1.1.................... moves to amend H.F. No. 1765, the second engrossment, as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. [16C.50] LABOR PEACE AGREEMENTS.
1.4    Subdivision 1. Definitions. For the purposes of this section:
1.5(1) the state has a "proprietary interest" in a project where it finances the project in
1.6whole or in part by any of the following: providing a grant; providing a loan; guaranteeing
1.7any payment under any loan, lease, or other obligation; contributing revenue on general
1.8obligation bond; or providing a tax abatement, reduction, deferral, or credit;
1.9(2) the state acts as a "market participant" in a project when it is the owner of the
1.10project; is an equity investor in the project; or donates, sells, or leases real property,
1.11personal property, or infrastructure in support of the project;
1.12(3) "qualifying project" means a project that is located in a city of the first class as
1.13defined under section 410.01, and includes the construction or development of:
1.14(i) a hotel;
1.15(ii) a food and beverage operation that is integral to a hotel, a major league or minor
1.16league sports facility, a convention center, or a civic center;
1.17(iii) a cultural venue with catering or cafeteria facilities; or
1.18(iv) infrastructure constructed specifically to support a project in item (i), (ii), or (iii);
1.19(4) "hospitality workers" means all full-time or regular part-time employees of
1.20hotels and their integral food and beverage operations, as well as all full-time or regular
1.21part-time employees providing food and beverage, concession, catering, cafeteria, or
1.22merchandise services at sports facilities, convention centers, civic centers, or cultural
1.23venues, excluding supervisors, managers, and guards;
1.24(5) "employer of hospitality workers" means an employer of hospitality workers who
1.25will be employed as a result of a qualifying project, and includes a developer of a state or
1.26local government-owned facility that is all or part of a qualifying project and a developer
1.27of a facility benefiting from state financial participation in a qualifying project; and
2.1(6) "labor peace agreement" means a valid contract that sets forth agreements by
2.2and between an employer of hospitality workers and any labor organization seeking to
2.3represent hospitality workers on the process the employer and union will follow as the
2.4hospitality workers who will be employed as a result of the project choose whether or not
2.5to organize as a unit for collective bargaining with the employer.
2.6    Subd. 2. Labor peace agreement required. Any employer of hospitality workers
2.7on a qualifying project must have negotiated and executed a labor peace agreement with
2.8any interested labor organization prior to, and as a condition precedent of, the execution of
2.9a contract, project, agreement, grant agreement, or other agreement for financial assistance
2.10that causes the state to hold a proprietary interest in the project. When the state acts as a
2.11market participant in the project, any employer of hospitality workers must have a signed
2.12labor peace agreement with any interested labor organization prior to, and as a condition
2.13precedent to, its contract with the state.
2.14    Subd. 3. Labor peace agreement provisions. To fulfill the condition precedent to
2.15state financial participation, a labor peace agreement must contain:
2.16(1) a provision prohibiting the labor organization and its members from engaging
2.17in any picketing, work stoppages, boycotts, or any other economic interference with
2.18the employer's hospitality operations on the qualifying project for the duration of the
2.19state government's ongoing financial interest in the qualifying project or for five years,
2.20whichever is greater;
2.21(2) a provision requiring that during the duration of the agreement, all disputes
2.22relating to employment conditions or the negotiation thereof shall be submitted to final
2.23and binding arbitration; and
2.24(3) a provision requiring the employer of hospitality workers to incorporate the
2.25terms of the labor peace agreement in any contract, subcontract, lease, sublease, operating
2.26agreement, concessionaire agreement, franchise agreement, or other agreement or
2.27instrument giving a right to any other employer of hospitality workers to own or operate
2.28the project or activities within the project.
2.29    Subd. 4. Binding arbitration. If the employer of hospitality workers and the
2.30interested labor organization reach impasse in negotiating a labor peace agreement,
2.31following mediation, either party may petition the commissioner of the Bureau of
2.32Mediation Services for binding arbitration. The procedural rules of section 179A.16
2.33shall be followed in the selection of the arbitration panel. The question to be certified
2.34for arbitration shall be whether the interested labor organization has placed arbitrary
2.35or capricious conditions upon the negotiation of the labor peace agreement. If the
3.1arbitrator answers in the affirmative, the employer of hospitality workers is relieved of the
3.2obligations of this section.
3.3    Subd. 5. Existing agreements. If an employer of hospitality workers has valid
3.4collective bargaining agreements with recognized unions that cover, or will cover, the
3.5hospitality workers that will be employed as a result of the qualifying project, those
3.6agreements satisfy the requirements of this section.
3.7    Subd. 6. Exemption. This section shall not apply to projects that receive funds,
3.8property, goods, guarantees, or allowances of less than $2,000,000 of the total cost of the
3.9project from state sources.
3.10    Subd. 7. Limitations. Nothing in this section requires an employer to recognize a
3.11particular labor organization. This section is not intended to enact or express any generally
3.12applicable policy regarding labor management relations or to regulate those relations in
3.13any way. This section is not intended to favor any particular outcomes in the determination
3.14of employee preference regarding union representation.
3.15    Subd. 8. Prior financial assistance. Nothing in this section applies to any financial
3.16assistance for which a contract or project agreement was executed prior to July 1, 2014."
3.17Delete the title and insert:
3.18"A bill for an act
3.19 relating to publicly financed projects; requiring labor peace agreements for
3.20certain state-funded construction projects;proposing coding for new law in
3.21Minnesota Statutes, chapter 16C."