Journal of the House - 43rd Day - Friday, April 25, 2003

A quorum was present.

Anderson, I., and Rukavina were excused.

The Chief Clerk proceeded to read the Journal of the preceding day. Wardlow moved that further reading of the Journal be suspended and that the Journal be approved as corrected by the Chief Clerk. The motion prevailed.

Journal of the House - 43rd Day - Friday, April 25, 2003 - Top of Page 2752

Paulsen moved that the House recess subject to the call of the Chair. The motion prevailed.

RECESS

RECONVENED

The House reconvened and was called to order by the Speaker.

REPORTS OF STANDING COMMITTEES

Knoblach from the Committee on Ways and Means to which was referred:

H. F. No. 627, A bill for an act relating to appropriations; appropriating money for transportation and other purposes; authorizing issuance of state bonds; modifying provisions relating to reverse auctions, wetland replacement, land appraisal, archaeological or historic sites, high-occupancy vehicle lanes, town line roads and easements, major transportation projects commission, advertisements for bids, city transit capital improvement projects in metropolitan area, bus rapid transit and other transit, local government permits, and other transportation-related activities; providing for fees, accounts, transfers, fund allocations, and expenditures; modifying provisions regulating speed limits, vehicle insurance requirements, essential employee status, the capitol complex security oversight committee, and other activities related to public safety; authorizing administrative powers, penalties, and remedies for public safety purposes; requiring studies and reports; making technical and clarifying changes; changing transit funding, aid, and tax levy provisions; amending Minnesota Statutes 2002, sections 13.44, subdivision 3; 16A.88, subdivision 1; 16C.10, subdivision 7; 103G.222, subdivisions 1, 3; 138.40, subdivisions 2, 3; 160.28, by adding a subdivision; 161.08; 161.20, subdivision 3; 164.12; 168.12, subdivision 5; 168.54, subdivision 4; 168A.29, subdivision 1; 169.14, by adding a subdivision; 169.791, subdivision 1; 169.796, by adding a subdivision; 169.797, subdivision 4a; 169.798, subdivision 1, by adding a subdivision; 171.20, subdivision 4; 171.29, subdivision 2; 174.24, subdivisions 1, 3b; 174.55, subdivision 2; 179A.03, subdivision 7; 179A.10, subdivision 2; 275.71, subdivision 5; 297B.09, subdivision 1; 299A.465, subdivision 4; 299E.03, subdivision 3; 471.345, subdivision 14; 473.446, subdivision 1; Laws 1999, chapter 238, article 1, section 2, subdivision 2; Laws 2001, First Special Session chapter 8, article 1, section 2, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 117; 160; 299A; 331A; 373; 414; 473; repealing Minnesota Statutes 2002, sections 16A.88, subdivision 3; 169.794; 169.799; 174.242; Minnesota Rules, parts 7403.1300; 7413.0400; 7413.0500.

Reported the same back with the following amendments:

Page 3, after line 36, insert:

"Of this appropriation $750,000 each year is for the long-range radar facility in Alexandria. This appropriation is contingent on a partnership with the federal aviation administration for this project."

Page 5, line 25, delete "635,457,000" and insert "636,957,000"

Page 5, line 32, delete the first "310,457,000" and insert "311,957,000"

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Page 5, after line 57, insert:

"$1,500,000 the first year is for grants to cities to reimburse them for actual expenditures made prior to the effective date of this section for the relocation of municipal utilities necessitated by the reconstruction of a trunk highway."

Page 6, after line 31, insert:

"General 940,000 -0-"

Page 7, after line 13, insert:

"(c) Flood Rehabilitation 940,000 -0-

This appropriation is from the general fund for grants to local governments for capital costs related to the rehabilitation, replacement, or reconstruction of roads or bridges damaged or destroyed by flooding or that provide future protection from flood damages in the area included in DR-1419. A grantee shall submit to the commissioner of transportation final plans for each project before grant money may be released. The commissioner shall determine project priorities and plans and require changes to ensure the most prudent use of state resources."

Page 9, line 18, delete "40 percent" and insert "up to $2,240,000 the first year and up to $3,120,000 the second year"

Page 9, delete lines 21 to 24 and insert:

"(2) up to $960,000 the first year and up to $1,337,000 the second year by the city of Minneapolis, and up to $160,000 the first year and up to $223,000 the second year by the city of Bloomington.

The metropolitan council may not spend any state funds for the operation of the Hiawatha light rail transit line other than the appropriation in this paragraph (c)."

Page 12, line 4, delete the first "24,307,000" and insert "24,402,000" and delete the second "24,307,000" and insert "24,362,000"

Page 12, after line 49, insert:

"Section 1. Minnesota Statutes 2002, section 10A.01, subdivision 24, is amended to read:

Subd. 24. [METROPOLITAN GOVERNMENTAL UNIT.] "Metropolitan governmental unit" means any of the seven counties in the metropolitan area as defined in section 473.121, subdivision 2, ~~a regional railroad authority established by one or more of those counties under section 398A.03,~~ a city with a population of over 50,000 located in the seven-county metropolitan area, the metropolitan council, or a metropolitan agency as defined in section 473.121, subdivision 5a.

[EFFECTIVE DATE.] This section is effective December 31, 2003."

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Pages 14 to 20, delete sections 4 and 5

Page 26, after line 35, insert:

"Sec. 13. Minnesota Statutes 2002, section 168.011, subdivision 22, is amended to read:

Subd. 22. [SPECIAL MOBILE EQUIPMENT.] "Special mobile equipment" means every vehicle not designed or used primarily for the transportation of persons or property and only incidentally operated or moved over a highway, including but not limited to: ditch-digging apparatuses, moving dollies, pump hoists and other water well-drilling equipment registered under chapter 103I, street-sweeping vehicles, and other machinery such as asphalt spreaders, bituminous mixers, bucket loaders, tractors other than truck-tractors, ditchers, leveling graders, finishing machines, motor graders, road rollers, scarifiers, truck-mounted log loaders, earth-moving carryalls, scrapers, power shovels, draglines, self-propelled cranes, and earth-moving equipment. The term does not include travel trailers, dump trucks, truck-mounted transit mixers, truck-mounted feed grinders, or other motor vehicles designed for the transportation of persons or property to which machinery has been attached."

Page 27, after line 30, insert:

"Sec. 15. [168.1293] [SPECIAL LICENSE PLATES; AUTHORIZATION; DISCONTINUANCE.]

Subdivision 1. [DEFINITION.] For purposes of this section "special license plate" means a license plate that is authorized by law to have wording and graphics that differ from a standard Minnesota passenger vehicle license plate, other than a license plate authorized under section 168.10, 168.105, 168.12, 168.123, 168.1235, 168.124, 168.125, 168.1255, 168.128, 168.129, or 168.1296.

Subd. 2. [SUBMISSIONS TO DEPARTMENT.] (a) A person, legal entity, or other requester, however organized, that plans to seek legislation establishing a new special license plate shall submit the following information and fee to the department of public safety:

(1) The requester shall submit a request for the special license plate being sought, describing the proposed license plate in general terms, the purpose of the plate, and the proposed fee or minimum contribution required for the plate.

(2) The requester shall submit the results of a scientific sample survey of Minnesota motor vehicle owners that indicates that at least 10,000 motor vehicle owners intend to purchase the proposed plate with the proposed fee or minimum contribution. The requester's plan to undertake the survey must be reported to the department before the survey is undertaken. The survey must be performed independently of the requester by another person or legal entity, however organized, that conducts similar sample surveys in the normal course of business.

(3) The requester shall submit an application fee in an amount determined by the commissioner, not to exceed $20,000, to cover the department's cost of reviewing the application and developing the special license plate if authorized. State funds may not be used to pay the application fee.

(4) The requester shall submit a marketing strategy that contains (i) short-term and long-term marketing plans for the requested plate, and (ii) a financial analysis showing the anticipated revenues and the planned expenditures of any fee or contribution derived from the requested plate.

(b) The requester shall submit the information required under paragraph (a) to the department at least 120 days before the convening of the next regular legislative session at which the requester will submit the proposal.

Journal of the House - 43rd Day - Friday, April 25, 2003 - Top of Page 2755

Subd. 3. [DESIGN; REDESIGN.] (a) If the special license plate sought by the requester is approved by law, the requester shall submit the proposed design for the plate to the department as soon as practicable, but not later than 120 days after the effective date of the law authorizing issuance of the plate. The department is responsible for selecting the final design for the special license plate.

(b) The requester that originally requested a special license plate subsequently approved by law may not submit a new design for the plate within the five years following the date of first issuance of the plate unless the inventory of those plates has been exhausted. The requester may deplete the remaining inventory of the plates by reimbursing the department for the cost of the plates.

Subd. 4. [REFUND OF FEE.] If the special license plate requested is not authorized in the legislative session at which authorization was sought, the department shall refund the application fee to the requester.

Subd. 5. [DISCONTINUANCE OF PLATE.] (a) The department shall discontinue the issuance or renewal of any special license plate if (1) less than 1,000 sets of those plates, including annual renewals, have been issued by the end of the first five full registration years during which the plates are available, or (2) less than 1,000 sets of those plates, including annual renewals, have been issued at the end of any subsequent two-year period following the first five years of availability.

(b) The department may discontinue the issuance or renewal of any special license plate, and distribution of any contributions resulting from that plate, if the department determines that (1) the fund or requester receiving the contributions no longer exists, (2) the requester has stopped providing services that are authorized to be funded from the contribution proceeds, (3) the requester has requested discontinuance, or (4) contributions have been used in violation of subdivision 6.

Subd. 6. [USE OF CONTRIBUTIONS.] Contributions made as a condition of obtaining a special license plate, and interest earned on the contributions, may not be spent for commercial or for-profit purposes."

Page 29, after line 4, insert:

"Sec. 19. Minnesota Statutes 2002, section 169.14, subdivision 5a, is amended to read:

Subd. 5a. [SPEED ZONING IN SCHOOL ZONE; SURCHARGE.] (a) Local authorities may establish a school speed limit within a school zone of a public or nonpublic school upon the basis of an engineering and traffic investigation as prescribed by the commissioner of transportation. The establishment of a school speed limit on any trunk highway shall be with the consent of the commissioner of transportation. Such school speed limits shall be in effect when children are present, going to or leaving school during opening or closing hours or during school recess periods. The school speed limit shall not be lower than 15 miles per hour and shall not be more than 20 30 miles per hour below the established speed limit on an affected street or highway ~~if the established speed limit is 40 miles per hour or greater~~.

(b) The school speed limit shall be effective upon the erection of appropriate signs designating the speed and indicating the beginning and end of the reduced speed zone. Any speed in excess of such posted school speed limit is unlawful. All such signs shall be erected by the local authorities on those streets and highways under their respective jurisdictions and by the commissioner of transportation on trunk highways.

(c) For the purpose of this subdivision, "school zone" means that section of a street or highway which abuts the grounds of a school where children have access to the street or highway from the school property or where an established school crossing is located provided the school advance sign prescribed by the manual on uniform traffic control devices adopted by the commissioner of transportation pursuant to section 169.06 is in place. All signs erected by local authorities to designate speed limits in school zones shall conform to the manual on uniform control devices.

Journal of the House - 43rd Day - Friday, April 25, 2003 - Top of Page 2756

(d) Notwithstanding section 609.0331 or 609.101 or other law to the contrary, a person who violates a speed limit established under this subdivision is assessed an additional surcharge equal to the amount of the fine imposed for the violation, but not less than $25."

Page 32, line 31, delete "$30" and insert "$20"

Page 34, after line 33, insert:

"Sec. 27. Minnesota Statutes 2002, section 174.03, subdivision 6a, is amended to read:

Subd. 6a. [ECONOMIC ANALYSIS OF NONHIGHWAY ALTERNATIVES.] If the commissioner considers congestion pricing, tolls, mileage pricing, or public-private partnerships in order to meet the transportation needs of commuters in the department's metropolitan district between 2001 and 2020, the commissioner shall, in cooperation with the metropolitan council ~~and the regional railroad authorities in the district~~, compare the economics of these financing methods with the economics of nonhighway alternatives for moving commuters. The commissioner shall analyze the economics as they relate to both individuals and to the transportation system.

[EFFECTIVE DATE.] This section is effective December 31, 2003."

Page 38, after line 30, insert:

"Sec. 33. Minnesota Statutes 2002, section 275.065, subdivision 3, is amended to read:

Subd. 3. [NOTICE OF PROPOSED PROPERTY TAXES.] (a) The county auditor shall prepare and the county treasurer shall deliver after November 10 and on or before November 24 each year, by first class mail to each taxpayer at the address listed on the county's current year's assessment roll, a notice of proposed property taxes.

(b) The commissioner of revenue shall prescribe the form of the notice.

(c) The notice must inform taxpayers that it contains the amount of property taxes each taxing authority proposes to collect for taxes payable the following year. In the case of a town, or in the case of the state general tax, the final tax amount will be its proposed tax. In the case of taxing authorities required to hold a public meeting under subdivision 6, the notice must clearly state that each taxing authority, including regional library districts established under section 134.201, and including the metropolitan taxing districts as defined in paragraph (i), but excluding all other special taxing districts and towns, will hold a public meeting to receive public testimony on the proposed budget and proposed or final property tax levy, or, in case of a school district, on the current budget and proposed property tax levy. It must clearly state the time and place of each taxing authority's meeting, a telephone number for the taxing authority that taxpayers may call if they have questions related to the notice, and an address where comments will be received by mail.

(d) The notice must state for each parcel:

(1) the market value of the property as determined under section 273.11, and used for computing property taxes payable in the following year and for taxes payable in the current year as each appears in the records of the county assessor on November 1 of the current year; and, in the case of residential property, whether the property is classified as homestead or nonhomestead. The notice must clearly inform taxpayers of the years to which the market values apply and that the values are final values;

(2) the items listed below, shown separately by county, city or town, and state general tax, net of the residential and agricultural homestead credit under section 273.1384, voter approved school levy, other local school levy, and the sum of the special taxing districts, and as a total of all taxing authorities:

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(i) the actual tax for taxes payable in the current year;

(ii) the tax change due to spending factors, defined as the proposed tax minus the constant spending tax amount;

(iii) the tax change due to other factors, defined as the constant spending tax amount minus the actual current year tax; and

(iv) the proposed tax amount.

If the county levy under clause (2) includes an amount for a lake improvement district as defined under sections 103B.501 to 103B.581, the amount attributable for that purpose must be separately stated from the remaining county levy amount.

