Journal of the House - 36th Day - Saturday, March 24, 2007

A quorum was present.

Brod, Hausman, Lesch, Paulsen and Scalze were excused.

Walker was excused until 10:20 a.m. Tingelstad was excused until 10:30 a.m. Peppin was excused until 10:50 a.m. Shimanski was excused until 10:55 a.m. Abeler was excused until 11:20 a.m.

The Chief Clerk proceeded to read the Journal of the preceding day. Gardner 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 - 36th Day - Saturday, March 24, 2007 - Top of Page 1972

REPORTS OF STANDING COMMITTEES AND DIVISIONS

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 173, A bill for an act relating to human services; increasing payment rates for nursing facilities in specified counties to the geographic group III median rate; amending Minnesota Statutes 2006, section 256B.431, by adding a subdivision.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 192, A bill for an act relating to human services; placing nursing facilities in the county of Meeker into a different geographic group; amending Minnesota Statutes 2006, section 256B.431, subdivision 2b.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 221, A bill for an act relating to human services; increasing the rate reimbursement for a day training and habilitation provider in Meeker County; requiring the Department of Human Services to draft legislation addressing the disparity between per diem rate reimbursements for day training and habilitation providers across the state.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Eken from the Committee on Environment and Natural Resources to which was referred:

H. F. No. 294, A bill for an act relating to state government; modifying the structure of the Pollution Control Agency; amending Minnesota Statutes 2006, sections 116.02, subdivisions 1, 4; 116.03, subdivisions 1, 2; repealing Minnesota Statutes 2006, section 116.02, subdivisions 6, 7, 8, 9, 10.

Reported the same back with the recommendation that the bill pass and be re-referred to the Committee on Governmental Operations, Reform, Technology and Elections.

The report was adopted.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1973

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 399, A bill for an act relating to health; establishing the Long-Term Care Patient Access to Pharmaceuticals Act; providing penalties; proposing coding for new law in Minnesota Statutes, chapter 151.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2006, section 151.19, subdivision 2, is amended to read:

Subd. 2. Nonresident pharmacies. The board shall require and provide for an annual nonresident special pharmacy registration for all pharmacies located outside of this state that regularly dispense medications for Minnesota residents and mail, ship, or deliver prescription medications into this state. Nonresident special pharmacy registration shall be granted by the board upon the disclosure and certification by a pharmacy:

(1) that it is licensed in the state in which the dispensing facility is located and from which the drugs are dispensed;

(2) the location, names, and titles of all principal corporate officers and all pharmacists who are dispensing drugs to residents of this state;

(3) that it complies with all lawful directions and requests for information from the Board of Pharmacy of all states in which it is licensed or registered, except that it shall respond directly to all communications from the board concerning emergency circumstances arising from the dispensing of drugs to residents of this state;

(4) that it maintains its records of drugs dispensed to residents of this state so that the records are readily retrievable from the records of other drugs dispensed;

(5) that it cooperates with the board in providing information to the Board of Pharmacy of the state in which it is licensed concerning matters related to the dispensing of drugs to residents of this state; ~~and~~

(6) that during its regular hours of operation, but not less than six days per week, for a minimum of 40 hours per week, a toll-free telephone service is provided to facilitate communication between patients in this state and a pharmacist at the pharmacy who has access to the patients' records; the toll-free number must be disclosed on the label affixed to each container of drugs dispensed to residents of this state.; and

(7) that, upon request of a resident of a long-term care facility located within the state of Minnesota or by an agent of the resident, the pharmacy will dispense medications prescribed for the resident in unit-dose packaging or, alternatively, comply with the provisions of section 151.415, subdivision 5.

Sec. 2. [151.415] LONG-TERM CARE RESIDENT ACCESS TO PHARMACEUTICALS ACT.

Subdivision 1. Title; citation. This section may be cited as the "Long-Term Care Resident Access to Pharmaceuticals Act."

Subd. 2. Definitions. For the purposes of this section, the following terms have the meanings given them unless otherwise provided by text:

(a) "Board" means the Board of Pharmacy.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1974

(b) "Contract pharmacy" means a pharmacy, licensed under this chapter, which is under contract to a long-term care facility.

(d) "Original dispensing pharmacy" shall mean a pharmacy, licensed in any state in the United States, whish dispenses drugs in bulk prescription containers to a person who is a resident in a long-term care facility.

Subd. 3. Authorization to administer and repackage drugs. (a) A contract pharmacist or pharmacy may repackage a resident's prescription drugs, which have been lawfully dispensed from bulk prescription containers by an original dispensing pharmacy, into a unit-dose system compatible with the system used by the long-term care facility.

(b) A long-term care facility may administer drugs to residents of the facility that have been repackaged according to this subdivision.

(c) Drugs may be dispensed for and administered to a resident of a long-term care facility according to this subdivision, provided that:

(1) the drug is dispensed by the original dispensing pharmacy according to a current, valid prescription;

(2) the original bulk prescription container for the resident is delivered by the original dispensing pharmacy directly to the contract pharmacist or pharmacy;

(3) the contract pharmacist or pharmacy verifies the name and strength of the drug, the name of the manufacturer of the drug, the manufacturer's lot or control number, the manufacturer's expiration date for the drug, and the date the drug was dispensed by the original dispensing pharmacy;

(4) the contract pharmacist or pharmacy verifies the validity and accuracy of the current prescription order;

(5) the contract pharmacist or pharmacy repackages the drug in board-approved unit-dose packaging, with labeling that complies with Minnesota Rules, part 6800.6300, and that identifies that the drug has been repackaged according to this section;

(6) the resident for whom the medication is repackaged obtains medications from or receives medications at a discounted rate from the original dispensing pharmacy under the resident's state or federal health assistance program or a private health insurance plan; and

(7) the resident for whom the medication is to be repackaged, or the resident's authorized representative, has signed an informed consent form provided by the facility which includes an explanation of the repackaging process and which notifies the resident of the immunities from liability provided in this section.

Subd. 4. Maintenance of records. For each drug repackaged by a contract pharmacy under this section, the contract pharmacy shall maintain a record for at least two years of the following information:

(1) the name, manufacturer, manufacturer's lot number, manufacturer's expiration date, and quantity of the drug prescribed;

(2) the name and address of the resident for whom the drug was repackaged;

(3) the name and address or other identifier of the prescriber;

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1975

(4) the date the prescription was issued and the date the drug was repackaged;

(5) the date the repackaged drug was delivered to the long-term care facility;

(6) the directions for use;

(7) a copy of the label that was affixed to the repackaged drug;

(8) the initials of the packager;

(9) the initials of the supervising pharmacist; and

(10) the name and business address of the original dispensing pharmacy.

