosthetics; resident; residency; supervisor.

Section 43 (153B.20) specifies the exceptions to this chapter.

Section 44 (153B.25) establishes an advisory council.

Section 45 (153B.30) establishes licensure requirements.

Subdivision 1 requires the licensure application to be submitted to the Board of Podiatric Medicine.

Subdivision 2 establishes licensure requirements for each of the following: orthotist, prosthetist, prosthetist orthotist, a pedorthist, an orthotic or prosthetic assistant, and an orthotic fitter.

Subdivision 3 states that the term of a license is for two years beginning on January 1 or beginning after initially fulfilling the license requirements and ending on December 31 of the following year.

Section 46 (153B.35) permits a licensed orthotist, pedorthist, assistant, or orthotic fitter to provide limited supervised patient care services beyond their scope of practice if (1) the licensee is employed by a patient care facility that is accredited by a national accrediting organization; (2) written objective criteria are documented by the facility that describes the knowledge and skill required by the licensee to demonstrate competency; and (3) the licensee provides patient care only at the direction of a supervisor who is licensed and employed by the facility; and (4) the supervised patient care occurs in compliance with facility accreditation standards.

Section 47 (153B.40) establishes the continuing education requirements.

Section 48 (153B.45) establishes licensure renewal requirements.

Section 49 (153B.50) requires a licensee to inform the board of a name or address change.

Section 50 (153B.55) permits a licensee to put the license on inactive status.

Section 51 (153B.60) permits a licensee whose license has expired while on active military duty or while in training or education preliminary to induction in the military to have the license renewed or restored without paying a late fee or license restoration fee.

Section 52 (153B.65) authorizes the board to license without examination and on payment of the required fee an applicant  who is certified  from an organization with educational, experiential, and testing standards that are equal to or higher than the licensing requirements in Minnesota.

Section 53 (153B.70) establishes grounds for disciplinary action.

Section 54 (153B.75) authorizes the board to investigate alleged violations, conduct hearings, and impose corrective or disciplinary action.

Section 55 (153B.80) Effective January 1, 2018, a person is prohibited from practicing or representing oneself as an orthotist, prosthetist, prosthetist orthotist, pedorthist, assistant, or fitter without a license and is guilty of a misdemeanor.  Gives the board authority to seek a cease and desist order against any person engaged in unlicensed practice.

Section 56 (153B.85) establishes fees.

Section 57 (214.075, subd. 3) specifies that the fees received by the health-related licensing boards for the criminal background checks are to be deposited in dedicated accounts in the special revenue fund and are appropriated to the health-related licensing boards.

Section 58 (256B.0625, subd. 18a) specifies that beginning July 1, 2018, spoken language health care interpreter services must be provided by an interpreter who is listed on the registry for the services to be covered by medical assistance.  Prior to July 1, 2018, the interpreter must either be listed on the current roster or listed in the new registry.

Section 59 (325F.816) prohibits an individual who has a business license from a municipality to practice massage from advertising as a licensed massage therapist unless the individual has a valid professional credential from another state, is current in licensure, and is in good standing with the other state.

Section 60 requires the Board of Pediatric Medicine to make its first appointments to the Orthotics, Prosthetics, and Pedorthics Advisory Council by September 1, 2016.

Section 61 sets deadlines for initial appointments and convening the first meeting of the Registered Massage and Bodywork Therapist Advisory Council.  Sets terms for the initial appointees to the council.

Section 62 requires the Commissioner of Health to work with community stakeholders to study and identify barriers, challenges, and successes affecting initiation, duration, and exclusivity of breastfeeding.  The study must address policy, systemic, and environmental factors that both support and create barriers to breastfeeding.  The study must identify and make recommendations regarding culturally appropriate practices that have been shown to increase breastfeeding rates in populations that have the greatest breastfeeding disparities.

Section 63 requires the Commissioner of Health to convene the first meeting of the Spoken Language Health Care Advisory Council by October 1, 2016.

Section 64 specifies that the initial fees for interpreters listed on the Spoken Language Health Care Registry for the first year shall be $50 and for the second year shall be $70.  After the second year, the fees shall be $90.

Section 65 requires the Commissioner of Human Services, in consultation with the Commissioner of Health, the advisory council and interested community stakeholders to study and make recommendations for creating a tiered reimbursement system for the public health care programs for spoken language health care interpreters based on the different tiers of the spoken language health care interpreters registry.  Requires the commissioner to submit the proposed reimbursement system including the fiscal costs for the proposed system to the legislature by January 15. 2017.  Requires the commissioner of health to review the fees and make recommendations on whether the fees are at the appropriate levels and whether the fees should be different for each tier of the registry.

Section 66 repeals section 144.058 (current spoken language health care interpreter roster system) effective July 1. 2018.

 ARTICLE 28 – HUMAN SERVICES FORECAST ADJUSTMENTS

ARTICLE 29 – HEALTH AND HUMAN SERVICES APPROPRIATIONS