In the case of a town or the state general tax, the final tax shall also be its proposed tax unless the town changes its levy at a special town meeting under section 365.52. If a school district has certified under section 126C.17, subdivision 9, that a referendum will be held in the school district at the November general election, the county auditor must note next to the school district's proposed amount that a referendum is pending and that, if approved by the voters, the tax amount may be higher than shown on the notice. In the case of the city of Minneapolis, the levy for the Minneapolis library board and the levy for Minneapolis park and recreation shall be listed separately from the remaining amount of the city's levy. In the case of the city of St. Paul, the levy for the St. Paul library agency must be listed separately from the remaining amount of the city's levy. In the case of a parcel where tax increment or the fiscal disparities areawide tax under chapter 276A or 473F applies, the proposed tax levy on the captured value or the proposed tax levy on the tax capacity subject to the areawide tax must each be stated separately and not included in the sum of the special taxing districts; and

(3) the increase or decrease between the total taxes payable in the current year and the total proposed taxes, expressed as a percentage.

For purposes of this section, the amount of the tax on homesteads qualifying under the senior citizens' property tax deferral program under chapter 290B is the total amount of property tax before subtraction of the deferred property tax amount.

(e) The notice must clearly state that the proposed or final taxes do not include the following:

(1) special assessments;

(2) levies approved by the voters after the date the proposed taxes are certified, including bond referenda, school district levy referenda, and levy limit increase referenda;

(3) amounts necessary to pay cleanup or other costs due to a natural disaster occurring after the date the proposed taxes are certified;

(4) amounts necessary to pay tort judgments against the taxing authority that become final after the date the proposed taxes are certified; and

(5) the contamination tax imposed on properties which received market value reductions for contamination.

(f) Except as provided in subdivision 7, failure of the county auditor to prepare or the county treasurer to deliver the notice as required in this section does not invalidate the proposed or final tax levy or the taxes payable pursuant to the tax levy.

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(g) If the notice the taxpayer receives under this section lists the property as nonhomestead, and satisfactory documentation is provided to the county assessor by the applicable deadline, and the property qualifies for the homestead classification in that assessment year, the assessor shall reclassify the property to homestead for taxes payable in the following year.

(h) In the case of class 4 residential property used as a residence for lease or rental periods of 30 days or more, the taxpayer must either:

(1) mail or deliver a copy of the notice of proposed property taxes to each tenant, renter, or lessee; or

(2) post a copy of the notice in a conspicuous place on the premises of the property.

The notice must be mailed or posted by the taxpayer by November 27 or within three days of receipt of the notice, whichever is later. A taxpayer may notify the county treasurer of the address of the taxpayer, agent, caretaker, or manager of the premises to which the notice must be mailed in order to fulfill the requirements of this paragraph.

(i) For purposes of this subdivision, subdivisions 5a and 6, "metropolitan special taxing districts" means the following taxing districts in the seven-county metropolitan area that levy a property tax for any of the specified purposes listed below:

(1) metropolitan council under section 473.132, 473.167, 473.249, 473.325, 473.446, 473.521, 473.547, or 473.834;

(2) metropolitan airports commission under section 473.667, 473.671, or 473.672; and

(3) metropolitan mosquito control commission under section 473.711.

For purposes of this section, any levies made by the regional rail authorities in the county of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington under chapter 398A shall be included with the appropriate county's levy and shall be discussed at that county's public hearing.

(j) If a statutory or home rule charter city or a town has exercised the local levy option provided by section 473.388, subdivision 7, it may include in the notice of its proposed taxes the amount of its proposed taxes attributable to its exercise of the option. In the first year of the city or town's exercise of this option, the statement shall include an estimate of the reduction of the metropolitan council's tax on the parcel due to exercise of that option. The metropolitan council's levy shall be adjusted accordingly.

[EFFECTIVE DATE.] This section is effective December 31, 2003."

Page 39, line 34, delete everything after "$125,583,000"

Page 39, line 35, delete everything before "must" and insert "each year"

Page 42, line 33, after the comma, insert "$5,000 each year is appropriated to" and delete "is authorized"

Page 42, line 34, delete everything before "for"

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Page 49, after line 22, insert:

"Sec. 43. Minnesota Statutes 2002, section 398A.03, subdivision 1, is amended to read:

Subdivision 1. [ORGANIZATION RESOLUTION.] A regional railroad authority may be organized by resolution or joint resolution adopted by the governing body or bodies of one or more counties located outside the metropolitan area as defined in section 473.121, subdivision 2. The governing body or bodies of a municipality or municipalities within a county or counties may request by resolution that the county or counties organize a railroad authority. If the county or counties do not organize an authority within 90 days of receipt of the request, the municipality or municipalities may organize an authority by resolution or joint resolution. A resolution organizing an authority must state:

(a) That the authority is organized under the Regional Railroad Authorities Act as a political subdivision and local government unit of Minnesota, to exercise thereunder part of the sovereign power of the state;

(b) The name of the authority, including the words "regional railroad authority";

(d) The number of commissioners of the authority, not less than five; the number to be appointed by the governing body of each municipality; and the names and addresses of the first board of commissioners;

(e) The city and county in which the registered office of the authority is to be situated;

(f) That neither the state of Minnesota, the municipality or municipalities, nor any other political subdivision is liable for obligations of the authority; and

(g) Any other provision for regulating the business of the authority determined by the governing body or bodies adopting the resolution.

[EFFECTIVE DATE.] This section is effective December 31, 2003.

Sec. 44. [398A.10] [METROPOLITAN REGIONAL RAIL AUTHORITIES ABOLISHED.]

Subdivision 1. [AUTHORITIES ABOLISHED.] Regional rail authorities established under section 398A.03 in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington are abolished. All property of an abolished regional rail authority is transferred to the county originally establishing the authority.

Subd. 2. [BONDS.] Bonds and other debt authorized by section 398A.07 issued by a regional rail authority abolished under subdivision 1 that are outstanding on the effective date of this section must be paid and retired according to that section and the terms of the bonds or other debt instruments. Any property tax revenues required to fulfill bond obligations under section 398A.07 and under this subdivision shall be levied annually by the county auditor of the county in which the authority was located, as provided under section 475.61, subdivision 2.

[EFFECTIVE DATE.] This section is effective December 31, 2003."

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Page 50, after line 21, insert:

"Sec. 48. Minnesota Statutes 2002, section 473.399, subdivision 1, is amended to read:

Subdivision 1. [GENERAL REQUIREMENTS.] (a) The council shall adopt a plan to ensure that light rail transit facilities in the metropolitan area will be acquired, developed, owned, and capable of operation in an efficient, cost-effective, and coordinated manner in coordination with buses and other transportation modes and facilities. The plan may be developed and adopted in phases corresponding to phasing of construction of light rail. ~~The council may incorporate into its plan appropriate elements of the plans of regional railroad authorities in order to avoid duplication of effort.~~

(b) The light rail transit plan or first phase of the plan required by this section must be adopted by the council before the commissioner of transportation may begin construction of light rail transit facilities. Following adoption of the plan, the county and the commissioner of transportation shall act in conformity with the plan. The commissioner shall prepare or amend the final design plans as necessary to make the plans consistent with the light rail transit plan.

(c) Throughout the development and implementation of the plan, the council shall contract for or otherwise obtain engineering services to assure that the plan adequately addresses the technical aspects of light rail transit.

[EFFECTIVE DATE.] This section is effective December 31, 2003.

Sec. 49. Minnesota Statutes 2002, section 473.3994, subdivision 2, is amended to read:

Subd. 2. [PRELIMINARY DESIGN PLANS; PUBLIC HEARING.] Before final design plans are prepared for a light rail transit facility, the commissioner of transportation ~~and the regional railroad authority or authorities in whose jurisdiction the line or lines are located~~ and the county board must hold a public hearing on the physical design component of the preliminary design plans. The commissioner of transportation ~~and the regional railroad authority or authorities in whose jurisdiction the line or lines are located~~ must provide appropriate public notice of the hearing and publicity to ensure that affected parties have an opportunity to present their views at the hearing. The commissioner shall summarize the proceedings and testimony and maintain the record of a hearing held under this section, including any written statements submitted.

[EFFECTIVE DATE.] This section is effective December 31, 2003.

Sec. 50. Minnesota Statutes 2002, section 473.3997, is amended to read:

473.3997 [FEDERAL FUNDING; LIGHT RAIL TRANSIT.]

(a) Upon completion of the alternatives analysis and draft environmental impact statement for the central corridor transit improvement project, the council, the commissioner of transportation, and the ~~affected regional rail authorities~~ county board may prepare a joint application for federal assistance for light rail transit facilities in the metropolitan area. The application must be reviewed and approved by the metropolitan council before it is submitted by the council and the commissioner. In reviewing the application the council must consider the information submitted to it under section 473.3994, subdivision 9.

(b) Until the application described in paragraph (a) is submitted, no political subdivision in the metropolitan area may on its own apply for federal assistance for light rail transit planning or construction.

[EFFECTIVE DATE.] This section is effective December 31, 2003."

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Page 61, after line 12, insert:

"Sec. 69. [TRANSFERS.]

(a) The commissioner of finance shall transfer $155,000 from the remaining balance in the alcohol-impaired driver education account in the special revenue fund to the general fund.

(b) The commissioner of finance shall transfer $785,000 from the remaining balance in the greater Minnesota transit fund to the general fund.

[EFFECTIVE DATE.] This section is effective July 1, 2003.

Sec. 70. [HUBBARD MARKETPLACE TRANSIT HUB; TOILET FACILITIES.]

The metropolitan council may not deny bus riders using the Hubbard Marketplace transit hub facility in Robbinsdale the right to use toilet facilities in the hub.

Sec. 71. [APPLICABILITY.]

Sections 1, 27, 33, 43, 44, 48, 49, and 50 apply in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington."

Page 64, after line 4, insert:

"ARTICLE 4

DRIVER'S LICENSE LAW

Section 1. [171.025] [PROOF OF IDENTITY AND RESIDENCY.]

Subdivision 1. [IN GENERAL.] (a) At the time of application for a driver's license, permit, or identification card, the applicant shall present a Minnesota driver's license, permit, or Minnesota identification card if one of these has been issued to the applicant.

(b) The Minnesota driver's license, identification card, or permit must not have expired more than:

(1) five years before it is presented if it has a color photograph or electronically produced or digitized image of the applicant; or

(2) one year before it is presented if it does not have a color photograph or electronically produced or digitized image of the applicant. A temporary seven-day driver's license issued to a Minnesota-licensed driver only by the state of Minnesota under section 169A.52, subdivision 7, paragraph (c), clause (2), may be presented if it is not expired more than one year.

(c) As proof of full name, date of birth, and identity, the applicant must present one primary document and one secondary document as defined in Minnesota Rules, part 7410.0400, subparts 2 and 3, or successor rules, if the applicant cannot present:

(1) a Minnesota driver's license, identification card, or permit that is current or has expired for five years or less with a color photograph or electronically produced or digitized image; or

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(2) a Minnesota driver's license, identification card, or permit that is current or has been expired for one year or less without a color photograph or electronically produced or digitized image.

Subd. 2. [RESIDENCE ADDRESS ON LICENSE, PERMIT, OR IDENTIFICATION CARD.] (a) The department shall issue a Minnesota driver's license, permit, or identification card only to an individual who has a residence address in the state at the time of application, by showing a residence number, street name, street type, directional if any, city, state, and zip code.

(b) The applicant shall indicate on the application form for a Minnesota driver's license, identification card, or permit, the applicant's residence address in the state.

Sec. 2. [171.028] [DOCUMENTING RESIDENCY; RULES AND REGULATIONS.]

Subdivision 1. [PERMANENT STATE RULES.] (a) Adopted exempt Minnesota Rules, part 7410.0400, subparts 2 and 3, as published in the State Register on July 8, 2002, become permanent on the day following final enactment of this section. These rules may subsequently be amended by the commissioner under chapter 14, to administer the provisions of this chapter.

(b) The documents specified in Minnesota Rules, part 7410.0400, subparts 2 and 3, or successor rules, are subject to the variance procedures and criteria in Minnesota Rules, part 7410.0600, or successor rules.

Subd. 2. [INCORPORATION OF FEDERAL REGULATIONS.] As authorized by Public Law 107-296, rules relating to identity and residency documentation standards adopted in Code of Federal Regulations by the United States Department of Homeland Security may be incorporated by reference by the commissioner. These rules may be subsequently amended by the commissioner under chapter 14 to administer the provisions of this chapter.

Subd. 3. [NON-ENGLISH DOCUMENTS; TRANSLATION.] All documents submitted to the department in a language other than English must be accompanied by a translation of that document into the English language.

Subd. 4. [PROOF OF RESIDENCY REQUIRED AT TIME OF APPLICATION.] Proof of residency in the United States is required at the time of application for an initial permit, driver's license, or identification card. The applicant must attest to a residence address in Minnesota and demonstrate proof of either lawful short-term admission to the United States, permanent United States resident status, indefinite authorized presence status, or United States citizenship.

Subd. 5. [PROOF OF RESIDENCY AT RENEWAL.] (a) Proof of residency is required at the time of application for renewal of a driver's license, permit, or identification card.

(b) A person with permanent United States resident status, indefinite authorized presence status, or United States citizenship must attest to a residence address in Minnesota.

(c) A person with lawful short-term admission to the United States must attest to a residence address in Minnesota and provide proof of lawful short-term admission status to the United States.

Subd. 6. [DOCUMENTS NOT SUFFICIENT TO PROVE RESIDENCY.] The presentation of a driver's license, permit, or identification card from another jurisdiction or another United States state is not acceptable as proof of permanent United States resident status, indefinite authorized presence status, lawful short-term admission to the United States, or United States citizenship.

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Subd. 7. [DOCUMENTS SUFFICIENT TO PROVE RESIDENCY.] To demonstrate permanent United States resident status, indefinite authorized presence status, lawful short-term admission, or United States citizenship, an applicant must attest to a Minnesota residence address on the application form and present a primary document specified in Minnesota Rules, part 7410.0400, subpart 2, or successor rules.

Subd. 8. [EVIDENCE REQUIRED WHEN NAME CHANGED.] If there has been a change in the individual's legal full name as it appears on the presented document specified in Minnesota Rules, part 7410.0400, subpart 2, or successor rules, the individual must also present evidence of a change of name as specified in Minnesota Rules, part 7410.0500, or successor rules.

Subd. 9. [LAWFUL SHORT-TERM ADMISSION STATUS.] (a) If the lawful admission period indicated on the federal primary document presented expires in 30 days or more from the date of application for the state driver's license, permit, or identification card, the department shall issue to the applicant a driver's license, permit, or identification card with a status check date that coincides with the lawful admission period on the federal primary document presented.

(b) The department shall not issue a driver's license, permit, or identification card if an individual has no lawful admission status to the United States or if the lawful short-term admission period expires in 30 days or less.