Subd. 5. Duties of the original dispensing pharmacy. Upon request of the resident, the resident's authorized representative, or a contract pharmacy or licensed health care facility acting on behalf of the resident, the original dispensing pharmacy is required to deliver medications dispensed for the resident directly to the contract pharmacist or pharmacy. The original dispensing pharmacy is further required to provide the contract pharmacist or pharmacy with the name and strength of the drug, the name of the manufacturer of the drug, the manufacturer's lot or control number, the manufacturer's expiration date for the drug, and the date the drug was dispensed.

Subd. 6. Redispensing of returned drugs prohibited. Unused drugs repackaged according to this section that are returned to any pharmacy shall not be redispensed.

Subd. 7. Immunity from civil liability. (a) A contract pharmacist or pharmacy and its employees or agents repackaging a drug acquired from an original dispensing pharmacy shall be immune from civil liability arising from harm caused by the drug due to acts or omissions of other persons outside of the contract pharmacist or pharmacy if the contract pharmacist or pharmacy properly repackages the drug according to this section.

(b) A long-term care facility and the facility's employees or agents who properly administer a drug repackaged by a contract pharmacist or pharmacy under this section shall be immune from civil liability arising from harm caused by the drug due to acts or omissions of other persons outside the long-term care facility.

Subd. 8. Handling fee. A contract pharmacist or pharmacy may charge a monthly fee of no more than 250 percent of the medical assistance program dispensing fee for each drug repackaged according to this section, but no more than $100 per month for each individual resident."

Delete the title and insert:

"A bill for an act relating to health; establishing the Long-Term Resident Access to Pharmaceuticals Act; amending Minnesota Statutes 2006, section 151.19, subdivision 2; proposing coding for new law in Minnesota Statutes, chapter 151."

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1976

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 408, A bill for an act relating to human services; allowing certain people to provide independent living skills services; regulating Centers for Independent Living; amending Minnesota Statutes 2006, section 256B.49, subdivision 16, by adding a subdivision.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2006, section 256B.0621, subdivision 11, is amended to read:

Subd. 11. Data use agreement; notice of relocation assistance. The commissioner shall ~~execute a data use agreement with the Centers for Medicare and Medicaid Services to obtain the long-term care minimum data set data to assist residents of nursing facilities who have~~ establish a process with the Centers for Independent Living that allows a person residing in a Minnesota nursing facility to receive needed information, consultation, and assistance from one of the centers about the available community support options that may enable the person to relocate to the community, if the person: (1) is under the age of 65, (2) has indicated a desire to live in the community. The commissioner shall in turn enter into agreements with the Centers for Independent Living to provide information about assistance for persons who want to move to the community. The commissioner shall work with the Centers for Independent Living on both the content of the information to be provided and privacy protections for the individual residents, and (3) has signed a release of information authorized by the person or the person's appointed legal representative. The process established under this subdivision shall be coordinated with the long-term care consultation service activities established in section 256B.0911.

Sec. 2. Minnesota Statutes 2006, section 256B.0911, subdivision 3b, is amended to read:

Subd. 3b. Transition assistance. (a) A long-term care consultation team shall provide assistance to persons residing in a nursing facility, hospital, regional treatment center, or intermediate care facility for persons with developmental disabilities who request or are referred for assistance. Transition assistance must include assessment, community support plan development, referrals to Minnesota health care programs, and referrals to programs that provide assistance with housing. Transition assistance must also include information about the Centers for Independent Living and about other organizations that can provide assistance with relocation efforts, and information about contacting these organizations to obtain their assistance and support.

(b) The county shall develop transition processes with institutional social workers and discharge planners to ensure that:

(1) persons admitted to facilities receive information about transition assistance that is available;

(2) the assessment is completed for persons within ten working days of the date of request or recommendation for assessment; and

(3) there is a plan for transition and follow-up for the individual's return to the community. The plan must require notification of other local agencies when a person who may require assistance is screened by one county for admission to a facility located in another county.

(c) If a person who is eligible for a Minnesota health care program is admitted to a nursing facility, the nursing facility must include a consultation team member or the case manager in the discharge planning process.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1977

Sec. 3. Minnesota Statutes 2006, section 256B.49, subdivision 11, is amended to read:

Subd. 11. Authority. (a) The commissioner is authorized to apply for home and community-based service waivers, as authorized under section 1915(c) of the Social Security Act to serve persons under the age of 65 who are determined to require the level of care provided in a nursing home and persons who require the level of care provided in a hospital. The commissioner shall apply for the home and community-based waivers in order to:

(i) promote the support of persons with disabilities in the most integrated settings;

(ii) expand the availability of services for persons who are eligible for medical assistance;

(iii) promote cost-effective options to institutional care; and

(iv) obtain federal financial participation.

(b) The provision of waivered services to medical assistance recipients with disabilities shall comply with the requirements outlined in the federally approved applications for home and community-based services and subsequent amendments, including provision of services according to a service plan designed to meet the needs of the individual. For purposes of this section, the approved home and community-based application is considered the necessary federal requirement.

(c) The commissioner shall provide interested persons serving on agency advisory committees ~~and~~, task forces, the Centers for Independent Living, and others ~~upon~~ who request~~, with~~ to be on a list to receive, notice of, and an opportunity to comment on, at least 30 days before any effective dates, (1) any substantive changes to the state's disability services provider manual, or (2) changes or amendments to the federally approved applications for home and community-based waivers, prior to their submission to the federal Centers for Medicare and Medicaid Services.

(d) The commissioner shall seek approval, as authorized under section 1915(c) of the Social Security Act, to allow medical assistance eligibility under this section for children under age 21 without deeming of parental income or assets.

(e) The commissioner shall seek approval, as authorized under section 1915(c) of the Social Act, to allow medical assistance eligibility under this section for individuals under age 65 without deeming the spouse's income or assets.

Sec. 4. Minnesota Statutes 2006, section 256B.49, is amended by adding a subdivision to read:

Subd. 16a. Medical assistance reimbursement. (a) The commissioner shall seek federal approval for medical assistance reimbursement of independent living skills services, foster care waiver service, supported employment, prevocational service, structured day service, and adult day care under the home and community-based waiver for persons with a traumatic brain injury, the community alternatives for disabled individuals waivers, and the community alternative care waivers.

(b) Medical reimbursement shall be made only when the provider demonstrates evidence of its capacity to meet basic health, safety, and protection standards through one of the methods in paragraphs (c) to (e).

(c) The provider is licensed to provide services under chapter 245B and agrees to apply these standards to services funded through the traumatic brain injury, community alternatives for disabled, or community alternative care home and community-based waivers.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1978

(d) The local agency contracting for the services certifies on a form provided by the commissioner that the provider has the capacity to meet the individual needs as identified in each person's individual service plan. When certifying that the service provider meets the necessary provider qualifications, the local agency shall verify that the provider has policies and procedures governing the following:

(1) protection of the consumer's rights and privacy;

(2) risk assessment and planning;

(3) record keeping and reporting of incidents and emergencies with documentation of corrective action if needed;

(4) service outcomes, regular reviews of progress, and periodic reports;

(5) complaint and grievance procedures;

(6) service termination or suspension;

(7) necessary training and supervision of direct care staff that includes:

(i) documentation in personnel files of 20 hours of orientation training in providing training related to service provision;

(ii) training in recognizing the symptoms and effects of certain disabilities, health conditions, and positive behavioral supports and interventions; and

(iii) a minimum of five hours of related training annually; and

(8) when applicable, the local agency shall verify that the provider has policies and procedures in place governing the following:

(i) safe medication administration;

(ii) proper handling of consumer funds; and

(iii) behavioral interventions that are in compliance with prohibitions and standards developed by the commissioner to meet federal requirements regarding the use of restraints and restrictive interventions.

(e) For foster care waiver services or independent living skills services, the local agency contracting for the services certifies on a form provided by the commissioner that the provider meets the following:

(1) the provider of foster care waiver services is licensed to provide adult foster care under Minnesota Rules, parts 9555.5105 to 9555.6265, or child foster care under Minnesota Rules, parts 2960.3000 to 2960.3230;

(2) the provider of independent living skills services also provides licensed foster care services and agrees to apply the following foster care standards: Minnesota Rules, parts 9555.5105; 9555.5705, subpart 2; 9555.6167; 9555.6185; 9555.6195; 9555.6225, subpart 8; 9555.6245; 9555.6255; and 9555.6265, or parts 2960.3010; 2960.3080, subparts 10 and 11; 2960.3210; 2960.3220, subparts 5 to 7; and 2960.3230, for the provision of those services; and

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1979

(3) the provider has policies and procedures applying to the provision of foster care waiver services or independent living skills services that govern (i) behavioral interventions that are in compliance with prohibitions and standards developed by the commissioner to meet federal requirements regarding the use of restraints and restrictive interventions and (ii) documentation of service needs and outcomes, regular reviews of progress, and periodic reports.

(f) The local agency shall review each provider's continued compliance with the basic health, safety, and protection standards on a regular basis. For the review of paragraph (e), the local agency shall coordinate the review with the county review of foster care licensure.

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

Delete the title and insert:

"A bill for an act relating to human services; regulating Centers for Independent Living and establishing provider standards for medical assistance waivers; providing guidelines for medical assistance reimbursement; amending Minnesota Statutes 2006, sections 256B.0621, subdivision 11; 256B.0911, subdivision 3b; 256B.49, subdivision 11, by adding a subdivision."

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 609, A bill for an act relating to human services; modifying food stamp requirements; amending Minnesota Statutes 2006, section 256J.77; proposing coding for new law in Minnesota Statutes, chapter 256D.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 663, A bill for an act relating to human services; increasing nursing facility payment rates to the 60th percentile rate; amending Minnesota Statutes 2006, section 256B.434, by adding a subdivision.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1980

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 683, A bill for an act relating to health; proposing an amendment to the Minnesota Constitution, article XIII, by adding a section, affirming that every resident of Minnesota has the right to affordable health care.

Reported the same back with the recommendation that the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 915, A bill for an act relating to human services; increasing payment rates for nursing facilities in Steele County to the geographic group III median rate; amending Minnesota Statutes 2006, section 256B.434, by adding a subdivision.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 917, A bill for an act relating to public health; prohibiting the use or sale of lice and scabies treatment products that contain the pesticide Lindane; proposing coding for new law in Minnesota Statutes, chapter 325F.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. LINDANE COMMITTEE.

The commissioner of health shall create a committee of stakeholders, including at least one environmental health research scientist and at least one parent consumer advocate, to review the scientific literature and make recommendations to the legislature on the health impact of Lindane on children and report back by January 15, 2008."

Delete the title and insert:

"A bill for an act relating to public health; directing the commissioner of health to study and report back on the effect of the pesticide Lindane on children."

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1981

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 970, A bill for an act relating to human services; increasing payment rates for nursing facilities in Dodge and other specified counties to the Olmsted County median rate; amending Minnesota Statutes 2006, section 256B.434, by adding a subdivision.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Eken from the Committee on Environment and Natural Resources to which was referred:

H. F. No. 1063, A bill for an act relating to environment; adopting the Uniform Environmental Covenants Act; amending Minnesota Statutes 2006, sections 115.072; 115B.17, subdivision 15; proposing coding for new law as Minnesota Statutes, chapter 114E.

Reported the same back with the recommendation that the bill pass.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 1075, A bill for an act relating to human services; increasing payment rates for a nursing facility in Koochiching County; appropriating money; amending Minnesota Statutes 2006, section 256B.434, by adding a subdivision.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Eken from the Committee on Environment and Natural Resources to which was referred:

H. F. No. 1382, A bill for an act relating to environment; restricting the use of phosphorus in household dishwasher detergent; amending Minnesota Statutes 2006, section 116.23.

Reported the same back with the recommendation that the bill pass.

The report was adopted.

Eken from the Committee on Environment and Natural Resources to which was referred:

H. F. No. 1420, A bill for an act relating to environment; modifying licensing requirements for design, installation, maintenance, inspection, or operation of individual sewage treatment systems; amending Minnesota Statutes 2006, section 115.56, subdivision 2.

Reported the same back with the following amendments:

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1982

Page 2, line 25, before the period, insert "and the local unit of government has not adopted additional requirements"

Page 2, line 28, before the period, insert "and the local unit of government has not adopted additional requirements"

Page 2, after line 28, insert:

"Sec. 2. REPORT.