Subd. 10. [STATUS CHECK DATE.] A status check date that coincides with the federal lawful admission period indicated on the federal primary document presented must be indicated on the driver's license, permit, or identification card issued.

Subd. 11. [REISSUANCE.] (a) The department shall reissue a driver's license, permit, or identification card with a new status check date if the applicant presents an employment authorization card (I-688B, I-766 series) or notice of action (I-797A series) issued by the United States Department of Homeland Security to the commissioner to indicate extension of the lawful admission period.

(b) If the applicant presents an accepted application from the United States Department of Homeland Security for an extension of or change in the federal lawful admission period, the department shall reissue the driver's license, permit, or identification card with a status check date extension of six months from the date of the federal receipt for the extension or change in order to provide a grace period while the application for the extension is processed.

(c) The department shall reissue a driver's license, permit, or identification card without a status check date if (1) the applicant presents a subsequent federal document indicating permanent United States resident status, indefinite authorized presence status, or United States citizenship, and (2) the applicant pays the duplicate fee as specified in section 171.06.

Sec. 3. Minnesota Statutes 2002, section 171.06, subdivision 3, is amended to read:

Subd. 3. [CONTENTS OF APPLICATION; OTHER INFORMATION.] (a) An application must:

(1) state the full name, date of birth, sex, and residence address of the applicant;

(2) as may be required by the commissioner, contain a description of the applicant, which consists of the applicant's height in feet and inches, weight in pounds, and eye color, and any other facts pertaining to the applicant, the applicant's driving privileges, and the applicant's ability to operate a motor vehicle with safety;

(3) for a class C, class B, or class A driver's license, state the applicant's social security number or, for a class D driver's license, have a space for the applicant's social security number and state that providing the number is optional, or otherwise convey that the applicant is not required to enter the social security number;

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(4) contain a space where the applicant may indicate a desire to make an anatomical gift according to paragraph (b); and

(5) contain a notification to the applicant of the availability of a living will/health care directive designation on the license under section 171.07, subdivision 7.

(b) If the applicant does not indicate a desire to make an anatomical gift when the application is made, the applicant must be offered a donor document in accordance with section 171.07, subdivision 5. The application must contain statements sufficient to comply with the requirements of the Uniform Anatomical Gift Act (1987), sections 525.921 to 525.9224, so that execution of the application or donor document will make the anatomical gift as provided in section 171.07, subdivision 5, for those indicating a desire to make an anatomical gift. The application must be accompanied by information describing Minnesota laws regarding anatomical gifts and the need for and benefits of anatomical gifts, and the legal implications of making an anatomical gift, including the law governing revocation of anatomical gifts. The commissioner shall distribute a notice that must accompany all applications for and renewals of a driver's license or Minnesota identification card. The notice must be prepared in conjunction with a Minnesota organ procurement organization that is certified by the federal Department of Health and Human Services and must include:

(1) a statement that provides a fair and reasonable description of the organ donation process, the care of the donor body after death, and the importance of informing family members of the donation decision; and

(2) a telephone number in a certified Minnesota organ procurement organization that may be called with respect to questions regarding anatomical gifts.

(1) the effect of alcohol on driving ability;

(2) the effect of mixing alcohol with drugs;

(3) the laws of Minnesota relating to operation of a motor vehicle while under the influence of alcohol or a controlled substance; and

(4) the levels of alcohol-related fatalities and accidents in Minnesota and of arrests for alcohol-related violations.

Sec. 4. Minnesota Statutes 2002, section 171.07, subdivision 1, is amended to read:

Subdivision 1. [LICENSE; CONTENTS.] (a) Upon the payment of the required fee, the department shall issue to every qualifying applicant a license designating the type or class of vehicles the applicant is authorized to drive as applied for. This license must bear a distinguishing number assigned to the licensee,; the full name, date of birth, residence address and permanent mailing address if different,; a description of the licensee in a manner as the commissioner deems necessary, which consists of the applicant's height in feet and inches, weight in pounds, eye color, and sex; and the usual signature of the licensee. No license is valid unless it bears the usual signature of the licensee. Every license must bear a colored photograph or an electronically produced image of the licensee.

(b) Every license issued to an applicant under the age of 21 must be of a distinguishing color and plainly marked "Under-21."

(c) The department shall use processes in issuing a license that prohibit, as nearly as possible, the ability to alter or reproduce a license, or prohibit the ability to superimpose a photograph or electronically produced image on a license, without ready detection.

(d) A license issued to an applicant age 65 or over must be plainly marked "senior" if requested by the applicant.

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Sec. 5. Minnesota Statutes 2002, section 171.07, subdivision 3, is amended to read:

Subd. 3. [IDENTIFICATION CARD; FEE.] (a) Upon payment of the required fee, the department shall issue to every qualifying applicant a Minnesota identification card. The department may not issue a Minnesota identification card to a person who has a driver's license, other than a limited license, from any jurisdiction, or has an identification card from any jurisdiction, unless and until the person's license or identification card from any jurisdiction has been invalidated. The card must bear a distinguishing number assigned to the applicant; a colored photograph or an electronically produced image of the applicant; the applicant's full name, date of birth, and residence address; a description of the applicant in the manner as the commissioner deems necessary, which consists of the applicant's height in feet and inches, weight in pounds, eye color, and sex; and the usual signature of the applicant.

(b) Each identification card issued to an applicant under the age of 21 must be of a distinguishing color and plainly marked "Under-21."

(d) The fee for a Minnesota identification card is 50 cents when issued to a person who is mentally retarded, as defined in section 252A.02, subdivision 2; a physically disabled person, as defined in section 169.345, subdivision 2; or, a person with mental illness, as described in section 245.462, subdivision 20, paragraph (c).

Sec. 6. [171.075] [DRIVER'S IMAGE FOR LICENSE, PERMIT, OR CARD.]

Subdivision 1. [FULL FACE IMAGE.] The applicant for a driver's license, permit, or identification card must have a full face image taken by the department that is a representation of the true appearance of the applicant. The face of the applicant must be uncovered and unobscured.

Subd. 2. [USE OF PREVIOUS IMAGE.] The use of the previous image on file with the department is limited to:

(1) duplicate drivers' licenses and identification cards; and

(2) one renewal cycle for a person who applied to the department and certifies that the person is out of the state at the time the driver's license or identification card expires and intends to return within four years.

Subd. 3. [UPDATED IMAGE REQUIRED UPON RETURN.] Within 30 days after the return to Minnesota of an applicant whose previous image was used in accordance with subdivision 2, clause (2), the applicant shall appear at a driver's license renewal office and shall allow an updated image to be taken. The applicant shall comply with the identity provisions of Minnesota Rules, part 7410.0400, subparts 2 and 3, or successor rules.

Sec. 7. Minnesota Statutes 2002, section 171.14, is amended to read:

171.14 [CANCELLATION.]

Subdivision 1. [AUTHORITY.] The commissioner ~~shall have authority to~~ may cancel any driver's license or identification card upon ~~determination~~ determining that the licensee or cardholder:

(1) was not entitled to the issuance ~~thereof hereunder, or that the licensee~~ of the license or identification card;

(2) failed to give the required or correct information in the application~~, or~~;

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(3) committed any fraud or deceit in making such application~~. The commissioner may also cancel the driver's license of any person who,~~; or

(4) at the time of the cancellation, would not have been entitled to receive a license under the provisions of ~~section 171.04~~ this chapter.

Subd. 2. [CANCELLATION; DENIAL.] Pursuant to this section and section 171.04, the commissioner shall cancel a driver's license, permit, or identification card as follows, whichever occurs first:

(1) on the status check date unless the state document holder presents federal proof of extension of the lawful admission period or a receipt from the United States Department of Homeland Security for an application for an extension or change in the lawful admission status; or

(2) when the department receives notice from the United States Department of Homeland Security that the individual has been deported.

Subd. 3. [WARNING OF POSSIBLE CANCELLATION.] (a) If the status check date is to expire in more than 60 days, a notice warning the state document holder that the driver's license, permit, or identification card will be canceled on the status check date must be sent by first class mail to the document holder's residence address on file with the department. If application is being made and the status check date would expire in 60 days or less from the date of application, the department shall directly issue to the applicant a general notice warning of cancellation on the status check date and send a follow-up notice as described in paragraphs (b) and (c).

(b) The notice must contain:

(1) the person's full name, date of birth, unique state document number, and current address from the department record; and

(2) the date the notice is mailed or directly issued.

(1) the driver's license, permit, or identification card will be canceled on the status check date;

(2) the driver's license, permit, or identification card may be reissued if the document holder presents federal proof of extension of the lawful admission period or a receipt from the United States Department of Homeland Security for application for an extension or change of the lawful admission period; and

(3) the individual may request an administrative review of the possible cancellation under Minnesota Rules, part 7409.4600, or successor rules.

Subd. 4. [CANCELLATION ORDER.] (a) At least seven days before the status check date, the department shall issue to the document holder a cancellation order indicating that the driver's license, permit, or identification card is canceled. The notice must be sent by first class mail to the address shown on department records.

(b) The notice must contain:

(1) the person's full name, date of birth, unique state document number, and current address from the department record; and

(2) the date the order is mailed.

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(1) application may be made for a new driver's license, permit, or identification card if the individual can present proof to the department of current authorized legal presence in the United States; and

(2) the document holder may request an administrative review of the cancellation under Minnesota Rules, part 7409.4600, or successor rules.

Subd. 5. [ADMINISTRATIVE REVIEW.] Any administrative review of the cancellation of the state document or the denial to issue a state document under this part must be conducted under Minnesota Rules, part 7409.4600, or successor rules.

Subd. 6. [FEES.] (a) A state document holder who applies for a six-month extension of the status check date on the driver's license, permit, or identification card before the status check date expires must not be charged a fee for reissuance of the state document if there is no change to the address or name on the state document.

(b) If the status check date on the driver's license, permit, or identification card is current or has expired and the applicant presents federal documentation indicating an extended lawful admission period, the applicant shall pay the fee for a duplicate card as specified in section 171.06.

(c) The state document holder is required to pay the renewal fee as specified in section 171.06 upon the expiration of the driver's license, permit, or identification card.

Sec. 8. Minnesota Statutes 2002, section 171.22, subdivision 2, is amended to read:

Subd. 2. [PENALTIES.] Any person who violates any provision of subdivision 1, clause (4), (7), or (8), is guilty of a gross misdemeanor. Any person who violates any other provision of subdivision 1 is guilty of a misdemeanor.

Sec. 9. [171.324] [QUALIFICATIONS OF HAZARDOUS MATERIAL DRIVERS.]

Subdivision l. [ENDORSEMENT.] Before being issued or renewing a class C, class B, or class A driver's license with a hazardous materials endorsement, the applicant must comply with federal regulations incorporated in this section.

Subd. 2. [ADOPTION OF FEDERAL REGULATIONS.] Public Law 107-56, section 1012, as implemented in Code of Federal Regulations, title 49, is incorporated by reference.

Subd. 3. [RULES.] The commissioner of public safety may adopt rules pursuant to section 14.388, clause (1), in order to implement this section.

[EFFECTIVE DATE.] This section is effective the day following final enactment.

Sec. 10. Minnesota Statutes 2002, section 609.531, subdivision 1, is amended to read:

Subdivision 1. [DEFINITIONS.] For the purpose of sections 609.531 to 609.5318, the following terms have the meanings given them.

(a) "Conveyance device" means a device used for transportation and includes, but is not limited to, a motor vehicle, trailer, snowmobile, airplane, and vessel and any equipment attached to it. The term "conveyance device" does not include property which is, in fact, itself stolen or taken in violation of the law.

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(b) "Weapon used" means a dangerous weapon as defined under section 609.02, subdivision 6, that the actor used or had in possession in furtherance of a crime.

(d) "Contraband" means property which is illegal to possess under Minnesota law.

(e) "Appropriate agency" means the bureau of criminal apprehension, the Minnesota division of driver and vehicle services, the Minnesota state patrol, a county sheriff's department, the suburban Hennepin regional park district park rangers, the department of natural resources division of enforcement, the University of Minnesota police department, or a city or airport police department.

(f) "Designated offense" includes:

(1) for weapons used: any violation of this chapter, chapter 152, or chapter 624;

(2) the use of forged documents in applying for a driver's license;

(3) for all other purposes: a felony violation of, or a felony-level attempt or conspiracy to violate, section 325E.17; 325E.18; 609.185; 609.19; 609.195; 609.21; 609.221; 609.222; 609.223; 609.2231; 609.24; 609.245; 609.25; 609.255; 609.322; 609.342, subdivision 1, clauses (a) to (f); 609.343, subdivision 1, clauses (a) to (f); 609.344, subdivision 1, clauses (a) to (e), and (h) to (j); 609.345, subdivision 1, clauses (a) to (e), and (h) to (j); 609.42; 609.425; 609.466; 609.485; 609.487; 609.52; 609.525; 609.527; 609.528; 609.53; 609.54; 609.551; 609.561; 609.562; 609.563; 609.582; 609.59; 609.595; 609.631; 609.66, subdivision 1e; 609.671, subdivisions 3, 4, 5, 8, and 12; 609.687; 609.821; 609.825; 609.86; 609.88; 609.89; 609.893; 609.895; 617.246; or a gross misdemeanor or felony violation of section 609.891 or 624.7181; or any violation of section 609.324.

(g) "Controlled substance" has the meaning given in section 152.01, subdivision 4."