The commissioner of the Pollution Control Agency must report to the legislative committees with jurisdiction on environmental policy by February 15, 2008, after consulting with officials from the Minnesota Onsite Wastewater Association; the Minnesota Society of Professional Engineers; the American Council of Engineering Companies; the Minnesota Association of Professional Soil Scientists; the Minnesota Board of Architecture, Engineering, Land Surveying, Landscape Architecture, Geoscience, and Interior Design; the Geoscience Professional Organization; the University of Minnesota Water Resources Center; the Association of Minnesota Counties; the Minnesota Association of Small Cities; and the Minnesota Association of Townships, on further issues relating to the licensing of individual sewage treatment systems.

Sec. 3. EFFECTIVE DATE.

This act is effective the day following final enactment and expires December 31, 2010."

Amend the title as follows:

Page 1, line 4, after the semicolon, insert "requiring a report;"

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Eken from the Committee on Environment and Natural Resources to which was referred:

H. F. No. 1477, A bill for an act relating to the environment; modifying provisions for disclosure of individual sewage treatment systems; amending Minnesota Statutes 2006, section 115.55, subdivision 6.

Reported the same back with the recommendation that the bill pass.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 1580, A bill for an act relating to human services; modifying adult foster care and family adult day services license requirements; amending Minnesota Statutes 2006, sections 245A.11, subdivision 2b; 245A.143, subdivision 1.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1983

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 1618, A bill for an act relating to state employees; requiring that health insurance benefits be made available to domestic partners of state employees if they are also made available to spouses; amending Minnesota Statutes 2006, sections 43A.02, by adding a subdivision; 43A.24, subdivision 1.

Reported the same back with the following amendments:

Page 1, line 9, delete "a person" and insert "an adult 18 years and older"

Page 1, line 10, delete "of the same sex"

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Otremba from the Committee on Agriculture, Rural Economies and Veterans Affairs to which was referred:

H. F. No. 1633, A bill for an act relating to veterinary medicine; defining certain terms; changing certain requirements for provision of animal husbandry; amending Minnesota Statutes 2006, sections 156.001, by adding subdivisions; 156.12, subdivision 1; repealing Minnesota Statutes 2006, section 156.075.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision to read:

Subd. 3a. Animal chiropractic. "Animal chiropractic" means a system of treating diseases by manipulation of the vertebral column.

Sec. 2. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision to read:

Subd. 3b. Artificial insemination. "Artificial insemination" means the implanting of live spermatozoa into a female animal.

Sec. 3. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision to read:

Subd. 6b. Farriery. "Farriery" means techniques used by a farrier or blacksmith including trimming hooves and making, fitting, and remodeling horseshoes.

Sec. 4. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision to read:

Subd. 8a. Massage. "Massage" means systematic therapeutic stroking or kneading of the body or a specific body part of an animal to improve circulation and muscle function, release scar tissue, or produce relaxation.

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1984

Sec. 5. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision to read:

Subd. 10a. Teeth floating. "Teeth floating" for horses and other equine animals means:

(1) removal of enamel points from teeth with hand-held, nonmotorized, non-air-powered files or rasps;

(2) reestablishing normal molar table angles and freeing up lateral excursion and other normal movements of the mandible;

(3) shaping the lingual aspect of the lower arcades and the buccal aspect of the upper arcades to a rounded smooth surface; and

(4) removing points from the buccal aspect of the upper arcade and the lingual aspect of the lower arcade.

Sec. 6. Minnesota Statutes 2006, section 156.12, subdivision 1, is amended to read:

Subdivision 1. Practice. (a) The practice of veterinary medicine, as used in this chapter, shall mean the diagnosis, treatment, correction, relief, or prevention of animal disease, deformity, defect, injury, or other physical or mental conditions; the performance of obstetrical procedures for animals, including determination of pregnancy and correction of sterility or infertility; and the rendering of advice or recommendations with regard to any of the above. The practice of veterinary medicine shall include but not be limited to the prescription or administration of any drug, medicine, biologic, apparatus, application, anesthetic, or other therapeutic or diagnostic substance or technique.

(b) The practice of veterinary medicine shall not be construed to include the dehorning of cattle and goats or, the castration of cattle, swine, goats, and sheep, or the docking of sheep, artificial insemination, teeth floating, farriery, animal chiropractic, massage, or other treatments of similar or less risk or requiring similar or less formal veterinary education employed to maintain domestic animals in good health.

Sec. 7. REPEALER.

Minnesota Statutes 2006, section 156.075, is repealed."

Amend the title as follows:

Page 1, line 3, delete "requirements for provision of animal husbandry" and insert "exemptions from practice definition"

With the recommendation that when so amended the bill pass.

The report was adopted.

Otremba from the Committee on Agriculture, Rural Economies and Veterans Affairs to which was referred:

H. F. No. 1683, A bill for an act relating to agriculture; extending the prohibition on certain new open air swine basins; amending Minnesota Statutes 2006, section 116.0714.

Reported the same back with the following amendments:

Journal of the House - 36th Day - Saturday, March 24, 2007 - Top of Page 1985

Page 1, line 12, reinstate the stricken language and strike "2007" and insert "2012"

With the recommendation that when so amended the bill pass.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 1725, A bill for an act relating to human services; providing a planning grant for a youth treatment center in northern Minnesota; appropriating money.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

Mullery from the Committee on Public Safety and Civil Justice to which was referred:

H. F. No. 1726, A bill for an act relating to health; establishing the Health Records Act; providing penalties; proposing coding for new law in Minnesota Statutes, chapter 144; repealing Minnesota Statutes 2006, section 144.335.

Reported the same back with the following amendments:

Page 6, line 9, after the period, insert "The Minnesota Department of Health may not access the record locator service or receive data from the record locator service."

Page 11, line 18, delete "the next bound volume of"

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Otremba from the Committee on Agriculture, Rural Economies and Veterans Affairs to which was referred:

H. F. No. 1838, A bill for an act relating to agriculture; regulating certain pesticide applications; authorizing rulemaking; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 18B.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. [18B.40] EMPLOYEE INFORMATION.

Subdivision 1. Notice. A railroad company commercially applying pesticide to its track or right-of-way must give at least 48 hours advance written notice of the pesticide application to all employees who could reasonably be required to work in the area to which pesticide is to be applied. This notice must specify the location, date, and estimated time when pesticide application is anticipated to occur. The notice must also specify the active

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ingredients of the pesticides anticipated to be applied and specify in terms comprehensible to a layman the potential short-term and long-term effects of these active ingredients on humans. The notice must specify the scientifically determined or the pesticide manufacturer's recommended time period after pesticide application until humans can safely occupy and work in an area in which pesticide application has occurred.

Subd. 2. Working in pesticide area. A railroad company may not require an employee or an employee of a contractor or subcontractor, other than the pesticide applicator, to work in an area in which pesticide application has occurred until the time period specified in subdivision 1 for safe return to the area has elapsed. The railroad company must furnish personal protective equipment sufficient to preserve the employee's health to each of its employees and to each employee of each of its contractors or subcontractors working in an area where pesticide has recently been applied.

Subd. 3. Use of equipment. No employee may be required to handle or operate any track appurtenance, track switch, track derail appliance, rolling stock, safety appliances, locomotive equipment, or track repair machinery known to have been sprayed with pesticide or other retardant chemical until the track structure or moveable equipment has been thoroughly spray washed with clean water from an inspected well or public source of water. Rain or snowfall must not be considered a qualified spray washing.

Subd. 4. Health hazard. No employee may be required to work in or occupy an area where pesticide has recently been applied if that employee reasonably believes that action to be hazardous to the employee's health.

Sec. 2. [18B.41] PESTICIDE APPLICATION LIMITATIONS.

Subdivision 1. Occupied equipment. No railroad may apply pesticide in a manner so as to adversely affect occupants of adjoining locomotives, track repair equipment, off-track vehicles, mobile camp cars, or stationary buildings.

Subd. 2. Bridges and waterways. No railroad may apply pesticide to the decks of bridges, to the surface of rivers or lakes crossed by that railroad's tracks, or to any area marked and designated as a pesticide-free zone.

Sec. 3. [18B.42] ENFORCEMENT.

The commissioner of agriculture must investigate complaints of violation of section 18B.40 or 18B.41. If a violation is found, the commissioner must order correction of the violation. The commissioner may use normal administrative procedures to enforce that order.

Sec. 4. APPROPRIATION.

$....... in fiscal year 2008 is appropriated from the general fund to the commissioner of agriculture for administration of Minnesota Statutes, sections 18B.40 to 18B.42.

Sec. 5. EFFECTIVE DATE.

Sections 1 to 4 are effective the day following final enactment."

Delete the title and insert:

"A bill for an act relating to agriculture; regulating certain pesticide applications; appropriating money; proposing coding for new law in Minnesota Statutes, chapter 18B."

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

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Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 2100, A bill for an act relating to public health; protecting reproductive health and the health of children; prohibiting Bisphenol-A and Phthalates in products for young children; proposing coding for new law in Minnesota Statutes, chapter 325F.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section. 1. [325.172] BISPHENOL-A IN PRODUCTS FOR CHILDREN.

Subd. 1. Bisphenol-A and phthalates committee. The commissioner of health shall create a committee under the direction of the environmental health division of the Department of Health to study the scientific literature and make recommendations to the legislature on the health impact of bisphenol-A and phthalates on children in products intended for use by young children, including, but not limited to, toys, pacifiers, baby bottles, and teethers, and report back by January 2, 2008. The committee shall also identify least harmful alternatives. Of the seven committee members at least one shall be a representative of the Department of Health, one shall be a representative of environmental health sciences research, one shall be a representative of the Minnesota Nurses Association, one shall be a representative of environmental health consumer advocates, one shall be a member of a children's product manufacturer's association, and one shall be a representative of other health sciences.

Subd. 2. Definitions. For the purposes of this section, the following terms have the meanings given them:

(a) "Toy" means all products designed or intended by the manufacturer to be used by children when they play.

(b) "Child care article" means all products designed or intended by the manufacturer to facilitate sleep, relaxation, or the feeding of children or to help children with sucking or teething."

Delete the title and insert:

"A bill for an act relating to public health; establishing a bisphenol-A and phthalates committee; requiring a study and report; proposing coding for new law in Minnesota Statutes, chapter 325."

With the recommendation that when so amended the bill pass and be re-referred to the Committee on Finance.

The report was adopted.

Thissen from the Committee on Health and Human Services to which was referred:

H. F. No. 2254, A bill for an act relating to human services; modifying payment rates for services to ventilator-dependent persons provided by a nursing facility in Waseca County; amending Minnesota Statutes 2006, section 256B.431, subdivision 2e.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Finance without further recommendation.

The report was adopted.

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SECOND READING OF HOUSE BILLS

H. F. Nos. 1063, 1382, 1477, 1633 and 1683 were read for the second time.

INTRODUCTION AND FIRST READING OF HOUSE BILLS

The following House Files were introduced:

Dill introduced:

H. F. No. 2347, A bill for an act relating to retirement; requiring payment of disability benefits to certain persons.

The bill was read for the first time and referred to the Committee on Governmental Operations, Reform, Technology and Elections.

Erhardt introduced:

H. F. No. 2348, A bill for an act relating to property taxation; providing a property tax refund for owners of noncommercial seasonal-recreational property; amending Minnesota Statutes 2006, sections 290A.03, by adding subdivisions; 290A.04, by adding a subdivision.

The bill was read for the first time and referred to the Committee on Taxes.

Faust and Kalin introduced:

H. F. No. 2349, A bill for an act relating to commerce; alcohol sales; defining a "person of questionable character" to include any person whose driver's license restricts the person from consuming any alcohol at any time.

The bill was read for the first time and referred to the Committee on Commerce and Labor.

Brod and McFarlane introduced:

H. F. No. 2350, A bill for an act relating to health; prohibiting the use of certain vaccines containing mercury or mercury compounds; requiring providers to notify patients when a vaccine contains more than a trace amount of mercury; amending Minnesota Statutes 2006, section 121A.15, subdivision 3a.

The bill was read for the first time and referred to the Committee on Health and Human Services.

Johnson, Thissen, Beard, Hoppe and Kranz introduced:

H. F. No. 2351, A bill for an act relating to telecommunications; amending regulation of cable communications systems; providing regulation of state-authorized video service providers; amending Minnesota Statutes 2006, sections 238.02, by adding subdivisions; 238.03; proposing coding for new law in Minnesota Statutes, chapter 238.

The bill was read for the first time and referred to the Committee on Commerce and Labor.

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Demmer introduced:

H. F. No. 2352, A bill for an act relating to education; giving high school science teachers adequate time for planning and laboratory preparation, setup, and cleanup; appropriating money.