Adjust amounts accordingly

Renumber the sections in sequence and correct the internal references

Delete the title and insert:

"A bill for an act relating to appropriations; appropriating money for transportation, public safety, and other purposes; authorizing issuance of state bonds; modifying provisions relating to reverse auctions, land appraisal, archaeological or historic sites, high-occupancy vehicle lanes, town line roads and easements, major transportation projects commission, advertisements for bids, regional railroad authorities, city transit capital improvement projects in metropolitan area, bus rapid transit and other transit, local government permits, and other transportation-related activities; providing for fees, funds and accounts, transfers, allocations, and expenditures; modifying provisions regulating special mobile equipment, special vehicle license plates, speed limits, vehicle insurance requirements, drivers' licenses and identification cards, essential employee status, the capitol complex security oversight committee, and other activities related to public safety; authorizing administrative powers, penalties, and remedies for public safety purposes; requiring studies and reports; making technical and clarifying changes; changing transit funding, aid, and tax levy provisions; amending Minnesota Statutes 2002, sections 10A.01, subdivision 24; 13.44, subdivision 3; 16A.88, subdivision 1; 16C.10, subdivision 7; 138.40, subdivisions 2, 3; 160.28, by adding a subdivision; 161.08; 161.20, subdivision 3; 164.12; 168.011, subdivision 22; 168.12, subdivision 5; 168.54, subdivision 4; 168A.29, subdivision 1; 169.14, subdivision 5a, by adding a subdivision; 169.791, subdivision 1; 169.796, by adding a subdivision; 169.797, subdivision 4a; 169.798, subdivision 1, by adding a subdivision; 171.06,

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subdivision 3; 171.07, subdivision 3; 171.14; 171.20, subdivision 4; 171.22, subdivision 2; 171.29, subdivision 2; 174.03, subdivision 6a; 174.24, subdivisions 1, 3b; 174.55, subdivision 2; 179A.03, subdivision 7; 179A.10, subdivision 2; 275.065, subdivision 3; 275.71, subdivision 5; 297B.09, subdivision 1; 299A.465, subdivision 4; 299E.03, subdivision 3; 398A.03, subdivision 1; 471.345, subdivision 14; 473.399, subdivision 1; 473.3994, subdivision 2; 473.3997; 473.446, subdivision 1; 609.531, subdivision 1; Laws 1999, chapter 238, article 1, section 2, subdivision 2; Laws 2001, First Special Session chapter 8, article 1, section 2, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 117; 160; 168; 171; 299A; 331A; 373; 398A; 414; 473; repealing Minnesota Statutes 2002, sections 16A.88, subdivision 3; 169.794; 169.799; 174.242; Minnesota Rules, parts 7403.1300; 7413.0400; 7413.0500."

With the recommendation that when so amended the bill pass.

The report was adopted.

Knoblach from the Committee on Ways and Means to which was referred:

H. F. No. 750, A bill for an act relating to appropriations; appropriating money to fund corrections, public safety, courts, and other agencies; establishing, funding, modifying, or regulating certain corrections, public safety, court, and other criminal justice programs, policies, duties, activities, or practices; making technical, conforming, and clarifying changes; providing criminal penalties; setting fines, surcharges, and fees; amending Minnesota Statutes 2002, sections 8.06; 152.021, subdivisions 2a, 3; 169A.03, subdivision 21, by adding a subdivision; 169A.20, subdivision 2; 169A.25, subdivision 1; 169A.26, subdivision 1; 169A.27, subdivision 1; 169A.275, subdivisions 3, 4, by adding a subdivision; 169A.40, subdivision 3; 169A.44; 169A.51, subdivision 5; 169A.53, subdivision 3; 169A.54, subdivision 6; 169A.60, subdivisions 8, 13; 241.016, subdivision 1; 243.53, subdivision 1; 260B.105, subdivisions 1, 2; 260B.125, subdivision 8; 260B.130, subdivision 1; 260B.141, subdivision 4; 260B.143, subdivision 1; 260B.193, subdivision 5; 260C.163, subdivision 5; 270A.03, subdivision 5; 299C.05; 299C.06; 299C.10, subdivision 4, by adding a subdivision; 299C.48; 299F.46, subdivision 1, by adding subdivisions; 299M.01, by adding subdivisions; 299M.03, by adding subdivisions; 299M.04; 299M.11, subdivisions 1, 2; 357.021, subdivisions 2, 6, 7; 357.022; 357.08; 546.27; 590.05; 609.055, subdivision 2; 609.101, subdivision 4; 609.105, subdivision 1, by adding subdivisions; 609.115, subdivision 1; 609.119; 609.135, subdivisions 1, 2; 609.185; 609.322, by adding a subdivision; 609.324; 609.3241; 609.527, subdivision 3; 609.68; 609.681; 609.748, subdivisions 1, 3, 4, 5; 611.14; 611.17; 611.18; 611.25, subdivision 1; 611.26, subdivision 6; 611.272; 629.471, by adding a subdivision; 641.14; 641.263, by adding subdivisions; proposing coding for new law in Minnesota Statutes, chapters 169A; 243; 244; 299A; 299F; 641; repealing Minnesota Statutes 2002, sections 123B.73; 147.111, subdivision 6; 147A.14, subdivision 6; 148.102, subdivision 4; 148.263, subdivision 5; 148B.07, subdivision 6; 148B.283, subdivision 7; 148B.63, subdivision 6; 149A.61, subdivision 5; 150A.13, subdivision 6; 152.135, subdivision 4; 153.24, subdivision 5; 156.122; 241.41; 241.42; 241.43; 241.44; 241.441; 241.45; 244.19, subdivision 3a; 340A.905; 626A.17; 631.40, subdivisions 1a, 1b; Laws 2002, chapter 220, article 6, section 6.

Reported the same back with the following amendments:

Page 3, after line 7, insert:

"[COURT REPORTER; SOFTWARE AND EQUIPMENT FUNDING.] The supreme court administrator may appropriate funds to court reporters to fund periodic computer software and equipment upgrades to ensure the accuracy and integrity of court records."

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Page 3, delete lines 37 to 46 and insert:

"[EQUIPMENT; CHEMICAL ASSESSMENT TEAMS; DULUTH.] The commissioner may not relocate or reassign to another location or chemical assessment team the equipment currently housed or stored in or around Duluth and intended for use by the chemical assessment teams responsible for responding to incidents in and around Duluth."

Page 5, line 5, delete "8" and insert "and"

Page 7, after line 13, insert:

"$2,500,000 each year is for grants to counties to offset the cost of housing short-term offenders with less than six months to serve as required by article 5. The commissioner shall distribute the grants based on the average number of short-term offenders coming from each county in fiscal years 2002 and 2003. These grants are available until June 30, 2007."

Page 9, after line 36, insert:

"Sec. 2. Minnesota Statutes 2002, section 243.49, is amended to read:

243.49 [COMMITMENT PAPERS; DUTY OF COURT ADMINISTRATOR.]

If so directed by the court, upon a plea of guilty or finding of guilty after trial, the court administrator of ~~every~~ a court which sentences a defendant for a felony or gross misdemeanor to the custody of the commissioner of corrections or to the superintendent of the work house or work farm, shall provide the officer or person having custody of the defendant a certified record for commitment, including (1) a copy of the indictment and plea, (2) a transcript of the sentencing proceedings, with the date thereof, together with the defendant's statement under oath, if obtained, as to the defendant's true name, residence, if any, the date and place of birth, the names and addresses of parents and other relatives and of employers and others who know the defendant well, social and other affiliations, past occupations and employments, former places of residence and the period of time and the dates the defendant has resided in each, citizenship, the number, dates, places and causes of any prior convictions, and (3) if the person pleaded guilty, a transcript of the sentencing proceedings. If prepared, the record shall also include the trial judge's impressions of the defendant's mental and physical condition, general character, capacity, disposition, habits and special needs. The court reporter shall provide the ~~required~~ necessary transcripts. The certified record for commitment may be used as evidence in any postconviction proceeding brought by the defendant. If so directed by the court, the court administrator shall also deliver to the sheriff or other officer or person conveying the defendant to the correctional facility, work house, or work farm designated by the commissioner of corrections or the judge a warrant of commitment together with a certified copy of the warrant directing the conveyor to deliver the person and the certified record for commitment to the principal officer in charge of the correctional facility, work house, or work farm. Upon the delivery of any person, the principal officer in charge of the correctional facility, work house, or work farm shall keep the certified copy of the warrant of commitment and endorse the principal officer's receipt upon the original, which shall be filed with the sentencing court. The court administrator shall retain one copy of the required transcripts, and a tape recording and the court reporter's notes of all other proceedings."

Page 14, after line 5, insert:

"Sec. 7. Minnesota Statutes 2002, section 550.36, is amended to read:

550.36 [STAY OF EXECUTION ON MONEY JUDGMENT; LIMITATION ON BOND AMOUNT.]

(a) Subject to the limitation in paragraph (b), execution of a judgment for the payment of money only shall be stayed ~~for six months~~ during the course of all appeals or discretionary appellate reviews of a judgment if, within ten days after the entry thereof, the judgment debtor shall file with the court administrator a bond, running to the

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judgment creditor, the creditor's personal representatives and assigns, in double the amount of the judgment, to be approved by the court, and conditioned for the payment of the judgment, with interest during the time for which the stay is granted. Interest shall be computed in the same manner and at the same rate provided for interest on verdicts in section 549.09. Within two days thereafter notice that such bond has been filed, with a copy of the same, shall be served on the judgment creditor, if the creditor be a resident of the county, or upon the creditor's agent or attorney, if the creditor has one, and the judgment creditor may except to the sufficiency of the bond; and, upon the creditor's application upon notice or order to show cause, the court, if it find the bond insufficient, may order execution to issue notwithstanding the same, unless the judgment debtor give such further bond as it shall deem sufficient. If the condition of any such bond be not performed, the execution shall issue for the amount of the judgment, with interest and costs, against the judgment debtor and the sureties. When an execution issues against sureties the officer shall certify in the return what amount, if any, was collected from them and the date thereof. If a stay be granted after execution issued, any levy made thereon shall be released and the execution shall be returned and the reason noted by the officer.

(b)(1) Notwithstanding paragraph (a) or any other provision of law or court rule to the contrary, if a plaintiff in a civil action obtains a judgment under any legal theory that requires any defendant to make payments in order to comply with the judgment, the amount of the appeal bond necessary to stay execution during the course of all appeals or discretionary reviews of that judgment by an appellate court shall be set in accordance with applicable laws or court rules, except that the total appeal bond that is required of all appellants shall not exceed $25,000,000 regardless of the value of the judgment.

(2) Notwithstanding clause (1), if a judgment creditor proves by a preponderance of the evidence that a judgment debtor is dissipating assets outside the ordinary course of business to avoid payment of a judgment, a court may enter orders that:

(i) are necessary to protect the judgment creditor; and

(ii) require the judgment debtor to post a bond that is equal to the total amount of the judgment.

[EFFECTIVE DATE.] This section is effective the day following final enactment and applies to all cases pending on or filed after that date."

Page 16, line 34, delete everything after "2002," and insert "section"

Page 16, delete lines 35 and 36

Page 17, delete lines 1 and 2

Page 17, line 3, delete "; and 631.40, subdivisions 1a and 1b, are" and insert ", is"

Page 44, line 36, delete "section" and insert "sections"

Page 60, line 16, delete "2005" and insert "2007"

Page 60, line 21, delete "2005" and insert "2007"

Page 61, line 33, delete "2005" and insert "2007"

Pages 64 and 65, delete section 9

Renumber the sections in sequence

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Amend the title as follows:

Page 1, line 18, after the second semicolon insert "243.49;"

Page 1, line 28, after "546.27;" insert "550.36;"

Page 1, line 34, delete "1,"

Page 1, line 40, delete everything after the first semicolon

Page 1, delete lines 41 to 43

Page 1, line 44, delete "150A.13, subdivision 6;"

Page 1, line 45, delete everything before "241.41"

Page 2, line 1, delete "340A.905;" and delete "631.40, subdivisions 1a, 1b;"

With the recommendation that when so amended the bill pass.

The report was adopted.

Paulsen from the Committee on Rules and Legislative Administration to which was referred:

H. F. No. 779, A bill for an act relating to state government; appropriating money for environmental and natural resources purposes; establishing and modifying certain programs; providing for regulation of certain activities and practices; providing for accounts, assessments, and fees; amending Minnesota Statutes 2002, sections 16A.531, subdivision 1, by adding a subdivision; 17.4988; 84.027, subdivision 13; 84.029, subdivision 1; 84.085, subdivision 1; 84.091, subdivisions 2, 3; 84.0911; 84.788, subdivisions 2, 3; 84.794, subdivision 2; 84.803, subdivision 2; 84.92, subdivision 8; 84.927, subdivision 2; 84A.02; 84A.21; 84A.32, subdivision 1; 84A.55, subdivision 8; 84D.14; 85.04; 85.052, subdivision 3; 85.053, subdivision 1; 85.055, subdivision 1; 85A.02, subdivision 17; 88.17, subdivision 1, by adding a subdivision; 97A.015, subdivisions 24, 52; 97A.045, subdivision 7, by adding a subdivision; 97A.071, subdivision 2; 97A.075, subdivisions 1, 2, 4, by adding a subdivision; 97A.105, subdivision 1; 97A.401, subdivision 3; 97A.411, subdivision 2; 97A.441, subdivision 7, by adding a subdivision; 97A.475, subdivisions 2, 3, 4, 5, 10, 15, 26, 27, 28, 29, 30, 38, 39, 40, 42, by adding a subdivision; 97A.505, by adding subdivisions; 97B.311; 103B.231, subdivision 3a; 103B.305, subdivision 3, by adding subdivisions; 103B.311, subdivisions 1, 2, 3, 4; 103B.315, subdivisions 4, 5, 6; 103B.321, subdivisions 1, 2; 103B.325, subdivisions 1, 2; 103B.331, subdivisions 1, 2, 3; 103B.3363, subdivision 3; 103B.3369, subdivisions 2, 4, 5, 6; 103B.355; 103D.341, subdivision 2; 103D.345, by adding a subdivision; 103D.405, subdivision 2; 103D.537; 103G.005, subdivision 10e; 103G.222, subdivision 1; 103G.2242, by adding subdivisions; 103G.271, subdivisions 6, 6a, by adding a subdivision; 103G.611, subdivision 1; 103G.615, subdivision 2; 103I.235, subdivision 1; 115.03, by adding subdivisions; 115.073; 115.56, subdivision 4; 115A.0716, subdivision 3; 115A.54, by adding a subdivision; 115A.545, subdivision 2; 115A.908, subdivision 2; 115A.9651, subdivision 6; 115B.17, subdivisions 6, 7, 14, 16; 115B.19; 115B.20; 115B.22, subdivision 7; 115B.25, subdivisions 1a, 4; 115B.26; 115B.30; 115B.31, subdivisions 1, 3, 4; 115B.32, subdivision 1; 115B.33, subdivision 1; 115B.34; 115B.36; 115B.40, subdivision 4; 115B.41, subdivisions 1, 2, 3; 115B.42, subdivision 2; 115B.421; 115B.445; 115B.48, subdivision 2; 115B.49, subdivisions 1, 3; 115C.02, subdivision 14; 115C.08, subdivision 4; 115C.09, subdivision 3, by adding subdivisions; 115C.11, subdivision 1; 115C.13; 115D.12, subdivision 2; 116.03, subdivision 2; 116.07, subdivisions 4d, 4h; 116.073, subdivisions 1, 2; 116.46, by adding subdivisions; 116.49, by

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adding subdivisions; 116.50; 116.994; 116C.834, subdivision 1; 116D.04, by adding a subdivision; 116P.02, subdivision 1; 116P.05, subdivision 2; 116P.09, subdivisions 4, 5, 7; 116P.10; 116P.14, subdivisions 1, 2; 297A.94; 297F.10, subdivision 1; 297H.13, subdivisions 1, 2; 325E.10, subdivision 1; 469.175, subdivision 7; 473.843, subdivision 2; 473.844, subdivision 1; 473.845, subdivisions 1, 3, 7, 8; 473.846; proposing coding for new law in Minnesota Statutes, chapters 84; 84B; 97B; 103B; 115C; 116; repealing Minnesota Statutes 2002, sections 1.31; 1.32; 84.0887; 84.98; 84.99; 93.2235; 97A.105, subdivisions 3a, 3b; 97A.485, subdivision 12; 97B.731, subdivision 2; 103B.311, subdivisions 5, 6, 7; 103B.315, subdivisions 1, 2, 3, 7; 103B.321, subdivision 3; 103B.3369, subdivision 3; 115B.02, subdivision 1a; 115B.42, subdivision 1; 297H.13, subdivisions 3, 4; 325E.112, subdivisions 2, 3; 325E.113; 473.845, subdivision 4; Minnesota Rules, parts 9300.0010; 9300.0020; 9300.0030; 9300.0040; 9300.0050; 9300.0060; 9300.0070; 9300.0080; 9300.0090; 9300.0100; 9300.0110; 9300.0120; 9300.0130; 9300.0140; 9300.0150; 9300.0160; 9300.0170; 9300.0180; 9300.0190; 9300.0200; and 9300.0210.

Reported the same back with the following amendments:

Page 173, after line 2, insert:

"ARTICLE 3

AGRICULTURE AND RURAL DEVELOPMENT

Section 1. [AGRICULTURE AND RURAL DEVELOPMENT APPROPRIATIONS.]

The sums shown in the columns marked "APPROPRIATIONS" are appropriated from the general fund, or another named fund, to the agencies and for the purposes specified in this act, to be available for the fiscal years indicated for each purpose. The figures "2004" and "2005," where used in this act, mean that the appropriation or appropriations listed under them are available for the year ending June 30, 2004, or June 30, 2005, respectively. The term "the first year" means the year ending June 30, 2004, and the term "the second year" means the year ending June 30, 2005.

SUMMARY BY FUND

2004 2005 TOTAL

General $45,185,000 $44,620,000 $89,805,000

Remediation 353,000 353,000 706,000

TOTAL $45,538,000 $44,973,000 $90,511,000

APPROPRIATIONS

Available for the Year

Ending June 30

2004 2005

Sec. 2. DEPARTMENT OF AGRICULTURE

Subdivision 1. Total Appropriation 42,735,000 42,170,000

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APPROPRIATIONS

Available for the Year

Ending June 30

2004 2005

Summary by Fund

General 42,382,000 41,817,000

Remediation 353,000 353,000

The amounts that may be spent from this appropriation for each program are specified in the following subdivision.

Subd. 2. Protection Services

9,138,000 9,138,000

Summary by Fund

General 8,785,000 8,785,000

Remediation 353,000 353,000

$353,000 the first year and $353,000 the second year are from the remediation fund for administrative funding for the voluntary cleanup program.

Subd. 3. Agricultural Marketing and Development

5,209,000 5,209,000

$71,000 the first year and $71,000 the second year are for transfer to the Minnesota grown matching account and may be used as grants for Minnesota grown promotion under Minnesota Statutes, section 17.109. Grants may be made for one year. Notwithstanding Minnesota Statutes, section 16A.28, the appropriations encumbered under contract on or before June 30, 2005, for Minnesota grown grants in this subdivision are available until June 30, 2007.

$80,000 the first year and $80,000 the second year are for grants to farmers for demonstration projects involving sustainable agriculture as authorized in Minnesota Statutes, section 17.116. Of the amount for grants, up to $20,000 may be used for dissemination of information about the demonstration projects. Notwithstanding Minnesota Statutes, section 16A.28, the appropriations encumbered under contract on or before June 30, 2005, for sustainable agriculture grants in this subdivision are available until June 30, 2007.

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APPROPRIATIONS

Available for the Year

Ending June 30

2004 2005

Beginning in fiscal year 2004, all aid payments to county and district agricultural societies and associations under Minnesota Statutes, section 38.02, subdivision 1, shall be disbursed not later than July 15. These payments are the amount of aid owed by the state for an annual fair held in the previous calendar year.

The commissioner, in consultation with farm groups and individuals and organizations in the education community, shall identify an appropriate entity in the private sector or the public sector to sponsor, house, and carry on the staffing and function of the Ag in the Classroom program. Once an entity is identified and arrangements for the transfer finalized, the commissioner may release educational and program materials to the new entity.

Subd. 4. Ethanol Development

22,962,000 21,428,000

Notwithstanding the annual appropriation for ethanol producer payments in Minnesota Statutes, section 41A.09, subdivision 1, the general fund appropriation for fiscal year 2004 is $22,692,000 and the appropriation for fiscal year 2005 is $21,428,000. Payments from these appropriations for eligible ethanol production in fiscal years 2004 and 2005 shall be disbursed at the rate of $0.13 per gallon, and the base appropriation amounts in fiscal years 2006 and 2007 must be calculated as the projected eligible production in those years times a payment rate of $0.13 per gallon. If the total amount for which all producers are eligible in a quarter exceeds the amount available for payments, the commissioner shall make payments on a pro rata basis.

Subd. 5. Administration and Financial Assistance

5,426,000 6,395,000

$1,005,000 the first year and $1,005,000 the second year are for continuation of the dairy development and profitability enhancement and dairy business planning grant programs established under Laws 1997, chapter 216, section 7, subdivision 2 and Laws 2001, First Special Session chapter 2, section 9, subdivision 2. The commissioner may allocate the available sums among permissible activities, including efforts to improve the quality of milk produced in the state, in the proportions which the commissioner deems most beneficial to Minnesota's dairy farmers. The commissioner must submit a work plan detailing plans for

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APPROPRIATIONS

Available for the Year

Ending June 30

2004 2005

expenditures under this program to the chairs of the house and senate committees dealing with agricultural policy and budget on or before the start of each fiscal year. If significant changes are made to the plans in the course of the year, the commissioner must notify the chairs.

$50,000 the first year and $50,000 the second year are for the Northern Crops Institute. These appropriations may be spent to purchase equipment.

$19,000 the first year and $19,000 the second year are for a grant to the Minnesota livestock breeders association.

$2,000 the first year and $1,000 the second year are for family farm security interest payment adjustments. If the appropriation for either year is insufficient, the appropriation for the other year is available for it. No new loans may be approved in fiscal year 2004 or 2005.

$500,000 the first year and $1,535,000 the second year are for the administration and performance of the duties under Minnesota Statutes, section 116O.09. The commissioner shall transfer up to $100,000 to the agricultural utilization and research institute for its operations between July 1 and September 30, 2003.

Sec. 3. BOARD OF ANIMAL HEALTH 2,803,000 2,803,000

$400,000 the first year and $400,000 the second year are for the purposes of cervidae inspections as authorized in Minnesota Statutes, section 17.452.

Sec. 4. AGRICULTURAL UTILIZATION RESEARCH INSTITUTE -0- -0-

Sec. 5. Minnesota Statutes 2002, section 17.451, is amended to read:

17.451 [DEFINITIONS.]

Subdivision 1. [APPLICABILITY.] The definitions in this section apply to this section and section 17.452.

Subd. 1a. [CERVIDAE.] "Cervidae" means animals that are members of the family Cervidae and includes, but is not limited to, white-tailed deer, mule deer, red deer, elk, moose, caribou, reindeer, and muntjac.

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Subd. 2. [FARMED CERVIDAE.] "Farmed cervidae" means members of the Cervidae family that are:

(1) raised for ~~the~~ any purpose ~~of producing fiber, meat, or animal by-products, as pets, or as breeding stock~~; and

(2) registered in a manner approved by the board of animal health.

Subd. 3. [OWNER.] "Owner" means a person who owns or is responsible for the raising of farmed cervidae.

Subd. 4. [HERD.] "Herd" means:

(1) all cervidae maintained on common ground for any purpose; or

(2) all cervidae under common ownership or supervision, geographically separated, but that have an interchange or movement of animals without regard to whether the animals are infected with or exposed to diseases.

Sec. 6. Minnesota Statutes 2002, section 17.452, subdivision 8, is amended to read:

Subd. 8. [SLAUGHTER.] Farmed cervidae must be slaughtered and inspected in accordance with chapters 31 and 31A or the United States Department of Agriculture voluntary program for exotic animals, Code of Federal Regulations, title 9, part 352.

Sec. 7. Minnesota Statutes 2002, section 17.452, subdivision 10, is amended to read:

Subd. 10. [FENCING.] ~~(a)~~ Farmed cervidae must be confined in a manner designed to prevent escape. Fencing must meet the requirements in this subdivision unless an alternative is specifically approved by the commissioner. The board of animal health shall follow the guidelines established by the United States Department of Agriculture in the program for eradication of bovine tuberculosis. Perimeter fencing must be of the following heights:

~~(1) for fences constructed before August 1, 1995, for farmed deer, at least 75 inches;~~

~~(2) for fences constructed before August 1, 1995, for farmed elk, at least 90 inches; and~~

~~(3) for fences constructed on or after August 1, 1995, for all farmed cervidae, at least 96 inches.~~

~~(b) The farmed cervidae advisory committee shall establish guidelines designed to prevent the escape of farmed cervidae and other appropriate management practices.~~ All perimeter fences for farmed cervidae must be at least 96 inches in height and be constructed and maintained in a way that prevents the escape of farmed cervidae or entry into the premises by free-roaming cervidae.

~~(c) The commissioner of agriculture in consultation with the commissioner of natural resources shall adopt rules prescribing fencing criteria for farmed cervidae.~~

[EFFECTIVE DATE.] This section is effective January 1, 2004.

Sec. 8. Minnesota Statutes 2002, section 17.452, subdivision 11, is amended to read:

Subd. 11. [DISEASE ~~INSPECTION~~ CONTROL PROGRAMS.] Farmed cervidae herds are subject to chapter 35 and the rules of the board of animal health in the same manner as livestock and domestic animals, including provisions relating to importation and transportation.

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Sec. 9. Minnesota Statutes 2002, section 17.452, subdivision 12, is amended to read:

Subd. 12. [IDENTIFICATION.] (a) Farmed cervidae must be identified by ~~United States Department of Agriculture metal ear tags, electronic implants, or other~~ means ~~of identification~~ approved by the board of animal health ~~in consultation with the commissioner of natural resources~~. Beginning January 1, 2004, the identification must be visible to the naked eye during daylight under normal conditions at a distance of 50 yards. Newborn ~~or imported~~ animals ~~are required to~~ must be identified ~~by March 1 of each year~~ before December 31 of the year in which the animal is born or before movement from the premises, whichever occurs first. ~~The board shall authorize discrete permanent identification for farmed cervidae in public displays or other forums where visible identification is objectionable.~~

(b) ~~Identification of farmed cervidae is subject to sections 35.821 to 35.831.~~

~~(c)~~ The board of animal health shall register farmed cervidae ~~upon request of the owner~~. The owner must submit the registration request on forms provided by the board. The forms must include sales receipts or other documentation of the origin of the cervidae. The board shall provide copies of the registration information to the commissioner of natural resources upon request. The owner must keep written records of the acquisition and disposition of registered farmed cervidae.

Sec. 10. Minnesota Statutes 2002, section 17.452, subdivision 13, is amended to read:

Subd. 13. [INSPECTION.] The commissioner of agriculture and the board of animal health may inspect farmed cervidae, farmed cervidae facilities, and farmed cervidae records. On or before January 1 of each year, an owner of cervidae must pay an annual inspection fee of $10 per animal owned but not to exceed $100 per herd. The number of animals owned must be determined by the most recent inventory submitted by the owner to the board of animal health. The commissioner of natural resources may inspect farmed cervidae, farmed cervidae facilities, and farmed cervidae records with reasonable suspicion that laws protecting native wild animals have been violated. and must notify the owner ~~must be notified~~ in writing at the time of the inspection of the reason for the inspection and ~~informed~~ must inform the owner in writing after the inspection of whether (1) the cause of the inspection was unfounded; or (2) there will be an ongoing investigation or continuing evaluation.

Sec. 11. Minnesota Statutes 2002, section 17.452, is amended by adding a subdivision to read:

Subd. 13a. [CERVIDAE INSPECTION ACCOUNT.] A cervidae inspection account is established in the state treasury. The fees collected under subdivision 13 and interest attributable to money in the account must be deposited in the state treasury and credited to the cervidae inspection account in the special revenue fund. Money in the account is appropriated to the board of animal health for the administration and enforcement of this section.

Sec. 12. Minnesota Statutes 2002, section 17.452, is amended by adding a subdivision to read:

Subd. 15. [MANDATORY REGISTRATION.] A person may not possess live cervidae in Minnesota unless the person is registered with the board of animal health and meets all the requirements for farmed cervidae under this section. Cervidae possessed in violation of this subdivision may be seized and destroyed by the commissioner of natural resources.

[EFFECTIVE DATE.] This section is effective January 1, 2004.

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Sec. 13. Minnesota Statutes 2002, section 17.452, is amended by adding a subdivision to read:

Subd. 16. [MANDATORY SURVEILLANCE FOR CHRONIC WASTING DISEASE.] (a) An inventory for each farmed cervidae herd must be verified by an accredited veterinarian and filed with the board of animal health every 12 months.

(b) Movement of farmed cervidae from any premises to another location must be reported to the board of animal health within 14 days of such movement on forms approved by the board of animal health.

(c) All animals from farmed cervidae herds that are over 16 months of age that die or are slaughtered must be tested for chronic wasting disease.

[EFFECTIVE DATE.] This section is effective January 1, 2004.

Sec. 14. [18.511] [FEE SCHEDULE.]

Subdivision 1. [ESTABLISHMENT OF FEES.] The commissioner shall establish fees sufficient to allow for the administration and enforcement of this chapter and rules adopted under this chapter, including the portion of general support costs and statewide indirect costs of the agency attributable to that function, with a reserve sufficient for up to six months. The commissioner shall review the fee schedule annually in consultation with the Minnesota nursery and landscape advisory committee. For the certificate year beginning January 1, 2004, the fees are as described in this section.

Subd. 2. [NURSERY STOCK GROWER CERTIFICATE.] (a) A nursery stock grower must pay an annual fee based on the area of all acreage on which nursery stock is grown for certification as follows:

(1) less than one-half acre, $150;

(2) from one-half acre to two acres, $200;

(3) over two acres up to five acres, $300;

(4) over five acres up to ten acres, $350;

(5) over ten acres up to 20 acres, $500;

(6) over 20 acres up to 40 acres, $650;

(7) over 40 acres up to 50 acres, $800;

(8) over 50 acres up to 200 acres, $1,100;

(9) over 200 acres up to 500 acres, $1,500; and

(10) over 500 acres, $1,500 plus $2 for each additional acre.