The bill was read for the first time and referred to the Committee on Finance.

Hortman introduced:

H. F. No. 2353, A bill for an act relating to transportation; creating Congestion Reduction Task Force; requiring application for Urban Partnership agreement; authorizing participation in Urban Partnership program; requiring report.

The bill was read for the first time and referred to the Transportation Finance Division.

Fritz introduced:

H. F. No. 2354, A bill for an act relating to the state of Minnesota; creating a State Amusement Ride; proposing coding for new law in Minnesota Statutes, chapter 1.

The bill was read for the first time and referred to the Committee on Governmental Operations, Reform, Technology and Elections.

Erickson introduced:

H. F. No. 2355, A bill for an act relating to education finance; setting criteria for allowable uses of health and safety revenue; amending Minnesota Statutes 2006, section 123B.57, subdivisions 1, 2, 6, 8, by adding a subdivision.

The bill was read for the first time and referred to the Committee on E-12 Education.

MESSAGES FROM THE SENATE

The following message was received from the Senate:

Madam Speaker:

I hereby announce the passage by the Senate of the following Senate files, herewith transmitted:

S. F. Nos. 547, 1053, 585, 252, 144, 1332 and 1133.

Patrick E. Flahaven, Secretary of the Senate

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FIRST READING OF SENATE BILLS

S. F. No. 547, A bill for an act relating to Scott County; making the library board advisory to the county board.

The bill was read for the first time.

Beard moved that S. F. No. 547 and H. F. No. 531, now on the General Register, be referred to the Chief Clerk for comparison. The motion prevailed.

S. F. No. 1053, A bill for an act relating to Ramsey County; modifying corrections provisions; amending Minnesota Statutes 2006, section 383A.08, subdivisions 6, 7.

The bill was read for the first time and referred to the Committee on Public Safety and Civil Justice.

S. F. No. 585, A bill for an act relating to local government; removing restrictions on the sale or lease of certain property listed on the National Register of Historic Places; repealing Minnesota Statutes 2006, section 15.995.

The bill was read for the first time and referred to the Committee on Finance.

S. F. No. 252, A bill for an act relating to energy; designating Elk River as Minnesota's energy city; proposing coding for new law in Minnesota Statutes, chapter 1.

The bill was read for the first time.

Hackbarth moved that S. F. No. 252 and H. F. No. 86, now on the General Register, be referred to the Chief Clerk for comparison. The motion prevailed.

S. F. No. 144, A bill for an act relating to the county of Winona; authorizing ownership of electric power generation facilities and granting related powers.

The bill was read for the first time and referred to the Committee on Local Government and Metropolitan Affairs.

S. F. No. 1332, A bill for an act relating to local government; permitting Meeker County EDA to increase its membership to nine members; amending Laws 1998, chapter 389, article 11, section 25, subdivision 1.

The bill was read for the first time.

Urdahl moved that S. F. No. 1332 and H. F. No. 1429, now on the Calendar for the Day, be referred to the Chief Clerk for comparison. The motion prevailed.

S. F. No. 1133, A bill for an act relating to St. Louis County; modifying civil service director provisions; amending Minnesota Statutes 2006, section 383C.032.

The bill was read for the first time.

Huntley moved that S. F No. 1133 and H. F. No. 1432, now on the General Register, be referred to the Chief Clerk for comparison. The motion prevailed.

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CONSENT CALENDAR

H. F. No. 1267 was reported to the House.

Upon the objection of 10 members H. F. No. 1267 was stricken from the Consent Calendar and placed on the General Register.

H. F. No. 270, A bill for an act relating to habitual truants; removing a provision relating to termination of jurisdiction; amending Minnesota Statutes 2006, section 260C.193, subdivision 6.

The bill was read for the third time and placed upon its final passage.

The question was taken on the passage of the bill and the roll was called. There were 124 yeas and 0 nays as follows:

Those who voted in the affirmative were:

The motion did not prevail and the amendment was not adopted.

The Speaker resumed the Chair.

Olson moved to amend H. F. No. 946, the third engrossment, as follows:

Page 36, after line 31, insert:

"Sec. 2. Minnesota Statutes 2006, section 168.012, subdivision 1, is amended to read:

Subdivision 1. Vehicles exempt from tax, fees, or plate display. (a) The following vehicles are exempt from the provisions of this chapter requiring payment of tax and registration fees, except as provided in subdivision 1c:

(1) vehicles owned and used solely in the transaction of official business by the federal government, the state, or any political subdivision;

(2) vehicles owned and used exclusively by educational institutions and used solely in the transportation of pupils to and from those institutions;

(3) vehicles used solely in driver education programs at nonpublic high schools;

(4) vehicles owned by nonprofit charities and used exclusively to transport disabled persons for charitable, religious, or educational purposes;

(5) ambulances owned by ambulance services licensed under section 144E.10, the general appearance of which is unmistakable; ~~and~~

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(6) vehicles owned by a commercial driving school licensed under section 171.34, or an employee of a commercial driving school licensed under section 171.34, and the vehicle is used exclusively for driver education and training; and

(7) until July 1, 2025, vehicles owned by a motor carrier of passengers registered under section 221.0252 and operated:

(i) primarily to provide regular route public transit, as defined in section 174.22, subdivision 8;

(ii) to provide service to an urban area having a population of at least 50,000; and

(iii) without financial operating assistance from the state or any political subdivision of the state.

(b) Vehicles owned by the federal government, municipal fire apparatuses including fire-suppression support vehicles, police patrols, and ambulances, the general appearance of which is unmistakable, are not required to register or display number plates.

(c) Unmarked vehicles used in general police work, liquor investigations, or arson investigations, and passenger automobiles, pickup trucks, and buses owned or operated by the Department of Corrections, must be registered and must display appropriate license number plates, furnished by the registrar at cost. Original and renewal applications for these license plates authorized for use in general police work and for use by the Department of Corrections must be accompanied by a certification signed by the appropriate chief of police if issued to a police vehicle, the appropriate sheriff if issued to a sheriff's vehicle, the commissioner of corrections if issued to a Department of Corrections vehicle, or the appropriate officer in charge if issued to a vehicle of any other law enforcement agency. The certification must be on a form prescribed by the commissioner and state that the vehicle will be used exclusively for a purpose authorized by this section.