(b) In addition to the fees in paragraph (a), a penalty of ten percent of the fee due must be charged for each month that the fee is delinquent for any application for renewal not received by January 1 of the year following expiration of a certificate.

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Subd. 3. [NURSERY STOCK DEALER, CERTIFICATE.] (a) A nursery stock dealer must pay an annual fee based on the dealer's gross sales of nursery stock per location during the preceding certificate year. A certificate applicant operating for the first time shall pay the minimum fee. The fees are per sales location as follows:

(1) gross sales up to $20,000, $150;

(2) gross sales over $20,000 up to $100,000, $175;

(3) gross sales over $100,000 up to $250,000, $300;

(4) gross sales over $250,000 up to $500,000, $425;

(5) gross sales over $500,000 up to $1,000,000, $550;

(6) gross sales over $1,000,000 up to $2,000,000, $675; and

(7) gross sales over $2,000,000, $800.

Subd. 4. [REINSPECTION; ADDITIONAL OR OPTIONAL INSPECTION FEES.] If a reinspection is required or an additional inspection is needed or requested, a fee shall be assessed based on mileage and inspection time as follows:

(1) mileage must be charged at the current United States Internal Revenue Service reimbursement rate; and

(2) inspection time must be charged at the rate of $50 per hour, including the driving time to and from the location in addition to the time spent conducting the inspection.

Sec. 15. Minnesota Statutes 2002, section 18.525, is amended to read:

18.525 [EXEMPT NURSERY SALES.]

Subdivision 1. [NOT-FOR-PROFIT SALES.] An organization ~~does not need to obtain a nursery stock dealer certificate before offering~~ or individual may offer for sale certified nursery stock ~~for sale or distribution if the organization:~~

~~(1) is a~~ and be exempt from the requirement to obtain a nursery stock dealer certificate if sales are conducted by a nonprofit charitable, educational, or religious organization;

~~(2)~~ that:

(1) conducts sales or distributions of certified nursery stock on 14 or fewer days in a calendar year; and

~~(3)~~ (2) uses the proceeds from its certified nursery stock sales or distributions for charitable, educational, or religious purposes.

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The organization must notify the commissioner, prior to any sales or distributions of certified nursery stock and must demonstrate to the commissioner, if requested, that such sales or distributions will be conducted on 14 or fewer days in the calendar year, as provided in clause (2).

Subd. 2. [NURSERY HOBBYIST SALES.] (a) An organization or individual may offer nursery stock for sale and be exempt from the requirement to obtain a nursery stock dealer certificate if:

(1) the gross sales of all nursery stock sold in a calendar year do not exceed $2,000;

(2) all nursery stock sold or distributed by the hobbyist is intended for planting in Minnesota; and

(3) all nursery stock purchased or procured for resale or distribution was grown in Minnesota and has been certified by the commissioner of agriculture.

(b) The commissioner may prescribe the conditions of the exempt nursery sales under this subdivision and may conduct routine inspections of nursery stock offered for sale.

Sec. 16. [18.541] [NURSERY AND PHYTOSANITARY ACCOUNT.]

A nursery and phytosanitary account is established in the state treasury. The fees and penalties collected under this chapter and interest attributable to money in the account must be deposited in the state treasury and credited to the nursery and phytosanitary account in the agricultural fund. Money in the account, including interest earned, is appropriated to the commissioner for administration and enforcement of this chapter.

Sec. 17. [18.611] [EXPORT CERTIFICATION, INSPECTIONS, CERTIFICATES, PERMITS, AND FEES.]

Subdivision 1. [DISPOSITION AND USE OF MONEY RECEIVED.] All fees and penalties collected under this chapter and interest attributable to the money in the account must be deposited in the state treasury and credited to the nursery and phytosanitary account in the agricultural fund. Money in the account, including interest earned, is appropriated to the commissioner for the administration and enforcement of this chapter.

Subd. 2. [COOPERATIVE AGREEMENTS.] The commissioner may enter into cooperative agreements with federal and state agencies for administration of the export certification program. An exporter of plants or plant products desiring to originate shipments from Minnesota to a foreign country requiring a phytosanitary certificate or export certificate must submit an application to the commissioner.

Subd. 3. [PHYTOSANITARY AND EXPORT CERTIFICATES.] Application for phytosanitary certificates or export certificates must be made on forms provided or approved by the commissioner. The commissioner shall conduct inspections of plants, plant products, or facilities for persons that have applied for or intend to apply for a phytosanitary certificate or export certificate from the commissioner. Inspections must include one or more of the following as requested or required:

(1) an inspection of the plants or plant products intended for export under a phytosanitary certificate or export certificate;

(2) field inspections of growing plants to determine presence or absence of plant diseases, if necessary;

(3) laboratory diagnosis for presence or absence of plant diseases, if necessary;

(4) observation and evaluation of procedures and facilities utilized in handling plants and plant products, if necessary; and

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(5) review of United States Department of Agriculture, Federal Grain Inspection Service Official Export Grain Inspection Certificate logs.

The commissioner may issue a phytosanitary or export certificate if the plants or plant products satisfactorily meet the requirements of the importing foreign country and the United States Department of Agriculture requirements. The requirements of the destination countries must be met by the applicant.

Subd. 4. [CERTIFICATE FEES.] (a) The commissioner shall assess the fees in paragraphs (b) to (f) for the inspection, service, and work performed in carrying out the issuance of a phytosanitary certificate or export certificate. The inspection fee must be based on mileage and inspection time.

(b) Mileage charge: current United States Internal Revenue Service mileage rate.

(c) Inspection time: $50 per hour minimum or fee necessary to cover department costs. Inspection time includes the driving time to and from the location in addition to the time spent conducting the inspection.

(d) A fee shall be assessed for any certificate issued that requires laboratory analysis before issuance. The fee must be deposited into the laboratory account as authorized in section 17.85.

(e) Certificate fee for product value greater than $250: a fee of $75 for each phytosanitary or export certificate issued for any single shipment valued at more than $250 in addition to any mileage or inspection time charges that are assessed.

(f) Certificate fee for product value less than $250: a fee of $25 for each phytosanitary or export certificate issued for any single shipment valued at less than $250 in addition to any mileage or inspection time charges that are assessed.

Subd. 5. [CERTIFICATE DENIAL OR CANCELLATION.] The commissioner may deny or cancel the issuance of a phytosanitary or export certificate for any of the following reasons:

(1) failure of the plants or plant products to meet quarantine, regulations, and requirements imposed by the country for which the phytosanitary or export certificate is being requested;

(2) failure to completely or accurately provide the information requested on the application form;

(3) failure to ship the exact plants or plant products which were inspected and approved; or

(4) failure to pay any fees or costs due the commissioner.

Subd. 6. [PLANT PROTECTION INSPECTIONS, CERTIFICATES, PERMITS, AND FEES.] (a) The commissioner may provide inspection, sampling, or certification services to ensure that Minnesota plant products or commodities meet import requirements of other states or countries.

(b) The state plant regulatory official may issue permits and certificates verifying that various Minnesota agricultural products or commodities meet specified phytosanitary requirements, treatment requirements, or pest absence assurances based on determinations by the commissioner. The commissioner may collect fees sufficient to recover costs for these permits or certificates. The fees must be deposited in the nursery and phytosanitary account.

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Sec. 18. [18.612] [CREDITING OF PENALTIES, FEES, AND COSTS.]

Penalties, cost reimbursements, fees, and other money collected under this chapter must be deposited into the state treasury and credited to the appropriate nursery and phytosanitary or seed account.

Sec. 19. Minnesota Statutes 2002, section 18.78, is amended to read:

18.78 [CONTROL OR ERADICATION OF NOXIOUS WEEDS.]

Subdivision 1. [GENERALLY.] ~~Except as provided in section 18.85,~~ A person owning land, a person occupying land, or a person responsible for the maintenance of public land shall control or eradicate all noxious weeds on the land at a time and in a manner ordered by ~~the commissioner,~~ the county agricultural inspector, or a local weed inspector.

Subd. 2. [CONTROL OF PURPLE LOOSESTRIFE.] An owner of nonfederal lands underlying public waters or wetlands designated under section 103G.201 is not required to control or eradicate purple loosestrife below the ordinary high water level of the public water or wetland. The commissioner of natural resources is responsible for control and eradication of purple loosestrife on public waters and wetlands designated under section 103G.201, except those located upon lands owned in fee title or managed by the United States. The officers, employees, agents, and contractors of the commissioner of natural resources may enter upon public waters and wetlands designated under section 103G.201 and, after providing notification to the occupant or owner of the land, may cross adjacent lands as necessary for the purpose of investigating purple loosestrife infestations, formulating methods of eradication, and implementing control and eradication of purple loosestrife. The commissioner~~, after consultation with the commissioner of agriculture,~~ of natural resources shall, by June 1 of each year, compile a priority list of purple loosestrife infestations to be controlled in designated public waters. The commissioner of ~~agriculture~~ natural resources must distribute the list to county agricultural inspectors, local weed inspectors, and their appointed agents. The commissioner of natural resources shall control listed purple loosestrife infestations in priority order within the limits of appropriations provided for that purpose. This procedure shall be the exclusive means for control of purple loosestrife on designated public waters by the commissioner of natural resources and shall supersede the other provisions for control of noxious weeds set forth elsewhere in this chapter. The responsibility of the commissioner of natural resources to control and eradicate purple loosestrife on public waters and wetlands located on private lands and the authority to enter upon private lands ends ten days after receipt by the commissioner of a written statement from the landowner that the landowner assumes all responsibility for control and eradication of purple loosestrife under sections 18.78 to 18.88. State officers, employees, agents, and contractors of the commissioner of natural resources are not liable in a civil action for trespass committed in the discharge of their duties under this section and are not liable to anyone for damages, except for damages arising from gross negligence.

Sec. 20. Minnesota Statutes 2002, section 18.79, subdivision 2, is amended to read:

Subd. 2. [AUTHORIZED AGENTS.] ~~The commissioner shall authorize department of agriculture personnel and may authorize, in writing,~~ County agricultural inspectors ~~to act as agents in the administration and enforcement of~~ may administer and enforce sections 18.76 to 18.88.

Sec. 21. Minnesota Statutes 2002, section 18.79, subdivision 3, is amended to read:

Subd. 3. [ENTRY UPON LAND.] To administer and enforce sections 18.76 to 18.88, ~~the commissioner, authorized agents of the commissioner,~~ county agricultural inspectors, and local weed inspectors may enter upon land without consent of the owner and without being subject to an action for trespass or any damages.

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Sec. 22. Minnesota Statutes 2002, section 18.79, subdivision 5, is amended to read:

Subd. 5. [ORDER FOR CONTROL OR ERADICATION OF NOXIOUS WEEDS.] ~~The commissioner,~~ A county agricultural inspector, or a local weed inspector may order the control or eradication of noxious weeds on any land within the state.

Sec. 23. Minnesota Statutes 2002, section 18.79, subdivision 6, is amended to read:

Subd. 6. [~~EDUCATIONAL PROGRAMS~~ INITIAL TRAINING FOR CONTROL OR ERADICATION OF NOXIOUS WEEDS.] The commissioner shall conduct ~~education programs~~ initial training considered necessary for weed inspectors in the enforcement of the Noxious Weed Law. The director of the Minnesota extension service may conduct educational programs for the general public that will aid compliance with the noxious weed law.

Sec. 24. Minnesota Statutes 2002, section 18.79, subdivision 9, is amended to read:

Subd. 9. [INJUNCTION.] If the ~~commissioner~~ county agricultural inspector applies to a court for a temporary or permanent injunction restraining a person from violating or continuing to violate sections 18.76 to 18.88, the injunction may be issued without requiring a bond.

Sec. 25. Minnesota Statutes 2002, section 18.79, subdivision 10, is amended to read:

Subd. 10. [PROSECUTION.] On finding that a person has violated sections 18.76 to 18.88, the ~~commissioner~~ county agricultural inspector may start court proceedings in the locality in which the violation occurred. The county attorney may prosecute actions under sections 18.76 to 18.88 within the county attorney's jurisdiction.

Sec. 26. Minnesota Statutes 2002, section 18.81, subdivision 2, is amended to read:

Subd. 2. [LOCAL WEED INSPECTORS.] Local weed inspectors shall:

(1) examine all lands, including highways, roads, alleys, and public ground in the territory over which their jurisdiction extends to ascertain if section 18.78 and related rules have been complied with;

(2) see that the control or eradication of noxious weeds is carried out in accordance with section 18.83 and related rules; and

(3) issue permits in accordance with section 18.82 and related rules for the transportation of materials or equipment infested with noxious weed propagating parts~~; and~~

~~(4) submit reports and attend meetings that the commissioner requires~~.

Sec. 27. Minnesota Statutes 2002, section 18.81, subdivision 3, is amended to read:

Subd. 3. [NONPERFORMANCE BY INSPECTORS; REIMBURSEMENT FOR EXPENSES.] ~~(a)~~ If local weed inspectors neglect or fail to do their duty as prescribed in this section, the ~~commissioner~~ county agricultural inspector shall issue a notice to the inspector providing instructions on how and when to do their duty. If, after the time allowed in the notice, the local weed inspector has not complied as directed, the county agricultural inspector may perform the duty for the local weed inspector. A claim for the expense of doing the local weed inspector's duty is a legal charge against the municipality in which the inspector has jurisdiction. The county agricultural inspector doing the work may file an itemized statement of costs with the clerk of the municipality in which the work was performed. The municipality shall immediately issue proper warrants to the county for the work performed. If the municipality fails to issue the warrants, the county auditor may include the amount contained in the itemized statement of costs as part of the next annual tax levy in the municipality and withhold that amount from the municipality in making its next apportionment.

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(b) If a county agricultural inspector fails to perform the duties as prescribed in this section, the commissioner shall issue a notice to the inspector providing instructions on how and when to do that duty.

~~(c) The commissioner shall by rule establish procedures to carry out the enforcement actions for nonperformance required by this subdivision.~~

Sec. 28. Minnesota Statutes 2002, section 18.84, subdivision 3, is amended to read:

Subd. 3. [COURT APPEAL OF COSTS; PETITION.] (a) A landowner who has appealed the cost of noxious weed control measures under subdivision 2 may petition for judicial review. The petition must be filed within 30 days after the conclusion of the hearing before the county board. The petition must be filed with the court administrator in the county in which the land where the noxious weed control measures were undertaken is located, together with proof of service of a copy of the petition on ~~the commissioner and~~ the county auditor. No responsive pleadings may be required of ~~the commissioner or the~~ county, and no court fees may be charged for the appearance of ~~the commissioner or~~ the county in this matter.

(b) The petition must be captioned in the name of the person making the petition as petitioner and ~~the commissioner of agriculture and~~ respective county as respondents. The petition must include the petitioner's name, the legal description of the land involved, a copy of the notice to control noxious weeds, and the date or dates on which appealed control measures were undertaken.

(c) The petition must state with specificity the grounds upon which the petitioner seeks to avoid the imposition of a lien for the cost of noxious weed control measures.

Sec. 29. Minnesota Statutes 2002, section 18.86, is amended to read:

18.86 [UNLAWFUL ACTS.]

No person may:

(1) hinder or obstruct in any way the ~~commissioner, the commissioner's authorized agents,~~ county agricultural inspectors, or local weed inspectors in the performance of their duties as provided in sections 18.76 to 18.88 or related rules;

(2) neglect, fail, or refuse to comply with section 18.82 or related rules in the transportation and use of material or equipment infested with noxious weed propagating parts;

(3) sell material containing noxious weed propagating parts to a person who does not have a permit to transport that material or to a person who does not have a screenings permit issued in accordance with section 21.74; or

(4) neglect, fail, or refuse to comply with a general notice or an individual notice to control or eradicate noxious weeds.

Sec. 30. Minnesota Statutes 2002, section 18B.26, subdivision 3, is amended to read:

Subd. 3. [APPLICATION FEE.] (a) A registrant shall pay an annual application fee for each pesticide to be registered, and this fee is set at one-tenth of one percent for calendar year 1990, at one-fifth of one percent for calendar year 1991, and at two-fifths of one percent for calendar year 1992 and thereafter of annual gross sales within the state and annual gross sales of pesticides used in the state, with a minimum nonrefundable fee of $250. The registrant shall determine when and which pesticides are sold or used in this state. The registrant shall secure sufficient sales information of pesticides distributed into this state from distributors and dealers, regardless of

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distributor location, to make a determination. Sales of pesticides in this state and sales of pesticides for use in this state by out-of-state distributors are not exempt and must be included in the registrant's annual report, as required under paragraph (c), and fees shall be paid by the registrant based upon those reported sales. Sales of pesticides in the state for use outside of the state are exempt from the application fee in this paragraph if the registrant properly documents the sale location and distributors. A registrant paying more than the minimum fee shall pay the balance due by March 1 based on the gross sales of the pesticide by the registrant for the preceding calendar year. The fee for disinfectants and sanitizers shall be the minimum. The minimum fee is due by December 31 preceding the year for which the application for registration is made. ~~Of the amount collected after calendar year 1990, at least $600,000 per fiscal year must be credited to the waste pesticide account under section 18B.065, subdivision 5~~ The commissioner shall spend at least $300,000 per fiscal year from the pesticide regulatory account for the purposes of the waste pesticide collection program.

(b) An additional fee of $100 must be paid by the applicant for each pesticide to be registered if the application is a renewal application that is submitted after December 31.

(c) A registrant must annually report to the commissioner the amount and type of each registered pesticide sold, offered for sale, or otherwise distributed in the state. The report shall be filed by March 1 for the previous year's registration. The commissioner shall specify the form of the report and require additional information deemed necessary to determine the amount and type of pesticides annually distributed in the state. The information required shall include the brand name, amount, and formulation of each pesticide sold, offered for sale, or otherwise distributed in the state, but the information collected, if made public, shall be reported in a manner which does not identify a specific brand name in the report.

Sec. 31. Minnesota Statutes 2002, section 21.89, subdivision 2, is amended to read:

Subd. 2. [PERMITS; ISSUANCE AND REVOCATION.] (a) The commissioner shall issue a permit to the initial labeler of agricultural, vegetable, or flower, and wildflower seeds which are sold for use in Minnesota and which conform to and are labeled under sections 21.80 to 21.92. The categories of permits are as follows:

(1) for initial labelers who sell 50,000 pounds or less of agricultural seed each calendar year, an annual permit issued for a fee established in section 21.891, subdivision 2, paragraph (b);

(2) for initial labelers who sell vegetable, flower, and wildflower seed packed for use in home gardens or household plantings, an annual permit issued for a fee established in section 21.891, subdivision 2, paragraph (c), based upon the gross sales from the previous year; and

(3) for initial labelers who sell more than 50,000 pounds of agricultural seed each calendar year, a permanent permit for a fee established in section 21.891, subdivision 2, paragraph (d).

(b) In addition, the ~~person~~ permit holders shall furnish to the commissioner an itemized statement of all seeds sold in Minnesota for the periods established by the commissioner. This statement shall be delivered, along with the payment of the fee, based upon the amount and type of seed sold, to the commissioner no later than 30 days after the end of each reporting period. Any person holding a permit shall show as part of the analysis labels or invoices on all agricultural, vegetable, flower, wildflower, tree or shrub seeds all information the commissioner requires. The commissioner may revoke any permit in the event of failure to comply with applicable laws and rules.

Sec. 32. [21.891] [CHARGES UNDER MINNESOTA SEED LAW.]

Subdivision 1. [SAMPLING EXPORT SEED.] In accordance with section 21.85, subdivision 13, the commissioner shall, if requested, sample seed destined for export to other countries. The fee for sampling export seed is an hourly rate published annually by the commissioner and it shall be an amount sufficient to recover the actual costs for the service provided.

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Subd. 2. [SEED FEE PERMITS.] (a) An initial labeler who wishes to sell seed in Minnesota must comply with section 21.89, subdivisions 1 and 2, and the procedures in this subdivision. Each initial labeler who wishes to sell seed in Minnesota must apply to the commissioner to obtain a permit. The application must contain the name and address of the applicant, the application date, and the name and title of the applicant's contact person.

(b) The application for a seed permit covered by section 21.89, subdivision 2, paragraph (a), clause (1), must be accompanied by an application fee of $50.

(c) The application for a vegetable, flower, and wildflower seed permit covered by section 21.89, subdivision 2, paragraph (a), clause (2), must be accompanied by an application fee based on the level of annual gross sales as follows:

(1) for gross sales of zero to $25,000, the annual permit fee is $50;

(2) for gross sales of $25,001 to $50,000, the annual permit fee is $100;

(3) for gross sales of $50,001 to $100,000, the annual permit fee is $200;

(4) for gross sales of $100,001 to $250,000, the annual permit fee is $500;

(5) for gross sales of $250,001 to $500,000, the annual permit fee is $1,000; and

(6) for gross sales of $500,001 and above, the annual permit fee is $2,000.

(d) The application for an agricultural seed permit covered by section 21.89, subdivision 2, paragraph (a), clause (3), must be accompanied by an application fee of $50. Initial labelers holding seed fee permits covered under this paragraph need not apply for a new permit or pay the application fee. Under this permit category, the fees for the following kinds of agricultural seed sold either in bulk or containers are:

(1) oats, wheat, barley: 6.3 cents per hundredweight;

(2) rye, field beans, soybeans, buckwheat, flax: 8.4 cents per hundredweight;

(3) field corn: 29.4 cents per hundredweight;

(4) forage, lawn and turf grasses, legumes: 49 cents per hundredweight;

(5) sunflower: $1.40 per hundredweight;

(6) sugar beet: $3.29 per hundredweight; and

(7) for any agricultural seed not listed in clauses (1) to (6), the fee for the crop most closely resembling it in normal planting rate applies.

(e) If, for reasons beyond the control and knowledge of the initial labeler, seed is shipped into Minnesota by a person other than the initial labeler, the responsibility for the seed fees are transferred to the shipper. An application for a transfer of this responsibility must be made to the commissioner. Upon approval by the commissioner of the transfer, the shipper is responsible for payment of the seed permit fees.

(f) Seed permit fees may be included in the cost of the seed either as a hidden cost or as a line item cost on each invoice for seed sold. To identify the fee on an invoice, the words, "Minnesota seed permit fees" must be used.

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(g) All seed fee permit holders must file semiannual reports with the commissioner, even if no seed was sold during the reporting period. Each semiannual report must be submitted within 30 days of the end of each reporting period. The reporting periods are October 1 to March 31 and April 1 to September 30 of each year or July 1 to December 31, and January 1 to June 30 of each year. Permit holders may change their reporting periods with the approval of the commissioner.

(h) The holder of a seed fee permit must pay fees on all seed for which the permit holder is the initial labeler and which are covered by sections 21.80 to 21.92 and sold during the reporting period.

(i) If a seed fee permit holder fails to submit a semiannual report and pay the seed fee within 30 days after the end of each reporting period, the commissioner shall assess a penalty of $100 or eight percent, calculated on an annual basis, of the fee due, whichever is greater, but no more than $500 for each late semiannual report. A $15 penalty must be charged when the semiannual report is late, even if no fee is due for the reporting period. Seed fee permits may be revoked for failure to comply with this subdivision or the Minnesota seed law.

Subd. 3. [HYBRID SEED CORN VARIETY REGISTRATION FEE.] In accordance with section 21.90, subdivision 2, the fee for the registration of each hybrid seed corn variety or blend is $50, which must be paid at the time of registration. New hybrid seed corn variety registrations received after March 1 and renewed registrations of older varieties received after August 1 of each year will have an annual registration fee of $75 per variety.

Subd. 4. [BRAND NAME REGISTRATION FEE.] The fee is $25 for each variety registered for sale by brand name.

Sec. 33. Minnesota Statutes 2002, section 21.90, subdivision 2, is amended to read:

Subd. 2. [FEES.] A record of each new hybrid seed field corn variety to be sold in Minnesota shall be registered with the commissioner by ~~February~~ March 1 of each year by the originator or owner. Records of all other hybrid seed field corn varieties sold in Minnesota shall be registered with the commissioner by August 1 of each year by the originator or owner. The commissioner shall establish the annual fee for registration for each variety. The record shall include the permanent designation of the hybrid as well as the day classification and zone of adaptation, as determined under subdivision 1, which the originator or owner declares to be the zone in which the variety is adapted. In addition, at the time of the first registration of a hybrid seed field corn variety, the originator or owner shall include a sworn statement that the declaration of the zone of adaptation was based on actual field trials in that zone and that the field trials substantiate the declaration as to the day and zone classifications to which the variety is adapted. The name or number used to designate a hybrid seed field corn variety in the registration is the only name of all seed corn covered by or sold under that registration. To assist in defraying the expenses of the Minnesota agricultural experiment station in carrying out the provisions of this section, there is appropriated and transferred annually from the seed inspection account to the agricultural experiment station a sum which shall equal 60 percent of the total revenue from all hybrid seed field corn variety registrations.

Sec. 34. Minnesota Statutes 2002, section 21.901, is amended to read:

21.901 [BRAND NAME REGISTRATION.]

The owner or originator of a variety of nonhybrid seed that is to be sold in this state must annually register the variety with the commissioner if the variety is to be sold only under a brand name. The registration must include the brand name and the variety of seed. The brand name for a blend or mixture need not be registered.

~~The fee is $15 for each variety registered for sale by brand name.~~

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Sec. 35. Minnesota Statutes 2002, section 28A.08, subdivision 3, is amended to read:

Subd. 3. [FEES EFFECTIVE JULY 1, ~~1999~~ 2003.]

Penalties

Type of food handler License Late No

Fee Renewal License

Effective

July 1,

~~1999~~

2003

1. Retail food handler

(a) Having gross sales of only prepackaged

nonperishable food of less than $15,000 for

the immediately previous license or fiscal year

and filing a statement with the commissioner ~~$48~~ ~~$16~~ ~~$27~~

$65 $21 $43

(b) Having under $15,000 gross sales including

food preparation or having $15,000 to $50,000

gross sales for the immediately previous license

or fiscal year ~~$65~~ ~~$16~~ ~~$27~~

$88 $29 $58

immediately previous license or fiscal year ~~$126~~ ~~$37~~ ~~$80~~

$170 $56 $112

(d) Having $250,000 to $1,000,000 gross sales

for the immediately previous license or fiscal year ~~$216~~ ~~$54~~ ~~$107~~

$292 $96 $193

(e) Having $1,000,000 to $5,000,000 gross sales

for the immediately previous license or fiscal year ~~$601~~ ~~$107~~ ~~$187~~

$812 $268 $536

(f) Having $5,000,000 to $10,000,000 gross sales

for the immediately previous license or fiscal year ~~$842~~ ~~$161~~ ~~$321~~

$1,137 $375 $750

(g) Having over $10,000,000 gross sales for the

immediately previous license or fiscal year ~~$962~~ ~~$214~~ ~~$375~~

$1,300 $429 $858

2. Wholesale food handler

(a) Having gross sales or service of less than

$25,000 for the immediately previous license

or fiscal year ~~$54~~ ~~$16~~ ~~$16~~

$73 $24 $48

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(b) Having $25,000 to $250,000 gross sales or service

for the immediately previous license or fiscal year ~~$241~~ ~~$54~~ ~~$107~~

$326 $108 $215

service from a mobile unit without a separate food

facility for the immediately previous license or fiscal year ~~$361~~ ~~$ 80~~ ~~$161~~

$488 $161 $322

(d) Having $250,000 to $1,000,000 gross sales or

service not covered under paragraph (c) for the

immediately previous license or fiscal year ~~$480~~ ~~$107~~ ~~$214~~

$648 $214 $428

(e) Having $1,000,000 to $5,000,000 gross sales or

service for the immediately previous license or fiscal year ~~$601~~ ~~$134~~ ~~$268~~