(d) Unmarked vehicles used by the Departments of Revenue and Labor and Industry, fraud unit, in conducting seizures or criminal investigations must be registered and must display passenger vehicle classification license number plates, furnished at cost by the registrar. Original and renewal applications for these passenger vehicle license plates must be accompanied by a certification signed by the commissioner of revenue or the commissioner of labor and industry. The certification must be on a form prescribed by the commissioner and state that the vehicles will be used exclusively for the purposes authorized by this section.

(e) Unmarked vehicles used by the Division of Disease Prevention and Control of the Department of Health must be registered and must display passenger vehicle classification license number plates. These plates must be furnished at cost by the registrar. Original and renewal applications for these passenger vehicle license plates must be accompanied by a certification signed by the commissioner of health. The certification must be on a form prescribed by the commissioner and state that the vehicles will be used exclusively for the official duties of the Division of Disease Prevention and Control.

(f) Unmarked vehicles used by staff of the Gambling Control Board in gambling investigations and reviews must be registered and must display passenger vehicle classification license number plates. These plates must be furnished at cost by the registrar. Original and renewal applications for these passenger vehicle license plates must be accompanied by a certification signed by the board chair. The certification must be on a form prescribed by the commissioner and state that the vehicles will be used exclusively for the official duties of the Gambling Control Board.

(g) All other motor vehicles must be registered and display tax-exempt number plates, furnished by the registrar at cost, except as provided in subdivision 1c. All vehicles required to display tax-exempt number plates must have the name of the state department or political subdivision, nonpublic high school operating a driver education

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program, or licensed commercial driving school, plainly displayed on both sides of the vehicle; except that each state hospital and institution for persons who are mentally ill and developmentally disabled may have one vehicle without the required identification on the sides of the vehicle, and county social service agencies may have vehicles used for child and vulnerable adult protective services without the required identification on the sides of the vehicle. This identification must be in a color giving contrast with that of the part of the vehicle on which it is placed and must endure throughout the term of the registration. The identification must not be on a removable plate or placard and must be kept clean and visible at all times; except that a removable plate or placard may be utilized on vehicles leased or loaned to a political subdivision or to a nonpublic high school driver education program.

Sec. 3. Minnesota Statutes 2006, section 169.306, is amended to read:

169.306 USE OF FREEWAY SHOULDERS BY BUSES.

(a) The commissioner of transportation may permit the use by transit buses and metro mobility buses of a shoulder of a freeway or expressway, as defined in section 160.02, ~~in the seven-county metropolitan area~~.

(b) If the commissioner permits the use of a freeway or expressway shoulder by transit buses, the commissioner shall also permit the use on that shoulder of a bus with a seating capacity of 40 passengers or more operated by a motor carrier of passengers, as defined in section 221.011, subdivision 48, while operating in intrastate commerce.

(c) Buses authorized to use the shoulder under this section may be operated on the shoulder only when main line traffic speeds are less than 35 miles per hour. Drivers of buses being operated on the shoulder may not exceed the speed of main line traffic by more than 15 miles per hour and may never exceed 35 miles per hour. Drivers of buses being operated on the shoulder must yield to merging, entering, and exiting traffic and must yield to other vehicles on the shoulder. Buses operated on the shoulder must be registered with the Department of Transportation.

(d) For the purposes of this section, the term "metro mobility bus" means a motor vehicle of not less than 20 feet in length engaged in providing special transportation services under section 473.386 that is:

(1) operated by the Metropolitan Council, or operated by a public or private entity receiving financial assistance from the Metropolitan Council; and

(2) authorized by the council to use freeway or expressway shoulders.

Sec. 4. Minnesota Statutes 2006, section 272.02, is amended by adding a subdivision to read:

Subd. 84. Passenger motor carrier maintenance facility. If approved by the governing body of the municipality in which the property is located, a passenger motor carrier maintenance facility constructed on or after January 1, 2007, is exempt from property tax. The property must be owned and operated by a registered motor carrier of passengers under section 221.0252, and vehicles serviced in the facility must be operated:

(1) primarily to provide regular route public transit, as defined in section 174.22, subdivision 8;

(2) to provide service to an urban area having a population of at least 50,000; and

(3) without financial operating assistance from the state or any political subdivision of the state.

Sec. 5. Minnesota Statutes 2006, section 290.01, subdivision 19d, is amended to read:

Subd. 19d. Corporations; modifications decreasing federal taxable income. For corporations, there shall be subtracted from federal taxable income after the increases provided in subdivision 19c:

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(1) the amount of foreign dividend gross-up added to gross income for federal income tax purposes under section 78 of the Internal Revenue Code;

(2) the amount of salary expense not allowed for federal income tax purposes due to claiming the federal jobs credit under section 51 of the Internal Revenue Code;

(3) any dividend (not including any distribution in liquidation) paid within the taxable year by a national or state bank to the United States, or to any instrumentality of the United States exempt from federal income taxes, on the preferred stock of the bank owned by the United States or the instrumentality;

(4) amounts disallowed for intangible drilling costs due to differences between this chapter and the Internal Revenue Code in taxable years beginning before January 1, 1987, as follows:

(i) to the extent the disallowed costs are represented by physical property, an amount equal to the allowance for depreciation under Minnesota Statutes 1986, section 290.09, subdivision 7, subject to the modifications contained in subdivision 19e; and

(ii) to the extent the disallowed costs are not represented by physical property, an amount equal to the allowance for cost depletion under Minnesota Statutes 1986, section 290.09, subdivision 8;

(5) the deduction for capital losses pursuant to sections 1211 and 1212 of the Internal Revenue Code, except that:

(i) for capital losses incurred in taxable years beginning after December 31, 1986, capital loss carrybacks shall not be allowed;

(ii) for capital losses incurred in taxable years beginning after December 31, 1986, a capital loss carryover to each of the 15 taxable years succeeding the loss year shall be allowed;

(iii) for capital losses incurred in taxable years beginning before January 1, 1987, a capital loss carryback to each of the three taxable years preceding the loss year, subject to the provisions of Minnesota Statutes 1986, section 290.16, shall be allowed; and

(iv) for capital losses incurred in taxable years beginning before January 1, 1987, a capital loss carryover to each of the five taxable years succeeding the loss year to the extent such loss was not used in a prior taxable year and subject to the provisions of Minnesota Statutes 1986, section 290.16, shall be allowed;

(6) an amount for interest and expenses relating to income not taxable for federal income tax purposes, if (i) the income is taxable under this chapter and (ii) the interest and expenses were disallowed as deductions under the provisions of section 171(a)(2), 265 or 291 of the Internal Revenue Code in computing federal taxable income;