$812 $268 $536

(f) Having over $5,000,000 gross sales for the immediately

previous license or fiscal year ~~$692~~ ~~$161~~ ~~$321~~

$935 $309 $617

3. Food broker ~~$120~~ ~~$32~~ ~~$54~~

$150 $50 $99

4. Wholesale food processor or manufacturer

(a) Having gross sales of less than $125,000 for the

immediately previous license or fiscal year ~~$161~~ ~~$54~~ ~~$107~~

$217 $72 $143

(b) Having $125,000 to $250,000 gross sales for the

immediately previous license or fiscal year ~~$332~~ ~~$80~~ ~~$161~~

$448 $148 $296

immediately previous license or fiscal year ~~$480~~ ~~$107~~ ~~$214~~

$648 $214 $428

(d) Having $1,000,001 to 5,000,000 gross sales for the

immediately previous license or fiscal year ~~$601~~ ~~$134~~ ~~$268~~

$812 $268 $536

(e) Having $5,000,001 to $10,000,000 gross sales for

the immediately previous license or fiscal year ~~$692~~ ~~$161~~ ~~$321~~

$935 $309 $617

(f) Having over $10,000,000 gross sales for the

immediately previous license or fiscal year ~~$963~~ ~~$214~~ ~~$375~~

$1,301 $429 $859

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5. Wholesale food processor of meat or poultry products

under supervision of the U. S. Department of Agriculture

(a) Having gross sales of less than $125,000 for the

immediately previous license or fiscal year ~~$107~~ ~~$27~~ ~~$54~~

$145 $48 $96

(b) Having $125,000 to $250,000 gross sales for the

immediately previous license or fiscal year ~~$181~~ ~~$54~~ ~~$80~~

$245 $81 $162

immediately previous license or fiscal year ~~$271~~ ~~$80~~ ~~$134~~

$366 $121 $242

(d) Having $1,000,001 to $5,000,000 gross sales

for the immediately previous license or fiscal year ~~$332~~ ~~$80~~ ~~$161~~

$448 $148 $296

(e) Having $5,000,001 to $10,000,000 gross sales for

the immediately previous license or fiscal year ~~$392~~ ~~$107~~ ~~$187~~

$530 $175 $350

(f) Having over $10,000,000 gross sales for the immediately

previous license or fiscal year ~~$535~~ ~~$161~~ ~~$268~~

$723 $239 $477

6. Wholesale food processor or manufacturer operating only at

the state fair $125 $40 $50

7. Wholesale food manufacturer having the permission of the

commissioner to use the name Minnesota Farmstead cheese $30 $10 $15

8. Nonresident frozen dairy manufacturer $200 $50 $75

9. Wholesale food manufacturer processing less than 700,000

pounds per year of raw milk $30 $10 $15

10. A milk marketing organization without facilities for

processing or manufacturing that purchases milk from

milk producers for delivery to a licensed wholesale food

processor or manufacturer $50 $15 $25

Sec. 36. Minnesota Statutes 2002, section 28A.085, subdivision 1, is amended to read:

Subdivision 1. [VIOLATIONS; PROHIBITED ACTS.] The commissioner may charge a reinspection fee for each reinspection of a food handler that:

(1) is found with a major violation of requirements in chapter 28, 29, 30, 31, 31A, 32, 33, or 34, or rules adopted under one of those chapters;

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(2) is found with a violation of section 31.02, 31.161, or 31.165, and requires a follow-up inspection after an administrative meeting held pursuant to section 31.14; or

(3) fails to correct equipment and facility deficiencies as required in rules adopted under chapter 28, 29, 30, 31, 31A, 32, or 34. The first reinspection of a firm with gross food sales under $1,000,000 must be assessed at ~~$25~~ $75. The fee for a firm with gross food sales over $1,000,000 is ~~$50~~ $100. The fee for a subsequent reinspection of a firm for the same violation is 50 percent of their current license fee or $200, whichever is greater. The establishment must be issued written notice of violations with a reasonable date for compliance listed on the notice. An initial inspection relating to a complaint is not a reinspection.

Sec. 37. Minnesota Statutes 2002, section 28A.09, subdivision 1, is amended to read:

Subdivision 1. [ANNUAL FEE; EXCEPTIONS.] Every coin-operated food vending machine is subject to an annual state inspection fee of ~~$15~~ $25 for each nonexempt machine except nut vending machines which are subject to an annual state inspection fee of $5 $10 for each machine, provided that:

(a) Food vending machines may be inspected by either a home rule charter or statutory city, or a county, but not both, and if inspected by a home rule charter or statutory city, or a county they shall not be subject to the state inspection fee, but the home rule charter or statutory city, or the county may impose an inspection or license fee of no more than the state inspection fee. A home rule charter or statutory city or county that does not inspect food vending machines shall not impose a food vending machine inspection or license fee.

(b) Vending machines dispensing only gum balls, hard candy, unsorted candy, or ice manufactured and packaged by another shall be exempt from the state inspection fee, but may be inspected by the state. A home rule charter or statutory city may impose by ordinance an inspection or license fee of no more than the state inspection fee for nonexempt machines on the vending machines described in this paragraph. A county may impose by ordinance an inspection or license fee of no more than the state inspection fee for nonexempt machines on the vending machines described in this paragraph which are not located in a home rule charter or statutory city.

(c) Vending machines dispensing only bottled or canned soft drinks are exempt from the state, home rule charter or statutory city, and county inspection fees, but may be inspected by the commissioner or the commissioner's designee.

Sec. 38. Minnesota Statutes 2002, section 32.394, subdivision 8, is amended to read:

Subd. 8. [GRADE A INSPECTION FEES.] A processor or marketing organization of milk, milk products, sheep milk, or goat milk who wishes to market Grade A milk or use the Grade A label must apply for Grade A inspection service from the commissioner. A pasteurization plant requesting Grade A inspection service must hold a Grade A permit and pay an annual inspection fee of no more than $500. For Grade A farm inspection service, the fee must be no more than $50 per farm, paid annually by the processor or by the marketing organization on behalf of its patrons. For a farm requiring a reinspection in addition to the required biannual inspections, an additional fee of ~~no more than $25~~ $45 per reinspection must be paid by the processor or by the marketing organization on behalf of its patrons. The Grade A farm inspection fee must not exceed the lesser of (1) 40 percent of the department's actual average cost per farm inspection or reinspection; or (2) the dollar limits set in this subdivision. No fee increase may be implemented until after the commissioner has held three or more public hearings.

Sec. 39. Minnesota Statutes 2002, section 32.394, subdivision 8b, is amended to read:

Subd. 8b. [MANUFACTURING GRADE FARM CERTIFICATION.] A processor or marketing organization of milk, milk products, sheep milk, or goat milk who wishes to market other than Grade A milk must apply for a manufacturing grade farm certification inspection from the commissioner. A manufacturing plant that pasteurizes

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milk or milk by-products must pay an annual fee based on the number of pasteurization units. This fee must not exceed $140 per unit. The fee for farm certification inspection must not be more than $25 per farm to be paid annually by the processor or by the marketing organization on behalf of its patrons. For a farm requiring more than the one inspection for certification, a reinspection fee of ~~no more than $25~~ $45 must be paid by the processor or by the marketing organization on behalf of its patrons. The fee must be set by the commissioner in an amount necessary to cover 40 percent of the department's actual cost of providing the annual inspection but must not exceed the limits in this subdivision. No fee increase may be implemented until after the commissioner has held three or more public hearings.

Sec. 40. Minnesota Statutes 2002, section 32.394, subdivision 8d, is amended to read:

Subd. 8d. [PROCESSOR ASSESSMENT.] (a) A manufacturer shall pay to the commissioner a fee for fluid milk processed and milk used in the manufacture of fluid milk products sold for retail sale in Minnesota~~. Beginning May 1, 1993, the fee is six cents per hundredweight. If the commissioner determines that a different fee,~~ in an amount not less than five cents and not more than nine cents per hundredweight, when combined with general fund appropriations and fees charged under sections 31.39 and 32.394, subdivision 8, is needed to provide adequate funding for the Grades A and B inspection programs and the administration and enforcement of Laws 1993, chapter 65, the commissioner may, by rule, change the fee on processors within the range provided within this subdivision as set by the commissioner's order except that beginning July 1, 2003, the fee is set at seven cents per hundredweight and thereafter no change within any 12-month period may be in excess of one cent per hundredweight.

(b) Processors must report quantities of milk processed under paragraph (a) on forms provided by the commissioner. Processor fees must be paid monthly. The commissioner may require the production of records as necessary to determine compliance with this subdivision.

(c) The commissioner may create within the department a dairy consulting program to provide assistance to dairy producers who are experiencing problems meeting the sanitation and quality requirements of the dairy laws and rules.

The commissioner may use money appropriated from the dairy services account created in subdivision 9 to pay for the program authorized in this paragraph.

Sec. 41. Minnesota Statutes 2002, section 35.155, is amended to read:

35.155 [CERVIDAE IMPORT RESTRICTIONS.]

~~(a)~~ A person must not import cervidae into the state from a herd that is infected or exposed to chronic wasting disease or from a known chronic wasting disease endemic area, as determined by the board. A person may import cervidae into the state only from a herd that is not in a known chronic wasting disease endemic area, as determined by the board, and the herd has been subject to a state or provincial approved chronic wasting disease monitoring program for at least three years. Cervidae imported in violation of this section may be seized and destroyed by the commissioner of natural resources.

~~(b) This section expires on June 1, 2003.~~

[EFFECTIVE DATE.] This section is effective the day following final enactment.

Sec. 42. Minnesota Statutes 2002, section 38.02, subdivision 1, is amended to read:

Subdivision 1. [PRO RATA DISTRIBUTION; CONDITIONS.] ~~(1)~~ (a) Money appropriated to aid county and district agricultural societies and associations shall be distributed among all county and district agricultural societies or associations in the state pro rata, upon condition that each of them has complied with the conditions specified in ~~clause (2)~~ paragraph (b).

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~~(2)~~ (b) To be eligible to participate in ~~such~~ the distribution of aid, each ~~such~~ agricultural society or association ~~(a)~~ shall have:

(1) held an annual fair for each of the three years last past, unless prevented from doing so because of a calamity or an epidemic declared by the board of health as defined in section 145A.02, subdivision 2, or the state commissioner of health to exist; ~~(b) shall have~~

(2) an annual membership of 25 or more; ~~(c) shall have~~

(3) paid out to exhibitors for premiums awarded at the last fair held a sum not less than the amount to be received from the state; ~~(d) shall have~~

(4) published and distributed not less than three weeks before the opening day of the fair a premium list, listing all items or articles on which premiums are offered and the amounts of such premiums and shall have paid premiums pursuant to the amount shown for each article or item to be exhibited; provided that premiums for school exhibits may be advertised in the published premium list by reference to a school premium list prepared and circulated during the preceding school year; and shall have collected all fees charged for entering an exhibit at the time the entry was made and in accordance with schedule of entry fees to be charged as published in the premium list; ~~(e) shall have~~

(5) paid not more than one premium on each article or item exhibited, excluding championship or sweepstake awards, and excluding the payment of open class premium awards to 4H Club exhibits which at this same fair had won a first prize award in regular 4H Club competition; ~~(f) shall have~~ and

(6) submitted its records and annual report to the commissioner of agriculture on a form provided by the commissioner of agriculture, on or before the first day of November of the ~~current~~ year in which the fair was held.

~~(3)~~ (c) All payments authorized under the provisions of this chapter shall be made only upon the presentation by the commissioner of agriculture with the commissioner of finance of a statement of premium allocations. As used herein the term premium shall mean the cash award paid to an exhibitor for the merit of an exhibit of livestock, livestock products, grains, fruits, flowers, vegetables, articles of domestic science, handicrafts, hobbies, fine arts, and articles made by school pupils, or the cash award paid to the merit winner of events such as 4H Club or Future Farmer Contest, Youth Group Contests, school spelling contests and school current events contests, the award corresponding to the amount offered in the advertised premium list referred to in schedule 2. Payments of awards for horse races, ball games, musical contests, talent contests, parades, and for amusement features for which admission is charged, are specifically excluded from consideration as premiums within the meaning of that term as used herein. Upon receipt of the statement by the commissioner of agriculture, ~~it shall be the duty of~~ the commissioner of finance to shall draw a voucher in favor of the agricultural society or association for the amount to which it is entitled under the provisions of this chapter~~, which~~. The amount shall be computed as follows: On the first $750 premiums paid by each society or association at the last fair held, ~~such~~ the society or association shall receive 100 percent reimbursement; on the second $750 premiums paid, 80 percent; on the third $750 premiums paid, 60 percent; and on any sum in excess of $2,250, 40 percent. The commissioner of finance shall make payments not later than July 15 of the year following the calendar year in which the annual fair was held.

~~(4)~~ (d) If the total amount of state aid to which the agricultural societies and associations are entitled under the provisions of this chapter exceeds the amount of the appropriation therefor, the amounts to which the societies or associations are entitled shall be prorated so that the total payments by the state will not exceed the appropriation.

Journal of the House - 43rd Day - Friday, April 25, 2003 - Top of Page 2795

Sec. 43. Minnesota Statutes 2002, section 41A.09, subdivision 1, is amended to read:

Subdivision 1. [APPROPRIATION.] A sum sufficient to make the payments required by this section is annually appropriated from the general fund to the commissioner of agriculture ~~and all money so appropriated is available until expended~~ for purposes of developing ethanol production in Minnesota.

Sec. 44. Minnesota Statutes 2002, section 41A.09, subdivision 2a, is amended to read:

Subd. 2a. [DEFINITIONS.] For the purposes of this section, the terms defined in this subdivision have the meanings given them.

(a) "Ethanol" means fermentation ethyl alcohol derived from agricultural products, including potatoes, cereal, grains, cheese whey, and sugar beets; forest products; or other renewable resources, including residue and waste generated from the production, processing, and marketing of agricultural products, forest products, and other renewable resources, that:

(1) meets all of the specifications in ASTM specification D 4806-88; and

(2) is denatured as specified in Code of Federal Regulations, title 27, parts 20 and 21.

(b) ~~"Wet alcohol" means agriculturally derived fermentation ethyl alcohol having a purity of at least 50 percent but less than 99 percent.~~

(c) "Anhydrous alcohol" means fermentation ethyl alcohol derived from agricultural products as described in paragraph (a), but that does not meet ASTM specifications or is not denatured and is shipped in bond for further processing.

~~(d)~~ "Ethanol plant" means a plant at which ethanol~~, anhydrous alcohol, or wet alcohol~~ is produced.

Sec. 45. Minnesota Statutes 2002, section 41A.09, subdivision 3a, is amended to read:

Subd. 3a. [ETHANOL PRODUCER PAYMENTS.] (a) The commissioner ~~of agriculture~~ shall make cash payments to producers of ethanol~~, anhydrous alcohol, and wet alcohol~~ located in the state~~. These payments shall apply only to ethanol, anhydrous alcohol, and wet alcohol fermented in the state and produced at plants~~ that have begun production by June 30, 2000. For the purpose of this subdivision, an entity that holds a controlling interest in more than one ethanol plant is considered a single producer. The amount of the payment for each producer's annual production, ~~is:~~

~~(1)~~ except as provided in paragraph ~~(b)~~ (c), is 20 cents per gallon for each gallon of ethanol ~~or anhydrous alcohol~~ produced on or before June 30, 2000, or ten years after the start of production, whichever is later~~, 19 cents per gallon; and~~

(2) for each gallon produced of wet alcohol on or before June 30, 2000, or ten years after the start of production, whichever is later, a payment in cents per gallon calculated by the formula "alcohol purity in percent divided by five," and rounded to the nearest cent per gallon, but not less than 11 cents per gallon.