(7) in the case of mines, oil and gas wells, other natural deposits, and timber for which percentage depletion was disallowed pursuant to subdivision 19c, clause (11), a reasonable allowance for depletion based on actual cost. In the case of leases the deduction must be apportioned between the lessor and lessee in accordance with rules prescribed by the commissioner. In the case of property held in trust, the allowable deduction must be apportioned between the income beneficiaries and the trustee in accordance with the pertinent provisions of the trust, or if there is no provision in the instrument, on the basis of the trust's income allocable to each;

(8) for certified pollution control facilities placed in service in a taxable year beginning before December 31, 1986, and for which amortization deductions were elected under section 169 of the Internal Revenue Code of 1954, as amended through December 31, 1985, an amount equal to the allowance for depreciation under Minnesota Statutes 1986, section 290.09, subdivision 7;

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(9) amounts included in federal taxable income that are due to refunds of income, excise, or franchise taxes based on net income or related minimum taxes paid by the corporation to Minnesota, another state, a political subdivision of another state, the District of Columbia, or a foreign country or possession of the United States to the extent that the taxes were added to federal taxable income under section 290.01, subdivision 19c, clause (1), in a prior taxable year;

(10) 80 percent of royalties, fees, or other like income accrued or received from a foreign operating corporation or a foreign corporation which is part of the same unitary business as the receiving corporation;

(11) income or gains from the business of mining as defined in section 290.05, subdivision 1, clause (a), that are not subject to Minnesota franchise tax;

(12) the amount of disability access expenditures in the taxable year which are not allowed to be deducted or capitalized under section 44(d)(7) of the Internal Revenue Code;

(13) the amount of qualified research expenses not allowed for federal income tax purposes under section 280C(c) of the Internal Revenue Code, but only to the extent that the amount exceeds the amount of the credit allowed under section 290.068;

(14) the amount of salary expenses not allowed for federal income tax purposes due to claiming the Indian employment credit under section 45A(a) of the Internal Revenue Code;

(15) the amount of any refund of environmental taxes paid under section 59A of the Internal Revenue Code;

(16) for taxable years beginning before January 1, 2008, the amount of the federal small ethanol producer credit allowed under section 40(a)(3) of the Internal Revenue Code which is included in gross income under section 87 of the Internal Revenue Code;

(17) for a corporation whose foreign sales corporation, as defined in section 922 of the Internal Revenue Code, constituted a foreign operating corporation during any taxable year ending before January 1, 1995, and a return was filed by August 15, 1996, claiming the deduction under section 290.21, subdivision 4, for income received from the foreign operating corporation, an amount equal to 1.23 multiplied by the amount of income excluded under section 114 of the Internal Revenue Code, provided the income is not income of a foreign operating company;

(18) any decrease in subpart F income, as defined in section 952(a) of the Internal Revenue Code, for the taxable year when subpart F income is calculated without regard to the provisions of section 614 of Public Law 107-147;

(19) in each of the five tax years immediately following the tax year in which an addition is required under subdivision 19c, clause (15), an amount equal to one-fifth of the delayed depreciation. For purposes of this clause, "delayed depreciation" means the amount of the addition made by the taxpayer under subdivision 19c, clause (15). The resulting delayed depreciation cannot be less than zero; ~~and~~

(20) in each of the five tax years immediately following the tax year in which an addition is required under subdivision 19c, clause (16), an amount equal to one-fifth of the amount of the addition; and

(21) for taxable years ending before January 1, 2026, income earned by a registered motor carrier of passengers from providing regular route public transit, as defined in section 174.22, subdivision 8, when provided:

(i) to serve an urban area having a population of at least 50,000;

(ii) without financial operating assistance from the state or any political subdivision of the state; and

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(iii) in vehicles exempt from taxation under section 168.012, subdivision 1, paragraph (a), clause (7).

Sec. 6. Minnesota Statutes 2006, section 296A.07, subdivision 4, is amended to read:

Subd. 4. Exemptions. The provisions of subdivision 1 do not apply to gasoline purchased by:

(1) a transit system or transit provider receiving financial assistance or reimbursement under section 174.24, 256B.0625, subdivision 17, or 473.384; or

(2) an ambulance service licensed under chapter 144E; or

(3) until July 1, 2025, a registered motor carrier of passengers for use exclusively in vehicles that:

(i) are exempt from taxation under section 168.012, subdivision 1, paragraph (a), clause (7);

(ii) primarily provide regular route public transit, as defined in section 174.22, subdivision 8;

(iii) are operated without financial operating assistance from the state or any political subdivision of the state.

Sec. 7. Minnesota Statutes 2006, section 296A.08, subdivision 3, is amended to read:

Subd. 3. Exemptions. The provisions of subdivisions 1 and 2 do not apply to special fuel or alternative fuels purchased by:

(1) a transit system or transit provider receiving financial assistance or reimbursement under section 174.24, 256B.0625, subdivision 17, or 473.384; or

(2) an ambulance service licensed under chapter 144E; or

(3) until July 1, 2025, a registered motor carrier of passengers for use exclusively in vehicles that:

(i) are exempt from taxation under section 168.012, subdivision 1, paragraph (a), clause (7);

(ii) primarily provide regular route public transit, as defined in section 174.22, subdivision 8;

(iii) are operated to serve any urban area of at least 50,000 population; and

(iv) are operated without financial operating assistance from the state or any political subdivision of the state.

Sec. 8. Minnesota Statutes 2006, section 473.411, is amended by adding a subdivision to read:

Subd. 6. Use of bus stops. The council shall take all necessary steps to permit providers of regular route transit in vehicles exempt from taxation under section 168.012, subdivision 1, paragraph (a), clause (7), to use bus stops and bus shelters that the council uses in providing regular route transit service, unless use by those vehicles unreasonably interferes with the safety and reliability of the council's transit operations. This subdivision applies only to vehicles that:

(1) provide transit service originating outside the metropolitan area as defined in section 473.121, subdivision 2;

(2) while inbound to the metropolitan area, do not pick up passengers within the metropolitan area; and

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(3) while outbound from the metropolitan area, do not drop off passengers within the metropolitan area."

Renumber the sections in sequence and correct the internal references

Amend the title accordingly

A roll call was requested and properly seconded.

The question was taken on the Olson amendment and the roll was called. There were 39 yeas and 90 nays as follows:

Those who voted in the affirmative were: